NCC Q2 Review: Execution Delays Drag Performance, Says IDBI Capital Maintaining Buy — Check New Target Price

NCC continues to be fundamentally strong with a record-high order book, healthy bidding pipeline of Rs 2.5 lakh crore. However, near-term execution headwinds, high unbilled revenue, and rising leverage temper the growth outlook..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..IDBI Capital Report.NCC Ltd. reported a soft quarter as execution headwinds and working capital strain weighed on results. Consolidated revenue declined 12% YoY to Rs 45.8 billion vs 52.2 billion in Q2 FY25 with Ebitda at Rs 3.9 billion, reflecting a margin of 8.7% versus 8.5% last year. PAT stood at Rs 1.55 billion with a net margin of 3.4%. On a standalone basis, revenue fell 16% YoY to Rs 37.7 billion while PAT dropped 37% YoY to Rs 1 billion. H1 FY26 revenue was Rs 97.9 billion, down 9.3% YoY, reflecting a calibrated execution approach amid delayed project mobilization, extended monsoons, and elongated client payment cycles. Management cited heavy rainfall across multiple states, ROW delays, and slower receipts in water/JJM projects as key drags on turnover. Order inflows during the quarter remained robust at Rs 62.2 billion up 31% YoY, driving a record consolidated order book of Rs 719.6 billion up 37% YoY as of September 2025. We maintain our rating to Buy, revising the target price to Rs 225, valued at 12x FY27E earnings per share..Click on the attachment to read the full report:.Castrol India Q3 Review: IDBI Capital Maintains 'Hold', Sees Limites Upside — Check Target Price.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

NCC Q2 Review: Execution Delays Drag Performance, Says IDBI Capital Maintaining Buy — Check New Target Price

IDBI Capital maintains a ‘BUY’ rating on NCC and revises target price, valuing the stock at 12x FY27E EPS.

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