NBCC Share: Can Its ₹1.27 Lakh Cr Order Book Help It Deliver 237% Profit Growth by FY29?

Synopsis: NBCC expects a sharp rise in profitability, targeting net profit of up to Rs. 2,500 crore by FY29, backed by a robust order pipeline, redevelopment projects, and a consolidated order book of over Rs. 1.27 lakh crore.

The shares of this Navratna PSU under the Ministry of Housing and Urban Affairs, engaged in Project Management Consultancy (PMC), Engineering, Procurement & Construction (EPC), and Real Estate Development, are in focus after the company said it expects its net profit to surge 237% to Rs. 2,500 crore from Rs. 742 crore in FY26.

With a market capitalisation of Rs. 26,838 cr, the shares of NBCC (India) Ltd were trading at Rs. 99.40 per share, increasing 2% in today’s market session, making a high of Rs. 99.85, up from its previous close of Rs. 97.70 per share. 

Strong Order Pipeline

NBCC expects to award projects worth around Rs. 20,000 crore during FY27, while the total value of projects under execution is projected to reach approximately Rs. 58,000 crore. The company also anticipates a strong order inflow during the second half of the fiscal year, with Rs. 40,000–50,000 crore worth of orders likely to be awarded in Q3 and Q4 FY27.

Despite a healthy order pipeline, NBCC highlighted a shortage of skilled labour as a key challenge for the construction sector. The company believes this could be partly due to various welfare and freebie schemes introduced by state governments, which may be impacting labour participation.

NBCC expects its net profit to reach Rs. 2,000–2,500 crore by FY29, reflecting confidence in its execution capabilities, redevelopment projects, and growing order book over the coming years.

The company stated that its redevelopment projects generate operating margins of around 7–10%, providing a stable and profitable revenue stream as urban redevelopment gains momentum across the country.

About the company 

NBCC (India) Ltd is a Navratna Central Public Sector Enterprise (CPSE) under the Ministry of Housing and Urban Affairs, primarily engaged in project management consultancy (PMC), engineering procurement and construction (EPC), and real estate development. 

The company executes a wide range of infrastructure projects, including the redevelopment of government colonies, hospitals, educational institutions, smart cities, and commercial complexes, with a strong presence across India and select international markets. 

Sales of the company increased from Rs. 12,039 cr in FY25 to Rs. 12,889 cr in FY26. Operating profit declined to Rs. 617 cr from Rs. 629 cr. Net profit rose from Rs. 557 cr to Rs. 742 cr over the same period.

The company has delivered a profit CAGR of 20% over the last three years, 24% over the last five years, and 9% over the last decade. Meanwhile, sales have grown at a CAGR of 13% over both the three- and five-year periods, and 8% over the past 10 years.

As of Q4FY26, NBCC’s consolidated order book stood at Rs. 1,27,820 crore (excluding GST), highlighting a strong execution pipeline across its group companies. NBCC accounted for the largest share with an order book of Rs. 1,13,004 crore, followed by HSCC (Rs. 7,782 crore), HSCL (Rs. 6,708 crore), and NSL (Rs. 326 crore). 

Of the total order book, running projects accounted for Rs. 33,497 crore, while projects yet to be awarded or commenced stood at Rs. 94,323 crore. This substantial pipeline provides strong revenue visibility and reflects significant growth opportunities over the coming years.

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