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1. At a Glance
Ahluwalia Contracts reported FY26 consolidated revenue of ₹4,565 Cr, up 11.4% year-over-year from ₹4,099 Cr. Net profit climbed 31.8% to ₹266 Cr from ₹202 Cr in FY25.
The order book swelled to ₹21,096 Cr as of March 2026, worth 4.6x annual revenue—enough visibility for 24–30 months of execution. Private sector orders now make up 69% of the book, up sharply from 52% the prior year.
Q4 FY26 alone saw revenue of ₹1,322 Cr (+8.8% YoY), though profit margin softened slightly to 5.9% from 6.7% in Q4 FY25, driven by overhead absorption and staffing costs on large projects not yet ramped.
The concern: execution timing on flagship projects (CSMT Mumbai, Central Vista, India Jewellery Park) remains the swing variable. The upside: management guided 15–20% revenue growth for FY27 and flagged double-digit EBITDA margin confidence.
2. Introduction
Ahluwalia Contracts is one of India’s oldest construction firms, incorporated in 1979, with over four decades in engineering, procurement, and turnkey project delivery. The company operates across residential, commercial, institutional, and infrastructure segments for government and private clients across 17 states plus one overseas project.
Bikramjit Ahluwalia, the CMD, has five decades of construction industry experience. The company is professionally managed with a board that includes Shobhit Uppal (Deputy MD) and Vikas Ahluwalia (Whole-time Director).
Recent moves include the award of the India Jewellery Park EPC contract in May 2024 (₹2,450 Cr, 12% of the order book), the Central Secretarial Building / Central Vista award in January 2026 (₹3,070 Cr), and multiple residential projects from DLF and Signature Global. The company also secured airport contracts (Varanasi, Kota, Darbhanga).
Earlier this month, the board approved the FY26 audited results and recommended a 35% final dividend (Re. 0.70 per share). Management issued FY27 guidance at an investor meet on June 5, 2026.
3. Business Model: WTF Do They Even Do?
Ahluwalia is a pure-play EPC (engineering, procurement, construction) contractor—it does not own real estate or operate infrastructure assets. It bids on projects, wins contracts, and executes them.
The revenue model is simple: the company captures revenue as work progresses on-site, then retains a portion (retention) and collects mobilisation advances and progress payments from clients. On balance sheet, this shows up as “receivables” and “unbilled revenue.”
The order book is the forward revenue pool. As of March 2026, it totals ₹21,096 Cr. The mix: residential (44% as of latest guidance), infrastructure (29%), commercial (17%), hospital (14%), and other segments. Geography is spread across NCR (especially Gurgaon for DLF Dahlias, Central Vista in Delhi, Nirman Bhawan), Mumbai (CSMT, India Jewellery Park), and projects in Bihar, Bengal, Odisha, UP, and Nepal.
Clients include NBCC, Bandhan Bank, PNB, Infosys, Apollo Tyres, Max Healthcare, SBI, DLF, Emaar, HSCC, and government ministries. Sector mix: 69% private, 31% central/state government as of Q4 FY26.
The margin lever is twofold: cost control (labour, materials, overheads) and escalation pass-through. 89% of the order book has escalation clauses built in; 11% is fixed-price. For large private developers, “basic price of procurement is a pass-through” per management.
The catch: construction is inherently working-capital intensive. Debtors take 50+ days to collect; inventory and receivables absorb cash. The company funds this via mobilisation advances from clients (₹802 Cr in FY26, ~37% interest-bearing), retention money, and its own cash reserves (₹817 Cr as of March 2026).
4. Financials Overview
Figures are consolidated, in ₹ crore.
Metric
Q4 FY26
QoQ Change
YoY Change
FY26 Full Year
FY25 Full Year
YoY Change
Revenue
1,322
+24.6%
+8.8%
4,565
4,099
+11.4%
EBITDA
124
+28.6%
+7.8%
435
342
+27.2%
EBITDA Margin
9.4%
—
-0.6pp
9.5%
8.3%
+1.2pp
PAT
82
+52.3%
-1.6%
266
202
+31.8%
PAT Margin
5.9%
—
-0.7pp
5.8%
4.9%
+0.9pp
EPS
12.24
—
-1.4%
39.69
30.17
+31.5%
FY26 narrative. Revenue grew 11.4% on the back of project execution ramp and order book growth. EBITDA margin expanded 120 basis points to 9.5%, lifting profit by 31.8%. The improvement masks Q4 softness: margin contracted to 9.4% EBITDA in the quarter (vs. 10.2% in Q4 FY25), attributed to overhead absorption issues from elections, labour disruptions, and elevated staffing costs on large projects still in ramp-up phase.
Q4 FY26 performance. Revenue came in at ₹1,322 Cr, up 8.8% YoY. Operating profit was ₹124 Cr. After depreciation (₹29 Cr), interest (₹12 Cr), and tax at 25.4%, net profit was ₹82 Cr. The quarter was
