At a Glance
Consolidated Construction Consortium Ltd (CCCL) just pulled a rabbit out of the hat in Q1 FY26 – a ₹144 crore exceptional gain from selling a subsidiary. Investors cheered, stock jumped earlier, and then reality slapped – the company still bleeds operationally with a -42% OPM. Think of it as a student passing because the teacher gave bonus marks, not because he studied. Meanwhile, promoters upped their stake to 60% – confidence or just buying cheap popcorn for the show?
Introduction
Ah, CCCL – a construction firm that has seen more drama than a Netflix series. From debt overloads to negative equity, it’s been the poster child of how not to run finances. Yet here it is, still building dreams (and losses), surviving every economic storm like a Bollywood hero in slow motion. But FY26 Q1 gave it some spice – big order wins, a fat exceptional gain, and a market cap that suddenly looks lively. Let’s tear down the walls and see if this is a comeback or just another set for a tragic sequel.
Business Model (WTF Do They Even Do?)
CCCL claims to be an integrated turnkey construction service provider. Translation: they design, build, and manage projects while occasionally burning cash faster than they pour concrete.
- Construction: Commercial and residential projects – when clients pay on time.
- Engineering: Fancy steel and shell structures – techy stuff, but margins? Meh.
- Project Management: Tracking projects and their own survival.
- Mechanical & Electrical: HVAC and plumbing – because why not?
- Building Products: RMC and concrete blocks – blocks that could probably block cash leaks.
- Software Divisions (Yuga Design & Yuga Soft): They even dabble in ERP software – perhaps to track their losses digitally.
Financials Overview
Q1 FY26 looked like a fairy tale until you check the notes:
- Revenue: ₹51 crore (flat and boring).
- Operating Profit: -₹22 crore (negative, as usual).
- Exceptional Item: ₹144 crore from subsidiary sale – the only reason net profit showed ₹78 crore.
- Net Profit: ₹78 crore (without the gain, it’s still bleeding).
- EPS: ₹1.74 (sweet, but artificial).
Over FY25, they clocked ₹182 crore revenue and ₹168 crore net profit, thanks to other income of ₹178 crore (also non-core). Without these, the P&L is a horror film.
Valuation
Let’s play with numbers:
- P/E: Irrelevant – profits are like shooting stars.
- EV/EBITDA: Also messy due to negative EBITDA.
- DCF: Too many assumptions; even Excel cries.
Fair Value Range: ₹10–₹20.
The market at ₹16 is pricing in hope, not fundamentals. DCF says ₹10, market says ₹16 – someone’s optimistic, maybe drunk.
What’s Cooking – News, Triggers, Drama
- ₹200 crore order wins across India – a good sign if execution doesn’t kill margins.
- Promoter holding up to 60% – insiders buying low?
- Ongoing rating downgrades kept the party dull.
- Exceptional income gave Q1 a fake tan; sustainability is the real test.
Balance Sheet
| (₹ Cr) | Mar 2025 |
|---|---|
| Assets | 422 |
| Liabilities | 422 |
| Net Worth | 199 |
| Borrowings | 0 |
Debt wiped, net worth barely breathing. At least the balance sheet isn’t screaming anymore.
Cash Flow – Sab Number Game Hai
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Operating | -0 | 51 | 156 |
| Investing | -0 | 126 | -13 |
| Financing | -1 | -174 | -80 |
Operating cash flow finally positive, but still relying on exceptional items to look good.
Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROE | -28% |
| ROCE | -0.45% |
| P/E | N/A |
| PAT Margin | -34% |
| D/E | 0 |
Commentary: ROE is a nosedive, margins scream for help, and D/E looks good only because debt vanished magically.
P&L Breakdown – Show Me the Money
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 139 | 131 | 182 |
| EBITDA | -32 | -619 | -54 |
| PAT | -113 | 673 | 168 |
PAT spike in FY24 was a fluke from other income. Core operations remain loss-making.
Peer Comparison
| Company | Revenue (₹ Cr) | PAT (₹ Cr) | P/E |
|---|---|---|---|
| DLF | 7994 | 4657 | 41.8 |
| Lodha | 14425 | 2964 | 40.5 |
| Oberoi | 4869 | 2062 | 28.7 |
| CCCL | 205 | 168 | — |
Commentary: Peers build skyscrapers; CCCL builds suspense.
Miscellaneous – Shareholding, Promoters
- Promoters: 60.05% (up from 15%) – serious skin in the game.
- DIIs: 8.9% – they’ve mostly bailed.
- Public: 31% – retail still dreaming of a turnaround.
- Buzz: No IPO, no M&A, only survival drama.
EduInvesting Verdict™
CCCL is like that actor who peaked in the 90s but occasionally appears in cameos. Yes, debt is gone, and exceptional gains make quarterly results look shiny. But core operations are still a mess, margins negative, and sustainability shaky.
Final Line: A comeback is possible, but for now, this stock is a suspense thriller – watch, don’t bet your house on it.
Written by EduInvesting Team | 28 July 2025
SEO Tags: CCCL, Consolidated Construction Consortium, Q1 FY26, exceptional income, stock analysis, construction sector
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