India's NCC posts lower quarterly profit on slow execution of orders

Ashoka Buildcon

06/02/2025 11:04

Feb 6 (Reuters) - Indian infrastructure firm NCC  NCCL.NS  on Thursday reported a 12.5% drop in third-quarter
profit, impacted by slow execution of orders.
    The company's consolidated net profit fell to 1.93 billion rupees ($22.04 million) in the quarter ended Dec. 31
from 2.21 billion rupees a year ago.
    Revenue from operations rose 1.61% to 53.45 billion rupees, compared to a 36.6% growth in the same quarter year
ago.
    For further result highlights, click (Full Story)
    
    KEY CONTEXT
    Analysts said revenue growth remained modest as road engineering, procurement and construction players faced weak
order books and sluggish execution. Margin pressure and project delays added to the challenges. 
    NCC's order executions slowed during pre-elections in Maharashtra, brokerage Elara Capital said.
    
    PEER COMPARISON
                                 Valuation (next 12     Estimates (next 12         Analysts' sentiment            
                                       months)               months)                                          
                         RIC        PE      EV/EBITD   Revenue      Profit     Mean     # of      Stock to      Div
                                               A      growth (%)  growth (%)  rating*  analyst     price       yield
                                                                                          s       target**      (%)
 NCC                   NCCL.NS     12.07      6.62      14.32       28.29       Buy      10         0.64        0.94
 KNR Constructions     KNRL.NS     16.41     10.13      11.77       -12.93      Buy      14         0.85        0.09
 PNC Infratech         PNCI.NS     11.30     14.84      12.18       -2.91       Buy      14         0.69        0.20
 Ashoka Buildcon       ABDL.NS     17.30     15.08       7.34       37.55       Buy       9         0.89         -
    
 * The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
 ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading
above the PT
    
    OCTOBER-DECEMBER STOCK PERFORMANCE  
    
-- All data from LSEG IBES
-- $1 = 87.5520 Indian rupees



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NCC OCT-DEC STOCK PERFORMANCE    https://tmsnrt.rs/42HCQoX
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 (Reporting by Yagnoseni Das in Bengaluru; Editing by Savio D'Souza)
 ((Yagnoseni.Das@thomsonreuters.com;))