Ircon International (IRCON) Q4 24/25 earnings summary

Executive summary

• FY25 was operationally challenging due to increased competition, completion of major cost-plus jobs, reduced order book, and one-off provisions and losses impacting margins.

• Achieved highest ever consolidated operating revenue of ₹12,514 crore in FY25, up 14% year-over-year.

• Audited standalone and consolidated financial results for the year ended 31 March 2025 were approved, with unmodified opinions from auditors.

• New verticals such as KAVACH (train protection system), signaling diagnostics, and hydropower have been entered, with significant orders already secured.

• Shri Ajit Kumar Mishra was designated as Key Managerial Personnel (KMP) for five years effective 15 May 2025.

Financial highlights

• FY25 consolidated operating revenue was ₹12,514 crore; standalone revenue was ₹10,677.45 crore; consolidated PAT was ₹728 crore; standalone PAT was ₹737.59 crore.

• Core EBITDA for FY25 was ₹905 crore; consolidated EBITDA reached ₹1,510 crore, up 15.5% year-over-year.

• Earnings per share for FY25 was ₹7.84 (standalone) and ₹7.73 (consolidated) on a face value of ₹2 per share.

• Final dividend of ₹1 per share recommended, totaling ₹2.65 per share for FY25 including interim dividend.

• Q4 FY25 standalone net profit after tax was ₹218.21 crore, up from ₹140.65 crore in Q3 FY25.

Outlook and guidance

• Turnover for FY26 expected to remain in a similar range as FY25 due to order book execution timelines.

• Margins are expected to decline by 0.5%-1% due to competitive bidding; core EBITDA margin guidance is 5%-5.25% excluding one-offs.

• Significant government CAPEX allocation and infrastructure pipeline expansion expected to drive future growth.

• Final dividend is subject to shareholder approval at the AGM and will be paid within 30 days of declaration.

• Growth in FY27 and beyond depends on scaling up order inflows, with efforts ongoing to accelerate order book growth.