Perivis

Summary of earnings call for Dilip Buildcon Ltd published on 02 Aug, 2025

Dilip Buildcon Limited
Q1 FY26
Call date · July 30, 2025

1 · Management Commentary

Key Positives

Key Negatives

Forward Guidance

2 · Q&A Highlights

Q 1 (Composite): What is the updated guidance for order inflow, revenue, EBITDA margin, and capex for FY26?
A (Management):
• Order inflow expected at INR12,000–15,000 crores; revenue guidance INR8,000–8,500 crores; EBITDA margin ~11%; capex negligible (INR40–50 crores).

Q 2 (Composite): What is the status and impact of debt reduction, InvIT formation, and asset monetization?
A (Management):
• Standalone debt reduction target of INR500 crores by March 2026 is intact; net debt free by FY27.
• InvIT to launch in September 2025, transferring 8 completed assets (INR3,850 crores debt to move); remaining 10 assets to transfer by FY27.
• CPPIB debt outstanding at INR285 crores as of June 30, 2025; plan to prepay within FY26.

Q 3 (Composite): How have changes in NHAI/MoRTH qualification criteria affected competitive intensity and order prospects?
A (Management):
• Tightened net worth and technical criteria now implemented for HAM and EPC projects, reducing unrecognized/small player participation; expect major order momentum in Q3/Q4.

Q 4 (Composite): What is the outlook for order inflow and sector diversification beyond roads?
A (Management):
• Bidding for projects worth INR20,000 crores across water, metro, tunnels, bridges, mining, and renewables; confident of INR12,000–15,000 crores new orders in FY26.

Q 5 (Composite): What is the margin outlook and rationale for not chasing low-margin orders?
A (Management):
• Current 10–11% EBITDA margin seen as bottom; expect 300–400 bps improvement as order book replenishes and fixed costs are absorbed; focus remains on profitability and quality over order book size.

Q 6 (Composite): What is the status of working capital, inventory, and Jal Jeevan Mission payments?
A (Management):
• Inventory days increased due to lower revenue, not higher inventory; expect to end FY26 at 75–80 days.
• Jal Jeevan Mission payments are regular, with only 1 month outstanding.

Q 7 (Composite): What is the status of coal MDO business and future mining opportunities?
A (Management):
• Coal MDO operations on track for FY26 targets; actively bidding for new coal, iron ore, bauxite, and underground mining projects.

Q 8 (Composite): What is the expected cash flow from JJM hydro testing and asset sales?
A (Management):
• INR450 crores expected from JJM hydro testing in Q3; proceeds from asset sales and InvIT units to be used for debt reduction and operational investment.

3 · Other Key Numbers



Note: This is an AI generated summary of the earnings call. There may be inaccuracies in the summary. Please refer to the original transcript before making investment decisions.