Infrastructure remains a key structural growth theme, with strong government capex, rising opportunities across roads, rail, water, power, BESS and specialised infrastructure. We bring you key takeaways from the Q1FY27 concalls of HG Infra, SPML Infra and Brahmaputra Infrastructure, highlighting their latest performance, execution trends, order-book visibility, balance-sheet developments and growth outlook.
HG Infra (Mcap - 3313 Cr ) reported Rs13bn standalone revenue down 47%yoy mainly due to delays. in project execution due to land, approval and supply chain issues across roads, rail, solar, BESS and transmission projects. EBITDA margins plunged to 8.5% significantly below the company’s historical margin profile due to weak project execution, higher fixed employee costs, and cost overruns in solar projects, leading to lower operating leverage and rise in raw material cost. Reported PAT is down 83% YoY to INR 283mn. Gross Debt stood at INR 18.3bn vs INR 10.5bn in Q1FY26.
Update on Debt:
The standalone gross debt stood at INR 18.3bn as of Q1FY27, comprising INR 9.1bn of working capital borrowings, INR 4.0bn of NCDs and INR 5.2bn of term loans. Management has laid out a clear deleveraging roadmap, targeting to reduce debt to around INR 9bn by FY27-end, implying nearly a 50% reduction over the next three quarters. The deleveraging will primarily be driven by HAM asset monetization proceeds (~INR 8.5bn), release of over INR 3bn of pending solar project debt into SPVs, faster realization of trade receivables, conversion of unbilled contract assets into billings, and settlement of operational claims. Management also expects around INR 300mn+ of incremental cash generation from normal business collections, while monetization proceeds are expected to comfortably fund the remaining equity commitments for HAM, Solar, BESS and Transmission projects with surplus cash available for debt repayment.
Orderbook:
As on June,2026 HG Infra’s outstanding orderbook stands at Rs145bn (~3x of TTM Revenue) diversified across Roads (65%), Rail & Metro (21%) and Solar/Transmission (14%). The management has further guided for inflows worth Rs110-120bn out of which Rs55bn has already been secured till Q1FY27. The management has already submitted bids worth Rs 220bn in highways, INR 40bn in railways and multiple transmission projects thereby highlighting strong bid pipeline.
Other updates:
· The solar portfolio has reached ~94% physical completion, with commissioning delays largely due to land and transmission issues now easing. Around 85% of project debt has been sanctioned and 95% of sanctioned debt already disbursed, while remaining debt is expected post commissioning. The company has also commenced execution of 735 MW / 4,470 MWh BESS projects, with procurement of batteries and major long-lead items substantially completed.
· Management indicated total remaining equity commitment is well spread over FY27–FY29. For HAM projects, INR 309mn is to be infused during the balance of FY27, followed by INR 235mn in FY28. For Solar, BESS and Transmission projects, the balance requirement is INR 275mn in FY27, INR 390mn in FY28 and INR 75mn in FY29, limiting funding pressure on the balance sheet
· HG Infra has already monetized stakes in multiple HAM assets and expects the remaining consideration over Q2–Q4FY27 after COD milestones. Discussions for monetizing the Karnal HAM project are progressing, with management targeting closure before FY27-end. Overall, asset monetization is expected to generate nearly INR 8.5bn of cash inflows during the year, supporting deleveraging and future investments.
· HG expects AD for Gobindpur–Tangi and Pune–Shirur by 3QFY27. Land acquisition is in advanced stage for both the projects.
Outlook and Guidance:
The management has guided FY27 revenue to be Rs 61-65bn, with EBITDA margins expected at 13.5–14%, driven by a sharp recovery in execution during H2FY27. For FY28, the company expects revenues to reach around Rs70bn, supported by a healthy order book and improving project execution.
Further management expects operational claim settlements (~INR 2bn by FY27-end), faster billing of contract assets and monetization proceeds to materially improve cash flows.
Q1FY27 Investor PPTSPML Infra Limited (Mcap - 1643 cr)
SPML Infra Limited is a diversified infrastructure EPC player with over four decades of execution experience across water and power infrastructure in India. The company's core segments include water infrastructure (drinking water, irrigation, sewerage and river-linking), power transmission and substation EPC, and it has now entered battery energy storage systems (BESS) as a manufacturer and system integrator under the government's Make in India initiative, backed by an exclusive technology partnership with Energy Vault. Over the past two years, the company has undergone a balance-sheet strengthening and deleveraging exercise while repositioning its order book toward higher-margin, better-secured projects, positioning it to participate in India's water security, grid modernization and energy storage capex cycle.
Q1 FY27 Financial Performance
Revenue grew 74% YoY to ₹286 crore, EBITDA rose 81% YoY to ₹28 crore, and PAT increased 87% YoY to ₹22.7 crore. EBITDA margin improved to 10% in Q1 FY27 from 9% in the corresponding quarter last year. On a QoQ basis, revenue was largely flat, EBITDA improved ~17% over Q4 FY26, while PAT declined ~20% QoQ, largely due to a one-time tax reversal that had boosted the Q4 FY26 base. Management attributed the sharp YoY jump primarily to execution ramp-up of new orders won under "SPML 2.0," for which design and drawing approvals have already been obtained, enabling consistent execution.
The company has adopted a strategy of not accepting any new order or project with an expected EBITDA margin below 10%. As a result, every order currently in the book (including recent wins such as Konark, Achhri and Indore) carries margins of 10% or higher, which is what underpins the company's confidence in sustained margin improvement going forward, rather than a top-down blended profitability target.
Order Book & Pipeline
The current order book stands at approximately ₹5,100 crore, of which only ~₹1,251 crore relates to legacy (pre-transformation) projects; the balance carries expected operating margins of 10% or above. The company has already booked ₹1,293 crore of new orders in Q1 FY27 and is L1 on a further ₹265 crore, and management expects to surpass its full-year order intake guidance of ₹5,000 crore. Order inflows are increasingly coming from drinking water, irrigation, river-linking, sewerage, power substations and BESS.
Beyond the current book, SPML is tracking a broader pipeline of ~134 upcoming projects worth close to ₹98,725 crore across 11 states, with irrigation and water supply making up over 80% of this value. Key named opportunities include the Ganga–Nalganga river link (~₹1,00,000 crore), the Marathwada water grid (₹37,600 crore), the MP component of the Ken–Betwa link (₹24,300 crore), and the Pappi basin mega recharge scheme (₹90,200 crore), alongside tenders in Bihar, Odisha, Rajasthan, Gujarat, Kerala, the Northeast, and PSUs such as SAIL and NMDC.
BESS / Manufacturing Update
Phase 1 of the company's 2.5 GW battery-pack assembly line at Supa MIDC, Pune is fully ready, and the company is in the process of obtaining IEC/UL certifications required to supply containers to NTPC. Capacity is being scaled from 2.5 GW to 5 GW, alongside an annual container manufacturing capacity of 600 units, to be completed in H1 FY28. The company operates a dual revenue model — as an EPC player on its own BESS orders, and as an OEM supplying battery packs/containers to other EPC contractors executing BESS tenders. Cells are imported (largely from China) and assembled into battery packs using Energy Vault's technology, which gives it a first-mover and technology-partnership advantage in clearing NTPC's stringent "proveness" qualification criteria.
On the NTPC order specifically: advance has been received and design/drawing approvals are expected to be completed by December 2026. Subject to approval of the sample container, container supply to NTPC is expected to commence in Q4 FY27, with execution completed within the contracted FY28 timelines. Management guided to roughly ₹200–300 crore of BESS-linked revenue in FY27, subject to approvals. At full utilisation, management sized the revenue opportunity at ₹2,000–2,500 crore for the 2.5 GW facility and ₹4,500–5,000 crore at 5 GW. Total BESS capex of ₹236 crore is fully funded via equity already raised plus a sanctioned term loan; no further funding is required for the current expansion.
Balance Sheet & Debt (NARCL)
The company has meaningfully deleveraged with promoter infusion of ~₹400 crore over the last three years, helping net worth roughly double from ~₹500 crore to over ₹1,000 crore, while the debt-equity ratio improved from 1.1x to 0.4x. Of the total ~₹700 crore NARCL legacy debt obligation (inclusive of interest), ~₹320–325 crore has already been repaid (including a ₹45 crore prepayment), leaving a balance of ~₹375 crore. Management expects to reduce this further using proceeds from arbitration awards (total arbitration claims of ~₹4,500+ crore, with ~40% historically converting to awards), targeting the NARCL balance down to roughly ₹300 crore by year-end. ICRA upgraded the company's long-term rating to BBB (Stable), and CRISIL assigned a similar BBB (Stable) rating on bank facilities; cash credit limits have also been enhanced from ₹505 crore to ₹860 crore.
Guidance
Management reiterated FY27 revenue growth guidance of 25%+ YoY, with EBITDA and PAT also guided to grow in a similar range. Importantly, this profitability guidance is underpinned not by a blanket margin target but by the company's stated policy of only accepting new orders/projects carrying a minimum 10% EBITDA margin — meaning incremental profitability improvement is expected to come project-by-project as the higher-margin post-2023 order book gets executed, rather than from a change in blended corporate margin assumptions. Full order-book impact from new wins is expected to reflect mainly from Q4 FY27 onward, once design and drawing approvals for those orders are completed. Order intake guidance of ₹5,000 crore for FY27 is expected to be surpassed.
Other Comments
● Working capital is supported via an escrow mechanism with suppliers in the water segment, which reduces working capital requirements; cash balance stood at ~₹150 crore as of 30th June.
● Land bank of 25 acres at the Pune facility has been acquired with future BESS/container expansion headroom already built in.
Q1FY27 Investor PPTBrahmaputra Infrastructure Ltd (Mcap - 500 Cr)
A differentiated Infra play hiding in plain sight — with a real-estate income engine
Brahmaputra Infrastructure Ltd. is not a conventional EPC contractor competing for projects purely on scale. With 28 years of experience, BIL has built a niche in some of the most technically challenging infrastructure segments — tunnels, bridges, slope stabilisation, river protection and anti-erosion works — particularly across the difficult terrain of Northeast India.
What makes the story more interesting is that BIL is not purely an EPC business. Behind the infrastructure franchise sits a growing real-estate portfolio comprising City Center Mall and Brahmaputra Industrial Park, generating recurring rental income and delivering exceptionally high margins.
1. Strong Q1 execution with margins holding up
Top line at ₹110.79 Cr, up 20.24% YoY and 17.95% QoQ
EBITDA at ₹25.15 Cr, up 13.08% YoY
PAT grew at 9.57% YoY to ₹16.48 Cr, with profitability supported by disciplined cost control and favourable revenue mix.
Strong performance despite a relatively subdued EPC environment reinforces the resilience of BIL's execution model.
2. The moat is specialised execution — and it shows in margins
BIL operates in hilly, riverine and seismically active terrains, where technical expertise creates high entry barriers.
Its capabilities span river/flood protection, anti-erosion, geotechnical works, tunnels and difficult-terrain roads & bridges.
Management remains focused on selective, high-margin bidding rather than chasing volume, supporting its 22%+ EBITDA margin profile.
Technical complexity → limited competition → selective bidding → superior margins.
3. ₹1,600+ Cr order book provides visibility, with a strong pipeline behind it
Order book stands at ₹1,600+ Cr (~4.4x FY26 revenue) across Buildings, Roads & Bridges, Railways & Tunnels and River Protection.
~50% of the order book is yet to commence, providing room for execution-led growth in revenue, profitability and cash flow.
Q1 order inflow stood at ₹300 Cr, including major railway, road and O&M wins.
Bid pipeline of ~₹2,500 Cr, with focus on railways, institutional buildings, flood protection and slope protection.
Management targets ₹1,000 Cr FY27 order inflow and ₹2,500 Cr order book by FY28.
4. Cash-flow visibility is improving
There is no slow-moving WIP, current debtors of only ~₹15–20 Cr, and typical billing cycles of 45–90 days.
The company is currently in a positive cash-flow position, with execution of the unexecuted order book expected to support further improvement.
Legacy arbitration provides additional upside, with ₹100+ Cr already monetised and management expecting potential recoveries of ~₹200–225 Cr over the next few years.
The Company is increasingly focused on improving ROCE, working-capital efficiency and cash conversion, along with margins.
5. At the right point in the Northeast infrastructure cycle
Rising spending on border connectivity, defence, railways, flood protection and multimodal infrastructure is creating a multi-year opportunity across the Northeast.
BIL's existing regional presence and technical capabilities position it well to capture this demand.
The company's move into the India–Bhutan railway corridor and planned expansion from 10 to 20 states demonstrate the potential to scale beyond its traditional footprint.
6. Real estate adds a high-margin recurring-income layer
Existing assets generate ~₹20 Cr annual rental income, with management targeting ~₹60 Cr by FY29.
Real estate operates at ~85–90% margins, providing meaningful support to consolidated profitability.
A new ₹500–700 Cr mixed-use mall/residential project is planned, with rental generation expected from FY29–30.
Management intends to retain both EPC and real estate, creating a combination of growth-led EPC earnings + recurring rental income.
7. Guidance
Management is targeting ~₹450 Cr FY27 revenue, 22%+ EBITDA margins and ₹1,000 Cr order inflow, while building toward a ₹2,500 Cr order book by FY28.
These three companies present differentiated opportunities within the infrastructure space. To know more about these join the Infra Day Analyst Meet on 9th Sept, 2026 Wednesday 10 am onwards
GoIndia Advisors LLP | SEBI Registered Research Analyst | Reg. No. INH000020040 | BSE Enlistment No. - 6518