This article first appeared on GuruFocus .
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Unexecuted Order Book:INR12,538 crores as of December 31, 2025.
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Order Inflow:INR267 crores up to Q3 FY25-26; INR3,250 crores in January 2026; total INR7,700 crores as of date.
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Current Order Book:INR15,670 crores, highest in EIL's history.
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Q3 Turnover:INR1,194 crores, up from INR900 crores in Q2 FY25-26.
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Q3 Profit Before Tax (PBT):INR395 crores, up 163% from Q2 FY25-26.
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Q3 Profit After Tax (PAT):INR302 crores, up 163% from Q2 FY25-26.
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Q3 Operating Margin:28%, up from 11% in Q2 FY25-26.
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Q3 EBITDA:INR406 crores, EBITDA margin 32%.
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9-Month Turnover:INR2,951 crores, up 45% from the previous year.
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9-Month Profit Before Tax (PBT):INR639 crores, up 118% from the previous year.
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9-Month Profit After Tax (PAT):INR487 crores, up 119% from the previous year.
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9-Month Operating Margin:17%.
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9-Month EBITDA:INR670 crores, EBITDA margin 22%.
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Earnings Per Share (EPS):INR5.37 for Q3 FY25-26; INR8.66 for the nine months ended December 31, 2025.
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Consolidated Profit:INR347 crores for Q3 FY25-26; INR96 crores for the nine months ended December 31, 2025.
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Warning! GuruFocus has detected 3 Warning Signs with BOM:532178.
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Release Date: February 13, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Engineers India Ltd ( BOM:532178 ) reported the highest order book position in its history at INR15,670 crores, indicating strong future revenue potential.
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The company achieved a significant increase in profit before tax (PBT) and profit after tax (PAT) for the quarter, with PBT rising by 235% and PAT by 243% compared to the same quarter last year.
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Operating margin improved significantly to 28% in Q3 FY26 from 11% in the previous quarter, showcasing enhanced operational efficiency.
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The company has successfully maintained a segment profit margin of 20% to 25% in the Consultancy business, indicating strong profitability in this segment.
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Engineers India Ltd ( BOM:532178 ) has a robust international focus, with significant projects in Nigeria and potential opportunities in the Middle East, which could drive future growth.
Negative Points
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There is significant volatility in revenue execution and margins, making it challenging to predict financial performance accurately.
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The company's Turnkey segment, although profitable, has a lower margin expectation of around 7%, which is less than the Consultancy segment.
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The provision for penalties due to project delays can lead to unexpected financial fluctuations, as seen with the recent reversal of INR226 crores.
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Despite a strong order book, the execution period for many projects ranges from three to four years, which could delay revenue realization.
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The company's reliance on large projects means that any delays or issues in these projects could have a substantial impact on financial results.
Q & A Highlights
Q: Can you provide insights on the revenue and margin expectations for the full year and next year, considering the current order book? A: Sanjay Jindal, CFO, stated that with the current order book of INR15,670 crores, the company expects to exceed INR4,000 crores in revenue by the end of the financial year. The Consultancy segment maintains a profit margin of 20% to 25%, while the Turnkey segment operates around a 7% margin. The company aims to sustain these margins and anticipates similar growth in the next year.
Q: What is the expected order inflow for the current and next financial year? A: Sanjay Jindal mentioned that the order inflow as of January stands at INR7,700 crores, with expectations to exceed INR8,000 crores by the end of the financial year. For the next year, the company aims to maintain or exceed this level, potentially increasing by 10% to 15%.
Q: Could you clarify the execution timeline for the current order book? A: The execution period generally ranges from three to four years. Initial progress in the first year is typically 10% to 15%, depending on when the order is received. The company expects consistent execution rates moving forward.
Q: What caused the significant increase in margins for the Turnkey segment this quarter? A: Sanjay Jindal explained that a change order from a major project led to the reversal of a penalty provision, resulting in an impact of INR226 crores on turnover and INR213 crores on profit. This is part of routine business, as the company frequently receives change orders and additional pricing for work done.
Q: How is Engineers India Ltd planning to expand its international presence, particularly in the Middle East? A: The company is focusing on international markets, including the Middle East, Nigeria, and South America, to secure more business. They have been successful in Nigeria and are targeting projects in Saudi Arabia, Oman, and Kuwait. The strategic outreach aims to leverage their extensive experience in complex projects to gain a competitive advantage.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
