Afcons Infra Q3 Results: Margin improves despite revenue dip; order book strong

Afcons Infrastructure Limited reported a mixed performance for the December quarter, with operating margins improving despite a year-on-year decline in revenue and net profit.

The infrastructure major posted a net profit of ₹97 crore for Q3FY26, down 34.8% from ₹148.8 crore a year earlier. Revenue for the quarter fell 7.3% year-on-year to ₹2,975 crore, compared with ₹3,211 crore in the corresponding period last year.

Operating performance, however, showed resilience. EBITDA rose 12.3% year-on-year

to ₹409.5 crore from ₹364.6 crore, while EBITDA margin expanded sharply to 13.8% from 11.4% a year ago, aided by better cost management.

For the nine months ended December 2025, Afcons reported total income of ₹9,545 crore. EBITDA for the period grew 1.8% year-on-year to ₹1,269 crore, excluding a one-time labour code impact of approximately ₹77 crore, with margins improving to 13.3%. Profit after tax for the nine-month period stood at ₹339 crore.

The company’s order book remained healthy at ₹31,543 crore as of December 2025, translating into a book-to-bill ratio of 2.5 times, providing revenue visibility for the coming years. Order inflows during 9MFY26 stood at ₹2,640 crore.

Commenting on the performance, Executive Chairman Subramanian Krishnamurthy said the topline was impacted by client-related execution delays, ongoing payment delays and slower conversion of L1 orders. He added that operational execution remained strong, highlighted by a key breakthrough in the CIDCO water tunnel project, achieved one month ahead of schedule. During the quarter, Afcons also set a record by completing 777 metres of tunnelling in a single month.

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Krishnamurthy further noted that Afcons secured a road project worth over €100 million in Uganda, reinforcing its international presence, particularly in Africa.

Ahead of the earnings announcement, shares of Afcons Infrastructure Limited closed 1.13% higher at ₹344.55 on the NSE.