NCC Ltd's Stock Surges 5% After Securing ₹2,090 Cr Bihar Water Resources Order
NCC Ltd's stock witnessed a 5% surge after securing a significant ₹2,090 crore order from the Bihar Water Resources Department. Despite a weak Q1 with a 6% decline in revenue and an 8% drop in profit, the company's strong order book and robust tender pipeline support future growth.
Ncc LtdInfrastructureOrder BookBihar Water ResourcesStock MarketReal EstateSep 16, 2025
With a market capitalization of ₹13,316.63 crore, NCC Ltd's shares were trading at ₹216.15 per share, marking a 2% increase from the previous closing price of ₹212.10.
Secured Order
The significant work order from the Bihar Water Resources Department involves the construction of the Barnar reservoir, dam structures, irrigation channels, and other associated works. The contract is expected to be completed within 30 months. This order not only strengthens NCC’s financial position but also underscores the company's capability to execute large-scale infrastructure projects.
Financial and Operational Highlights
Despite the positive news, NCC Ltd reported a decline in financial performance in Q1FY26. Revenue slipped by 6% to ₹5,179 crore from ₹5,528 crore a year earlier. Net profit also fell by 8% to ₹205 crore from ₹223 crore, reflecting weaker demand and margin pressures that impacted overall profitability.
As of Q1 FY26, NCC’s total order book stood at ₹70,087 crore, with buildings contributing the highest share at 34%, followed by transportation at 26% and electrical (T&D) at 22%. Other segments like water & railways (6%), mining (7%), and irrigation (5%) made up the remainder, showcasing a well-diversified project portfolio across critical infrastructure sectors.
During the quarter, NCC secured ₹3,658 crore in new orders, with the buildings segment accounting for 79% and transportation for 21%. The company executed ₹5,139 crore worth of projects, led by buildings (34%), mining (16%), and electrical (18%), indicating active progress across multiple verticals.
Future Outlook
NCC’s tender pipeline remains strong at ₹2.55 lakh crore, with an order inflow guidance for FY26 set at ₹22,000–25,000 crore, including ₹5,000–6,000 crore of L1 orders. Management remains confident of meeting FY26 guidance on revenue, margins, and order inflow, driven by a robust project pipeline and strong market presence.
NCC Limited is a prominent player in the infrastructure sector, engaged in the construction of industrial and commercial buildings, housing projects, roads, bridges, flyovers, water supply and environment projects, mining, power transmission lines, irrigation, and hydrothermal power projects. The company's diversified portfolio and strong execution capabilities position it well to navigate the challenges in the infrastructure development space.
Conclusion
While NCC Ltd faced some financial headwinds in Q1FY26, the recent ₹2,090 crore order from the Bihar Water Resources Department is a significant milestone. This order, combined with a robust order book and a strong tender pipeline, positions the company for sustained growth in the coming years. Investors and market analysts are optimistic about NCC’s future prospects, given its track record and the increasing demand for infrastructure development in India.
Frequently Asked Questions
What is the value of the order NCC Ltd secured from the Bihar Water Resources Department?
NCC Ltd secured a significant work order from the Bihar Water Resources Department worth ₹2,090 crore.
How much did NCC Ltd's revenue and net profit decline in Q1FY26?
NCC Ltd reported a 6% decline in revenue to ₹5,179 crore and an 8% drop in net profit to ₹205 crore in Q1FY26.
What is the total order book of NCC Ltd as of Q1 FY26?
As of Q1 FY26, NCC Ltd's total order book stood at ₹70,087 crore.
What sectors does NCC Ltd operate in?
NCC Ltd operates in various sectors including buildings, transportation, electrical (T&D), water & railways, mining, and irrigation.
What is NCC Ltd's guidance for order inflow in FY26?
NCC Ltd's guidance for order inflow in FY26 is set at ₹22,000–25,000 crore, including ₹5,000–6,000 crore of L1 orders.
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