Ladies and gentlemen, good day and welcome to the H.G. Infra Limited Q1 FY2026 Earnings Conference Call hosted by Go India Advisors. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Saloni from Go India Advisors. Thank you, and over to you.
Good afternoon, everybody, and welcome to H.G. Infra Engineering Limited Earnings Call to discuss the Q1 of FY2026 operational and financial performance hosted by Go India Advisors. We have on call Mr. Harendra Singh, Chairman and Managing Director, and Mr. Rajeev Mishra , the Chief Financial Officer.
We must remind you that the discussion on today's call may include certain forward-looking statements and must be therefore viewed in conjunction with the risks that the company faces. I now request Mr. Harendra Singh to take us through the company's business outlook and performance, subsequent to which we will open the floor for Q&A. Thank you, and over to you, sir.
Thank you, Saloni. Good evening, everyone, and welcome to the H.G. Infra Engineering Limited earnings Call for our Q1 FY26 results. During this call, we will provide an overview of our financial and operational performance, discuss our strategy roadmap, and outline our growth ambitions. We will also highlight the key initiatives undertaken during the year and share our vision for sustainable long-term expansion in FY26 and beyond.
H.G. Infra Engineering Limited has over 22 years of proven expertise in the construction of roads and highways and has earned a strong reputation for quality and timely execution in the road sector. Building on this foundation, we have now diversified into critical infrastructure domains such as railways, metro, renewable energy, and transmission projects. We commence FY26 with a steady momentum, further reinforcing our position as one of the fastest-growing infrastructure companies in India.
As a part of a strategic approach, our goal is to derive around 30% to 40% of our order book from known road sectors over the next two to three years. In line with this, during this quarter, we successfully secured our first transmission project worth approximately INR 350 crores in Odisha and received 1/3 of the BESS projects from GUVNL for 300 MW.
With this addition, cumulative contracted capacity for BESS projects has reached 735 MW , that is equivalent to 1,470 MWh , reflecting our commitment to supporting the government's vision for a green and sustainable future while meeting the nation's growing per-capita energy demand. These achievements position us as the third-largest BESS player in the country. Moving on to some updates on the infrastructure sector. Talking regarding the road sector, the government has set a construction target of 10,000 km of highways for FY26.
NHAI plans to award 124 projects spanning 6,376 km at an estimated cost of INR 3.45 lakh crores, and HAM remaining dominant through 84 projects covering 4,714 km. With this outlook, we foresee significant opportunities to secure new projects in the coming months of the year. The company plans to pursue bids worth INR 1 lakh crores in HAM and EPC segments, targeting project awards of at least INR 6,000 crores in FY26, underscoring its strategic emphasis on winning large-scale high-value contracts in the road sector.
Railways and metro, with government visions, are anchoring large-scale modernization and capacity expansion. By 2030, Indian Railways expands to complete 100% of the electrification and broadband network, cutting carbon emissions and improving efficiencies. Thousands of kilometers of new rail lines are being constructed, while track doubling and gauge conversion projects are rapidly enhancing the capacity and connectivity.
Under this nationwide station redevelopment program, more than 1,200 stations will be transformed with world-class facilities to improve the passenger experience. With this, the company plans to participate in bids worth approximately INR 50,000 crore in these sectors. The company is actively pursuing railway and metro opportunities, aiming to secure projects worth approximately INR 1,500 crore in the current financial year. In solar and BESS, the total installed capacity, if you see, in the country has reached up to 220 GW, as 31st of March 2025.
In addition to these installed capacities, India has 169.4 GW of renewable energy projects under implementation. As India leads to the clean energy transition, the battery energy storage system market is projected to grow from $7.8 billion in 2024 to $32 billion by 2030, with 66 GW of storage capacity planned by 2032.
On the solar front, India has crossed 100 GW of installed capacity with over 30 GW added in 2024 alone. This strong policy backs tailwinds and presents massive opportunities for infrastructure players like us to unlock value across both EPC and asset platforms. The company is targeting a 5% share of India's total available battery market.
For FY25-26, the estimated order inflow for BESS is approximately INR 2,000 crore, which includes one secure project, which already has bagged around INR 800 crore. In transmission and distribution, the government envisions a robust modern and green power grid to meet rising energy needs, with major investment in high-capacity lines and advanced substations and HVDC systems over the next decade.
With a one-nation, one-grid, one-frequency policy that has unified all regional grids, enabling 112,250 MW of interregional transfer for stable, reliable nationwide power, at H.G., we aim to secure transmission and distribution projects worth INR 1,000 crore at least for the year, and one we have already has bagged is INR 350 crore. Driven by strength, agility, and steady growth, we are poised to capture emerging opportunities in renewables, power transmission, and road sectors, as well as metro and urban infra.
With proven execution, technical expertise, and industry expertise, we are ready to deliver large-scale infrastructure projects that power India's long-term development vision. Let me begin with a glimpse of our operational highlights. As in Q1 FY26, the company's orders stood at INR 14,656 crore, comprising INR 9,623 crore from roads and highways, INR 2,912 crore from railways and metro, INR 1,620 crore from BESS, and INR 500 crore from solar.
Within the road sector, 30% of the roads are under the HAM model, and 36% are the EPC projects. Railways account for 20% of the total order, while solar and BESS contribute 11% and 3%. This is an update on the EPC project, while Ganga Expressway, which has reached about 97.4% completion, is on track for completion of 100% by Q2 FY25.
The Delhi UER project has been completed successfully and handed over to the authorities, and it is anticipating to receive the completion certificate shortly. The Jamshedpur e levated project is running smoothly with a progress of 15.2%. The Nelamangala-Tumkur project is gaining execution momentum and has reached 42.5% completion. Regarding the HAM project, the Karnal Ring Road project has reached 77.1% completion, marking steady progress and likely to be completed in Q4 FY25.
As shared in our previous quarter, the provisional completion certificates for the projects of Raipur-Visakhapatnam corridor, that is, OD-5 and OD-6, are already received, and both projects remain close to completion now. The project AP-1 of Raipur-Visakhapatnam project is also progressing towards completion with PCC recommended, and all these three projects continue to be on track for 100% completion, that is, COD in Q3 FY26.
The solid progress continued on the Khammam-Devarapalle project of KD-1 and KD-2. The PCC already received these projects at 88.4% and 85.5%, respectively, and both the packages are expected to be completed 100% by Q2 and Q3, respectively. The Chennai-Tirupati HAM project has reached 21.4%. The appointed dates for Varanasi-Ranchi packages, that is, Packages 10 and 13 of this corridor, are expected in Q3 of FY25-26, where significant development for forest clearance has been done.
For Kosi Parikrama Package 6, Ayodhya, the construction agreement is signed on 21st of June 2025, and execution is standard at 2.2%, and the appointed date is expected very soon. In Narol Sarkhej project, the financial closure has been achieved, and the appointed date is expected within the month only. As for the railway projects, the DMRC project is around 82% progressing as per the scheduled timeline, and within the next three months, it is going to be completed 100%.
The Bilaspur RVNL project, that is, 69% complete, Kanpur railway station project is at 26.42% completion, and now the project execution is going on full swing after the initial design and land hiccups. Dhule-Nardana railway project is at 13%. The Gaya-Son Nagar project, Karanjgaon project, they are at about 12.7% and 9.3% completion, respectively. The appointed date for the New Delhi railway station has been declared as 6th August 2025.
The execution will start by the end of Q2 FY26. On the update on the solar project, which we procured during the last financial year, we are now at around 80-70 plants completed. H.G. Infra, out of 183 plants, cumulatively this is 700 MW DC capacity, and among these, the company is directly responsible for 167 plants, with an estimated EPC value of INR 2,243 crore.
In terms of financial structuring, the debt funding for this project is progressing well, with approximately 83% of the required funding already sanctioned until 25 June . The remaining approvals and subsequent disbursements are anticipated to be finalized in Q2 and Q3.
Regarding the equity financing, the total equity investment required for the solar project stands at INR 721 crore, and as of 30th of June 2025, the company has infused approximately INR 610 crore into these projects, and the remaining balance is set to be deployed until Q3 of FY25-26. As far as BESS project is concerned, as we have shared in the previous quarter, the company executed binding agreements with GUVNL and NVVN for 435 MW, that is, 870 MWh of projects, the scheduled commissioning, that is, in November 2026 and December 2026, respectively.
In May 2025, we have secured an additional 300 MW, that is, 600 MWh of projects from GUVNL, and with this, the cumulative contracted capacity stands at 735 MW of the 1,470 MWh. Upon completion and commissioning of all these BESS projects, the company expects annual revenue of 225 crore from BESS.
The equity requirement for all these three projects is around INR 500 crore, of which around INR 1 crore has already been infused, and the balance of INR 119 crore is anticipated to be done within this financial year and with BESS's financial years 2027 and 2028, respectively. Procurement progress for BESS projects has been initiated, and the key components are in the advanced stage of negotiation.
We are shortlisted Tier 1 Chinese supplier after our team visits to China for import BESS systems and power conversion systems, and we are likely to finalize the order for power transmission, switchgear, et cetera, by 30th of September 2025. This is a recent update on the monetization of five new HAM assets, that is, Tranche 2 of HAM. Over the past few months, our leadership team engaged in intensive discussions with several prospective investors to monetize our second lot of five HAM projects.
Those projects are Raipur-Visakhapatnam corridor, OD-5, OD-6, AP-1, and Khammam-Devarapalle package 1 and 2. Our goal was to secure a partner who could provide both financial strength and the sector expertise to maximize the value of our stakeholders. It is our pleasure to inform you that during this week, we executed a binding offer document with Neo Income Opportunities Fund .
Under this agreement, our holding company, H.G., will sell 100% of its equity stake in the five wholly owned subsidiaries managing this HAM asset. This milestone marks the culmination of a well-orchestrated negotiation process and demonstrates market confidence in the quality and profitability of these infrastructure projects. The enterprise value of the entire transaction is at INR 3,584 crore, and the total equity invested in these and the total debt obligation of all five assets are at INR 767 crore and INR 2,200 crore, respectively.
Soon, we will be initiating the process of fulfilling the compliances of the condition precedents as per the binding offer, which includes client approval, lender consent, and other representation warranties. We expect to conclude these formalities and expect to conclude the transaction within this financial year.
This transaction will deliver significant strategic benefits to the group by strengthening the balance sheet and reducing leverage, thereby enhancing our financial flexibility. The realized funds can be redeployed into our new HAM belt, road extension, or other high-return infrastructure opportunities. We believe this deal achieved a robust valuation, positioning the company for accelerated growth and value creation in the upcoming years.
Regarding the equity requirement on the HAM projects, on the balance of the HAM projects, the total equity requirement for 11 HAM projects, those are balanced, is INR 1,664 crore, and as of 25 June , INR 997 crore has been infused out of the remaining INR 298 crore is scheduled to be done in nine months of FY26, followed by INR 183 crore in FY27 and INR 187 crore in FY28.
Let me now give an overview of the other significant updates of Q1 FY26. The company has secured its first transmission project from PFC Consulting Limited in BOOT model, with a project cost of approximately INR 350 crore for establishing the interstate transmission system in the Eastern Region Generation Scheme-1 in Odisha . The project duration is 35 years from the date of commissioning.
Additionally, the company has received a project from Military Engineering Services valued at INR 117.8 crore for creation of integrated material handling facilities at Naval Dockyard in Mumbai. Moving on to the financial highlights of Q1 FY26, the revenue for Q1 FY26 reached INR 1,709 crore, with an EBITDA of INR 236 crore and an EBITDA margin of 13.79%.
PAT for Q1 FY26 stood at INR 125 crore, with a PAT margin of 7.34% compared to INR 140 crore and a margin of 9.27% in Q1 FY25. On a standalone basis, our gross debt stands at INR 1,049 crore. This comprises INR 664 crore working capital debt and other terminals and maturities. Now, the consolidated financials are at revenue of Q1 FY26, reached INR 1,482 crore, with an EBITDA of INR 268 crore and an EBITDA margin of 17.52%.
PAT for Q1 FY26 stood at INR 99 crore, with a PAT margin of 6.7% as compared to INR 163 crore at a margin of 10.64% in Q1 FY25. As informed in the last two quarters as well, the dip in consolidated revenue and PAT is due to the elimination of intergroup transactions with solar SPVs for solar projects, which are recorded as capital work in progress in consolidated accounts.
While the standalone results reflect EPC revenue and taxes, the tax cost remains in consolidation results until the SPVs start generating operational revenue, after which the margins will improve. Let's explore what's next, turning to our future strategy plans. We are confidently aiming for an order inflow close to INR 11,000 crore in FY26, with a clear data-backed strategy to secure 75% from roads and railways, where our execution capacity outpaces competitors and 25% for rapidly expanding verticals.
Our historical dominance in roads and highways continues to drive core growth, but we are not resting on our laurels. Recognizing increased competition and margin compression, we are taking proactive steps to reshape our portfolio for long-term value creation. We are aggressively entering into high-growth, decent-margin sectors like BESS and transmission distribution, capitalizing on the deep engineering roots and the proven execution track record. This is not just diversification and targeted expansion into future profit pools.
Our relentless focus on strategic bidding, cost control, and technology-driven project management is designed to protect and expand margins, minimize the debt, and maximize shareholders' returns. In essence, we are positioned for accelerated growth and superior returns, and our diversified pipeline, financial discipline, and the bold sector bet are key levers as we redefine ourselves as the future-ready multi-sector infrastructure leader, delivering outstanding value to our investors year after year.
I would now like to hand over the call to the Go India team for further deliberation and further question-and-answers.
Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on the touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. In order to ensure that the management is able to address questions from all participants in the conference, please limit your questions to two per participant.
Should you have a follow-up question, we would request you to rejoin the queue. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shravan from Dolat Capital. Please go ahead. Thank you, sir.
Sir, first on just the latest HAM deal. So, sir, if I work out INR 3,584 crore is the EV versus the equity and debt amount, what you mentioned, INR 767 and INR 2,200 crore, if the total is INR 2,967 crorer, that means the equity value that we are getting is INR 617 crore versus INR 767 crore invested. That means a 0.8 time price to book. Correct me if I'm wrong.
Yeah, almost we are at current stage INR 3,584, and the debt is INR 2,200 crore into this. And the total INR 767 crore of equity is invested.
But, sir, then not able to understand why we are selling at 0.8x price to book.
It's not, I think, 1.8 times, not 0.8x . You see the number, it's INR 3,584 crore of enterprise value, which out of INR 2,200 crore is the debt. So the net amount which we will be getting is INR 1,384 crore against the equity investment of INR 767 crore.
Okay . My mistake . Got it. Second, and then this cash we will be getting by.
Sorry?
This cash amount, when will we be receiving this cash?
So we are expecting that two of the projects, they are the COD and finally NOC from lenders and clients, could be managed within the next three months by December, and further next three probably by March.
So if you can break in terms of the value, how much we will be receiving in FY26 and the?
No, no, sir, everything, every total amount what we will be, we are expecting is we will be getting within FY26 only. So by 25 December of, say, let's say for this particular quarter, three of the quarter, FY 2027, FY 2026, tentatively two of the projects could be done as a transfer, and the rest two, three will be done by March 2026. So everything will be done within the year only.
Okay, okay. And then whatever the gap would be, that we will be reporting as an exceptional gain in the standalone books.
Of course.
On the equity transfer.
Yes.
Yeah. So now on the operational front, sir, so this.
Sorry to interrupt you, Mr. Shravan. I will request you to get back to the queue for follow-up questions, please.
Okay.
Thank you. The next question is from the line of Vaibhav Shah from JM Financial. Please go ahead.
Yeah. Sir, when do we expect to receive the appointed dates for the HAM projects, especially the VRK ones?
So there are five projects where the appointed date is expected. So one is which we have received very recently is New Delhi Railway Station. That is on 6th of August. Next week, we are going to have this appointed date for Ahmedabad HAM project. And subsequent to that, in September only, we would be able to receive the appointed date for both Jharkhand projects, that is 10 and 13 of Varanasi- Kolkata corridor. And last one, which is Ayodhya, and that project we are expecting that somewhere in November we would be getting the appointed date.
Sir, and what are the expectations for LOA on Nagpur-Chandrapur, both the packages?
So those projects where the land acquisition is at about, say, 42% as of now, so the minimum requirement is 70% for issuance of LOA. So probably it will take another three to four months. By December, we are expecting the LOA could be released.
Sir, so from these five HAMs, four HAMs, say it is pending, what kind of revenue are you factoring in? And also for the MSRDC project for FY26?
So we are not considering anything from MSRDC project because, say, since the LOA would be getting, we will be getting then the appointed date is likely to be declared. So we are not expecting much from those projects. But apart from those projects, there are four HAMs, which we are targeting about INR 1,200 crore of total order execution in these four HAMs within this year.
Okay. And sir, what are the receivables currently? And outside, what is the HAM and solar?
So the majority portion of receivable is HAM and solar only. So the solar SPVs, the receivable is around INR 438 crore, and HAM project is INR 395 crore.
And the total number?
And the total number, it is INR 1,360 crore.
So you are expecting the solar receivables to come down sharply. So when do you expect the overall?
Something has happened. We have executed around INR 300 crore during the month or during the quarter. So out of INR 300 crore rupees, we could receive, say, the number which was the same and remained same. So whatever was the closing number for March 2025 remains the same. So it's only INR 300 crore of disbursement could happen within this year.
But now the things are very rapidly because 83% of the sanction has been done, and we are getting the release of funds from banks through SPV. H.G. Infra is also getting this. So by September and by December, say, things would be 100%, we would be recovering the entire receivables from SPV to banks.
Okay, and sir, lastly, I missed the initial part, initial commentary. What is our guidance on revenue and EBITDA margin for the entire year? And why were the margins impacted in Q1? So we saw that we have put INR 10 crores, INR 11 crores of one-offs, which is impairment losses and it was INR 5 crores in Q4 as well. So what are these entries?
So I think the reason behind for 2.5% of the EBITDA correction has been there. So there is one of the items which we were expecting the change in law in Ganga Expressway. There's a change in law of royalty revision is there. So in this project of Adani, we are eligible to get anything variation like change in law and variation is claims from the client, whatever is being approved by a client.
As of the recent trend, we are revealing the facts where they are likely that change in law approval is not likely to be there within this particular year. It is going to take time. We have corrected our number around INR 40 crore. Because of that number, there is a deep correction in the EBITDA margin. Otherwise, in none of the other projects, the margin correction has been done.
Sir, entire impact has been taken off right now or some [crosstalk].
Sorry to interrupt you Mr. Vaibhav, I will request you to join
Entire impact is around INR 43 crore, whereas INR 11 crore is the exceptional item, if you see. There is a, say, provision has been done and around INR 43 crore. It's out of Ganga Expressway that we have corrected in our margin.
Okay. Thank you. I'll call back in the queue.
Thank you. The next question is from the line of Sarvesh Gupta from Maximal Capital. Please go ahead.
Good afternoon, sir, and congratulations on the transaction. So just continuing on.
Mr. Sarvesh, sorry to interrupt you. Your voice is very low.
Is it better now?
Yes, sir. Thank you.
Yeah. So sir, congratulations on the transaction. So just continuing on the previous question. So earlier, we were consistently being able to deliver around 16% EBITDA margin. I think last quarter, we were in around 15%, and now this quarter, we have delivered less than 14%. So you said so INR 14 crore, you are saying is an exceptional item for this quarter, isn't it?
No, no, no. I'm correcting it there. Say last year, last quarter, it was INR 5 crore of provision was except for has been done by the auditors for the long due receivables. As a whole, it is now INR 74 crore of total provision has been done until date against the current asset receivables.
This is the one thing which has happened is the other item, which is INR 43 crore rupees, this is a change in law item, which we are not expecting to get realized very soon within this year as far as Adani project where it's a back-to-back arrangement with UPEIDA. So where we are not looking immediately, so we have corrected that number, the margin by INR 43 crore rupees.
Okay. But is that, have we assessed all the projects?
There is a reason for the shortfall. Otherwise, all other projects are going as per the expected margins.
Have we done everything that we were required to do across all projects, or are there any future provisions also that we need to take from queue to? Should we expect normalized margin of 15% to 16%?
It is likely to be normalized margin only. So we are not, say, we never have factored such things where the current asset or unbilled revenue is having some contract or different claims. We usually have the certainty of those numbers, then only we'll keep it. Otherwise, what we did last quarter. So the provision being done on the basis of their contractual auditor's obligations.
Okay. Sir, on the road orders, so what is the expectation now? Because even in this quarter, last two, three quarters, and last six quarters, the industry has not received, but we had been hopeful because NHAI had a pipeline. So what is the expectation now, and are there some tangible work that has been done from their side? And in terms of our pipeline, where are we? What is the percentage that we are looking to sort of win in the near future, etc.?
In recent past, we have seen a significant improvement as far as sentiment is concerned. So as of the press release, they have already declared the pipeline of the projects which are going to be, say, awarded within this year only. So there's a long pipeline. There's more than 5 lakh crores of projects which are there, including BOT, HAM, and EPC. And apart from that, the long-awaited correction in the pre-qualification criteria has been released. So in both EPC and HAM.
So that gives us the relief in the sense that the project pipeline is there, but the only two riders which are there, one is the quality of the DPR, where the DPR checks are being taken so much of time. And the land acquisition, which always has been the real critical area, gray area rather, where the progress and any of the claims do occur.
So in that sense, they are just guaranteeing that 80% of the land as per the contract should be there prior to issuance of LOA. So these are the two factors which are taking a bit of a time. But we are very much hopeful, and I think the ministry is very much optimistic of awarding this at least 3.5 lakh crores of orders within this year only. So we are expecting the traction to be there by November, December onwards. So a lot many projects are likely to be awarded.
What will be our full year revenue guidance for this year, sir?
It remains same as INR 7,000 crores or because we did around 13.5% year- on- year for Q1 . And almost will remain in this range only.
Okay, sir. Okay. Thank you and all the best.
Thank you. The next question is from the line of Veenit from Investec . Please go ahead.
Hello, Mr. Hi. Yeah. Am I audible?
Yes, sir.
Hi. Good afternoon, sir. So just wanted to recheck on this revenue growth guidance number. Now, given a lot of our projects are currently either in L1 stage, which are Maharashtra orders, three, four HAM projects where we are yet to get appointed dates. And if you exclude a lot of these projects, our executable order book currently stands at less than INR 10,000 crores. Considering this, how confident are you of us achieving INR 7,000 crores? And what should actually drive such a strong execution or conversion into revenues?
So if you can see, the project which we are at very advanced stage of completion, like Ganga, like Odisha, all OD-5, 6, AP-1, KD-1, 2 , and even Karnal. So there are the projects whatever is the balance would be completed. So this is the one thing which is, and again, the solar. And some significant part of BESS execution is likely to contribute within this year only.
So if you see the other railway projects where the progress was not that good in the initial phase of the project because of the design and the land issues. So now that has pegged us within Q2 , Q3, Q4 of this particular year, we are seeing around INR 1,000 crores of execution in railway only.
So in these new projects where the appointed date is going to be declared, including new delegated decisions, there's around INR 1,500 crore of execution likely to be there in Q2 , Q3 and Q4 So this gives put together that we would be around INR 7,000 crore even if we are not considering anything to be coming from Nagpur-Chandrapur projects.
Understood. Understood, sir. And sir, even on the margin guidance, given we've done slightly lower margins this quarter, how confident are you of delivering 15.5% to 16% EBITDA margin for the full year? And I'm just asking because now the ask rate to get there is slightly on the higher side where we'll have to deliver 16 to 16.5% EBITDA margins consistently for the next three quarters to be getting anywhere around EBITDA margins which we did last year.
So basically, it's only checking upon the margins if anything is not guaranteeing our thing. So it's a matter of only a time when Q4 or Q1 of this year, we have seen the margin dip is there. Otherwise, all the projects, we do have a decent margin. And we are doing such projects, and with the margins probably in the range of 15% to 16%, we are quite hopeful that by the year end, we will be maintaining the same streak.
Okay. So for next three quarters, we should be back to 15% to 16% margin levels?
Yes.
Okay. Okay. Thank you so much, sir. Thank you.
Thank you. The next question is from the line of Vishal from Antique Stock Broking. Please go ahead.
Yes, sir. Thanks. Yes, sir. Thanks for the opportunity. Sir, you mentioned in your initial commentary that 83% of the debt for the solar is sanctioned. So have we taken any disbursement from that side?
No, no. See, the sanction to disbursement, there is a gap. We have only taken the disbursement of about 50%, though we have progressed. It's around 58%, roughly, though we have progressed around 78%. So there is a gap of about 30% in what we have progressed to what the loan has been disbursed, the loan disbursement has been done. So this is the.
So do you think. Sorry, sir. Sorry.
So the sanction is 83%. The rest, 17% of the sanction is still awaited where the progress is going on. And wherever the sanction has been done, it's only partial disbursement or only a few of the plants where the disbursement is not yet done.
So in July and August, September, and until November, whatever and whenever we are going to complete the entire thing by December. So we are hopeful that every so this is 45% of the balance disbursement would be done, 43% to 44%.
Okay. Okay. So if one has to understand, what is the total debt that we have taken for the solar as of now?
So it's around INR 1,100 crore, INR 1,100 in the total. I'm not remembering right now. It's 1,100.
Okay. This was related to the working capital, just thought to check. Okay. Second is, sir, on the battery energy storage, you did mention INR 500 crore is the equity that we will be putting. And if one do a financial closure at maybe 80-20, then the project cost comes to almost INR 2,500 crore. That is one. Second, I mean, when we are putting megawatt.
The project cost is not more than these project cost is around INR 1,800 crore, all three BESS projects. This project is around INR 1,800 crore plus GST. And the total debt, the equity which is committed is INR 500 crore, which is 25% of the total project cost. And balance is debt. And out of the total debt, once we commission this project, we would be able to get around INR 300 crore of grant from government in all these three projects.
Okay. So INR 1,800 crore plus GST and then INR 300 crore grant. That's the total project cost.
INR 1,800 crore plus GST minus INR 500 crore is equity, is declaring INR 1,500 crore of debt, and less INR 300 crore would be plus INR 1,200 crore of debt would remain once this grant is being settled.
Okay. Got it. Got it. My mistake. INR 1,800 crore. Okay. So I think then.
Sorry to interrupt you, Mr. Vishal. I will request you to join back the queue for follow-up questions, please. Thank you. The next question is from the line of Jainam Jain from ICICI Securities. Please go ahead.
Thank you for the opportunity. Sir, I wanted a couple of data points for working capital. Can you provide your number for inventory, trade receivables, contract assets, trade payables, and contract liabilities?
So inventory is at almost the same number. It's INR 519 crore inventory. And working capital, say you are asking for debtors. Debtors are around INR 1,350 crore. And current asset is INR 1,310 crore.
INR 1,400? Oh, sorry. I didn't get your contract asset number. Okay. So trade payables and contract liabilities.
Sorry?
Trade payables and contract liabilities.
The contract liabilities, trade payables. So trade payables. Just a minute. Trade payables is around INR 1,324 crore. And liabilities is around INR 1,200 crore . I think it's INR 1,200 crore.
Okay. Sorry.
My number is not there. But it's around INR 1,200 crores.
INR 1,200 crores. Okay.
Because the debtors we already have given, trade payables is, yeah, INR 1,324 crore. Correct.
Okay, sir. That answers my question. Thank you so much.
Thank you. The next question is from the line of Shravan from Dolat Capital. Please go ahead.
Hi, sir. Just to complete this thing, so standalone cash and bank balance is how much, sir? It's INR 162 crore. INR 162? Sir, INR 162 crores.
Correct. Correct.
Yeah. And retention money is how much? And unbilled revenue is?
I think it is given the INR 1,310.
Okay. INR 1,310.
So the debtor of INR 1,350 crore, there is a retention and deposit of about INR 170 crore.
INR 170 crores. Okay. And mobilization advance is how much, sir?
INR 382 crore.
382 crores. Okay. Sir, this INR 500 crore BESS equity, you said this one crore we have invested, another INR 119 crore in this year, and next year will be the remaining balance entirely in FY27?
Because there's not next year. Next year, some portion would be done next year, INR 187 crore rupees, and probably in 2028, the balance would be done because the first project is going to be done in FY27.
FY27. Okay. So this year, INR 120 crore. Next year, INR 187 crore. And balance will be in FY28. Correct.
Correct.
Okay. Okay. And sir, if you can repeat the HAM equity to be invested in this year and next year. FY28, I heard the figure INR 187. But balance in 2026 and 2027 is how much?
The projected balance is INR 997, which has been done. So you see, the projection is for the year, it is INR 427. Okay.
Mr. Shravan [crosstalk].
What is the total number including? Ajar. Okay. Sorry. So there is a total number including solar and BESS. If you want to split it out in such a manner, the equity which is balance for the year, including BESS, it is INR 427 crore. Correct. No, sir. No. And cross-commission. If it is only roads. So if it is only roads, then it's INR 298 crore.
INR 298 crore is full year of FY26 or balance nine months?
FY26, nine months. And then INR 183 crores and then INR 185 crores.
INR 183 crores and INR 185 crores. Okay. So total. Okay. And for transmission, how much is equity needed? And for this year and next year, how much we will be investing?
This year, INR 10 crore. Next year, INR 25 crore. And further, INR 152 crore in FY28. So if you see the total number for this year, it is 427, followed by next year, 438, and next to next year, 388. How much is the total commitment balance? 997.
Okay. Got it. Yeah. I will complete this. Sir, just to clarify on this EBITDA margin provision. So this quarter, you said INR 74 crore provision we have done until date. Out of that, how much was until FY25? And in Q1, how much we have done? And what you are mentioning, INR 43 crore is yet to be done or it is part of INR 74 crore for Ganga?
So the provision of INR 74 crore is total; only INR 56 crore the provision has been done in this quarter. Earlier provision could have been INR 5 crore.
But for this year quarter, INR 43 crore of not the provision. It is the margin we have taken for Ganga Expressway project. Because of one of the items, this is a change in law which we likely to be expecting. It may take some time.
Okay. So this will be maybe a part of other expenses or somewhere it will be part of this INR 43 crore that we have taken a hit.
Basically, no, no. It's not expenses. Basically, it's the margin dip already has been taken. It's not provision or anything. Margin dip already has been taken.
Okay. Got it.
But the margin is very low.
Got it. Yeah. Thank you, sir.
Thank you. The next question is from the line of Mohit from ICICI Securities. Please go ahead. Yeah. Good afternoon, sir. And thanks for the opportunity.
My question on the deal, sir, what will be the tax implications on the realized gains?
What is?
What will be tax implications on the gains which will be realized from this deal? The reduction will be INR 2,200 crore. No, no. So I'm just trying to figure out tax implication. Tax. What will be the tax which you will pay on the realized gains? Yeah.
We are not worked out yet.
Understood. And have you given any offer for the pipeline of the asset? And also, will we be doing any maintenance work post-transfer of asset to the new owner? No, no. It's outright selling the asset out. It's outright transaction. Any offer for the pipeline of the future asset? No. Right?
No. I think the future asset which is likely to be there is Karnal Ring Road, which probably we are looking at further selling it out.
It's nearing completion. By June or September of next to next, say by FY26, in FY27, we are expecting to close the deal. Are you going to do maintenance work on this asset? Sorry to interrupt you, Mr. Mohit. No, no. We are not doing any maintenance work in these projects. This is outright selling the project. Understood. Our transaction is going to be selling outright.
Understood. Thank you. All the best, sir. Thank you.
Thank you. The next question is from the line of Parth from JM Financial. Please go ahead.
Hi, sir. Thank you for the opportunity. I just wanted to ask if you can quantify your bid pipeline and also if we have put out any bids where results are yet to be announced.
Sorry?
Can you quantify your bid pipeline?
Bid pipeline?
Yeah.
Also, if we have bid for any projects where results are yet to come out.
So, it's around, in all three sectors, we have submitted around INR 16,000 crore of projects where the bid results are yet awaited. Apart from this, the pipeline which we are expecting, say, as we had already explained about it because it's a pipeline, huge highway pipeline. But we are expecting that we will be bidding around INR 1 lakh crore of highway, around INR 50,000 crore of railway, and another BESS in solar projects in the upcoming time, which we are expecting that we should get at least INR 10,000 crore out of these bid submissions.
Okay. Sir, can you just quantify the solar bid pipeline? One second.
The solar bid pipeline is in two, say, there are different modes.
It is the BESS as well as solar because it's BESS also there around INR 20,000 crore of orders which are yet to be awarded for the year. And transmission also, there's tremendous. It is around INR 50,000 crore plus of bid pipeline which is today available.
Okay. Thank you, sir.
Thank you. The next question is from the line of Vishal from Antique Stock Broking. Please go ahead.
Yeah. Yes, sir. Thanks for the follow-up. Sir, on this battery energy storage system, are the equipment awarded?
So first round of negotiation has been done. So our team is in China only. So very soon, they are going to come back and probably with all further negotiation and due diligence, in maximum a month, we will be able to close it.
Okay. Got it. And but, sir, I think the project cost.
Sorry to interrupt you, Mr. Vishal.
I will request you to mute yourself whenever the management is speaking because there are some interjections coming from your side.
Sorry. Sorry. And just last question. Yeah. And last question, and then mute. So maybe follow-up for that. I think if we award a project now, then probably the costing coming at the range of maybe 0.8 crore per megawatt hour. And the project cost that we have mentioned, that comes to almost 1.2-1.3 megawatt per hour. So I mean, can the project cost actually go down? Because if you are awarding now and the battery prices have corrected in the last six-eight months?
You are probably very much correct. I think there is a bit of a correction which we have seen in the last six-eight months only.
What we have estimated at the cost which is going to be there under discovery which of the price which we are now negotiating at. So there is an upside chances that we would be having at least 10% upside in the margin front.
Okay. Yeah. That's helpful, sir. Thank you. And I'll come back to you. Thank you.
Thank you. The next question is from the line of Madhvendra Kumar, an individual investor. Please go ahead.
Yeah. Hello? Hello?
Yes, sir. You are audible. Please go ahead.
Sir, I want to understand one thing. How is this project worked? I mean, we have sold these projects. So are these projects completed, revenue good, and now we are selling it? So can you please help me understand how it works?
I can't understand you, sir.
Sir, the project that we are selling, means how these selling works?
Are these projects are completed and revenue has been booked? And now we are selling to release capital?
Almost. These projects are about 85%-90% completed. So once we have received the provisional completion into these projects, we have started, say, started this monetization process. So by the six months, within the six months, entire completion would be done. And we are completing. And by the time we complete, we will be getting the NOC, and we are going to sell it.
Okay. So they are sold after completing and booking all the revenues. Okay. Sir, and. I think we cannot sell without the completion.
Yes. Okay. Sir, and the next question is, do you think that execution and growth will improve from this quarter onward, ongoing quarter?
Execution big?
Sir, in the recent quarter, this Q1, I think there was a slight miss on execution front. So from Q2, will be.
No, no. Execution has been quite good as far as it's almost 13% plus. But it's only a problem. It's not an execution risk. It's only a margin dip which we have seen because of the better margin correction with over INR 40 crore, as I already have explained. Sir, our revenue and path is still low.
Thank you for your interview, Mr. Madhvendra. I will request you to rejoin the Q4 follow-up questions, please. Thank you. The next question is from the line of Shravan from Dolat Capital. Please go ahead.
Hi. Sir, to COD and cash is how much, sir?
I think I'm not having ready number for COD. I will ask my CFO to get back to you.
Okay. Okay. Got it.
Second, sir, the INR 7,100 crore revenue that we are looking at, so I understood whatever the balance, the projects where we are 70% plus kind of a completion is roughly 1,500 crore or 50 odd that we will be completing. We have already mentioned and four HAM projects, 1,000 odd crore, 1,700 crore we have done. So close to if I sum up around 4,300 odd crore is there. So just trying to understand the remaining projects where obviously Maharashtra one, we are saying we are not factoring any revenue. So then the main revenue likely to come would be Chennai, Tirupati, which is and Kosi Parikrama maybe, and maybe Bilaspur and Janakpur Railway. So if you can help us, not Bilaspur, the remaining railway projects, except the Bilaspur and Janakpur, how much more revenue we can likely to get in the balance?
We are expecting the entire completion would be done in DMRC Metro. The Bilaspur project would be 100% completed. Sonepat will pack up very fast now onwards because of the initial being a brownfield project. Same New Delhi Railway Station, we are expecting around INR 200 crore of execution within the year. It is around INR 1,100 crore of railway execution which we are expecting in nine months. Apart from this, there is a solar INR 500 crore which we already total will be done. Around INR 300 crore will be coming from BESS. This is put together, if you consider the new HAM, four HAM, where the funding is being declared around INR 1,200-1,300 crore. This is coming at about, say, even more than INR 5,400 crore, which is probably the number which is coming.
This is balanced, which will be done
in nine months. And then next year, as previously we guided, we will be doing INR 8,000 crore plus kind of a revenue in FY27.
Yes. That would be around INR 8,000 crores. Right.
Got it, sir. Thank you. And then sir, lastly on the CapEx front, last time we said nothing much CapEx in this year. And even not in for next year also would be very minimal.
So we are having almost very good growth. And we have the projects which we are almost completing. So this entire fleet of our construction equipment is free to be deployed. It's sufficient to about INR 8,000-INR 9,000 crores of project.
Got it, sir. Thank you. All the best.
Thank you. Ladies and gentlemen, we will take that as the last question.
I now hand the conference over to the management for closing comments.
So thank you for joining us today. And we have a strong year marked by solid financial performance and a growing order book. And a committed team. We remain confident of our continued success. And we're here to assist for any further queries. Please feel free to reach out to our IR advisor, Go India Advisors. Thank you.
Thank you. Ladies and gentlemen, on behalf of Go India Advisors and H.G. Infra Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.