Good afternoon, ladies and gentlemen. I'm Shishli, the moderator for the conference call. I thank everyone for joining us today for Ircon International Limited Q4 and FY 2026 annual conference call. Please note that this conference call is being recorded. At this moment, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. At that time, if you have a question, please press star and one on your telephone keypad. Today, we have with us the senior management represented by Mr. Hari Mohan Gupta, Chairman and Managing Director, Mrs. Ragini Advani, Director, Finance, Mr. Alin Roy Choudhury, CGM Finance and CFO, Mr. Ram Kumar Goyal, GM Finance, Mr. Sachin Garg, DGM Finance, Investor Relations. I would like to remind you that some of the statements that will be made in today's discussion may be forward-looking in nature.
It is subject to several risks and uncertainties, and actual results could materially differ. I would now like to hand the conference over to Mr. Hari Mohan Gupta, Chairman and Managing Director, for the opening remarks, after which we'll have the floor open for the interactive Q&A session. Thank you, and over to you, sir.
Thank you, ma'am. Good afternoon, ladies and gentlemen. I am Hari Mohan Gupta, Chairman and Managing Director of Ircon. On behalf of the entire Ircon team, I extend a warm welcome to each of you, and sincerely thank you for joining us today for our earnings call for Q4 and financial year ended March 31st, 2026. Now I request my Director of Finance to give a brief about the financial performance of the company. Over to Mrs. Ragini Advani, Director of Finance.
Thank you, sir. Good afternoon, everyone. I'm Ragini Advani, Director of Finance, Ircon. On behalf of my team, I extend a warm welcome to all of you, and thank you for your presence today at Ircon's earnings call for Q4 and year ended March 31st, 2026. Let me first introduce my team. I have with me Mr. Alin Roy Choudhury, our CFO, CGM Finance, Mr. Ram Kumar Goyal, GM Finance, in charge of compilation and accounts, and Mr. Sachin Garg, DGM Finance, taking care of investor relations. The company is facing a challenging environment marked by significant sectoral headwinds and intensifying competitive pressures. While these factors weigh on our margins as well as order book, we did manage to maintain the order book at about 2x of the annual revenue. We remain optimistic about the outlook and are implementing measures to strengthen our position.
Financial results as well as presentations have already been uploaded on the stock exchanges. I'm sure that all of you have had the opportunity to review these documents. Now let me take you through a glimpse of our financial performance for FY 2026. The company has reported total revenue of INR 9,502 crore in FY 2026 against INR 11,131 crore previous year. PAT of the company stood at INR 592 crore against INR 724 crore previous year. EBITDA margins remained in similar range, about INR 1,279 crore in FY 2026 as against INR 1,276 crore in FY 2025.
Core EBITDA margins in percentage terms have increased to 9.35% in FY 2026, an improvement of about 94 basis points over the last year. Earnings per share stands at INR 6.33 per equity share in FY 2026 as against INR 7.73 per equity share in FY 2025. Our face value of the shares is INR 2 per share.
Board of directors have also recommended a final dividend of INR 0.70 per equity share on the face value of INR 2 per share, subject to the approval of the shareholders in the ensuing annual general meeting. This is in addition to the interim dividend, which we've already declared of INR 1.20 per equity share and has also been paid in FY 2026. Order book of the company as at March 31st, 2026 stood at INR 24,984 crores, wherein 54% orders were on competitive bidding basis and the balance 46% were on nomination basis. If we were to split domestic versus international, 92% of our order book is domestic and 8% international. Ircon has 11 subsidiaries and seven joint ventures, as you all are aware. The subsidiaries comprise of SPVs for roads, highways, and renewable power company. The JVs mainly comprise of coal-related CPP projects.
Without taking much time, I would now like to open the floor for Q&A session. Thank you.
Thank you very much. We will now begin our question-and-answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use answers while asking a question. Ladies and gentlemen, we will wait for a moment while the questions are assembled. We take the first question from the line of Balasubramanian A from Arihant Capital . Please go ahead.
Good afternoon, madam. Thank you so much for the opportunity. Madam, first question under new Dedicated Freight Corridor from around Nandurbar.
Sorry, sir. Can you use the handset mode, please? The audience are not clear.
Currently, sorry, madam.
Your voice is breaking slightly. Yeah.
Okay. Ma'am, on that new dedicated freight corridor side, Nandurbar-Surat and 100 PM Gati Shakti cargo terminals are announced. Whether we shall build any of this, and what is the typical order size terminal?
Thank you, gentlemen. As far as dedicated freight corridor new project is concerned, it has just been announced. Since this is a mega project spanning from the eastern part of the country to the western side, the initial processing for calling the tenders takes some time, and the process is on in Dedicated Freight Corridor Corporation of India Limited. Once they are in the tendering mode, they will float the tenders, and then the situation will come for bidding. The entire industry is waiting for that moment. We have already executed one project of dedicated freight corridor in western sector. Certainly, our company has the credentials and capabilities, so as soon as that situation arrives, we will rise to the occasion. Thank you.
I'm sorry if I'm right, it's around INR 50,000 crore opportunity, right?
I'm sorry. Your voice is not clear.
Sorry if I'm right, it's around INR 50,000 crore opportunity, right, sir?
Exact cost of the corridor will be determined once the final alignment and the cost of the land acquisition according to the finalized alignment is known. Only it would be known that what is the total cost of the project. The initial time taken in preparation of the plan and profile and the costing is still yet to be frozen by the project authority. Whatever data you are saying may be an approximate value, which you might have heard. We are not aware about the exact value, which will be known only after some time.
Okay, sir. Sir, on that consolidated non-current financial liabilities increased from INR 4,750 crore.
Yeah.
Is this for our working capital or for new projects?
Can you talk, madam?
Yeah. You are saying on a console level?
Yes.
Yeah. Just a second.
Yeah, in INR 589 crores you are talking about?
No, sir, it increased from INR 4,750 to INR 6,300.
INR 4,750. Which one are you saying?
Can you repeat your question, please, once again?
No, sir. Actually, that non-current financial liabilities increased to nearly 33%. Is this because of the working capital or new projects?
Non-current financial liabilities have increased. Other financial liabilities have increased from INR 584 crores to INR 821 crore. I'm sorry, I haven't got your question yet. Ircon International.
No, ma'am.
Yeah. Repeat your question.
Yeah. No, ma'am, actually just what the.
I'm sorry. You're breaking up a bit. It's sounding up.
Finally, ma'am, can I talk with you?
Okay. Thank you. Next question is from the line of Vishal Selvaraj from PL Capital. Please go ahead.
Yeah. Thanks for the opportunity. Am I audible?
Yes, please.
Okay. Thank you, Ma'am. Ma'am, in terms of new opportunities, a couple of months back, there was a PIB release which talks about in FY 2026, we have seen almost a 100% increase in the railway projects which are sanctioned by government. Can you give some color, like, will this lead to a better ordering for the sector, and how exactly to look about it?
As per budget 2026, around INR 2.93 lakh crore funds have been sanctioned by Government of India. Huge and bigger projects in railways are in the pipeline. They are being floated. During 2025/2026, we could secure orders of the order of around INR 5,000 crore, and we bidded for 107. We submitted 107 bids for around INR 48,000 crore, and many of them are still under evaluation. The results would be known in time to come. We are aware about the new projects, working hard in that direction. It's a dynamic process. Since our domain expertise is mainly in railways, highways, bridges of any kind, so we are certainly looking to get some opportunity in that pie for ourselves.
Okay. Sir, can you give some color? In financial year 2026, what were the total projects that were awarded by Indian Railways and how much we could have secured?
No, how much were awarded by Indian Railways, that figure would not be available with us in the company, because that would be the domain of Indian Railways. They float the tenders for civil, for electrical, for signaling, some complex, some mechanical, some integrated. That figure I don't have right now available with me. We secured for around INR 5,000 crore in total for that financial year. Now I told you that 107 bids have been submitted for around INR 48,000 crore, which are mainly under still evaluation at different stages. We are hopeful that we should be successful in some.
Just to add on to this, basically, the railways, when they take out their tenders, there are multiplicity of the nature of transactions. One is, of course, they have coaches, sleepers, wagons, Vande Bharat, those kind of train sets. That itself is a significant amount for which they've been taking out tenders. There are station development tenders, and then there are certain CapEx which are rolled over, or there are increase in already sanctioned projects, which are taken also as a part of this limit, which sir was mentioning that in current year, the overall budget is about INR 2.39 lakh crores from government. There are new projects which could include doubling, new lines, expansion, electrification, some works of signaling and telecom, et cetera.
By and large, railways by itself has so many different domains and so many different kinds of tenders or orders that they're taking out. That data in detail would be available with them. Yes, whatever tenders we feel we are fit to bid, we do keep a track of them, and we do bid them as and when those opportunities come.
Okay. Maybe just little bit on this, when CMD sir said the new opportunities of almost more than INR 40,000 odd crore yet to be opened. In terms of the projects that we are bidding, is there any change in that thing? Earlier we were doing electrification, railway gauge change which is happening or probably new line which is coming. Are we going into manufacturing side also? Any color that can be provided?
Presently, we are into electrification, signaling, telecommunication, Kavach, civil engineering, tunneling, bridges. No manufacturing right now other than we are executing one project of installation of Kavach towers in Central Railway. Otherwise, there is no manufacturing type of work we are executing at the moment.
Okay. Sure. Maybe some of the bookkeeping question, if I can ask, sir. Order book, I think nomination will have largely a price variation clause. In competitive bid orders that we have, is there a price variation clause given spurt in the commodities in general that we have seen?
Yes, there is a formula which is given for the commodity. It is a standardized formula which is given in all bids because these are long duration gestation projects. That is there. Having said that, if one was to look at some extraordinary situations, like we have currently the impact on petrol and diesel as well as related products, those are things which probably don't get completely covered with those formulas. Then this is something which at a nation level, everyone is bearing with it, and to some extent, government are taking out circulars here and there. Like recently, Nhai has taken out some circular on bitumen. Otherwise, yes, the formulas are there in the contracts, irrespective of whether they're on nomination or on competitive bidding.
Okay. There is no fixed price contract that we have even in our competitive bidding?
No. There'll always be a formula for certain changes in the procurement side.
Got it.
In the increase in labor, yeah, costs.
Okay. In nomination also, the order book breakup that we provided, we have seen overall the change in the order book size. Will it be fair to say that this is largely a scope change, not a new order that we are receiving under this?
That's right.
Okay. Got it.
It is mainly a scope change and an increase in cost over a period of years, which is on the cost-plus projects.
Got it.
Ministry of Railways is not giving any assignment on nomination basis.
Okay, ma'am. In terms of cash balance, we have reported a decent cash of almost INR 4,200 odd crores. What will be our own cash excluding advances in this?
Our own cash is about INR 950 crores. The rest, as we mentioned, are either pertaining to specific projects or those are advances given from clients. Our own number is again to the tune of about INR 950 crores. Okay, got it, ma'am. In terms of CapEx and investments that we plan to do in FY 2026/2027, any color that can be provided?
Around INR 400 crore we will be investing in FY 2026-2027 on our SPV projects, mainly to road projects then coal connectivity railway projects.
We basically have our money blocked towards equity investments or quasi-equity investments that we do in our SPVs. The total requirement we anticipate is about INR 700 crore-INR 800 crore. The bulk of it will be spent in this year. As CMD mentioned, we are expecting about INR 400 crore-INR 500 crore to be spent in our PPP projects. We also expect some amount of CapEx within the company. Those would be our routine CapEx as well as some purchase of machinery. This we expect to be in the nature of about INR 50 crore-INR 60 crore. That is where our plan for using our cash is.
Okay. Maybe last two questions from me, ma'am. I think after a couple of years of weak order book, I think in FY 2026 we have seen an increase in order book vis-à-vis FY 2025. Given this as a background, how do you see our revenue going to be for FY 2027? Any ballpark thing that you foresee? Last two years we have seen a bit weaker revenue, how do you see FY 2027 for us?
FY 2027, we plan to kind of maintain the numbers that we have in FY 2026 on revenue because the order book that we have right now is almost about 2x of the revenue. Some of these orders may be spreading over the next two to three years and not be ending in this year itself, which is FY 2026/2027. Of course, if we get some good major orders in the beginning of this financial year, then we may have some changes, but as of now, the guidance would be similar levels as FY 2026.
Okay.
Sir, I request you to join back the queue, please, as we have participants waiting for themselves. Ma'am, thank you.
Yes, sir.
Next question is from the line of Gaurav Jha, Desh darshan Adventures. Please go ahead.
Hi. Am I audible?
Yeah. Please use your handset mode.
Yes. Am I audible now?
Yes, you are audible. Please.
Thank you. Thank you for the opportunity, sir. Sir, my questions are a bit on the order book side. What is the current order book and the execution timeline for the same?
Current order book is of the order of INR 25,000 crores. Some of the projects would be lasting for around 2.5 years, and some maybe maximum three years.
Yeah. Second question was on the international order book side. We haven't won any big order in one or two quarters lately.
Yes.
How does that scenario look like?
Yeah. As far as the international projects are concerned, we are presently executing project in Algeria and Myanmar, and Bangladesh also, and we are executing two projects in Nepal. Presently, some land is yet to be given by the government, otherwise, project is on. Yes, we are trying our best to get new orders abroad, due to the present turmoil going on in the entire world, especially the Gulf War, the sentiments are quite challenging, and they are having adverse impact everywhere because of the energy crisis and the increasing prices of the energy. We are trying our best to get some orders in African continent in the domain in which we have the expertise, and we are very hopeful that something should come out.
Great. Thank you so much. The third question would be on the margins front. Our margins have been in the range of 4.2%-4.57%. Are we expected to remain the same or do we expect it to go higher from here?
You're asking about the core EBITDA margins?
Core EBITDA margins, yes. Okay.
On standalone basis?
Yes.
Yes, our core EBITDA margins on standalone basis are expected to be in similar range because as we mentioned earlier also, that in EPC construction works, there are many competitors and the margins are getting stiffer by the day. In fact, some of the business going much below the estimate. At core EBITDA levels, we expect it to be in the range of about 4%-4.2%, but this is at standalone level. If we were to look at consolidated level, our core EBITDA levels are much better, the margins. On an overall perspective, I think the guidance would be more of PAT, and I think we would be able to maintain PAT at consolidated level in the range of about 6.1%-6.3%.
Okay.
Yeah.
Okay. Thank you so much. All the best. Thank you, ma'am.
Thank you.
Great.
Thank you. Next question is from the line of Sandeep Agarwal from Naredi Investment . Please go ahead.
Thank you. Thank you for the opportunity. Ma'am, during Q2 con call, we have given the guidance approx INR 10,000 crore-INR 11,000 crore for the current year. What is the reason behind the lower number?
It depends. For any construction organization, the revenue is directly related to the order book. Presently, order book is of the order of INR 25,000 crores. In the present challenging situation, very tough competition, geopolitical situation, despite our best efforts we are doing, the order book increasing is a little bit challenged. We are very hopeful because we have already submitted our bid for around INR 48,000 crores in India, 107 numbers, mostly under evaluation. The revenue and the profit, they are all related to the order book. Depending on the existing order book, we are anticipating the numbers which madam has told.
There are certain things in a construction company which is beyond us. For example, in these tasks that we have taken up of a project, we assume that the land and all the clearances would be in place, or they would come in due course. There are certain times or certain things which get unusually delayed even in the existing order book. We've also faced certain issues on some of our projects where the speed at which they should have got executed, they kind of reduced because of certain factors which are beyond the control of the company. Both these factors combined, yes, we had given a guidance of INR 10,000 crore-INR 11,000 crore revenue, but we are presently sitting in the range of about now INR 9,000 crore. There's been a dip slightly.
Great.
For the next year, the number is similar, approx INR 9,000 crore.
That's right. That is what I mentioned. Yes.
Okay. Just another one. As per your mention, we bid approx INR 41,000 crore orders. Ma'am, what is the success ratio as per the best estimates we can?
Gentleman, it's really very difficult in today's highly competitive market that what would be the success ratio, just to give you an idea that in 2023/2024, we could get around 5.7% of what we bidded in terms of value. In 2024/2025, we could get around 6% what we bidded, in 2025/2026, we got around 10% of what we bidded. Just an idea that, yes, but it's a hugely competitive market.
Yes.
Yeah.
Yes. Just last one. Our debt is approx INR 5,700 crore. What is the color regarding this? What is our plan to reduce it or maintain the same level?
You're talking about the debt, right?
Yeah.
At console level, actually, as we mentioned, we have eight subsidiaries and JVs, out of which I think 15 or 16 are PPP projects. PPP projects, we do a project financing, wherein typically the debt equity ratio could be anywhere between 70/30 to 80/20. All these debts are for PPP projects, not for Ircon standalone. These will be repaid over the concession period of these projects. These PPP projects are mostly in roads and highway sectors, and some of them are rail, coal connectivity rail projects.
Okay.
Wherever those debts are there, that is what is appearing in our books of accounts, and these will obviously get reduced over a period of time. This is at console level. If you see, this number doesn't appear at a standalone level.
Okay, ma'am. Thank you.
All right.
Thank you.
Next question is from the line of Rahul Sahu, an individual investor. Please go ahead.
Hello?
Yeah.
Hello.
Yeah, you're welcome.
Am I audible, sir?
Yeah, please.
Hello. Yes, good afternoon, sir. Yes. My first question is, we have taken working capital loan of INR 103 crore this year. What would be the tentative amount for next year? Can you throw some light on how operating subsidiaries are performing? Thank you.
Okay. We've taken a working capital demand loan this time of INR 103 crore as at March 31st, 2026. These are very specific loans that we've taken for specific working capital requirement of the project, which is mainly because of delay in some receivables. Once those receivables come, these WCDL loans get paid back. In fact, I think almost 50% of that loan has already been repaid back, and the balance is expected to be done soon. This is a very case-specific thing. It is not that we planned that these are the kind of working capital loan we'll take. If you would have noticed, we had good amount of receivables or debtor sitting in our books of accounts. Some of them were awaiting some client clearances, especially in cost-plus projects, and that is the reason we had to avail this WCDL.
Per se, it will really depend on a quarter to quarter and the way our clients pay up
I don't expect it to be a very significantly high number even for FY 2026/2027. That's your first part of the question, right? Hello?
Hello.
Rahul?
Hello.
Could you hear me?
Yes, sorry.
Yeah.
Yes.
I hope I've answered your first part of the question.
Yes. Thank you very much. I just have a last question.
Yeah.
Last question, how much amount is invested in subsidiaries and JVs in FY 2026? What is the investment plan for next financial year?
Invested about INR 3,000 crores already in our subsidiaries and JVs.
Okay.
We expect to have another INR 700 crore-INR 800 crore, as I mentioned. Out of which about INR 500 crore-INR 600 crore we should be doing in the current year.
Okay, ma'am. Noted. Thank you very much.
All right.
Thank you. Next question is from the line of Nikhil Thakur, an individual investor. Please go ahead.
Hello, am I audible?
Yes, please go ahead.
Congratulations to you for the good set of numbers. My first question is our operating revenue from international project has increased substantially. Comparatively from the Q4, what has impacted our operating revenue? What factors have made it increase?
Our operating revenue in international as our CMD sir mentioned, we are currently operating in Algeria and Myanmar, and we've just finished a project in Bangladesh, and we are doing little bit of work in Sri Lanka, Nepal, and Malaysia. Because we completed the Bangladesh project, so some of our profits come from there because these are long gestation projects. It's only towards the closure that we get to know what it is. The second is that, yes, in all our international projects, these are mainly denominated in foreign currencies, and therefore, we've also had an advantage in the foreign exchange earnings that we've had. The third is that typically international projects tend to give us more profit margins, and some of them, over the period of time, have improved in their profitability, especially Algeria.
All these have contributed to a better profit number on the international side.
The efficiency of the people working on those projects, that is the culture of the company. That also is very important to save on unnecessary expenditure.
Noted. My second question is, as profit from JVs has increased compared to in FY 2026, can you give us any guidance for how it will be for the next years?
Yeah. In our JVs, if you remember, we had mentioned earlier also that one of our joint venture companies, which is Rail Connectivity Project CERL. The phase I of that project was giving us massive losses. I won't say it's turned into profit, but the losses have declined substantially, and they're expected to further go down over a period of time. We expect it to break even in next two years. That has contributed to the overall JV profitability. One of our other JVs which you're aware, which is Ircon Soma Tollway, that has been giving us good profits for the last few years. Of course, the concession period is ending this year, and this is something which will probably go from our balance sheet now.
We do expect some of our other projects, JCRL, NCRL, and CERL, to start giving us lesser losses or at least start getting into the break-even position. Overall, the share of JV profit going forward, because we will not have ISTPL also next year, should be in similar ranges, about INR 70 crores-INR 80 crores. Nikhil, does that answer your question?
Yes, ma'am. Thank you for taking my question.
All right.
Thank you.
Take care.
Thank you.
Before we take the next question, we'd like to remind participants, to ask a question, please press star and one on your phone. Next question is from the line of CA Akash Dhanuka, an individual investor. Please go ahead.
Good afternoon, sir and ma'am. There is a small question with respect to the West Asia crisis that's going on. There's a skepticism within the investor community that because of this war, the balance sheet of the Government of India is under stress, and this might well take the infrastructure projects on the back seat. Do we run a risk of this INR 9,000 crore revenue getting breached this year?
As far as India is concerned, India is very strong. The honorable Prime Minister of India is very focused. The entire government is very focused that come what may, the infrastructure of the country has to improve substantially. Everything is being done by government to ensure that the pace of execution of projects does not get affected. They are trying their best, like Nhai has also issued one clarification and help to the road construction agencies in the form of giving extra amount of money based on the increased rates of bitumen because of the Gulf crisis. Yes, energy crisis has been created due to this Gulf War.
Government is trying their best to minimize the impact of this crisis. I do not personally see any major negative impact on the infrastructure growth or the sector as such, because I feel it is a temporary phenomenon and the country, the people of the country, the system of the country, the culture of the country is so robust that we will win over this situation and this crisis.
To add to this, see, whatever turnover we are expecting next year, most of it would come from our existing order books. When you take an order, typically, by the time you take an order and you start working on it, the kind of turnover it will give you is probably almost in the range of 5%-7% initially of the new order secured. We will wait and watch. Having said that, whatever government has already announced as projects and the schemes that they're doing, also, there are a lot of projects which would be coming from PPP. From a short to midterm perspective, we don't see that impacting us. As you said, it will really depend on how long this crisis will continue, and we will accordingly be judging our change, if any, in the turnover as well as revenue guidance.
As of now, we are confident that it should not impact us immediately.
Okay. Thank you, ma'am.
All right.
Thank you.
Thank you. Next question is from the line of Gaurav Jagirdar, an individual investor. Please go ahead.
Thank you once again for taking my questions. I just have one question. There have been news in the media, I don't know how true it is, but can we see any merger between Ircon and RVNL going forward?
Gentlemen, we as the company do not have any official information about the merger of these two companies. Whatever information you have seen in the media or the press, that information is with us, but no official communication from the government to us at all.
Okay. Thank you so much. That's all from my side.
Thank you. Ladies and gentlemen to ask a question please press star and one on your phone now. We have a question from the line of Sandeep Agarwal from Naredi Investment . Please go ahead.
Yeah. My question is, as for the current crude prices and other type inflation, how much particular infra project cost increase from on year to year basis or six-month basis?
Can you please repeat the question? Your voice was not very clear, so we could not understand the question fully.
Yeah. Just I want to know the impact of the price increase in various commodities. Can we calculate, quantify how much the cost increase on a year-to-year basis or from the last six-month basis?
I will put it this way that all the infra projects which we are executing and the mega projects or the bigger projects, they do come with a price variation formula and depending on the indices being published by Government of India for various commodities.
Yeah.
Price increase gets compensated through this PVC formula to a reasonable extent, except the situations like war, which is presently going on. Government is doing their best, whatever they can do, and it's a challenging situation. Yes, there are some items or some situation may come when the actual increase in the cost may not get compensated fully with the price variation formula. Keeping that in mind, Government of India, the Road Ministry, has already issued a clarification and a help to the contractors that the abnormal increase in the price of the bitumen is being compensated by the ministry.
As of now, for our projects, we do not foresee this to have a significantly adverse impact going forward.
No, just I understand. Ma'am, just I understand that we have price escalation clause and not fully impact us. Just that I want to understand what the project cost increase due to this current situation, year-on-year basis.
That would be known only because the impact would be known after some time. Price variation formula, the publishing of indices. It's a dynamic process. Every month, the Government of India publishes the indices.
Yeah.
Clear cut answer would not be coming right now. It will take some time.
Okay. Thank you.
Thank you.
Thank you. Ladies and gentlemen to ask a question please press star and one on your phone. Participants who wish to ask a question may press star and one.. Next question is from the line of Vishal Selvaraj from PL Capital. Please go ahead.
Yeah. Thanks for the follow-up. Though I think it is clarified in terms of EBITDA margin trajectory for FY 2027, I think historically we have been getting 6% and maybe upward of 7%. Based on the new work that we are winning, is it fair to say probably the margins will be in the range of 4%, 4.5%, or probably there are certain orders which are low margin, and once they get concluded, things could be better in FY 2028? Any color that can be provided?
Vishal, as I mentioned on a standalone Ircon balance sheet, as you rightly said, we are quoting at very competitive prices. There has been a shrink in margins overall in the industry, which we had explained over the past two years as well. Therefore, to be realistic, we would say that it would stay in the level of 4%, 4.5% at core EBITDA level on a standalone basis. At a consolidated level, because we have invested in PPP projects and we are getting decent margins there, that is where we are joining up or I would say equalizing this negative to some extent and coming at the levels of about 9% at core EBITDA levels. Overall at the PAT level, therefore, we continue to be still at 6.1%-6.3%.
Therefore, yes, at a standalone project level basis, our core EBITDAs are expected to face a dip, but at a company level basis, at PAT levels, the dips are not expected to be that much.
Okay. Sure, ma'am. I think this is helpful. Thank you so much.
All right. Thank you.
Thank you. Ladies and gentlemen to ask a question please press star and one on your phone now. As there are no further questions, I would now like to hand the call to the management for closing comments. Over to you.
Thank you, ma'am, for moderating the call. I would also like to thank our shareholders, business partners, analysts, investor friends, who have shown continued faith in us and supported us throughout this journey. We would also be happy to connect with any and every one of you on a one-to-one basis as and when required for any queries, clarifications, and take it forward. I conclude today's call and thank you for the active participation. Thank you once again.
Thank you.
Thank you, members of the management team. Thank you all for being part of this conference call. If you need any further information or clarification, you may contact Mr. Sachin Garg or email at sachin.garg@ircon.org. Thank you for joining us.
Thank you.