Ladies and gentlemen, good day and welcome to PNC Infratech Limited Q1 FY 2027 earnings conference call hosted by IIFL Capital Services Limited. As a reminder, all participant lines will be in the listen only mode, and there will be an option for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involve risk and uncertainties that are difficult to predict. I now hand the conference over to Mr. Mudit Bhandari from IIFL Capital. Thank you, over to you.
Thank you so much, Neeraj. Good afternoon, ladies and gentlemen. On behalf of IIFL Capital, I am pleased to welcome you all on the PNC Infratech Limited first quarter FY 2027 earning conference call. We have with us the Managing Director of the company, Mr. Yogesh Jain, along with the senior management team. We will begin with the opening remarks from the management, followed by a question and answer session. Thank you, over to you, sir.
Good afternoon, everyone. On behalf of PNC Infratech Limited, I extend a very warm welcome to everyone for joining us today on this call. Today, I have with me Mr. T. R. Rao, Director, Infra; Mr. Pankaj Agarwal, Vice President, Finance and Accounts; and Strategic Growth Advisors, our Investor Relations Advisors. The financial results and investor presentation have been uploaded on the stock exchange and the company website for your reference. I would first like to share the key development across the industry with you, followed by operational updates of the company and highlights of the financial performance during the quarter ended 30th June 2026, post which we will be happy to answer your questions. In the highway sectors, NHAI project awarding activity remained subdued in Q1, financial year 2027 also. With only 107 km awarded, execution also moderated to approximately 640 km.
This slowdown was primarily driven by a weak award pipeline and continued geopolitical tensions. We expect the pace of awarding to improve going forward, supported by healthy pipelines of projects. Recently, NHAI launched 54 highway and express projects for an estimated aggregate value of around INR 1.8 lakh crore for bidding over the coming two to three months. The identified pipeline comprises 26 EPC projects, 21 HAM projects, and 7 DBFOT toll-based projects across the states. A balanced mix of projects with sizable value is expected to create opportunities across different implementation formats for both fund-based and non-fund-based highway developers. Government also continues to make steady progress in expanding India's high-speed highway network and other sectors also.
A cumulative 10,389 km of national highway speed corridor have been launched across the country, out of which 4,809 km have already been completed, while 5,580 km are currently under bidding and implementation. Beyond highways, we are seeing significant opportunities emerging across other sectors. Continued government focus on highways, railways, metro rail, freight corridors, power transmissions, renewable energy and storage, mining, airports, water resource developments, including drinking water supply and urban developments, provides confidence in the sustained growth opportunities for well-stabilized infrastructure companies with strong execution capabilities, proven expertise, and financial credibility. Railways continue to robust project pipeline as the government endeavors to strengthen railway infrastructure through both budgetary support and investments in capacity expansion, station redevelopment, and freight connectivity. The proposed expansion of PPP-led rail projects, including HAM-based development akin to highway development, is expected to create broader opportunities for experienced highway infrastructure developers.
Similarly, the power transmission sector is expected to witness a capital expenditure to the tune of INR 6 lakh crore over the next five financial year, driven by the government's plan to strengthen the transmission network and facilitate the acquisition from over 900 GW of non-fossil fuel capacity, including solar, wind, and hydro, by financial year 2035 to 2036. This is expected to drive significant investment across transmission, energy storage, and associated infrastructure, creating robust long-term opportunities for infrastructure developers. Water infrastructure continues to offer significant medium-term opportunities as Jal Jeevan Mission II already achieved remarkable progress with functional drinking water tap connections reaching 82% of rural households as of July 2026, up from just 17% in 2019. While highways remain the primary focus, we continue to identify and pursue increasing opportunities across the above-mentioned sectors to expand our business landscape for driving sustainable growth going forward.
With the objective of building a more diversified and sustainable order book. Coming to recent updates on the company. In May 2026, the company received letter of award from Lucknow Development Authority, Uttar Pradesh, for construction of four-lane flyover on EPC basis. The project is valued INR 194 crore and is scheduled to be completed within 24 months. In May 2026, PNC Infratech JV received the letter of acceptance from Uttar Pradesh State Bridge Corporation Limited for construction of four-lane major bridge over Ganga River connectivity Trans Ganga City to Kanpur City on EPC basis. The project is valued at INR 559.5 crore and is scheduled to be completed within 36 months with a 50/50 participation ratio between the JV partners.
In May 2026, the company received INR 234.99 crore from NHAI in terms of the one-time settlement agreement executed with NHAI regarding Agra bypass EPC project arbitration award under the Vivad Se Vishwas Scheme III. In 2026, the completion certificate was received for a HAM project, Prayagraj Kaushambi Package 3, with effect from 20th June 2026. Concession agreement signed with NHAI on 16th July 2026 by two new SPV incorporated by the company named the Barabanki-Mustafabad Highway Private Limited and Mustafabad Biswariya Highway Private Limited for implementation of two new HAM projects secured by company in the first quarter of current financial year. In July 2026, company received letter of intent from Airports Authority of India for EPC work of Pantnagar Airport in Uttarakhand. The project is valued at INR 302 crore and is to execute in 24 months.
On 31 July 2026, an arbitration award of INR 244 crore was published in favor of company in connection with an EPC project, upgradation of Sonauli to Gorakhpur section on NH-29E, executed for UPPWD. Moving on to the operational and financial performance of the company. Company's 17 fund-based project portfolio comprise one BOT toll project, two BOT-Annuity projects, and 14 HAM projects. Aggregate bid project cost of 14 HAM projects is over INR 17,200 crore. Out of total 14 HAM projects, six projects achieved PCOD and COD, five projects are under construction, one project of MPIDC for which financial closure documents submitted, two project concession agreement signed, and process of financial closure gets underway. Total equity investment requirement for the HAM project is INR 1,623 crore, excluding two newly awarded HAM projects, for which financial closure is to be achieved.
Till June 2026, company already infused INR 1,187 crores, and the remaining equity of INR 436 crore is to be invested over next two years. The internal accruals that would be generated over the next two to three years should be adequate to meet the above equity investment requirement. Company's unexecuted order book stands at over INR 19,100 crores, providing healthy revenue visibility, which includes value of two new HAM projects secured in April 2026, one major bridge project and one flyover project in May 2026, and one airport project in July 2026. Highway contracts contribute 64% of total unexecuted order book, while water, canal, railway, and airport contracts contribute around 21%, and coal mining contract contributes about 15%. I would present the results for quarter ended 30th June 2026.
Stand-alone revenue for the first quarter of financial year 2027 is INR 1,518 crore, which is higher by 34% as compared to INR 1,136 in the first quarter of financial year 2026. Stand-alone EBITDA for the first quarter of financial year 2027 is INR 375 crore, which is higher by 167% as compared to INR 141 crore in the first quarter of financial year 2026. Standalone EBITDA margin for the quarter is 24.7%. Standalone profit for the first quarter of financial year 2027 is INR 271 crore, which is higher by 235% as compared to INR 81 in the first quarter of financial year 2026. Standalone PAT margin for the quarter one of financial year 2027 is 17.8%. Moving on to the consolidated results.
Consolidated revenue for the first quarter of financial year 2027 is INR 1,688 crores, which is higher by 19% compared with INR 1,423 crore in the first quarter of financial year 2026. Consolidated EBITDA for the first quarter of financial year 2027 stood at INR 524 crore, which is higher by 42% as compared to INR 367 crore in the first quarter of 2026. The EBITDA margin for quarter one of financial year 2027 is 31%. Consolidated PAT is INR 332 crore. The PAT margin for quarter one financial year 2027 is 19.7%. On a standalone basis, our net worth as on 30th June 2026 is INR 6,884 crores, whereas standalone debt from banks, financial institution is INR 428 crores, excluding ICD. This translates to debt-to-equity of 1.07 x excluding ICD. Total cash and bank balance, including current investment, is INR 1,046 crore.
We have a net cash surplus of INR 133 crores as on 30th June 2026. Our consolidated net worth as on 30th June 2026 is INR 7,147 crore, whereas total debt is INR 5,448 crores. This translates to debt to equity of 176 x. The total cash and bank balance, including current investment, is INR 2,870 crores. With this, we now open the floor for question answer. Thank you.
Thank you very much. We'll now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchtone 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. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Participants, you may press star and one to ask the question. The first question is from Shravan Shah from Dolat Capital. Please go ahead.
Yeah. Thank you, sir. Sir, before asking the question, just to get a clarification, though we have announced on the exchanges, but for the benefit of everybody, just wanted to clarify again a couple of things there. Is there any timeline in terms of the Lucknow, Kanpur? When can we have an idea whether will there be any kind of a non-performer, we will be declared a non-performer, or are we going to be banned for bidding? First is the timeline, and let's say, if in the worst case, if the non-performer or ban comes, will it be for one month, three months, or four months? Any indication on that? That is one. Second, if it is the case, will it also lead to a kind of a bidding ban at the UP state level?
What we understand there are close to INR 10,000 crore kind of projects will be there before the election. That will be the case for us or not. Lastly, in terms of how much cost that we have to incur to repair this thing, and will it be at a standalone level or at a subsidiary level? Is this only the repair and for the toll loss or net in terms of the financial impact as on today, how much one can see the financial impact, and will it be at a standalone or at a subsidiary level?
Mr. Shah. This will be now at this stage, whatever we had informed to the exchanges, we don't want to say any further material thing, because the issue is still under consideration by NHAI, and we are also submitting our reply to the notices issued by NHAI. Anything about whether they will pass any order of non-performer or otherwise debarment is completely speculative and hypothetical at this stage. Once we submit our reply to them and followed by the due process, the decision will be taken by NHAI, which we can't speculate as of now whether any precipitate action will be taken against the concessionaire.
Given the fluidity of the situation, we don't want to comment anything regarding our bidding, and also whether we'll be able to bid for the future projects, including projects in Uttar Pradesh being floated by UPEIDA. We hope that you understand the sensitivity of the matter, and we don't want to share anything beyond what we're informed to the exchanges.
Got it, sir. Now, in terms of the guidance that we have last time given, the kind of INR 6,000 crore revenue for this year, FY 2027 and INR 7,500 odd crore for next year, FY 2028. Also on the margin, 12% and the order inflow INR 15,000 odd crore against, I think, close to INR 5,900 crore already received. Any change in the guidance?
No. As of now, we are not contemplating any change in the guidance what we had given during the last con call. We are maintaining the same guidance. We received five new projects during the current financial year. We expected to secure a total new business worth of INR 12,000 crore-INR 15,000 crore in FY 2027. The guidance of INR 6,000 crore for FY 2027 and the guidance of INR 7,500 crore in FY 2028, and we want to maintain the same mix.
Okay, great. In terms of the two new projects, particularly this Barabanki -Mustafabad, when can we see the appointed date for that? Broadly, in terms of the equity, it would be close to INR 490 odd crore that we would be investing in there.
The concession agreements for both the projects we executed with NHAI on 16th of July. Post that, we have a five months, 150 days time to achieve the financial closure, parallelly, NHAI will fulfill their contractual obligations and conditions precedent of providing 90% of the land. Post that, the appointed date will be declared. We expect timely achievement of financial closure, also we expect timely provision of the vacant land for construction within the respective timelines, appointed date will be declared timely, and we will commence the physical execution accordingly. With regard to investment of equity, once we achieve the financial closure, we'll able to know the exact percent figure of the equity amount. It would be around the same amount what you have mentioned, in the similar range.
Got it. The Pantnagar Airport and Bhopal Bypass AD, that will be there by this quarter, Q2 itself or?
Pantnagar Airport, we expect this will be done during the current quarter, that is before end of September 2026. Whereas in the case of Bhopal, now there are some changes in the scope.
Western Bhopal .
That we expect the quarter three, third quarter before the end of current calendar year.
Okay. Lastly, sir, balance sheet items, if you can help us. Inventory, trade payable, and debtors.
Hello. Shravan. Hello.
Yes, sir.
Tell me, inventory is INR 847 crore.
Yes, sir.
Debtors is INR 1,900 crore.
INR 1,900 crore. Okay. Trade payable?
Trade payable is INR 680 crore.
INR 680 crore. The mobilization unbilled and retention?
Mobilization advance is INR 178 crore.
Okay.
Retention is INR 295 crore.
Okay.
The total unbilled as on 30th June is INR 436 crore. Sorry, INR 462 crore.
Okay. HAM debtor and water debtor, more?
Please note, HAM debtor is INR 479.
INR 479.
Water debtor is INR 925.
Okay. Got it, sir. Thank you, and all the best.
Thank you. Next question is from Balasubramanian A. from Arihant Capital. Please go ahead.
Good afternoon, sir. Thank you so much for the opportunity. Sir, water order book is around INR 2,310 crore. I think the progress appears slowly, around 66% completion. Can you provide more granular timeline for the completion and recognition of these projects?
In case of rural drinking water supply, at the beginning of the current financial year, the opening order book, unexecuted order book was INR 2,310 crore. Out of that, we had executed INR 136 crore worth of value of the work during the first quarter. Remaining around INR 2,180 crore balance is there, which we expect to execute next two financial years as the Government of India has extended the implementation of Jal Jeevan 2.0 till December 2028. Because there has been a paucity of funds at a state level as well as the government delay in the release of funds by the central government. Around INR 741 crore, excluding GST, has to be released from the government as and when.
We expect these funds will be released in the coming months, because the state government is very actively pursuing release of 50% subsidy from the Government of India. We expect release of these funds and be able to release the substantial amount out of the INR 741 crore. Accordingly, we'll expedite the progress.
Okay, sir. Sir, this net working capital, it's around 110 days. It's because of JJM, when we can expect significant improvement on net working capital side? Secondly, what is the current receivable for the Andhra Pradesh irrigation projects?
Andhra Pradesh Irrigation Project, we have executed and done the invoicing for INR 416 crore excluding GST. Out of INR 416 crore, we have received INR 263 crore excluding GST. As of now, the receivable is INR 153 crore. The budget for INR 94 crore has been released by the state government last month. We expect release of this amount within next one week to 10 days. The receivable will further come down. It will come down to somewhere around INR 60 crore.
Okay, sir. The net working capital days side, sir?
Net working capital days as on 30th June is 110 days. Definitely if we receive the fund from water and the canal project, definitely it will be reduced significantly.
Okay, sir. Sir, my last question, we are diversifying into solar, BESS, and mining side. Earlier also, we have guided INR 1,000 crore revenue target and by FY 2027 or FY 2028 and another followed by INR 2,000 crore revenue. How do you look at our strategic point of view on the diversifications, and how do you look at our revenue mix in the next three to five years timeframe?
In case of solar project, the project what we intimated, the EPC component would be around INR 2,000 crore. The land we have identified in the state of Madhya Pradesh and around more than 300 acres of land has already been finalized, and the lease deeds have been finalized. We are in active mode of acquiring, taking lease on the remaining land, which we expect to be completed in next four to five months. Simultaneously, we also taken up with the potential buyers of the power, with two states. We expect this PSA, power sale agreements, will be executed between NHPC and the buyers and subsequently PPA will be executed. Then post that, the detail engineering based on the land configuration and layout, then followed by the procurement and execution. We expect in the fourth quarter, some revenue from this particular project.
Got it, sir. Thank you.
Thank you. Next question is from the line of Vaibhav Shah from JM Financial Services. Please go ahead.
Sir, firstly on the Kanpur-Lucknow thing, have we received the show cause notice from NHAI?
Pardon?
Have we received the show cause notice from NHAI?
Yeah. They issued show cause notice to the concessionaire.
Okay, to the SPV.
Concessionaire being the our SPV.
Okay. Sir, secondly, what would be the cash in PNC Infra Holdings as of June?
The cash and bank balance sheet in the standalone balance sheet Infra Holdings. Around INR 1,100 crore.
Okay. Sir, out of the debt of INR 900 odd crore, what would be the ICD portion?
ICD is INR 485 crore.
Why has the debt increased so much in 1Q?
Actually, the debt is increased due to we have taken the term loan for machine financing. That's why the term loan is increased.
Sir, we have so much amount of cash, why are we taking term loan for machinery?
Actually, this is a strategic decision. The loan is to be repaid in the next four to five years, we have maintained the liquidity in our company.
Okay. Sir, we saw that interest costs have significantly come down in Q1 to almost INR 20 odd crore from INR 30 in Q4. Incrementally, what will be the quarterly run rate?
The quarterly run rate will be in the range of INR 20 crore.
Okay. We expect your debt to come down from INR 900 crore?
Yes, definitely. Debt will be come down.
Okay. Sir, secondly, if you look at the equity infusion, what would be the amount in 2027 and 2028? The number I missed for two new HAMs will be INR 490 crore equity requirement?
No, equity requirement is INR 436 crore, excluding the solar and the two new HAM projects. Out of that, we are intent to invest in FY 2027 is INR 226 crore, the balance will be in next year.
The amount for two new HAM would be around INR 490?
INR 490 crore.
Sorry?
INR 400 and?
No, it will be around INR 400 crores because two HAM projects put together is INR 3,483 crores. It will be around INR 400 crores.
INR 400 crores.
The infusions would happen sometime in 2028 and 2029?
Mostly, in 2027 we will infuse marginally, but majorly it will be invested in financial year 2028 and 2029.
Yes.
Okay. Sir, what revenue are we targeting from JJM and irrigation individually for 2027 and 2028?
Irrigation project, we are planning to complete the irrigation project in FY 2028. That is our target, provided we will get the timely payments from the Government of Andhra Pradesh.
Okay. What will be the revenue in FY 2027?
We have targeted for 2027 is INR 150 crore for AP canal project.
We should be able to achieve the same because.
Remainder INR 600 crore in FY 2028 if the payments are in place?
Yes.
Okay. Sir, on JJM?
JJM.
JJM, we are expecting around INR 700 crore-INR 800 crore in the current financial year, FY 2027, and around INR 1,000 crore in FY 2028. Any residual amount will be there, that will be like release for commissioning and testing kind of a thing, that we will get it in FY 2029. The whole project will be completed before end of calendar year 2028.
Okay.
2028. The government extended up to December 2028.
Okay. Sir, lastly, on the tax rate, it was on a higher end at 27% in Q1. For the entire year, what could be the number?
The number will be in the range of 25%-27%.
Okay. Sir, CapEx number for Q1 and entire year?
CapEx for the entire year is targeting INR 150 crore.
What will be during Q1?
Around INR 70 crore we have purchased the machinery.
Okay. Thank you, sir. Those are my questions.
Thank you. Next question is from the line of Archit Agrawal from Steptrade Capital . Please go ahead.
Hello. Hello.
Yes, Archit, go ahead.
Hello. Yes. My question is, in last quarter, the order book was INR 22,000 crore.
Archit, sorry to interrupt. Can you speak through the handset, please?
Hello. Hello.
Yeah, go ahead.
My question is, in the last quarter, the order book was INR 22,000 crores, whereas in this quarter, the order book is INR 15,000 crores. Can you give the reconciliation of this?
Last time what we had mentioned, INR 22,000 crores, that includes the new two HAM projects that we had secured in the first quarter. If you kindly recall our MD speech.[inaudible]
INR 19,000.
INR 19,600 crores order book we have mentioned now.
Okay.
INR 19,100 crores.
INR 19,000 crores
INR 19,100 crores we have mentioned in the speech.
Reserve is INR 2,200. This INR 19,100 includes two Barabanki, Mustafabad to Biswariya HAM projects, and Pantnagar airport, bridge over Ganga, and LDA flyover.
Okay. Okay, sir.
Thank you. Next question is from Sarvesh Gupta from Maximal Capital. Please go ahead.
[inaudible Sir, Kanpur Expressway. I understand that you may not want to comment on the correspondence with NHAI and their stance towards company. In terms of our own assessment of the situation of this particular road, initially there were these news items that a 300 m section was having trouble. Later on, we have also seen news items where it is said that several other parts of the roads are also having problem. We have also read somewhere that there is a INR 42 lakh per day penalty because of the closure of the toll collection from NHAI towards our company. Can you comment on what has been our finding on the condition of the road? What is the extent of the problem? How many months would it take to solve them, in terms of repair and maintenance work?
On this INR 42 lakh per day payment that we have read on the news.
The first thing, whatever the stages and isolated locations that have been affected due to torrential rains, the project has experienced during the month of July. These are the routine maintenance activities. The concession agreement envisages there will be, in case of any defects or deficiencies, same need to be repaired and rectified. This is as envisaged in the concession agreement. It is nothing like any uncommon phenomena that has happened. It is a very common phenomena there in the highway projects. In case of rains, there could be some kind of a maintenance requirements, and which we are attending. We don't want to comment on the media speculations and the rumors, that which regions best known to them, could be understandably for sensationalism. These things are blown out of proportion.
We are going by the contract conditions, and we are in the process of replying duly to the NHAI's notice what they have issued. With regard to loss of toll and opening the highway without collecting the user fee, it is the NHAI's own decision, but it will be governed by the provisions of the law and provisions of the concession agreement. We don't want to comment on that. We reserve our position on that. Because the loss of toll is the decision by the NHAI. The rebates, again, contract stipulates the timelines for the rebates for any emergency kind of thing, which they start with 24 hours, 48 hours, and up to 180 days' time will be there, which where there is a major observations and major rectifications to be done.
We are following these timelines, whatever timeline stipulated in the contract, under Article 17 and Schedule K, we are following them, and we are completing the necessary repairs and rectifications within the given timelines.
Is there any sense on this timeline? I understand that there is a contract period. Given our own assessment of this newly constructed road, which has been built by ourselves, what is your assessment as of now? How much time it will take for you guys to complete the repair and reopen the toll collection?
Testing etc. is going on. By this month, everything will be cleared.
This month means you will be able to complete it in August? [Non-English content]
. [Non-English content]
Okay. Secondly, sir, on the current pipeline, which you are bidding, if you can give some sense on the pipeline of how much we have bidded for already and how much we are planning to bid in the road segment.
See, there are 24 bids, which we had already submitted, which are under evaluation, their financial bids are yet to be opened. Total 24 comprises 16 EPC bids and 8 HAM bids. If you see the sector-wise breakdown, it is 10 HAM projects of NHAI and MoRTH, eight railway projects, two coal field projects, and remaining projects of PFC, TPCB, UP Metro, LDA, and other clients. These 24 projects where we had already submitted our bids, at a value of INR 32,000 crore. Apart from that, we identified another around 78 projects, which are to be bid for next two to three months for a value of INR 1.7 lakh crore. These bids also comprise HAM projects, EPC projects, and also TPCB and DBFOT projects. This is the pipeline. You can say around INR 2 lakh crore project pipeline we are pursuing.
Okay, sir. Thank you, sir, all the best.
Thank you. Bye.
Thank you. Next question is from Vasudev Ganatra from Nuvama Wealth Management. Please go ahead.
Yeah, thank you for the opportunity. Sir, for the solar and mining projects, what is the total equity requirement, and what kind of revenues can we look for in FY 2027 and 2028 in these two projects?
Equity requirement. The total equity requirement estimated for solar project is INR 400 crore.
Okay, for mining project?
Mining project, since this is an EPC project, there is no requirement of equity in this project.
Okay. What kind of revenues can we target in FY 2027 and 2028?
For coal project, we are targeting INR 500 crore for FY 2027 and INR 500 crore same in FY 2028.
Okay. For the solar one, you said that in Q4 we can see some revenue. What could that be in an FY 2028 then?
Solar, as mentioned, we are planning to start the work in the quarter four. For FY 2027, it is difficult to achieve more revenue in the solar project. It will be completed in FY 2028 and FY 2029. We'll be achieving more than INR 1,000 crore in FY 2028 and the remaining in FY 2029.
Okay. Sure, sir. If you could help me with the toll collection numbers for this quarter.
Please note down. The toll collection for MP Highway is INR 13.8 crore rupees for this quarter.
Okay.
The Narela project is INR 3 crore.
Okay.
For Raebareli-Jaunpur, Raebareli, is INR 32 crore.
Sure, sir. That's it from my side. Thank you.
Thank you. Next question is from the line of [inaudible] from Ambit Capital. Please go ahead.
Hello, sir. I just wanted to understand on the Pune Ring Road project, are there any execution challenges that you're facing? Because you've only done about INR 75 crores of revenue in this quarter. Hello?
Pune Ring Road project is going on as planned, because this project has got both precasting of the segments followed by execution of work at site. It has got specific milestones based on the physical execution at site. This is cyclical. Whenever we do the casting of the segments, we won't be billing. Whenever these segments are erected at site, billing cycle will be there. It's a bit fluctuating. Overall, we should be able to complete this project within the stipulated time of three years. We don't foresee any n o major challenges. Despite the challenges.
Okay, what is the expected revenue for this project in FY 2027 and 2028?
This strategically is not available. We will share with you.
Okay, got it. On the mining project, even there, the execution was pretty low this quarter. Is there any reason for that?
See, in the mining, because the project proponent, Adani, has to provide us very encumbrance-free and encroachment-free land. Unfortunately, the entire land was not provided, and even the land parcels what they have provided are in discontinuous manner. Also, there are some resistance by the local people. These are the teething issues, teething problems we had faced. Now the things are becoming normal, and it is getting streamlined. Recently, we deployed two brand new surface miners. The progress is getting expedited. Going forward, we don't foresee. We should be able to achieve around INR 500 crores overall revenue in the current financial year, and similar kind of revenue in the next financial year. We should be able to complete project within the five years time frame.
Okay, got it. One last thing. On the working capital, your working capital days have improved compared to last quarter. Any particular payment benefit that you've seen coming in this quarter that has led to the improvement?
Since the payment from the Maharashtra state and as well as in the water sector, we received the payment in this quarter. Hopefully this working capital cycle will be improved in next quarter also. Government of Uttar Pradesh, SWSM started releasing payment for the water projects for the work we had already done. Steadily we are getting payment from the SWSM Lucknow. Similarly, in the irrigation project also, we are expecting a payment of INR 94 crores during the current month. Going forward in the second quarter, the working capital cycle would improve.
Okay. Sorry, sir, by water you mean the JJM project this quarter or the irrigation?
Yes. Irrigation project, we have INR 741 crores is pending to be released from them.
How much did you receive in this quarter from JJM?
I think JJM.
JJM
Q1 released.
JJM.
JJM. I think around INR 40 crores.
Release.
We'll share with you. Before end of the call we'll share. It's not readily available with us.
Okay. No worries. Just one last thing, what is the unbilled revenue out right now from JJM?
Unbilled revenue from JJM is around INR 20 crore.
Okay, got it. Thank you, sir. Those were my questions.
Thank you. Next question is from the line of Vaibhav Shah from JM Financial. Please go ahead.
Thanks for the follow-up. Sir, what will be the CapEx required for the mining project in totality?
In totality, the total CapEx was required around INR 300 crore.
Okay. We are guided for INR 150 crore CapEx in FY 2027.
Sorry, INR 350 crore.
Okay. This would be in the initial couple of years, right?
Yes. Initial couple of years. Also that will suffice for the entire contract duration.
We can expect a higher CapEx for FY 2028?
Yes, definitely. Production will increase in coal mining.
At standalone level, for FY 2028, what could be the CapEx? Upwards of INR 200 crore?
Around INR 150 crore in this current financial year, 2027.
For 2028?
2028, similar line of number, INR 150 crore.
Okay. Thank you, sir.
Thank you. Next question is from line of Chinmay Mishra, Individual Investor. Please go ahead.
Hello, am I audible?
Yes.
My only question was that, whether would you be able to reduce the dependencies on the roadways project provided that I saw that the revenue breakup by segments showed a lot of roadways revenues. How do you plan to mitigate that concentration risk over the years?
As you had mentioned, as of now, the road our executed order book is slightly more than 50% and the revenue is slightly less than 40%. As we are broadening our perspective, as you could see that we are actively bidding in railways, metro rail, coal mining, and also TPCB for transmission projects. The projects which have been identified for the bidding in the coming future also comprises both highway projects as well as non-highway projects in the ratio of 50:50. Going forward, we see that we have a balancing kind of a thing. Around 40%-45% road or non-road sector and around 55%. Going forward, let us see how things will unfold, see how the bidding opportunities emerge in the non-road sectors.
Thank you very much. Ladies and gentlemen, we'll take that as our last question. I'll now hand the conference over to the management for closing comments.[inaudible]
[inaudible] Thank you everyone for your active participation in our earning call. Should you have any further queries, you may get in touch with the Strategic Growth Advisors, our investor relations advisors, or feel free to get in touch with us. Thank you.
Thank you very much. On behalf of IIFL Capital Services Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines. Thank you.
Thank you.