| FY26 Revenue | ₹1,249 Cr37% YoY Growth |
|---|---|
| FY27 Guidance | ₹2,200 Cr75%+ Growth Target |
| Order Book | ₹5,700 CrCurrent Pipeline |
| Market Cap | ₹2,006.5 CrGeneral Industrials |
Key highlights
- Annual revenue reached a historic high of ₹1,249 crore in FY26, representing a 37% increase over FY25
- Q4 FY26 revenue surged 82% year-on-year to ₹647.4 crore, driven by a ramp-up in solar EPC execution
- The current order book stands at ₹5,700 crore, with solar projects accounting for 60% and power T&D for 30%
- Management provided an explicit revenue guidance of over ₹2,200 crore for FY27, targeting 75% growth
- Acquisition of NOPL adds 969 MW of solar capacity with a planned investment of ₹4,200 crore
- Entry into the Data Center EPC vertical with an initial target order book of ₹100 crore in the near term
Financial Performance and Q4 Momentum
Vikran Engineering delivered a strong financial performance in FY26, characterized by record top-line growth. Total operating revenue for the fiscal year stood at ₹1,249.31 crore, compared to ₹916 crore in the previous year. The fourth quarter was particularly robust, with revenue hitting ₹647.4 crore, an 82% increase over the same period last year.
This surge was primarily attributed to the rapid execution of large-scale solar EPC contracts. While net profit grew by 17.85% to reach ₹91.7 crore for the full year, operating margins faced slight pressure, stabilizing at 14% after the company took a ₹20 crore provisioning hit related to delays in Jal Jeevan Mission project receivables.
Strategic Transition and Solar Expansion
- Transitioned from a pure EPC player to an integrated solar developer and EPC platform
- Completion of NOPL acquisition involving 969 MW of solar projects under the PM-Kusum scheme
- Planned capital expenditure of ₹4,200 crore for solar assets, backed by major financial institutions
- Strategic focus on high-voltage transmission projects up to 765 KV and private sector EPC contracts
- MNRE and MSEDCL have granted project extensions until March 2027, providing execution clarity
Management Outlook and Future Guidance
FY27 will be far better because we are sitting on a very strong order book and our confidence level has gone up now because of the continual improvement in our execution confidence and strategies.
Challenges in Working Capital and Cash Flow
Despite the impressive growth in revenue, the company faces significant challenges regarding its working capital cycle. Total receivables have stretched to approximately ₹1,000 crore, primarily due to payment delays in government-backed water infrastructure projects. This has resulted in a persistent negative operating cash flow of ₹436.99 crore for the year.
Management noted that they have ceased bidding for new water projects for the last 18 months to focus on collections and high-margin private solar EPC where cash flow cycles are more predictable. The company anticipates turning cash flow positive by FY28 as existing government project receivables are liquidated.
What to Watch
- Execution and commissioning timelines of the 969 MW NOPL solar project portfolio
- Reduction in receivable days and recovery of outstanding dues from Jal Jeevan Mission projects
- Order inflows and initial project progress in the newly established Data Center EPC vertical
- Maintenance of EBITDA margins in the guided 14-15% range despite competitive bidding
- Monetization or financing progress for the ₹4,200 crore solar investment plan
“Our core strength lies in executing technically complex projects across the power and renewable energy ecosystem, including very high voltage substation transmission lines.”
“We believe that this acquisition complements our EPC capabilities and enhances our position within the Indian renewable energy ecosystem.”
| Share price | ₹77.8 |
|---|---|
| Market capitalisation | ₹2,006.55 Cr |
| Revenue (annual) | ₹1,249.31 Cr |
| Net profit (annual) | ₹91.70 Cr |
| Revenue (latest quarter) | ₹647.40 Cr+142.96% vs previous quarter |
| Net profit (latest quarter) | ₹56.00 Cr+167.81% vs previous quarter |
| P/E (TTM) | 21.88×Sector 58.37× |
| Promoter holding | 56.27%+0.10% QoQ |
| FII holding | 1.11%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by Vikran Engineering Limited announcing the financial results for the quarter and year ended March 31, 2026. Market figures from a third-party data provider.
