Madhav Infra Projects Ltd (539894)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Madhav Infra's revenue was ₹88.4 Cr (+0.4% year on year, -65.2% on the previous quarter), and net profit ₹6.2 Cr (-10.7% year on year); the operating margin was 17.5%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹88.4 | +0.4% | -65.2% |
| Operating profit | ₹15.4 | -9.1% | -26.4% |
| Net profit | ₹6.2 | -10.7% | -47.9% |
| EPS (₹) | 0.23 | -17.9% | -46.5% |
| Operating margin | 17.5% | — | — |
📢 Recent Corporate Announcements
Madhav Infra Projects approved restructuring existing 3.79 crore preference shares into 4.65 crore 1% CCPS of ₹1 face value, convertible at ₹8.15 per share to promoter entity Waa Solar Limited. Additionally, the board approved issuing up to 4.19 crore equity shares at ₹8.15 per share (aggregating ~₹34.15 crore) to promoter group entities upon conversion of outstanding unsecured loans. Combined, these transactions represent a total dilution/issuance value of ~₹72 crore, compared to the current market cap of ₹209 crore. The conversions require shareholder approval via postal ballot.
- Conversion of existing 3,79,00,000 redeemable preference shares into 4,65,03,067 1% CCPS convertible at ₹8.15 per share
- Issuance of up to 4,19,01,840 equity shares at ₹8.15 per share against outstanding promoter unsecured loans (~₹34.15 crore)
- Issue price set at ₹8.15 (face value ₹1 plus ₹7.15 premium), near current market price of ₹7.7
- Post-conversion, Waa Solar to hold 12.99% stake, and highway entities to each hold 4.80%
- Allotment subject to shareholder approval via postal ballot
Madhav Infra Projects Ltd has scheduled a Board Meeting for October 13, 2026, to consider two significant capital restructuring proposals. The board will evaluate altering the terms of 1% Non-Cumulative Non-Convertible Redeemable Preference Shares into Compulsorily Convertible Preference Shares convertible into equity. Additionally, it will consider a preferential issue to convert the promoter group's unsecured loans into fully paid-up equity shares. These steps could potentially deleverage the company (current total debt: Rs 130 Cr) while leading to equity dilution for existing shareholders.
- Board meeting scheduled on Tuesday, October 13, 2026
- Proposal to vary terms of 1% Non-Cumulative Non-Convertible Redeemable Preference Shares into 1% Compulsorily Convertible Preference Shares
- Proposal to convert promoter group's unsecured loan into fully paid-up equity shares via preferential issue
- Trading window closed from October 01, 2026, until 48 hours after Q2 FY27 financial results declaration
Promoter Mr. Ashok Madhavdas Khurana has disclosed his intention to transfer 7,57,16,940 equity shares, representing 28.087% of the company, to other members of the promoter group. The transfer will be executed as a gift without any monetary consideration on or after August 12, 2026. The primary recipients are the Armaan Amit Trust (22.848%), Mr. Amit Khurana (3.223%), and Mrs. Neelakshi Amit Khurana (2.016%). This is a procedural redistribution within the promoter group, and the total promoter holding remains unchanged at 68.81%.
- Transfer of 7,57,16,940 equity shares representing 28.087% of total share capital
- Armaan Amit Trust's holding to increase from 30.18% to 53.03% post-transaction
- Transaction to be executed on or after August 12, 2026, via off-market gift deed
- Total promoter and promoter group holding remains constant at 68.81%
- Exempt from open offer under Regulation 10(1)(a)(ii) of SEBI SAST Regulations
Promoter Mr. Ashok Madhavdas Khurana has announced his intention to transfer his entire 28.087% stake in Madhav Infra Projects to other members of the promoter group. The transaction involves 7,57,16,940 shares and will be executed as a gift without any monetary consideration on or after August 12, 2026. The primary beneficiary is the Armaan Amit Trust, which will see its holding increase from 30.18% to 53.03%. Total promoter group holding remains unchanged at 68.81%, indicating no change in overall promoter commitment.
- Transfer of 7,57,16,940 equity shares representing 28.087% of the total share capital
- Transaction to be executed via gift deed with zero monetary consideration
- Armaan Amit Trust to become the largest single entity with a 53.03% stake post-transfer
- Individual promoter Mr. Ashok Madhavdas Khurana's holding will reduce to 0% from 28.087%
- Total promoter and promoter group holding remains constant at 68.81%
Mrs. Neelakshi Amit Khurana, a member of the promoter group, intends to acquire 54,34,764 equity shares (2.016% stake) from Mr. Ashok Madhavdas Khurana. The transaction is scheduled to occur on or after August 12, 2026, through a Gift Deed, involving no cash consideration. This is an inter-se transfer within the promoter group, meaning the total promoter holding will remain unchanged at 68.81%. Such transfers are typically part of internal family or estate planning and do not affect the company's operations or public float.
- Proposed acquisition of 54,34,764 equity shares representing 2.016% of the total share capital.
- Transfer to be executed via Gift Deed with zero cash consideration.
- Acquirer's individual shareholding to increase from 2.984% to 5.00% post-transaction.
- Transaction scheduled to take place on or after August 12, 2026.
- Total promoter group holding remains constant at 68.81%.
Mrs. Neelakshi Amit Khurana, a promoter of Madhav Infra Projects, has filed an intimation to acquire 54,34,764 equity shares (2.016% stake) from Mr. Ashok Madhavdas Khurana, another promoter. The acquisition will be executed via a Gift Deed on or after August 12, 2026, resulting in no cash outflow. Since this is an inter-se transfer within the promoter group, the total promoter holding will remain unchanged at 68.81%. This transaction is exempt from open offer requirements under SEBI (SAST) Regulations.
- Transfer of 54,34,764 equity shares representing 2.016% of the total share capital.
- Acquisition is via a Gift Deed, meaning the transaction price is nil.
- Acquirer's individual stake will increase from 2.984% to 5.00% post-transaction.
- Proposed date for the execution of the transfer is on or after August 12, 2026.
- Total promoter group holding remains constant at 68.81%.
Mrs. Neelakshi Amit Khurana, a member of the promoter group, has filed an intimation to acquire 54,34,764 equity shares (2.016% stake) from Mr. Ashok Madhavdas Khurana. The transaction is scheduled to occur on or after August 12, 2026, via a gift deed, meaning no cash consideration is involved. This is an inter-se transfer among promoters, which will result in no change to the total promoter holding of 68.81%. Such transfers are exempt from open offer requirements under SEBI (SAST) Regulation 10(1)(a)(ii).
- Proposed acquisition of 54,34,764 equity shares representing 2.016% of the total share capital
- Transfer to be executed via Gift Deed on or after August 12, 2026
- Acquirer's individual stake will increase from 2.984% to 5.00% post-transaction
- Total promoter group holding remains unchanged at 68.81% of the company
- Transaction is exempt from open offer obligations under SEBI (SAST) Regulations
Madhav Infra Projects reported consolidated revenue of ₹88.37 Cr for Q1 FY27, representing a marginal 0.9% growth compared to ₹87.54 Cr in Q1 FY26. However, revenue saw a sharp sequential decline of 65.2% from ₹254.06 Cr in the March 2026 quarter, reflecting the cyclical nature of the construction business. The company appointed Ms. Ishwari Hanumantsinh Sindha as Company Secretary and Compliance Officer effective July 30, 2026. A key concern is the statutory auditor's highlight regarding the non-provision of Deferred Tax Liability as per Ind AS 12.
- Consolidated revenue for Q1 FY27 stood at ₹88.37 Cr, nearly flat YoY against ₹87.54 Cr.
- Sequential revenue dropped 65.2% from ₹254.06 Cr in Q4 FY26.
- Ms. Ishwari Hanumantsinh Sindha (Membership No. A80997) appointed as CS and Compliance Officer.
- Auditor Shah & Kadam issued a qualified opinion regarding non-ascertainment of Deferred Tax Liability.
- Group's share of net loss from six Joint Ventures amounted to ₹49.24 Lakh for the quarter.
Madhav Infra Projects reported a flat consolidated revenue of Rs 88.37 Cr for Q1 FY27, representing a marginal 1% growth YoY. Net profit for the quarter declined by 16.4% YoY to Rs 6.25 Cr, down from Rs 7.48 Cr in the same period last year. The profit compression was primarily driven by a sharp increase in consolidated construction expenses, which rose to Rs 53.32 Cr from Rs 25.33 Cr YoY. Additionally, the statutory auditor highlighted a qualification regarding the non-provision of deferred tax liabilities as per Ind AS 12.
- Consolidated Revenue stood at Rs 88.37 Cr, nearly flat compared to Rs 87.54 Cr in Q1 FY26
- Consolidated Net Profit declined 16.4% YoY to Rs 6.25 Cr from Rs 7.48 Cr
- Construction expenses surged by 110% YoY to Rs 53.32 Cr from Rs 25.33 Cr
- Finance costs saw a reduction to Rs 5.66 Cr from Rs 7.72 Cr in the year-ago quarter
- Standalone revenue contributed Rs 57.35 Cr, accounting for 65% of consolidated top-line
Madhav Infra Projects reported consolidated revenue of ₹88.37 Cr for Q1 FY27, representing a marginal 1% growth over Q1 FY26 (₹87.54 Cr). However, execution slowed significantly on a sequential basis, with revenue dropping 65% from ₹254.06 Cr in Q4 FY26. The company posted a consolidated Profit Before Tax of ₹1.63 Cr. A key concern for investors is the auditor's highlight regarding the non-provision of Deferred Tax Liability, which could impact future net earnings. The board also confirmed the appointment of a new Company Secretary.
- Consolidated Revenue from operations for Q1 FY27 was ₹88.37 Cr, a marginal 1% increase YoY.
- Revenue saw a significant 65.2% decline compared to the ₹254.06 Cr reported in the preceding March 2026 quarter.
- Consolidated Profit Before Tax (PBT) stood at ₹1.63 Cr for the quarter ended June 30, 2026.
- Statutory auditors issued a modified conclusion regarding the non-provision of Deferred Tax Liability as per Ind AS 12.
- The company manages a complex structure of 15 subsidiaries and 6 joint ventures as of June 2026.
Madhav Infra Projects has scheduled a board meeting for July 30, 2026, to consider and approve standalone and consolidated unaudited financial results for the quarter ended June 30, 2026. This follows a period of significant revenue volatility, where quarterly sales jumped from Rs 54 Cr in Dec 2025 to Rs 254 Cr in Mar 2026. The trading window for insiders has been closed since July 1, 2026, and will remain so until 48 hours after the results are declared. Investors will be assessing if the company can maintain the high execution pace seen in the previous quarter.
- Board meeting scheduled for July 30, 2026, to approve Q1 FY27 results.
- Trading window closed from July 1, 2026, until 48 hours after the announcement.
- Company reported a TTM revenue of Rs 503 Cr with a PAT of Rs 27 Cr.
- March 2026 quarter revenue of Rs 254 Cr accounted for approximately 50% of the TTM revenue.
- Promoter holding remains stable at 68.81% as of March 2026.
Financial Performance
Revenue Growth by Segment
Total operating income grew 59.8% YoY to INR 572.21 Cr in FY25 from INR 358.03 Cr in FY24. Segment-specific growth percentages were not disclosed, but growth was driven by increased execution pace in solar and road EPC projects.
Geographic Revenue Split
Not disclosed in available documents, though the company has a significant presence in Madhya Pradesh (Badi Baktara Toll) and Gujarat (Vadodara headquarters).
Profitability Margins
Gross and operating margins were impacted by aggressive bidding; PAT margin was 4.72% in FY25 (INR 26.99 Cr) compared to 5.22% in FY24 (INR 18.70 Cr).
EBITDA Margin
PBILDT margin was 10.47% in FY25 (INR 59.93 Cr), down from 13.06% in FY24 (INR 46.75 Cr) due to competitive pressures and scale effects.
Capital Expenditure
Not disclosed in available documents; however, the company reduced long-term debt through asset monetization of solar power and non-core assets.
Credit Rating & Borrowing
CARE BBB; Stable / CARE A3 (Reaffirmed August 2025). Bank facilities total INR 535.25 Cr, including INR 85.05 Cr long-term and INR 450.20 Cr long/short-term facilities.
Operational Drivers
Raw Materials
Steel, cement, bitumen, and solar PV modules/panels are the primary raw materials, though specific cost percentages for each were not disclosed.
Capacity Expansion
The company operates as an in-house EPC arm for the Madhav Group; specific installed capacity in MW or MT was not disclosed.
Raw Material Costs
Raw material and labor costs are rising; the company noted that increases in these costs adversely affect profitability margins.
Manufacturing Efficiency
Operating cycle improved by 35.4% to 82 days in FY25 from 127 days in FY24, primarily due to the scale effect of higher revenue.
Strategic Growth
Expected Growth Rate
5-10%
Growth Strategy
Growth will be achieved through the amalgamation of Madhav Heights, Madhav Urja, and RB Realestate (NCLT order Aug 2024), focusing on EPC execution for solar and road projects and expanding O&M services.
Products & Services
EPC services for road construction and solar power plants, solar power generation, toll operations (Badi Baktara Toll), and O&M services for hydro and road projects.
Brand Portfolio
Madhav Infra Projects Limited, Madhav Group.
New Products/Services
Expansion into solar energy solutions and wind-solar hybrid projects, with 15,000 MW of hybrid capacity expected to be added nationally by 2025.
Market Expansion
Focus on national development goals including urbanization and energy transition; specific target regions beyond Madhya Pradesh and Gujarat were not detailed.
Strategic Alliances
Amalgamation with group entities Madhav Heights Private Limited, Madhav Urja Private Limited, and RB Realestate Private Limited to consolidate the group's infrastructure and energy portfolio.
External Factors
Industry Trends
Solar energy costs are expected to cut by 66% due to battery storage efficiency; India expects to save INR 54,000 Cr annually by shifting from coal to renewables.
Competitive Landscape
Intensely competitive and fragmented construction industry with many regional players and aggressive bidding practices.
Competitive Moat
Moat is derived from the experienced promoter group (Ashok and Amit Khurana) and a demonstrated track record in both road and solar segments, though it is challenged by low entry barriers in civil construction.
Macro Economic Sensitivity
Highly sensitive to infrastructure financing availability and government thrust on infrastructure development (Union Budget 2025-26).
Consumer Behavior
Shift toward renewable energy and sustainability is driving demand for the company's solar EPC and power generation services.
Regulatory & Governance
Industry Regulations
Compliance with MNRE guidelines for solar projects and Ministry of Road Transport & Highways standards for EPC road contracts.
Legal Contingencies
The company received an updated NCLT order on August 8, 2024, allowing the filing for the amalgamation of three private limited group companies.
Risk Analysis
Key Uncertainties
Working capital intensity (267 GCA days) and potential for further elongation of the receivable cycle could weaken the financial risk profile.
Geographic Concentration Risk
The order book is noted to have geographical concentration, which increases vulnerability to regional economic or regulatory shifts.
Third Party Dependencies
Dependency on sub-contractors for project execution; increases in sub-contracting costs directly impact the bottom line.
Technology Obsolescence Risk
The company is adopting more efficient battery storage technology to remain competitive in the solar sector as costs are projected to fall 66%.
Credit & Counterparty Risk
Receivables are overextended in the sector, affecting cash flow; however, MIPL's operating cycle improved to 82 days in FY25.
