NIRAJ - Niraj Cement
📢 Recent Corporate Announcements
Niraj Cement Structurals has secured three new infrastructure contracts worth a combined Rs. 179.65 Crores from various government agencies. The largest order, valued at Rs. 91.33 Crores, was awarded by NHAI for projects in Odisha, followed by an Rs. 80.12 Crore contract from MoRTH for work in Maharashtra. A third project worth Rs. 8.20 Crores was secured from the PWD of Odisha. These projects, to be executed within 12 to 18 months, significantly enhance the company's order book and provide strong revenue visibility for the near term.
- Cumulative order value of Rs. 179.65 Crores across three separate infrastructure projects
- Largest contract worth Rs. 91.33 Crores from NHAI for vehicular underpasses and a flyover in Odisha
- MoRTH contract worth Rs. 80.12 Crores for vehicular underpasses in Sindhudurg, Maharashtra
- Execution timelines for the projects range from 12 to 18 months on EPC mode
- All projects are awarded by domestic government entities including NHAI, MoRTH, and PWD Odisha
Niraj Cement Structurals reported a strong sequential performance for Q3 FY2026, with standalone revenue reaching ₹162.35 crore compared to ₹114.27 crore in the previous quarter. Net profit for the quarter stood at ₹11.59 crore, up from ₹10.35 crore in Q2. For the nine-month period ended December 31, 2025, the company has accumulated a total revenue of ₹405.81 crore and a net profit of ₹28.35 crore. However, the results are accompanied by significant audit notes regarding unresolved GST litigation and unprovisioned income tax adjustments.
- Standalone revenue for Q3 FY26 increased by 42% quarter-on-quarter to ₹162.35 crore.
- Net profit for the quarter rose to ₹11.59 crore, contributing to a 9-month total of ₹28.35 crore.
- Income tax department adjusted ₹8.38 crore against old demands; management has not yet made a provision, expecting rectification by year-end.
- Ongoing legal challenge in Gujarat High Court regarding a 2021 GST search and seizure operation remains sub-judice.
- Balances for trade payables, receivables, and GST/Income Tax assets are currently subject to reconciliation and confirmation.
Niraj Cement Structurals reported a standalone revenue of ₹162.35 crore for the quarter ended December 31, 2025, a significant increase from ₹114.27 crore in the preceding quarter. The nine-month revenue for the period reached ₹405.80 crore. Despite the revenue growth, the auditor's report includes several 'Emphasis of Matter' points regarding pending GST litigation, unreconciled trade balances, and unprovisioned income tax adjustments. Management remains confident in rectifying tax discrepancies by the end of FY2025-26.
- Standalone revenue for Q3 FY26 stood at ₹162.35 crore compared to ₹114.27 crore in Q2 FY26.
- Nine-month standalone revenue reached ₹405.80 crore for the period ending December 2025.
- Auditors highlighted a pending GST search and seizure case from 2021 with ₹1.08 crore deposited under protest.
- Income Tax assets of ₹24.43 crore are reported, with ₹8.37 crore already adjusted by the department against old demands without current provisioning.
- Balances for trade payables, receivables, and GST credits are currently subject to reconciliation and confirmation.
Niraj Cement Structurals Limited has secured two significant work orders from the Northeast Frontier Railway (NF Railway) totaling Rs 230.06 Crores. The first contract, valued at Rs 50.95 Crores, involves bridge construction for the New Maynaguri-Jogighopa project with a 12-month execution timeline. The second, larger contract is worth Rs 179.11 Crores for bridge and ancillary works in the Araria-Galgalia Project, to be completed within a tight 9-month window. These domestic wins significantly bolster the company's order book and provide clear revenue visibility for the upcoming fiscal year.
- Total combined order value of Rs 230.06 Crores from Northeast Frontier Railway
- Largest single order worth Rs 179.11 Crores for minor bridges and ancillary works with a 9-month execution period
- Second order worth Rs 50.95 Crores for Road Over Bridge construction with a 12-month execution period
- Both projects are domestic and involve critical railway infrastructure development in the Northeast region
Niraj Cement Structurals Limited has filed its quarterly compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The certificate, issued by Registrar & Share Transfer Agent MUFG Intime India Private Limited, covers the quarter ended December 31, 2025. It confirms that all securities received for dematerialization were processed, and the names of depositories were updated in the register of members within the prescribed timelines. This is a standard administrative filing required by all listed companies in India.
- Compliance certificate submitted for the quarter ended December 31, 2025.
- Confirmation provided by Registrar & Share Transfer Agent MUFG Intime India Private Limited.
- Verification and cancellation of physical share certificates completed as per SEBI norms.
- Names of depositories substituted in the register of members within prescribed timelines.
Niraj Cement Structurals Limited (JV) has secured a domestic work order from Western Railway valued at Rs 46.52 Crores, including GST. The project involves various civil and infrastructure works for the quadrupling of the Gandhidham-Adipur section, which is critical for direct entry towards Mundra Port and Bhuj. The scope of work includes earthworks, bridge construction, and track linking over a 10 Km stretch. The company is expected to complete the execution of this contract within a period of 18 months.
- Total order value stands at Rs 46.52 Crores including GST
- Project involves quadrupling of the Gandhidham-Adipur section over 10 Km
- Scope includes earthworks, major/minor bridges, RCC box bridges, and track linking
- Execution timeline is set for 18 months
Niraj Cement Structurals Limited has secured two significant infrastructure projects with a combined value of ₹130.98 Crores. The first order, worth ₹34.86 Crores from MMRDA, involves constructing linkway foot-over-bridges for Mumbai Metro Line-7 within 18 months. The second, larger order of ₹96.12 Crores from the Border Roads Organisation (BRO), is for a major bridge project in Great Nicobar Island to be completed in 30 months. These wins significantly enhance the company's order book and provide clear revenue visibility for the next few fiscal years.
- Total combined order inflow of ₹130.98 Crores from two domestic government entities.
- ₹34.86 Crore MMRDA project for Metro Line-7 linkway FOBs with an 18-month execution period.
- ₹96.12 Crore BRO project for bridge construction in Great Nicobar Island under EPC mode.
- The BRO project includes sub-soil investigation, design, and construction over a 30-month period.
Niraj Cement Structurals Limited has announced the closure of its trading window for all designated persons starting January 1, 2026. This move is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, ahead of the declaration of financial results for the quarter ending December 31, 2025. The trading restriction applies to promoters, directors, and key managerial personnel. The window will reopen 48 hours after the Q3 results are officially submitted to the stock exchanges.
- Trading window closure effective from January 1, 2026
- Closure pertains to the Unaudited Financial Results for the quarter ended December 31, 2025
- Applies to all designated persons including promoters, directors, and KMPs
- Trading window to reopen 48 hours after the financial results are disclosed to BSE and NSE
Niraj Cement Structurals Limited has secured a significant work order worth Rs 322.27 crores from the Ministry of Road Transport and Highways (MoRTH). The project involves the 4-laning of the Ponda to Bhoma section of NH-748 in Goa, to be executed on an EPC (Engineering, Procurement, and Construction) basis. With a completion timeline of 18 months, this order provides substantial revenue visibility for the company over the medium term. This domestic contract win underscores the company's capability in handling large-scale national highway infrastructure projects.
- Total contract value is Rs 322.27 Crores including GST
- Awarded by the Ministry of Road Transport and Highways (MoRTH)
- Project involves 4-laning of NH-748 section in Goa on EPC mode
- Execution timeline is stipulated at 18 months
- Order won by Niraj Cement Structurals Limited (JV)
Financial Performance
Revenue Growth by Segment
Total Operating Income (TOI) decreased by 22.32% from INR 605.31 Cr in FY23 to INR 470.22 Cr in FY24, primarily due to a large quantum of completed work remaining uncertified and unbilled at year-end. The company targets a topline of over INR 500 Cr for FY25, having achieved INR 220.40 Cr (44% of target) by September 30, 2024.
Geographic Revenue Split
The company faces high geographic concentration with approximately 72% of FY24 revenue generated from projects in Maharashtra and Manipur. The remaining 28% is distributed across other regions including Gujarat and Northeast states.
Profitability Margins
Profitability margins are improving as the company shifts its mix. Operating margins rose from 1.46% in FY23 to 3.49% in FY24. Net profit margins (PAT) improved from 0.66% (INR 4.02 Cr) in FY23 to 2.15% (INR 10.29 Cr) in FY24, representing a 155.97% increase in absolute PAT.
EBITDA Margin
EBITDA margin stood at 3.49% in FY24, up from 1.46% in FY23. For 9MFY25, the EBITDA margin further stabilized at 3.56%. The low historical margins are a direct result of the outsourcing/JV business model where NCSL often only lends its name for bid qualification.
Capital Expenditure
The company is undergoing a significant capital infusion, raising INR 25 Cr in December 2024 (INR 12.50 Cr via preferential allotment and INR 12.50 Cr via warrants). A total of INR 139.53 Cr is planned to be raised over 18 months to fund business expansion and transition to an in-house execution model.
Credit Rating & Borrowing
Infomerics assigned a rating of IVR BBB/Stable in March 2025 for proposed long-term bank facilities of INR 5.00 Cr. The company is currently virtually debt-free with an overall gearing of 0.00x as of March 31, 2024, down from 0.15x in FY23.
Operational Drivers
Raw Materials
Specific raw materials include cement, steel, bitumen, and aggregates, though individual percentage breakdowns are not disclosed. These materials are critical for the construction of highways, bridges, and metro corridors.
Import Sources
Sourced domestically within India, specifically from states where projects are executed such as Maharashtra, Manipur, Gujarat, and Nagaland to minimize logistics costs.
Key Suppliers
Not specifically named in the documents; however, the company maintains long-standing relationships with suppliers to secure repeat orders and manage input costs.
Capacity Expansion
Not applicable in a manufacturing sense, but the company is expanding its execution capacity by transitioning from a 100% outsourcing model to in-house execution, supported by a 3.29x revenue-to-order-book ratio.
Raw Material Costs
Input costs are managed through cost escalation clauses included in government contracts, which protect margins against price volatility in steel and cement.
Manufacturing Efficiency
Operational efficiency is measured by a 28% success rate in tender bidding and an interest coverage ratio that improved significantly from 18.37x in FY23 to 61.05x in FY24.
Logistics & Distribution
Distribution costs are project-specific; the company manages these by focusing on geographical clusters like Maharashtra and Manipur to optimize mobilization.
Strategic Growth
Expected Growth Rate
6.30%
Growth Strategy
Growth will be achieved by transitioning to an 'own execution' model which offers higher margins than JVs. The company is backed by a robust unexecuted order book of INR 1,546.5 Cr (as of Dec 2024), providing 3.29x revenue visibility. Recent major wins include a INR 220.14 Cr NHIDCL order in Nagaland and a INR 82.66 Cr MMRDA order in Mumbai.
Products & Services
Speciality engineering construction services for highways, bridges, flyovers, water supply, drainage, irrigation, BRTS projects, and Metro rail infrastructure.
Brand Portfolio
Niraj Cement Structurals Limited (NCSL).
New Products/Services
Expansion into Metro connectivity projects, such as the new INR 82.66 Cr order for providing connectivity from SGMC monorail to Mahalaxmi metro via FOB with Travellators.
Market Expansion
Expanding presence in the North Eastern states through SARDP-NE projects and increasing footprint in Gujarat with the INR 50.50 Cr Mandvi Bypass project.
Market Share & Ranking
Operates in a highly fragmented industry with a 28% tender success rate; specific market share percentage is not disclosed.
Strategic Alliances
Utilizes Joint Ventures (JVs) primarily to meet bid qualification criteria for large-scale government tenders.
External Factors
Industry Trends
The infrastructure industry is evolving toward EPC (Engineering, Procurement, and Construction) modes. NCSL is positioning itself to capture this by raising equity to fund the transition from a pure outsourcing firm to an active executor.
Competitive Landscape
Intense competition from both organized and unorganized players in a fragmented market, leading to aggressive bidding and low initial margins.
Competitive Moat
Moat is based on 25+ years of promoter experience and long-standing relationships with government departments, which facilitates repeat orders and successful bidding.
Macro Economic Sensitivity
Highly sensitive to government infrastructure spending and budgetary allocations for NHAI and MoRTH.
Consumer Behavior
Not applicable as the primary customers are government agencies.
Geopolitical Risks
Internal security risks in Manipur and regional instability in the North East impact project timelines and labor availability.
Regulatory & Governance
Industry Regulations
Operations are governed by tender specifications from MoRTH, NHAI, and railway authorities, including strict adherence to EPC contract norms and milestone-based billing.
Environmental Compliance
Infrastructure projects are subject to regulatory clearances and environmental impact assessments, which have caused delays in projects like the BKC-Vakola corridor.
Taxation Policy Impact
Not specifically disclosed, but the company operates under standard Indian corporate tax laws.
Legal Contingencies
The company provided INR 42.44 Cr toward credit-impaired financial assets (bad debts) and withdrew INR 33.80 Cr from general reserves in FY24 to account for these impairments.
Risk Analysis
Key Uncertainties
Execution delays due to external factors (site handover, clearances) and the inherent volatility of a tender-based revenue model with a 28% success rate.
Geographic Concentration Risk
High risk with 72% of revenue coming from Maharashtra and Manipur, making the company vulnerable to regional political or environmental disruptions.
Third Party Dependencies
High dependency on subcontractors for current execution and working capital funding, though this is a deliberate strategy to maintain a low-risk balance sheet.
Technology Obsolescence Risk
Low risk in civil construction, but the company must adopt modern engineering techniques for projects like 'FOB with Travellators' and 'PSC Slab' bridges.
Credit & Counterparty Risk
Low risk as clients are government bodies, though payment delays from these authorities are a noted industry-wide weakness.