AGI Infra’s operating cash stayed positive at Rs 17.9027 crore

AGI Infra Limited reported Rs 17.9027 crore of consolidated net cash from operating activities for the half year ended September 30, 2026, alongside Rs 58.2744 crore of profit after tax. A Rs 141.4485 crore inventory increase drove a Rs 57.8941 crore net working-capital outflow, but operating profit before working-capital changes covered that outflow.

Why did AGI Infra report positive operating cash flow?

AGI Infra reported positive operating cash flow because its Rs 88.1111 crore operating profit before working-capital changes exceeded the Rs 57.8941 crore net cash absorbed by working capital. The pre-working-capital figure comprised Rs 70.5887 crore of consolidated profit before tax, Rs 9.5948 crore of depreciation and amortisation, Rs 9.2326 crore of finance costs and Rs 1.3050 crore of interest or dividend income adjustment.

The reported bridge results in Rs 30.0170 crore of cash generated from operations before tax payments. Net taxes paid were Rs 12.3143 crore, leaving Rs 17.9027 crore of net cash from operating activities. This means the filing does not report negative operating cash flow for the half year, although it does show substantial working-capital cash use.

What caused AGI Infra’s working-capital outflow?

AGI Infra’s largest working-capital outflow was the Rs 141.4485 crore increase in inventories during the half year. Consolidated inventories rose to Rs 1,223.7505 crore at September 30, 2026, from Rs 1,082.3020 crore at March 31, 2026. The balance-sheet movement matches the inventory increase in the consolidated cash-flow statement.

Higher current liabilities provided the principal offset. Other current liabilities increased by Rs 102.6266 crore, short-term provisions increased by Rs 12.3143 crore and trade payables rose by Rs 5.9490 crore. These inflows were partly reduced by a Rs 45.7082 crore increase in other current assets and a Rs 36.24 lakh increase in trade receivables.

The cash-flow statement also records a Rs 7.0340 crore movement in other non-current assets and a Rs 1.7011 crore movement in short-term loans and advances. Taken together with the inventory build-up, the disclosed working-capital movements total a net Rs 57.8941 crore outflow. The filing does not provide a project-level or product-level explanation for the inventory increase.

How did AGI Infra’s first-half profit compare with last year?

AGI Infra’s consolidated profit after tax rose to Rs 58.2744 crore for the half year ended September 30, 2026, from Rs 42.0628 crore in the half year ended September 30, 2025. Consolidated revenue from operations increased to Rs 196.6299 crore from Rs 176.9180 crore, while profit before tax increased to Rs 70.5887 crore from Rs 50.9828 crore.

The company disclosed one reportable segment, construction and real estate development. In that segment’s consolidated income statement, the change in inventories of finished goods and work in progress was negative Rs 133.1404 crore in the latest half year, compared with negative Rs 59.9569 crore a year earlier. This expense-line movement is distinct from the Rs 141.4485 crore cash-flow inventory increase.

Finance costs increased by Rs 2.3741 crore year on year to Rs 9.2326 crore, while current tax expense increased by Rs 3.3943 crore to Rs 12.3143 crore. The consolidated results recorded no deferred-tax expense in either first-half period. Total comprehensive income was Rs 58.2744 crore in the latest half year because the statement reported no other comprehensive income.

Where did AGI Infra’s cash go outside operations?

AGI Infra used Rs 29.7678 crore in investing activities during the half year ended September 30, 2026. Other non-current investments accounted for Rs 28.4122 crore of the investing outflow, and purchases of fixed assets including capital work in progress accounted for Rs 2.6606 crore. Interest or dividend income of Rs 1.3050 crore was the stated investing inflow.

Financing activities used Rs 23.5561 crore, led by a Rs 15.8173 crore decrease in long-term borrowings and Rs 9.2326 crore of financial costs. Short-term borrowings increased by Rs 55.66 lakh, while proceeds of non-controlling interest were Rs 93.72 lakh. The cash-flow statement records no proceeds from an issue of share capital and no dividend payment in the half year.

The combination of Rs 17.9027 crore of operating inflow, Rs 29.7678 crore of investing outflow and Rs 23.5561 crore of financing outflow produced a Rs 35.4212 crore net decrease in cash and cash equivalents. Cash and cash equivalents in the cash-flow statement closed at Rs 63.0269 crore, compared with Rs 98.4481 crore at the beginning of the year.

What did AGI Infra’s auditor say about the results?

AGI Infra’s statutory auditor, R.S. Kalra & Associates, performed a limited review of the consolidated unaudited results for the quarter and half year ended September 30, 2026. In its report dated November 6, 2026, the auditor said nothing had come to its attention that caused it to believe the statement failed to make required disclosures or contained a material misstatement.

The review was not an audit, and the auditor said a review is substantially less in scope than an audit conducted under Standards on Auditing. The auditor also did not review interim financial information for one subsidiary, which contributed Rs 12.57 lakh of the group’s share of profit after tax for the half year; its conclusion was not modified for that matter.

The Audit Committee and Board approved the consolidated unaudited results on November 6, 2026. The filing also states that there were no investor complaints pending at the start of the quarter and none received during the quarter. It gives no inventory monetisation target, project-completion schedule or cash-flow forecast for the Rs 1,223.7505 crore inventory balance.

Conclusion

AGI Infra combined higher first-half revenue and profit with positive reported operating cash flow of Rs 17.9027 crore. The central cash-flow issue was not a negative operating-cash result, but the Rs 57.8941 crore net working-capital outflow, chiefly caused by the Rs 141.4485 crore inventory increase.

The next financial results will show whether inventory converts into cash and whether the Rs 102.6266 crore increase in other current liabilities remains an offset to inventory funding. The filing discloses no inventory-sales target or timetable, leaving the next reported cash-flow statement and inventory balance as the relevant disclosed measures to watch.