Ceigall Q2 EBITDA Margin Rises to 17%, Up 293 Basis Points

Ceigall India Limited reported a consolidated EBITDA margin of 17.0% in Q2FY27, up 293 basis points year on year, as profit after tax rose 64.1% to Rs 9.22 crore. Revenue from operations increased 26.8% to Rs 102.25 crore, while EBITDA grew 53.2% to Rs 17.40 crore.

How did Ceigall’s Q2FY27 profitability change?

Ceigall’s consolidated EBITDA increased to Rs 17.40 crore in Q2FY27 from Rs 11.36 crore in Q2FY26, lifting the EBITDA margin to 17.0% from 14.1%. A basis point is one-hundredth of a percentage point, so the 293-basis-point increase equals 2.93 percentage points.

Ceigall’s gross profit rose by Rs 6.76 crore to Rs 22.08 crore, exceeding the 26.8% rise in revenue. Gross profit margin reached 21.6% in Q2FY27 from 19.0% in Q2FY26, an increase of 260 basis points before the reported EBITDA-margin expansion.

Profit after tax, or PAT, increased by Rs 3.60 crore to Rs 9.22 crore, while PAT margin rose to 9.0% from 7.0%. Profit before tax rose 60.7% to Rs 12.41 crore and tax expense increased to Rs 3.19 crore from Rs 2.11 crore.

What costs drove Ceigall’s Q2 margin expansion?

Ceigall reported material-consumption cost of Rs 17.12 crore in Q2FY27, down from Rs 19.35 crore in Q2FY26, while consolidated revenue rose 26.8%. Cost of construction increased to Rs 63.05 crore from Rs 45.98 crore, but the faster 44.1% growth in gross profit produced the 260-basis-point gross-margin increase.

Employee expenses rose to Rs 1.20 crore from Rs 0.92 crore, and other expenses increased to Rs 3.47 crore from Rs 3.04 crore. These two expense lines increased by a combined Rs 0.71 crore, compared with the Rs 6.76 crore increase in gross profit, while EBITDA rose by Rs 6.04 crore.

Below EBITDA, depreciation declined to Rs 1.28 crore from Rs 1.58 crore, while other income fell to Rs 0.57 crore from Rs 1.67 crore. Finance cost increased to Rs 4.28 crore from Rs 3.73 crore, but profit before tax still rose by Rs 4.69 crore as operating profit increased.

Ceigall’s standalone margin improvement was smaller than the consolidated change in Q2FY27. Standalone EBITDA margin rose 173 basis points to 13.4%, while consolidated EBITDA margin rose 293 basis points to 17.0%; standalone PAT increased 46.7% to Rs 8.20 crore against consolidated PAT growth of 64.1% to Rs 9.22 crore.

How did Ceigall’s H1FY27 results compare with Q2?

Ceigall’s H1FY27 consolidated EBITDA increased 42.5% to Rs 31.74 crore and its margin rose 239 basis points to 15.9%. The H1FY27 margin was 1.1 percentage points below the 17.0% reported in Q2FY27.

H1FY27 revenue growth of 21.1% was below Q2FY27 revenue growth of 26.8%, while H1FY27 EBITDA growth of 42.5% was below Q2FY27 EBITDA growth of 53.2%. Consolidated gross margin rose 229 basis points to 20.5% in H1FY27, compared with the 260-basis-point increase to 21.6% in Q2FY27.

H1FY27 finance cost increased to Rs 8.67 crore from Rs 7.93 crore and other income declined to Rs 1.71 crore from Rs 3.11 crore. Despite these movements, H1FY27 PAT rose by Rs 4.85 crore to Rs 15.60 crore, and PAT margin increased 133 basis points to 7.8%.

What order and execution developments accompanied Ceigall’s earnings?

Ceigall recorded Q2FY27 order inflow of Rs 520.47 crore, including the Rs 450 crore Jam Khambhaliya Jamnagar Transmission Project and a Rs 70.47 crore Lada-Sarli section road project on NH-913 in Arunachal Pradesh. The order book stood at Rs 2,268.11 crore on September 30, 2026, with roads accounting for 55%, transmission and distribution for 21%, and renewables for 16%.

Hybrid annuity model, or HAM, and tariff-based projects each accounted for 37% of the order book by revenue model, while engineering, procurement and construction, or EPC, represented 25%. Maharashtra accounted for 26% of the geographical order book, followed by Arunachal Pradesh at 14%, Madhya Pradesh at 13%, Bihar at 12%, and Jharkhand and Punjab at 11% each.

Ceigall commissioned 10 megawatts of capacity under the 147-megawatt MSKVY 2.0 solar project in Maharashtra ahead of schedule. It also received appointed dates for three HAM projects aggregating about Rs 40.50 crore, enabling commencement of execution, and secured a Rs 2.25 crore order to develop the Bulk Drug Park at Una, Himachal Pradesh.

Ceigall earned early-completion bonuses on three projects: Rs 0.70 crore for Khemkaran-Amritsar, Rs 1.05 crore for Ismailabad-Dhand Package I, and Rs 1.71 crore for Malout-Abohar. The projects were completed 170 days, 54 days and 214 days early, respectively; Ceigall also reported provisional commercial operation date for Jalbhera in August 2026 and the Delhi-Saharanpur Highway in September 2026.

Conclusion

Ceigall’s Q2FY27 figures show profit expanding faster than revenue, with consolidated revenue up 26.8%, EBITDA up 53.2%, and PAT up 64.1%. The reported margin expansion coincided with a 44.1% increase in gross profit, a decline in material-consumption cost, and a combined Rs 0.71 crore increase in employee and other expenses.

The next disclosed execution points are the three HAM projects with appointed dates, aggregating about Rs 40.50 crore, and further commissioning under the 147-megawatt MSKVY 2.0 solar project after the first 10 megawatts. Ceigall’s September 30, 2026 order book included 37% HAM and 37% tariff-based work, making mobilisation and delivery relevant to subsequent revenue and margin reporting.