NBCC half-year profit rises 26% as real estate revenue doubles

NBCC (India) Limited reported consolidated net profit of Rs 367.8554 crore for the six months ended September 30, 2026, up 26% from Rs 291.7199 crore a year earlier, while real-estate revenue rose 146% to Rs 75.6794 crore and operating revenue increased 7% to Rs 5,655.3043 crore.

What were NBCC’s first-half earnings?

NBCC’s first-half profit increased faster than revenue, with net profit rising to Rs 367.8554 crore from Rs 291.7199 crore and profit before tax increasing 28% to Rs 494.822 crore from Rs 386.2033 crore. Revenue from operations rose by Rs 348.882 crore year on year to Rs 5,655.3043 crore for the six months ended September 30, 2026, compared with Rs 5,306.4224 crore in the corresponding period of 2025.

The increase in reported profit came despite lower other income, which fell to Rs 121.825 crore in the first half from Rs 176.2243 crore a year earlier. Work and consultancy expenses increased to Rs 4,938.5251 crore from Rs 4,726.6879 crore, while employee-benefit expense rose to Rs 189.9877 crore from Rs 180.5706 crore. Tax expense was Rs 126.9666 crore, compared with Rs 94.4834 crore in the prior-year half.

On a quarterly basis, NBCC reported net profit of Rs 209.8473 crore for the quarter ended September 30, 2026, compared with Rs 156.6872 crore in the year-earlier quarter. Quarterly operating revenue rose 16% to Rs 3,395.7756 crore from Rs 2,913.9349 crore, and quarterly profit before tax increased to Rs 282.0314 crore from Rs 204.7522 crore.

The September-quarter result also exceeded the preceding June-quarter net profit of Rs 158.0081 crore and operating revenue of Rs 2,259.5287 crore. Earnings per share for the six months was Rs 1.34, up from Rs 1.06 a year earlier, while September-quarter earnings per share was Rs 0.76 versus Rs 0.57 in the September 2025 quarter.

Which NBCC segments drove first-half results?

Project Management Consultancy, or PMC, remained NBCC’s largest operating segment, generating Rs 5,451.4561 crore of first-half revenue, up 7% from Rs 5,105.4698 crore a year earlier. Its segment profit before tax and interest increased 41% to Rs 464.1865 crore from Rs 329.5349 crore, accounting for most of the group’s Rs 494.8439 crore total segment result before finance costs.

Real estate delivered the sharpest revenue growth among the three operating segments. First-half real-estate revenue rose to Rs 75.6794 crore from Rs 30.7764 crore, while its segment result increased to Rs 41.9651 crore from Rs 9.2815 crore. In contrast, Engineering, Procurement and Construction, or EPC, revenue declined 36% to Rs 105.3988 crore from Rs 165.7003 crore, and the segment reported a Rs 1.0797 crore loss before tax and interest against a Rs 9.5148 crore profit a year earlier.

The contrast was also visible in the September quarter. PMC revenue was Rs 3,295.7465 crore, compared with Rs 2,835.9385 crore in the year-earlier quarter, while real-estate revenue was Rs 21.7833 crore versus Rs 8.3939 crore. EPC revenue was Rs 69.4537 crore against Rs 67.3974 crore, while its segment result was Rs 3.0521 crore, below Rs 4.3033 crore a year earlier.

NBCC reported segment information under Indian Accounting Standard (Ind AS) 108, which identifies PMC, real estate and EPC as operating segments monitored by the group’s chief operating decision maker. At September 30, 2026, PMC segment assets were Rs 10,722.4998 crore, real-estate assets were Rs 1,854.4741 crore and EPC assets were Rs 474.8 crore, out of consolidated segment assets of Rs 15,544.353 crore.

What changed in NBCC’s balance sheet and cash flows?

NBCC’s consolidated assets stood at Rs 15,544.353 crore on September 30, 2026, down from Rs 16,273.7815 crore at March 31, 2026. Total equity increased to Rs 3,407.7813 crore from Rs 3,215.4907 crore, including other equity of Rs 2,945.1772 crore, compared with Rs 2,747.2626 crore at the financial year-end.

Cash and cash equivalents declined to Rs 2,075.8855 crore from Rs 3,487.3964 crore at March 31, 2026. The cash-flow statement shows first-half net cash used in operating activities of Rs 955.2078 crore, compared with an outflow of Rs 1,097.6269 crore in the prior-year period; Rs 1,908.9438 crore of the September cash balance was held in separate bank accounts on behalf of ministries and clients.

The operating cash outflow reflected working-capital movements despite profit before tax of Rs 494.8001 crore in the cash-flow statement. Trade payables decreased by Rs 550.0257 crore and other current liabilities declined by Rs 566.4784 crore, while trade receivables and retention from clients increased by Rs 187.4949 crore during the six months.

NBCC’s board declared a second interim dividend of Rs 0.25 per equity share of face value Rs 1 for financial year 2026-27 on November 5, 2026. This followed a first interim dividend of Rs 0.15 per share, paid on September 8, 2026, while the Rs 0.46 final dividend for financial year 2025-26 was paid on October 7, 2026.

What real-estate approvals and other matters remain unresolved?

NBCC has several real-estate assets affected by approvals, construction status or legal processes. Its Naya Raipur land bank carried Rs 20.9937 crore at September 30, 2026 for a 30,436-square-metre group-housing plot, where the lease deed remains unexecuted. The authority extended the construction period to June 26, 2027, and NBCC requested a further four-year extension in August 2025.

At Faridabad, NBCC’s land bank included Rs 132.3054 crore for a 16,753.99-square-metre group-housing plot, up from Rs 131.7841 crore at March 31, 2026. Execution of the conveyance deed is pending environmental clearance and a forest-department no-objection certificate, and the group has recorded a Rs 10.7366 crore provision for a reduction in the land’s net realisable value.

The Kochi group-housing project carried total cost, including land, of Rs 87.0091 crore as of September 30, 2026. Sales remain on hold pending environmental clearance and other approvals, although NBCC said it requested reconsideration of its clearance application after the Supreme Court’s July 29, 2026 directions on applications affected by the earlier stay order.

Separately, a value-added tax demand of Rs 404.8001 crore remains unascertainable because the matter was remanded for recalculation and no further order had been received from the department by September 30, 2026. The statutory auditors issued an unmodified conclusion on the consolidated results while drawing attention to these disclosed matters and governance-composition non-compliance during the quarter and six months.

Conclusion

NBCC’s first-half result combined a 26% rise in net profit with a 7% increase in operating revenue, led by higher PMC income and a 146% increase in real-estate revenue. The business mix changed materially: real estate added Rs 41.9651 crore of segment result versus Rs 9.2815 crore a year earlier, while EPC moved from a Rs 9.5148 crore segment profit to a Rs 1.0797 crore loss.

The next disclosures should show whether real-estate approvals progress at the Rs 87.0091 crore Kochi project, the Rs 132.3054 crore Faridabad land bank and the Rs 20.9937 crore Naya Raipur plot before the June 26, 2027 construction deadline. NBCC also disclosed that its proposed merger with wholly owned subsidiary HSCC (India) Limited remains subject to approval by the competent authority and applicable government, statutory and regulatory bodies.