Shares of a prominent Jhunjunwala-backed stock involved in undertakes turnkey EPC contracts and BOT projects on Public-Private Partnerships, are in focus after the company secured total orders worth Rs.5,773 crores in March 2025. The orders span across various divisions, including transportation, building, and water & environment, further strengthening the company’s position in key sectors.
Price Variation
During Monday’s trading session, shares of NCC Ltd reached an intra-day high of Rs.214.70 each, rising 2.5 percent from the previous closing price of Rs.209.48 per share. However, the shares have retreated since then and are currently trading at Rs.213.79 apiece.
Order Overview
The surge in the shares came after NCC Ltd reported securing additional orders amounting to Rs.5,773 crores (excluding GST) in March 2025. These orders are distributed across various divisions, with Rs. 2,686 crores allocated to the Transportation Division, Rs. 2,139 crores to the Building Division, and Rs. 948 crores to the Water & Environment Division. These contracts have been awarded in the normal course of business and are sourced from State and Central government agencies.
Importantly, these orders do not include any internal assignments, further reinforcing the Company’s strong position in executing projects for government entities. This significant order win highlights the Company’s ongoing expansion and capability to handle large-scale infrastructure projects, ensuring continued growth across its diverse business segments.
Segment-Wise Order Book
As of Q3FY25, NCC Limited’s total order book stands at Rs.55,548 crores, with significant contributions across various divisions. The Buildings division leads with 38 percent of the total order book. Other key segments include the Transportation and Electrical (T&D) divisions, each contributing 19 percent, while the Water & Railways division accounts for 10 percent. The Irrigation division holds 9 percent, and the Mining division makes up 5 percent. The Others category has a minimal contribution of 0 percent.
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Business Operations
NCC Ltd operates across multiple sectors within the construction industry, offering a diverse range of services. These include the construction of residential and commercial buildings under the Buildings and Housing sector, as well as the development of highways, roads, bridges, and flyovers in the Transportation sector.
The company is also involved in the engineering and construction of electrical transmission and distribution systems. Additionally, NCC Ltd undertakes projects related to water supply systems, sewage treatment plants, and environmental management under its Water and Environment division. Its expertise extends to the development of irrigation systems for agricultural purposes and railway infrastructure, including freight corridors.
Financial Overview
In its recent financial update, NCC Ltd reported consolidated revenue of Rs.5,345 crores for Q3 FY25, reflecting a slight increase compared to Rs.5,260 crores in Q3 FY24. However, the company reported an 11 percent decrease in net profits to Rs.206 crores in Q3 FY25, from Rs.231 crores posted during the same period last year.
Ratio Analysis
The company has a Return on Capital Employed (ROCE) of 21.63 percent and a Return on Equity (ROE) of 12.12 percent. Its Price-to-Earnings (P/E) ratio stands at 15.93, lower than the industry average of 19.94. Furthermore, the company maintains a current ratio of 1.52, a debt-to-equity ratio of 0.25, and an Earnings Per Share (EPS) of Rs.13.15.
Shareholding Pattern
As of December 2024, the shareholding pattern of NCC Ltd shows that promoters hold 22.02 percent stake, while Foreign Institutional Investors hold 18.13 percent, Domestic Institutional Investors hold 14.17 percent, and Retail Investors hold 45.68 percent stake in the company. Prominent investor Rekha Jhunjhunwala holds a 12.48 percent stake in the company.
Written by – Siddesh S Raskar
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