<h1>Capacit'e Infraprojects: Navigating Q1, Eyeing H2 Surge</h1>

Ashwin Thakker

— 1 min read
  • Full-year revenue growth target: 20% CAGR (circa INR 2880 Cr).
  • EBITDA margin guidance: 16.5% to 17.5% for FY26.
  • Order inflow target: INR 4,000-4,500 crores for FY26, with expectation to surpass.
  • Full-year Capex outlook: INR 75-80 crores.
  • Q1 FY26 revenue: INR 599 crores (impacted by monsoon/Eid).
  • H2 FY26 revenue expectation: Over INR 1,500 crores.
  • Working capital improvement: Positive cash flow of INR 54 crores in Q1.
  • Finance cost reduction: Average interest rate targeted below 10% by year-end.
  • Pledged shares: Expected to reduce significantly, aiming for only CIDCO project-specific pledge by FY26 end.

Capacit'e Infraprojects reaffirms its ambitious FY26 guidance despite Q1 challenges from early monsoon and Eid. The company remains confident in achieving its 20% revenue growth and 16.5-17.5% EBITDA margin targets, anticipating a significant ramp-up in the second half. Strategic project execution and robust order inflows underpin this optimistic outlook.

Revenue and Margin Resilience

Capacit'e Infraprojects maintained a strong full-year outlook during its Q1 FY26 earnings call, targeting 20% revenue growth and an EBITDA margin of 16.5% to 17.5%. Despite Q1 revenue of INR 599 crores being impacted by seasonal monsoons and Eid-related labor migration, the company expects a significant pickup. Rohit Katyal, Executive Chairman, stated,

the company will achieve its full year's guidance.

He added,

execution to ramp up significantly in the second half,

expecting over INR 1,500 crores in revenue. The company anticipates

full year guidance will be maintained or bettered

for EBITDA.

Strategic Order Book and Financial Health

The company's confidence stems from a robust order book exceeding INR 11,000 crores, providing over three years of revenue visibility. Capacit'e aims for INR 4,000-4,500 crores in new order inflows for FY26, selectively choosing projects for higher margins. Key projects like CIDCO, MHADA, and NBCC are set for strong momentum from Q3. Financially, positive Q1 cash flow of INR 54 crores indicates improving working capital. The company also anticipates average interest rates to fall below 10% by year-end, further enhancing profitability.

Capacit'e Infraprojects is poised for strong H2 FY26 performance, driven by strategic project execution and a solid order book. Despite Q1 seasonal impacts, the company confidently reiterates its full-year guidance for revenue growth and margins. Proactive measures for labor management and an improving financial profile underpin its trajectory toward achieving ambitious targets and delivering sustainable value.

Read more