CCCL - C C C L

📊 NSE: CCCL 🏢 Construction 📅 Last Updated: 12/13/2025 20:03

💰 Financial Performance

Revenue Growth by Segment

Total operating income grew 40.2% YoY from INR 127.01 Cr in FY2024 to INR 178.1 Cr in FY2025. Q1 FY2026 revenue reached INR 51.6 Cr, an 88.3% increase over Q1 FY2025 (INR 27.4 Cr). Growth is driven by healthy execution in the building segment across industrial, commercial, and residential projects.

Geographic Revenue Split

High geographic concentration with 99% of the order book and revenue generated from three states: Tamil Nadu, Karnataka, and Andhra Pradesh.

Profitability Margins

The company reported a PAT of INR 50.40 Cr in FY2025 (19.81% margin) compared to INR 665.67 Cr in FY2024; however, these figures are skewed by insolvency settlement adjustments. Operating margins remain weak due to high fixed expenses.

EBITDA Margin

EBITDA margin was -30.03% (INR -53.43 Cr) in FY2025, showing improvement from -526.88% (INR -668.89 Cr) in FY2024. The company remains operationally loss-making but expects to turn positive in the near term as scale increases.

Capital Expenditure

Planned capital expenditure of approximately INR 30.0 Cr in FY2026 to support increased scale of operations and project execution.

Credit Rating & Borrowing

The company is currently debt-free with an overall gearing of 0.00x as of March 31, 2025. Previous ratings of [ICRA]D were withdrawn following the settlement of INR 1,962.05 Cr in bank facilities and INR 50.0 Cr in NCDs.

⚙️ Operational Drivers

Raw Materials

Key raw materials include steel, cement, sand, and other metals. These typically represent a significant portion of the EPC cost structure, though specific percentage breakdowns per material are not disclosed.

Import Sources

Sourced domestically within India, primarily from regional suppliers in South India (Tamil Nadu, Karnataka, Andhra Pradesh) to support localized project execution.

Key Suppliers

Not specifically named; the company utilizes a qualified vendor and subcontractor network alongside in-house engineering and planning teams.

Capacity Expansion

The company has executed over 900 projects totaling 150 million square feet. Current capacity is reflected in its order book of INR 611.15 Cr as of late 2025, which is 3.44x its FY2025 revenue.

Raw Material Costs

Profit margins are susceptible to raw material price fluctuations; however, risk is mitigated by price escalation clauses present in most contracts, allowing costs to be passed to customers with a lag.

Manufacturing Efficiency

Execution momentum is improving, with H1 FY2026 revenue reaching INR 74.12 Cr and projections to exceed INR 280 Cr for the full year FY2026.

Logistics & Distribution

Distribution is localized to project sites in Tamil Nadu, Karnataka, and Andhra Pradesh; costs are integrated into EPC contract pricing.

📈 Strategic Growth

Expected Growth Rate

57%

Growth Strategy

Growth will be achieved through the execution of the INR 611.15 Cr order book, of which INR 282.06 Cr is slated for realization in FY2026. The strategy focuses on leveraging a 30-year track record to secure repeat orders from private sector clients in the building and infrastructure segments.

Products & Services

Integrated EPC and building contractor services including design, engineering, procurement, civil/structural works, and MEP (Mechanical, Electrical, Plumbing) interfaces for industrial, commercial, and residential projects.

Brand Portfolio

CCCL (Consolidated Construction Consortium Limited).

New Products/Services

Expansion into hospital infrastructure and specialized institutional segments within the existing EPC framework.

Market Expansion

Deepening penetration in the South Indian market, specifically targeting private sector industrial and commercial turnkey projects.

Market Share & Ranking

Modest scale of operations (INR 178.1 Cr revenue) within a highly fragmented and intensely competitive civil construction industry.

Strategic Alliances

Maintains a 40% interest in the joint venture Yuga Builders for residential development.

🌍 External Factors

Industry Trends

The civil construction industry is growing but remains fragmented. There is a trend toward integrated EPC models where contractors handle design-to-maintenance responsibilities.

Competitive Landscape

Intense competition from numerous regional and national players, which keeps operating margins under significant pressure.

Competitive Moat

Moat is based on a 30-year track record and established relationships with private clients, yielding repeat business. However, this is challenged by the low-barrier, tender-based nature of the industry.

Macro Economic Sensitivity

Highly sensitive to industrial capex cycles and private sector investment in real estate and infrastructure.

Consumer Behavior

Shift toward demand for integrated turnkey solutions in the industrial and institutional segments.

Geopolitical Risks

Minimal direct impact due to domestic focus, though global commodity price shifts (steel/oil) affect input costs.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Insolvency and Bankruptcy Code (IBC) settlement terms under Section 12A, which dictate specific financial obligations over a seven-year period.

Taxation Policy Impact

Not disclosed; however, the company reported a PAT of INR 50.40 Cr in FY2025 despite operating losses, suggesting significant tax or exceptional item impacts.

Legal Contingencies

Pending obligations include INR 80 Cr payable from future arbitration proceeds and INR 85.42 Cr earmarked for potential bank guarantee invocations. Auditors issued a disclaimer of opinion regarding the adequacy of internal financial controls for FY2025.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the ability to turn EBITDA positive (currently -30.03%) as scale increases to the projected INR 280 Cr+ level.

Geographic Concentration Risk

99% of the order book is concentrated in Tamil Nadu, Karnataka, and Andhra Pradesh, exposing the company to regional economic or weather-related downturns.