GLOBECIVIL - Globe Civil

📊 NSE: GLOBECIVIL 🏢 Civil Construction 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue from operations grew 13.97% YoY to INR 378.58 Cr in FY25. The EPC segment contributes 97% of revenue, while trading activities account for the remaining 3%. Standalone revenue grew 10.69% to INR 328.84 Cr.

Geographic Revenue Split

Primarily focused on Delhi/NCR and North India. The company has established 6 joint ventures as of March 31, 2025, to expand reach into new markets and specialized projects.

Profitability Margins

Net profit margin improved significantly from 4.63% in FY24 to 7.38% in FY25. Standalone PAT increased 56.39% to INR 24.05 Cr. H1 FY26 consolidated PAT stood at INR 11.03 Cr with a 6.84% margin.

EBITDA Margin

Consolidated EBITDA margin improved to 16.43% in FY25 from 15.10% in FY24, an increase of 133 bps. Standalone operating profit margin was 16.11% in FY25 compared to 14.54% in FY24 due to operational efficiencies.

Capital Expenditure

Not explicitly disclosed in absolute INR Cr, but the company is investing in advanced construction technology, including precast systems and integrated MEP solutions to accelerate project scale.

Credit Rating & Borrowing

Long-term rating upgraded to IVR BBB/Positive (from Stable) and short-term rating reaffirmed at IVR A3+ in October 2025. Finance costs decreased 13.5% YoY to INR 19.44 Cr in FY25.

⚙️ Operational Drivers

Raw Materials

High-value construction materials including steel, cement, electrical components, and finishing materials for sports infrastructure.

Import Sources

Not disclosed in available documents; primarily domestic sourcing for civil construction projects.

Capacity Expansion

Successfully completed 37 projects and currently managing 13 ongoing projects. Order book grew from INR 309.05 Cr in FY22 to INR 669.10 Cr in March 2025, exceeding INR 1,000 Cr by November 2025.

Raw Material Costs

Raw material expenses were INR 302.60 Cr in FY25 (Consolidated), representing ~80% of revenue. Strategy involves procuring high-value materials on an advance basis to reduce direct costs and improve margins.

Manufacturing Efficiency

Not applicable as an EPC company; efficiency is measured by project execution speed and better cost control as the company scales post-listing.

📈 Strategic Growth

Expected Growth Rate

20-25%

Growth Strategy

Achieving growth through direct bidding (saving 1-2% JV commissions), targeting larger ticket-size projects (INR 200-400 Cr vs INR 50-100 Cr), and utilizing pre-qualification credentials for fully funded government EPC contracts.

Products & Services

Civil construction services for metro infrastructure, residential/commercial buildings, hospitals (AIIMS), educational institutions (IITs, DPS), and sports stadiums.

Brand Portfolio

Globe Civil Projects Limited.

New Products/Services

Adoption of precast systems and integrated MEP (Mechanical, Electrical, and Plumbing) solutions to improve execution speed and margins.

Market Expansion

Expanding into specialized infrastructure segments like sports infrastructure and public utility terminals through 6 established JVs.

Strategic Alliances

6 Joint Ventures established as of March 31, 2025, to pursue specialized projects and mitigate project-specific risks.

🌍 External Factors

Industry Trends

Shift toward fully funded Central Government and PSU-led EPC contracts which ensure predictable cash flows and reduced working capital risk.

Competitive Landscape

Operates in a highly fragmented and competitive civil construction sector with intense pressure on margins.

Competitive Moat

Durable advantages include a 40-year track record, pre-qualification credentials for high-value government tenders, and an in-house design/engineering team.