Engineers India Limited (NSE: ENGINERSIN) Q1 2026 Earnings Call dated Aug. 18, 2025
Corporate Participants:
Unidentified Speaker
Bhoomika Nair — Moderator
Sanjay Jindal — Director (Finance)
Analysts:
Unidentified Participant
Mohit Kumar — Analyst
Amit Anwani — Analyst
Vivek Gautam — Analyst
Nidhi Shah — Analyst
Saket Kapoor — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Engineers India Limited Q1FY26 earnings conference call hosted by DAM Capital Advisors Limited. As a reminder, all participant lines will remain in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal the operator by pressing Star then zero on your touchstone telephone. Please note that this conference is being recorded. I will now hand the conference over to Ms. Bhumika Nair from Dam Capital Advisors Ltd. For opening remarks. Thank you. And over to you.
Bhoomika Nair — Moderator
Thanks. Good morning everyone and a warm welcome to the Q1FY26 earnings call of Engineers India Limited. From the management today we have Mr. Sanjay Jindal, Director Finance. Mr. Suvendu Pari, Company Secretary and Investor Relations. Mr. R.P. batra, Executive Director, Finance and Accounts and Investor Relations. Mr. Amanpreet Singh Chopra, Senior General Manager, CMD Office and IR Mr. Vivek Meeda, Senior General Manager, Marketing, BD and IR and Ms. Neha Narula, Senior Manager, SAPNI Secretariat and IR. At this point I’ll hand over the floor to Mr. Jindal for his initial remarks post which we’ll open up the floor for Q and A.
Thank you. And over to you sir.
Sanjay Jindal — Director (Finance)
Thank you, Ms. Bhumika. Good morning everybody. We have declared our financial Results for the first quarter ended 30 June 2025. On the 30th 13th August 2025, Company Order Book position has reached its all time high and stands at Rupees 12,145 crore as on 30th of June 2025 as compared to Rupees 11,717 crore as on 31st March 2025. Order inflow in EIL during the 1st quarter of financial year 2526 stands at Rupees 1430 crore which comprises Rupees 609 crore in consultancy segment and Rupees 821 crore in turnkey segment. In the 1st quarter of financial Year 2526 the company achieved a turnover of Rupees 857 crore in comparison to Rupees 611 crore in the 1st quarter of financial year 2425 showing an increase of around 40%.
With turnover from consultancy and engineering segment amounting to Rupees 408 crore and 449 crore in turnkey segment. During the 1st quarter ended 30th June 2025, the company recorded profit before tax of Rupees 94 crores and profit after tax of Rupees 70 crore in comparison to Rupees 74 crore and 55 crore respectively. During the 1st quarter of financial year 2425 showing an increase of 27% approximately in the PBT and PAT operating margin during the 1st quarter of financial 2526 stood at around 7% I.e. rupees 59 crore as compared to 6% I.e. 36 crore. During the quarter ended June 2024.
EBITDA of the company as on 30th June 2025 stood at Rupees 105 crore. EBITDA margin is 12% in comparison to 85 crore as on 30th June 2024. The company is maintaining a healthy earning per share of Rupees 1.25paisa during the quarter ended June 2025 as compared to earning per share of Rupees 97paise during the June quarter 2024. On consolidated basis, the company earned a profit of Rupees 65 crore for the quarter ended 30 June 2025. Now it’s to Bhumika Ji.
Questions and Answers:
operator
Thank you. Ladies and gentlemen, we will now begin the question and answer session. Anyone who wishes to ask a question may press STAR and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press STAR and two participants are requested to use their handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question comes from the line of Mohit Kumar from ICICI Securities. Please go ahead.
Mohit Kumar
Hi. Good morning sir. And thanks for the opportunity. My first question is in this particular quarter we have reported the reported losses on JV Joint Venture. Can you please help us explain the losses and the likelihood of returning to profit from next quarter?
Sanjay Jindal
Yeah. Actually in this first quarter RSCl project was under shutdown for the normal shutdown shutdown of the project. And it was shut down almost 45 days out of 90 days. And now this project in this project is doing well and it is already working at more than 90% capacity. And we are sure that in this quarter we will have profit.
Mohit Kumar
Understood, sir. My second question is on this particular quarter we have reported around 17% EBIT for the consultancy. Is it fair to assume that we will report we should bake in our model 22% EBIT margin for FQF going forward. Is that a fair assumption?
Sanjay Jindal
I think this is a fair assumption. On year to year basis we are having around 22% margin in the EPCM business consultancy job.
Mohit Kumar
Understood, sir. And given this a very strong order book on the consultancy, is it fair to expect a 20% growth in the top line from consultancy for the next two, three years? How do you think the growth of the cycle?
Sanjay Jindal
Growth?
Mohit Kumar
Yes, given this very strong order book on the consultancy, around 4.4 times, is it fair to assume a 20% growth in the top line for the next.
Sanjay Jindal
Few years for the consultancy business it will be in the range of 12 to 15%.
Mohit Kumar
But higher than that, given this book.
Sanjay Jindal
Some portion will come from the turnkey business also. So overall basis it is 20%. And out of that 20% around 12 to 15% from the consultancy business because consultancy business is more profitable to you.
Mohit Kumar
Yes, understood sir. Thank you. Best of all, thank you.
Sanjay Jindal
Okay.
operator
Thank you. The next question comes from the line of Amit Anwani from PL Capital. Please go ahead.
Amit Anwani
Hi sir. Am I audible? Yeah, yeah. Thank you for the opportunity. So first question again to the previous answer, you’re saying 20% top line growth out of which 1512 to 15% consultancy it does it mean that we are expecting more than 50% contribution from Turnkey for FY6? Hello. I’m audible.
operator
Yes Amit, you are audible.
Unidentified Speaker
So yeah, normally it remains. Normally it remains in the same range somewhere at consultancy would be around 60%. 55. 60% then 40, 45%. Yeah, it was around 52% in this quarter. LSTK was. Consultancy was around. No, sorry. ILSDK was around 52% in this quarter and consultancy was around 48%. So normally it remains somewhere around the same figure. I mean it could be 55% consultancy and 40, 45% turnkey. So normally it remains in the same.
Unidentified Speaker
Basically overall growth we are expecting around 15%. It will be coming from the both. The segments turnkey as well as the consultancy segment.
Amit Anwani
Understood.
Unidentified Speaker
Right now estimate going forward we can revise the estimate based on the execution.
Amit Anwani
Right sir. And second question again on consultancy we have been doing very good from past two quarter and even the overseas consultancy is seeing good conversions. So wanted to understand are we expecting same run rate and we were talking about some setups in Middle East. So what is the guidance will be continuing this run rate of order inflow? From consultancy which we have done in past two quarters for the remaining quarters international.
Unidentified Speaker
Yeah, that’s true. That international has been giving good business to us primarily from the Middle east and Abu Dhabi. As of today we have already reached 950 crores from the. From the. In the overseas segment. In the current as of today we have secured businesses 960 crores. So we see more opportunities in the international segment only. So it is going to grow.
Amit Anwani
Understood sir, is it fair to assume since we saw consultancy margins kind of keeping low this quarter and last year we saw it is scaling up by the end of 4Q so are we expecting kind of 25% what we did last year on margins for consultancy? That is my last question. Yeah.
Sanjay Jindal
Sorry, yeah. In the last quarter there were certain items basically settlement of change orders and the right back of provision. So going forward the margins basically segment margin shall be in the range of around 20 to between 20 to 25%. And in case a particular project is being completed, in case there is some variation order the quarter to quarter there may be a variation but on overall basis basically we are expecting the consultancy segment margin in the range of between 20 to 25%.
Amit Anwani
Understood sir. Thank you sir.
Unidentified Speaker
In the last quarter there was impact of 195 crore due to change order. That’s why our quarter performance was extraordinary.
Amit Anwani
So is there any change order expected this year?
Unidentified Speaker
Definitely we are having change order with our clients and that are under processing with the clients and it depends upon the time when it materialize and definitely it is in this year also it’s a continuous process.
Amit Anwani
Understood. So thank you.
operator
Thank you. We take the next question from the line of Vivek Gautam from GS Investment. Please go ahead.
Vivek Gautam
Yeah, just wanted to understand. Sorry I was late in joining the call sir. Just wanted to know what was the reason for the downturn in the profit? Was it due to the losses in our JV Ramagundam and other sort of things? What value are we getting by going in for such JVs and is it a government pressure?
Unidentified Speaker
No, no actually our RSL project is going well and you have seen in the last year there was good profit from the RSL project But in this quarter RFCL project was under planned shutdown for planned shutdown and out of 90 days it was under shutdown for 45 days. That’s why there is some figure of losses but it will be get covered in this quarter because plant is already running on good capacity at good capacity. So we are definitely sure in this year we will have good profit from the RSL project.
Vivek Gautam
What about other JV?
Unidentified Speaker
Sir, I am talking about the RFC JV.
Vivek Gautam
Yeah some other JVs also we are having.
Unidentified Speaker
No, we don’t have other JV.
Vivek Gautam
The second thing is Madam CMD. Is she retiring this year and by when?
Unidentified Speaker
Because her tenure was on February 25th. February 25th it is scheduled. It is super native.
Vivek Gautam
Yeah yeah. That is again another bane of PSU that you have to compulsorily retire at the age of 60 unlike private sector. So any chance of an extension or. There hasn’t. There has been no president of that sort in the past for.
Unidentified Speaker
We can’t say anything on this aspect.
Vivek Gautam
Okay. Okay. Okay okay sir. And basically how is the future looking like for us? You know for the first time that it was in the March quarter there was good uptick in the top line and bottom line also. So we had moved away from oil and gas sector to the other sectors also. Was that the reason? So that is. Is that sustainable and the is it margin accretive?
Unidentified Speaker
Yes, the future is still bright and we are working towards it. If you see that we already reached to the order book of 12,000 crores as of now in this quarter itself. So we have added more orders to the tune of right now we have around 2,700 crores already as of today. So we are hopeful that we get more orders and we beat the last year’s record and let’s hope for the.
Vivek Gautam
Best and in gone I have been the major oil discovery and there is an Indian Diaspora Indian politician Mr. Ashraf Ali is the president and have been have we been able to get any breakthrough in Guyana and also in any update on the Andaman prospects which can be good for us or the country. Also on the long term sir with.
Unidentified Speaker
Respect to Guyana we are in the power power plant project as a project management consultant Primarily it’s an exploration thing when the oil will come and they want to process it then our goal initially comes. So let’s hope for the best because what process they follow because ExxonMobil is the major contributor there and who’s into the exploration. So let’s hope for the best and with respect to the undermarks this is still in the initial nascent stage. Let’s hope when the actual reserves are there and explored and then processed so future is bright for India. If we get this reserve from n months and some some work from Guyana.
Let’S hope for the best
Vivek Gautam
Indian sedimentary. This is as far as the oil discovery goes not much of a success has been so far sir. Anything changing which you are finding and as you being from the same sector.
Unidentified Speaker
Sir, I would not be able to comment because that’s more of an exploration part. So I think ONGC or Oil would be the best to respond on that.
Vivek Gautam
Yeah. Okay. Thank you sir.
operator
Thank you. We take the next question from the line of Bhumika Nair from Dam Capital Advisors Ltd. Please go ahead.
Bhoomika Nair
Yeah. Thank you. Sir. You know how you talked about the international pipeline. Can you please discuss and give some outlook in the domestic market? What is the outlook in terms of the ordering activity that you are seeing? You know if you can just highlight that for larger projects on both PET Chem and refinery.
Unidentified Speaker
Ma’, am, you are aware that this Andhra project is going to come. So we are working on that. As in the initial we have been given a work for selecting the licenser and finalization the configuration. So that’s one of the prospective project which is going to come towards the end of this financial. That’s one of the opportunities as well as there are certain more projects under consideration which we are discussing. Lot of opportunities are there in the infrastructure segment also like we have got various assignments from the data center, institutional buildings as well as various religious places, modifications.
So those opportunities have also come to us in the domestic segment. Some work has also come in the. In the metallurgical segment and we are anticipating some of the expansion projects which could come with respect to the state smelters. So.
Bhoomika Nair
On the IUCL side sir, any PET CAM projects, anything which is anticipated.
Unidentified Speaker
Field side PET CAM is already on. Bharati Petrochemical is on. Its phase one is already on. When the phase one completes, they will go for the phase two. So that’s. That’s the major opportunity which we’re coming to us because that’s already awarded to us. But formally phase two would be awarded when the phase one is complete. So that’s there. That’s the major project chem project from the IOCL side as of now.
Bhoomika Nair
But when is the phase one expected to be completed?
Unidentified Speaker
Sir, it’ll take a couple of more months. It almost. It was a 10 month schedule. So 4, 5, 3, 4 months have expired. So let’s see.
Bhoomika Nair
Okay. And anything on the HPCL side you spoke about bpcl, Andhra, anything else on any other projects of BP or HP.
Unidentified Speaker
With respect to the hpcl? The lobs was there and some modification. The law project is there and some of the projects are there on the anvil from their sides. Hpcl. I do not have much details immediately in my hand right now. So I’LL get back to you on that.
Bhoomika Nair
Sure. Okay. Secondly, on this, you know in the presentation you’ve spoken about the various orders that you got. Just wanted to clarify what is the difference between depository and LSTK OBE that we typically used to give earlier. If you can just explain sir, order profile different in the workings or in terms of cost, pass through etc.
Unidentified Speaker
No, it is. It is exactly different. This is considered as part of lstk. LSTK wherein we are completely responsible for execution of the project and all the risks are taken under under our purview because we work as an EPC contractor and we are responsible for execution of the project and delivering the project. Whereas in the policy mode it’s a mode of execution where we take the cost part ordering cost in our principal executor. So that’s the basically difference. But primarily it is considered as part of consultancy only while lstk deposit is considered as a part of consultancy while the LSTK is purely an execution work.
So that is considered as a step under the different purview altogether.
Bhoomika Nair
Understood? Understood. Fair point. Lastly sir, you mentioned that the international order intake is around 950 crores till day. And I see in 1Q we’ve got 475 crores. So where has the balance, you know, close to 475 crores kind of come from? If you can just highlight that it has come from.
Unidentified Speaker
It has come from Abu Dhabi and one of the few of the projects have come from Kuwait. It’s called Al Khafji Joint operations. So we have got one assignment from there and rest of them have come from the Abu Dhabi uae.
Bhoomika Nair
Understood? Understood. Fair point. Fair point. Okay, this helps. Thanks so much. I’ll get back in the queue. Thank you.
Unidentified Speaker
Sure.
operator
Thank you. The next question comes from the line of Nidhi Shah from ICICI Securities. Please go ahead.
Nidhi Shah
Yes, thank you for taking my question. So you mentioned on the IOCL paradigm, phase two will be awarded after phase one. Is there anything remaining in phase one to be awarded still?
Unidentified Speaker
It is. Phase one is.
operator
Ladies and gentlemen, we have lost the line of the management. Please stay connected while I rejoin the management. Thank you. Sam. Thank you for your patience. Ladies and gentlemen, we have the management reconnected. Nidhi, if you can please re ask your question. Thank you. Hello. Nidhi, if you can please re ask your question.
Nidhi Shah
Am I audible now?
operator
Yes. Now you are audible.
Nidhi Shah
Yes. Yeah. So my question is basically on the IOCL Bharadi Phase 1. Is there anything that is pending to be awarded still.
Unidentified Speaker
For the phase one. The phase one part is already awarded. It’s already under the execution as part of the phase one. We have to prepare a study report as well as feed document for that so that they can proceed with the subsequent phases. So that work is already on. The complete work for the phase one is already awarded to us. Now when this report is submitted, their management will take a decision to go ahead on the project and then the phase two will start.
Nidhi Shah
And so is that fair to assume that phase two will have a larger portion of EPC than the consultancy?
Unidentified Speaker
No, it is. It’s like there’s some portion is on EPCM and some of the portion is on. On the EPC basis. But for us it is completely epcm. It’s already been awarded to us.
Nidhi Shah
Okay. Also, could you, could you please help us with your L1 positions? You know where. Where it is still not in the order books. We are waiting for loas and some details on those. On those tenders.
Unidentified Speaker
There are many of the projects which we keep on bidding and those remains in the. In the process of finalization with the client. So as soon as they are realized, these are considered as part of the order book and they are cleared in the subsequent quarterly results. So it will be declared. Many remains, many things remain in the pipeline till the time they are finalized. They cannot be declared because their competitive scenarios working that now. Okay, so.
Nidhi Shah
But are there any L ones which, you know, L ones that are just tending to be, you know, only LOA is remaining in that sense. Like the decision has been made finalized, but only the official loa is it that?
Unidentified Speaker
Yeah, there could be certain smaller orders which are under negotiation and finalization of the contract. But till the time the contract is not signed, it’s not necessarily that it’s all the competitive tenders. There could be certain negotiated tenders are also there which are in the process of negotiation and finalization of the contract. So as soon as they are signed, this will be declared. There are few jobs, are there? Definitely.
Nidhi Shah
And on the, on the Fed Chem side in the Middle east, are there some projects that you would like to call out that could possibly be tendered in the. In the next nine months?
Unidentified Speaker
There are a number of projects which are coming in Middle east, specifically in Saudi Arabia or in UAE or in Kuwait. So we are bidding for those projects. But they have a lead time of five to six months as soon as the tender is placed. So there is an evaluation time stall. Depends how it goes. We have bid few of the ones. So let’s hope for the Best.
Nidhi Shah
Thank you so much.
operator
Thank you. We take the next question from the line of Saket Kapoor from Kapoor and company. Please go ahead.
Saket Kapoor
Namaskar team and thank you for this opportunity. I hope I’m audible, sir.
Unidentified Speaker
Yes, yes you are audible please.
Saket Kapoor
Yeah, yeah. Thank you sir. Firstly, age of 14 announcement small modular reactor. If you could just elaborate what kind of opportunity are we eyeing in this space and if you could give us some more color on this.
Unidentified Speaker
So it’s like we are working with the PCI to work on this conceptual design and engineering services for that project. This work is already awarded to us. So this is going to be the first assignment. So if finally after execution of the same this will open opportunity for the other other kind of assignments. Because government of India is planning for a lot of this kind of SMRs all across the India for generation of the electricity and increasing the nuclear reach. So that is a good opportunity. But this assignment is awarded to us somewhere around. It is somewhere around 30 crores.
29. 30 crores. Okay. Okay.
Saket Kapoor
So it is one. It is a. It is the one which will be a testimony for going. Going ahead. Once we execute the thing starting point.
Unidentified Speaker
It could be the starting point. And then based on the success of this or with this we can start for the other projects also wherever NPCL works.
Saket Kapoor
Okay. And when, when are we going to execute the same? How long will it take?
Unidentified Speaker
We are working on this. We have already started the study on this.
Saket Kapoor
In the presentation there is a mention of business secured and order booking on slide number 10, 11 and 12. So what should investors read into these difference between business secured and order booking? How should one interpret these things?
Unidentified Speaker
Business secured is the current business which is. Which is secured in this financial year. An order book will include the orders which have already been executed in par in the in the past and they’re under execution. Normally a big order will have a cycle of three to four years. A big project will have a cycle of three to four years. So every financial year some of the unexecuted value will be there in the. In that. In that financial year. So this shows that this much of work is already there in our hand. Like suppose today you see that 12,000 crores or 12,000 crore worth of work is under execution with us.
While the business secure tells the new business which we have secured in this financial year.
Saket Kapoor
Correct. Sir, in your opening remark and also to answer to some of the participants you mentioned about 15% revenue growth on what we did for the last financial year should be what we are looking for for the Remaining for this year that that should be the top line growth that we can expect.
Sanjay Jindal
Yes, we are told that it should be around for consultants it will be 12 to 15%. Okay. It should be. It’s already. Yeah. Told 15% is what we should look.
Saket Kapoor
At in overall answer for the margin profile. And for the margin profile you mentioned that this 17% and 6% will hold going ahead or can we look for further improvement of the same? Last year sir, because of this changeover order the margins for our consultancy was at 30%. So that is a historical only that do we take into account or what should be. Because the basis will be very high when we look at our consultancy profitability for the last Cisco.
Sanjay Jindal
Margin shall be in the range of 22% which is our. Which we are maintaining for the last long period. So for the LSTK business it is a 5 to 6, 6 to 7% in the range of 6 to 7%.
Saket Kapoor
Okay. So going ahead we are. We will be experiencing with the improved business turnover improve. Improvement in margin. Since we have clocked 17% for the consultancy this this quarter. So there is a very likelihood of this going moving up and on an average we can look for 22%. That is what should be. Our trajectory should be
Sanjay Jindal
definitely all the margins will be retained and our there will be a positive growth in the turnover top line.
Saket Kapoor
Okay. So you mentioned about our the Rama Gundam unit being under. I think so some maintenance shutdown. So can you quantify to us sir what was its impact in terms of. In. In terms of the losses because of it? I think so. Under the JV part we have booked losses to the tune of around 7 and a half crore. So in the likelihood of that one off item what should have been the normal profitability or for the year what should we look at this segment sir in terms of the joint venture part? I think so there is some. There is some different component also that goes into. [Foreign Speech]
Saket Kapoor
n [Foreign Speech]
Saket Kapoor
Because then then the last year performance for Ramagunda was at. At its peak. I think so 100 crore was his highest taking. If we take into account 107 crore. Yes that was very pretty. So this year also we can we can look forward for this this number going ahead. I think it is only the urea based they are they are doing and there I think so energy efficiency and lot of AS also goes into so we can look forward for this kind of contribution to to continue.
Sanjay Jindal
We are we are sure we are going to get this kind this kind of contribution from the RFC in this year also.
Saket Kapoor
Okay and sir for our MD term to conclude I missed your comment on Vertica ma’ am term it it gets concluded when.
Sanjay Jindal
She is superannuating in the month of February 26th.
Saket Kapoor
Okay. And lastly sir, in the order booking part I think so domestically major EPC companies are seeing a slackening in the order release especially from the PSU segment whether it is ONGC Oil India and other state PSUs also. So what is our understanding and what portion of our order booking or bid pipeline is inclined or is related to the capex from either the center or the state phus.
Unidentified Speaker
With respect to the major lstks we you know that we bid only for the OB LSTK projects which are very specific so very state oil clients like the ongcs there we have been associated with them. We have been doing a lot of modifications for their projects with a lot of their assets are old and we are involved in the modification of that and those have been executed on OB basis. So exactly saying that if they’re awarding the EPCS normal in the normal EPC we don’t bid it’s only specific and but they discussed and very earmarked the OB projects which we bid in the LSTK segment.
Saket Kapoor
Okay and lastly sir, I think so for the I would request you to please yeah I will join. Yeah thank you friend. I will join the fq.
operator
Thank you. We take the next question from the line of Amit Anwani from PL Capital. Please go ahead.
Amit Anwani
So thanks for the opportunity Again one question on the non oil and gas business which is now 35% of order book and we have been talking about that the non oil and gas portion would be 30 35% of order intake this year as well. Wanted to understand the nature of contracts margin difference between oil and gas non oil and gas for us whether it is turnkey or consultancy and what is the conversion rate? Is it government contracts or are we talking going to take private contracts? Also some more color on the non oil and gas business since it is becoming more prominent part of our order book and also the duration of these orders.
Unidentified Speaker
Yeah primarily the major part of the non oil and gas business is coming from the infrastructure segments. These includes mostly the government clients as well as some of the private clients are also there. These are negotiated and contracts. And these are very specialized kind of contracts. We are working like for the institutions like IIT IAMs or Government of Jaipur. They have certain technology institutes. We are working for the data centers like we have worked with RBI Data center. Similarly Maha Masha Data center. So all these kind of work are there. In fact we have also recently worked for Ram Janu Bhoomi.
We have been awarded project management assignment for them for monitoring their campus modification is their walls campus wall modification. So all these kind of very specific assignments we are discussing and getting it from them. So normally these kind of projects have a period of execution of 24 to mostly 2 years time is there in these kind of projects. They are shorter duration contracts. The margins margins are good. These are mostly some of them on the LSTK basis. LSTK margins are available which are there in 5 to 6% and some of them are in the consultancy.
The consultancy remains in the range of 20% to 22%. That margin is maintained.
Amit Anwani
Right. And is it like nominated or are we competing? Who are the competitors in this space which are working on there’s number of.
Unidentified Speaker
Competitors available in the market. Infrastructure companies are there. So we compete against them. Some of them are negotiated and won. And some of them are on competitive basis. So all the companies are there in.
Amit Anwani
The market and this will be like 30, 35% or this can increase over next two years.
Unidentified Speaker
This portion right now it is around 40, 45%. So it depends it changes like this tentative all in nature. Because till the lab by the time we reach last quarter we can have other orders. So percentage keeps on changing.
Amit Anwani
Understood. But this is more sustainable. Since you’re winning quarter on quarter some portion sustainable.
Unidentified Speaker
You can see it that increasing for last I think two financial years.
Amit Anwani
Understood sir. Thank you sir. Thank you so much.
Unidentified Speaker
Thank you.
operator
Thank you. The next question comes from the line of Rohit from Tata aig. Please go ahead.
Unidentified Participant
Thank you for giving opportunity to ask question. So one thing is give me if I see historically last give me four or five year. Four or five years. Your top line for the next year is 35 to 38% of the opening order book. So if I go by that number of your 11,007 700 crores order book which was in the beginning of the year. And if I do the maths then I’m not able to understand what is why you are seeing a 15 growth projection as compared to your historically last 4, 5 years is showing a growth of 25 to 28 OD.
Sanjay Jindal
Actually this is the order book position and you know these are the long period projects and generally these projects are completed within the period of three to four years. And in the initial phase of project there is less lesser progress which contributes less to the top line. So after expiry of one year after getting the job it stimulates and we get the good top line also. Therefore we have said if for this year we are in the range of 15% growth and definitely we will try to get 20% growth. No doubt. But on the conservative side it is. 15% and definitely we are going to get the benefit of all time high order books in the coming years. Coming years also.
Unidentified Participant
But coming on interview and can see she. She’s saying that this year came in the projected growth will be between give me 30 to 35% in top line and you are saying a 50 growth. So I. I don’t know within the management team why you know such a misconnect is there. Is projecting. Projecting a growth of 30 to 35 and you are seeing a 15 growth on the. On the conservative side. So I don’t understand.
Unidentified Speaker
On conservative side we are 15 to 20%. But definitely some of the change orders are under process with our clients. And we are expecting that these change orders will also finalize in the current year. But this is the routine process because change orders are a continuous process. So if in case our change orders are approved by the client then definitely our growth will be 30 to 35%. But on the conservative side we are 15 to 20% on normal growth path.
Unidentified Participant
That I understood sir. You what you’re trying to say that your projection projects are long given gestation period. So the same had applied in the past also. Yes. So women this year is nothing new as compared to the past. In the past in the last five years you take the data, you can check it. Your average execution as a percentage of opening order book has been between 35. Between 33 to 35 odd percentage. And this year if I go with your 15% match would be the historically low. Where as in the last year you have gained order book of 8000 crore.
This year I guess you guys are on track to get 78000 crore order book again which you have already gained 2700 crores which you said in the call. So. It’S not conservative. I think it’s too conservative numbers and like why not give me to give us the proper clarity. To investor. I think that will be great. So if you can work out your numbers in the next coming quarter to make you can give a proper clarity and and. And vis a vis. Also if you see historically quarter one has been a weaker weaker quarter for you. This year you have posted your all time high quarterly numbers. And then also you are seeing a 15% growth.
Sanjay Jindal
Let me tell you, whenever we get the job generally in the first year progress turnover comes only 10 to 15%. And from the second year it comes to 20 to 25%. And then in the third year also it is 25%. So in the so all the order which we have received recently we are expecting only 10 to 15% turn off from these projects. That’s why we are saying we are keeping conservative approach of 20%. Otherwise in case there is a good progress in that project we can get more. But we are not making any promise on account of that.
Because project progress depends on the many factors. But in the first year projects progress is only 10 to 15%. That’s why we are keeping conservative approach. Otherwise.
Unidentified Participant
No, no, no. But sir, if you’re may I can take. You take this to in offline also. Because when you say 10 to 15% you got 8200 crores order book the last year. If I take a 15% of it, that is itself. But commit 1200 crores type of order inflow which should flow in this year from your last year order book. Last year order inflow and in FY24 you close the order book at 7800 crores or FY25. In this year also you will get some 7 as 70007500 crore order. Whatever you get there will be some order which needs to get executed in a shorter period of time.
Either I am not able to understand or I am taking the numbers wrong. But I don’t think so that 15 numbers which you are saying is a correct number.
Unidentified Speaker
No, no. Basically we have arrived at a number on the basis of the order book. New order definitely will add further to add. So that’s why we are saying that as of date we are expecting a around 15 to 20% growth in the turnover. And going forward we can definitely revise our numbers. Okay.
Unidentified Participant
And so my second question is give me in the current quarter you had a lower your LT escape margins. So in on an annual basis you will be achieving what you have achieved in the last eight years. So it’s not correct to see margins on quarter to quarter basis. So it’s better to see on the Annual base.
Unidentified Speaker
Correct? Definitely. Because you know EL is earning revenue from the implementation of project and income from the implementation. Project is always cyclic in nature. So it is better to see on the annual basis rather than on quarter to quarter basis because it fluctuates from quarter to quarter.
Unidentified Participant
And when you.
operator
I do apologize to interrupt you, could you please rejoin the queue?
Unidentified Participant
Thank you.
operator
Thank you. We take the next question from the line of Kunal Sheth from BNK361. Please go ahead.
Unidentified Participant
Hello. Semi audible yes. Yeah, hi sir, Good morning and thank you for the opportunity. So just wanted to check what is the order inflow run rate that you guys are building? You know we should work with for the next two, three years.
Unidentified Speaker
Can you, can you just repeat the question again please?
Unidentified Participant
What is the order inflow run rate you guys are building in? Or what is the number that we should work it annually for the next two, three years? What, what is the plan that we are targeting given that now the spectrum of opportunities that EL can participate in has gone up meaningfully? Yes, yes, exactly.
Unidentified Participant
The last year it was ordered. So yeah, I’m expecting that there would be some rise in that. At least we will be able to match the 8,000 crore which was this time for the first time we had achieved that kind of order book. The endeavor would be to meet the same kind of order book but with increase that we are perceiving that it should be 10 to 15%, 20%. We should be able to get more internal target for this.
Unidentified Participant
But do you think that this kind of run rate can be sustained for next two, three years or should be?
Unidentified Speaker
We should be the kind of.
If you see that the kind of CapEx investments and the, the focus by the government is there on the indigenization and so a lot of these projects will be coming there. Infrastructure has a lot of boost. So you see that our contribution of interest in our business is increasing. Similarly when we are going towards the development of the internal product. Suppose yesterday the new policies we launched deep, deep sea exploration more of when the oil comes to the market, truly there would be processing facilities. So refining capacity and pet CAM capacity will also increase. So there’s a lot of investment and boost from the government side also.
So we see that there’s a good opportunity for us. As soon as the projects are on, capex investments are there in the market. So it’s an opportunity for EIL to be there as a consultant. Got it sir.
Unidentified Participant
And lastly we also spoke about a. 5,000 crore turnover target. So is that the target that we. Have kept for sale for FY28 or should we be able to achieve it earlier as well?
Unidentified Speaker
We should. I think by 2028 we should be able to achieve it. Because as soon as the order book increases we are moving towards the same aim. So let’s hope for the best.
Unidentified Participant
Awesome. Thank you so much and best of luck for the future. Thank you.
operator
Thank you. We take the next question from the line of Ajinkya Jadav from Chris portfolio pms. Please go ahead.
Unidentified Participant
Yes, thanks for the opportunity. My question again is on the BSMR. So sir, if you can tell this 30cr assignment that we have got. So this is for. I expect this is for one project. So how many such projects are expected. To be from the. Hello. Yeah, yeah, we are listening. Yeah, yeah, yeah. So how many such projects are expected to be come from the government and in next maybe say two, three years.
Unidentified Speaker
No, it is. It is there in the articles also the government is pushing for this. Many private companies like many other public sectors like NTPC is also putting up the semis in future. They have also started study. So all oil, Oil, oil power companies are also anticipating to go for it. So there are a lot of opportunities all around, all around India. And you know that government is thinking of nuclear mission.
They. They’re thinking of achieving the under the Vixit Marath opportunity. They are thinking of 100 gigawatt from the nuclear. So that can only be achieved from the smaller reactors which are faster and easy to do it. So let’s hope for the best. A lot of projects are going to come for that. And all other companies will also be investing in this segment.
Unidentified Participant
So our scope will be around this 30cr number or will we be adding more offerings?
Unidentified Speaker
Actually this is. This is first of its own kind. We are just starting working on the conceptual design. Because even SMR is very new in the market now in the MD segment.
So as soon as it’s developed it’s our scope will always increase. Because we are a consultant. We can do all kind of complete evening procurement, government construction, management till the implementation. We can get involved. So this is just the starting point. This is going to increase. It’s time to come.
Unidentified Participant
And we have a fair chance of getting orders from the private BSMR players as well. Right?
Unidentified Speaker
Let’s see. Yes, we have now a lot of getting a lot of business from the private segment in competition also. So we are very much hopeful that private segment will be potential clients in future too for the SMR also.
Unidentified Participant
Okay. Yeah. Thanks. Thanks for answering my question.
operator
Thank you. The next Question comes from the line of Saket Kapoor from Kapoor and company. Please go ahead.
Saket Kapoor
Once again what is the cash balance currently on books and our any dividend distribution or cash distribution policy for the investor?
Sanjay Jindal
Our cash position is around 1100 crore. 1100 in this range of. Yeah.
Saket Kapoor
What is our dividend distribution policy or. Or sharing the cash with your investors.
Sanjay Jindal
In this year we have declared a dividend of four rupees on the face value of five rupees. So we are paying 80% dividend and I think this is more than 50% payout. Okay, but our dividend policy is minimum 30% payout.
Saket Kapoor
Correct sir. And just to. Just to. Or a humble understanding and submission. One of the participants did mention about the variation in what things look like in terms of the execution and the growth trajectory for the. For the current year especially between 15 and 35 the range looks a bit broader. So just a request and humble suggestion from investors like us is that if madam could also join the call and just allude to the premise on which her vision of achieving 30 35% and the team who is addressing us giving us conservatively 15 to 20% so that dilemma would have been cleared.
Has she been also joined and would have addressed her so request to give the feedback so that on the remaining tenure or the remaining calls which happened if ma’ am could join and just could have she would have clarified there itself where the gap is building up because that. That would have answered many questions.
Sanjay Jindal
Basically this is not the gap. This is the first quarter for the 25, 26 and in case our top line moves further towards 30 to 35% then definitely we will change over our forecast based on the coming quarters. It is not 80 we are giving any wrong information to our investors.
Saket Kapoor
No, no sir. No sir nobody.
Unidentified Speaker
Am giving more figure then it may be. I am giving a wrong figure to the investor already I’m giving a conservative. Figure then how can be I wrong?
Saket Kapoor
No sir, this is not the question of going either right or wrong. It is only the gap which the participant. Yeah it is a.
Unidentified Speaker
Sir, it is a question of forecasting and I should. Yes, yes give any additional figure to my investor and okay. On the basis of. On the basis of first year I am saying that the top line growth will be 20% and in case it further improves then definitely I will change. My guidance in the coming quarters only.
Saket Kapoor
Sir, you are absolutely correct on your perception but only when the. When the MD speaks there should be merit on what she is also alluding to so there should not be a difference here, sir.
Unidentified Speaker
You can talk to her offline.
Saket Kapoor
Okay. If she would have joined the call. Yes, sir. If she had, she would have joined the call for this hour. It would have worked much better than only the suggestion, sir. Whether it is there or not. Yeah, I don’t have any issue. Yeah. Thank you, sir. And all the best to the team.
Unidentified Speaker
You are already talking to Director finance of the company. And yes, we are on the right path.
operator
Thank you, ladies and gentlemen. That was the last question. I now have the conference over to Bhumika Nair from Dam Capital Advisors for closing comments.
Bhoomika Nair
Yes, thank you to all the participants for participating and being on the call. And the management for giving us an. Opportunity. Much and wish you all the very best. Any closing remarks from your end?
Sanjay Jindal
No, Bamika, it is already done. Thank you. Thank you.
Bhoomika Nair
Thank you. Thank you.
operator
Thank you on behalf of Dam Capital Advisors Ltd. That concludes the conference. Thank you for joining us. And you may now disconnect your lines.