KNR Constructions Limited (NSE: KNRCON) Q1 2026 Earnings Call dated Aug. 12, 2025
Corporate Participants:
Unidentified Speaker
Venkata Ram Rao — General Manager of Finance & Accounts
Analysts:
Unidentified Participant
Shravan Shah — Analyst
Alok Agarwal — Analyst
Niteen S Dharmawat — Analyst
Chetan Jain — Analyst
Rehan Saiyyed — Analyst
Faisal Hawa — Analyst
Shrey Mehta — Analyst
Presentation:
Unidentified Speaker
SA Sat Foreign.
operator
Ladies and gentlemen, you’ve been connected to KNR Constructions Limited Q1FY26 earnings conference call. Please stay connected. The call will begin shortly. Ladies and gentlemen, you’ve been connected to KNR Constructions Limited QN FY26 earnings conference call. Please stay connected. The call will begin shortly. Ladies and gentlemen, good day and welcome to KNR Constructions Limited Q1FY26 earnings conference call. This conference may contain forward looking statements about the company which are based on beliefs, opinions and expectations of the company as on the date of this call. These statements are not the guarantees of the future performance and involves risks and uncertainties that are difficult to predict.
As a reminder, all participant lines will be 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 an operator by pressing Star then zero on your touchstone phone. I now hand the conference over to Mr. K. Venkataram Rao, General Manager, Finance and Accounts, KNR Constructions Ltd. Thank you and over to you sir.
Venkata Ram Rao — General Manager of Finance & Accounts
Good morning. Thank you for joining us today on the call to discuss the financial results for Q1FY26 along with me I am Mr. K. Jalandhar Reddy, Executive Director and Strategic Growth Advisor, our Investor Relations Advisor. We have uploaded results and investor presentation on the stock exchanges as well as on our company website. I hope everyone got an opportunity to go through it. We would like to touch upon a few key company updates and industry events post which we will answer Question and Answer Session the first quarter of this fiscal year saw muted ordering activities in the road sector with the NHI awarding only 166 km of the highway project between April and June.
On the execution side however, there was a modest improvement with NHI consisting 1092 kilometers of the highway in the quarter slightly ahead of Q1 FY25 level. One of the key factor contributing to the slowdown in the project rollout has been the government prudent decision to initiate bidding only after securing 90% of the required land and this measure aim at minimizing delay and ensuring smooth execution. However, the upcoming project pipeline remains strong with a robust portfolio worth of 3.4 trillion encompassing 124 highways and expressway projects spanning 6376 km. After these projects, around 84 are expected to be under the HAM model 28 through the ECC mode and toll under the BO2 model.
Despite the slower pace of new awards, operational indicators remain strong. Fast tech toll collection recorded robust growth with a whole user volume rose by 16% year on year and the total collection increased by 19% in Q1 FY26. The government is actively addressing key challenges by tightening bidding rounds through the additional performance security requirement and introducing strict eligibility criteria for BPR consultants and engineers. At the same time, the highway sector is implementing smart construction technology and innovative practice to enable real time monitoring, enhance transparency and boost productivity. Together these reform and technological advancement to significant elevate the efficiency, speed and quality of the infrastructure development.
Now coming to the key update of the company, the percentage of physical Progress as of June 30, 2025 for the Ham project is as follows. Ramana Tutora to Valenteri approximately 99%, voluntary to Capricorn approximately 98%, Chisur to Tutor approximately 94%, Magadi to Somar paid around 89% and Marupadu to Somar 43%. As of June 30, 2025, the company has already invested Rupees 676 crores out of Rupees 990 crores of the revised equity requirement for the all the HAM projects. The additional requirement of 314 crores to be infused as 185 crores in FY26 and 129 in FY27.
You can refer to slide number 23 of the investor presentation for the detail on each ham project. On May 21, 2025, the National Highway Authority issue a so called notice to the K.N. ramanathopara Infra Private Limited, a wholly owned subsidiary of Kena’s Construction Limited as well as to the parent company itself regarding certain concern relating to the MAN Carriageway service load and the associated structure. This notice led to one month suspension for participating in the feature bidding process. In response, the concessionary promoter submitted a detailed reply to the NHI addressing the concern raised. Subsequently, given the implication of the suspension, the transitionary approach to the Hanover High Court of Delhi is seeking relief to allow continued participation in ongoing and future debt.
On July 21, 2025, the Honorable High Court of Delhi is of considered opinion that Imperial order by the NHI has lived this life and further observed that under the guise of the suspension, the bar on the petitioner right to bid in the future bidding seems to be a drastic measure. The investigation is completed and also the one month period as mentioned in NHI letter is completed. Therefore, the suspension order should not be treated as disqualification anymore. The Department however shall be at liberty to take further action in accordance with the extent policies. Furthermore, the company in the joint ventures with Haxa Construction Limited has received a letter of acceptance from NTPC for development and operation of Venardi coal mines for blocking the Jharkhand with the company share of 74% and the other partner share of 26%.
The project has contract value of Rupees 4800 crores excludes GST with a five year operation period plus initially development period of 360 days. The coal quantity to be extracted approximately 34.5 million tonnes. The project marks the company strategic entry into the new business segment expanding its presence beyond core infrastructure. Now coming to the order book position as of 06-30-2025, the company’s total order book stand at Rupees 8305 crores which is divided into 27% of the road project, 17% for the irrigation project, 13% for the pipeline project and 43% for the mining project. Client wise the biogregation is 29% of order book is from the third party client and balance 21 is from the captive hand project.
The third party order book percentage split between the state government contract of 74% include this mining project whereas 4% for the central government and balance 1% is from the other private sector. The current order book will be executed over a period of one and a half to two years excluding mining projects. With the government emphasis on infrastructure development, we anticipate new auto rewards in the coming quarters. We hereby aim an order inflow of approximately 10,000 to 12,000 crores by the end of 2016 with a mix of NHI project, irrigation project, mining project and other state government projects.
Now let me take through the Q1 FY20 standalone financial performance first followed by the consolidated performance. The revenue for the quarter stood at 483 crores. EBITDA for Q1FY26 stood at 66 crores as compared to 192 crores in Q1FY28. EBITDA margin in Q1FY26 is 13.6%. Net profit for the quarter was rupees 51. Growth wiser was 134 gross in Q1FY25. Now coming to Q1FY26 consolidated financial performance. The company recorded a total revenue of 613 crores in Q1FY26 as compared to 985 crores in Q1FY25. EBITDA came at rupees one hundred and eighty three crores in Q1 of I26 compared to 279 crores in Q1FY25, EBITDA margin in the current quarter stood at 29.9%.
Profit after tax stood at 123 crores in Q1FY26. Now moving on the standalone balance sheet. The company continues to maintain a strong balance sheet. The working capital base now stood at 169 days compared to 93 days as of March 25. The consolidated date as of June 30, 2025 stood at 2018 crores as compared to Rupees 1847 crores as of 31 March 2025. The net debt to QP on consolidated basis as of 30 June 2025 stand at 0.3 times, 0.43 times as compared to 0.41 times as of 31 March 2020. With this we can open the phone for question and answer over to you.
Questions and Answers:
operator
Thank you very much. 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 answers while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shravan Shah from Dalit Capital. Please proceed.
Shravan Shah
Hi sir. Thank you sir. Sir, two main thing wants to understand. Yes sir. Good morning sir. Two things.
operator
Hello Mr. Shaban.
Shravan Shah
Yes sir, can you hear me? Sir?
operator
Hello, can you hear me on the current participants? The next question is on the line of Alok from Odilal Oswar. Please proceed.
Alok Agarwal
Yeah, am I audible? Hello.
Venkata Ram Rao
Yeah. Yes sir. Please go ahead sir.
Alok Agarwal
Yeah, yeah, yeah, yeah. So sir, just had few question one is execution has been very muted in this quarter. So you know first is what led to such a low execution. Even if you look at yoy basis or you know, considering it was not even a monsoon quarter still we have delivered pretty soft execution. So how are we seeing the coming quarter? Because again now we are in the monsoon quarter. So again the execution will be slow. So for full year you had guided for nearly 2500-3000 crore revenue in the last earning call. So any.
Any update on that?
Venkata Ram Rao
Definitely. Actually this quarter the revenue has muted. The reason is being that actually what are the existing order book is there. So except to four projects other projects is almost over 90% has been completed. And the four projects what is there? That is basically to this hand project where we have got funded it in the month of April only. And another one project is the Mangalore and one is project this. We got appointed it in the last year. So due to. Actually the project has achieved almost complete. Except these four projects almost all projects have been completed.
And this quarter also the revenue from the irrigation has been very. It is just 6% of the total revenue. So because the project has achieved all projects in order book is also very less. And the project have achieved almost more than 90%. And what are the new projects are there? They have just started. That’s why this quarter is the muted turnover.
Alok Agarwal
So what’s the outlook now since we got appointed date also for project in April. So what’s the outlook on execution for 2Q as well as the remaining part of FY26?
Unidentified Speaker
Actually sir, that my sudo project we are talking about two projects inside. I think it whose EPC value may come 1,200. So here we have focused to complete this project by coming October November. So one more year we are planning bonus also as every resource is free. So we would like to build more trust to complete this project as soon as possible. So any. Any of it is going to take another say one year. One year November up to November we will be able to complete this project. So entire revenue, whatever that is there periodically it will come.
Okay. Rainy season it is. But during the dry season it is on the peaks. So more or less dry seasons will be about to do 40, 40 crores in each of the projects. 80 crores we can expect in dry months. During the rainy month this is hardly around 10 to 15 because most of the progress is not that hard.
Alok Agarwal
No.
Alok Agarwal
So for full year what is our guidance? Any number you want to share.
Venkata Ram Rao
Up to this month I will be able to do around say 45.
Venkata Ram Rao
Entire company.
Venkata Ram Rao
For the. For the standalone entire company.
Venkata Ram Rao
We are thinking on it. But however any new orders which are coming up and their commencements are happening those will add to that actually.
Alok Agarwal
So sir, actually 2000 and 2500 is a big range actually. And I mean we had started last.
Venkata Ram Rao
Quarter five year anticipating like this is.
Venkata Ram Rao
That.
Venkata Ram Rao
Most of the projects have come to an end one day. And the new projects on the pipeline which were considered to be started. We do not know when they get started. So that is the major reason this is unpredictable little bit dilemma.
Alok Agarwal
Because. Okay. Because last quarter also we knew about these projects getting over. So we mentioned about approximately 2500-3000 revenue.
Unidentified Speaker
Yes. Actually I’m very sorry. This time we could have. We have done our best in pushing the pushing for orders wherever there is A tender we rushed in and all that. We have done our best but due to the market being very very aggressive. So we couldn’t achieve the L1 status in any of the projects. There are certain projects which we have already told you that some pipeline project they would likely to come down in two months time which is Maharashtra one or something in msrdc. That’s what so and few other projects in Telangana we have some Flyover projects about 700 crore Elven status we are enjoying.
I think. I think by the time they come up another one, two months.
Alok Agarwal
Sure sir. So if I just take the first quarter number, I mean then the quarterly run rate will remain largely the same only of 500 crore. There is no improvement in the second half. If we are going to do 2000.
Unidentified Speaker
Crore revenue we cannot expect anything because the phase is like that as well. Further you might have seen that rainy season is very aggressive this time. Most of the time it is aggressive but we are in a very aggressive rainy state like in Karnataka. Some Maengaluru project is also little bit left out in that. But there also heavy rains going on. And the Kerala is. You know the Kerala is kind of that. So rest all other areas at Mongolu the tepee and all they are okay. Mysore also to some extent we are able to do nothing.
Alok Agarwal
And sir, just one last question. This working capital has spiked quite significantly. If you look at just as compared to March especially the data days has gone up like from four and a half months to nearly you know eight months now. So what’s happened there?
Venkata Ram Rao
Basically out of. Out of in data section irrigation is almost around 800 crores is irrigation actually and 1200 crores the ham project is there 1200 crores of data and irrigation is still with unbilled and everything is still around 1300 crores are pending with the state government. So in this quarter we got only just 14 crores. Actually that’s a small amount only we got in this quarter. So that’s why the irrigation debtors are more. And now that corresponding turnover is also reduced. So that’s why we compare with that. That’s why that working capital cycle has.
Alok Agarwal
Sure. Okay sir, I think that’s all from my side. Thank you and all the best sir.
Venkata Ram Rao
Yeah. Yeah.
Unidentified Speaker
Thank you.
Venkata Ram Rao
Thank you very much.
operator
Thank you. The next question is from the line of Shravanshah from Wallet Capital. Please proceed.
Shravan Shah
Hi sir, can you hear me now?
Unidentified Speaker
Yes sir please.
Shravan Shah
Yeah. Again coming on on the execution front and the order info. So that’s the two pain points for us. So let Me bifurcate all these things. So in terms of the mining order that we have received 3500 odd crore. How much revenue this year, next year are we looking to get from that?
Unidentified Speaker
This year? Actually hardly around. That means commencement after commencement one year. Within one year we can only spend about say 90 crore. And later we should go by 700 crore per annum kind of thing. So that is the expected revenues.
Shravan Shah
Okay. Okay, got it. Second in the water pipeline this thousand odd crore that we have. So there how much 1073 crore is is the kind of a value is there. So out of that how much revenue are we likely to get this year and next year?
Unidentified Speaker
Actually sir that by March I think at 500 we are expecting out of that. And balance we need to complete within November of next year.
Shravan Shah
Okay. Okay. Balance in the entire will be in FY27. Okay. Got it. Yeah. Third as you already said that two ham projects are 1200 crore that we will be completing in next year. And one more ham project is there. So which is so that we will be entirely completing this year.
Venkata Ram Rao
Yeah, yeah, yeah. We will complete most in this year.
Shravan Shah
Okay. Okay, got it. Then the. The balance is the. The irrigation projects. So. So first of all the old one how much more do we think? So first is on the payment. So 1300 crore is pending. Do we think that we will be able to get the money from there by. By this March and how much. And second is the two new irrigation projects that we have got in Telangana around 430 odd crore. So from there how much more revenue are we looking to get in this year?
Unidentified Speaker
Actually sir, around one week back our MD sir and the minister concerned Minister had a meeting and they have promised to pay within a month’s time. And they are now. Actually we heard that sources that they have moved to get this loan on track. So once the load loan coming onto the track I think we will get paid. So this time we have a strong assurance to get paid from the views. So that is one good news sir. And rest of it the balance work we will complete. And once this is on track. So there should not be any problem.
I think by March we will be able to complete entire project. Only that is that the canal project which is having land problems. I think if they pay for that land acquisition also I think that project gets completed. Because the pump out project they can come in by another two, three months. But you know what happens once they pay? I think three months we will take. Once we get the payment we will take two to three months to commence. The project actually. But inflow canal is not ready because we are doing that inflow canal. So that will be the meaningless thing.
So they will be very keen to do that also. And you know we heard from the secretarial sources. One more thing that central government wanted this Kaleshwaram entire coalition project to be completed. Once they completed and they are ready to take over to pay the installment to the bank. Central government is going to pay the installments to the bank. So they have got certain assurance to go ahead. So it’s further there should not be. We are thinking.
Shravan Shah
Still I wanted a. So out of 1300 crore that we will still have to get from the government for this irrigation. How much do we think that by March we will be able to receive?
Unidentified Speaker
So actually if everything is in track, I think 1200.
Shravan Shah
Okay. Okay, got it. Second is on. Yes sir.
Venkata Ram Rao
Out of the date 800 is certified itself. So 800 once this issue will sorted out 800 they will immediately release and balance is once the bill has been approved. So that will also they will raise the balance.
Shravan Shah
Okay. Okay, got it. Second, for this 10 to 12,000 crore order info that we are looking at. So I. I hope that excludes this 3,500 crore. So we will be additionally looking at 6,500 to 8,500 crore order inflow. So there also if you can help us how much value of projects we have already bidded. Is there any L1. And second do we think that the this 3 and a half lakh crore NHI pipeline initially will there be a decent competition? And how much are we looking to to back from NHI?
Venkata Ram Rao
Particularly that this what we are projected 10 to 12,000 crores is excluding mining project. So right now we are targeting.
Venkata Ram Rao
And.
Venkata Ram Rao
Above that 10 to 12,000 we are targeting. So out of that actually almost around 2500 crores we are targeting in Tamil Nadu and MSRDC is there. That 2200 is there and around 2000 crores. We are targeting in Andhra Pradesh and around 700 crores project. That flyover projects are there in the GSMC that in Hyderabad and some projects in Musi river front Also we are expecting some projects and definitely some of the projects in irrigation sector in Madhya Pradesh, Rajasthan and some project in the BR and definitely NHA is also coming with 3.4 lakh crores of the order.
So on that also we are targeting to after considering every all aspects we are targeting around 10 to 12,000 crores.
Shravan Shah
Okay. So so net 10 plus this three and a half thousand. So 13,500 crore at least we will be targeting for this year. That’s a great. And last sir, in terms of the the this mining project and whatever the new do we think that 1314 margin guidance EBITDA level uh that will be maintained or will there be a possibility that we may have to maybe lower down to maybe a 1 odd percent lower?
Unidentified Speaker
Yes sir, 1 or 2% lower we can think of it but at least to say anything on that as a new subject with us and all the care that has been taken there with the available data bank and the consultant we have taken on board so with all those inputs only we have quoted the tender but however markets are little lesser only in mining. You also know that.
Shravan Shah
Okay, okay but at a blended level for companies still 13, 14% EBITDA margin is is doable now or maybe 12 odd percent is the way one can look at it.
Unidentified Speaker
Yes, it depends. Main thing is that we are thinking it should be doable because it’s a. We are expecting some more orders to add in this coming quarter so main thing is that if we add some more order and started execution on those orders then the dilution will happen on the manpower expenditure and equipment expenditures. So then that will stand to otherwise little bit here and there things will happen.
Shravan Shah
Okay. Lastly two things are monetization has anything we were supposed to do by this July so any any progress there and how much capex because for mining we have to do a decent 3400 crore kind of a capex for so for this year and next year what would be the capex.
Venkata Ram Rao
For demonetization? This monetization process is under a very advanced stage and we are expecting that within next month actually by one month we should sign the SPH the prospective investor as far as the capital requirement for this mining project. So initially because we removal will be there so that we will do with our existing assets but once we will go in depth and start extracting the coil at that time we may require some big machineries and equipment. So not much requirement in this year but definitely in the next year there will be big requirement for mining assets.
Shravan Shah
What would be the company level? Yeah yeah no.
Venkata Ram Rao
You can go last question.
Venkata Ram Rao
Yeah yeah the the capex number only sir wanted the for next year will it be a 300400 crore kind of a capex in EFF 27th?
Venkata Ram Rao
It could be.
Shravan Shah
Okay. Okay thank you sir and all the best for order win.
Venkata Ram Rao
Yeah yeah thank you.
operator
Thank you. The next question is from the line of Nitin from Aurum Capital. Please proceed.
Niteen S Dharmawat
Yeah thank you for the opportunity. Am I audible?
Venkata Ram Rao
Yeah. Yeah. And go ahead.
Niteen S Dharmawat
Yes sir. So my question is since now our order book is getting built during the current financial year. So what will the revenue and EBITDA guidance for the year. Will there be a negative growth during the year?
Venkata Ram Rao
Because as already we explained you in the earlier our questions because this year. Because right now we have order book of around 8300 crores. Out of that around 3500. Pertaining to mining and in mining this year actually we may not expect much turnover. Maybe around 90 to 100 crores turnover will come from the mining projects only. So this year that’s why our Target is around 2000-2500 crores. We are going to execute in this year.
Niteen S Dharmawat
Okay. No, because in the last call we mentioned about 20053000 crore. So is there any reduction in the target for the revenue?
Venkata Ram Rao
Because it’s last call we thought that we will receive this order actually. But we are not got any other except mining. And mining has its own gestation period. So if still if we receive some order actually in the order immediately and which can be executable. So definitely we will achieve that target. But now almost already five months has gone. If we already receive some. If you receive any hand project definitely it is not going to contribute in this year. If we receive some EPC projects then we may try to do some contribution in the Q4.
So as our guidance now. Yes small we have just decreased our guidance now it is around 2000 to 2500 for this year.
Niteen S Dharmawat
What is the range?
Venkata Ram Rao
EBITDA will be somewhere around 13. 13 to 13 and a half percent.
Niteen S Dharmawat
Okay. And my second question is. Sir, we had filed a court case against regarding a payment delay from the Kalangana government. And if I remember the payment amount was 977 crores something like that. So what is the status of that?
Venkata Ram Rao
So that’s why now actually E.D. s already explained. Actually last month actually we have one very progressive meeting with the government of Telangana. So now they are sorting out that bank funding issue for the project. And we expect that now they will clear at the earliest. So by this March definitely whatever the certified bill is there around 800 crores we should get it. And balance also what are the unbilled of around balance around 4 and 500 crores is there that also we are target to build it and take the money.
Niteen S Dharmawat
And this includes the interest due also since there is a delay or any other amount also or just the build amount that we are recovering interest is.
Venkata Ram Rao
Definitely we have put a claim along with the interest. But we have to see actually how interest we have to get. But first we are targeting to get our principal amount. And definitely for the interest our whatever the action is required from the outside, definitely we will take it.
Niteen S Dharmawat
Okay sir, thank you and wishing you best.
Venkata Ram Rao
Thank you sir.
operator
Thank you. The next question is from the line of Haytan Jain from Avendis Park. Please proceed.
Venkata Ram Rao
Thank you.
Chetan Jain
Thank you for the opportunity. My first question was on the order inflow part.
Chetan Jain
I understand that there’s been a slowdown.
Chetan Jain
Because of issues and NHA has put up a pipeline of 3.4 lakh crores in FY26. I just wanted to understand is there a also a delay?
Chetan Jain
Because every project needs to get a.
Chetan Jain
Cabinet approval for NHAI to award. That is first question. First part of the question and second part of the question is when do you expect any new long term plan on roads from the cabinet? Something like a Vision 2047. Yeah. I just wanted to understand what the government is thinking in terms of order inflow.
Unidentified Speaker
Actually sir, internally NH has compulsion to get the approvals. So that is right.
Unidentified Speaker
Further.
Unidentified Speaker
They’Re also linking to the land acquisition issues. So the delay that is causing all this.
Chetan Jain
The second question, what was that.
Chetan Jain
Vision 2047?
Unidentified Speaker
Yes, that’s what main thing is it’s linked as it is linked to the land acquisition issues maybe really that is quite difficult to say how much they are going to be. But I think if they little bit dilute on the term that.
Chetan Jain
Okay.
Unidentified Speaker
Because any HAM project I think likely HAM project could come up at lakh plus crores to be on HAM only that’s what the new six. So according to that once so much HAM is coming out. Definitely we all have our own role to play. But second thing sir, the land acquisition can happen in phases. So if they have confidence to complete the land acquisition within six months time they can as well go for tendering. So the tendering time would be around 45 days. Further again another one month to issue the LOA and further announce lol to the LOA also.
Then after that the agreement will take another 9 to 10 months package they will have in hand. So within that they can do wonders if they plan it well. So but I actually they are really thinking to push the case because they are getting so much. So probably they will dilute this and come to this time. That’s what I am estimating.
Chetan Jain
Understood. Understood. So just for my understanding, to summarize what you said, NHAI first has to acquire the land 90% and then get a Cabinet approval and then award the project. Or first the cabinet approval comes and then the land acquisition comes.
Unidentified Speaker
Actually, for cabinet approvals, I think they will put the status of the they are sending. Once they are sending the file, they’ll put the current status of the land acquisition and they are sending it and assurance to complete the balance land acquisition. They are mentioning some date and pending it. That’s what it is happening. What I heard.
Venkata Ram Rao
Okay, but.
Venkata Ram Rao
But they do need a cabinet approval, right? After above thousand gross projects. Understood.
Venkata Ram Rao
So it’s more like a check 1000. Then they may not be sending. But below 1000 there is no meaning also to code down. Because what is happening.
Chetan Jain
Understood, Understood. So. So just the last point to conclude. So everything depends on the land acquisition. How fast and how well planned the NHA does the land acquisition. Am I right? Yes.
Venkata Ram Rao
Or if they have confidence.
Venkata Ram Rao
Thank you, sir.
Chetan Jain
Thank you.
Unidentified Speaker
In the other line.
Chetan Jain
Understood. Thank. Thank you and all the best.
operator
Thank you. The next question is from the line of Rehan Sayed from TR Asset Manager. Please proceed.
Rehan Saiyyed
Oh yeah, and thank you. Good afternoon. Thank you again. So I want just more clarity. Am I audible? Right, sir? Am I clear now, sir?
Venkata Ram Rao
Somewhere better. Yeah, yeah.
Rehan Saiyyed
So sir, I want just more clarification on the diversification. Right. You have mentioned an addition to enter metro and rank by apc. What tangible steps have been taken towards this? Okay, I’ll speak slowly again. You have mentioned an ability to enter a metro and Runway. So what tangible steps have been taken towards this in advance stages. Just put some light bulb on that.
Venkata Ram Rao
Sir, your voice is not audible. We could not able to understand. I’m asking regarding sector diversification. Yeah, Please please.
Rehan Saiyyed
Can I repeat my question again, sir?
Venkata Ram Rao
Please repeat, sir.
Rehan Saiyyed
Yeah. Regarding diversification, you have mentioned that an ambition to enter the metro and railway. So what tangible steps have been taken towards this? And are there any bits in advance? You just put some.
Venkata Ram Rao
Your voice is not still clear.
Rehan Saiyyed
Sir, I’m asking about diversification in macro and railway.
Venkata Ram Rao
Into metro and railway.
Rehan Saiyyed
Like how. How is my legend working towards like what tangible steps you have taken?
Unidentified Speaker
Yeah, actually once there are bits of the quantum of size which we are expecting. Definitely we are there, sir. We have already discussed with NCC to quote in metros and earlier also we have quoted in future also we have continued to quote this.
Rehan Saiyyed
Like. Sir, if I more clarify. Like in which year we have we have seen some contribution from this sector.
Venkata Ram Rao
Like by FY27 or the next quarter. It is a Eco is coming, sir. We could not able to understand.
Rehan Saiyyed
Okay.
operator
Thank you. The Next question is from the line of Faizal Hawa from RG Hawa. Please proceed.
Faisal Hawa
Once this money comes in from the ham projects of the equity as well as the profit. Do you feel that we will be net cash positive? And from December con. Assuming that this money comes in in October will the interest of this 48 crores go down to less than 10 crores December ended quarter. That is one question. Second is sir, in this quarter the consolidated EBITDA has come to 30%. Whereas you are guiding for 13 to 14% in what is what has happened in this quarter that we have had this 30% EBITDA.
Venkata Ram Rao
So one thing is there definitely as of now also we are the cash positive and standalone. We have five and a half crores of the debt and 81 crores is there in the cash actually. So as of now also we are there cash surplus definitely under monetization of these assets. It will further improve our liquidity position. I think you are telling about console figures. So definitely once we we will wipe up these assets. So interest version will be the going to the prospective investors. So definitely this what are the finance cost is there? So what are the four assets? If you diluted definitely that debt actually will definitely pass on to the investors.
Venkata Ram Rao
That is one thing. And how did we manage the 30% EBITDA.
Venkata Ram Rao
That is in console level.
Faisal Hawa
But even in console I mean what.
Faisal Hawa
Is the standalone data is 13 and a half percent standalone.
Faisal Hawa
Any kind of extraordinary payments from any kind of sale of projects?
Venkata Ram Rao
No, no nothing that that will come even standalone also we sell in our investment also. So that amount also will reflect in the standalone. But I think you are talking about the console perspective. Yeah yeah definitely. Because what are the finance cost is there? That is the below of ebitda. So that’s why it is showing comparative more Otherwise it is because PVT is only PVT is around the 23% and PAT is around 20 percentage.
Faisal Hawa
Yeah, yeah. But again this. This financial year itself if we get this around thousand crores from Telangana previous dues and say another thousand crores comes as a ham equity profit and we generate another 500 crores cash. You said that the capex is hardly something like 200 crores for this year. So. And. And our sprock has reached almost where the book value of the stock is. So why is the company not using this money to going for a buyback or more aggressive dividends?
Venkata Ram Rao
What are the definitely by the cash.
Faisal Hawa
Which is going to come in this financial year is is almost half of our market cap.
Venkata Ram Rao
But actually what Are the money we are there because now we are targeting to get. Actually we want to diversify in other sectors. We are targeting some even bot solar set also. But we are talking to the investors. If suppose at least one or two project if required we can quote our own also. So we are seeing that that options also. That’s why what are the cash actually available with the company? Definitely we are going to use in our future projects only because now we are diversifying some metro or some other sectors like mining is started and other sectors solar also.
So definitely there is cash requirement will be there. So what are the money available in the company are going to use for the growth of the business of the company.
Faisal Hawa
And once this proceeds from the HAMP project equity sale comes through. Is my assumption right that the interest cost even on consolidated basis will be almost less than 10 crores.
Venkata Ram Rao
We have to see because lot of debt will also wipe up on the balance sheet. So definitely interest will be reduced. But new projects also will add. Actually so we have to really see. But definitely we are almost 2000 crores debt in the existing these four assets. So definitely it is going to be reduced.
Faisal Hawa
Thanks a lot sir.
Venkata Ram Rao
Yeah. Thank you.
operator
Thank you. Before ladies and gentlemen. In order to ensure that the management is able to address questions from all participants in the conference. Please limit your questions to two per participant. The next question is on the line of Bhavan Modi from Anandati. Please proceed.
Unidentified Participant
Hi sir. Thank you for giving the opportunity. Sir, can you give me the breakup of the you know revenue with respect to the different segments. You know how much revenue each segment catered? You know this quarter.
Venkata Ram Rao
Yes, this quarter actually we got 58% revenue from the ham road project and 6% from the irrigation and 51% from the ETC road project. And 5% will be our back to back projects.
Unidentified Participant
Okay sir. My second question is with respect to. Sir, so what is our unbuilt revenue standing today?
Venkata Ram Rao
Unbilled is around 900. It is 996 crores.
Unidentified Participant
So sir, these are my order book of around you know 8,000 crore. Does it include this 996 crore also?
Venkata Ram Rao
You have to exclude that extra 996.
Unidentified Participant
So then my net order book is something around 7,000 crore or something like that. Right?
Venkata Ram Rao
Yeah. Yeah. Correct.
Unidentified Participant
Okay, got it. And so this996 crore is entirely belongs to the irrigation.
Venkata Ram Rao
Also. It is lumps to irrigation as well as road entire all put together.
Unidentified Participant
Okay. So I will take the breaker breakup of this you know unbilled revenue offline. Thank you sir.
operator
Thank you. The next question is from the line of Sri Mehta from Nirvama wealth management. Please proceed.
Shrey Mehta
Hello. Hi sir. Thank you for the opportunity sir, with respect to the coal mining block that we have been recently awarded how much apex and depreciation should we factor in for this project?
Venkata Ram Rao
As you told because this year is the first year. This project is five years operation and one year development. And the first year will be the development stage. So this year definitely we are not expecting much capex and we may do some overburden removal in this year. And that we will do with our existing assets only. So this year capex requirement may not be much but definitely once we start extracting the coal actually then we require heavy mining machinery so that will be not in this year. Maybe from the next year onwards that requirement will come for entire project we are expecting somewhere between 300 to 400 crores of the capex.
Shrey Mehta
Okay sir. Answer regarding depreciation.
Venkata Ram Rao
Depreciation will be. You can say almost because we will work in the three shifts actually on that project almost in five years will be there so entire five years. Actually we will depreciate the entire.
Shrey Mehta
Okay sir. Understood sir. What will be done? Networking capital cycle for this project.
Venkata Ram Rao
For this specific this project.
Shrey Mehta
Yeah, yeah. Regarding this project that we have to.
Venkata Ram Rao
Really assess because you know that we will pay the money when we extract the coal only. So what are the over button we are removing? We will get only 10% of payment against over water only. So we have to just assess actually entire the we have to see the mining plan and we have to do the board L and where coal is nearby. So like that we have to do the entire planning only then only we can really tell us.
Shrey Mehta
Sure sir. Noted. So what is the amount of capex that we have incurred in Q1 FY26?
Venkata Ram Rao
This one in this quarter.
Venkata Ram Rao
Yeah.
Shrey Mehta
3 crores I think 3 crores. Just 2 crores actually.
Shrey Mehta
Okay sir. Noted. And sir for the entire year it’s 200 crores right? You mentioned 200 crores for this entire year.
Venkata Ram Rao
No, no not this year. Next year maybe next year some mining project it will be required 300 to 400. So this year depend upon when we are getting this project.
Shrey Mehta
So I’m asking the case for the entire company. For the entire company. As such how much capex have been incurred in Q1FY26 for the entire company operation?
Venkata Ram Rao
Only 2. Only 2 crores. The same thing for entire company entire maybe maximum 100 crores.
Shrey Mehta
100 crores. Okay sir. So lastly what is Our bid pipeline.
Venkata Ram Rao
Bit pipeline is almost most of 3500.
Shrey Mehta
Is there 3500 crores?
Venkata Ram Rao
Yeah, yeah.
Shrey Mehta
Sir, can you give a bifurcation of the same.
Venkata Ram Rao
MSRD MSRDC is there 2,200 crores and 700 up to 700 crores.
Venkata Ram Rao
Standing L1 in Telangana.
Venkata Ram Rao
So that is almost equal to 3,000 crores.
Unidentified Speaker
Yes, yes.
Venkata Ram Rao
Yeah, it is around 3,000 crores.
Shrey Mehta
Okay, sir, thank you so much and all the very best.
Venkata Ram Rao
Thank you.
operator
Thank you. The next question is from the line of weber Shah from GM Financial. Please proceed.
Unidentified Participant
Yeah, so you mentioned that FY27 you would be impacted. But can we see a sharp growth in 27 given the uptick in the HAM projects and also revenue coming in from the water and daily one mining project. So can we see a revenue of around say three, three and a half thousand crores?
Unidentified Speaker
Again it is an assumption kind of that. So definitely we are focusing on this around 12,000 crore order intake. If we are able to get this in here next year, that upcoming year will be a complete full scale execution year. So definitely we will come into the normal mode of turnovers as well.
Unidentified Participant
Okay. Okay. So secondly, what was the execution of the water project in Q1 and what are we targeting for the entire year?
Venkata Ram Rao
Actually we have done just not very minimal only we did actually not just one, we have done not much in this but entire year we are targeting somewhere around 500 process.
Unidentified Participant
It will become from 2Q itself. Pardon? The execution should pick up from second quarter itself for the pipeline.
Venkata Ram Rao
Actually we did around 200 process of work in that project. But it is not built because you know that until we put tap and water is coming then only we were able to get the revenue. So a lot of overwork over over at times pipeline. That work we completed actually but we could not able to bill it. And these work we generally have given to our subcontractor work we have given. That’s why we cannot consider in our unbuild also. So because we have not incurred that expenditure. So once actually this they will achieve that milestone.
So immediately billing will be there. So that’s why we are targeting around 500 crores versus going to 35 in this year.
Unidentified Participant
Okay. Lastly out of the unbuild revenue of 996crores irrigation will be around 500crores. So remainder is entirely roads or some water also is there.
Venkata Ram Rao
The water is not there. Water is not there. I told you water there is no W. But.
Unidentified Participant
So it is 500 each from high highways and irrigation.
Venkata Ram Rao
Yeah, it is total 999990 is there. Out of that almost. Almost 500 crores is irrigation and left is roads.
Unidentified Participant
Actually what execution are we targeting from irrigation segment in 26 and 27?
Venkata Ram Rao
Because right now we have almost 1400 crores. Is the order book is there of irrigation. Out of that 1400 crores 500 is. Anyway we have build. So now net arrow book is only just 900 crores.
Unidentified Participant
Right.
Venkata Ram Rao
So out of 900 crores this year we. We may execute. You can around 400. 300 to 400 crores in this case.
Unidentified Participant
Okay sir. Lastly on the MSRDC project when do we expect to get the LOA and what execution are we targeting in FY26?
Unidentified Speaker
Actually I think another two months. Within that because of the land acquisition only they are handing that I think. And I think final approval at CM is pending. So another two months they said.
Unidentified Participant
So in this year can we expect revenue from 200 odd crores or 10%.
Unidentified Speaker
Let the order comes that then only I can come in. Okay. Though I have taken some assumptions to the turnover expectation. Maybe. Yes, 200 crores is possible. If it comes in two months definitely we can do some edge work and all that. And we’ll have at least four, five months in hand. Okay.
Unidentified Participant
Okay. Thank you sir. Those are my questions.
Venkata Ram Rao
Thanks.
operator
Thank you. The next question is from the line of Shravan Shah from Daulat Capital. Please proceed.
Shravan Shah
Just a clarification sir. When we. In the previous question answer when you said that the bid pipeline is 3500 crore. That means that this is the 3000 crore value. 2200 crore MSRDC and 700 crore Telangana. We are kind of a L1 Telangana. Obviously we are L1 flyover and 2200 crore MSRDC also once the government approves. So we will be getting that. So that. That is the way you wanted to say. Because the question was in terms of how. How much more build pipeline that you are looking to build. So I think the. That’s why I just.
Just wanted a clarification there.
Venkata Ram Rao
Yeah. What you said is correct. What are the relevant. That is status we told.
Shravan Shah
Okay. Okay. And in terms of the bid pipeline so total for this year across obviously the NHI and the irrigation, mining, whatever we are we are looking at to diversify Metro everything how much value of projects now we are likely to build by March end.
Venkata Ram Rao
Because actually last time only we identify almost 80,000 crores are there in the road section that we identify around 45 projects. So that project is still there in this. So definitely Maybe. Maybe around. Definitely more than around 80 to 90.000crores. Definitely we’ll try to beat it.
Shravan Shah
Okay. Okay.
Venkata Ram Rao
That project is going to commit for bidder. Definitely we’ll try to bid that.
Unidentified Speaker
That project.
Shravan Shah
Got it. Got it. And and and last is console cash is how much? Sir.
Venkata Ram Rao
Console cash is 280 crores. It is around 280 crores.
Shravan Shah
Okay. Okay. Yeah. Yeah. Got it sir. Got it. And then just a clarification. If you can give in one or two projects. Actually this Odin Satram Hemp project we have invested 64064 crore. And the equity requirement is 80 crore. But we have already completed 100 crore. So actually now the equity requirement is lower. Because presentation still serves 80 crore.
Venkata Ram Rao
No further requirement. Yeah. Definitely requirement is over.
Shravan Shah
Yeah, yeah. So. So that’s the way one can look at wherever the we have completed the project and whatever the equity we have invested that should be the value. Obviously the original equity requirement may be on the higher side. But we have infused a lower and we have completed the project.
Venkata Ram Rao
Yeah.
Unidentified Participant
Yeah.
Venkata Ram Rao
Correct. Correct.
Shravan Shah
Okay. Okay. Got it. Thank you.
operator
Thank you. The next question is from the line of heathen Jain from Avendis Park. Please proceed.
Chetan Jain
Thank you for the follow up. Ma’, am, I just wanted to ask one question. On sir, how much was the NHAI order or NHEI or the road machine.
Venkata Ram Rao
Order inflow in FY25? Was it similar to what FY24 was.
Unidentified Participant
Around 8500 km.
Venkata Ram Rao
Actually from NHA.
Unidentified Participant
Yeah, yeah.
Venkata Ram Rao
Last two years there is not much order from the NHA. So even 2000 or 2023 we got the after the 2425 we are not any from NHA side. Also this two years is auto is very very muted order only.
Chetan Jain
I’m sorry sir, your voice was broken. Is there any number on how many kilometers in FY25?
Venkata Ram Rao
Actually we. The number is there actually we’ll let you know separately. Okay sir.
Chetan Jain
Okay. Thank you sir.
Venkata Ram Rao
Thank you.
operator
Thank you. The next question is from the line of Bhavan Modi from Anandrati. Please proceed.
Unidentified Participant
Yeah sir can you just help me with you know so the working capital items and if you can give me the numbers. You know the standalone business. So what is the like amount of a debtor? Like build revenue. What is standing today.
Venkata Ram Rao
Data is actually 1228 crores are there.
Unidentified Participant
And this includes 996 of unbuild revenue, right?
Venkata Ram Rao
No, no. It is excluded. It is certified belong actually.
Unidentified Participant
Okay. Send. What is the creditor amount?
Venkata Ram Rao
286 crores. Okay.
Unidentified Participant
Send mobilization advance and retention money.
Venkata Ram Rao
Retention money receivables is 338 crores and molized advance received is 48 crores.
Unidentified Participant
Okay.
Venkata Ram Rao
And retention payable is 150 crores.
Unidentified Participant
150.
Venkata Ram Rao
Yeah.
Unidentified Participant
Answer like. So what is the you know like the process we are expecting from the you know ham monetization. And are we also going to take any mobilization advance from this mining project?
Venkata Ram Rao
In mining project there is no mobilization advances there. That is because on this OB removal they will pay actually 10% of your. What are the price you put it. They will pay 10% of that quantity for ov removal. As far as ham organization is there. So we are discussing with that on proper forum. Actually we’ll let you know.
Unidentified Participant
Okay sir send this last question on you know mining projects like sir, you know the stripping ratio which I saw right? It’s around 7.76. So would be you know the impacting our EBITDA margin.
Venkata Ram Rao
Because according rate is also there stripping ratios based on the quantity. But we we have quoted good rate also. Okay.
Unidentified Participant
So can you just help us right? So you know like what is the mining fee that we quoted?
Venkata Ram Rao
We already sc 1365 rupees actually per metric ton. Actually we have quoted 1313-6565-1365-1365 one.
Unidentified Participant
Okay.
Venkata Ram Rao
Per ton excluding GST that we have put.
Unidentified Participant
But this 1365 also includes the cost for you know like removing Nala and bridge. That is there.
Venkata Ram Rao
That is separate. Separate is there for village development and Nala things separately they will pay around 90 crores.
Unidentified Participant
Okay, got it. Got it. Thank you sir. Thank you sir.
operator
Thank you. The next question is from the line of Vasadev from the Vama. Please proceed.
Unidentified Participant
Yeah. Thank you for the opportunity. Answer. I’ve joined a little late. So sorry if the question is already answered. I just want what is the status of our pipeline project. Like you know how much revenue have we clogged in this quarter and our target for the full year.
Venkata Ram Rao
So the pipeline project actually this quarter we have not done much work actually but entire year we are targeting around 500 crores of the work in that pipeline. And on that we did around 200 crores of the work. Contractor is this. But it cannot able to build actually because they have to achieve that milestone. Then it is going through the bill. So that’s why this year our Target is around 500 crores pipeline project.
Unidentified Participant
Okay. Sure sir. And so lastly what is our standalone gross debt and cash level?
Venkata Ram Rao
Standalone grass dip is 5 crores. 6 crores is a gross debt at the standalone second question.
Unidentified Participant
Cash. Cash only. Okay, sure. So that’s it from my Sir. Thank you.
Venkata Ram Rao
Thank you.
operator
Thank you. Due to time constraints. That was the last question. I now hand the conference over to the management for the closing comments.
Venkata Ram Rao
Thank you all for joining us on this call. Please reach out to our investor relations consultant, Strategy, both advisors, or us directly. Should you have any further queries, we can now close the call. Thank you.
operator
Thank you. On behalf of KNR Constructions limited. That concludes this conference. Thank you for joining us. And you may now disconnect your lines.