NCC shares in focus after securing Rs 10,805 crore BharatNet orders from BSNL
Shares of infrastructure operator NCC Ltd. rose as much as 6% on Wednesday, March 26, after the company reported the receipt of two significant orders from state-run BSNL. On Tuesday, NCC received two advance work orders for ₹10,804.56 crore from Bharat Sanchar Nigam Limited for designing, supplying, constructing, installing, upgrading, operating, and maintaining the BharatNet middle-mile network.
“…we are happy to inform you that the Company has received 2 Advance Work Orders dated 25th March 2025 from Bharat Sanchar Nigam Limited for the Design, Supply, Construction, Installation, Improvement, Operation, and Maintenance of the middle mile network of BharatNet, in Uttarakhand Telecom Circle and Madhya Pradesh, DNH & DD Telecom Circles,” according to a regulatory filing.
The first deal, costing ₹2,647.12 crore, includes the Uttarakhand telecom circle. The second contract, worth ₹8,157.44 crore, covers Madhya Pradesh, Dadra & Nagar Haveli, and Daman & Diu telecom circles. Both projects have a three-year construction and ten-year maintenance duration. Contracts worth more than ₹1,000 crore are considered substantial orders under NCC’s materiality policy. The order size is roughly identical to the company’s total market capitalization. As of Tuesday’s closure, NCC’s market capitalization was ₹12,836 crore. NCC Ltd reported a 12.5% year-on-year fall in net profit to ₹193.2 crore for the third quarter ending December 31, 2024. In the preceding fiscal quarter, NCC Ltd reported a net profit of ₹220.7 crore.
The company’s income from operations rose 1.6% YoY to ₹5,344.5 crore from ₹5,260 crore. In the third quarter of the current fiscal year, EBITDA decreased by 16.6% to ₹420.9 crore from ₹504.4 crore in the previous year. The EBITDA (earnings before interest, tax, depreciation, and amortization) margin was 7.9% in the reporting quarter, compared to 9.6% during the previous fiscal. The firm recorded a basic and diluted EPS of ₹3.08 for the third quarter, compared to ₹3.51 in Q3FY24.
