Order Book
₹2,200 Cr
+40-50% expected by Q1 FY27
Unexecuted order book as of Dec 2025; management expects growth to ~₹3,000 Cr by Q1 FY27.
EMS
Other
15 Feb 2026
Ems Ltd — Q3 FY26
EMS Ltd reported a weak Q3 FY26, with revenue and PAT significantly below expectations due to extended monsoon in Uttarakhand and delayed project starts.
✓ Verified against BSE filing
2-Min Summary
EMS Ltd reported a weak Q3 FY26, with revenue and PAT significantly below expectations due to extended monsoon in Uttarakhand and delayed project starts. Management cited 15-20 days of work loss from natural disasters and 50% of the order book (₹1,100 Cr) in design phase, incurring costs without revenue recognition. PAT margin for the quarter fell to ~10%, though 9-month PAT margin remains at 15.86%. Order book stands at ₹2,200 Cr with a bidding pipeline of ₹4,000 Cr. Management guided for Q4 improvement but cautioned full recovery only by Q1 FY27. Key risk: continued execution delays and margin compression from competitive bidding and project ramp-up costs.
Key Numbers
Bidding Pipeline
₹4,000 Cr
N/A
Current tenders under evaluation, including Delhi Jal Board projects worth ₹2,000 Cr.
Promoter Pledge
28%
+17pp from 11% in Q1 FY26
Promoter pledged shares increased to 28% due to personal loan of ₹210 Cr; reduced to ₹140 Cr outstanding.
Unbilled Revenue
₹283 Cr
N/A
Unbilled revenue as of Dec 2025; expected to convert to billed revenue as projects progress.
Management Guidance
Q4 FY26 PAT margin above 15%
Management expects PAT margin for full FY26 to be above 15%, implying a strong Q4 recovery from Q3's ~10%.
marginsOrder book to reach ~₹3,000 Cr by Q1 FY27
Current order book of ₹2,200 Cr expected to grow by 40-50% in Q1 FY27, driven by new project wins.
growthPromoter pledge to be reduced to zero by FY27 end
Outstanding personal loan of ₹140 Cr to be reduced to ₹100 Cr by Q4 FY26 and fully repaid in FY27.
otherKey Risks
Execution delays from new project ramp-up
50% of order book is in design phase; revenue recognition may be delayed further if approvals or site readiness slip.
high · management_commentaryMargin compression from competitive bidding
Management noted increasing competition and guided PAT margins may settle around 15% vs historical 18-20%.
medium · analyst_questionHigh promoter pledge and personal debt
Promoter pledge rose to 28% from 11% in two quarters; personal loan of ₹210 Cr raises governance concerns.
high · analyst_questionNotable Quotes
The results are much lower than expected. This was due to certain factors which were beyond the control of the company.
We are very sure that we will not disappoint any of you or any of us and we will definitely do whatever we are committing.
It doesn't take much to be transparent.