HG Infra Engineering vs Schneider Electric Infrastructure Q3 FY26

HG Infra reported Q3 FY26 standalone revenue of ₹1,450 crore with EBITDA margin of 15.5%, while PAT declined to ₹97 crore (6.7% margin) due to higher tax provisions. The order book stands at ₹13,624 crore, with roads contributing 64%, railways 20%, and renewables 15%. Execution was impacted by prolonged monsoon and delayed appointed dates for key projects like Varanasi-Kolkata Package 10. Management expects Q4 revenue of ~₹2,000 crore and FY27 revenue of ~₹7,000 crore, driven by existing orders and new project wins. Order inflow target for FY27 is ₹10,000-12,000 crore. Risks include margin compression from competitive bidding, delays in HAM asset monetization, and the ongoing CBI investigation which management declined to elaborate on.

Guidance read

Q4 FY26 revenue guidance of ~₹2,000 crore: Management expects standalone revenue of around ₹2,000 crore in Q4 FY26, driven by execution catch-up. FY27 revenue guidance of ~₹7,000 crore: Revenue target for FY27 is approximately ₹7,000 crore, with ₹5,500 crore from existing projects and ₹1,500 crore from new projects like MSRDC. FY27 order inflow target of ₹10,000-12,000 crore: Management targets order inflows of ₹10,000-12,000 crore in FY27, including roads, railways, and BESS projects. EBITDA margin guidance of ~14-15% for new projects: Margins on new bids are expected to be around 14-15%, down from historical 15-16%, due to competitive pressure.

Risk read

Key risks include CBI investigation impact — CBI searched company offices in January 2026; management provided no details beyond stock exchange disclosures, creating uncertainty.; Delay in HAM asset monetization — Monetization of 5 HAM assets is pending lender NOCs; only 3 of 5 SPVs expected to close in FY26, delaying cash inflows.; Margin compression from competitive bidding — Management acknowledged that new project margins may fall to ~14% from historical 15-16% due to market correction.; Execution risk from delayed appointed dates — Key projects like Varanasi-Kolkata Package 10 and Nagpur EPC orders face delays, impacting revenue visibility..

Promise ledger

Scorecard data is being built as historical quarters are processed.

Schneider Electric Infrastructure delivered a record quarter, crossing ₹1,000 crore in revenue for the first time, with 20% YoY growth. Order booking surged 60% YoY to ₹999 crore, driving the order backlog to ₹1,700 crore (up >50% YoY). PAT grew 20% YoY to ₹155 crore, aided by operating leverage and cost control. Management highlighted strong tailwinds from government capex, data centers, renewables, and urbanization. The launch of the indigenously developed GM set switchgear positions the company for high-growth segments. Risks include raw material volatility and geopolitical uncertainties, which management aims to mitigate through hedging and selective contract execution. Overall, the company is at an inflection point with robust demand visibility.

Guidance read

Maintain healthy order intake: Management expects to sustain strong order booking momentum driven by government schemes and private capex. Focus on profitable growth: Company aims to pick right contracts and mitigate raw material volatility to protect margins. Capex for capacity expansion: Ongoing capex in three plants to prepare for future demand; details to be announced when approved.

Risk read

Key risks include Raw material cost inflation — Commodity price volatility could impact margins; management hedges partially but not fully.; Geopolitical uncertainties — Global geopolitical situation may affect demand and supply chains, making growth less predictable.; Contract execution risk — Picking the right contracts is critical; wrong selection could lead to margin pressure..

Promise ledger

Scorecard data is being built as historical quarters are processed.