Afcons Infrastructure shares tanked 8.7% on BSE following the release of disappointing Q4FY26 results after market hours on Monday. The stock hit an intra-day low of ₹289.3 per share before recovering slightly to be down 3.58% at ₹289.3 per share as of 9:56 AM. In comparison, the BSE Sensex was up 0.2% at 75,463.76, reflecting investor concerns over the company's deteriorating financial performance. The sharp sell-off came after the company reported a net loss of ₹89 crore in Q4FY26, a significant reversal from the net profit of ₹111 crore recorded in the corresponding quarter of the previous year.
According to the latest Q4FY26 results, Afcons Infrastructure reported a consolidated net loss of ₹89 crore in the quarter ended March 2026, marking a significant reversal from the net profit of ₹111 crore recorded in the corresponding quarter of the previous year. The company's revenue from operations stood at ₹2,614 crore, down 19% year-on-year from ₹3,223 crore in Q4FY25. The operational performance showed substantial deterioration with EBITDA falling to ₹170 crore from ₹415 crore in the year-ago quarter, while EBITDA margin compressed to 6.1% from 12.2% in the previous year. As per the company's filing, the poor performance was attributed to macroeconomic uncertainties and certain one-time factors impacting operations.
For the full financial year 2026, Afcons Infrastructure experienced a more pronounced decline in profitability, with net profit falling 48.34% to ₹251.50 crore compared to ₹486.81 crore in the previous year. Annual sales also decreased by 4.78% to ₹11,948.38 crore from ₹12,548.42 crore in FY25. The company's profit before tax (PBT) turned negative at ₹68.87 crore loss in FY26, while PBDT declined 24% to ₹917.22 crore from ₹1,201.11 crore in the previous year. According to The Economic Times, the company's FY26 performance was particularly challenging due to slower ordering activity across multiple segments, delays in project conversion and continued geopolitical and macroeconomic uncertainties.
Despite the challenging financial performance, Afcons Infrastructure maintained a healthy order book of ₹32,496 crore as of March 2026, providing visibility on future revenue and profitability. Order inflows during the financial year stood at ₹4,125 crore, indicating continued business momentum despite operational challenges. The company achieved several key project milestones during FY26, including the commissioning of the HRRL crude oil terminal at Mundra, the opening of a major stretch of Bengaluru's Central Silk Board double-decker corridor and trial runs on the Agra and Kanpur Metro projects. As reported by The Economic Times, the board has recommended a dividend of ₹2 per equity share for FY26, subject to shareholder approval at the upcoming annual general meeting.
Subramanian Krishnamurthy, Executive Chairman (Whole-time Director), acknowledged the challenging year, stating that "FY26 was a challenging year for Afcons, particularly due to slower ordering activity in several segments, delays in project conversion, and continued geopolitical and macroeconomic uncertainties. The quarter closed with a net loss of ₹89 crore, impacted by macroeconomic uncertainties and certain one-time factors." Despite these headwinds, he emphasized that the company continued to deliver key execution milestones during the year, including the commissioning of the HRRL Crude Oil Terminal at Mundra and successful trial runs on the Agra and Kanpur Metro projects. Looking ahead, Krishnamurthy expressed commitment to disciplined project selection and execution, operational excellence, and long-term value creation for all stakeholders, reflecting confidence in the company's ability to navigate current challenges and maintain its strong execution capabilities.
