NBCC has maintained a debt-free balance sheet with rising margins and a ₹2 lakh crore order book target.
NBCC, a Navratna CPSE under the Ministry of Urban Affairs, has emerged as a key player in India’s infrastructure push with zero debt on its books.
Established in 1960, the company operates through project management consultancy (PMC), real estate, and engineering, procurement and construction (EPC), while also maintaining an overseas presence in the Gulf, Africa, and the Indian Ocean region.
According to SEBI-registered analyst Rajneesh Sharma, the PMC vertical remains NBCC’s backbone, generating ₹6,726 crore in FY25 with a margin of 7.6%.
Real estate contributed ₹516 crore at a margin of 10.9%, while EPC brought in ₹28 crore at a higher 14.3% margin, though from a smaller base. The average EBITDA margin stood at 5.8%, with PAT margin at 4.6%.
What’s Working For NBCC?
Sharma said that the company has posted healthy revenue, PAT, and EPS CAGR of 18.8%, 37% and 26.1% respectively, during FY23 to FY25.
The margins have also been improving over the past few years, with EBITDA and PAT margins increasing from 4.85% to 5.22% and from 3.17% to 4.62% respectively.
NBCC’s debt-free position has been maintained for three consecutive years, funded entirely through internal accruals and client advances. Returns remain robust with ROE and ROCE both at 23.7% in FY25.
Sharma added that the cash flow from operations-to-operating profit ratio stands strong at above 84%, while the PEG ratio at 0.9 signals growth aligned with valuation.
The order book is projected to touch ₹2 lakh crore over the next two to three years, with FY26 revenue guidance of ₹14,000–15,000 crore and a PAT goal of ₹2,000 crore by FY28, at a margin target of around 8%.
Strategic projects underway include Netaji Nagar, Sarojini Nagar, and Amrapali.
NBCC continues to operate with over ₹700 crore in unencumbered cash and has no plans for external borrowings, Sharma noted.
Capex will be funded through accruals, supported by an “AA/Stable” credit rating and a bank guarantee-based working capital model.
Technical Outlook
On the technical side, Sharma pointed to a cup and handle pattern forming on the weekly chart. The neckline sits at ₹128–130, which acts as the breakout zone.
The stock has a base near ₹73–74, with the handle forming in the ₹96–100 range. RSI remains around 50, leaving room for strength. Sharma added that the structure stays bullish above ₹130 if supported by volume.
Strengths and Risks
Sharma highlighted NBCC’s strengths, such as a debt-free and liquid balance sheet, recurring government contracts, improving profitability, and healthy ROE/ROCE in a low-risk model.
He noted risks of execution delays in mega projects, government policy sensitivity, and competitive bidding.
On Stocktwits, retail sentiment was ‘neutral’ amid ‘normal’ message volume.
NBCC’s stock has risen 14.5% so far in 2025.
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