Afcons posts first loss since 2010 as ₹260-265 cr provisions hit
MD apologised and withdrew FY27 guidance after quarterly loss of ₹89 cr, the first since 2010. Receivables stretch to 143 days.
— 1 earlier story on Afcons Infrastructure Ltd. →What's new
- Q4 net loss of ₹89 cr on ₹2,777 cr revenue, down 18% YoY. First quarterly loss in 14 years.
- One-time provisions of ₹260-265 cr for project provisioning, marine cost overruns, and payment delays.
- Full-year net profit dropped to ₹251 cr from a prior-year base that would have been roughly double that. No FY27 revenue or EBITDA guidance given.
Why this matters
A company that hadn't lost money in a quarter for 14 years just wrote down ₹260-265 cr in one hit and its MD went on record with an apology. The refusal to guide for FY27 is the real red flag — management is saying it cannot forecast its own cash flows amid payment delays and geopolitical disruption.
What we're watching
- Whether ₹260-265 cr in provisions stays truly one-time or becomes a recurring feature.
- The pace of receivables recovery from the current 143-day level.
- Execution on the €677 million Croatian railway contract and the broader ₹15,000 cr confirmed order book.
The full read
Afcons Infrastructure just posted its first quarterly loss since 2010. The net loss of ₹89 crore in Q4 came on an 18% revenue decline to ₹2,777 crore. The hit: ₹260-265 crore in one-time provisions for project provisioning, marine cost overruns, and delayed payments. Full-year net profit dropped to ₹251 crore on revenue of ₹12,322 crore, down 5.4%. The managing director apologised. More striking, he wouldn't guide on FY27 revenue or margins, citing geopolitical uncertainty and payment delays. That's unusual for an infra company. The backlog looks healthy: a ₹30,000 crore booking target for the year, with ₹15,000 crore already locked in, including a €677 million Croatian railway contract. But the numbers that matter are on the balance sheet. Receivables are at 143 days. The company has the orders. It doesn't have the cash.
Questions answered
- Why did Afcons report a loss for the first time in 14 years?
- One-time provisions of ₹260-265 crore for project provisioning and marine cost overruns were layered onto an 18% revenue decline. The net result was a ₹89 crore quarterly loss.
- How did the full year look beyond Q4?
- Full-year revenue dipped 5.4% to ₹12,322 crore and net profit dropped sharply to ₹251 crore. The Q4 loss wiped out most of the year's remaining profit cushion.
- Why did management refuse to give FY27 guidance?
- Managing director cited ongoing geopolitical uncertainty and severe customer payment delays as reasons for withholding revenue and EBITDA guidance. This is unusual for an infrastructure company that typically offers at least a top-line outlook.
- What is the state of the order book?
- Management set a ₹30,000 crore order booking target for FY27. ₹15,000 crore is already confirmed, including a €677 million Croatian railway contract. The backlog is large but converting it to cash is the core challenge.
- What is the real operational stress point?
- Receivables are at 143 days, reflecting the severe customer payment delays the MD flagged. This points to a cash-flow problem, not just an accounting one.
Story so far
All notes on AFCONS →- 22 May 2026 · 12:20 PM IST Afcons posts first loss since 2010 as ₹260-265 cr provisions hit
- today Afcons lands ₹5,301 cr breakwater job at Vadhvan Port