H.G. Infra cuts FY27 revenue target by 20%, loses ₹4,000 cr Nagpur project
The infrastructure builder slashed its growth forecast and admitted a massive project is gone from its books. Q4 margins came in at less than half of what management had guided.
— 4 earlier stories on H.G. Infra Engineering Ltd. →What's new
- H.G. Infra cut its FY27 revenue guidance to ₹6,500 cr, a 20% drop from an earlier projection of up to ₹8,000 cr.
- The company confirmed the ₹4,000 cr Nagpur-Chandrapur project has been removed from its order book.
- Q4 EBITDA margins hit 9.37%, far below the 15% management had previously guided.
Why this matters
This is a full reset of the investment thesis for a small-cap builder. The order-book hole left by the Nagpur project alone is nearly 62% of the new revenue guidance for FY27. Margin guidance is now structurally lower, and the pivot to new energy segments won't show up in the near-term numbers.
What we're watching
- How much of the lost ₹4,000 cr Nagpur project revenue can be replaced in the order book.
- Whether the new 13-14% EBITDA margin band proves to be a floor or just another stepping stone down.
- The pace and scale of wins in battery storage and power transmission.
The full read
H.G. Infra Engineering just gutted its growth story. The company cut its FY27 revenue guidance to ₹6,500 crore, a 20% drop from the earlier target of up to ₹8,000 crore. The headline cause is the removal of the ₹4,000 crore Nagpur-Chandrapur project, which management had previously defended against cancellation rumors. That single project represents roughly 62% of the new revenue guidance. Profitability has also collapsed. Q4 EBITDA margins landed at 9.37%, far below the 15% management had guided. Structural margin guidance is now 13-14%. The company is accelerating a pivot to battery storage and power transmission, but that is a long-term bet. The near-term picture is a builder with a large hole in its order book and margins cut in half.
Questions answered
- How much did H.G. Infra lower its revenue guidance?
- The company cut its FY27 revenue forecast to ₹6,500 crore. That is a 20% reduction from its earlier projection of up to ₹8,000 crore.
- What happened to the Nagpur-Chandrapur project?
- Management previously dismissed rumors of a cancellation. It has now confirmed the ₹4,000 crore MSRDC project is gone from the order book, creating a large revenue gap.
- Why did Q4 margins miss guidance by so much?
- The company blamed geopolitical disruptions and rising input costs. EBITDA margins landed at 9.37% versus the 15% management had guided for, a miss of over 560 basis points.
- Is the company's long-term profitability outlook changing?
- Yes. The structural margin guidance has been lowered to the 13-14% range, down from prior expectations. Management is pivoting to battery storage and transmission for better margins.
- What is the scale of the Nagpur project relative to the business?
- At ₹4,000 crore, the lost project is equivalent to about 62% of the entire revised FY27 revenue target of ₹6,500 crore.
Story so far
All notes on HGINFRA →- 29 May 2026 · 6:10 PM IST H.G. Infra cuts FY27 revenue target by 20%, loses ₹4,000 cr Nagpur project
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