Ircon International Ltd logo

Ircon International Ltd

IRCON NSE

Ircon International Limited (IRCON) commenced its business in 1976 as a railway construction company, it diversified progressively since 1985 as an integrated engineering and construction PSU specializing in large and technologically complex infrastructure projects in various sectors such as railways, highways, etc. [1] [2]

AI Verdict: HOLD Confidence: 4%

Ircon International trades at a PE of 22.1x with deteriorating growth metrics — TTM sales declined 16% and profits fell 14%. While the company has a strong infrastructure order pipeline backed by government parentage, the stock's -29% one-year return and declining promoter holding warrant caution until earnings recovery is visible.

Key Fundamentals

MicrocapCivil ConstructionConstruction
Market Cap
₹12,772 Cr
Volatility
Moderate
P/E Ratio
21.19
EBITDA
₹766 Cr
Return on Equity
14.65%
Debt to Equity
0.56
Book Value
₹70.59
EPS
₹10.27
52W High
₹207.79
52W Low
₹114.5

Technical Indicators

Key Insights

Strengths

1
  • Company has been maintaining a healthy dividend payout of 31.9%

Weaknesses

5
  • The company has delivered a poor sales growth of 11.2% over past five years.
  • Company has a low return on equity of 12.1% over last 3 years.
  • Earnings include an other income of Rs.514 Cr.
  • Debtor days have increased from 41.6 to 56.3 days.
  • Promoter holding has decreased over last 3 years: -8.01%

Growth Rate

Revenue Growth
-18.51% ↘
Net Income Growth
-23.91% ↘
Cash Flow Change
-1312.51% ↘
ROE
-27.32% ↘
ROCE
-30.27% ↘
EBITDA Margin (Avg.)
-26.90% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 1d ago
HOLD
Risk high

Ircon International trades at a PE of 22.1x with deteriorating growth metrics — TTM sales declined 16% and profits fell 14%. While the company has a strong infrastructure order pipeline backed by government parentage, the stock's -29% one-year return and declining promoter holding warrant caution until earnings recovery is visible.

Bull Case 7
  • 5-year stock CAGR of 24% demonstrates strong long-term wealth creation for patient investors
  • Market cap of Rs.13,033 Cr provides reasonable liquidity and institutional participation for a government infrastructure company
  • Healthy dividend payout ratio of 31.9% provides income support with current yield at 0.86%
  • Price-to-book ratio of 1.97x is reasonable for an infrastructure PSU with tangible asset-heavy balance sheet
  • 10-year compounded sales growth of 14% shows the company has a track record of scaling revenue over long cycles
  • 3-year stock CAGR of 19% suggests the market has historically rewarded the company's execution on railway and highway projects
  • 5-year compounded profit growth of 9% indicates the company can deliver earnings growth across business cycles
Bear Case 8
  • TTM sales growth has collapsed to -16%, signaling a sharp deceleration in order execution or revenue recognition
  • TTM profit growth at -14% indicates margin pressure alongside revenue decline
  • Stock has delivered -29% return over 1 year, reflecting significant loss of market confidence
  • Promoter holding has decreased by 8.01% over last 3 years, suggesting government dilution without clear reinvestment narrative
  • Debtor days have increased from 41.6 to 56.3 days, indicating deteriorating working capital efficiency and collection cycles
  • 3-year ROE of only 12% is below the cost of equity for infrastructure companies, destroying shareholder value on a risk-adjusted basis
  • Last year ROE dropped to 9%, a significant decline from the 5-year average of 13%, suggesting structural earnings headwinds
  • Other income of Rs.514 Cr inflates reported earnings, masking weaker operating performance from core construction business

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 14h ago
Headwinds 1
  • Fined for board non-compliance May 28

    NSE and BSE imposed Rs 19.12 lakh fine on IRCON for Q4FY26 board composition issues. Company cited its government entity status and lack of director appointment powers.

Positives 1
  • JV wins ₹763 Cr Smart Grid order Jun 23

    Ircon International JV secured ₹763.10 Cr order from TSECL for Agartala Smart Grid project, with Ircon's share at ₹198.41 Cr.

Neutral 3
  • New CMD given additional charge Jun 23

    Shri Saleem Ahmad, CMD of RVNL, entrusted with additional charge of Ircon CMD for one year from July 1, 2026, following superannuation of Shri Hari Mohan Gupta.

  • Trading window closed for Q1FY27 Jun 23

    Ircon closed its trading window from July 1, 2026, until 48 hours after Q1FY27 results are announced.

  • Promoter holds 61.29 Cr shares unencumbered Jun 16

    Government of India held 61,29,28,392 shares in Ircon as of March 31, 2026, with no encumbrance during FY26.

TL;DR: Ircon continues to win new orders with the ₹763 Cr Agartala Smart Grid JV win, though its direct share is modest at ₹198 Cr. The leadership transition with RVNL's CMD taking additional charge introduces some uncertainty. The regulatory fine is minor but highlights governance constraints typical of government PSUs. Overall trend is steady with order flow intact, but investors should watch for execution clarity under new leadership.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
3,781
2,764
2,987
2,930
3,787
2,287
2,448
2,613
3,412
1,786
1,977
2,119
3,189
Expenses
3,598
2,513
2,771
2,671
3,470
2,037
2,247
2,481
3,158
1,586
1,836
1,961
2,922
Operating Profit
183
251
216
259
317
251
201
132
254
200
141
158
267
OPM %
5%
9%
7%
9%
8%
11%
8%
5%
7%
11%
7%
7%
8%
Other Income
186
64
177
119
107
107
142
86
103
124
156
112
122
Interest
33
33
37
37
41
48
53
56
62
75
85
93
97
Depreciation
36
19
27
27
27
27
28
31
32
37
40
42
44
PBT
301
263
328
314
356
282
262
132
263
212
172
135
248
Tax %
15%
29%
24%
22%
31%
20%
22%
35%
19%
22%
21%
26%
23%
Net Profit
256
187
251
245
247
224
206
86
212
164
137
100
191
EPS in Rs
2.73
1.99
2.67
2.6
2.62
2.38
2.19
0.92
2.24
1.75
1.47
1.07
2.04
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
3,038
2,493
3,067
4,024
4,798
5,391
5,342
7,380
10,368
12,514
10,760
9,071
Expenses
2,351
2,228
2,740
3,576
4,320
4,787
4,845
6,795
9,664
11,406
9,912
8,305
Operating Profit
687
264
328
448
479
604
497
585
704
1,108
847
766
OPM %
23%
11%
11%
11%
10%
11%
9%
8%
7%
9%
8%
8%
Other Income
264
421
313
189
212
178
196
261
413
403
431
514
Interest
33
43
59
65
15
28
23
62
119
149
221
350
Depreciation
57
31
27
16
52
83
92
95
107
100
118
163
PBT
861
612
556
555
624
672
578
689
891
1,261
939
766
Tax %
32%
36%
31%
26%
28%
28%
32%
14%
14%
26%
22%
23%
Net Profit
583
393
384
409
450
485
391
592
765
930
728
592
EPS in Rs
29.4
19.85
3.88
4.35
4.79
5.16
4.16
6.3
8.14
9.88
7.73
6.33
Div. Payout %
31%
43%
96%
47%
45%
46%
36%
40%
37%
31%
34%
30%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
20
20
99
94
94
94
94
188
188
188
188
188
Reserves
3,285
3,619
3,718
3,667
3,870
4,077
4,309
4,478
5,023
5,683
6,138
6,451
Borrowings
239
0
0
3,200
3,077
0
331
1,399
1,505
2,570
4,299
5,726
Other Liabilities
3,893
4,500
5,415
5,810
6,278
6,009
6,520
8,382
8,821
9,011
8,896
8,942
Total Liabilities
7,437
8,139
9,231
12,771
13,318
10,181
11,254
14,446
15,537
17,452
19,521
21,307
Fixed Assets
736
506
524
568
1,890
1,982
1,922
1,845
1,825
1,736
2,453
3,524
CWIP
30
75
549
964
55
30
13
36
19
549
976
595
Investments
496
487
781
784
809
803
850
971
1,049
1,553
1,296
1,432
Other Assets
6,174
7,070
7,378
10,455
10,565
7,366
8,468
11,594
12,644
13,614
14,796
15,757
Total Assets
7,437
8,139
9,231
12,771
13,318
10,181
11,254
14,446
15,537
17,452
19,521
21,307
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
502
1,441
919
-2,617
-1,185
-136
518
1,414
-278
-79
-1,110
-618
Investing
-521
47
-1,834
-20
616
447
-785
-1,241
1,582
-720
54
-366
Financing
-222
-219
-222
2,737
-93
-275
169
671
-223
640
1,156
801
Net Cash Flow
-242
1,269
-1,137
100
-662
36
-99
844
1,080
-158
100
-182
Free Cash Flow
472
1,365
402
-3,037
-1,516
-185
534
1,374
-376
-887
-2,161
-1,148
CFO/OP
95
586
298
-571
-227
-11
113
247
-29
36
-95
-41
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
72
75
56
61
51
37
43
34
30
23
45
56
Inventory Days
—
150
157
152
—
320
76
—
—
—
50
1
Days Payable
—
428
406
550
—
588
478
—
—
—
687
55
Cash Conversion Cycle
72
-203
-193
-337
51
-231
-359
34
30
23
-592
2
Working Capital Days
-147
-215
-175
-162
-101
-85
-119
-128
-47
-41
-32
-6
ROCE %
27%
18%
14%
11%
9%
12%
13%
14%
16%
18%
12%
10%

Shareholding Pattern

As of Mar 2026
Promoters 65.17%
Public 25.82%
FIIs 4.78%
Others 2.15%
DIIs 1.79%
Government 0.28%
Total 99.99%
  Mar 2021May 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
73.18%
65.17%
65.17%
65.17%
65.17%
65.17%
65.17%
65.17%
65.17%
65.17%
65.17%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
4.11%
4.58%
4.17%
3.94%
4.08%
4.11%
4.57%
4.61%
4.54%
4.78%
DIIs
0.33%
0.33%
0.20%
0.21%
0.27%
1.01%
1.08%
1.08%
1.82%
1.87%
0.78%
0.36%
0.94%
1.32%
2.90%
1.64%
1.44%
1.57%
1.60%
1.64%
1.72%
1.79%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.26%
0.00%
0.26%
0.26%
0.26%
0.26%
0.26%
0.26%
0.26%
0.28%
0.28%
0.28%
0.28%
0.28%
0.28%
Public
16.18%
16.53%
17.46%
18.50%
17.25%
16.68%
16.82%
16.99%
15.90%
15.76%
16.87%
19.17%
24.52%
25.35%
24.35%
26.42%
26.44%
26.58%
26.05%
26.12%
26.08%
25.82%
Others
10.30%
9.95%
9.16%
8.11%
9.29%
9.13%
8.92%
8.49%
9.10%
8.94%
8.91%
7.02%
5.00%
3.32%
3.15%
2.57%
2.58%
2.29%
2.33%
2.17%
2.21%
2.15%
No. of Shareholders
1,85,124
2,10,950
2,39,623
2,72,809
2,83,446
3,10,567
3,07,027
3,04,436
2,89,486
2,97,623
3,26,001
4,70,275
5,98,477
9,31,492
10,22,210
12,07,130
12,15,390
12,46,920
12,01,240
11,68,060
11,34,130
11,06,690

Documents

Frequently Asked Questions about Ircon International Ltd

What does Ircon International Ltd do?
Ircon International Limited (IRCON) commenced its business in 1976 as a railway construction company, it diversified progressively since 1985 as an integrated engineering and construction PSU specializing in large and technologically complex infrastructure projects in various sectors such as rail...
Where is Ircon International Ltd (IRCON) listed?
Ircon International Ltd is listed on the Indian stock exchanges. It is listed on NSE: IRCON and BSE: 541956. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Ircon International Ltd belong to?
Ircon International Ltd operates in the Industrials sector within the Construction industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Ircon International Ltd?
Ircon International Ltd has a market capitalisation of approximately ₹12772.20 Cr. Based on this, it is classified as a Mid Cap stock.
What is the PE ratio of Ircon International Ltd?
The Price-to-Earnings (PE) ratio of Ircon International Ltd is 21.19. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Ircon International Ltd?
Over the past 52 weeks, Ircon International Ltd has traded between a low of ₹114.5 and a high of ₹207.79. This range helps investors understand the stock's price volatility and recent trading levels.
Does Ircon International Ltd pay dividends?
Yes, Ircon International Ltd has a dividend yield of 0.88%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Ircon International Ltd?
Ircon International Ltd has a Return on Equity (ROE) of 14.65%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Ircon International Ltd on Tapetide?
On Tapetide, you can view Ircon International Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Ircon International Limited (IRCON) commenced its business in 1976 as a railway construction company, it diversified progressively since 1985 as an integrated engineering and construction PSU specializing in large and technologically complex infrastructure projects in various sectors such as railways, highways, etc. [1] [2]

Website ircon.org
CEO Mr. Hari Mohan Gupta
Employees 834
Listed 2018-09-28
Face Value ₹ 2
Issued Size 94,05,15,740

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