Mumbai, July 15 -- Dilip Buildcon Ltd (DBL) has received a Letter of Award from Odisha Bridge & Construction Corporation Ltd for an Engineering, Procurement and Construction road project worth Rs 1,602 mn excluding GST and to be completed within 18 months. The contract was secured under the EPC model and covers construction in Sundargarh district. The company will be the executing contractor for the diversion road.
The project comprises a diversion road from km 4.700 to km 11.500 on the Duduka-Gopalpur-Toparia Road and includes a six-lane carriageway with service roads. The works are intended to improve road connectivity and support smoother traffic movement in the region. Contract features and timelines aim to strengthen local transport infrastructure.
The Odisha award augments DBL's order book following a May win through a DBL-RBL joint venture with Ranjit Buildcon Ltd for a Rs 2,680 mn EPC contract from the Gujarat government's Narmada Water Resources, Water Supply & Kalpasar Department. That assignment covers the design and construction of the Ged Barrage across the Sabarmati River, protection works, related infrastructure and 10 years of operation and maintenance. The successive orders reflect continued tender wins in roads and water infrastructure.
Despite fresh projects, consolidated net profit declined 63.7 per cent year-on-year to Rs 620.5 mn from Rs 1,708.3 mn and revenue from operations fell 25.7 per cent to Rs 22,998 mn from Rs 30,961 mn in the March quarter. EBITDA dropped to Rs 3,923 mn and the EBITDA margin narrowed to 17.06 per cent from 21.35 per cent, with the company citing lower execution, margin pressure and the absence of exceptional gains as factors. DBL is adjusting its long-term strategy to reduce reliance on EPC contracts and plans for infrastructure assets and mining to generate 75 per cent of profits and cash flows by FY29, with EPC contributing the remaining 25 per cent.
Published by HT Digital Content Services with permission from Construction World.