State-owned NBCC (India) Ltd is setting ambitious goals to expand its business and achieve a consolidated order book of Rs 1 lakh crore by March 2025. This marks a significant jump from its current order book of Rs 84,400 crore, as the company continues to strengthen its presence in project management, engineering, and real estate sectors.
Current Order Book and Subsidiaries
NBCC Chairman and Managing Director (CMD) K P Mahadevaswamy recently shared the company’s growth plans during an investor meeting. He stated that NBCC’s share in the consolidated order book is Rs 70,400 crore, while its subsidiaries contribute the remaining Rs 14,000 crore.
Among the subsidiaries, HSCL holds an order book of Rs 8,093 crore, while HSCL contributes Rs 5,915 crore. Another subsidiary, NSL, has an order book of Rs 200 crore.
Focus Areas and Execution Timelines
The company’s order book is primarily divided into two key segments: Project Management Consultancy (PMC) and Engineering, Procurement, and Construction (EPC). Together, these segments account for 55% of the total order book. Redevelopment projects contribute the remaining 45%.
Redevelopment projects typically take 4-5 years to complete, while regular PMC projects have a shorter timeline of 1.5-2 years. NBCC has been actively involved in redevelopment projects for government housing colonies in Delhi, showcasing its expertise in large-scale infrastructure initiatives.
Completing Stalled Real Estate Projects
NBCC has also taken on the responsibility of completing stalled real estate projects, providing much-needed relief to homebuyers. Recently, the company was appointed as the project management consultant for 16 real estate projects by Supertech Ltd. These projects, valued at nearly Rs 9,500 crore, include the construction of 49,748 houses across Uttar Pradesh, Uttarakhand, Haryana, and Karnataka.
The consultancy fee for these projects has been set at 8%, which includes a 1% marketing fee. NBCC has assured that it will complete these projects within three years, with no financial liability on its part.
In addition to the Supertech projects, NBCC is also managing the completion of stalled projects from the Amrapali Group, further demonstrating its commitment to resolving real estate challenges.
Financial Growth and Performance
NBCC’s financial performance has shown consistent improvement. The company reported a total income of Rs 2,525.95 crore during the second quarter of the current fiscal year, up from Rs 2,134.36 crore in the same period last year.
Consolidated net profit for the September quarter increased by 53%, reaching Rs 125.13 crore compared to Rs 81.90 crore in the year-ago period. This growth highlights NBCC’s ability to deliver strong financial results while managing large-scale projects.
Ambitious Growth Plans
The company’s target of achieving a Rs 1 lakh crore order book by March 2025 reflects its ambitious growth strategy. By focusing on its core strengths in PMC, EPC, and redevelopment, NBCC aims to solidify its position as a leading player in the infrastructure and real estate sectors.
NBCC’s involvement in high-profile projects, such as the redevelopment of government housing colonies and the completion of stalled real estate projects, underscores its capability to handle complex and large-scale assignments. With its strong financial performance and a growing order book, NBCC is well-positioned to achieve its ambitious goals.
As NBCC works towards its Rs 1 lakh crore order book target, the company is setting an example of how state-owned enterprises can drive growth and innovation in the infrastructure sector. By focusing on timely project execution and financial stability, NBCC is paving the way for a brighter future in India’s real estate and infrastructure industries.
