NBCC shares surge over 5%; here is what is driving the stock higher

Shares of National Building Construction Corporation (NBCC), the state-run construction company, rose as much as 5.05% on the National Stock Exchange (NSE) to hit an intraday high of ₹118.30 after the company on Friday informed exchanges that it won multiple orders. On the BSE, NBCC shares rose as much as 4.96% amid higher than usual grading volumes.

NBCC post market hours on Friday informed exchanges that it won an order worth ₹45.09 crore from Canara Bank for construction of the official premises for the regional/circle office building of Canara Bank at in Ranchi.

In a separate exchange filing NBCC said that it won an order worth ₹29.49 crore from National Institute for Empowerment of Persons with Multiple Disabilities for project management consultancy (PMC) services for the construction of a new campus for composite regional centre (CRC) in Tamil Nadu.

It also won an order worth ₹42.37 crore from the National Horticulture Board for Planning, designing and execution of International Potato Centre (CIP) in Agra.

The company has won new orders worth ₹116.95 crore.

NBCC Q2 earnings

In the second quarter of current financial year NBCC reported a 25.71% year-on-year (YoY) surge in its consolidated net profit to ₹153.52 crore compared to ₹122.12 crore it logged in the year-ago period.

The Navratna company witnessed a 19% annual growth in its revenue from operations to ₹2,910.20 crore during the quarter under review, as against ₹2,445.73 crore in the September quarter of the 2024-25 fiscal year (Q2FY25).

The PSU’s revenue from its project management consultant (PMC) segment stood at ₹2,835.94 crore for the second quarter of FY26, reflecting a 30.22% YoY increase from ₹2,177.78 crore in the corresponding period of the previous fiscal year.

The engineering, procurement, and construction (EPC) business contributed ₹67.4 crore, marking a 67.84% annual slump from ₹209.60 crore in Q2FY25.

Its real estate segment’s revenue declined by 91.88% YoY to ₹4.66 crore, from ₹57.42 crore.

At an operational level, its earnings before interest, tax, depreciation and amortisation (EBITDA), also known as operating profit, stood at ₹101 crore during the reporting quarter, representing a marginal YoY growth from ₹100 crore in the September FY25 quarter.

Its EBITDA margin contracted by 58 basis points (bps) annually to 3.5% in Q2FY26, in comparison to 4.08% in the year-ago period.

As of 11:04 am, NBCC shares traded 3.37% higher at ₹116.41, outperforming the NIFTY Smallcap 100 index which was down 0.16%.