Aarvi Encon Limited has bagged four work orders worth Rs 174.73 crore from Certification Engineers International Limited (CEIL). The contract entails providing onshore, offshore, and technical manpower for projects over a three-year period, starting September 2026. This long-term engagement with a government-backed entity enhances the company's revenue visibility in the engineering and technical services segment.
Aarvi Encon Secures Rs 174.73 Crore Order from CEIL
Aggregate order value stands at Rs 174.73 crore over a three-year term.
Contract duration begins September 1, 2026, and concludes August 31, 2029.
Reader Takeaway: Revenue visibility is bolstered by a three-year PSU contract, though execution timing remains subject to project demand.
What just happened
Aarvi Encon Limited has been awarded four distinct work orders by Certification Engineers International Limited (CEIL), a wholly-owned subsidiary of the government-backed Engineers India Limited. The contract, valued at Rs 174.73 crore (excluding taxes), covers the deployment of technical and non-technical human resources for onshore and offshore projects in India and internationally.
Why this matters
Securing a multi-year mandate from a PSU subsidiary provides stable cash flow and long-term revenue visibility. As a technical manpower provider, Aarvi Encon relies heavily on project-based deployments. Aligning with a government entity for a three-year cycle reduces counterparty risk and validates the company’s capability in the energy and infrastructure sectors.
Governance and Compliance
Aarvi Encon has clarified that these orders are executed at an arms-length basis. The company confirmed that no promoters or members of the promoter group have any interest in CEIL, and the deal is not classified as a related-party transaction, adhering to transparency requirements.
What to track next
Investors should track the quarterly execution pace of these manpower deployments. While the contract duration is fixed, actual billing will depend on the scaling of project requirements by the client over the 36-month tenure.