Modern Engineering and Projects FY26 Revenue Rises 25%

Revenue up 25.29% to Rs 119.79 crore; PAT grows 16.51% to Rs 8.49 crore.

Reader Takeaway: Strong top-line growth drives performance, but dividend suspension signals a capital-intensive phase ahead for infrastructure projects.

What just happened

Modern Engineering and Projects Limited has released its Annual Report for FY 2025-26 and scheduled its 80th Annual General Meeting for September 29, 2026. The meeting will be conducted via video conferencing. The company recorded total income of Rs 122.85 crore compared to Rs 97.91 crore in the previous year.

Why this matters

The company’s focus on EPC civil infrastructure projects has accelerated revenue growth significantly. However, profit margins were pressured by rising material procurement costs and mobilization expenses for new contracts. The board has opted to conserve cash, resulting in a decision not to declare a dividend for the year.

Governance and Operations

The company reported a minor delay in CSR fund allocation, with a Rs 2.44 lakh shortfall addressed in May 2026. Statutory auditors have issued an unmodified, clean opinion on the financial statements. Furthermore, the company has appointed Mr. Navraj Bhatt as the new CFO effective July 1, 2026, marking a transition in the finance leadership.

What to track next

Investors should focus on management's commentary during the upcoming AGM regarding the status of the current order book and project execution timelines. The company’s ability to manage inflationary pressures in material costs remains a critical metric for future margin expansion.