GHV Infra (GHVINFRA) Q2 FY27 Profit Jumps 54% as Revenue Hits ₹300 Crore, But Margin Pressure Emerges
The infrastructure firm's Q2 revenue surged 63.5% year-on-year, though profitability softened as costs rose and cash flow turned negative.
GHV Infra Projects reported robust Q2 FY27 growth with revenue crossing ₹300 crore. Profit rose 54% YoY, but net margins contracted as project costs climbed and working capital strained cash flow.
GHV Infra Projects is riding a wave of infrastructure spending, but the cost of that growth is now showing. The company's second quarter saw revenue surge past ₹300 crore, yet profitability softened as project execution expenses climbed faster than the top line.
The numbers tell a story of strong expansion with underlying pressure. Revenue for the quarter ended September 2026 jumped 63.5% year-on-year to ₹300.38 crore, and profit followed with a 54% rise to ₹17.28 crore. Sequentially, the recovery from a weak Q1 was sharp, with profit up 135%.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin %
| Metric | CurrentQ2 FY27 | PreviousQ1 FY27 | Same quarter LYQ2 FY26 |
|---|---|---|---|
| Period | Sep 2026 | Jun 2026 | Sep 2025 |
| Revenue (₹ Cr) | 300.38YoY +63% | 218.60 | 183.77 |
| Profit (₹ Cr) | 17.28YoY +54% | 7.36 | 11.22 |
| Net Profit Margin % | 5.8YoY -4.9% | 3.4 | 6.1 |
This growth is being driven by a bulging order book. According to reports from Moneycontrol and ALFA Finder, recent wins include a ₹1,250-crore expressway contract in Maharashtra and a massive ₹6,993-crore international tyre plant order. The company is executing projects across roads, railways, and industrial EPC.
Why the profit didn't keep pace
Despite the revenue leap, the net profit margin slipped 30 basis points compared to the same quarter last year. A report from ScanX notes that cost inflation and project execution expenses grew faster than revenue, squeezing the standalone EBITDA margin. The profit growth was also flattered by a low base in Q1, where margins were compressed to 3.4%.
FlashFinance analysis shows the profit quality was solid, with 99% coming from core operations. However, the real tension is appearing on the balance sheet.
The cash flow catch
A critical divergence emerged between reported profit and cash generation. ScanX reports the company had a negative operating cash flow of ₹244 crore for the half-year, driven by a massive jump in trade receivables. This suggests billings are strong, but collections are lagging, forcing greater reliance on financing.
This working capital strain is a classic infrastructure sector challenge. With a debt-to-equity ratio of 1.46, efficient cash conversion is crucial for funding future growth without over-leveraging.
A leadership shift amid expansion
The quarter also saw a change in the finance cockpit. The board appointed Salim Yahoo, a veteran with over 30 years of experience, as the new Chief Financial Officer. This move, noted in filings covered by ScanX, aims to strengthen capital management as the company scales.
The outlook remains tied to India's infrastructure boom. A report by IANS Live highlights the sector as a key driver of funding demand, supported by strong public spending. For GHV Infra, converting its large order book into timely, profitable execution while managing working capital will define the coming quarters.
Key Points
- Revenue crossed ₹300 crore in Q2 FY27, growing 63.5% year-on-year, fueled by a strong pipeline of infrastructure projects.
- Net profit rose 54% YoY but margins contracted slightly, as project costs increased at a faster pace than revenue.
- Operating cash flow was deeply negative for the half-year due to a sharp rise in receivables, highlighting a working capital squeeze.
- The company appointed a new CFO with extensive experience, aiming to bolster financial management during a period of rapid scaling.
- Future performance hinges on executing a large order book profitably while improving cash collection cycles.
Hexa Perspective
The quarter confirms GHV Infra's position in a high-growth phase, capitalizing on national infrastructure spending. The revenue trajectory is clear, but the path to sustainable earnings is now the test.
The margin pressure and negative cash flow signal that growth is coming at a cost. The next few quarters will show if the new financial leadership and operational discipline can improve profitability and cash conversion. Investors are weighing robust top-line momentum against the capital intensity of the business and its current valuation premium to the industry.
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