Engineers India Limited (EIL) Q3 Results: 71.63% Profit Surge, 3% Share Price Dip & Future Outlook
Business and Industry Overview:
Engineers India Limited (EIL) is an Indian public sector technology, engineering consultancy, and technology licensing company. It was established on March 15, 1965, as a private limited company under the name Engineers India Private Limited under a memorandum of agreement dated June 27, 1964, between the Government of India and Bechtel International Corporation. In May 1967, EIL became a wholly-owned Government of India (GoI) enterprise. It provides indigenous technology solutions across hydrocarbon projects. Over the years, it had additional diversification into synergic sectors like non-ferrous metallurgy, infrastructure, water and wastewater management, and fertilizers. EIL is headquartered at Bhikaji Cama Place, New Delhi. EIL also has an R&D complex at Gurgaon, a branch office in Mumbai, regional offices at Kolkata, Chennai, and Vadodara, inspection offices at all major equipment manufacturing locations in India, and overseas offices in London (England), Milan (Italy), Shanghai (China), Abu Dhabi (UAE).
Latest Stock News:
With the announcement of Q3 Results, the net profit of Engineers India rose 71.63% to Rs 108.73 crore in the quarter ended December 2024 as against Rs 63.35 crore during the previous quarter ended December 2023. The sales of the company have declined by 11.88% to Rs 764.59 crore in the quarter ended December 2024 as against Rs 867.64 crore during the previous quarter ended December 2023.
On 3 February the company announced that it had successfully bagged a project worth 1200 Cr as the project management consultant for the development of an academic institute of national importance.
Segmental information:
The major business areas wherein EIL provides its engineering consultancy services are: Petroleum Refining, Petrochemicals, Chemicals & Fertilizers, Crude, Petroleum products & Gas Pipelines, Onshore & Offshore Oil & Gas, Terminals & Storage Underground crude oil storages, Mining & Metallurgy, Infrastructure & Urban Development, Biorefinery, Gas Processing Station, Nuclear Power, & Revamp of existing plants in above category. EIL has also ventured into various unconventional energy resource projects like solar, 2G ethanol, bio-fuel, etc. EIL provides a wide range of engineering consultancy and EPC services to its clients which include:
- Process Design
- Engineering
- Supply Chain Management
- Project Management
- Construction Management
- Specialized services like Heat & Mass Transfer, Plant Operation & Safety Management, Specialist Materials & Maintenance services, Environment Engineering
Subsidiary Information:
EIL has a wholly-owned subsidiary Certification Engineers International Limited (CEIL) & also has set up a joint venture company namely Ramagundam Fertilizers and Chemicals Limited (RFCL) to enhance its presence in the fertilizers sector.
Certification Engineers International Ltd.: Certification Engineers International Ltd. (CEIL) is a wholly owned subsidiary of EIL providing services related to Certification, Re-certification, safety audit, and HSE management systems for offshore and onshore oil & gas facilities. It also undertakes Third Party Inspection of equipment and installations in the Hydrocarbon and other quality-sensitive sectors of the Industry. Over the years, CEIL has emerged as one of the leading certification and verification Agencies for offshore process platforms, well platforms, submarine pipelines, and single buoy mooring systems. The Company promotes safety, quality, and reliability throughout the design and operating life of all types of equipment, structures, pressure vessels, pipelines & rotating machinery. The worldwide services cover all types of capital goods and equipment, during manufacture and erection stages for oil, gas & general engineering sectors.
Ramagundam Fertilizers and Chemicals Limited (RFCL):
For setting up a gas-based urea plant of capacity 3850 TPD, EIL, National Fertilizers Limited (NFL), and Fertilizer Corporation of India (FCIL), have incorporated RFCL as a Joint Venture Company at Ramagundam in the Karimnagar district of Telangana. NFL & EIL will each have 26% equity in the JV Company. EIL has been retained as a Project Management Consultant for project execution in EPCM mode. The Project completion schedule to commission the plant is 36 months. NFL is a reputed player in the fertilizer sector and their expertise would be utilized for operating the plant as well as for marketing the products. The plant is being built on the existing land of FCIL.
Q3 Highlights:
- Engineers India’s consolidated net profit rose 71.63% in the December 2024 quarter
- Net Sales at Rs 750.16 crore in December 2024 down 12.4% from Rs. 856.33 crore in December 2023.
- Quarterly Net Profit at Rs. 88.10 crore in December 2024 up 75.42% from Rs. 50.22 crore in December 2023.
- EBITDA stands at Rs. 128.21 crore in December 2024 up 66.36% from Rs. 77.07 crore in December 2023.
Financial Summary:
| Amount in ₹ Cr | Q3 FY24 | Q3 FY25 | FY23 | FY24 |
| Revenue | 868.00 | 765.00 | 3,330 | 3,281 |
| Expenses | 818 | 667 | 3,020 | 2,982 |
| EBITDA | 77.07 | 128.21 | 475.00 | 518.00 |
| OPM | 6% | 13% | 9% | 9% |
| Other Income | 30 | 38 | 164 | 219 |
| Net Profit | 63.00 | 109.00 | 346 | 445 |
| NPM | 7.26 | 14.25 | 10.39 | 13.56 |
| EPS | 1.13 | 1.93 | 6.16 | 7.92 |