Dilip Buildcon shares cool off after initial spike on ₹5,000 crore order win from NALCO

Dilip Buildcon Ltd. has won a ₹5,000 crore mining and infrastructure contract from the Aluminium Company Ltd. (NALCO) to develop and operate a bauxite mine, the company announced on Monday, November 24.

The Bhopal-based company "emerged as the L-1 bidder for MDO Contract for Development and Operation of Pottangi Bauxite Mines along with Overland Conveyor Corridor (OLCC) and allied facilities," it said in an exchange filing.

The contract spans 25 years, with the first three years dedicated to engineering, procurement and construction (EPC) work valued at ₹1,750 crore and covering 7 million tonnes. The remaining 22 years comprise mining operations valued at ₹3,250 crore at current rates (₹423/tonne), covering 77 million tonnes.

The work volume over the contract period totals to 84 million tonnes, valued at ₹5,000 crore.

The construction and infrastructure development company added that none of its promoters hold any interest in NALCO and therefore, the contract does not fall within the definition of related party transactions.

Dilip Buildcon's stock surged to a high of ₹443.30 per share on NSE after the announcement, cooled off from the day's high soon after.

Earlier this month, the infrastructure company reported a 22.8% fall in its net profit to ₹182 crore for the quarter ended September 2025 from ₹235 crore during the same period last year. Its revenue for the quarter fell 21.8% year-on-year to ₹1,925 crore from ₹2,461 crore, indicating a slowdown in project execution compared to the year-ago period.

EBITDA for the quarter dropped 5.8% to ₹470.6 crore from ₹499.5 crore in the same quarter last year. However, the company’s operating margin improved to 24.5% from 20.3% a year earlier.

Shares of Dilip Buildcon are currently trading 0.8% higher on Monday at ₹433.25. The stock is down 10% in the last one month.