IL&FS Engineering and Construction Company Limited (IECCL) is a prominent Indian company deeply involved in construction and infrastructure development. It stands as a leading multi-national infrastructure development, construction, and project management entity with over two decades of extensive experience executing significant projects. Initially incorporated as Satyam Constructions Private Limited on May 6, 1988, it became a deemed public company effective July 1, 1993. The company underwent name changes, first to "Maytas Infra Limited" in 1998, and subsequently to its current name, IL&FS Engineering & Construction Company Limited, on January 7, 2010.
IL&FS Engineering Services holds ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certifications, underscoring its commitment to quality, environmental management, and occupational health and safety. The company boasts a diverse operational footprint, spanning both domestic Indian markets and international territories, solidifying its position as a key player in the global infrastructure development sector.
IECCL operates across a wide spectrum of infrastructure domains, offering comprehensive project capabilities. The company's business encompasses the erection and construction of roads, irrigation projects, buildings, oil and gas infrastructure, railway infrastructure, power plants, and power transmission and distribution lines, including rural electrification. It is also involved in port development.
The company's project execution spans various critical sectors:
- Buildings & Industrial Structures
- Roads, Expressways, and Highways
- Irrigation, Canals, and Dams
- Oil and Gas Pipelines, Refineries, and Petrochemicals
- Thermal and Hydel Power Projects
- Airports and Seaports
- Rail and Rail-Based Systems
- Water and Water Treatment Infrastructure
- Power Generation, Transmission, and Distribution
- Industrial Construction
IECCL's service offerings include the development of infrastructure projects, their construction, and comprehensive project management. Their construction portfolio includes residential and commercial buildings, industrial structures, and hospital facilities. They are also engaged in the construction of airports, seaports, rail systems, oil and gas pipelines, refineries, petrochemical plants, water treatment facilities, and power generation and distribution networks.
In 2018, the Union of India, through the Ministry of Corporate Affairs, initiated proceedings against the IL&FS group to mitigate contagion risks arising from defaults and to restore confidence and financial stability in India's capital markets. Following these proceedings, the Hon'ble National Company Law Tribunal (NCLT), Mumbai Bench, appointed new Directors, as recommended by the Union of India, to the Board of IL&FS. This new Board was subsequently empowered to appoint or replace directors on the Boards of IL&FS's subsidiary companies, including IL&FS Engineering and Construction Company Limited (IECCL).
IL&FS Engineering and Construction Company Ltd has a market capitalization of ₹482 Crore as of July 18, 2025. Classified as a Small Cap company by Value Research, it is listed and traded on both major Indian stock exchanges under the symbol IL&FSENGG on NSE and code 532907 on BSE.
Recent financial performance indicates a mixed scenario. The company's net profit saw a significant jump of 107.48% compared to the same period last year, reaching ₹7.34 Crore in Q4 FY2024-2025. However, the company faces ongoing challenges, with a reported poor sales growth of -10.6% over the past five years.
Key financial ratios highlight the company's current standing:
- The Price-to-Book (P/B) ratio is -0.15 times as of July 18, 2025.
- Due to negative TTM earnings, the Price-to-Earnings (P/E) ratio is not available.
- The company exhibits a low interest coverage ratio.
For the quarter ended March 2025 (Q4 FY25), the company demonstrated signs of recovery.
- Revenue: ₹102.06 Crore (as of March 2025, Q4 FY25)
- Net Profit: ₹7.33 Crore (as of March 2025, Q4 FY25)
The quarterly results showed a significant improvement, with IL&FS Engineering & Construction Co Ltd generating a 392.62% increase in its net profits over the preceding three months.
Earlier quarters presented volatility. For the quarter ended September 2024, the company reported a net loss of ₹10.72 crore, compared to a net profit of ₹28.65 crore in the previous quarter ended September 2023. Sales also declined by 8.47% to ₹65.89 crore in the quarter ended September 2024, from ₹71.99 crore during the same period in the previous year.
From an O'Neil Methodology perspective, the stock's performance metrics are currently weak:
- EPS Rank: 34 (POOR) - indicating inconsistency in earnings.
- RS Rating: 45 (POOR) - suggesting underperformance relative to other stocks.
- Buyer Demand: D+ - indicating heavy supply.
- Group Rank: 110 - placing it in a poor industry group.
Overall, the stock exhibits poor technical strength and weak fundamentals.
IL&FS Engineering and Construction Company Ltd has delivered a return of 45.12% over the last 3 years. The shareholding pattern indicates Promoter Holding at 42.2%, signifying significant promoter commitment despite operational challenges.
The company continues to navigate its restructuring phase while maintaining operations across diverse infrastructure sectors. Recent reports highlight FY25 losses, ongoing going concern doubts, investigations, and progress on resolution plans, all indicative of an ongoing transformation process. With its extensive experience in infrastructure development and broad sectoral expertise, IL&FS Engineering remains positioned to benefit from India's infrastructure growth momentum. However, investors should carefully assess the ongoing resolution process and the company's financial recovery trajectory.
