Ashoka Buildcon Q3FY25 results: Profit grows multifold to Rs 654.51 crore

The company's revenue, however, declined by 10.13 per cent Y-o-Y

Ashoka Buildcon’s consolidated profit (attributable to the owners of the group) for the third quarter of financial year 2025 (Q3 FY25) increased multiple times to Rs 654.51 crore, against Rs 96.24 crore in Q3 FY24, amid recognition of a deferred tax asset.

 

In October 2024, the company entered into share purchase agreements and other transaction documents with the Indian Highway Concessions Trust to sell its five road assets for Rs 2,539 crore. Since the sale is highly likely to go through, the company classified the assets and liabilities of these subsidiaries as "held for sale" in Q3 FY25. The amortisation of intangible assets in these subsidiaries has been discontinued in the consolidated financial results from the date of classification as "held for sale," eventually recognising a deferred tax asset of Rs 424.3 crore.

 

The company’s revenue from operations, however, declined by 10.13 per cent year on year (Y-o-Y) to Rs 2,387.9 crore. Its total expenses also declined by 15.23 per cent to Rs 2,119.8 crore.

 

As of December 2024, the company’s debt-to-equity ratio stood at around 2.18, against 3.65 at the end of Q3 FY24.

 

In the first nine months of FY25 (9M FY25), the company’s revenue from operations increased by 8.83 per cent Y-o-Y to Rs 7,342.21 crore. Meanwhile, the company’s profit during the same period stood at Rs 1,261.9 crore, against Rs 253.5 crore in 9M FY24.

 

Recently, the Competition Commission of India (CCI) approved Ashoka Buildcon's proposal to acquire the remaining 34 per cent stake in its subsidiary Ashoka Concessions Limited (ACL) for Rs 1,526 crore. Post-transaction, ACL will become a wholly owned subsidiary of Ashoka Buildcon.

 

In October 2024, the company entered into a securities purchase agreement (SPA) with Macquarie SBI Infrastructure Investments Private Limited and SBI Macquarie Infrastructure Trust, the investors, for the same.

 

Sequentially, the company’s revenue from operations dipped by 4.1 per cent, while its profit increased by 43.21 per cent.