NCC Secures Orders Worth Rs. 10,800 Cr. for BharatNet Works
Hyderabad-based infrastructure and construction company, NCC Ltd. (formerly Nagarjuna Construction Company Ltd.), has secured two orders collectively valued at Rs. 10,804.56 crore from BSNL (Bharat Sanchar Nigam Ltd.). These orders are for middle-mile network* works under phase 3 of BharatNet project.
*Middle-mile network refers to the network which connects last-mile networks, to which end-users are connected, to the greater internet infrastructure.
NCC to Execute Works in Uttarakhand, MP, Dadra & Nagar Haveli and Daman & Diu
One of the aforementioned orders is to execute middle-mile network for BharatNet phase-III project in Uttarakhand (package-05), whereas the second order is for these works in Madhya Pradesh, and Dadra and Nagar Haveli (DNH) and Daman and Diu (DD) (package-01).
Works in Uttarakhand have been valued at a total of Rs. 2,647.12 crore, out of which Rs. 1,543.35 crore is for developing the network (CapEx). The remaining Rs. 1,103.77 crore is for associated Operation & Maintenance OpEx.
In MP, DNH & DD circles, works awarded to NCC have been valued at Rs. 8,157.44 crore. The CapEx component of this order amounts to Rs. 4,189.05 crore, whereas the remaining Rs. 3,968.39 crore is the OpEx component of the order.
NCC’s Brief Scope of Work in Both Orders
Being an EPC player, NCC will execute design, supply, construction and installation works for middle-mile network in Uttarakhand circle, and in Madhya Pradesh, DNH & DD circles. NCC will also provide subsequent Operation & Maintenance (O&M) services, including upgradation of the network as and when required during the O&M period.
The construction period has been specified as 3 years and the maintenance period has been mentioned as 10 years in both these orders.
‘Major’ Order Win for NCC
NCC has described both these order wins as ‘major’. The company clarified that as per its ‘Policy on Determination of Materiality of Events and Information’, orders valued over Rs. 1,000 crore are designated as ‘major’ orders.
A look at the company’s order book shows that as on 31st December 2024, NCC had Rs. 55,548 crore worth of unexecuted orders. The bulk of these orders (in terms of value) is formed by those in the buildings sector (38%), whereas the transportation sector and T&D sector are the next highest contributors (19% each).
About NCC Ltd.: NCC Ltd. was established in 1978, and provides infrastructural services to sectors such as transportation, water, Transmission and Distribution (T&D), mining, railways, buildings, and more. The company reported a revenue of Rs. 20,844.96 crore for FY-24.
