Lloyds Engineering's ₹8,857 Crore Order Book: Which Businesses Are Driving Growth and Can the Company Execute It?
In engineering stocks, order book is one of the first things investors check, it tells how much work is already in the bag. But the size of the number isn't the full picture. Where the orders sit, who owns them and how fast they turn into sales matters just as much. Let's break it down.
Shares of Lloyds Engineering Works closed at ₹96.45, up 5.50% from the previous close of ₹91.42. The stock trades at a P/E of about 63.45 times, and the company’s market cap stands at about ₹14,930.59 crore.
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Where The Order Book Actually Sits
Order book simply means work a company has already won but is yet to deliver and bill. As on June 30, 2026, Lloyds Engineering Works combined order book stands at ₹8,857 crore. The important part is who holds these orders.
The biggest chunk is EPC and infrastructure at ₹4,830 crore. EPC means engineering, procurement and construction, basically building a full project start to end. This sits in Lloyds Infrastructure Construction (LICL), where the company holds only 24.2%. Such a company is called an associate, so only its share of profit comes into consolidated numbers, not its full revenue. That one business is around 55% of the whole order book.
Next is fabrication at ₹1,394 crore, which means cutting, shaping and joining steel into structures and heavy equipment. Metalfab has ₹196 crore of it and SISCOL has ₹1,197 crore. SISCOL is still a proposed subsidiary, the company plans to buy 52.16% for around ₹635 crore. Put LICL and SISCOL together and nearly two thirds of the order book is in businesses not fully inside the consolidated books today. A merger of Techno Industries, Metalfab and LICL into the parent is planned, which would bring these orders under one roof.
The remaining ₹2,630 crore is spread across segments. Mining to metal is the largest at ₹1,078 crore, then power ₹633 crore, civil ₹265 crore, eco pickling ₹210 crore, and elevators, escalators and motors ₹197 crore. Ongoing projects include a power plant for Lloyds Metals & Energy, mining to metal work for SAIL and Welspun Corp, and a naval shipbuilding project for Mazagon Dock. A couple of these clients carry the Lloyds name, so it's worth checking how much work comes from outside the group.
Defence Is Small Today, But The Groundwork Is Getting Built
Naval and defence orders are about ₹85 crore as on June 30, 2026, less than 1% of the total order book. Small, yes, but the setup is coming along. There are joint ventures with Fincantieri of Italy for propeller and shafting systems, and with Kliver Polska for torpedo test stands. The company also holds exclusive India rights for FlyFocus drones from Poland. Steering gear and fin stabilizers are already delivered to GRSE. Defence arm LADS, where it owns 85%, sits outside the planned merger. About ₹32 crore is deployed in R&D, so returns will take time.
Q1 FY27 Numbers: Growth Is Big, But Look At The Base
On a consolidated basis, total income was ₹540 crore, up 139% from last year. EBITDA, which is operating profit before interest, tax and depreciation, was ₹79 crore, up 124%. Profit after tax including associates came at ₹68 crore, up 127%.
But the base isn't same. Metalfab was consolidated only from May 20, 2025, so last year's quarter had it for a short time. Its revenue jumped to ₹164 crore from ₹27 crore. EBITDA margin also slipped to 14.66% from 15.63%, a fall of 97 bps (100 bps is 1%). And LICL's profit fell 2.01% to ₹54 crore even as its revenue rose 52.72% to ₹641 crore.
Can It Actually Execute This?
Balance sheet is a comfort. At the end of FY26, Lloyds Engineering’s borrowings were just ₹9 crore, cash was ₹336 crore and debt to equity was 0.01 times. But inventories rose to ₹433 crore from ₹86 crore a year before, so more money is getting locked in working capital. ROE (return on equity, the profit earned on shareholders' money) also fell to 9.24% from 18.88%.
The Bhilai deal is still ongoing and SISCOL isn't closed yet. The company targets ₹10,000+ crore revenue by FY29/30, around three times the ₹3,253 crore it would have made in FY26 if all the merging companies were already one. So keep an eye on how fast orders turn into sales, and whether margins hold. Order book gives visibility, delivery decides the rest.