• Sales of Real Estate segment has gone up 15.63% to Rs 74.00 crore (accounting for 1.52% of total sales).  Sales of EPC segment has gone up 18.15% to Rs 4,779.00 crore (accounting for 97.87% of total sales).  Sales of Others segment has gone up 15.38% to Rs 30.00 crore (accounting for 0.61% of total sales).  
• Profit before interest, tax and other unallocable items (PBIT) has jumped 35.37% to Rs 333.00 crore.  PBIT of Real Estate segment fell 7.50% to Rs 37.00 crore (accounting for 11.11% of total PBIT).  PBIT of EPC segment rose 47.45% to Rs 289.00 crore (accounting for 86.79% of total PBIT).  PBIT of Others segment fell 30.00% to Rs 7.00 crore (accounting for 2.10% of total PBIT).  
• PBIT margin of Real Estate segment fell from 62.50% to 50.00%.  PBIT margin of EPC segment rose from 4.85% to 6.05%.  PBIT margin of Others segment fell from 38.46% to 23.33%.  Overall PBIT margin rose from 5.95% to 6.82%.  

Net sales (including other operating income) of Kalpataru Power Transmission has increased 10.72% to Rs 16361 crore.  Sales of Development Projects segment has gone down 45.54% to Rs 116.00 crore (accounting for 0.71% of total sales).  Sales of EPC segment has gone up 10.63% to Rs 15,979.00 crore (accounting for 97.63% of total sales).  Sales of Others segment has gone up 121.14% to Rs 272.00 crore (accounting for 1.66% of total sales).  Inter-segment sales rose Rs 2.00 crore to Rs 6.00 crore.  

Profit before interest, tax and other unallocable items (PBIT) has slumped 0.19% to Rs 1,075.00 crore.  PBIT of Development Projects segment rose 8.74% to Rs 112.00 crore (accounting for 10.42% of total PBIT).  PBIT of EPC segment fell 1.33% to Rs 964.00 crore (accounting for 89.67% of total PBIT).  PBIT of Others segment rose 66.67% to Rs -1.00 crore (accounting for -0.09% of total PBIT).  

PBIT margin of Development Projects segment rose from 48.36% to 96.55%.  PBIT margin of EPC segment fell from 6.76% to 6.03%.  PBIT margin of Others segment rose from negative 2.44% to negative 0.37%.  Overall PBIT margin fell from 7.29% to 6.57%.  

Operating profit margin has jumped from 8.05% to 8.37%, leading to 15.22% rise in operating profit to Rs 1,370.00 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 43.53% to 42.65%.   Employee cost increased from 8.81% to 8.84%.   Other expenses rose from 39.61% to 40.14%.   Other direct service cost rose from 31.81% to 33.06%.   

Other income fell 55.06% to Rs 40 crore.  PBIDT rose 10.33% to Rs 1410 crore.  Provision for interest rose 17.93% to Rs 467 crore.  Loan funds declined from Rs 3,837.00 crore as of 31 March 2022 to Rs 3,787.00 crore as of 31 March 2023.  Inventories rose to Rs 1,228.00 crore as of 31 March 2023 from Rs 1,096.00 crore as of 31 March 2022.  Sundry debtors were higher at Rs 5,251.00 crore as of 31 March 2023 compared to Rs 4,577.00 crore as of 31 March 2022.  Cash and bank balance declined from Rs 1,194.00 crore as of 31 March 2022 to Rs 1,059.00 crore as of 31 March 2023.  Investments stood at Rs 5.00 crore as of 31 March 2023 to Rs 5.00 crore as of 31 March 2022.  

PBDT rose 6.92% to Rs 943 crore.  Provision for depreciation rose 11.68% to Rs 392 crore.  Fixed assets declined from Rs 3,400.00 crore as of 31 March 2022 to Rs 2,993.00 crore as of 31 March 2023.  Intangible assets stood at Rs 184.00 crore.  

Profit before tax grew 3.77% to Rs 551.00 crore.  Share of profit/loss were nil in both the periods.  Extraordinary items were decreased to Rs 91.00 crore.  Provision for tax was expense of Rs 207 crore, compared to Rs 161 crore.  Effective tax rate was 32.24% compared to 23.13%.

Minority interest decreased 20% to Rs -6.00 crore.  Net profit attributable to owners of the company decreased 18.33% to Rs 441.00 crore.  

Order book update

Order Inflows for FY23 was at record level of Rs 25241 crore, up 39% YoY. Order Book as on 31 March 2023 is at Rs 45918 crore, an all-time high. Additionally the company is in L1 position for orders worth Rs 4000 crore. 

Management Comments :

Commenting on the results, Mr. Manish Mohnot, MD & CEO, KPTL said: “The performance for FY23 has been remarkable for the combined entity as we continued to accelerate profitable growth and build on our position as a leading player in the global EPC market. Our standalone revenue grew by 16% YoY to ?14,337 Crores and PAT increased by 52% YoY to ?531 Crores for FY23. Our order book including L1 is at an all-time high of around ?50,000 Crores. Our focus will continue to accelerate growth while maintaining profitability and the strength of our balance sheet. Additionally in FY23, we have strengthened our capabilities by expanding civil business in international markets, adding large size orders in T&D in India and international markets, and ventured into newer areas like airports, solar EPC, data centers etc., this truly is the indisputable evidence of the strength and resilience of our diversified business model. All these initiatives are steps in the right direction to transform KPTL into a leading global EPC major with well-diversified capabilities in high-growth businesses and markets. The growing need for infrastructure development and higher adoption of renewables has resulted in a strong business momentum as we have secured record order inflows in FY23. Business visibility in our T&D and civil businesses remains robust in both India and international markets, which gives us the confidence to further build on growth in FY24 and beyond. We have a strong balance sheet and are continuously working on improving our working capital, return ratios and project closures along with divesting our non-core assets.”

Others

The Board of Directors have recommended a dividend of Rs. 7.00 per Equity Share of Rs. 2 each of the Company for the financial year 2022-23.

Equity capital increased from Rs 30.00 crore as of 31 March 2022 to Rs 32.00 crore as of 31 March 2023.  Per share face Value remained same at Rs 2.00.  

Promoters’ stake was 47.24% as of 31 March 2023 ,compared to 51.58% as of 31 March 2022 .  Promoters pledged stake was 48.84% as of 31 March 2023 ,compared to 51.84% as of 31 March 2022 .  

Loan funds declined from Rs 3,837.00 crore as of 31 March 2022 to Rs 3,787.00 crore as of 31 March 2023.  Inventories rose to Rs 1,228.00 crore as of 31 March 2023 from Rs 1,096.00 crore as of 31 March 2022.  Sundry debtors were higher at Rs 5,251.00 crore as of 31 March 2023 compared to Rs 4,577.00 crore as of 31 March 2022.  Cash and bank balance declined from Rs 1,194.00 crore as of 31 March 2022 to Rs 1,059.00 crore as of 31 March 2023.  Investments stood at Rs 5.00 crore as of 31 March 2023 to Rs 5.00 crore as of 31 March 2022.  Fixed assets declined from Rs 3,400.00 crore as of 31 March 2022 to Rs 2,993.00 crore as of 31 March 2023.  Intangible assets stood at Rs 184.00 crore.  

Cash flow from operating activities decreased to Rs 656.00 crore for year ended March 2023 from Rs 714.00 crore for year ended March 2022.  Cash flow used in acquiring fixed assets during the year ended March 2023 stood at Rs 771.00 crore, compared to Rs 309.00 crore during the year ended March 2022.