Key takeaways of the call

Order book of EPC business as end of Sep 30, 2015 stood at Rs 3876 crore. The company is actively looking for external projects in verticals such as smart cities, solar, Transmission & Distribution and Metro. Hope to start seeing order book built up soon. Once order book built up happen that gives revenue visibility.

Mumbai Metro – Registered a revenue of Rs 54 crore (up 35%yoy) in Q2FY16 with an EBITDA of Rs 20 crore. EBITDA will go up as revenue goes up. Fare fixation committee recommended increased fare band ranging from Rs 10-110. The company has approached Government of Maharashtrat to provide subsidy and allow unlocking of other revenue generation opportunities permitted under Metro Act to contain fare rise as suggested by FFC. The company expects a response within Dec 2015. The company will get Rs 50 crore per annum revenue if real estate space in the stations is allowed to be exploited.

Currently 10 of the total eleven projects in the company's road portfolio is revenue generating. Kandla Mundra road project the eleventh project in the portfolio will also commence tolling from November 6, 2015 onwards. Rs 34 billion is the equity invested in road projects.

Pipavav Defence Acquisition: Waiting for the approval of Gujarat Maritime Board and the approval is expected within end of current fiscal ending March 2016. Once that is in place the open offers will be made for increased its stake further. The company is expected to meet the acquisition through operational cash flow as well as liquidation of investment in infra assets and other noncore businesses.

In cement business the process of obtaining requisite clearance for Sial Ghogri coal mine on track. The mining is expected to commence in Q1FY17.