Key Highlights

Total orders in hand as on Mar'16 stands at Rs 6903 crore. Of this order book, O&M orders would be of around Rs 600 crore. The company is currently executing more than 25 projects.

Of the total orders in hand, around 87% are from Roads and Highways, 8% from Housing and Buildings, 2% from Railways and rest from others. Around 58% of orders are from North and Western geography including Delhi, Haryana, Rajasthan, Uttarakhand, 26% is from Central geography particularly from MP and rest 17% from Eastern geography including Bihar, UP, Assam, Chattisgarh and West Bengal. 68% of orders are from NHAI, 9% from State governments and rest from others.

The company has won 2 Hybrid Annuity based projects namely Yamunagar (UP/Haryana Border section) of NH-73 in UP and Roorkee-Chutmalpur-Gagalheri station in UP and Uttarakhand. The total project costs of these projects is around Rs 2100 crore of which 40% will be funded by NHAI and the company's equity contribution will be around Rs 292 crore. Management has clarified that these 2 projects will also have healthy margins and the company has received these projects at 14% above NHAI estimates of Hybrid Annuity project.

The company does not require any equity funding for any of the existing 2 Operational BOT projects and 3 under construction BOT projects. The 3 under construction BOT projects are running as per schedule and management expects COD to be received for all these projects in FY'17, especially by the end of FY'17.

The company has participated and bid for around 11500 crore of road projects and are at various stages. Most of these projects are EPC based projects and some are on hybrid model. These projects are on PAN India basis, with States like Rajasthan, Gujarat, Delhi and Karnataka being predominant.

Management expects around Rs 4000 crore of new orders in FY'17.

For FY'17, due to better execution and order book, consolidated net sales will be around Rs 2900 crore, as compared to around Rs 2342 crore for FY'16.

Of the consolidated revenue of around Rs 2342 crore for FY'16, EPC revenue stood at Rs 2314 crore, up by around 18.7% with EBIDTA of Rs 225.10 crore, more or less flat as compared to FY'15. Ebidta margin stood at 9.7% as compared to 11.5% for FY'15. BOT revenue stood at rs 31 crore as compared to Rs 19.2 crore for FY'15 with Ebidta of Rs 27 crore compared to Rs 12.6 crore for FY'15.

For FY'16, some of the expenses and revenues have been recognized but the profits have not been booked due to AS-7. Management expects margins thus to come back in FY'17.

As per the management, around 25000 KM of total road projects will be tendered out in FY'17 and of which EPC based projects will be around 15000 KM kind. Most of these projects will be from NHAI and rest from others and MORTH.

The company has consolidated debt level of around Rs 730 crore as on Mar'16 as compared to around Rs 810 crore on Mar'15. Management expects the debt level to come down further to Rs 670 crore levels largely due to better mobilization of working capital, advances, retention money etc.

The average working capital days as on Mar'16 stood at 175 days.

Further, management has clarified that it will not bid for any BOT project in next couple of years but will continue to bid for hybrid BOT projects.

The company will consolidate its position in next 2 years and focus will be more on cash generation and debt repayments.