• Revenue of Rs 1382.24 crore for the quarter was net of NHAI revenue share of Rs 21.26 crore. NHAI revenue share for the quarter was down by 72% compared to Rs 76.74 crore in corresponding previous period.

• Downside in revenue can be attributed to fall in revenue of both BOT Projects as well as construction. The segment revenue of construction business was down by 15% to Rs 885.04 crore (or 64% of total sales). However the segment revenue of BOT projects was down by 16% to Rs 493.53 crore (or 36% of total sales). The segment revenue of unallocated corporate jumped up by 317% to Rs 3.66 crore.

• Sharp fall in BOT revenue is largely due to transfer of 7 operational road projects to InvIT including six projects on May 9, 2017 and one more on Sep 27, 2017.

• The EBIT was down by 8% to Rs 546.88 crore with downside coming largely from BOT Projects. Lower sale together with 190 bps contraction in segment margin to 26.8% resulted in 20% fall in EBIT of construction business to Rs 237.04 crore. The segment profit of BOT was up by 2% to Rs 306.75 crore despite lower sales and that is largely due to higher segment margin. The segment margin of BOT projects expanded by 1130 bps to 62.2%. The unallocated corporate registered a segment profit of Rs 3.09 crore compared to a loss of Rs 1.40 crore in the corresponding previous period.

• Other income stood higher by 72% to Rs 49.87 crore. The interest cost was down by 36% to Rs 208.99 crore. And the depreciation was down by 49% to Rs 115.22 crore.

Yearly performance

Sales for the period was down by 3% to Rs 5694.10 crore with operating profit margin contract by 500 bps to 47.1%, the operating profit was down by 12% to Rs 2679.36 crore. However after accounting for higher other income, lower interest and depreciation, the PBT was up by 36% to Rs 1337.32 crore. Restricted by higher taxation (up 103% to Rs 544.35 crore) the PAT was eventually higher by 11% to Rs 792.97 crore.

Pursuant to the share purchase agreement dated Sep 27, 2017 executed between the company and IRB InvIT Fund, the investment in IRB Pathankot Amritsar Toll Road has been transferred to IRB InvIT Fund. Accordingly revenue, expenses as well as profit/loss after Tax in these companies have been included only upto Sep 27, 2017 in Q2FY18. Likewise the company has transferred investment in six subsidiary companies on May 9, 2017 to IRB InvIT Fund during quarter ended June 30, 2017.