India Economic Survey Complete for the year of 2022 to 2023
Irb infrastructure developers ltd q3 fy12 result update
1.
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2. IRB Infrastructure Developer Ltd. – Q4FY11 Result Update
Page 2 Keynote Capitals Institutional Research
Our Analysis
Improvement in execution of E&C business
As the company currently has four new projects on which construction has already
started, major revenues are likely to be booked from these projects. The company
expects 15-20% growth in the E&C business in FY12 whereas major growth would
be in FY13 & FY14 as construction of the newly bagged project Ahmedabad-
Vadodara Expressway worth `3600Cr would start only in FY13.
Rise in EBIDTA margins beats the overall quarterly performance
EBIDTA margins improved 193bps y-o-y, primarily due to decrease in raw material
prices. EBIDTA grew 16.4% y-o-y and 6.3% q-o-q basis to `341.69Cr in Q3FY12.
Daily gross toll collection of `3.5Cr
Gross toll collection grew by 29.6% y-o-y and reaches up to Rs322Cr in Q3FY12,
primarily inclusion of tumkut chitradurga and toll hike in Mumbai-Pune (23.0%) and
Surat-Dahisar (11.3%) during the start of the current fiscal year.
Project wise toll revenue growth (` Cr)
Projects Q3FY11 Q2FY12 Q2FY12 Y-o-Y Q-o-Q
TBB – 4 Mumbra 13.80 14.45 15.91 15.3% 10.1%
Kharpada 1.92 1.90 2.04 6.3% 7.7%
Nagar Karmala Tembhurni 3.59 3.53 3.50 -2.5% -0.9%
Mohol Mandrup Kamptee 1.89 1.89 1.85 -2.1% -2.0%
Pune Solapur 3.53 3.91 4.24 20.1% 8.4%
Pune Nashik 5.55 5.53 5.77 4.0% 4.4%
Mumbai Pune 80.87 99.68 99.96 23.6% 0.3%
Thane Ghodbandur 7.28 6.91 7.54 3.6% 9.1%
Surat Dahisar 95.46 93.90 106.29 11.3% 13.2%
Bharuch Surat 34.78 34.68 37.24 7.1% 7.4%
Tumkur Chitradurga - 38.70 38.00 - -1.8%
Gross Toll Revenues 248.7 305.1 322.3 29.6% 5.7%
(Source: Company and Keynote Capitals Institutional Research)
Equity infused till date is `481Cr
The company has infused total equity of `481Cr in their 4 under construction
projects out of `1366Cr. It will also infuse around full equity in two of their projects
so that they could avail the government grant that will help them to execute
projects in faster manner. As on date, all the projects are expect to complete on
schedule. All equity requirements would be fund through internal accruals only. The
company has already infused 35% of the equity where as only 10-15% of work is
complete on these projects as time taken for the earth evacuation is longer.
Vadodara-Ahmedabad 1st
Mega highways project bagged by IRB
The company has bagged Vadodara Ahmedabad mega highway project worth
`3678Cr with the concession of 25 year including 3 years of construction at a
premium of `309.6Cr in 1st
year and thereafter 5% increase every year. We have
not included this project in our valuation due to lack of clarity. However we may add
it in FY13 as the construction work would only start in FY13.
3. K E Y N O T E
INSTITUTIONAL RESEARCH
Keynote Capitals Institutional Research Page 3
Toll collection from Tumkur started and Kolhapur City project is expected in
Q3 FY12
Toll collection started from Tumkur-Chitradurg project from June 2011 as expected
and the toll collection for the Q2FY12 was `38.7Cr. Due to some procedural delay
Kolhapur City Roads would start somewhere in Q3FY12. The company expects
first full year operational revenue in the range `35-40Cr.
Quarterly Results P&L (` Cr)
Source: Company and Keynote Capitals Institutional Research
Consolidated P&L (` Cr)
Particulars FY09 FY10 FY11 FY12E FY13E
Net Sales 991.90 1704.80 2438.11 3123.51 3606.06
Total Expenditure 553.00 905.80 1344.20 1866.88 2177.60
PBIDT (Excl OI) 438.90 799.00 1093.91 1256.63 1428.46
Other Income 28.20 48.90 64.49 80.00 75.00
Operating Profit 467.10 847.90 1158.40 1336.63 1503.46
Interest 137.70 249.40 357.20 441.49 481.11
PBDT 329.40 598.50 801.20 895.14 1022.36
Depreciation 114.40 181.90 225.40 346.62 380.92
PBT 215.00 416.60 575.80 548.52 641.44
Tax 37.80 13.30 111.70 131.19 152.09
Profit After Tax 177.20 403.30 464.10 417.33 489.35
% of Sales 17.9% 23.7% 19.0% 13.4% 13.6%
Growth (%) 40.1% 127.6% 15.1% -10.1% 17.3%
(E: Keynote Capitals Institutional Research Estimates)
Particulars Q3FY11 Q2FY12 Q3FY12 Y-o-Y Q-o-Q 9M FY11 9M FY12 Y-o-Y
Net Sales 668.81 735.88 745.48 11.5% 1.3% 1671.14 2282.69 36.6%
Total Expenditure 375.24 414.40 403.79 7.6% -2.6% 891.91 1290.07 44.6%
PBIDT (Excl OI) 293.57 321.48 341.69 16.4% 6.3% 779.23 992.62 27.4%
Other Income 11.71 30.07 33.75 188.2% 12.2% 41.60 92.04 121.3%
Operating Profit 305.28 351.55 375.44 23.0% 6.8% 820.83 1084.66 32.1%
Interest 81.97 141.15 141.96 73.2% 0.6% 217.39 400.54 84.2%
PBDT 223.31 210.40 233.48 4.6% 11.0% 603.44 684.12 13.4%
Depreciation 58.54 62.85 72.37 23.6% 15.1% 166.64 195.45 17.3%
PBT 164.77 147.55 161.11 -2.2% 9.2% 436.80 488.67 11.9%
Tax 28.80 36.69 29.07 0.9% -20.8% 78.17 110.02 40.7%
Profit After Tax 135.97 110.86 132.04 -2.9% 19.1% 358.63 378.65 5.6%
4. IRB Infrastructure Developer Ltd. – Q4FY11 Result Update
Page 4 Keynote Capitals Institutional Research
Consolidated Balance sheet (` Cr)
Particulars FY09 FY10 FY11 FY12E FY13E
Share Capital 332.4 332.4 332.4 332.4 333.4
Total Reserves 1397.7 1707.5 2163.1 2569.2 3046.9
Shareholder's Funds 1730.1 2039.9 2495.5 2901.6 3380.3
Minority Interest 59.9 77.9 95.0 110.0 118.0
Deferred Liabilities 18.2 26.7 30.0 26.4 27.2
Total Debts 2485.9 2915.2 3379.9 4417.6 5026.4
Total Liabilities 4294.1 5059.7 6000.4 7455.5 8551.9
Net Block 2016.2 3467.4 4052.0 4711.8 5315.4
Capital Work in Progress 1454.5 880.2 897.6 1185.8 840.9
Total Fixed Assets 3470.7 4347.6 4949.6 5897.6 6156.3
Investments 110.8 45.1 50.0 80.0 81.0
Total Current Assets 1018.1 1147.7 1630.5 2184.0 3028.3
Total Current Liabilities 306.5 481.6 630.5 707.5 716.0
Net Current Assets 711.6 666.1 1000.0 1476.5 2312.2
Total Assets 4294.1 5059.7 6000.4 7455.5 8551.9
(E: Keynote Capitals Institutional Research Estimates)
Consolidated Cash Flow (` Cr)
Particulars FY09 FY10 FY11 FY12E FY13E
Profit Before Tax 215.00 416.60 575.80 548.52 641.44
Add: Depreciation 114.40 181.90 225.40 346.62 380.92
Add: Interest Expenses 115.90 214.40 357.20 441.49 481.11
Changes In working Capital -140.10 185.00 51.11 -219.24 -508.65
Cash Flow after changes in WC 304.00 984.52 1209.51 1117.38 995.82
Less: Tax Paid 42.40 81.20 111.70 131.19 152.09
Cash from Operating Activities 261.60 903.32 1097.81 986.19 843.73
Cash from Investing Activities -604.70 -1022.30 -642.31 -1387.34 -563.26
Cash from Financing Activities 330.90 142.60 153.18 622.48 46.65
Net Cash Inflow / Outflow -12.20 23.62 608.67 221.33 327.12
Opening Cash balance 111.02 98.82 122.44 731.11 952.45
Closing Cash balance 98.82 122.44 731.11 952.45 1279.57
(E: Keynote Capitals Institutional Research Estimates)
5. K E Y N O T E
INSTITUTIONAL RESEARCH
Keynote Capitals Institutional Research Page 5
Ratios
Turnover Ratios FY09 FY10 FY11 FY12E FY13E
Total Assets Turnover 0.2 0.3 0.4 0.4 0.4
Fixed Assets Turnover 0.3 0.4 0.5 0.5 0.6
Net sales to net working capital 1.4 2.6 2.4 2.1 1.6
Net Working Capital Days 261.9 142.6 155.1 172.5 234.0
Inventory Turnover 4.8 10.0 12.0 12.0 10.0
Inventory Days 75.6 36.4 30.4 30.4 36.5
Advances Turnover 2.6 3.9 3.7 3.5 2.8
Advances Days 141.6 93.8 100.0 105.0 130.0
Debtors Turnover 76.3 57.4 38.0 42.9 34.8
Debtors Days 4.8 6.4 9.6 8.5 10.5
Creditors Turnover 4.2 5.7 5.5 6.6 8.1
Creditors Days 86.0 63.9 66.0 55.0 45.0
Valuation Ratios FY09 FY10 FY11 FY12E FY13E
Market Price (`) 174.7 174.7 174.7 174.7 174.7
EPS (`) 5.3 12.1 14.0 12.6 14.3
Book Value Per Share (`) 52.0 61.4 75.1 87.3 101.4
PE ( x) 32.8 14.4 12.5 13.9 12.2
P/BV (x) 3.4 2.8 2.3 2.0 1.7
EV/EBIDTA (x) 15.9 8.8 6.4 5.6 4.9
Market cap/Sales (x) 5.1 2.9 2.1 1.6 1.4
Return Ratios (%) FY09 FY10 FY11 FY12E FY13E
ROCE 8.2% 13.2% 15.8% 13.3% 13.1%
ROE 10.2% 19.8% 18.6% 14.4% 14.5%
Margins (%) FY09 FY10 FY11 FY12E FY13E
PBIDTA 47.1% 49.7% 47.5% 42.8% 41.7%
PBT 21.7% 24.4% 23.6% 17.6% 17.8%
PAT 17.9% 23.7% 19.0% 13.4% 13.6%
Other Ratios FY09 FY10 FY11 FY12E FY13E
Payout Ratio (%) 28.1% 12.4% 10.7% 15.9% 14.0%
Interest Cover (x) 2.6 2.7 2.6 2.2 2.3
EPS Growth (%) 40.1% 127.6% 15.1% -10.1% 13.8%
(E: Keynote Capitals Institutional Research Estimates)
6. IRB Infrastructure Developer Ltd. – Q4FY11 Result Update
Page 6 Keynote Capitals Institutional Research
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