Ahuwalia Contracts (India) (532811) Q4 07/08 earnings summary

Executive summary

• FY08 turnover rose 31.4% to Rs 886.57 crore; EBITDA increased 51.1% to Rs 109.52 crore and PAT rose 65.5% to Rs 51.64 crore.

• New awards totaled Rs 1,528 crore, lifting the year-end order book to Rs 3,150 crore from Rs 1,622 crore.

Financial highlights

• Sales and other income reached Rs 886.57 crore vs Rs 674.68 crore; PBT was Rs 78.14 crore vs Rs 48.41 crore.

• Net profit was Rs 51.64 crore vs Rs 31.19 crore; EPS was Rs 8.23 vs Rs 4.97 on the adjusted Rs 2 face value after the share split.

• Operating expenditure declined to 81% of turnover from 83%; EBITDA margin was 12.35% vs 10.75%.

• Net fixed assets rose to Rs 120.83 crore from Rs 76.86 crore; reserves and surplus increased to Rs 112.45 crore from Rs 67.13 crore.

Outlook and guidance

• FY09 targets: turnover of Rs 1,250 crore and net profit of Rs 80 crore.

• Strategy targets BOT/BOOT, multi-level parking, terminals, waste management and sewage treatment, with planned entry into SEZs, aviation and concrete roads.

• A Rs 72 crore BOT bus-terminal and commercial-complex project was awarded in Kota, Rajasthan; strategic alliances and foreign technical collaborations were also targeted.