Ahuwalia Contracts (India) (532811) Q4 14/15 earnings summary

Executive summary

• FY 2014-15 revenue from operations rose 10.37% to ₹10,599 million; EBITDA nearly doubled to ₹1,265 million and PAT nearly tripled to ₹641 million.

• The order book was ₹33,705 million at March 31, 2015, with about 50% attributable to public-sector clients.

• Management emphasized profitable growth, cost control, resource optimization, debt reduction and mechanized execution.

Financial highlights

• Total turnover increased 9.93% to ₹1,071.60 crore from ₹974.77 crore; standalone net profit rose to ₹64.14 crore from ₹21.75 crore.

• Standalone EPS was ₹10.00 versus ₹3.47; consolidated PAT was ₹640.2 million and consolidated EPS ₹9.99 versus ₹3.46.

• FY15 total revenue was ₹10,716 million, including ₹117 million of other income; prior-year exceptional profit included ₹141.1 million from land sale.

• Operating cash flow was ₹975.4 million; financing cash outflow was ₹981.5 million, while cash and cash equivalents closed at ₹422.0 million.

Outlook and guidance

• No quantified earnings guidance was given; management cited long-term infrastructure and housing demand and confidence in sustaining operating momentum.

• Government initiatives cited as potential demand drivers included infrastructure spending, affordable housing, smart cities, REITs and relaxed FDI rules.

• The Kota bus terminal and commercial-complex project’s modified second-phase works were expected to be completed in June 2015.