AIA Engineering (AIAENG) Q4 16/17 earnings summary

Executive summary

• Consolidated revenue from operations rose to ₹232,034.30 lakh from ₹217,238.84 lakh; EBITDA was ₹73,901.24 lakh versus ₹71,124.74 lakh, while PAT after non-controlling interest was ₹45,679.01 lakh versus ₹45,688.71 lakh.

• Mining remained the main growth opportunity; effective capacity reached 340,000 MT, with a further 100,000 MT expansion planned for commissioning in FY 2018-19.

Financial highlights

• Consolidated PBT was ₹66,204.31 lakh versus ₹64,085.87 lakh; profit for the year was ₹45,721.32 lakh versus ₹45,679.42 lakh.

• Consolidated EPS was ₹48.43 versus ₹48.44; production increased to 233,122 MT from 189,449 MT.

• Standalone revenue from operations was ₹212,239.55 lakh versus ₹188,438.97 lakh; standalone PAT declined to ₹41,731.35 lakh from ₹61,562.82 lakh.

• Standalone other income was ₹13,897.00 lakh versus ₹35,791.80 lakh; standalone EPS was ₹44.24 versus ₹65.27.

Outlook and guidance

• Mining growth plans target conversion from forged to high-chrome wear parts across iron, platinum, gold and copper ores, with focus on major global mining centers.

• Phase II at Kerala GIDC is expected to add 100,000 MT by FY 2018-19, lifting installed capacity to 440,000 MT.

• Cement near-term production and sales were expected to remain flat; domestic utilization was improving, while thermal-power growth was expected to track sector growth.