GMR Airports (GMRINFRA) Q4 08/09 earnings summary

Executive summary

• FY09 consolidated gross revenue rose 65.91% to Rs. 4,476.19 crore; net revenue increased 75.15% to Rs. 4,019.22 crore, led by airport and energy operations.

• EBITDA rose 78.24% to Rs. 1,066.79 crore; PAT after minority interest increased 33.02% to Rs. 279.45 crore.

• Growth continued amid the global downturn, with efficiency initiatives and reviews of short-term growth plans to align investment and execution with market conditions.

Financial highlights

• Consolidated EBITDA margin was 26.54% vs. 26.08% in FY08; PAT before minority interest rose 5.51% to Rs. 277.11 crore.

• EPS was Rs. 1.53 vs. Rs. 1.23; cash profit increased 37.21% to Rs. 643.82 crore.

• Total assets grew 33.80% to Rs. 22,291.74 crore and net worth rose 14.49% to Rs. 8,277.24 crore.

• Standalone PAT increased to Rs. 97.67 crore from Rs. 62.70 crore; standalone revenue rose 54.91% to Rs. 159.20 crore, primarily on treasury income from QIP proceeds.

Outlook and guidance

• Long-term growth plans remained intact; near-term priorities included Kamalanga, Chhattisgarh, VPGL expansion, GEL relocation/conversion and Island Power development.

• Kamalanga's 1,050 MW coal project reached financial closure and was scheduled for commercial operations by 2012; GEL relocation and conversion to gas was expected to limit full-year operations.

• FY10 priorities included executing projects, pursuing merchant power opportunities, adding diversified power assets, and bidding for power and highway projects.

• Delhi T3 was targeted for completion by March 2010; Tindivanam–Ulundurpet road operations were expected in Q2 FY10.