H.G. Infra Engineering (HGINFRA) Q1 24/25 earnings summary

Executive summary

• Achieved strong financial and operational performance in Q1 FY25, with significant progress and diversification across highways, railways, metro, and solar segments.

• Board approved unaudited standalone and consolidated financial results for Q1 FY25, with compliance to SEBI regulations.

• Demonstrated efficient execution with a modern equipment fleet and digital-first processes, supporting continued expansion.

• 51 subsidiaries and 18 step-down subsidiaries were incorporated during the quarter, expanding the group structure and renewables footprint.

Financial highlights

• Standalone Q1 FY25 revenue: INR 15,059 million, up 18.4% year-over-year; EBITDA: INR 2,433 million (16.16% margin); PAT: INR 1,395 million (9.27% margin).

• Consolidated Q1 FY25 revenue: INR 15,280 million, up 13.1% year-over-year; EBITDA margin: 20.44%; PAT: INR 1,625.7 million (10.64% margin).

• Gross debt: INR 622 crore (standalone), INR 2,016 crore (consolidated); consolidated debt-equity ratio at 0.84 as of June 30, 2024.

• Net finance cost expected to remain stable at 1.5% of revenue, not exceeding INR 90 crore for FY25.

• Basic and diluted EPS (consolidated) for Q1 FY25 was Rs. 24.94.

Outlook and guidance

• FY25 order inflow guidance maintained at INR 11,000-12,000 crore, with 17%-18% revenue growth and 13%-16% margin.

• Order book reached INR 156,418 million as of June 30, 2024, up 34% year-over-year, supporting future growth.

• Execution target of INR 6,000 crore for FY25, with a focus on highways and margin sustainability.

• CapEx guidance for FY25 is INR 75 crore, with INR 50 crore already spent in Q1.

• Management expects realisable value from sale of assets held for sale to exceed carrying value, with regulatory approvals ongoing.