PSP Projects (PSPPROJECT) Q4 22/23 earnings summary

Executive summary

• FY 2022-23 revenue grew, while EBITDA, PAT and margins declined as large projects were mainly in initial or intermediate execution stages; prior-year margins benefited from projects nearing completion.

• Active execution covered 47 projects with an order book of ₹5,052 crore at March 31, 2023; the business broadened beyond Gujarat and pursued larger, more complex EPC work.

• Management positioned growth around larger contracts, precast technology, digital controls and a stronger balance sheet; FY24 revenue was estimated at ₹2,600 crore with normalized EBITDA margin of 11–13%.

Financial highlights

• Consolidated revenue from operations was ₹193,780.60 lakh in FY23, up 11% YoY; EBITDA was ₹23,006.38 lakh, down 11%.

• Consolidated EBITDA margin declined to 11.87% from 14.78%; profit after tax was ₹13,203.32 lakh versus ₹16,545.98 lakh, down 20%.

• Consolidated basic and diluted EPS was ₹36.65, compared with ₹46.29 in FY22.

• Standalone revenue rose 10.17% to ₹192,664.91 lakh; EBITDA fell 12% to ₹22,501.21 lakh and PAT before OCI declined 18% to ₹13,301.82 lakh.

Outlook and guidance

• FY24 revenue was estimated at ₹2,600 crore, with normalized EBITDA margin of 11–13%.

• Order book stood at ₹5,321 crore on June 30, 2023, after ₹3,421 crore of additions in FY23; the March 31, 2023 bid pipeline was approximately ₹6,000 crore.

• Priorities include winning larger projects across sectors, expanding beyond Gujarat, strengthening client relationships and scaling precast manufacturing and technology adoption.