RattanIndia Enterprises (534597) Q4 15/16 earnings summary

Executive summary

• FY2015-16 standalone profit after tax was ₹6.15m, supported by ₹68.03m of non-operational income; consolidated accounts recorded a ₹760.05m loss, chiefly reflecting the associate’s ₹766.20m share of loss.

• Operations focused on power consultancy opportunities, while the major investment was in an associate developing 5,400 MW of coal-fired capacity in Maharashtra.

Financial highlights

• Standalone other income and total revenue were ₹68.03m, versus ₹40.02m in FY2014-15; profit before tax was ₹5.27m versus ₹4.79m.

• Standalone PAT rose to ₹6.15m from ₹5.96m; reported basic and diluted EPS were ₹0.0045 and ₹0.0046, respectively.

• Consolidated revenue was ₹68.03m and consolidated loss was ₹760.05m, including a ₹766.20m share of associate loss; basic and diluted EPS were both negative ₹0.55.

• Standalone operating cash outflow was ₹963.32m, and cash and cash equivalents closed at ₹18.05m.

Outlook and guidance

• Consultancy opportunities are being pursued in power generation, transmission and distribution; strategy emphasizes expanding clients, geographic reach and research, advisory and consulting services.

• India’s GDP growth was projected at 7.7% for FY2016-17; infrastructure spending, monsoon-driven rural demand and public wage increases were cited as potential growth supports.

• Forward-looking projections and expectations may differ from actual results; no commitment was made to revise such statements as developments occur.