Capacit’e Infraprojects Q2 net profit up by 72.8% at 39.9 crore

Capacit'e Infraprojects Q2 report

Total Income for H1 FY20 is ₹ 831.4 crore as compared to ₹ 863.3 crore in H1 FY19, degrowing by 3.7%.

Highlights:

• Total Income ₹ 831.4 crore
• EBITDA ₹ 151.7 Crores, Margin of 18.2% PAT ₹ 63.6 crore, Margin of 7.6%
• Cash PAT ₹ 120.8 crore Total collections ~₹ 798 crore
• Private Sector Order Book at ₹ 5,739 crore; Public Sector Order Book at ₹ 5,397 crore

Capacit’e Infraprojects Limited (“Company”), a EPC company focused on High Rises & Super High Rises and providing end to end services for residential, commercial and Institutional building to both Private as well as Public sector, with presence in Mumbai Metropolitan Region (MMR), Pune, Chennai, National Capital Region (NCR), Kochi, Hyderabad and Bengaluru today announced its Unaudited Financial results for the quarter & half year ended September 30th, 2019.

Standalone Performance highlights for Q2 & H1 FY20:

Total Income for H1 FY20 is ₹ 831.4 crore as compared to ₹ 863.3 crore in H1 FY19, degrowing by 3.7%. The Total Income for Q2 FY20 was ₹ 413.5 crore as compared to ₹ 454.8 crore in Q2 FY19, showing a degrowth of 9.1%. Our Total Income for Q1 FY20 was ₹ 417.9 crore, thereby depicting a degrowth of mere 1.1% QoQ.

The heavy rainfall witnessed by Mumbai impacted our operations resulting into a loss of ~29 days of execution during the quarter. Reports suggest, in the period between June to September 2019 Mumbai received highest ever rainfall in the last 65 years.

EBITDA for H1 FY20 grew by 6.6% to ₹ 151.7 crore as compared to ₹ 142.4 crore in H1 FY19. EBITDA for Q2 FY20 was ₹ 75.2 crore as compared to ₹ 76.2 crore in Q2 FY19, degrowing by 1.3%. EBITDA margin for H1 FY20 was at 18.2% vis-à-vis 16.5% in H1 FY19 and for Q2 FY20 is at 18.2% v/s 16.8% in Q2 FY19.

Finance cost for H1 FY20 is ₹ 29.9 crore as compared to ₹ 26.8 crore in H1 FY19.

Depreciation and amortisation expense for H1 FY20 stood at ₹ 54.2 crore as compared to ₹44.5 crore in H1 FY19. The Capex spends towards Core Assets in H1 FY20 stood at ₹ 39.5 crore.

PAT for H1 FY20 grew by 39.0% to ₹ 63.6 crore as compared to ₹ 45.7 crore in H1 FY19. PAT for Q2 FY20 was ₹ 39.8 crore as compared to ₹ 23.0 crore in Q2 FY19, growing by 72.8%. PAT Margin for H1 FY20 stands at 7.6% v/s 5.3% in H1 FY19 and for Q2 FY20 at 9.6% vis-à-vis 5.1% in Q2 FY19. Tax expense for the quarter and six months ended Sep 30, 2019 reflect changes made vide Taxation Laws Amendments Ordinance 2019 as applicable to the Company.

Diluted EPS for H1 FY20 stood at ₹ 9.37 per equity share.

Cash PAT for H1 FY20 was ₹ 120.8 crore as compared to ₹ 93.6 crore during H1 FY19, growing by 29.0%. Cash PAT for Q2 FY20 grew by 42.4% at ₹ 70.5 crore, whereas it was ₹ 49.5 crore during Q2 FY19.

Our Net Debt/Equity ratio at the end of September 30, 2019 stood at 0.15x. The cash & bank balance stood at ₹ 153.4 crore as at the end of September 30, 2019.

Total collections during H1 FY20 is ~₹ 798 crore.

The Net Working Capital Days during H1 FY20 remains at the same level as of FY19 i.e. 68 days.

Total Orderbook (Private + Public) excluding MHADA as on September 30, 2019 stood at ~₹ 11,137 crore. Residential segment contributes ~83% of the orderbook and Commercial & Institutional segment contributes ~17%.

Orderbook from the Public sector (included in the above) as at the end of September 30, 2019 stood at ~₹ 5,397 crore i.e. ~48% of the total order book.

During the quarter the company received maiden order from City and Industrial Development Corporation of Maharashtra (CIDCO), for a contract value of ₹ 4,502 crore (excluding GST) for construction of approximately 21,346 dwelling units with development of commercial area and onsite infrastructure works at Navi Mumbai.

On the performance Rohit Katyal, Executive Director & CFO commented “We are extremely satisfied with our performance during the first half of the financial year despite challenges faced by the company in terms of non-availability of labour during the first quarter & heavy rainfall disrupting operations during the second quarter. We have effectively done execution for only 2 months during the second quarter as the heavy down pour washed off nearly 29 days of execution. 

Further, it gives us immense pleasure to announce the receipt of a very prestigious contract from CIDCO worth ₹ 4,502 Crore to be completed in a period of 42 months. With this we have added another marquee name to our elite clientele. This contract provides a fine balance to our order book, with almost equal share of public as well as the private sector in the total order backlog. Our philosophy of focusing on existing geographies and to associate with only eminent names is paying off.

Capacit’e today stands at an inflection point as it has a well-diversified order book comprising of most prominent clients from private as well as public sector, a lean balance sheet and a flexible management with adaptability to change.

We foresee huge opportunities lying ahead with the rising market share of Branded private Sector developers, resulting into repeat orders from existing clients, increasing investments in the commercial, institutional and healthcare segments and huge opportunities available in the Public Sector arising from Government schemes such as the Pradhan Mantri Awas Yojana (PMAY).

With a healthy order book and strong pipeline, we remain confident of continuing our strong performance in the foreseeable future.”