J Kumar Infraprojects Ltd. share price target

We maintain BUY with a TP of Rs 415/sh (15x Mar-20E EPS). JKIL reported terrific performance in 4QFY18 with revenue at Rs 9.0bn (+72.8% YoY, +97.4% QoQ) led by ~Rs 5.1bn from the 3 metro projects and Rs 1.7bn from JNPT. Out of the FY18 revenue of ~Rs 20.5bn these 4 projects contributed ~Rs 15.1bn. FY18 EBITDA margins came in at 15.7% vs 15.6% YoY.

J Kumar Infraprojects (JKIL) in 3QFY18 posted revenues of Rs. 457 Cr (up 24% Y-o-Y, up 44% Q-o-Q) due to strong execution of Mumbai Metro and JNPT projects. The EBITDA margins were stable at 17% and PAT grew in line with the revenue at Rs 33 Cr. (up 24% Y-o-Y, up 43% Q-o-Q).

JKIL's revenue grew by 24% YoY to Rs4.6bn led by decent acceleration in projects execution. Mumbai Metro Line-2, Metro Line-3 and Metro Line-7 contributed Rs1.95bn, 2.52bn and Rs650mn, respectively to its total 9MFY19 revenue, while Rs2.5bn revenue was booked from JNPT project. Further, JKIL looks forward to book Rs1.5-1.7bn from JNPT and Rs2.5bn from Metro Line-3 in 4QFY18. JKIL maintains its revenue guidance of Rs18bn and Rs23bn for FY18E...

With continued increasing focus on improving urban infrastructure under the current Govt. regime, we are enthused about the growth opportunities for J Kumar Infraprojects (JKIL), which is one of Indias largest pure play civil construction and engineering contractors with large presence

Even though JKIL wriggled out of aggregates shortage issue (created by mining ban in Turbhe, Navi Mumabi quarries) by sourcing from neighbouring locations (at a wider distance of 20kms), heavy downpour in Mumbai and other part of Maharashtra impacted the execution. Resultantly, revenue grew by mere 2% YoY to Rs3.2bn, which is below our expectation. However, with the strong pick-up in execution post monsoon, JKIL expects to book healthy revenue in ensuing...

J Kumar Infraprojects (JKIL) posted revenue of Rs.317 cr in Q2FY18 vs. Rs.374 cr in Q1FY17 on account of shortage of raw material and extended monsoon.

Maintain BUY with a TP of Rs 385/sh (15x Sep-19E EPS). JKIL reported soft performance in 2QFY18, with APAT coming in 12.1% below our estimates. The mining ban and quarrying issues have been resolved, and shall lead to a strong execution pick-up from 2HFY18E. The balance sheet remained stable, with net debt at Rs 4.2bn and net D/E at 0.29x.