Kalpataru Projects International Ltd. share price target

Achieved RoCE of 21% in FY19 against target by FY21. We are revising upward FY20/21E EPS estimate by 10%/4%YoY due to 1) Robust earnings performance in FY19 2) Strong existing order book and healthy order inflow pipeline and 3) Expectation of execution momentum sustaining. Kalpataru Power Transmission (KPTL) reported strong set of numbers for 4QFY19 with PAT of Rs1.4 bn (PLe Rs1.3bn) mainly on the back of strong execution in T&D;, Oil & Gas Pipeline and Railways segments and successfully balance sheet strengthening....

Good quarter; strong revenue guidance for FY20; Maintain Accumulate Q4, showed strong performance, with decent order inflow in Q4FY19 as well as full year FY19. Management is confident on achieving 15-20% growth in revenues and 11-12% EBITDA margins for FY20. We remain positive on stock and increase our FY20 sales/EBITDA/PAT estimate by 5%/12%/5% to factor into increased growth guidance given by the company. Monetization of transmission assets has helped improve its...

acquire 85% stake in Linjemontage i Grastorp AB, a Swedish EPC company for an enterprise value of $24 million. Initially, KPTL will own 85%, with balance 15% to be owned by the current promoters with KPTL having the right of first refusal. Founded in 1993, Linjemontage specialises in EPC and O&M; in power supply solutions and services for electricity networks...

Kalpataru Power (KPTL) has acquired an 85% stake in Linjemontage I Grastorp AB (LG), a Swedish EPC company specialised in T&D; EPC and power supply solutions at an enterprise value of $24 million in an all-cash deal, translating to ~| 165 crore of enterprise value and | 141 crore for acquisition of 85% stake in rupee terms. The transaction will be financed through internal accrual and some short-term debt, if required. KPTL will have right to acquire remaining 15% stake in future. The transaction is expected to be closed in Q1FY20. Linjemontage's CY18 revenue was at...

Strong Performance Across Segments: Q3FY19 revenues of Kalpataru power Transmission Ltd (KPTL) grew by 21.7% YoY to Rs. 17,247 Mn driven by healthy order execution.

ICICI Securities Ltd | Retail Equity Research For Q3FY19, KPTL reported revenue at | 1724.7 crore registering strong growth of 21.7% YoY, above our estimate of | 1672.9 crore driven by strong execution. On a consolidated basis, revenues grew 26.0% to | 2179.6 crore while PAT margins improved 100 bps to 4.3% due to the better performance of developmental assets EBITDA came in at | 183.9 crore with EBITDA margins of 10.7%, largely in line with our estimate of | 180.7 crore, owing to focus on...

KPP (standalone) reported better-than-expected operational performance, driven by strong execution across all segments. While revenues grew 29% yoy, EBITDAM remained steady at 10.9% and PAT increased by 28% yoy. Order inflows increased by 90% yoy to Rs20bn. Order backlog increased by 47% yoy to...

For Q2FY19, KPTL reported robust revenues at | 1574.1 crore registering strong growth of 28.7% YoY (above our estimate of | 1493.9 crore) driven by strong execution. On a consolidated basis, revenues grew 28.0% to | 2480.5 crore, PAT margin improved 190 bps to 4.6% owing to a better operating performance EBITDA came in at | 170.9 crore with EBITDA margins of 10.9%, in...

Kalpataru Power Transmission (KPTL) has delivered a strong performance in 2QFY19 led by better-than-expected execution in Railway, Oil & Gas Pipeline and T&D; business. We continue to believe that KPTL is well-placed to benefit from continued spending in T&D;, railway and pipeline segments. Considering the strong visibility on revenue and order flow front, sustained earnings momentum and likely improvement in return ratios in next 2 years, we maintain our...

Aided by strong execution in T&D;, Railway and Pipeline business coupled with higher margin, Kalpataru Power Transmission (KPTL) has delivered a decent performance in 1QFY19. Its standalone earnings improved by 15% YoY to Rs810mn (in-line with our estimate of Rs792mn), while revenue grew by 10% YoY (16% YoY Like-to-Like basis) to Rs13.2bn. EBITDA grew by 15% YoY to Rs1.6bn, while EBITDA margin expanded by 50bps YoY to 11.9% led by cost control. At subsidiary level, while JMC Projects' PAT grew by 24% YoY to Rs266mn led by margin expansion and higher other income, Shree Shubham Logistics' (SSL) revenue rose by 115% YoY to Rs290mn led by higher utilisation level. We continue to believe that KPTL is well-placed to benefit from...