Kalpataru Projects International Ltd. share price target

For Q1FY19, Kalpataru Power (KPTL) reported revenues at | 1324.9 crore, up 13.3% YoY, below our estimate of | 1438.9 crore. On a consolidated basis, revenues grew 9.0% while the PAT margin improved 180 bps to 4.3% due to the better performance of developmental assets and interest rate reduction EBITDA came in at | 157.1 crore with EBITDA margins of 11.9%, better than our estimate of 11.4%. The EBITDA margin expansion was on account of lower raw material and operating expenses...

KPTL reported standalone revenue growth of 15.3% YoY at ~`57.8bn adjusting for the GST impact beginning of FY18. Revenue from EPC contract grew 14.6% YoY to `48.9bn while revenue from sale of products (tower and components) grew 21.6% YoY to `7.5bn. EBITDA margins expanded 36bps YoY to 10.9% led by operational efficiencies even with increase in raw material cost by 28.8% YoY to ` 26.2bn. The operating expenses grew by ~15% YoY to Rs 51.4bn. The net profit increased by 19.7% YoY to `3.22bn with marginal increase in interest cost by 5.2% YoY...

Robust Earnings Growth on Strong High Order Book Aided by strong execution in T&D;, railway and pipeline business coupled with higher margin, Kalpataru Power Transmission (KPTL) has delivered a strong performance in 4QFY18. Its standalone revenue and earnings surged by 27% YoY and 17% YoY to Rs19.3bn and Rs1.04bn, respectively. EBITDA grew by 33% YoY to Rs2.1bn, while EBITDA margin expanded by 50bps to 10.8%. At subsidiary level, while JMC Project's (JMC) PAT grew by 92% to Rs343mn led by margin expansion and higher other income, Shree Shubham Logistics' (SSL) revenue rose by 75% YoY to Rs107mn led by higher utilisation level (80%). We continue to believe that KPTL is well-placed...

results. Revenues came in at | 1931.4 crore, up 29.1% YoY, above our estimate of | 1751.5 crore. On a consolidated basis, revenues grew 15% while PAT grew 77% due to the better performance of developmental assets and interest rate reduction EBITDA came in at | 209.2 crore with EBITDA margins of 10.8%, marginally below our estimate of 11.0%, on account of a higher-thanexpected increase in employee expenses and raw material expenses KPTL reported PAT of | 104.8 crore, in line with our estimate of | 104.8, up 17% YoY. The effective tax rate has increased to 38.2%...

Even after surpassing the FY18 order-inflow guidance of Rs75-80bn, KPP has hinted 15-20% revenue guidance for FY19. We expect EBITDA margins in the range of 12-12.5%. While PGCIL backpedals, SEB/Railways and Pipeline may fill the void. With strong performance in 9MFY18, JMC Projects (JMCP) can match, if not exceed, 20% revenue-growth guidance in FY18. Cash-guzzling BOT portfolio could be divested. Company aims to improve RoCEby staying away from asset-heavy model. We roll our estimates to FY20. We expect Transmission business 13% CAGR over the next two years. With competitive intensity and international exposure, we...

ICICI Securities Ltd | Retail Equity Research Kalpataru power (KPTL) reported decent set of Q3FY18 results. Revenues were ahead of our estimates whereas marginal miss on...

Robust Earnings Visibility on High Order Book Led by better execution in T&D; business, standalone revenue of Kalpataru Power Transmission (KPTL) grew by 24% YoY to Rs14.17bn in 3QFY18. Following the negative impact of GST on revenue in earlier quarters, revenue from T&D; increased by 12% YoY owing to healthy execution. Notably, revenue from Railways and Piping business grew by 65% YoY and 150% YoY, respectively. Aided by lower interest and depreciation cost, and marginal improvement in operating margin, KPTL's PAT grew by 30.1% YoY to Rs752mn. At subsidiary level, JMC's revenue grew by 29.0% YoY to Rs7.0bn owing to improved project execution. Further, led by higher utilisation levels (82%), Shree...

ICICI Securities Ltd | Retail Equity Research Kalpataru Power (KPTL) is on a strong footing across business verticals. The company is well diversified across geographies and business verticals, which we believe are all at an inflection point and ensure a strong performance, going ahead, for the company. The standalone business with a backlog of | 9260 crore ensures strong revenue CAGR of 14.8% in FY17-20E. The key catalyst for strong revenue growth is the handsome scalability achieved in the infrastructure segment (railways &...

Earnings Continue to Remain Robust on High Order Book Despite GST headwinds, Kalpataru Power Transmission (KPTL) managed to report 7.0% YoY revenue growth in 2QFY18, in line with our estimate. Aided by lower interest cost, depreciation cost and marginal improvement in operating margins, KPTL's PAT grew by 23.7% YoY to Rs715mn. Revenue from railway and pipeline business grew by 50% YoY and 24% YoY respectively. However, T&D; segment reported a slower 4% YoY growth owing to execution challenges. Its overall operating profit grew by 8.9% YoY to Rs1.3bn, while EBITDA margin expanded by 20bps YoY to 10.9% owing to cost rationalisation, productivity enhancement...

While acknowledging the transient impact of GST, KPP retains: (a) annual revenue growth guidance of 15%; (b) order-inflow guidance of Rs75-80bn; and (c) EBITDA margins in the range of 10.5-11%. While PGCIL may soften the awarding of projects this fiscal, SEB will fill the void. With strong performance in H1, JMC Projects (JMCP) can match, if not exceed, 20% revenue-growth guidance in FY18. With higher exposure to private-sector, we, however, remain cautious. Yet the key lies in the fate of cash-guzzling BOT...