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See revenue from Hyderabad airport from Q2FY09: GMR Infra
Published on Fri, Oct 19, 2007 at 12:10 , Updated at Mon, Oct 22, 2007 at 11:32
Source : MC
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Madhu Terdal, Executive VP - International Business Development, GMR Infrastructure said that the company has suffered a loss of Rs 34 crore in the Vemgiri plant due to loss of gas. He added that gas would be available for Vemgiri from Q2FY09. Terdal said that the company would see revenues from the Hyderabad airport coming in from Q2FY09. He added that 46% of their revenues are from airports. According to Terdal they are in the final stage of finalizing bidders for Delhi Airport Land. He added that the government had called for a clarification and that they expect full completion in a few weeks post the government clarification.
Terdal said that they are also looking for opportunities on the international front.
Excerpts of CNBC-TV18’s exclusive interview with Madhu Terdal:
A: I would say it’s a very stable result amidst all this kind of volatility that is around. We have been growing very steadily at 27%, very healthy growth. But unfortunately, if you have to really compute to our real PAT numbers, we have to add another Rs 34 crore which is a pure loss on account of the Vemgiri power generation. Because of the lack of availability of gas, we have not been able to produce power there. Effectively we have actually gone in terms of profit numbers also almost as equivalent to EBITDA that is about 27-28%.
Q: Going forward, do you see gas supplies improving and thereby, the project taking its cost? A: Absolutely, because today if you see our EBITDA numbers are in tune with the overall revenues. Net revenues have grown up by around 27% and EBITDA margins are 29%, but the PAT numbers are not in tune with that. We are expecting the gas in Vemgiri to be resumed by sometimes in the Q2 of June next year. In that effect, definitely the Vemgiri revenues will add on to us. In addition to that, the Hyderabad airport will also be adding to our profit numbers. So we hope definitely from the middle of next year this PAT numbers also will be in tune with the EBITDA numbers. Q: Talk a little bit about your revenues from the Delhi and the Hyderabad airports. What do you see coming in the next six months. Also, you are scouting for more international products like the likes of Turkey which you have just did about a few months back, any more deals that you close to finalizing? A: If you look at the last year, almost about 68% of the revenues were coming from power business and about 22% was coming from the airport. But look at this half yearly results, we are greeting almost about 46% of the revenues from the airports and only 43% is coming from the power business. So that only shows that our position, as an airport developer. Not only we have consolidated our positions by the acquisitions of Turkey, even the numbers have started reflecting upon our overall revenues and the PAT numbers. Secondly, if you look at the margins, EBITDA margins, continuously for the last three quarters, have been increased from 33-42%. Our PAT margins are also have gone up from 14-16% despite the Vemgiri loss. If you look at the Delhi numbers, one of the most redeemable feature is, even after paying as much as Rs 191 crore of our topline to the airport authority of India, we have been able to make a net profit of about Rs 34 crore for the half year. Most importantly, our aero and non-aero revenues combination has shown a very healthy trend. It has now moved into 67% from 33%, a very significant change in this.
Q: Give us one word on the land sale in and around the Delhi airport, the plans on that front and when will we see some finalization coming in? A: Bids have already been received and we are in the final lap of our valuation. I think there is also a small sort of controversy that has arisen following certain press reports where our financial methodology of raising the deposits has been questioned. I would like to clarify that, whatever we are doing is completely within the ambit of the concession agreement we have signed with the government. But following the press reports, the government has indeed called for certain clarifications and we have given a detailed clarification as to the rationale of doing it, which has been completely backed by the full legal opinion. Q: Can you give us a rough time line by which you think this entire process would be completed? A: I think that it should get completed in a few weeks of time. I cannot give you the actual period. Another point is that, we are also waiting for the government to give its final clarification so that the bidders too would be comfortable and as developers, we also will be comfortable. Q: How much money would you be essentially expecting from that land sale? A: I wish I could tell that number because they are all being wrapped in the various envelopes that have been received from the various bidders. It’s very difficult. Q: Are you also looking at some small and local airport projects at this point in smaller towns or tier II cities? A: Yes, certainly Udaypur, Amritsar bids have already been announced by the government. We have been seriously evaluating. In addition to that, we are now opening up an office in London and we have started looking at various opportunities available in the international segment as well. |
GMR Infrastructure has posted a standalone net profit of Rs 8.9 crore for the quarter ended September 2008. Their consolidated net profit stood at Rs 49.5 crore versus Rs 53.6 crore.
Q: Your topline has grown a significant 27.5%, it is a flat margin picture, but your profit has gone down by 7%, we were expecting a little more?Messages on GMR Infra
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WE ARE FUNDAMENTALLY VERY SOUND
Hi, What is the fair value of GMR infra as per your calculation, because i need to do some averaging , Thanks fo...
in GMR Infra - vam_aru at 12-Oct-08 12:47
WE ARE FUNDAMENTALLY VERY SOUND
TOTAL assetsdivided by total no. of ahares ,this value is fare value,...
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