Unitech Q1 PAT seen down 13% to Rs 86 cr

Unitech is set to declare its results for the quarter ended June 2012 today. Analysts on an average expect the profit after tax to go down by 12.8% year-on-year to Rs 85.7 crore, but quarter-on-quarter the same is likely to jump quite sharply from Rs 2.2 crore in March quarter.

Revenues are seen going up by 8.2% YoY to Rs 645 crore from Rs 596 crore and earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to go up to Rs 127.7 crore from Rs 119.7 crore during the same period.

Operating profit margin is expected to be at 19.7% in the first quarter of FY13 as against 20.1% in a year ago period and 5.3% in the previous quarter.

What to watch out for:

Analysts expect another weak quarter after last quarters disappointment. Sales volume is likely to remain muted at 1.7-1.8 million sq ft due to limited new launches in Q1.

Management has indicated that rather than new launches, priority is to execute ongoing projects that will translate into revenue only from second half of FY13.

Investors should watch out for margins carefully. In the last quarter, OPM was a big shocker at just 5.3% as against 21% in December quarter. Analysts expect OPM in June quarter to get back to double digit).