FY14 to see moderate revenue growth: Pratibha Ind

Execution of the orders received from Public Health Engineering Department (PHED) Rajasthan will begin shortly but bulk of execution will be take place in the forthcoming financing years, said Yogen Lal, Pratibha Industries in an interview to CNBC-TV18.

The company received orders worth Rs 516.17 crore from Rajasthan government. Their order book currently stands at Rs 6500 crore.

They are expecting a reasonable revenue growth for FY14, with enough visibility for the next three years, added Lal.

According to him in Q2 there could be slight reduction in forex losses compared to Q1.

Below is the verbatim transcript of his interview on CNBC-TV18

Q: Tell us about the new order, when will it accrue into your P&L and what might be the margins on this?

A: These are couple of orders which we have received from Public Health Engineering Department (PHED) Rajasthan which is an active client of ours. We expect to start execution shortly but the bulk of the execution will be reflected in the forthcoming financial year and we do expect an EBITDA level margin of around 14 percent from these orders.

Q: What is your current order book now and how would it translate into revenues for this year?

A: We are currently placed at around Rs 6500 crore in terms of our order book and we do expect that we should be showing reasonable revenue this year. And we have enough visibility for the next three years.

Q: In Q1 you had your earnings which actually degrew by close to about 1 percent. For the entire year FY14 is it going to be a flat year for you?

A: The primary impact on the earnings in Q1 was due to the forex loss of Rs 15 crore which nearly wiped out our PAT and that was when the dollar had appreciated very sharply.

Q2 there is still an impact on the forex mark-to-market loss but that impact is relatively smaller. With the dollar hovering at around 61-62/USD levels I think we should show some reasonable margins in the forthcoming quarters.