To enter realty; current order book Rs 400 cr: Man Infra

Man Infraconstruction plants to enter the property development business this year, Parag Shah, MD, Man Infraconstruction told CNBC-TV18.The company’s order book was worth Rs 400 crore, he said. 

Below is the edited transcript of Parag Shah's interview with Ekta Batra & Anuj Singhal on CNBC-TV18.Ekta: What lead to such a weak quarter this time for Man Infraconstruction?A: It is not weak. Ekta: Can you take us through the highlights of the numbers this quarter?A: This quarter profit is Rs 3 crore profit after tax (PAT).Anuj: Your income is down 52 percent, your profit is down is 14 percent. What makes you believe for the quarter that the numbers are not weak?A: In a construction company you cannot go on quarter-on-quarter. It has to be on yearly ground.Anuj: Even for full year your income is down 30 percent? A: Full year our income is up 60 percent. Last year we had a PAT of Rs 28 crore and this year we have a PAT of Rs 47.5 crore.Ekta: Tell us what you will do in FY16? Do you think you can better the 9 percent of margins as well as the profit of 47 crore. How much more do you think you can grow in FY16 as compared to FY15?A: We believe at least 20 percent upside.Ekta: What will it be lead by?A: It should be around Rs 60 crore of profit this year.Ekta: What kind of orders do you have on hand in order to execute in this fiscal?A: Presently we have order book of Rs 400 crore. In the past we were having only engineering, procurement and construction (EPC) business. This year onwards it’s going to become EPC cum real estate development profit. Therefore, you may not be able to compare the balance sheet of past year and this year. Anuj: From the real estate business itself how much revenues do you target in the next two or three years?A: In next three years we look for the topline of Rs 7,000-8,000 crore.