RKEC Projects Limited has informed the Exchange regarding Investor Presentation
RKEC Projects Limited
Investor Presentation – H2FY19 & FY19
Company Overview
➢ RKEC Projects, an over 33 years old leading Construction Company, is primarily engaged in the business
of Civil Construction such as construction of Buildings, Highways, Marine Works and bridges
➢ During the last decade, undertaken and successfully completed many construction projects in India
covering states of Andhra Pradesh, Tamil Nadu, Gujarat, Odisha, Rajasthan, Maharashtra, Kerala and
Manipur
➢ In addition, the company has expanded its presence to three more states, Karnataka, Uttar Pradesh and
West Bengal with its ongoing projects
➢ Company has completed 92 projects so far worth over Rs 1,700 Cr and currently working on 11
projects amounting to Rs 1,145 Cr
➢ Balance of work as on March 31, 2019 is Rs. 783 Cr
Results Highlights – H2FY19 & FY19
Rs Crore
H2FY19
H2FY18
YoY (%)
FY19
FY18
YoY (%)
Revenue from Operations
149.33
116.84
27.81
243.99
239.72
Total Expenditure
124.08
99.38
24.85
201.87
201.29
1.79
0.29
EBITDA
EBIT
26.14
19.04
37.29
43.58
39.47
10.41
24.30
17.25
40.91
40.05
36.40
10.04
PBT after Exceptional Items
21.31
14.66
34.90
34.61
30.43
13.74
PAT
15.16
9.57
58.41
24.13
20.35
18.57
EBITDA Margin
PAT Margin
17.50%
10.15%
16.30%
+121 bps
8.19%
+196 bps
17.86%
9.89%
16.47%
+139 bps
8.49%
+140 bps
Note: The above financials are on Standalone basis
Balance Sheet – FY19
Rs Crore Total Shareholder's funds
Share Capital
Reserves & Surplus
Non-Current Liabilities
Long Term borrowings
Long term provisions
Current Liabilities
Short Term Borrowings
Trade Payables
Other Current Liabilities
Short Term Provisions
FY18 74.73
23.99
50.74
1.36
1.20
0.17
73.59
13.83
41.31
15.29
3.15
FY19 95.98
23.99
71.98
2.13
1.51
0.62
136.50
46.64
75.07
12.35
2.44
Rs Crore Non Current Assets
Tangible Assets
Intangible Assets
Capital WIP
Non Current Investments
Deferred Tax Assets (Net)
Current Assets
Inventories
Trade Receivables
Cash & Bank Balance
Short Term Loans & Advances
Other Current Assets
FY18 15.14
14.21
0.04
0.00
0.00
0.88
FY19 30.65
19.55
0.020
9.97
0.13
0.98
134.55
203.95
15.10
82.03
18.43
17.45
1.54
44.52
82.15
33.05
42.12
2.11
Total Equity and Liabilities
149.69
234.61
Total Assets
149.69
234.61
Note: The above financials are on Standalone basis
Operational Highlights – FY19
➢ Better execution of our projects and operational efficiencies led to Net Profit growth of 18.6% in FY19 to Rs 24.1 crore
➢ Total of seven projects worth Rs 712 crore were allotted during the year FY19
➢ Farakka Bridge Project (construction of 4 lane bridge over River Ganga) was the largest contract received during the year.
The contract value of the project is Rs 521.2 crore and duration of 36 months
➢ Company has already achieved the first milestone of the bridge project within 90 days against the target of 180 days
➢ Projects - Construction of Jetty with loading facility at Visakhapatnam, construction of Multi-user liquid terminal at Cochin
Port Trust, construction of ROB (Road over Bridge) at Pondicherry and provision of OTM accommodation at Leimakhong
were completed during FY19
➢ Company has realised an amount of Rs 5.17 crore from United Insurance Company after Protracted Correspondence
➢ Purvanchal authorities called for an amicable settlement by ordering a committee from PuVVNL (Purvanchal Vidyut
Vitaran Nigam Ltd) and RKEC to inspect work done. Receivables are to the tune of Rs 63 crore
Details of Ongoing Contracts- Unexecuted Order-Book at Rs 783 Crore
Description of the work
Location
Value of Contract (Rs Cr)
Date of commencement of work
Value of work remaining (Rs Cr)
Augmentation of Shore Supply at N-4 to N-26 Jetties, Dry Docks, Slipways and Degaussing Bay including associated works at ND(V)
Visakhapatnam
19.89
Nov-15
Construction of Jetty with Loading Facility
Visakhapatnam
149.73
Aug-15
Rural Electrification works of Pratapgarh Dist. In UP Rajiv Gandhi Vidyut Yojna
Construction Of Coastal Berth at JNPT Port
Varanasi
Mumbai
120.36
Jul-15
143.33
Apr-17
Construction of Indoor Sports Arena in MVP Colony abutting to A.S.Raja College Grounds under Smart City
Visakhapatnam
19.90
Aug-18
4.18
15.73
35.43
88.26
19.90
Construction of new 4 Lane Bridge over River Ganga
Farakka
521.20
Dec-18
452.96
Re-Construction Of New Building And Store Accommodation For Water Front Facility And Slipway
Visakhapatnam
7.20
Oct-18
Construction of jetty to semi submersible pontoon
Visakhapatnam
46.96
Nov-18
Construction of Berth and Approach Trestle for development of Barge/Vessel loading facility
Honnvar
10
Rejuvenation of Vinayak Sagar lake (phase-02)
11
Design, execution, operation and maintenance of sports arena at Indira Maidan and Sri Srinivasa Sports complex
Tirupati
Tirupati
95.94
Feb-19
8.40
Feb-19
12.23
Mar-19
Total
1145.14
783.41
1
2
3
4
5
6
7
8
9
Duration (months)
Scheduled date of completion
24
30
24
24
12
36
18
20
12
6
4
Sep-19
Jun-19
Mar-20
May-20
Aug-19
Dec-21
Apr-20
Jul-20
Feb-20
Aug-19
Jul-19
7.19
43.19
95.94
8.40
12.23
Projects completed in FY19
Construction of Multi-User Liquid Terminal at Cochin Port
Construction of Road over Bridge at NH-45A in Puducherry
Provision of OTM accommodation No.1 at Leimakhong
Value of Work : Rs 217.32 crore
Value of Work : 34.96 crore
Vale of work: Rs 19.73 crore
Completed in : Sept 2018
Completed in : May 2018
Completed in : Dec 2018
Ongoing Projects
Augmentation of Shore Supply at N-4 to N-26 Jetties, Dry Docks, Slipways and Degaussing Bay including associated works at ND(V), Visakhapatnam
Value of work remaining : Rs 4.2 crore
Construction of Jetty with Loading Facility, Visakhapatnam
Rural Electrification works of Pratapgarh Dist. In UP Rajiv Gandhi Vidyut Yojna, Varanasi
Value of work remaining : Rs 15.7 crore
Value of work remaining : Rs 35.4 crore
Ongoing Projects
Construction Of Coastal Berth at JNPT Port, Mumbai
Value of work remaining : Rs 88.3 crore
Construction of Indoor Sports Arena in MVP Colony abutting to A.S.Raja College Grounds under Smart City, Visakhapatnam
Value of work remaining : Rs 19.9 crore
Construction of new 4 Lane Bridge over River Ganga, Farakka
Value of work remaining : Rs 452.9 crore
Ongoing Projects
Re-Construction Of New Building And Store Accommodation For Water Front Facility And Slipway, Visakhapatnam
Value of work remaining : Rs 7.2 crore
Construction of jetty to semi submersible pontoon, Visakhapatnam
Construction of Berth and Approach Trestle for development of Barge/Vessel loading facility, Honnvar
Value of work remaining : Rs 43.2 crore
Value of work remaining : Rs 95.9 crore
Ongoing Projects
Rejuvenation of Vinayak Sagar lake (phase- 02), Tirupati
Value of work remaining : Rs 8.4 crore
Design, execution, operation and maintenance of sports arena at Indira Maidan and Sri Srinivasa Sports complex, Tirupati
Value of work remaining : Rs 12.2 crore
Outlook
❑ Strong revenue visibility with current unexecuted order-book of Rs 783 crore, which is over 3x
of FY19 revenues
❑ With Stable Government at Centre, good amount of investment is expected on augmenting
infrastructure in the country.
❑ Good tender flows expected from all the key segments like Ports, Roads, Buildings and
Electrification in the coming period
❑ Company has been exploring bids for projects and expected to add good amount of fresh
orders in FY20
❑ Focus on improving execution and operational efficiencies would help in further improvement
in margins
❑ With balance sheet remains healthy (Debt/equity at 0.5x in FY19), the company is well placed to better execute its projects and further look for opportunities in this space leading to increase in profitability
Thank You
For Further Information, Please contact:
Company: RKEC Projects Ltd. Brig G S Narayana, VSM (Retd) - CFO satya@rkecprojects.com www.rkecprojects.com
Investor Relations Advisors: Intellect Mr. Vijay Goel vijay@intellectpr.com 9920124357