As expected, GMR Infra has done well for itself for the year ended 31st March 2008.
For the year ended 31st March 2008, net sales rose 35% at Rs.2294.78 crore., of this power sector accounts for 64.29%, Airports 25.03%, Roads 4.78% and others 5.90%. EBITDA has gone up by 18.90% from Rs.562.01 crore to Rs.668.25 crore. PBT was up 33% at Rs.321.03 crore. PAT before minority interest was up 8.64% from Rs.241.77 crore to Rs.262.65 crore. And PAT after minority was at Rs.210.08 crore, up 20% from last years Rs.174.43 crore.
A loss of Rs.57.81 crore was incurred by GMR Hyderabad International Airport Ltd (GHIAL), a subsidiary of the company which commenced operations on March 23, 2008. The said loss for the quarter / year includes (a) Rs.26.61 crore, being non-recurring pre operative expenditure in the nature of revenue expenditure, and (b) Rs.23.38 crore being the inception costs, both of which are largely non-recurring in nature.
A provision of Rs.25 crore was made during the current quarter, by Delhi International Airport Pvt Ltd (DIAL), a subsidiary of the Company towards estimated arrears that may be payable on account of the implementation of VI Pay Commission recommendations for the employees of the Airport Authorities of India.
A loss of Rs.12.43 for the quarter (previous quarter Rs.35.21 crore ) and Rs.109.15 crore for the year (previous year Rs.85.13 crore) incurred by Vemagiri Power Generation, a 100% step down subsidiary of the company. It declared the Commercial Operations (COD) in September, 2006 but could not continue the operations due to non-availability of gas, resumed generation of power in February, 2008. The said loss is mostly due to interest on project borrowings and depreciation on idle assets which need to be charged to profit and loss account, in accordance with the GAAP (Generally Accepted Accounting Principles), during the post COD period regardless whether the project is in operation or otherwise.
On November 26, 2007, the company has made a Preferential offer to Qualified Institutional Buyers. It allotted 16,52,38,088 shares of Rs.2 each at a premium of Rs.238 per share on December 12, 2007 and received an amount of Rs.3965.71 crore. The net proceeds after the issue expenses are to be utilized towards capital expenditure for various projects under development (either directly or through our subsidiaries, joint ventures or affiliates) and general corporate purposes including working capital & strategic initiatives and acquisitions in India and abroad.
GMR Infra has four principal business verticals namely, Airports, Energy Highways and Urban Infrastructure. These are administered through Special Purpose Vehicles for the operations and management of various infrastructure projects. During the year, the company was able to commission the world class Rajiv Gandhi International Airport at Hyderabad ahead of schedule. During the year, GMR also built a satisfactory pipeline of projects. GIL forayed into a new sector with Krishnagiri SEZ. The company also made its first international footprint with Sabiha Gokcen Airport, Istanbul, Turkey, financial closure for which is likely to be achieved by 1st week of June.
The 388.5 MW gas based Vemagiri Power Plant resumed operations in February, 2008, ahead of the expected date of availability of gas. Though there is a temporary shutdown in May 2008, it will resume operations again shortly. Gas is expected to be continuously available from the second half of the current year.
The expansion and upgrading work at Delhi airport is progressing exceedingly well. Runway work is ahead of schedule and all other modernisation and upgrading works are on schedule. Runways and taxiways have achieved an overall progress of 86.20%. Terminal 1 registered an overall progress of 58.12%, while Terminal 2 recorded an overall progress of 80.58%. Terminal 3, scheduled to be commissioned by March 2010, has achieved an overall completion of 26.80%. Over Rs.3000 crore has already been spent on the development work at the airport, of the total project cost, exceeding Rs.8900 crore, post financial closure of the project.
The construction work of the four Highway projects is progressing well on schedule and will be commissioned before end of March 2009, within the concession timelines.
For the year ended 31st March 2008, net sales rose 35% at Rs.2294.78 crore., of this power sector accounts for 64.29%, Airports 25.03%, Roads 4.78% and others 5.90%. EBITDA has gone up by 18.90% from Rs.562.01 crore to Rs.668.25 crore. PBT was up 33% at Rs.321.03 crore. PAT before minority interest was up 8.64% from Rs.241.77 crore to Rs.262.65 crore. And PAT after minority was at Rs.210.08 crore, up 20% from last years Rs.174.43 crore.
A loss of Rs.57.81 crore was incurred by GMR Hyderabad International Airport Ltd (GHIAL), a subsidiary of the company which commenced operations on March 23, 2008. The said loss for the quarter / year includes (a) Rs.26.61 crore, being non-recurring pre operative expenditure in the nature of revenue expenditure, and (b) Rs.23.38 crore being the inception costs, both of which are largely non-recurring in nature.
A provision of Rs.25 crore was made during the current quarter, by Delhi International Airport Pvt Ltd (DIAL), a subsidiary of the Company towards estimated arrears that may be payable on account of the implementation of VI Pay Commission recommendations for the employees of the Airport Authorities of India.
A loss of Rs.12.43 for the quarter (previous quarter Rs.35.21 crore ) and Rs.109.15 crore for the year (previous year Rs.85.13 crore) incurred by Vemagiri Power Generation, a 100% step down subsidiary of the company. It declared the Commercial Operations (COD) in September, 2006 but could not continue the operations due to non-availability of gas, resumed generation of power in February, 2008. The said loss is mostly due to interest on project borrowings and depreciation on idle assets which need to be charged to profit and loss account, in accordance with the GAAP (Generally Accepted Accounting Principles), during the post COD period regardless whether the project is in operation or otherwise.
On November 26, 2007, the company has made a Preferential offer to Qualified Institutional Buyers. It allotted 16,52,38,088 shares of Rs.2 each at a premium of Rs.238 per share on December 12, 2007 and received an amount of Rs.3965.71 crore. The net proceeds after the issue expenses are to be utilized towards capital expenditure for various projects under development (either directly or through our subsidiaries, joint ventures or affiliates) and general corporate purposes including working capital & strategic initiatives and acquisitions in India and abroad.
GMR Infra has four principal business verticals namely, Airports, Energy Highways and Urban Infrastructure. These are administered through Special Purpose Vehicles for the operations and management of various infrastructure projects. During the year, the company was able to commission the world class Rajiv Gandhi International Airport at Hyderabad ahead of schedule. During the year, GMR also built a satisfactory pipeline of projects. GIL forayed into a new sector with Krishnagiri SEZ. The company also made its first international footprint with Sabiha Gokcen Airport, Istanbul, Turkey, financial closure for which is likely to be achieved by 1st week of June.
The 388.5 MW gas based Vemagiri Power Plant resumed operations in February, 2008, ahead of the expected date of availability of gas. Though there is a temporary shutdown in May 2008, it will resume operations again shortly. Gas is expected to be continuously available from the second half of the current year.
The expansion and upgrading work at Delhi airport is progressing exceedingly well. Runway work is ahead of schedule and all other modernisation and upgrading works are on schedule. Runways and taxiways have achieved an overall progress of 86.20%. Terminal 1 registered an overall progress of 58.12%, while Terminal 2 recorded an overall progress of 80.58%. Terminal 3, scheduled to be commissioned by March 2010, has achieved an overall completion of 26.80%. Over Rs.3000 crore has already been spent on the development work at the airport, of the total project cost, exceeding Rs.8900 crore, post financial closure of the project.
The construction work of the four Highway projects is progressing well on schedule and will be commissioned before end of March 2009, within the concession timelines.
During the year, GMR won / acquired /signed MoUs for four hydro projects, two in Nepal and one each in Himachal Pradesh and Arunachal Pradesh, with an aggregate capacity of about 900 MW. The company also signed an MOU for a 1000 MW coal project in Chhattisgarh. The development work of all these projects is going at brisk pace. EPC contract for 1050 MW Orissa Kamalanga Project has been awarded while the 300 MW Alakananda Hydel Project has received environmental clearance.
GMR Energy Limited (GEL), 100% subsidiary of GIL, has entered into an MOU with Homeland Energy Corporation, Toronto, pursuant to whereof GEL acquired 10% equity interest in Homeland Mining and Energy SA (Pty) Limited, (HMESA), South Africa. HMESA owns three advanced development / pre-development stage coal project in South Africa. GEL also has non-obligatory option to acquire up to an additional aggregate 40% equity interest prior to December 31, 2008.
The land acquisition for Krishnagiri SEZ is progressing as per schedule and the company has already entered into arrangements for the acquisition of almost one third of the land requirement for the project.
GMR Infra would soon be diversifying into corporate jet business and would be investing Rs.800 crore for the same. The company will be buying three Faulkner and two Hawker aircraft along with one Bell helicopter for commencing charter operations by end of current financial year. The company has also placed an order for one more aircraft, which would be delivered only by 2010-2011. GMR Infra’s board of directors approved the proposal of amalgamation of GMR Aviation Pvt Ltd with the company.
GMR Infra is currently quoted at Rs.144, making it an excellent buy for safe 40-50% returns over next 10-12 months.
GMR Energy Limited (GEL), 100% subsidiary of GIL, has entered into an MOU with Homeland Energy Corporation, Toronto, pursuant to whereof GEL acquired 10% equity interest in Homeland Mining and Energy SA (Pty) Limited, (HMESA), South Africa. HMESA owns three advanced development / pre-development stage coal project in South Africa. GEL also has non-obligatory option to acquire up to an additional aggregate 40% equity interest prior to December 31, 2008.
The land acquisition for Krishnagiri SEZ is progressing as per schedule and the company has already entered into arrangements for the acquisition of almost one third of the land requirement for the project.
GMR Infra would soon be diversifying into corporate jet business and would be investing Rs.800 crore for the same. The company will be buying three Faulkner and two Hawker aircraft along with one Bell helicopter for commencing charter operations by end of current financial year. The company has also placed an order for one more aircraft, which would be delivered only by 2010-2011. GMR Infra’s board of directors approved the proposal of amalgamation of GMR Aviation Pvt Ltd with the company.
GMR Infra is currently quoted at Rs.144, making it an excellent buy for safe 40-50% returns over next 10-12 months.
Source: sptulsian.com
