Key takeaways of conference call

Sales was higher by 69% to Rs 96.57 crore but the growth at EBITDA was restricted to 53% (to Rs 13.59 crore) as EBITDA margin stood contracted to 14.1% compared to 15.5% in the corresponding previous period. Eventually the net profit was higher by 60% to Rs 8.62 crore facilitated by lower tax incidence.

Order intake in Q3FY12 is Rs 200 crore out of which overseas orders were Rs 150 crore and domestic orders were Rs 50 crore.

Order backlog as end of Dec 31, 2011 was 1024 crore and of which overseas orders accounts for about 51-52%. Of the L1 orders of Rs 100 crore which was part of order book about Rs 64 crore was received in Jan 2012.

Revenue recognition from Mozambique and Bangladesh orders will start from Q4FY12 only with former starting in Jan 2012 and latter in Feb 2012.

Average ticket size of orders in the book is Rs 45 crore and Rs 160 crore is the largest ticket size order booked so far. The company is bidding for orders with a ticket size of Rs 500 crore as well.

Revenue target for FY12 is Rs 380 crore plus and hopeful of achieving it.

Mozambique order execution is picking up.

The company is not envisaging any investment in construction equipment for bangaladesh orders as the company to take on local contractor.

The company proposed to acquire two companies i.e. Clear Water Ltd and Arihant Flour Mill Private Limited. While the acquisition of Clear water fell through the company has acquired Arihant for Rs 6 crore. The Arihant acquisition is purely for its land at NeemRana, where the company want to set up maintenance and storage facility for construction equipment.

The target is to be Rs 1000 crore company by FY2014-15.

The company is moving cautiously and selectively with focus on overseas markets as order finalisation has slowed down/delayed in Indian market. With handful of states in election mode water project finalisation suffered. Beginning April 2012 it anticipate a activity in power BoP segment to pick up with large NTPC bulk tenders getting finalised. Enquiries have worsened offlate in current fiscal.

The company has completed 70% of the IndiaBulls Power order worth Rs 70 crore. The company's work is related to phase I and only phase II is put on hold or execution slowed down.