IRB Infra's April Toll Collections Up To ₹502 Cr | NDTV Profit
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00:00We are taking stock of the quarter gone by for IRB Infra.
00:04We are in conversation with Anil Yadav, Director of Investor Relations at the company.
00:09Anil, good morning.
00:10Thank you so much for joining in.
00:12Yet another quarter where we have seen steady performance coming through.
00:16I reckon that, you know, over the past few quarters we have been talking about the increase
00:21in the visibility considering your order book at the moment.
00:25Let's start with your assessment of the quarter gone by and how can things progress as we
00:31move into the next couple of quarters, especially given that there are elections.
00:36How will potentially your first quarter pan out?
00:41Thank you.
00:42Thanks for the opportunity.
00:43We have witnessed almost 47 percent increase in the income and almost profit has increased
00:49by 45 percent.
00:52And if you look at, there was one time impact of 54 crores.
00:58If you adjust for that one time impact, the profit would have been in range of 240 to
01:03245 crores.
01:04That is almost a jump of 87 percent if you remove the one time impact of the expense.
01:11Now coming to the EBITDA margin, as we operate in two segments, BOT has a higher margin that
01:18is 85 to 88 percent and construction segment has around 22 to 25 percent margin.
01:24Once the revenue mix changes, automatically there is a change in the margin.
01:30But if you look at overall, the margin has remained the same.
01:34And now coming to Q1 of FY25, we have started with a very strong note.
01:42We have declared the collection for the April, there the growth was almost 29 percent.
01:49And we expect around 15 percent growth in the construction business and around 15 to
01:5420 percent growth in the toll business, both IRB and private investment put together.
02:01But Anil, seasonally, there won't be any disruptions in terms of execution because of the elections,
02:06right?
02:07Is that something that we can conclude?
02:10Yes, I think the typically the monsoon quarter is a soft quarter because of the rains, the
02:17construction is lower.
02:18I don't think so there will be any impact because of the election.
02:23In fact, the last quarter gone by that was the we have booked the highest revenue in
02:28the last quarter.
02:29So I think the execution is going very smoothly.
02:33There is no impact because of the election on the execution.
02:38And we expect to even the Q1 to be in line with the Q4 or even better than the Q4.
02:46Fair enough.
02:47Anil, your current order book, of course, standing at around 35000 crores, your EPC
02:52order book stands around 5700 crores.
02:55How much are you expecting to execute in FY25 of this?
03:00I think this year we had execution of almost 5000 crores and we expect around 15% growth
03:09on the 5000 crores, ranging between 5500 to 5700 crores.
03:15We expect a kind of execution as far as EPC is concerned.
03:22And you know, in terms of order inflow, I believe that there will be a little bit of
03:27a pause, at least in the first quarter.
03:29I know that seasonally as well, orders are not the largest when it comes to the first
03:33quarter, but you know, Q2, Q3 onwards, what kind of traction are you expecting?
03:39And I reckon a lot will depend on the upcoming budget as well.
03:43What's the way forward here?
03:46I think we participate in BOT and TOT where the government contribution is very minimal.
03:54And in fact, government pushes to boost the private participation in the sector.
04:01And if you look at the pipeline also, which is there, the government has come out as against
04:085 to 7% kind of BOT.
04:10They are talking about 40 to 50% worth of BOT to be awarded in the near future.
04:17And if you look at the pipeline, there is almost 2 trillion of pipeline available on
04:21BOT side.
04:23And if you look at historical run rate of IRB, we had almost market share of more than
04:2930%.
04:30Even on the conservative side, even if we assume around 15-20%, we are talking about
04:35almost 25-30 thousand crores worth of opportunity unfolding over the period of one year for
04:41the IRB.
04:42I think there is a good pipeline available and this pipeline is already on the website
04:47of the NHI.
04:48I think post the formation of the government, I think bidding activity will start.
04:54And if you look at the last year also, the bidding activity was on soft, though we have
05:00bagged almost 18 to 20 thousand crores worth of project in the last year also, as against
05:06our usual run rate of 5 to 6 thousand crores kind of project.
05:09But overall, the government award was on the lower side.
05:13So, if we expect that post the formation of the government, the award activity will again
05:19will start very quickly.
05:21Right.
05:22Well, on that note, Anil, thanking you for joining us and taking us through the Quadagon.
05:27Thank you.
05:28Thank you for the opportunity.