Ahluwalia Contracts Q3 Results Review


BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. 

Ahluwalia Contracts India Ltd.’s Q3 FY23 profit after tax came lower than our estimates by 9%. Miss was mainly due to lower execution (revenue) at +9% YoY versus our estimate of +15%.

Having said this, company is eyeing 10-15% YoY revenue growth in FY23E, FY24E is expected to grow at +15% YoY. This implies execution to improve in Q4 FY23.

Ebitda margin including other income is currently at 10.5% and is guided to improve in Q4 FY23 and close FY23 at +11% and for FY24 at +12%.

Order book at Rs 81 billion provides visibility of ~three years; and further build up is expected as Ahluwalia Contracts has bid pipeline of Rs 30 billion.

Nine months-FY23 order inflow is at Rs 47 billion (including level one of Rs 7 billion), inflow in Q4 FY23 is expected at Rs 5 billion plus.

Click on the attachment to read the full report:


This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.


Source link

Leave a Reply

Your email address will not be published. Required fields are marked *