Srikalahasthi Pipes: Q4FY18 result

Srikalahasthi Pipes Limited reported results for the quarter ended March 31, 2018.

The company’s standalone revenue for the quarter came in at Rs. 339.22 crore, registering 22.8 per cent yoy decline.

EBITDA for the quarter fell by 2.8 per cent yoy to Rs. 54.04 crore with a corresponding margin expansion of 328 bps. EBITDA margin for the quarter stood at 15.9 per cent. This margin expansion was aided by favourable movements in inventories.

The PAT for the quarter came in at Rs. 34.32 crore, yoy increase of 10 per cent.

Looking at the full year numbers, we see that revenue jumped by 25 per cent to reach Rs.1,505.98 crore while EBITDA rose by 3 per cent to Rs. 243.7 crore. Company reported net profit of Rs. 147.4 crore, up 5 per cent yoy.

During FY18, the company has achieved higher Ductile Iron Pipes production of 2,75,047 MT, an increase of about 20.55 per cent compared to the FY17. The capacity utilization for FY18 stood at 92 per cent.

The Board has recommended a dividend of Rs. 6 per share for the face value of Rs. 10 each.

The Board has approved a capex of Rs.125 crore towards setting up of Ferro Alloys Plant (Rs. 55 crores) and developmental projects in Ductile Iron Pipe Plant (Rs. 70 crores).

Srikalahasthi Pipes Limited is engaged in the manufacture and supply of ductile iron (DI) pipe. The company offers public utility services for water infrastructure development.