Infrastructure

Industry Outlook:

Infrastructure sector in India has witnessed strong growth in the recent years. Increase in the growth of infrastructure sector results in outstanding effect on overall economic growth as it can directly raise the productivity of human capital and physical capital and hence improvement in living conditions. The infrastructure sector is very broad and includes electricity, roads, railways, airports, water systems, public utilities, and telecommunications, the development of which is vital for India's economic development as the opportunities for future growth are enormous in the country.

·    India's infrastructure and transport sector contributes about 5% of its GDP.

·  According to WEF global competitive index, Infrastructure of India as one of the pillars of competitiveness has ranked 66 out of 137 countries.


·   The infrastructure sector raised a total of $3.49 billion across 33 transactions in FY17 compared with $2.98 billion raised in 31 transactions in FY16.

News:

1. http://www.moneycontrol.com/news/business/india-sees-scope-for-more-integration-among-state-energy-companies-2488927.html

2. http://www.moneycontrol.com/news/india/railways-road-transport-ministry-agree-on-speedy-clearances-for-projects-piyush-goyal-2487833.html

3. http://www.businesstoday.in/union-budget-2018-19/union-budget-2018-infrastructure-stocks-to-watch-out-on-feb-1/story/268774.html

4. https://yourstory.com/2018/01/government-adds-9-cities-smart-city-programme/

5. http://www.business-standard.com/article/economy-policy/power-purchase-to-be-eased-for-states-with-centralised-bidding-118011800947_1.html

6. http://www.business-standard.com/budget/article/budget-2018-railways-to-install-escalators-lifts-at-all-major-stations-118011700683_1.html

7. http://www.financialexpress.com/economy/big-move-by-modi-government-over-50-lakh-houses-to-be-built-under-pradhan-mantri-awaas-yojana/1018293/

8. http://www.moneycontrol.com/news/india/rs-10700-crore-telecom-projects-in-north-east-to-improve-connectivity-2484489.html


Quarterly Reports:

1. Larsen & Toubro Ltd.

For the Q2 FY18 quarter, Infrastructure major Larsen & Toubro Ltd (L&T) reported a 26.9% jump in net profit to Rs1,820 crore. Revenue, on the other hand, grew by 5.7% to Rs26,446.8 crore, aided by a 49.9% jump in the heavy engineering segment to Rs1,211.1 crore. Earnings before interest, taxes, depreciation and amortization (Ebitda), during the quarter, jumped by 27.9% to Rs2,960 crore, as Ebitda margin expanded by 190 bps year-on-year to 11.2%.

http://investors.larsentoubro.com/upload/Quarterly/FY2018QuarterlyStandalone%20and%20Consolidated%20Results%202017-18-%20Q2.pdf

2. Adani Ports

Adani Ports and Special Economic Zone (APSEZ), India’s largest port operator, reported a 19.5% rise in fiscal-third quarter profit. Consolidated net profit rose to Rs1,001 crore in the three months ended 31 December from Rs837.58 crore in the previous year. Income from operations increased by 22% to Rs2,689 crore from Rs2,209 crore in the year-ago period. The firm reported a strong revival of its cargo volumes. 

www.adaniports.com/docs/download/Q317-18

3. BHEL

Power plant equipment maker Bharat Heavy Electricals Ltd (Bhel) posted a nearly 6% rise in quarterly profit. Net profit came in at Rs115 crore ($17.73 million) in the quarter ended 30 September, compared with a profit of Rs109 crore a year earlier. Income from operations fell 9% to Rs6,168 crore.

http://www.bhel.com/dynamic_files//press_files/pdf/Q2%20results%20final.pdf

4. GMR Infra

GMR Infrastructure Ltd reported consolidated net loss in the quarter ended September narrowed to Rs.398.67 crore on the back of better operating margins from power plants and robust traffic growth in airports. The company’s ebidta improved by 52% to Rs.900 crore in September quarter compared with Rs.590 crore in the corresponding quarter of the previous fiscal year.

http://investor.gmrgroup.in/pdf/Annexure_3_Consolidated_Financial_Results.pdf

·