IRB Infrastructure Developers Ltd - Result Update - Kotak

- Revenues of the company for Q4FY13 and full year FY13 reported a growth of 11.2% and 17.2% YoY respectively. This was led by excellent growth in EPC division and improvement in toll revenues.

- EPC business margins continued to surprise on the upside and led to improvement in overall operating margins on yearly basis on a consolidated basis.

- Net profit reported a growth of 26% YoY for Q4FY13 and stood better than our estimates led by lower than expected depreciation and tax write back in BOT segment. We expect profit for FY14 to drop sharply due to commissioning of three projects and corresponding increase in depreciation and interest charges.

- We tweak our estimates and continue to maintain BUY recommendation on the stock with a price target of Rs 180 (Rs 184 earlier) based on sum of the parts valuations on FY14 estimates.

Source : Equity Bulls

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