NCC - (CMP/TP: Rs. 33/Rs. 39) (Rating: Buy) - 3QFY2014 expectations - Angel Broking

We expect a mixed performance from NCC for 3QFY2014. On the top-line front, the company is expected to post a healthy growth of 22.5% to Rs. 1,451cr. This growth would mainly be due to lower base of last year. Its EBITDA margin is expected to grow by 76bp yoy to 8.0% for the quarter. On the earnings front, we expect the net profit to decline by 2.9% yoy to Rs. 11cr. This would be primarily on account of high interest cost of Rs. 108cr (up 9.1% yoy) owing to an elongated working capital cycle.

Source : Equity Bulls

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