Institutional Equities - Online Share Trading

Institutional Equities
Financials
Exhibit 27: Income statement
Y/E March (Rsmn) FY09 FY10 FY11 FY12E FY13E
Net sales 125,781 146,286 151,278 186,080 221,879
Growth (%) 50.7 16.3 3.4 23.0 19.2
Total expenditure 119,482 134,022 136,297 155,351 181,822
EBITDA 6,299 12,264 14,981 30,729 40,056
Growth (%) 18.4 94.7 22.2 105.1 30.4
EBITDA margin (%) 5.0 8.4 9.9 16.5 18.1
Depreciation 3,304 4,724 4,825 7,961 9,152
Interest costs 4,394 5,251 6,350 11,378 13,314
Other income 14,774 11,188 9,752 5,687 3,450
Profit before Tax 13,375 13,476 13,558 17,077 21,041
PBTM (%) 10.6 9.2 9.0 9.2 9.5
Tax 783 1,498 1,268 4,106 5,161
Reported PAT 12,591 11,978 12,290 12,971 15,879
Growth (%) 10.4 (4.9) 2.6 5.5 22.4
RPAT (post minority share) 13,532 15,194 15,516 16,201 19,432
Source: Company, Nirmal Bang Institutional Equities Research
Exhibit 29: Balance Sheet
Y/E March (Rsmn) FY09 FY10 FY11 FY12E FY13E
Equity capital 2260.7 2449.2 2674.7 2674.7 2674.7
Share warrants 7834.9 5410.8 - - -
Reserves & surplus 158,880 199,181 233,401 247,357 264,544
Net worth 168,976 207,041 236,076 250,032 267,219
Minority interest 1116 1146.8 1876.4 1876.4 1876.4
Long -term loans 46,215 57,490 94,695 98,116 101,132
Short-term loans 54838.5 28349 28356.7 28356.7 28356.7
Total loans 101,054 85,839 123,052 126,473 129,489
Deferred tax (liability) /assets 2113.4 1569.4 987.9 987.9 987.9
Total liabilities 273,259 295,596 361,992 379,369 399,572
Gross block 101,074 117,482 143,967 211,770 242,681
Less: Depreciation 46,380 51,683 56,508 64,469 73,621
Net block 54,694 65,799 87,459 147,301 169,060
Capital WIP 35,582 46,387 100,301 77,498 85,248
Investments 159364.1 136591.4 137939 124145.1 111730.59
Current assets 95,695 132,399 182,150 197,132 225,686
Inventories 5,606 3,898 4,255 5,098 6,079
Sundry debtors 19,278 22,496 73,000 63,726 75,986
Cash and bank balances 4,583 4,494 6,357 13,475 14,671
Other current assets 10,775 15,605 18,653 20,518 22,570
Loans and advances 55,453 85,906 79,885 94,315 106,380
Current liabilities and provisions 72,077 85,580 145,857 166,707 192,153
Current liabilities 59,129 70,421 132,381 152,943 176,287
Provisions 12,949 15,159 13,476 13,765 15,866
Net current assets 23,618 46,819 36,292 30,424 33,533
Total assets 273,259 295,596 361,992 379,369 399,572
Source: Company, Nirmal Bang Institutional Equities Research
Exhibit 28:Cash flow
Y/E March (Rsmn) FY09 FY10 FY11 FY12E FY13E
EBIT 2,995 7,539 10,156 22,768 30,904
Inc./(dec.) in working capital (2,530) (13,265) (13,401) 12,985 (1,912)
Cash flow from operations 464 (5,726) (3,245) 35,753 28,992
Other income 11,877 8,341 10,895 17,065 16,764
Depreciation 3,304 4,724 4,825 7,961 9,152
Interest paid (-) (4,394) (5,251) (6,350) (11,378) (13,314)
Tax paid (-) (2,072) (404) 326 (4,106) (5,161)
Dividends paid (-) (1,701) (2,005) (1,849) (2,245) (2,245)
Net cash from operations 7,478 (321) 4,602 43,051 34,188
Capital expenditure (-) (24,948) (22,047) (78,701) (45,000) (38,661)
Net cash after capex (17,470) (22,369) (74,098) (1,949) (4,473)
Inc./(dec.) in borrowing 16,459 12,918 55,025 3,422 3,016
(Inc./(dec. in investments 3,837 9,329 20,272 5,645 2,653
Equity issue/(buyback) 603 33 665 - -
Cash from financial activities 20,899 22,280 75,961 9,067 5,669
Change in cash 3,429 (88) 1,863 7,117 1,196
Opening cash 1,154 4,583 4,494 6,357 13,475
Closing cash 4,583 4,494 6,357 13,475 14,671
Source: Company, Nirmal Bang Institutional Equities Research
Exhibit 30:Key ratios
Y/E March FY09 FY10 FY11 FY12E FY13E
EPS 51 57 58 61 73
Cash EPS 63 74 76 90 107
Valuations
PE ratio (x) 8.5 7.5 7.4 7.1 5.9
Price/sales (x) 0.8 0.7 0.8 0.6 0.5
Price /CEPS (x) 6.8 5.7 5.6 4.7 4.0
Price /BV (x) 0.7 0.6 0.5 0.5 0.4
EV/sales (x) 0.3 0.8 1.0 0.9 0.8
EV/EBITDA (x) 5.4 9.3 10.5 5.5 4.5
EV/EBIT (x) 11.3 15.2 15.5 7.4 5.9
Margins (%)
EBITDA margin 5.0 8.4 9.9 16.5 18.1
EBIT margin 2.4 5.2 6.7 12.2 13.9
PBT margin 10.6 9.2 9.0 9.2 9.5
Net margin 10.8 10.4 10.3 8.7 8.8
Returns (%)
RoCE 1.0 2.3 2.5 4.6 5.8
RoNW 8.0 7.3 6.6 6.5 7.3
Efficiency ratios
Asset T/O 0.5 0.5 0.4 0.5 0.6
Fixed asset T/O 1.2 1.2 1.1 0.9 0.9
Dupont
NPM (PAT/sales) 0.11 0.10 0.10 0.09 0.09
Total asset T/O 0.46 0.49 0.42 0.49 0.56
Equity multiplier 1.62 1.43 1.53 1.52 1.50
Gearing ratios
Net debt/equity (x) (0.4) 0.05 0.2 0.2 0.3
Total debt/equity (x) 0.6 0.4 0.5 0.5 0.5
Debt / EBITDA (x) 16.0 7.0 8.2 4.1 3.2
Source: Company, Nirmal Bang Institutional Equities Research
53 Reliance Infra