Ladies and gentlemen, good day and welcome to J. Kumar Infraprojects Limited Q4 and FY 2024 earnings conference call. As a reminder, all participants' line will be in the listen- only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. Before we begin, a brief disclaimer. The presentation which J. Kumar Infraprojects has uploaded on the stock exchange and their website, including the discussion during this call, all may contain forward-looking statements concerning J. Kumar Infraprojects' business prospects and profitability, which are subject to several risks and uncertainties, and the actual results could materially differ from those in such forward-looking statements. I now hand the conference over to Mr. Kamal Gupta, MD, J.
Kumar Infraprojects Limited. Thank you, and over to you, sir.
Good afternoon, everyone. On behalf of J. Kumar Infraprojects, I welcome everyone to the Q4 and FY 2024 earning conference call of the company. Joining me on this is Mr. Nalin Gupta, MD, and Marathon Capital, our IR team. I hope everyone had an opportunity to look at our results. The presentation and press release have already been uploaded on the stock exchanges and our company website. As we conclude FY 2024, we are pleased to report a period marked by significant achievements, including the largest accretion of our order book, substantial revenue growth alongside margin expansion. The working capital cycle has also seen an improvement on back of substantial reduction in receivable days. On back of record order book and our execution progress, we are confident of setting up new performance benchmarks in the years to come.
Our continued focus on adding and diversifying project portfolio that involves sound technical capabilities, we are optimistic that this will help us to improve our margin. We at J. Kumar always work towards successful execution of continuing projects with a scope to scale up further. The company will continue its focus on working capital management and quality of order book. We believe that India will emerge as one of the fastest-growing infrastructure drivers in the world, marked by an unprecedented investment going into virtually every part of its transforming industry story, whether it's airport, ports, railway stations, metro, expressways, water treatment projects or roadways. On the other hand, we believe that a sectorial shakeout, higher construction benchmarks and rising prequalification standards have led us to an industry-wide consolidation. This trend favors larger companies with robust finances, enabling them to access even bigger opportunities and strengthen their market position.
Consistent with our track record of dividend distribution, the Board of Directors have recommended dividend of INR 4 per share for the financial year subject to shareholder approval. Coming to the standalone performance highlights for Q4 FY 2024. The revenue from operations for Q4 FY 2024 grew by 26% to INR 1,425 crore as compared to INR 1,134 crore in Q4 FY 2023. The EBITDA for Q4 FY 2024 grew by 27% to INR 203 crore as compared to INR 159 crore in Q4 of FY 2023. The EBITDA margin for Q4 2024 stood at 14.3% as compared to 14.1% in Q4 of FY 2023. The PAT for Q4 FY 2024 grew by 35% to INR 100 crore as compared to INR 74 crore in Q4 of FY 2023. The PAT margin now stood at 7% as compared to 6.5% of Q4 of FY 2023.
Coming to the yearly numbers of FY 2024, revenue from operations for FY 2024 grew by 16% to INR 4,879 crore as compared to INR 4,203 crore in FY 2023. The EBITDA for 2024 grew by 18% to INR 704 crore as compared to INR 597 crore in FY 2023. The EBITDA margin for FY 2024 stood at 14.4% as compared to 14.2% in FY 2023. PAT for FY 2024 grew by 20% to INR 329 crore as compared to INR 274 crore in FY 2023. The PAT margin now stood at 6.7% as compared to 6.5% in FY 2023. We have been awarded projects worth INR 11,810 crore in FY 2024 and received orders worth INR 3,750 crore during Q4 of FY 2024. Totaling our order book as on 31st March 2024, at record high level of INR 21,011 crore. The order book inter alia includes metro projects contributing 27%, elevated corridors, flyovers contributing 39%, road and tunnels projects contributing 24%, and others contributing 11%. Thank you.
Now we begin with the question- and- answer please.
Thank you very much. We will now begin the question- and- answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Rhythm Jain from RV Investments . Please go ahead.
Am I audible?
Yes, sir. Please go ahead.
My question is regarding the debt of the company. It currently stands at INR 576 crore. What are the guidance for the debt of the company? Is the company thinking of reducing its debt? If no, next year, how much will be the debt?
Yeah. Hi, Rhythm. This is Kamal Gupta. As we have previously also told, we are looking to around INR 600 crore- INR 650 crore of debt by FY 2025 in India.
Okay.
The intent to take care of this funding requirement will be internal cash accruals of the company. The debt equity is really so comfortable, we don't foresee any reason for any concern for the company.
Thank you.
Thank you. The next question is from the line of Mahesh Bendre from LIC Mutual Fund. Please go ahead.
Hi, sir. Thank you so much for the opportunity. Sir, just wanted to know the order pipeline in terms of how many projects we have actually offered the bids, and in your own opinion, over the next 12 months, how many new orders are going to come up where we can bid?
We are already L1 in around INR 4,700 worth of projects, which recently has been announced by the government. It is for MSRDC, wherein we have backed two orders of around INR 2,000 and INR 2,200 crore. Also one Harinagar building job that we have taken from NBCC . Already in Q1, we will be getting the L1s converted into order book is what we expect. There are other projects worth around INR 20,000 crore that are mainly coming in from metros, elevated expressway, roads and road tunnels and some building jobs as well.
That is what we are focusing, and we intend to take our order book in this financial year of FY 2025 close to around INR 6,000 crore-INR 8,000 crore, fresh order book, and maintaining an order book of around INR 20,000 crore-INR 22,000 crore by end of FY 2025.
Okay, sure. In terms of some margins, where do you think our operating margins could be?
Currently, as you can see, we are trading between 14%-15% EBITDA margin. We should be surely able to maintain this margin, which is at the margins at which we have bagged this order. Of course, with the operational efficiency, we are working that within coming six to eight quarters, we will try to take this EBITDA margin from 15% to 16%.
Sure. Last question, sir. We have significant exposure to Maharashtra, and the state is going for election next six months. Will there be any slowdown in terms of execution or possible order inflow?
Well, Mr. Mahesh, I think you would appreciate that this is not the first election, and with the series of elections, change of government intermediately also, we did not see any type of stoppage of work or any negativity with the amount of visibility being there in the social media, with the people getting more and more literate. People expect every new government coming in to perform more better than the previous political party. With our experience of more than four decades, we feel that absolutely there will not be any slowdown in execution. There can be impact whether new work comes in or not.
But with the order book that the company has already bagged, I am pretty sure and hopeful that the execution will be in full pace, because people, to come into the political parties, to come into the power, they need to show what progress they have done for the state and for the country. This is going to be surely not impacting any execution of the ongoing jobs.
Sure, sir. Thank you so much.
Thank you very much, Mr. Mahesh.
Thank you. The next question is from the line of Vaibhav Shah from JM Financial Limited. Please go ahead.
Hi, sir. Sir, what would be our revenue guidance for FY 2025?
As we told before, we are looking for a growth of around 15%-16%. We are looking for a number of INR 5,600-INR 5,700 for FY 2025.
Given our order book of almost INR 20,000 odd crore and plus L1 of around INR 5,000 crore, isn't this guidance a bit on a conservative side?
If you see, the projects what we have secured in this year, the inflows will start from Q2 of this year and it will add to the revenue significantly from this year onwards. But you will see the real incremental value of this from next year onwards.
Okay. Sir, from our current backlog, what would be currently under execution out of INR 20,000 odd crore?
Everything, this INR 21,000 crore also includes INR 11,000 crore what we have secured in this year. All these projects also have been started. Started means the mobilization has been started. But it starts generating revenue from Q2. It will start generating revenue from Q2. All the projects are in all the things. There is no project, even the coastal road of CIDCO, which was in advance for eight, 10 months, has also been started in full swing. All the projects are started in full swing now.
Okay. And sir, regarding GMLR project in Chennai, elevated corridor, has the execution started for both the projects?
For GMLR, we have already started mobilization, site barricading, survey jobs, designs have been submitted, orders for the machineries have been placed. It is in advanced stage to practically, physically start at the job site. Though we have started some ancillary works already, office construction has started, your roadwork has started, batching plant establishment. Work is in swing, and it will see momentum, Q2 onwards that we have already mentioned.
Also for Chennai. Chennai similarly, as what I told, even the mobilization is a big thing because for such big and huge projects, there is a lot of technical finalization to be done before, the methodologies and all. All equipments are in place, all casting yards have been developed, the offices are in place, survey is done, soil investigation completed. Even the pile investigation, the pile works also, the machines are there.
We will be starting the piling from this June only. Actual physical work on site will also be starting from first week of June.
Revenue booking has not been done neither of the projects, right? For GMLR and Chennai.
No, nothing has not been done now. You are right.
For both the projects, ballpark, can you guide what kind of revenue can we book in 2025 in terms of percentage?
As we have said that we need to wait till Q2 because as you will appreciate that Q2 is now broken into, it is the monsoon period, so we really cannot expect any sizable contribution from these projects to turn up at this stage. From Q3 onwards, it will start giving revenues to this project, and once the project starts giving the numbers, then I think it will be after Q2, I think we will be able to really give a realistic number, how much will be the contribution for the current year.
Okay. Lastly, what is our CapEx plan FY 2025?
You asked about CapEx, Mr. Vaibhav?
Yes.
For FY 2025, we have been saying we require around INR 100 crore every year for your maintenance CapEx. Apart from these two, these new projects of Chennai elevated and GMLR, we will be having around INR 400 crore of additional CapEx apart from INR 100 crore for incoming two years.
Next two years, overall it should be closer to INR 600 crore, INR 100 crore each year for maintenance and INR 400 crore for other two projects.
Correct. INR 500 crore-INR 600 crore for coming two years. You are right.
Okay. Thank you, sir. I will come back in queue.
Sure. Thank you.
Thank you. The next question is from the line of Prem Khurana from Anand Rathi. Please go ahead.
Thank you for taking my questions, and congratulations on good set of numbers this quarter. Just on this order additions that you have done during the year, I mean, congratulations. I mean, it has been one of the best years in terms of orders additions. I mean, given the fact that it has been so strong, way better than our guidance, I mean, including change in scope and variation orders. I mean, how would this change the way you would approach the new orders in FY 2025?
I mean, given the fact that you already earned INR 5,000 odd crore, would that make you kind of try and optimize margins, look for orders wherein you will be able to kind of get even better margins because, I mean, with INR 16,000 crore in the last one year or 13 odd months, I mean, you seem to be already home, I mean, in terms of the revenue visibility that you would want to have.
As we have mentioned that, yes, we will be trying to optimize in terms of the margins as well. With this, of course, this bigger project involves more experienced and that is how experienced people to be brought into the company. The organization buildup is also going on time to time, depending upon the size of the company, whichever areas we feel needs to be strengthened, we are working on it. The organization is fully capable to take up these size projects of an order book of close to INR 20,000 crore. The entire team is in place to take up these projects, both these are one of the most challengeable, and I would say a feather in the hat for the country and for J. Kumar ourself as well.
Because I think GMLR is one of the largest tunnel and the longest tunnel that has been constructed by tunnel boring machine in the entire country, as well as the elevated corridor of Chennai, which is again a 20 km long along the river, which has to be done, which is again 20 km double-decker with double-decker cloverleaves. So it is a very, I would say, highly skilled job. So margins are well secured, and the team is in place, so execution is absolutely not a matter of concern as a J. Kumar. With the growing size, with the growing numbers, we are also building up the team. So that is how we look at around INR 6,000 crore- INR 8,000 crore of new orders to be bagged from these current geographies as well.
Sure. This INR 6,000 crore- INR 8,000 crore is in addition to the INR 5,000 odd crore revenue, right? So technically, I mean, you want to somewhat repeat the sort of number that we delivered in FY 2024, right?
Currently, what we have been talking of is around INR 7,000 crore-INR 8,000 crore of total order book for FY 2025. If we get certain jobs which are lucrative, which are of the nature and geographies that we are very comfortable in, we may bag orders INR 10,000 also. It totally depends upon the opportunities that come on the way. But INR 6,000 crore-INR 8,000 crore is something that we are very clear that we have to bag this order and maintain the order book close to INR 20,000 crore, INR 22,000 crore for FY 2025 closing.
Got it. Sir, on these MSRDC orders wherein you are L1, so when I was looking at the bids and these bids seem to be at a significant premium to the agency cost estimate, would that mean there could be some renegotiation? I mean, you would be required to sit across the table and negotiate with the MSRDC, and then only you will be able to have LOA come to you, or they would be okay with the sort of number they have given them?
Sir, if you must have seen, Prem, this is not only with us, this is across with all the contractors. That means their estimates are based on some old DSR. There is a price inflation and also, it would have been in two or three people, that means it's not right. But since everybody is quoting that way, that means their estimates are not properly done. It's based on the old rates of what they have prepared. They have to correct their estimate. I don't think there are any issues in finalizing the contract.
This is a similar case I would like to mention here. If you look at Delhi Metro, the DC08 project that we had bagged was at 29.9% above close to 30% above the estimated cost. That was the average range of 25%-30% in all the six underground Metro packages that had come in Delhi. The premium charged is subject to the estimate, which depends upon how they have made it. When everybody, all the 35, 40 packages are in that range, that itself shows the genuineness of the price bid.
Sure. But sir, in these sort of situations, I am sure you would have seen these sort of things in the past as well. Obviously, they had some numbers in mind, which are they would have arranged for funds. They would have spoken to some of these banks and multilateral agencies. Suddenly, the number goes from INR 67,000 crore to INR 90,000 crore. Right. I agree to, I mean, the estimate that agency had in place was wrong. But would that mean, at least they would have to go back to these lenders or even to some of these cabinet ministers to kind of get the new cost approved because you need additional INR 30,000 odd crore or INR 20,000 crore over and above what you were initially estimating in your budget estimates.
You are okay right what you are saying, and this is a regular process that has been followed. At cases, they find situations where the bidder has bid it below the estimated. Some cases, the bidder has bid it above the estimated price. It is a plus-minus thing that happens, but they have to go for re-sanction of it, and they do not have a choice. In Delhi, that was the similar case. It was a World Bank aided fund where the international financing was there. Even in that case, they put it up to the JICA and World Bank, and they got an approval, and the bids were awarded. This is a regular routine process, and they have to do it, and the money is not required today.
Once they are satisfied with the pricing that the contractor and the justifications given by the bidders are acceptable to them, they have the whole period to arrange for funds. It is not that it is required today.
Okay, sure. Sir, just bookkeeping sort of question, last from my side. If you could help me with the working capital cycle, be them in terms of number of days, what number did we close FY 2024 at? If you could help me with cash and bank balance number, mobilization advances, retention money and FY 2024 CapEx, please.
The working capital has fallen from 126 days to 123 days, and we intend to keep it between 120- 125 days.
Sure.
That is what the working capital cycle is.
The mobilization advance as on March 31st stands at INR 459 crore- INR 460 crore.
Okay. How much of this would be interest-bearing, sir?
Most of these are non-interest bearing, apart from your distinction. You made INR 30 crore, so it is like, I think, out of INR 460 crore, INR 400 crore is non-interest bearing and INR 50 crore is interest bearing.
Sure. Retention and cash and bank balance, please, including SBs.
Retention cash. What is that, [inauidble] ?
[audio distortion]
It is INR 300 crore of SD, and that is retention, and cash and bank balance is INR 131 crore.
FDR are INR 480 crore.
FDR is INR 480 crore.
Oh, okay. Just one last, FY 2024 CapEx, how much did we incur?
For [inaudible]?
For the full year or Q4, either would work.
For the whole year, it is INR 210 crore.
Got it. Sir, just one last, sorry, just to continue on the GMLR thing. The tunnel boring machine would come in our books or, I mean, it will come as a part of the JV entity books because you would have both these options available, right? Wherein you could leverage JV entity and then get that TBM there, or you would want to have it in your own balance sheet.
There are two TBMs required for the GMLR project, and we have ordered both the machines. Each machine, one each has been booked in their individual books. J. Kumar has purchased one TBM on its books, and NCC has purchased one TBM on their books.
Okay.
The LC is also open for it.
Sure. Thank you, and all the very best for future.
Thank you very much.
Thank you. The next question is from the line of Parikshit Kandpal from HDFC Securities. Please go ahead.
Yes, sir. Hi. Congratulations on a great quarter. My first question is on the MMC project, multimodal corridor. Just wanted to understand that are these projects right now financially closed? Is the cost provided already in this year's budget of Maharashtra government, or do you think that only after formation of the new government, maybe next year, the budget will be provided and the work will start only from next year, FY 2026?
Hi Parikshit. We have, of course, tied up for before coming out with the vendors, and some finalization as it is revised and all, of course, they have to go for the revised sanction. The projects, of course, because the state elections will be there, our understanding is that they will wanted to start it before the state election commences or kicks off. Since it is June, I think from Q2, the project should take off in cycles.
Q2, you are saying after monsoon, so maybe around September, we should see that the project will be kicked off.
You are right.
What is the scope of work here? I know that it is an EPC project, so it is just highway or what all you have to do? I mean, anything different from a typical road project?
These are actually the two projects we have secured, in that around 85% is structure. There are multiple flyovers, elevated roads with interchanges, cloverleaves, and all. It is mainly a structure project for us, like flyovers, and of course, there are some road portions also in that, but major will be structure.
Okay. You already said that you have INR 480 crore of FDR in your lines. This big project, you will get some mobilization advance and bank guarantees will be required. Do you think you will have to incrementally provide more FDR and raise more cash for margins against the bank guarantees? If you can quantify how much you think your funded and non-fund-based limits. Your non-fund-based limits will go up because of this. Are those limits already tied up because this is on two large projects?
Yeah. If you see, for all the projects we have secured, already it has been tied up. What I was talking about is INR 11,000 crore of inflow of this year. Major projects, of course, what we are L1, we need to tie up for these new projects. The non-fund based will certainly go up, no doubt, because the PBGs and the bank guarantees requirement will go up. Because of this, the margin has to be done, and that will intend that some part of the margins or part of the FDR, we may use it from our existing pool. We have to add up new ones also. Of course, it will take up the FDR also from 480 to something that we have not worked out, and we can tell you the numbers later on, Parikshit.
Okay. These projects typically will have what kind of mobilization advances and whether these will be interest-bearing, if you can give some color on what could be their interest cost and what kind of advances we can avail on this. Because underground metro's interest fees, or how different these projects should be in terms of advances and interest.
Yeah. These projects of MSRDC, of course, there is a provision for mobilization advance of 10%, and these are interest-bearing. I think the net cost for it will come around 9%-10%.
And these will have any bonus provisions?
Sorry?
Any completion bonus, anything there in these projects?
These projects do not have a bonus clause, I think. There is nothing like this.
For GMLR, we have a bonus clause. There, we are trying that we get some bonus out of that project.
Okay. This last question
Contracts usually don't have it, but certain projects like GMLR, they have made a provision.
This is the last question, sir, on just the two large projects, underground metro and the GMLR. What are the timelines for completion of these two projects?
For GMLR, the timeline for completion is around 60 months. Five years. For Chennai it is,
You spoke about Chennai, or you spoke about the underground metro , Parikshit?
Both you can tell me, sir.
Okay. On the Chennai project is for three years. Six months have passed, so another two and a half years. And for the underground metro-
GMLR, it is 60 months, and 60 months will be our time period for completion.
Underground metro, the [audio distortion]
Underground metro is almost completed. We have completed around 93%, 94% of it, and it is in its final leg of some minor testing, commissioning, and getting approved from statutory authorities like fire NOCs, your, what to say, RDSO and Chief S afety Railway Commissioner's approval. That will take two months. I think by August it should be in operational.
Operational. Because I saw your BKC stations are still not live. It has come up above the ground, but I don't think that it's ready or not.
No, BKC, all the stations, because on that there will be integration with Line 2B at BKC. That won't stop it for commissioning. You understand, Parikshit?
Okay.
The stations are ready. The trial runs are already on. Initially they ran it from SEEPZ to BKC. Now they have taken it to even Dadar. The trains are going for trials even till Dadar now. That all is on.
We are expecting in two months' time, it will be open for public. So maybe September, latest by September it will be open.
I expect it by August also. So maybe August or September, depending on the CRS, because when the CRS, means the safety guys come, they give some checklists to comply that may take some time. So August should be a good time, I think.
Okay. This is the last thing on the MSRDC. You heard there are some more orders which are in the pipeline, so if you can help understand what is the pipeline for, before elections, what potentially could be the pipeline from the Maharashtra government, in terms of ordering.
Of course, there is something in pipeline from MSRDC also, some from MMRDA also, some from CIDCO also.
BMC, metro department. There are a lot of opportunities. Parikshit, it is a long list. As we have said that we intend to bid around INR 20,000 crore worth of projects. It is mainly coming in from elevated corridors, your flyovers, your elevated and underground metro, building jobs, some water-related projects. These are the projects which we have already bagged, and we are executing. It is similar nature of works.
Okay, sir. Sure, sir. Thank you, and wish you the best. Those were my questions. Thank you.
Thank you, Parikshit.
Thank you. The next question is from the line of Jiten Rushi from Axis Capital. Please go ahead.
Good afternoon, sir. Thank you for taking my question, and congratulations on good set of numbers. Also congratulations on winning such a prestigious project from MSRDC for the multimodal corridor. On the MSRDC project timing, do you need any CapEx to be done because, you need structural work to be executed, and you expect the project to start from September. So any immediate CapEx will be required?
For MSRDC projects, we won't require some special CapEx like for GMLR and actually elevated, because this will be regular structures wherein we can rope in our existing machineries and equipment. So, we won't require any special big CapEx for this project.
Do we have any estimate for final margin?
We cover our CapEx of INR 100 crore per year
And available machineries that we have from our various flyovers that we are already constructing.
So we can say it is-
Is on the verge of completion of Delhi, so a lot of equipment from there will be transferred here, whether it is the gantries, launching girders, and other equipment. So, that will cover 80%, 70% of that CapEx requirement for that project.
Thank you. Got it. Thanks. Sir, and what could be the EBITDA margin towards your guidance for 14%-15%, probably a year after you are expecting 15%-16% margin in 2026 EBITDA. So, this is because of the new order wins in Q4 and MSRDC, which carries a higher margin of 15%, 16%, which gives you the confidence of doing a 15%, 16% EBITDA margin in FY 2026. Am I right, sir?
So it is mainly, Jiten, because of as you are getting bigger projects and in the same cluster, so operational efficiency will of course go up. So it is mainly because of your operational efficiency, we are looking that the margins will go up to 15%-16% coming in six to eight quarters.
Okay. And sir, you gave the order inflow guidance of INR 6,000 crore-INR8,000 crore , which is including the L1 projects which you have won in Q1, or it is excluding? Just checking first.
We are looking for an overall inflow in FY 2025 for INR 6000 crore-INR 8,000 crore and this includes your INR 4,000 odd crore of L1 what we have. That is true.
This is INR 5,000 crore. But sir, then this could be on a lower side because you already said you have bid for INR 28,000 crore and you have already received INR 4,700 crore inflows. So hardly INR 2,000 crore inflows, maybe INR 3,000 crore come for the rest of the 10 months. So don't you think it is on a lower side?
This being only INR 8,000 crore becomes around INR 4,000 crore, Jiten .
We believe to take a conservative figure always, Jiten, and surpass our targeted guidance.
Because MSRDC is already INR 4,180 crore and then you said some building pillar also at NBCC, which adds up to INR 4,700 crore. I was like, as a company of your stature who already qualified and bid for large elevated projects and L1 projects, you can easily win around another INR 5,000 crore-INR 6,000 crore. Probably you can achieve a target of INR 10,000 crore in FY 2025 itself. Was just highlighting that probably
You are right, Mr. Jiten. But we also are very concerned about its profitable growth, and we target on bottom line more. If, of course, we get an opportunity with better margins, what you are saying, it can be INR 10,000 crore also or INR 12,000 crore also. No worries.
INR 6,000 crore-INR 8,000 crore is the minimum order book that we are intending for, is what we wanted to say.
All right, sir. Sir, these projects of MSRDC you said will start from September, right, sir?
Yeah, should start in September because the code of conduct, I think, will commence from September start. So before that, they need to finalize the order. So they should do it. Once the orders are finalized, we can start work at ground.
The land is already available, that is what-
Some [inaudible] are pending. The land acquisition process is also on. So wherever it is available, we will start the work which is to be acquired. We are in the process of, in the last leg of that. So that may take some time.
Sir, one last question on the diversification strategy. Obviously, we are doing a lot of work on the structure and L1 side. Are we looking to diversify in probably a solar EPC project or something like some other irrigation or general mission scheme, whether something which you can do. Any thought on that or you want to stick to your structural engineering projects only?
There are some irrigation projects which we are again targeting to bid for. Already, if you see, in the last one-year span, the company has diversified its operation into additional areas like road tunnels by TBM, road tunnels by drilling blast. We have started riverfront development jobs. We have taken up water sewer tunnels of BMC, three projects of INR 500 crore each. Already, we are spreading our wings more into different verticals as well. That doesn't mean to shift from the main core competency area, which we are known for as a urban player doing lots of work into the structural area. That will be our primary focus.
That's okay. That's it from my side. Thank you and all the best.
Thank you.
Thank you. The next question is from the line of Shravan Shah from Dolat Capital. Please go ahead.
Yeah. Thank you and congratulations on good set of numbers. Most of the questions have been answered. A couple of data points. First is unbilled revenue, fund-based limit, how much is utilized and non-fund-based limit and how much is utilized.
One sec. Okay. Yeah. Our finance guy will reply on this, [inaudible]
Unbilled revenue as on March 31 is INR 553 crore.
553 ?
Yeah.
What is the fund-based limit and how much is utilized?
The fund-based limit right now is, sanctioned limit is INR 5,080 crore and we have utilized INR 3,700 crore. So around 70%, 72% is being utilized.
Sir, that will be a-
Both I am saying. Fund-based is like, utilization is around 40%. Of INR 970 crore, we have utilized INR 380 crore. And term loan, INR 200 crore fully utilized. The non-fund-based is INR 3,900 crore and utilized INR 3,000 crore, so around 70%, 90%, 80% is being utilized for non-fund-based. Overall, it is 72% utilized.
Okay. We will be increasing these limits or at least for FY 2025, we do not need to increase our limits?
Of course, we will have to enhance the limits looking at the new order books that we have taken. With the current status of 0.22x of debt, gross level, we have 0.22x of debt equity, and at net level, we are just 0.03. So we are almost a debt-free company. So we will be surely needing these additional fund limits, and we have only applied for it.
Okay. Just, sir, to understand in terms of previously, we have set a FY 2027 $1 billion revenue target. Now, obviously at that time, the dollar was 73, 74, so now it is at 83+ . In terms of absolute rupee terms, what is the target that we are looking at for FY 2027?
We should be surely surpassing our 15%, 16% growth that we have been doing on a year-on-year basis. I think $1 billion revenue is what we have told was at 73, 75 something. We should be able to reach that for sure is what I feel.
Okay. Just to reconfirm, the total order inflow for FY 2025, including the L1 of INR 4,700 odd crore, is INR 6,000 crore-INR 8,000 crore that we are looking at?
Yeah, in FY 2025.
Have we bidded for any projects where bid is yet to open?
Yeah, there are two projects we bidded, it is around INR 1,700 crore. The data is to open for that.
Which projects, which state?
In MP.
Related to which segment is it?
Metro.
It should open in a month's time or so is what we expect in the month of June.
Okay. But in terms of the, there is no issue that we can even take INR 12,000 crore-INR 13,000 crore order inflow also, if it comes at our margin, we can surely take it.
Absolutely. Yes. Sure.
Okay. And sir, just trying to understand now, the metro and underground metro both put together in terms of the order book is now just INR 5,700 odd crore in terms of the outstanding order book. So in terms of the, broadly, if you can help us, whatever the revenue that we are looking at, INR 5,700 odd crore. How much would it be from the metro segment and which segment would be the major in terms of the revenue contributing for FY 2025?
We can give you these figures subsequently, as immediately we don't have it in front of us. As we have been seeing, it totally depends upon the order book, what areas we get to execute at what level. These metro projects are already in full swing and have been under execution for one or two years or three years, differently depending upon each project. We can give you those numbers separately later.
Metro is around 35%-40%, I feel, in this coming year.
35%-40% of the revenue, so broadly INR 2,200 crore plus kind of a revenue that we are looking at from the metro. Okay.
Yeah. We can give you exact numbers as Mr. Nalin told, our finance team can later give you.
Okay. Thank you, sir. All the best.
Thank you.
Thank you. The next question is from the line of Uttam Kumar Srimal from Axis Securities Limited. Please go ahead.
Yeah, good afternoon, sir. Thanks for the opportunity, and congratulations on the good set of numbers. Sir, you guided for 16% revenue growth in FY 2025, and I see with this robust order book of INR 21,000 crore and more orders will be coming, and most of the projects will be operational from half FY 2025, and will be fully operational FY 2026. Can we expect 20% or more revenue growth in FY 2026?
Sorry, what is the last fact, Uttam?
Sir, can I expect 20% revenue growth in FY 2026 because of the robust order book and most of the projects will be operational. Just wanted to understand when can we reach 20% revenue growth in FY 2026? Because currently you have guided for 16% in FY 2025.
Yeah. As we told you, we are looking for 15%-16% growth in FY 2025. So from INR 5,600- INR 7,000, we are also looking for an uptake, and we will be only able to tell you after these two quarters how it stands. And we are also looking to ramp up and increase the execution pace, wherein the growth may be much higher than what we anticipate. But cannot tell you today, Mr. Uttam.
Okay. And sir, this quarter, other expenses were quite high. Any particular reason for that?
Sorry, which is quite high?
Other expenses.
Other expenses. Yeah.
No, it is okay, sir. Next question is on finance charges. This quarter it was around INR 36 crore. Can we expect this run rate for FY 2025 in the upcoming quarters?
Yes, it should be similarly going up because depending upon the order book and the working capital requirement, it will be in the similar range. It should be there.
Okay, sir. That is all from my side. All the best to you.
Thanks.
Thank you. The next question is from the line of Vaibhav Shah from JM Financial Limited. Please go ahead.
Thanks for the follow-up. Sir, I only had one question. Sir, for the MSRDC project, what kind of margins have you bid for? It will be closer to a blended margin of 14%-15% or they will be slightly below that?
Yeah. As rightly told by you, we do not quote below this number. All our projects are with these blended margins of 14%-15%.
Okay. Thank you, sir.
Thank you. Ladies and gentlemen, you may press star and one to ask a question. The next question is from the line of Vasudev from Nuvama Wealth Management. Please go ahead.
Yeah. Thank you for the opportunity, sir. I just had one question. Sir, if your order book in the last year was around INR 11,855 crore, and this year we ended at INR 21,000 crore, and our execution was INR 4,900 crore. When we do the back calculation, like closing order book plus execution less opening, our order inflow number works out to be around INR 14,000 crore for the full year, whereas in the presentation you have given it is around INR 11,800. Is this any scope enhancement or anything, the difference INR 2,200 crore roughly?
Right, Mr. Vasudev. Exactly, because we at company level do adjust and correct this figure on a yearly basis by the year-end. This includes enhancement of some escalation portion and some additional scope of work which has been awarded to us. This is part of that, you are right.
Okay. Is there any particular project which has a major contribution to this INR 2,200 crore?
Escalation is for all the projects. All our contracts are covered with price escalation clause. This is for one component which is for all the projects. And of course, some of the projects which is for some additional scope has been increased is some metro lines in Mumbai and some with our Delhi Dwarka project, elevated, so that has contributed towards this.
And also Delhi DC08.
Okay. That's it from my side, sir. Thank you, and all the best.
Thank you. As there are no further questions from the participants, I would now like to hand the conference over to Mr. Kamal Gupta for closing comments. Over to you, sir.
I would like to thank once again to all of you for joining us on this call today. We hope we have been able to answer all your queries. Please feel free to reach out to our IR team for any clarification or feedback. Thank you, all.
Thank you. On behalf of J. Kumar Infraprojects Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you.