KNR Constructions Q2 FY21 results first cut: Robust performance continues - YES Securities

- KNR Constructions reported topline growth of 10% yoy (at Rs.6.0 bn), marginally ahead of our estimate of Rs.5.7 bn topline.

- Operating margin remained at an elevated levels of ~20.6% (-239bps yoy/ +96bps qoq).

- During the quarter, Company booked an exceptional expense of Rs.112 mn. This is related to the KNR Wallayar Tollway sale to Cube Highways. Certain Investment and Advance portion has been written off/provisioned against the withheld amounts.

- Adjusted PAT declined 17% yoy to Rs.613 mn and was in line with our estimate of Rs.621 mn.

- Order book at the end of Q2 FY21 stood at ~Rs.84 bn (Calculated as per orders announced by the Company adjusted for Q2 execution).

- We currently have BUY rating on the stock. We would review our estimates post Earnings Call.

Shares of KNR CONSTRUCTIONS LTD. was last trading in BSE at Rs.256.8 as compared to the previous close of Rs. 254.7. The total number of shares traded during the day was 725 in over 75 trades.

The stock hit an intraday high of Rs. 258.2 and intraday low of 254.6. The net turnover during the day was Rs. 185828.

Source : Equity Bulls

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