Post COVID, IRCON has started operations at the fastest rate possible: CMD in 44th AGM

New Delhi: Ircon International Limited (IROCN) has conducted its 44th Annual General Meeting (AGM) on September 29 through video conferencing, in accordance with SEBI guidelines. During the AGM, the shareholders adopted audited financial statements of the company for the financial year 2019-20 (FY 2019-20) and approved all the proposed resolutions including the final dividend of Rs 2.06 per equity share on the face value of Rs 2 per share, as recommended by the board of directors. This is in addition to the interim dividend of Rs 13.45 per equity share on the face value of Rs 10 per share. The cut-off date for final dividend payout was September 22, 2020 (close of business hours). Total dividend for the financial year 2019-20 would be aggregated to Rs 223.38 crore i.e. 237.50 percent of the paid-up share capital, which is 45.60 percent of PAT and 5.37 percent of net worth.

Here are the key highlights of AGM

• Final dividend approved and declared of Rs 2.06 per equity share on the face value of Rs 2 per equity share for the FY'20 (in addition to interim dividend of Rs 13.45 per share on a face value of Rs 10 per share).
• The company adopted the Audited Financial Statements (Standalone and Consolidated) of the company for the financial year ended on March 31, 2020.
• IRCON has secured work orders of Rs.2300 crore (approx.) from the Ministry of Railways on competitive bidding among the PSUs after closing of the financial year.
• The company has achieved the highest ever operating turnover of Rs 5,202 crore in FY 2019-20.

Also read: Under diversification plan, IRCON set to foray into the solar power sector

While addressing the shareholders IRCON's Chairman & Managing Director (CMD) SK Chaudhary stated that during these unprecedented times, the company has faced many challenges with work being stranded due to the lockdown imposed by the government in order to safeguard us from the on-going COVID-19 pandemic. However, once the lockdown was lifted in a phased manner your company has started operations at the fastest rate possible. Currently, work has been started at all our project sites with approximately 90 percent utilization rate. Post uplifting of lockdown, the migrant labours have also started coming back to work; so, there is no dearth of manpower. He assured the stakeholders that we shall achieve a 100 percent utilization rate at all our project site very soon and this will, in turn, reflect in our results in the coming quarters"

Furthermore, on the financial front, we have an order book of Rs 30,263 crore as of Q1 FY21. We have submitted bids for two packages of bullet train worth about Rs 30,000 crore for 237 Km. and 90 Km in the consortium, where IRCON has 30 percent share. Moreover, during Q2 FY21, we have secured Railway Electrification work worth Rs 1,900 crore (approx.) and worth Rs 400 crore (approx.) for Road Over Bridges (9 Nos) from the Ministry of Railways on bidding basis amongst bids from PSUs; as per the new policy which shall be the new norm going forward. He further assured to the shareholders that the company is highly liquid and there is enough cash balance and liquid investments to help us sail through these unprecedented times. The company shall always strive to maintain pre-COVID margins on all levels.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Telegram. Join PSU Watch Channel in your Telegram and stay updated)