RITES revenue goes down by Rs 183 crore in Q3 of FY21

The consolidated revenue of RITES Limited has decreased to Rs 480 crore in Q3 of FY 2020-21 as against Rs 663 crore in Q3 of FY 2019-20
RITES revenue goes down by Rs 183 crore in Q3 of FY21

New Delhi: RITES Limited has reported its standalone and consolidated financial results for the third quarter and nine months from April 1, 2019 to December 31, 2020.

Revenue and profit for Q3 (consolidated)

The consolidated revenue in Q3 of FY21 has decreased to Rs 480 crore as against Rs 663 crore in Q3 of FY20 on account of export deliveries not scheduled during this quarter (approx. impact of Rs 90 crore) and restrictions imposed due to pandemic. Similarly, operating revenue, excluding other income, stands at Rs 449 crore in Q3 of FY21 as against Rs 620 crore in Q3 FY20. EBITDA and PAT stand at Rs 159 crore and Rs 105 crore against Rs 214 crore and Rs 150 crore, respectively, in Q3 of FY20. EBITDA and PAT margins are sustained and stand at 33.1 percent and 21.9 percent, respectively.

Standalone

The total revenue on YoY basis in Q3 of FY21 has decreased by 28.1 percent to `465 crore. Similarly, operating revenue, excluding other income, stands at Rs 434 crore in Q3 of FY21 against Rs 603 crore in Q3 of FY20. If exports are excluded, operating revenue has fallen by 16 percent on YoY basis. EBITDA and PAT stand at Rs 147 crore and Rs 99 crore against Rs 198 crore and Rs 140 crore, respectively, in Q3 of FY20. EBITDA and PAT margins are sustained and stand at 31.7 percent and 21.3 percent, respectively.

Performance of standalone segments 

The company achieved a revenue of Rs 244 crore from consultancy business which is down by 14.3 percent over Q3 of FY20, with margins remaining 45.5 percent as against 46.5 percent in Q3 of FY20.

The revenue from leasing business stands at Rs 29 crore in Q3 of FY21 as against Rs 30 crore in Q3 of FY20. The leasing income has almost reached to pre-Covid level with a margin of 39.8 percent as against 34.0 percent in Q3 of FY20.

There were no export deliveries scheduled the quarter, however, next quarter (Q4) is expected to see export shipments to Sri Lanka and Mozambique.

Turnkey revenue during Q3 of FY21 stands at Rs 159 crore down by 19.2 percent against Rs 196 crore in Q3 of FY20. Turnkey margins are maintained at 3.0 percent as against 3.1 percent in Q3FY20.

RITES performance from April 1 till December 31, 2020

RITES total consolidated revenue stands at Rs 1,356 crore in nine months of FY21 against Rs 2,120 crore in the same period of last year. Similarly, the operational revenue, excluding other income, stands at Rs 1,224 crore in nine months of FY21 against Rs 1,904 crore in the same period of last year. EBITDA and PAT stand at Rs 452 crore and Rs 303 crore, respectively. While earnings per share (EPS) stands at Rs 11.85.

Order Book

The company's order book stands at Rs 6,534 crore as of December 31, 2020, which provides revenue visibility for two to three years.

Commenting on the results, RITES Limited's Chairman & Managing Director (CMD) Rajeev Mehrotra said, "Working towards post-pandemic economic growth, the company has maintained its focus on project execution, sustaining margins, and consolidation of the order book."

Further, commenting on outlook, Mehrotra said, "The emphasis on infrastructure development in the Union Budget 2021-22, National Rail Plan and National Infrastructure Pipeline will help drive the growth of the sector, thus providing us opportunities to achieve double-digit growth in FY 2020-22 and beyond."

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