homebusiness Newscompanies NewsNCC expects Rs 26,000 crore worth order inflow, 20% revenue growth in 2023 24
NCC expects Rs 26,000 crore worth order inflow, 20% revenue growth in 2023-24
NCC, which has recently released its first quarter earnings along with the financial projections for the fiscal year 2023-24, said it anticipates an order inflow of Rs 26,000 crore for FY24 and foresees a robust revenue growth of 20 percent.
Infrastructure and construction major NCC Ltd, which recently released its first quarter earnings along with the financial projections for the fiscal year 2023-24, said it is anticipating an order inflow of Rs 26,000 crore in the year. It also projected a revenue growth of 20 percent for this financial year.
Neerad Sharma, Head of Strategy at NCC, said in an interview with CNBC-TV18 that the company maintains a strong order book position, which currently stands at Rs 60,000 crore.
"Our project sites are fully operational, and we are well confident to state that the company is on track to achieve the projected 20 percent revenue growth," Sharma added.
Emphasising that NCC has already fulfilled an impressive 38-39 percent of its order inflow projection for FY24, Sharma divided its Rs 60,000 crore worth order book into two distinct categories — those secured prior to COVID-19 and those secured after.
Within the realm of infrastructure, NCC maintains a presence across various segments, including buildings, transportation, water, electrical transmission and distribution, irrigation, and mining.
Sharma added that the company has a robust pipeline of upcoming projects for bidding.
NCC's guidance also includes a targeted 10 percent margin growth. Sharma highlighted in the interview that the company is reasonably confident in achieving this 10 percent margin growth target.
"Commodity prices in the last fiscal year were really hitting the roof, and the current situation appears to be under control. Looking ahead, we are confident about achieving this 10 percent growth in EBITDA margin."
Among the notable upcoming projects for NCC, Sharma mentioned that it is awaiting the letter of acceptance (LoA) for the Goregaon-Mulund Highway Project.
“The value of this project is about Rs 6,300 crore, and we have an equal joint venture (JV) with our partners. So if we divide that number into parts, it could be close to Rs 3,000 crore odd each,” he added.
NCC on August 10 reported a 33.9 percent year-on-year increase in its consolidated net profit at Rs 173.54 crore for the April-June quarter of this fiscal year.
Its revenue for the quarter under review was also up 31.9 percent at Rs 4,380.39 crore, as compared to the year-ago period. The surge in revenue and profit was mainly attributed to the increased order acquisitions recorded in the fiscal year 2022-23.
(Edited by : C H Unnikrishnan)
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