J Kumar Infra aims to improve margins to 15-16% over next year

Kamal Gupta, Managing Director of Mumbai-based J Kumar Infraprojects aims to improve profit margins to 15-16% within the next six quarters. The company's operating margin improved by 18% to ₹179 crore taking margin to 14.7% in the third quarter from 14.2% in the previous year.

"We are aiming for further margin enhancement over the next six quarters. Initially, our margin target was set at 14 to 15%, but now we are eyeing 15 to 16% of EBITDA (earnings before interest, tax, depreciation, and amortisation) margin within the specified timeframe," he said.

Gupta said for FY24, the orderbook is projected to range between ₹17,000-18,000 crore, surpassing the earlier estimate of ₹15,000-16,000 crore.

“We have already secured ₹8,000 crore of project in this year and we are L1 in another ₹3,000 crore of project. So which should get converted to order in this fourth quarter (Q4) of FY24,” he said.

The market capitalisation of J Kumar Infraprojects is ₹4,966  crore and its industry peers include Ashoka Buildcon, and HG Infra Engineering. The company's stock has gained nearly 144% over the past year.