IRB Infra in the green

IRB Infra is nicely tucked into the green lounge of the bourses today. Opening some Rs.4 higher, the stock went up almost 4% to Rs.256.40 and is currently at Rs.255 levels. Volumes are at 65,000 shares compared to 1.8 lakh shares traded over two-week average.

The market is enthused with the Q4FY15 performance of the company, posting a consolidated net profit of Rs.138 crore, up 27% (YoY) on a 12% rise in total income at Rs.990 crore. EBITDA came in at Rs.571 crore, up 29% while margins spurted up sharply from 50.1% to 57.6%.

The company, meanwhile stated in another update that it has received directions from the Govt of Maharashtra to stop Toll Collection on (1) Mohol - Mandrup - Kamtee BOT Project and (2) Nagar -Karmala-Tembhurni BOT Project with effect from midnight of May 31, 2015. It will also exempt cars and MSRTC buses from paying toll on Thane - Ghodbunder BOT Project. The company has stated these three BOT Projects cumulatively contribute less than 3% of the consolidated Toll revenues.

Going ahead, there are media reports that Government has been considering closure of 12 toll plazas in the state while exempting private light motor vehicles and buses of the state transport corporation at 53 toll plazas from June 1. Hence, the Company will be complying with these directives of the Government. However the Company will also contemplate various options to protect its interests with regard to these Projects.