Sir if we look at promoter pledge, then almost 97 percent holding is Pledged in gayatri. So that’s the main point of consideration. Prima facie observation of mine, didn’t look in detail.
@chintri these pledges are for business loans, so not that worrisome. There will be no margin call or distress selling
All pledges (or atleast 99.99% of all) are for business loans. No one pledges his shares to do personal expense.
The pledge in itself is not the problem as long as they are able to have enough cash flow to cover interest payment.
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8da2b535-605e-4127-8336-8855afcd7de6.pdf (169.3 KB)
Great results posted by PNC in for the year and quarter ended March, 2021.
Please note the results were better than last year if you deduct the one-time arbitration award of 109 crores from the EBITDA, and 109cr + 36cr from the PAT.
Deducting the arbitration award the consolidated results is as follows:
FY20 FY21 %change
|Revenue- 5493cr | 5787cr | +5%
|EBITDA- 1218cr | 1418cr | +15.17%
|PAT- 405cr | 497cr | +20.40%
With revenue visibility of three years, the company is poised to generate more revenues along with higher profits.
Invested & will add more if the price drops from these levels.
Road construction in km per day touched new heights despite Covid. Now bank funding to road sector has increased sharply. Outlook for the sector looks positive, maybe weak Q1 results due to 2nd wave led disruption could mean an opportunity.
Source: No Stopping, Express way ahead...
PNC has received a bonus of Rs 82.68 crores (.04% of the contract price) from the UP govt for early completion of the Prvanchal Expressway from Sansarpur to Gobindpur.
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IDirect_PNC_Q1FY23.pdf (509.7 KB)
Any trackers on this one?
The recent bribery event of 10 lacs seems like a small amount for such a huge company. Just worried if MORTH or NHAI could debar the company for 1-2 months from participating in any recently floated tenders, or fine them a marginal penalty instead.
Disc: Invested
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Your fears have come true. Except the bank by MoRTH is for a year and not a few months.
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What happens to this stock with this ban?
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Sadly, yes. 10 lakhs worth of a bribe, and its gonna cost the company, and its investors crores. But, the silver lining of this whole thing is they can still bid in state orders, and win those at the cost of lower margins. The NHAI/MORTH ordering is quite slow anyway. The only way out of this is to diversify.
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maybe if the court gives a clean chit, the ban could be overturned by moRTH? could that be a possibility?
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The employees who were in captive were released a few weeks ago, so the court matter is presumably over, as it seems they were guilty. Now, PNC’s recent update has said it has violated MORTH terms and conditions, so any clean chit wouldn’t matter. As far as I can remember, Dilip Buildcon went through a similar disqualification in 2020 after one of their bridges fell.
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