BGRs revenue fell 24% in Q4FY14 to R810 crore driven by execution of low-margin NTPC orders. Ebitda fell 38% as ebitda margin plummeted 250 bps to 10.5% due to higher revenue share of NTPC orders in the quarter. PAT at R19.1 crore dipped 65% on weak operating performance. Further, there is no progress on its proposed BTG plant.
Order backlog at R1,150 crore provides visibility for over two years with NTPC forming ~56% of the total order book; balance are from BoP (30%) and EPC (4%) projects. BGR has broadly completed Jhalawar and TRNs EPC projects with Iraqs Nazeria making up for a large part of the EPC backlog. Also, Krishnapatnam and Odisha projects make up a larger part of the BoP backlog. Order intake was sedate during the quarter due to few low-value orders in the product business. Incrementally, BGR is planning to sharpen focus on BoP project orders and remain selective in accepting EPC orders.