Our Year-On-Year revenue on a standalone basis grew by 43% to
Rs. 1044.01 Crores the highest since inception. Our Profit afterTax also recorded a new high to reach Rs. 90.22 Crores growing by 40% over theprevious year's figure of
Rs. 64.34 Crores.
It is with great pleasure that I present the Annual Report of yourCompany for the financial year 2018-19. I am incredibly proud to share that steered by ourexpertise and competence and above all the passion of our people we achievedoutstanding results while maintaining our solid reputation for project excellence.
From strength to strength
Our financial performance features prominently among last year'saccomplishments. Our Year-On-Year revenue on a standalone basis grew by
Our Company in numbers
Years of experience
Rs. 2978 Crores
Work on Hand as on March 31 2019
43% to Rs. 1044.01 Crores the highest since inception. Our Profitafter Tax also recorded a new high to reach Rs. 90.22 Crores growing by 40% over theprevious year's figure of Rs. 64.34 Crores. We entered the new financial year withthe highest-ever work-in-hand position of approximately
Rs. 2978 Crores up from Rs. 2559 Crores on the corresponding date ofthe previous year. This robust revenue base provides strong visibility of future earnings.Further our order book is concentrated towards industrial and institutional projectsareas that are our strongest businesses.
Our operational achievements have been impressive as well. We completedseveral marquee projects delivering them on time and ensuring the highest quality ofwork attributes that have become the hallmark of our Company. We added a leading Indianmultinational to our clientele and also secured repeat orders from it within the samefinancial year. Today our marquee client profile and the loyal relationships we havebuilt as demonstrated by a high share of repeat orders endorse the superior value webring to our projects. The year also marked our foray into Maharashtra by securing anaffordable housing project a segment with massive potential underpinned by theGovernment's focused agenda to provide housing for all.
For the Surat Diamond Bourse Project our biggest project till date weare progressing as per schedule. Our disciplined and diligent approach towards SDB projectexecution has enabled us to manage the working capital requirements from the initialmobilization advance and timely payments from our clients. When we hit the peak of projectexecution in 2019-20 it may stretch our working capital cycle due to the requirement ofhigher inventory levels; however we are confident of returning to prior levels postcompletion of the peak stage.
Strategically focused operationally diverse
As a strategic decision we are geared towards our core markets and areselective in the projects that we undertake with the aim to better manage workingcapital generate strong returns and maintain a robust balance sheet.
While our strategy is focused we have developed a comprehensivebreadth and depth of capabilities. From design to mechanical engineering and plumbing(MEP); construction to interiors and operation & maintenance the services PSPProjects provides can address all aspects of the infrastructure life cycle. We have alsomade strategic investments in state-of-the-art IT systems to ensure efficient projectmanagement and add value to every stage of the project through better controls andcompliance. Our extensive offerings enable us to serve our customers in more ways move upthe value chain and expand our relationships with them by integrating multiple services.
Values and culture
Over the last year I continued my regular visits to our project sitesand meeting our workforce at these locations. While the equipment process flow andtechnology edge that we bring to these projects never fail to impress me what fills mewith greater confidence for our continued success is the passionate commitment of ourpeople to deliver projects benchmarked to the highest quality standards and ensuretimeline certainty. I firmly believe that the edifices we have built are the most genuinetest to gauge our performance. The pride we take in ensuring construction excellence arefounded on our values of responsibility integrity and collaboration. I would like toextend my appreciation to our employees and management for their strong work ethic anddedication over the past year.
At PSP Projects we firmly believe we can only execute for our clientswhen our people are safe both on the job and at home. Safety is thus a top imperative andis supported by the training processes and systems that we continue to reinforce everyday. During the year we also continued to pursue various initiatives to improve thequality of lives of our site workers and their families.
Well-positioned in a growing market
Our core markets and segments offer prolific prospects for futuregrowth. In Gujarat where we have built a solid reputation there are vast opportunitiesdriven by the state's next phase of industrialization. New projects are expected tocome up around the prestigious Gujarat International Finance Tec-City (GIFT) in Ahmedabad.We have already executed several projects with finesse in this business district alsoIndia's first operational smart city. The completion of the SDB project willmassively enhance our prequalification parameters enabling us to bid for larger and morecomplex projects. Additionally Dream City Surat a smart city which houses the SDB isexpected to witness robust rollout of new infrastructure projects to ensure top facilitiesfor housing commercial hospitality and recreation among others. The national agenda of100 Smart Cities project is expected to gain momentum as the Government intensifies itsfocus on transforming the urban landscape. It is also anticipated that infrastructureinvestments will be made in our core markets by the industrial and institutional sectorssupported by fiscal stimulus. To summarize with our capabilities aligned with projectsthat are expected to see increasing opportunities we are confident about the futureoutlook for your Company.
On a parting note
The deep passion we nurture for building along with our provenpotential will continue to present us with a solid pipeline of promising opportunities.We understand the importance to all stakeholders of attracting retaining and developingthe best talent to lead the Company forward. Driven by the strengths of our people and ourdiverse capabilities we will continue to scale our business further. To our shareholdersand clients thank you for being part of our endeavors and for investing your trust andconfidence in PSP Projects.
|P. S. Patel |
|Chairman Managing Director & CEO |