Capacit'e Infraprojects Limited — Earnings Release 2020

Feb 10, 2020

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Ref : CIL/STEX 33/Q3FY20 Date : February 10, 2020

To

The Secretary, The Secretary, BSE Limited National Stock Exchange of India Limited Corporate relation Dept, Plot No. C/1, G Block, P.J. Towers, Bandra Kurla Complex Dalal Street, Fort, Bandra (East) Mumbai-400 001 Mumbai-400 051 Scrip Code – /Scrip Id: 540710/CAPACITE Scrip Symbol: CAPACITE

Subject: Press Release in connection with Un-audited Standalone and Consolidated Financial Results for the quarter and nine months ended December 31, 2019

Dear Sir/ Madam,

Please find enclosed herewith the copy of Press Release in connection with the Statement of Unaudited Standalone and Consolidated Financial Results for the quarter and nine months ended December 31, 2019.

Thanking you,

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Investor Release

For Immediate Release

Q3 & 9M FY20 Standalone performance

Total Income ₹ 1,241 Crores, down by 6.2% YoY

EBITDA ₹ 229 Crores, up by 6.2% YoY; Margin at 18.4% PAT ₹ 87 Crores, up by 25% YoY; Margin at 7.0%

Cash PAT ₹ 163 Crores

Total collections ~₹ 591 Crores

Private Sector Order Book at ₹ 5,469 Crores; Public Sector Order Book at ₹ 5,351 Crores

Mumbai, February 10[th] , 2020: Capacit'e Infraprojects Limited (“Company”), a EPC company focused on High Rises & Super High Rises and providing end to end services for residential, commercial and Institutional building to both Private as well as Public sector, with presence in Mumbai Metropolitan Region (MMR), Pune, Chennai, National Capital Region (NCR), Kochi, Hyderabad and Bengaluru today announced its Unaudited Financial results for the quarter and nine months ended December 31[st] , 2019.

Key Standalone Financial Highlights are as follows:

Particulars (₹ In Crs)	Q3 FY20	Q3 FY19	Y-o-Y	9M FY20	9M FY19	Y-o-Y
Total Income	409.8	460.7	-11.0%	1241.3	1324	-6.2%
EBITDA	77.1	73.1	5.5%	228.9	215.5	6.2%
EBITDA Margin (%)	18.8%	15.9%		18.4%	16.3%
Profit Before Tax (PBT)	31.1	39.4	-20.9%	98.7	110.4	-10.6%
PBT Margin (%)	7.6%	8.6%		8.0%	8.3%
Profit After Tax (PAT)	23.5	23.9	-1.7%	87.1	69.6	25.0%
PAT Margin (%)	5.7%	5.2%		7.0%	5.3%
Cash PAT*	55.4	46.0	20.3%	163.1	139.9	16.6%
Cash PAT Margin	13.5%	10.0%		13.1%	10.6%

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Standalone Performance highlights for Q3 & 9M FY20:

EBITDA for 9M FY20 grew by 6.2% to ₹ 228.9 Crores as compared to ₹ 215.5 Crores in 9M FY19. EBITDA for Q3 FY20 was ₹ 77.1 Crores as compared to ₹ 73.1 Crores in Q3 FY19, showing a growth of 5.5%. EBITDA margin for 9M FY20 was at 18.4% vis-à-vis 16.3% in 9M FY19 and for Q3 FY20 is at 18.8% v/s 15.9% in Q3 FY19.

Depreciation and amortisation expense for 9M FY20 stood at ₹ 84.1 Crores as compared to ₹ 64.4 Crores in 9M FY19. Depreciation for the quarter and nine months ended December 31, 2019 reflect changes on account of adoption of Ind AS 116 and hence not comparable with previous period, the impact is ₹ 15.9 Crores

The Capex spends towards Core Assets in 9M FY20 stood at ₹ 70.5 Crores.

PAT for 9M FY20 grew by 25.0% to ₹ 87.1 Crores as compared to ₹ 69.6 Crores in 9M FY19. PAT for Q3 FY20 was ₹ 23.5 Crores as compared to ₹ 23.9 Crores in Q3 FY19, degrowing by 1.7%. PAT Margin for 9M FY20 stands at 7.0% v/s 5.3% in 9M FY19 and for Q3 FY20 at 5.7% vis-à-vis 5.2% in Q3 FY19. Tax expense for the quarter and nine months ended December 31, 2019 reflect changes made vide Taxation Laws Amendments Ordinance 2019 as applicable to the Company.

Diluted EPS for 9M FY20 stood at ₹ 12.83 per equity share.

Cash PAT for 9M FY20 was ₹ 163.1 Crores as compared to ₹ 139.9 Crores during 9M FY19, growing by 16.6%. Cash PAT for Q3 FY20 grew by 20.3% at ₹ 55.4 Crores, whereas it was ₹ 46.0 Crores during Q3 FY19.

Our Net Debt/Equity ratio at the end of December 31, 2019 stood at 0.0 x. The cash & bank balance stood at ₹ 281.4 Crores as at the end of December 31, 2019.

Total collections during 9M FY20 is ~₹ 591 Crores.

The Net Working Capital Days during 9M FY20 stand at 70 days vis-à-vis 68 days in H1FY20

Our Total Orderbook (Private + Public) excluding MHADA as on December 31, 2019 stood at ~ ₹ 10,820 Crores . Residential segment constitutes ~34% of the orderbook, Commercial & Institutional segment constitutes ~14% and Mixed-Use segment constitutes 52%.

Our Orderbook from the Public sector (included in the above) as at the end of December 31, 2019 stood at ~ ₹ 5,351 Crores i.e. ~49% of the total order book.

Projects under mobilization stand at ~ ₹ 5,000 Crores.

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On the performance Mr. Rohit Katyal, Executive Director & CFO commented , “Given the challenging economic environment currently faced by the economy, our year to date performance during the fiscal year 2020 is satisfying. We are continuously evaluating the financial position and tie ups of our clientele and as a policy we will not shy away from suspending work, wherever we foresee cashflows being a challenge. Based on this policy, our top line witnessed marginal decline as we intentionally tapered down execution at certain projects. Despite this we were able to maintain a healthy margin profile as is visible in our EBITDA, PAT & Cash PAT margins. Further our focused approach towards collections has enabled us to keep our working capital days under control at 70 days, a marginal increase from 68 days in H1FY20. As on December 31, 2019, we have become debt free on a net basis, this is a huge positive considering the prevailing liquidity scenario.

Majority of our projects are on track and we plan to bring down the number of sites to ~40 by the end of current fiscal, as we continue to handover various projects as per agreed schedule. Our strong clientele and efficient management of resources enables us to navigate during such difficult times as being currently witnessed.

Our order book today comprises of the most elite names in the industry representing both, the Public & Private sector, with strong financial backing. Further, the Indian real estate is witnessing increased investments by global private equity players where nearly 66% of the total fund inflow happened in the commercial segment. A point to note here is that, the residential segment saw an uptick in investments in 2019 as against the preceding year. MMR remained the most preferred investment destination followed by NCR, which witnessed a 19% year-on-year jump in PE inflows during 2019.

With committed inflows coming into the sector we foresee huge opportunities lying ahead with the rising market share of Branded private Sector developers, resulting into repeat orders from existing clients, increasing investments in the commercial, institutional and healthcare segments and likewise opportunities available in the Public Sector arising from Government schemes such as the Pradhan Mantri Awas Yojana (PMAY), health and educational spend. The National Infra Pipeline (NIP) will also throw open various opportunities for the company.

With a healthy order book and strong bid pipeline, we remain confident of continuing our strong performance in the foreseeable future.”

About Capacit'e Infraprojects Limited

Capacit'e Infraprojects Limited (Capacit'e/the Company) has etched a name for itself as a quality contractor in the buildings space. Today, it is working with almost all major real estate developers in the country. Capacit'e has been rapidly emerging as a marquee contractor in the building space with good repute. The Company’s sharp focus on the single segment of buildings, with an emphasis on technology,

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a robust asset base and the promoters’ rich experience in the EPC space have enabled it to scale up quickly in the building space and become a well-respected player. Capacit'e provides end-to-end construction services for High Rise and Super High-Rise Buildings, Townships, Mass Housing, etc. in the residential space, Office Complexes, IT & ITES Parks in the commercial space and Hospitality, Healthcare Facilities, Industrial Buildings, MLCPs in the institutional space.

For more information please visit www.capacite.in

Safe Harbor Statement

Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential project characteristics, project potential and target dates for project related issues are forwardlooking statements based on estimates and the anticipated effects of future events on current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements. The company assumes no obligation to update forward-looking statements to reflect actual results changed assumptions or other factors.

Company	Investor Relations Advisors
Capacit'e Infraprojects Limited CIN No:L45400MH2012PLC234318 Name: Mr. Alok Mehrotra Designation – President, Corporate Finance Email id:ir@capacite.in	Strategic Growth Advisors Pvt Ltd. CIN No: U74140MH2010PTC204285 Mr. Shogun Jain / Mr. Pratik R. Shah Email id:shogun.jain@sgapl.net /pratik.shah@sgapl.net Tel No: +91 77383 77756 / +91 97692 60769

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