>RELIANCE INFRASTRUCTURE LIMITED (EDELWEISS)

RIL is present across the entire power chain – generation, transmission and distribution. Further, it also has a presence in EPC (engineering, procurement and construction) projects for the power sector and in Infrastructure projects (Metros, Roads and Real Estate). Reliance Infrastructure Ltd (RIL) recently came out with its Q2FY10 results.

For Q2FY10, RIL reported net income of Rs. 2,649.9 cr, 7.1% higher y-o-y and 8.3% higher q-o-q on the back an increase in EPC activity. The electrical energy segment degrew by 17.8% y-o-y (due to lower cost of electricity and cost of fuel) while the EPC segment recorded growth of 113.9% y-o-y. Operating margins expanded by 60 bps y-o-y to 11.8% in Q2FY10. Other income fell by 19% y-o-y as the company used surplus cash to pay back debt. Tax reversal of Rs. 42.5 cr during the quarter helped boost bottomline. RIL reported a PAT of Rs. 306.9 cr, up 6.2% y-o-y and down 3.1% q-o-q (mainly due to lower other income). On standalone basis, the net worth of the company stood at Rs. 13,464 cr and book value per share at Rs 598 as on 30 Sept, 09. At the CMP of Rs. 1089.30, RIL is trading at 1.8x its standalone book value.

To read the full report: RELIANCE INFRASTRUCTURE