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Last Updated on: 24 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of GVK Power & Infrastructure Ltd

About the Company - GVK Power & Infrastructure Ltd

GVK Power & Infrastructure Ltd. is a Public Limited Listed company incorporated on 20/04/2005 and has its registered office in the State of Andhra Pradesh, India. Company’s Corporate Identification Number(CIN) is L74999TG2005PLC059013 and registration number is 059013. Currently Company is involved in the business activities of Roads, railways, Utility projects. Company’s Total Operating Revenue is Rs. 10.00 Cr. and Equity Capital is Rs. 157.92 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Power - Generation/DistributionDarshak Chambers, Plot No:32, Ground floor House No:1-8-303/48/32, Secunderabad Telangana 500003cs.gvkpil@gvk.com
http://www.gvk.com
Management
NamePosition Held
Dr. G V K ReddyChairman
Mr. G V Sanjay ReddyVice Chairman
Mr. A Issac GeorgeWholeTime Director & CFO
Mr. P V Prasanna ReddyWhole Time Director
Mr. Ilyas Ghulam Hussain GhouseIndependent Director
Ms. Rama RaoIndependent Woman Director
Mr. N Anil Kumar ReddyIndependent Director
Mr. Anumolu RajasekharIndependent Director

GVK Power & Infrastructure Ltd. Share Price Update

Share PriceValue
Today₹14.55
Previous Day₹15.31

Basic Stock Data of GVK Power & Infrastructure Ltd

Market Cap 2,021 Cr.
Current Price 12.8
High / Low17.0/1.98
Stock P/E23.7
Book Value 6.14
Dividend Yield0.00 %
ROCE14.1 %
ROE%
Face Value 1.00

Data Source: screener.in

Competitors of GVK Power & Infrastructure Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Reliance Power Ltd 9,833 Cr. 25.833.2/9.05 34.30.00 %3.42 %11.8 % 10.0
Adani Power Ltd 2,13,674 Cr. 554589/1329.17 1050.00 %15.8 %44.8 % 10.0
Orient Green Power Company Ltd 2,344 Cr. 23.934.6/7.0980.5 8.520.00 %7.19 %1.82 % 10.0
Adani Green Energy Ltd 3,07,302 Cr. 1,9401,992/439187 50.10.00 %7.81 %22.8 % 10.0
Tata Power Company Ltd 1,21,135 Cr. 379413/18235.4 94.30.53 %11.7 %12.6 % 1.00
Industry Average3.4 Cr196.7462.4158.440.11%9.18%18.76%8.2

GVK Power & Infrastructure Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales839391719095602615995325186497380
Expenses263712088212728392294322108804732
Operating Profit-18022-117-11-3667210321672217106450348
OPM %-218%24%-129%-15%-40%71%35%52%68%67%57%90%92%
Other Income145222,504226303-189183,455181516
Interest807371434040297391390166127133135
Depreciation1113221215169312512882655758
Profit before tax-257-59-208-632,412237122-3841723,423-68275171
Tax %-6%-20%-3%-19%1%7%21%-4%10%1%-25%-0%9%
Net Profit-273-71-214-752,39522096-4001543,402-85275156
EPS in Rs-1.21-0.48-1.32-0.1415.171.390.33-2.26-0.0718.00-0.230.750.39

GVK Power & Infrastructure Ltd Quarterly Chart

GVK Power & Infrastructure Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2,4522,5822,8093,0443,2073,5163,8634,0983573108582,1201,388
Expenses1,7581,8991,8032,2292,2542,5012,8762,3921,464873566805268
Operating Profit6946831,0068159531,0169881,707-1,107-5632921,3161,120
OPM %28%26%36%27%30%29%26%42%-310%-181%34%62%81%
Other Income89136121877292571,00429072222,9743,3013,504
Interest4677469651,4741,6511,8901,6431,5134023054211,074561
Depreciation2493514387065496697257926052136400261
Profit before tax67-278-276-1,278-518-1,286-376-307-1,496-8982,7093,1433,802
Tax %102%-46%-52%9%-15%-4%-43%1%-3%-4%3%2%
Net Profit105-356-393-1,136-687-1,344-537-304-1,545-9372,6363,0713,749
EPS in Rs0.39-2.13-2.49-5.29-4.35-8.25-3.56-2.30-9.46-4.8416.7515.4418.91
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

GVK Power & Infrastructure Ltd Profit & Loss Yearly Chart

GVK Power & Infrastructure Ltd Growth

Compounded Sales Growth
10 Years:-2%
5 Years:-11%
3 Years:81%
TTM:-40%
Compounded Profit Growth
10 Years:7%
5 Years:15%
3 Years:26%
TTM:222%
Stock Price CAGR
10 Years:5%
5 Years:23%
3 Years:76%
1 Year:457%
Return on Equity
10 Years:%
5 Years:%
3 Years:%
Last Year:%

GVK Power & Infrastructure Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital158158158158158158158158158158158158158
Reserves3,4882,9872,6201,781843-455-999-1,361-2,855-3,618-3,997-1,309-1,128
Borrowings14,25718,56422,46424,87416,64415,81114,62513,95513,2173,50110,5235,8645,806
Other Liabilities4,9716,1776,7826,0404,6504,9936,3668,9769,91419,9404,8872,9763,349
Total Liabilities22,87427,88632,02432,85222,29520,50720,15021,72820,43419,98111,5707,6898,185
Fixed Assets7,0757,31511,86611,48414,43314,16413,98614,41712,4263877,3263,8613,748
CWIP9,63313,73110,50112,5041,4461,4261,6022,8063,939571001
Investments2,1322,2542,1942,0623,7441,757789893159211,3751,5011,441
Other Assets4,0344,5857,4636,8012,6723,1603,7733,6123,91019,0022,8702,3262,995
Total Assets22,87427,88632,02432,85222,29520,50720,15021,72820,43419,98111,5707,6898,185

GVK Power & Infrastructure Ltd Reserves and Borrowings Chart

GVK Power & Infrastructure Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 7179841,2331,2941,6431,4332,4831,2493473773431,620
Cash from Investing Activity -5,161-3,218-2,894-1,110-1,490897-8-782-146115282-187
Cash from Financing Activity 4,9212,9131,562-252-569-2,172-2,431-1,052-312-221-535-1,484
Net Cash Flow477680-98-68-41715943-585-11127190-51

GVK Power & Infrastructure Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days554862385146403741221998
Inventory Days
Days Payable
Cash Conversion Cycle554862385146403741221998
Working Capital Days-119-395-210-436-222-386-227-207-4,914-106-1,256-103
ROCE %3%2%3%1%4%3%3%8%-8%-8%4%14%

GVK Power & Infrastructure Ltd Financial Efficiency Indicators Chart

GVK Power & Infrastructure Ltd Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters54.25%54.25%54.25%54.25%54.25%54.25%54.25%54.25%54.25%54.25%54.25%54.25%
FIIs0.27%0.27%0.27%0.27%0.27%0.27%0.28%0.28%0.30%0.30%0.36%0.52%
DIIs0.58%0.55%0.03%0.03%0.03%0.03%0.52%0.52%0.48%0.48%0.48%0.48%
Government0.40%0.40%0.40%0.40%0.40%0.40%0.00%0.00%0.00%0.00%0.00%0.00%
Public44.50%44.53%45.05%45.05%45.05%45.05%44.94%44.94%44.96%44.95%44.89%44.73%
No. of Shareholders2,75,8662,73,2402,72,2282,72,1572,72,0952,72,0362,78,1202,79,4292,82,4562,88,8713,14,1073,49,231

GVK Power & Infrastructure Ltd Shareholding Pattern Chart

No. of GVK Power & Infrastructure Ltd Shareholders

This stock is not held by any mutual fund

GVK Power & Infrastructure Ltd ROCE Trend

GVK Power & Infrastructure Ltd EPS Trend

GVK Power & Infrastructure Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)15.0016.75-4.84-9.46-2.30
Diluted EPS (Rs.)15.0016.75-4.84-9.46-2.30
Cash EPS (Rs.)21.9917.56-5.60-9.402.92
Book Value[Excl.RevalReserv]/Share (Rs.)2.87-19.49-6.77-0.847.89
Book Value[Incl.RevalReserv]/Share (Rs.)2.87-19.49-6.77-0.847.89
Revenue From Operations / Share (Rs.)13.435.431.972.2626.47
PBDIT / Share (Rs.)8.722.040.67-3.5612.48
PBIT / Share (Rs.)6.191.180.34-3.947.47
PBT / Share (Rs.)19.921.71-1.59-6.48-2.11
Net Profit / Share (Rs.)19.4616.69-5.93-9.78-2.09
NP After MI And SOA / Share (Rs.)15.4416.75-4.84-9.46-2.30
PBDIT Margin (%)64.9237.5834.36-157.5847.16
PBIT Margin (%)46.0721.7117.55-174.3228.22
PBT Margin (%)148.3331.39-80.81-286.80-7.96
Net Profit Margin (%)144.94307.14-301.93-432.68-7.89
NP After MI And SOA Margin (%)115.02308.22-246.27-418.31-8.69
Return on Networth / Equity (%)-211.83-68.890.000.000.00
Return on Capital Employeed (%)26.7539.90-5.87-4.997.53
Return On Assets (%)31.7122.86-3.82-7.28-1.66
Long Term Debt / Equity (X)-2.67-0.91-0.02-2.82-7.75
Total Debt / Equity (X)-5.09-2.74-0.28-3.36-9.34
Current Ratio (X)0.640.270.830.260.41
Quick Ratio (X)0.630.260.830.260.41
Interest Coverage Ratio (X)1.280.760.34-1.401.30
Interest Coverage Ratio (Post Tax) (X)0.840.270.05-1.670.78
Enterprise Value (Cr.)7285.2911157.723571.6411766.0114456.12
EV / Net Operating Revenue (X)3.4413.0011.5132.963.46
EV / EBITDA (X)5.2934.5933.49-20.917.33
MarketCap / Net Operating Revenue (X)0.150.501.030.980.29
Price / BV (X)-0.28-0.11-0.09-0.12-1.01
Price / Net Operating Revenue (X)0.150.501.030.980.29
EarningsYield7.466.16-2.40-4.26-0.29

GVK Power & Infrastructure Ltd Profitability Ratios (%)

GVK Power & Infrastructure Ltd Liquidity Ratios

GVK Power & Infrastructure Ltd Liquidity Ratios (%)

GVK Power & Infrastructure Ltd Interest Coverage Ratios (%)

GVK Power & Infrastructure Ltd Valuation Ratios

Fair Value of GVK Power & Infrastructure Ltd Stock

Fair Value: ₹22.26

The stock is undervalued by 73.94% compared to the current price ₹12.8

*Investments are subject to market risks

Strength and Weakness of GVK Power & Infrastructure Ltd Stock

StrengthWeakness
  1. The stock has a low average Working Capital Days of -201.33, which is a positive sign.
  1. The stock is trading at a high valuation with an average P/B ratio of 2.25 and average Dividend Yield of -12.15%.
  2. The stock has a low average ROCE of 2.42%, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 83.17, which may not be favorable.
  4. The company has higher borrowings (13,854.23) compared to reserves (-307.92), which may suggest financial risk.
  5. The company has not shown consistent growth in sales (119.23) and profit (-198.54).

Should I Buy GVK Power & Infrastructure Ltd Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in GVK Power & Infrastructure Ltd:
    1. Net Profit Margin: 144.94%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 26.75% (Industry Average ROCE: 8.13%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. Interest Coverage Ratio (Post Tax): 0.84
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    4. Quick Ratio: 0.63
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    5. ✓ Stock P/E: 23.7 (Industry average Stock P/E: 92.24)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    6. ✓ Total Debt / Equity: -5.09
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis suggests exercising caution. It's advisable to conduct further research or consult with financial experts before considering any investment.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in GVK Power & Infrastructure Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE