Shares of Dilip Buildcon Ltd fell 3.5% on 13th February after touching the day’s high of Rs 450, despite the company announcing that it has received a Letter of Award (LoA) from the Petroleum and Natural Gas Regulatory Board (PNGRB) for an air turbine fuel (ATF) pipeline project worth Rs 124 crore in Gujarat.
In an exchange filing, Dilip Buildcon said it has been selected to lay, build, operate, or expand an ATF pipeline from Navgam, Gujarat, to Sardar Vallabhbhai Patel International Airport in Gujarat.
The project gives the company an exclusive licence from PNGRB for 25 years. Under this, Dilip Buildcon will develop the pipeline infrastructure, including financing, construction, and operations. It will also have the right to levy and collect tariffs for transporting ATF up to the designated delivery point.
The project will be executed through a special-purpose vehicle (SPV), in which the company will hold 100% of the equity. The engineering, procurement, and construction (EPC) work is expected to be completed within 24 months.
For the December quarter, net profit rose sharply to Rs 830 crore from Rs 115.3 crore a year ago. However, this includes a one-time exceptional gain of Rs 585 crore, which boosted overall profitability.
Revenue declined 17.5% year-over-year to Rs 2,138 crore from Rs 2,590 crore in the same quarter last year. EBITDA fell 20% to Rs 382 crore from Rs 467 crore, while EBITDA margin slipped to 17.9% from 18.4%.
At 12:39 PM, shares of Dilip Buildcon were trading 3.51% lower at Rs 437.50 on NSE.
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