NCC's third-quarter revenue was lower on a year-on-year basis. Margins have improved but are still down sequentially.

YD Murthy, Executive Vice President-Finance of NCC spoke to CNBC-TV18 to talk about its Q3 performance.

“Topline is down in all the first three quarters mainly because of pandemic and slow down of the economy. But if you see the sequential growth, we have reported 30 percent topline growth and 240 percent bottom-line growth in the second quarter. Likewise in the third quarter, we have reported about 24 percent topline growth compared to the second quarter, likewise profit also has grown.”

“Q4 is going to be far better than Q3. We are very confident about that, and we are likely to end the year with a topline of about Rs 7,400-7,500 crore.”

While giving guidance, he said, “As far as margins are concerned at a gross margin level we already reported shrinkage of about half a percent, but we were able to maintain EBITDA and that is likely to continue in the fourth quarter also. As far as FY21 is concerned we are confident of reporting EBITDA margins of 11.50-12 percent.”

“Growth in FY22 is concerned. We are working on our business plan and my personal feeling is growth in FY22 should be at least 30-35 percent more than what it is in FY21.”

On order book, Murthy said, “Order accretion has been pretty strong in the current year. In the first nine months, we had about Rs 19,000 crore of fresh orders. In January also, we bagged another 1,200. The order book at this point is about Rs 40,000 crore.”

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(Edited by : Anshul)

First Published:Feb 17, 2021 10:54 AM IST