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📊 Company Update on Engineers India Limited (EIL) #EIL #Q2FY24 #FinanceReport
Financial Performance: EIL's turnover for Q2 ending Sep 2023 was INR 777 cr, a slight dip from INR 808 cr in Q1 FY23-24. Half-year turnover stood at INR 1586 cr. Notable increases in profit before tax (68%) and after tax (59%) compared to last year.
Important Q&A
Margins & Revenue Adjustments: Post-liquidity damage settlement, margins for the turnkey segment at approx. 1.3%. #Margins
Order Pipeline: EIL continues focusing on oil & gas, petrochemicals, refinery, mining, and infrastructure sectors.
International Initiatives: Expanding into global markets, EIL has made strides in Guyana, Algeria, and continues efforts in Nigeria, South America, and other African countries.
Non-Oil and Gas Initiatives: EIL is actively engaged in green hydrogen projects and has signed an MOA with NTBC for green initiatives and energy transition projects.
Growth Prospects: EIL anticipates a 10% increase in turnover and net profit, signalling growth after a period of stability.
Investment Plans: Significant investments include the Ramagundam fertilizer project and Numaligarh refinery. No new major projects are planned.
Opportunity Size: EIL is bidding for projects in the range of INR 30k to 40k cr across various sectors.
Margins in New Sectors: While exploring green hydrogen and other sectors, margins will depend on market competition, but profits are expected to be favourable.
🚩Risk Management in EIL Strategy #Risks #InvestmentRisks
Turnkey Segment Margin Variability: Quarterly fluctuating margins in the turnkey segment, generally between 2-3%, with ongoing efforts to improve.
Investment in Specific Projects: EIL's focus on a few large projects could be risky if delays or issues arise.
Dependency on Large Projects: With significant engagements like the Nigeria fertilizer complex and Guyana power plant project, EIL's performance is heavily dependent on securing large projects
Critical Takeaways for EIL Investors #Investors #StockMarket #EIL
⚙️ Chart pattern looking very good on the weekly and daily chart
🔚That's a wrap on the latest EIL update! Follow me for more insightful updates on EIL, finance, and the stock market. #EIL #Finance #StockMarket
$NSE:ENGINERS
