PNC Infratech Ltd
NSE:PNCINFRA
| US |
|
Fubotv Inc
NYSE:FUBO
|
Media
|
| US |
|
Bank of America Corp
NYSE:BAC
|
Banking
|
| US |
|
Palantir Technologies Inc
NYSE:PLTR
|
Technology
|
| US |
C
|
C3.ai Inc
NYSE:AI
|
Technology
|
| US |
|
Uber Technologies Inc
NYSE:UBER
|
Road & Rail
|
| CN |
|
NIO Inc
NYSE:NIO
|
Automobiles
|
| US |
|
Fluor Corp
NYSE:FLR
|
Construction
|
| US |
|
Jacobs Engineering Group Inc
NYSE:J
|
Professional Services
|
| US |
|
TopBuild Corp
NYSE:BLD
|
Consumer products
|
| US |
|
Abbott Laboratories
NYSE:ABT
|
Health Care
|
| US |
|
Chevron Corp
NYSE:CVX
|
Energy
|
| US |
|
Occidental Petroleum Corp
NYSE:OXY
|
Energy
|
| US |
|
Matrix Service Co
NASDAQ:MTRX
|
Construction
|
| US |
|
Automatic Data Processing Inc
NASDAQ:ADP
|
Technology
|
| US |
|
Qualcomm Inc
NASDAQ:QCOM
|
Semiconductors
|
| US |
|
Ambarella Inc
NASDAQ:AMBA
|
Semiconductors
|
If you don’t study any companies, you have the same success buying stocks as you do in a poker game if you bet without looking at your cards.
Utilize notes to systematically review your investment decisions. By reflecting on past outcomes, you can discern effective strategies and identify those that underperformed. This continuous feedback loop enables you to adapt and refine your approach, optimizing for future success.
Each note serves as a learning point, offering insights into your decision-making processes. Over time, you'll accumulate a personalized database of knowledge, enhancing your ability to make informed decisions quickly and effectively.
With a comprehensive record of your investment history at your fingertips, you can compare current opportunities against past experiences. This not only bolsters your confidence but also ensures that each decision is grounded in a well-documented rationale.
Do you really want to delete this note?
This action cannot be undone.
| 52 Week Range |
287.75
559.3
|
| Price Target |
|
We'll email you a reminder when the closing price reaches INR.
Choose the stock you wish to monitor with a price alert.
|
|
Fubotv Inc
NYSE:FUBO
|
US |
|
|
Bank of America Corp
NYSE:BAC
|
US |
|
|
Palantir Technologies Inc
NYSE:PLTR
|
US |
|
C
|
C3.ai Inc
NYSE:AI
|
US |
|
|
Uber Technologies Inc
NYSE:UBER
|
US |
|
|
NIO Inc
NYSE:NIO
|
CN |
|
|
Fluor Corp
NYSE:FLR
|
US |
|
|
Jacobs Engineering Group Inc
NYSE:J
|
US |
|
|
TopBuild Corp
NYSE:BLD
|
US |
|
|
Abbott Laboratories
NYSE:ABT
|
US |
|
|
Chevron Corp
NYSE:CVX
|
US |
|
|
Occidental Petroleum Corp
NYSE:OXY
|
US |
|
|
Matrix Service Co
NASDAQ:MTRX
|
US |
|
|
Automatic Data Processing Inc
NASDAQ:ADP
|
US |
|
|
Qualcomm Inc
NASDAQ:QCOM
|
US |
|
|
Ambarella Inc
NASDAQ:AMBA
|
US |
This alert will be permanently deleted.
You don't have any saved screeners yet
Ladies and gentlemen, good day, and welcome to PNC Infratech Limited Q2 FY '23 Earnings Conference Call hosted by Spark Capital Advisors India Private Limited. [Operator Instructions] Please note that this conference is being recorded.
I now hand the conference over to Mr. Bharanidhar Vijayakumar from Spark Capital. Thank you, and over to you, sir.
Yes. Thank you. Good afternoon, everybody. Thanks for logging into the 2Q FY '23 Earnings Call of PNC Infratech. Representing PNC Infratech are Mr. Yogesh Kumar Jain, Managing Director; Mr. B. Sawhney, Chief Financial Officer; Mr. D. K. Maheshwari, Vice President, Finance.
Turning over the call to Mr. Yogesh Jain now for opening remarks. Over to you, sir.
A small request, please read out the standard disclaimer clause before our Managing Director will start the speech. Forward-looking statement -- so the disclaimer clause because we'll be making forward-looking statements in the speech.
Sure. Ladies and gentlemen, please note, this conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict.
With that, I hand over to the management for their opening remarks. Over to you, sir.
Good afternoon, and season greetings to everyone. On behalf of PNC Infratech Limited, I extend a very warm welcome to everyone for joining us today on this call. I have with me Mr. T. R. Rao, Director Infra; Dr. Bhupinder Sawhney, CFO; Mr. D. K. Maheshwari, Vice President, Finance and Strategic Growth Advisors and our Investor Relations Advisors. We have uploaded the financial results and investors presentation on the website of the stock exchange, as well as on our company's website for reference.
I will quickly highlight major development in the sector before sharing key happening in the company and financial performance during quarter 2 and H1 of financial year '23 with you. As per the Ministry of Transport and Highways, 3,559 kilometers length of National Highways built during the first quarter, first half of current financial year as compared to 3,824 kilometers built during the corresponding period previous year. Awarding of new project stood at 4,092 kilometers during the same period compared to 4,609 kilometers awarded during last year, reflecting 11% lesser awarding activity in H1 of financial year '23.
Government recently announced that MoRTH is planning to take over a greater number of State Highways, having high traffic volumes from respective state government for 25 years period to develop and upgrade them into either 4 or 6 lanes National Highway. The industry believes that this move would be highly beneficial to roads and highways sector as we hold and would greatly help us accelerating country's social economic growth as many of the state governments are not able to undertake major capital projects due to paucity of funds. As per weaker movement on highways witnessed a recent recovery during April to us this financial year, this coupled with sizable hike in user periods, owing to higher WPI real-estate and significant revenue growth during the period.
Now coming to the key update of the company. We achieved financial closure for 3 HAM projects, Kanpur-Lucknow Expressway package I & II and Akkalkot Karnataka project with an aggregate bid project cost of INR 4,501 crores, Historically, the company had maintained a healthy track record of achieving financial closures within a stability time, which reflect healthy financial portion of bank credibility.
Now I will share operational and financial performance of the company. At present, the company has a portfolio of 23 projects on PPP format, comprising BOT-Toll, BOT-Annuity, and HAM assets. Out of these 23 projects, we have 18 HAM projects with an aggregate bid project cost of INR 24,590 crores. Out of 18, company has achieved COD and PCOD for 5 projects, 6 are under construction agreement and limited for 7 projects and for 3 projects company has achieved financial closures. Out of remaining 5 PPP mandates, 3 are BOT-Toll and 2 are BOT-Annuity projects.
In terms of equity investment, the total requirement for all these 18 HAM project is around INR 2,390 crores, out of which received INR 1,109 crores in June till September 2022, and the balance will be increased over the next 2, 3 years. The internal accruals generated over the next 2, 3 years should be sufficient to fund the total equity investment.
Now moving on to our order book. Our unexecuted order book on 30th September, 2022 is over INR 19,000 crores that includes EPC value of all 7 HAM projects for which accounted dates are expected during the current financial year. Out of the total order book of INR 19,000 crores, the roads and highway sector is around 65% and water and irrigation project is around 35%.
In water supply projects, the company booked a total revenue of INR 348 crores till 30th September '22, which includes INR 108 crores revenues booked during the last financial year. Total revenues booked in first half of financial year '23 is INR 240 crores, we expect up to INR 760 crore more revenue from water supply space during the second half of financial year '23, which would get translated into INR 1,000 crore in -- during financial year '23.
As on 30th September '22, total value of DPR approved and cover agreements signed for technical execution of projects under Phase 1 and 2nd was INR 2,250 crores. It is expected that at the end of financial year '23, the total value of approved DPR for execution would be around INR 4,000 crores. As such, it is expected that net executable work would be around INR 3,000 crores at the beginning of financial year '24 and remaining DPR are expected to be approved during financial year '24.
Now I would present the standalone and consolidated results for the quarter and half yearly ended September 30, 2022. The standalone revenue of second quarter of financial year '23 is INR 1,561 crores. EBITDA for the second quarter is INR 207 crores, and the EBITDA margin is 13.3%. Profit for the second quarter of financial year '23 is INR 131 crores. Consol revenue of quarter 2 financial year '23 is INR 1,795 crores. The consol EBITDA for the second quarter of financial year '23 is INR 3,326 crores and the EBITDA margin is 18%.
The consol financials for quarter 2 financial year '23 is INR 132 crores. The standalone revenue H1 financial year '23 is INR 3,339 crores, which is higher by 16% as compared to INR 2,856 crores of H1 '22. The EBITDA for H1 '23 is INR 465 crores, which is higher by 17% as compared to INR 397 crore in H1 '22. The EBITDA margin for quarter 2 financial year '23 is 14%. The profit for H1 '23 is INR 298 crores as compared to INR 229 crore in H1 '22, a growth of 30% on year-to-year basis.
The consol revenue of H1 financial year '23 is INR 3,848 crores as compared to INR 3,250 crores in H1 '22 with a growth of 18%. The consol EBITDA for H1 financial year '23 is INR 845 crores, which grew by 16% as compared to INR 729 crores for the corresponding period last year. The EBITDA margin for H1 financial '23 is 22%. The console PAT for H1 financial year '23 is INR 373 crores as compared to INR 250 crores in H1 financial year '22, a growth of 48%.
As on 30th September '22, our net working cycle is 79 days. Our net worth on a standalone basis is INR 3,643 crores as on 30th September '22, whereas total standalone debt is INR 281 crores. As on 30th September '22, the total cash and bank balance as on 30th September '22 is INR 523 crores. We have a net cash of INR 242 crores, this translates to net debt to equity 0.8x. On a consol basis, our net worth is INR 3,986 crores, whereas total debt is INR 5,526 crore as on 1st September '22. The total cash and bank balance, including current investment is INR 1,191 crores. This translates to net debt to equity of 1.09x.
With this, now open -- the floor is open for questions and answers.
[Operator Instructions] The first question is from the line of Mohit Kumar from DAM Capital.
Congratulations on a good set of numbers. The first question is, the order inflow has been very tepid for -- not only for us, for the entire industry. And I think we had given a order inflow guidance of 90 billion to 100 billion. Do you think that it is possible in the H2, given everything?
See, as you know, the awarding process normally, historically, as you already know, awarding process by NHAI and MoRTH during the first half of the financial year has always been lower when compared to awarding activity in the second half of the financial year -- any given financial year. Similarly, this year also the first year last minute projects have been bid out and many of them even after bidding out, they have not opened financial bids and tendering and awarding has not started. So whatever target we had given for the financial year S3, it should be around INR 8,000 crores to INR 10,000 crores. We'll stick by that, and we expect to achieve the new business of this amount, before this end of the financial year and specifically in the second half of the current financial year.
And also as we have a 2 is to 1 kind of a highway and road sector -- highway sector and roads around 66 and 33 in the water sector projects. We also expect around INR 3,000 crores new projects in water sector and around INR 7,000 crores new project in the highway sector. We are pretty sure about getting this new business before end of the current financial year.
Sir, on the Water segment, the new order is entirely into JJM and entirely into Uttar Pradesh. Is this the opportunity you're talking about?
Yes. That will be one of the focus areas, because JJM, mainly water projects under JJM. And it should focusing area has been Uttar Pradesh and it could be some other areas. Yes, yes, Rajasthan and other state projects. But it is primarily from JJM.
Okay, understood. And sir, where are we in the process of monetization of our portfolio, have we moved ahead? Is there any -- are you -- can you please throw some color on that?
See, we are giving the highest priority to the monetization, as we shared with you earlier. Though we have total more than 23 projects, as our MD mentioned, as a fund-based project. We selected 8 projects for monetization. That includes HAM assets and 1 BOT-Toll and 1 BOT-Annuity project. So we had already retained a strategic adviser for running the process. The process has already begun. Out of the select -- 8 selected fund-based projects, the due diligence has already been commented by a potential investor for the 3 HAM projects, which is underway. And these 8 selected fund-based projects for monetization have a total debt of around INR 4,700 crores and a total equity of INR 940 crores. So we will update you on the progress as we move ahead. But still, we are giving the highest priority for the monetization, as we said earlier.
Our next question is from the line of Shravan Shah from Dolat Capital.
Sir, just to complete the last question. So by end of this year, we should be able to monetize?
Yes. We are expecting.
We are expecting at least execution of a definitive agreement for certain projects before end of the financial year.
Okay. And in terms of the equity investment, so INR 1,100 crores we invested. So what is left in this year and FY '24 and '25?
See, we have already included INR 1,109 crores in the HAM project and the balance required is INR 1,280 crore. And this year, in second half, we are expecting [ INR 750 crores ], in FY '24, around INR 250 crores, and FY '25 INR 350 crore.
Okay. Okay. Now in terms of the execution revenue guidance, so last time you said INR 7,200 crores, INR 7,300 crores revenue for this year, that is a 15%. So this first half, we have already done kind of INR 3,300 crores. And if I take the same number, so in the second half, we expect the same 15%, 16% growth. So is there any update or how this is able or we can do much higher?
Our guidance is same, actually this year we are expecting a growth of 10% to 15%.
Okay. So we are lowering the number. So the overall revenue maybe lesser than what previously we were thinking. So is there any specific reason or any projects that we are -- earlier whatever we have factored and now we are not that confident that we will not be able to get the execution?
Especially due to extended rains in the October month, so because of that also we are expecting 10% to 15% growth.
Okay. Okay. And in terms of the margin, 13.5% is doable?
Yes.
Okay. And the 7 HAM projects by March end we will be getting the appointed date for all the projects?
End of the last -- this current financial year, we expected to get appointed date for all the 7 new HAM projects.
Okay. Okay. I need a couple of data points on the balance sheet side and the project-wise order book. So mobilization, advance, retention money, if you can help me?
Retention money, INR 150 crores; and mobilization and advance is INR 419 crores, sir.
INR 419 million?
Yes.
Okay. And HAM receivable is? HAM debtors?
HAM debtors is INR 545 crores.
INR 545 crores, okay. And in terms of the project-wise order book, so what is left for Bhojpur-Buxar and Koilwar-Bhojpur?
Yes, Koilwar-Bhojpur is only INR 7 crores and Bhojpur-Buxar is INR 23 crores.
It is inaugurated by Mr. Gadkari in Bhojpur yesterday.
Okay. Okay. And Chakeri-Allahabad?
Chakeri-Allahabad is INR 230 crores.
Okay, INR 230 crores. Delhi-Vadodara Package 29 and 31?
29 is INR 259 crore and 31 is INR 289 crore.
INR 289 crore. And irrigation project in AP, what would be the value?
It is INR 896 core is outstanding.
INR 896 crore, so last time, I think you mentioned INR 50-odd crore. So is there any change in -- increase in scope or last quarter also the same amount was there?
No, no. Actually, there is an increase in scope and also the build amount INR 104 crores, we are now -- we are considering the original scope only. So INR 1,000 crores, INR 1,000 crore minus INR 104 crores, INR 896 crores. But certain works, that would be built later. In the second half.
Okay. Okay. And in terms of the CapEx, last time, we said INR 100 crores to INR 120-odd crores. So we have done only INR 22 crores in 1H. So for the full year, how much now are we looking at?
It will be in INR 100 crore to INR 120 crores and the entire FY '23.
Okay, and the fund-based, non-fund based limit, and the utilizations?
Fund-based limit utilizing INR 100 crores, we have taken that by discounting of INR 100 crores. And in non-fund based limit is around INR 2,800 crores for bank currently in LCs.
Okay, that we have utilized, but our limit remains the same INR 5,000 crores for non-fund?
Non-fund is -- same fund limit is INR 5,000 crores and fund-based is INR 7,000 crores.
Okay. Just for clarification, on the JJM projects, sir mentioned that the INR 348 crores revenue till date we have booked, which includes INR 108 crores in FY '22, so INR 250 crores. But I think last time we mentioned that we have done INR 400 crores revenue till date. So if you can help me to that and how much more revenue -- so you mentioned INR 760 core more we will be expecting. So next year, then once more that more DPR will come in, so next year how do we see in terms of the execution?
See, this Jal Jeevan Mission, we are precisely doing the INR 348 crores, which we received the payments for [indiscernible] and the certain work for further there that will be received in during FY -- H2 of FY '23. And as we said, the revenue target in water sector -- drinking water sector for the FY '24 would be around INR 2,500 crores.
Okay. Okay. And then last on the date front, though that is not a concern for us, but still this INR 280 crores, INR 300 crores that we will be able to maintain or we can see a further reduction by end of the year?
Direct debt. Debt level, which is at INR 281 crores. So can we see some more further reduction by end of year?
It will be around in the range of INR 250 crore, because we will take some equipment CapEx funding, so it should be in the range of INR 250 crores by March '23.
We'll take the next question from the line of Jiten Parmar from Aurum Capital.
Yes. Sir, my first question is basically top line has been flat for the quarter. Do we have any execution challenges for this quarter? And our margins are down, consolidated margins are down to 18% from 25% quarter-to-quarter and 20% year-to-year. So any reasons for that?
There is no specific reason. But the reason, main reason as compared to last year is only because of the 1 project we are executing Eastern Peripheral Expressway Toll project. We had told the remaining around INR 100 crore, INR 102 crore, and that project is on a breakeven point. In case, we will remove that project by turnover and EBITDA, like EBITDA margin comes to 14.6% compared to 13.26%. So that is the main reason. So last year, it was not there. This project was not there.
Okay. And see, there was an answer to the question about monetizing the assets. And you mentioned 3 projects are underway and due diligence. Now this -- you've mentioned the monetizing figure, but I think line was that time not clear, so I couldn't get it, what was that, can you repeat by the year-end?
Yes, yes. Out of the 8 projects selected for monetization in the first lot, these 8 projects will have a debt of around INR 4,700 crores and a equity of INR 940 crores. Once if you successfully monetize these projects, to that extent our debt will get reduced, and our equity will get unlocked for further investing.
Okay. So how much of that equity of INR 940 crores are we expecting in this year?
See, as I said, this year, we are not expecting the consummation of the deal, but we are expecting signing of definitive agreements before end of financial year for a few of the projects.
Okay. Okay. So this equity requirement around INR 250 crores, INR 260 crores, which we have in the next 2, 3 years, what will be the mode of funding for that? I mean, how are we going to arrange for the equity?
So it is subsequent from my own generation.
Okay. Okay. Perfect. And last question I have...
Those are equity requirement in the 5 lakh number in last GO.
Right, right. Okay. Last question I have is on the contingent liability. We carry a large contingent liability. What is the status on that? I see a lot of it is around INR 2,900 crores are guarantees to NHAI or something. Apart from that, we have some others also. So can you just tell a bit more about it, is this standard? Because I don't see that in other companies also these high liabilities? So if you can throw some color on that?
Major liability, cost liability reflecting in the balance sheet are mostly -- mainly in the account of BGE, bank guarantee entry. Bank guarantee is not reflected earlier under INR 45 crores of NH-24 that had been removed and...
See, this bank guarantees, what is missing is, we are bidding, we'll be submitting bank guarantees for the bid corporates -- bid security and also for a retention amount, also normally, we don't keep any cash retention in the authorities. We submit the bank guarantees and we take out retention, so that we'll have the cash flows. Second thing is the performance security also need to provide. In case of UP projects and all, we need to keep this performance security for 5 years during the maintenance and defect liability today.
But since some of the major projects that we completed and we expect to get that the retention bank guarantee in a sizable amount. And also, since one of the projects we completed 5 years defect liability period also, so we'll be getting back our performance security.
It's a continuous process.
Yes, it's a continuous process, a rolling process usual, because of the -- we are executing 23 projects, and also we are bidding new projects. So we don't think this is any unusual different scenario.
Okay. And are you in a position to give guidance for FY '24 for revenue as well as margins and order intake?
See FY '24 will be slightly down, but FY '24, our guidance would be up to 10.
10%.
Up to 10%. And the margins would be the same thing, EBITDA margin we'll be able to maintain the -- in the same levels as in FY 2022.
And order intake.
And order intake also we are expecting in the same lines, around INR 10,000 crores...
INR 10,000 crores.
In FY '24 also.
We'll take the next question from the line of Parikshit Kandpal from HDFC Securities.
Congratulations on a decent quarter, sir. So my first question here on the bid pipeline. So if you can highlight, especially on the non-growth segment. So what is our bid pipeline in Water and railways? So that's my first question.
See, in the water sector, as we mentioned, our primary target is, I mean, under Jal Jeevan Mission projects, where we find the -- there is no constraints of funds, so our primary target would be Jal Jeevan Mission, where as we know, if you see the projects that have been floated by the different state governments, around 20,000, 25,000 new projects are expected to be bid out in the next 2, 3 months. And in other things, as of now, our focus is roads and highway, which will be our focus going forward and the water sector. So we are not particularly looking at other sectors as a date.
Sir, last quarter, we had about -- so, I think, if I remember correctly, INR 8,000 crores of JJM orders. So if you can quantify anything about INR 23 crores of DPR has got approvals, and by this you have another INR 4,000 crores of DPR, which will get approval. So in FY '25, we have a balance of about INR 2,000 crores, probably in FY '25?
See, as of now, the total value of works in hand where we got the letter of awards is around INR 7,000 crores, so we expect INR 1,000 crores execution within the current financial year, another INR 2,500 crores around execution in the FY '24 and the remaining would be FY '25.
But how much of the DPRs are this -- all these new tech and all the DPR approvals now, so is it part of active order book or only a part of this will be moving into execution?
No, no. Actually, the process is like that. Once the DPRs are approved, we execute cover agreements, then only the zero-date starts after the cover agreement. So far, as I mentioned, as of 30th of September, around 2,216, we expect DPRs worth of INR 4,000 crores will be approved by before end of the current financial year. So the remaining INR 3,000 crores worth of DPRs will be approved during the next financial year, that is in FY '24.
'24, okay. Okay. And sir, the other question is, any update on the related party transactions or how much is the peak outstanding and what is the outstanding right now at the end of September? And why will you want to close it to 0?
That transaction has already closed. They were the 2 transaction of INR 30 crores in FY '21 and FY '22, that the entire INR 50 crores as we repaid to the RPT, but as on date there is no...
So as of September, there is no outstanding on account of the third party exchange?
As on date.
As on date, there is no debt outstanding.
As on date.
And in future also you are beginning to do any expansion only through support fund from the entity called RPT, right?
Yes.
Great. Great to hear that. And just last question, sir, on the recent referral and revenue contribution for the contracts. So this INR 100 crores, INR 108 crores is for the quarter, right, Q2?
Can you repeat, please?
Sir, Eastern Peripheral, and the revenue contribution was how much in this quarter, [Foreign Language] contribution?
INR 102 crores.
Okay, and on that, you had a breakeven EBITDA. So you need not make any EBITDA on that?
Yes.
And just one last and final question. Appointed date is expected to come in Q3 for the [indiscernible] project, now it has moved to Q4. So any particular reason, is there any delay there? And how confident are you that you will be achieving it -- some of these will come in Q3, it will not be in Q4. So if can you just give some sense out of this, given how much -- how many projects will mature in Q4?
Total 7 projects in, say 5 project completed this quarter [Foreign Language] Q3. [Foreign Language], so both on time [Foreign Language].
Our next question is from the line of Ashish Shah from Centrum Broking.
Sir, my question again is on the JJM. The pace of approval seems to be a little slower. I mean, we did mention that there is no funding constraint. But still the pace at which -- the speed at which we've been getting the approvals, I think it is far lower than what we would have originally expected. So any reason that you think this is happening?
Generally, Ashish [Foreign Language] complete survey [Foreign Language] or complete land handover [Foreign Language] process of 4, 5 months. So [Foreign Language] the total value of contracts secured in drinking water around INR 7,000 crores. Value of project approved for execution till September is around INR 2,300 crores. So, INR 300 crores [Foreign Language].
So sir, basically, [Foreign Language] administrative issues [Foreign Language] funding issues?
There is no funding issues [Foreign Language] process issue.
Actually, in between what has happened, they initially, they approved a details worth of INR 1,550 crores and there was a pause of more than 6 months, because of the local elections, Panchayati Raj elections and other elections and followed by the state assembly elections. Still they have not approved any new DPRs because of the code of conduct and other constraints and people are also engaged. So then again, they started approving after the assembly elections only. So there were some pause, otherwise there is no funding constraint. It is a normal process. But going forward, we expect these DPRs should be approved progressively.
Right, sir. Other question is on the AP irrigation project. So [Foreign Language] experience on the ground. So are we able to take the execution forward as the second half traditionally should be a better period. So what execution we are expecting in the irrigation projects?
As you said, normally, only we'll get a 6 months working period out of 12 months in a year, right from July till December, we're not able to execute any significant work there because the water is left into the canal systems. And again, we'll resume our work in the January onwards. So we'll have from January to June, we have another 6 months full-fledged working period. Otherwise, we are executing. So we expect this should be completed maybe next 2 to 3 years for the project to be completed.
Our next question is from the line of Ash Shah from Elara Capital.
So my first question was towards Eastern Peripheral. So as I recollect that the Eastern Peripheral was for 1 year only. So by December 2022, we should be done with it or there is any extension or can you just throw some color on it?
Yes, it is already handed over to NHAI. Around 2 months ago.
50 days ago, on 10th of November. See, the Eastern Peripheral NHAI, as you know, one of the ToT bidders secured this projects for next 15 years. So on 10th of November it was totally 4 of us, we handed over back to NHAI. So 50 days before we scheduled date of 31st December.
Okay. And are we looking for any more TOD projects going ahead? I mean, given that they are margin dilutive, even for the brief period. So are you looking forward to made into this model?
Not now -- as of now.
As of now nothing.
[Operator Instructions] The next question is from the line of Nikhil Abhyankar from DAM Capital.
Sir, I would like to know the total bidding pipeline for road projects in H2? And how many -- and the amount of bids that you have already put in till date?
The MoRTH and NHAI floated around 85 projects, including EPC and HAM, so that value of -- the aggregate value of these projects are around INR 80,000 crores. We are working on around 50 projects opportunities with an aggregate estimated project cost of INR 50,000 crores. The due dates are still not approved, December and up to December and January.
There is a worth of INR 11,000 crores we already bid out, we submitted our bids. They have been -- they are under evaluation and the prices are expected to be opened in the -- before 31st December, maybe next 1, 1.5 months. So the bids we had already submitted.
And sir, we have received PCOD for multiple projects recently. So do we expect any bonuses from them in H2?
PCOD for which -- HAM projects or EPC?
More so.
We are expecting bonus from EPC Gujarat, both the projects.
What will be the quantum of it, sir?
See, these projects have a scheduled completion, original scheduled completion of April, May next year. So we'll get to know maybe around 2 months, we are expecting the news.
Sure, sir. And sir, I did not earlier get the unbilled revenue for -- as of September. So what is the value for it?
Unbilled of?
Unbilled revenue?
Capital -- around INR 74 crores, INR 75 crores.
Okay. And sir, just a final question, sir. Sir, the provision have increased, it is a very minor amount to INR 15 crores, but it has increased from INR 1 crores to INR 15 crores. So what exactly is this provision?
That is on account of the provision of the taxation, tax.
Yes.
Our next question is from the line of Parvez Qazi from Edelweiss Securities.
Sir, my first question is on the competitive intensity. Last couple of years, we have seen very high competition for road projects. So what is the kind of competitive intensity that we expect this year? And also a similar question for the JJM water projects that we are targeting?
See, as you know that due to dilution of criteria for the bidding, both in terms of net worth and turnover and other things. And also the dispenser with the requirement of the bid security as a part and parcel of [ beyond ]. So the competition was much, much aggressive. Now the bid security requirement they reintroduced and also then the eligibility and the experiential criteria, turnover criteria and also expected to be restored. So competition will be less. But if you see typically, our competition for EPC projects will be more than the HAM projects. And also competition for the last year, size of projects will be lesser when compared to smaller size of projects. This is the thing, if the project cycle is more, the competition will be less and where the fund based projects, competition will be less when compared to non-funded based projects.
And for JJM projects?
JJM projects.
There is no more -- no, there is no -- you can say, high level competition is not there.
Yes, yes, because of the experiential criteria set for it.
Sure. A couple of data questions from my side. First, if you could get the toll collection on the various projects this quarter?
As for OMT projects, [indiscernible] and Kanpur Highway is 18.5, Bareilly-Almora is 13.5, and MP Highways lower it is INR 4.7 crores and Raebareli-Jaunpur 32.16 and PP 1 INR 102 crores each.
And sir, I missed the pending equity commitment for second half FY '24 and '25 would be great if you could repeat it.
Second half commitment I think is around INR 250 crores. And FY '24, it should be INR 450 crores.
Our next question is from the line of Prem Khurana from Anand Rathi.
Sir, my question was with respect to our guidance for FY '25 or FY -- do you right, I think the targeting around 10% growth in FY '24. But I think somewhere in your comments, and you mentioned that you expect water or JJM water to kind to contribute almost around INR 2,500 crores in FY '24 versus INR 1,000 crore that you are expecting in FY '23. So there's a jump of almost INR 1,500-odd crores in the water itself. So does it mean where we are targeting lower revenues in road segment because the overall growth that you're talking about for FY '24 is only around INR 700 crore, are we being a little conservative on the overall guidance?
So, this is on conservative side, because we are expecting a appointed date in our 10 projects. So after appointed date, we can give you a proper guidance.
Sure. And also, I mean, if you can help us with the execution time line for the water projects, I mean this is a bid -- so which we had DPRs approved and you have zero day, how many months does it take you to be able to kind of finish and how is our experience, are you now able to stick to your time line, I mean, which I mentioned the document that you finish these projects at this time or these many months?
Post signing up the cover agreements, in fact approval of the DPR and signing of tripartite agreement followed by cover agreement. Post signing of cover agreement we will have a 15-months period for execution and testing and commissioning. So we should be able to complete within 15 months except in a few places. There is a delay on part of the clients, regarding the provision of land for the pump house and other few things and also on the approval process. Approval of clients and [indiscernible] to the site and other things. But we should be able to complete within 15 months from the respective date of signing of cover agreements for these projects.
Our next question is from the line of at Uttam Kumar Srimal from Axis Securities.
Sir, in your bidding pipeline of INR 80,000 crores. So can you bifurcate between EPC and HAM, what is your proportion of EPC and HAM in this bidding pipeline of INR 80,000 crores?
It would be something like 50%-50% you can say. Maybe HAM slightly higher than EPC.
Okay. And sir, the last one, sir, how much equity investment will be done in FY '23, balance equity in FY '23?
INR 240 crores.
INR 240 crores?
Yes, in the second half.
The INR 240 crores?
Yes, in the second half INR 250 crores.
INR 250 crores. Okay, that's all from me.
The next question is from Parikshit Kandpal from HDFC Securities.
Sir, any idea on any new big state projects coming up besides the HAM projects in U.P. or in other states?
As of now, we don't see any major projects coming from the state governments, because most of the state government, they how state highway roads, as mentioned by our MD, these state highways, they want to give it to central government for the development. So in the, maybe next 2 to 3 months, we don't expect any major projects in the highway sector coming from the state governments.
The greenfield -- I mean, like on the Expressway everything like that, is there any mega projects of states you are expecting, like Maharashtra government recently announced some big projects. Do you think any of these will be coming in the next 6 months?
So we'll share you. So we are not specifically focused upon those bidding opportunities, we still share with you privately.
And sir, second question is on this monetization piece, you had about 6, 7 projects, 1 and 1 BOT Annuity and over INR 940 crores of equity invested. But you said some of these may happen. So is it that the will we pick and choose or can be one investor or multiple investors? How are you looking to monetize this?
We will have to pick and choose, see these out of 6 projects, 5 projects we already achieved the PCOD in a few projects, we achieved the finance EOB. And 1 project we are expected to achieve the PCOD in maybe next 1 month. So these are the projects which are operational, even on BOT Toll and 1 Annuity project also our operational products. It's not -- see, as we progress, as we complete completion of construction and achieve the PCOD, then accordingly, we'll give the priority. Of course, now NHAI has reduced the lock-in period, 6 months from the PCOD. So all these projects are -- out of 8 projects, 7 projects are eligible for the equity divestment.
And this will be with one investor or this will have multiple investors?
We are looking at multiple investors. We already retained a strategic adviser for handholding and just looking at the potential.
But we have not entered into any exclusivity with any one then as of now?
No, no.
Our next question is from the line of Alok Deora from Motilal Oswal.
So most questions are answered. Just a couple of questions. One is of this INR 19,000 crore order book, how much is currently under execution at this point of time?
Out of INR 19,000 crore, around INR 12,000 crore projects are under execution. If you precisely go from the sector of the road projects, it will be around INR 10,000 crores because the road projects only around INR 2,300 crores projects approved and HAM project another INR 7,000 crores of projects are to be approved. So it will be around INR 10,000 crores.
Sure. And sir, you -- in one of the previous questions, you mentioned that after the DPR, it takes 15 months to get it kind of completed. So I just want to understand when you receive these projects, so typically, how we should consider the execution time line, because the DPR will take its own time and then the execution will start and then there will be -- there could be some delays in the DPR execution. So just if you could indicate what's the typical time line we should consider for these kind of projects?
See, typically, from the base they give us the list of villages and also, they give us the land for surveys and all. So DPR and the approval of the DPR will be execution, testing and commissioning 15 months or 5 months for testing and 4 months through 4 months. So 24 months from the day they give us the list of village, and they specifically say out of the state, you go ahead with this graph and size, so from that 0 point it takes 24 months.
All right. Just last question and so you mentioned you have bid for certain projects, which are bid to open. This would be all HAM projects?
JR, EPC and HAM both.
Our next question is from the line of Shravan Shah from Dolat Capital.
So sir, when we are saying that we are looking at INR 7,000-odd crores inflow in roads. So mostly, this would be about INR 5,000-odd crores would be from the HAM?
We are expecting from both side, EPC and HAM, we will see.
Yes, no, my point was because the competition would be high in the EPC. So that's why I was trying to understand how can the proportion would be 60%, 70% of the INR 7,000 crores would be on the HAM?
So it maybe because HAM projects are more than EPC.
Yes. And second, sir, last time we said we are expecting bonus on Mumbai-Nagpur also and Aligarh-Moradabad by March '23, we will be able to see. So any update on that?
In Aligarh-Moradabad, it is in process, and you can say, some of the expected is also in process.
So by when if it is and if it comes, what would be the broad rough value of the bonus?
See, this Aligarh-Moradabad, we believe that we had already mentioned it's bonus is around INR 15 crores. That still we expect it before current financial year. In case of Mumbai-Nagpur Samruddhi Expressway, there the state government has to take some policy decision on the payment of bonus, because we completed before the extended completion time, because there was this COVID affected period, so how this government will take a view on that, we can see. Otherwise, we made a request for considering the bonus.
Thank you. Ladies and gentlemen, that was the last question. I now hand the floor back to the management for closing comments. Over to you, sir.
Thank you, everyone, for your participation in our earnings call. In case of further queries, you may get in touch with the Strategic Growth Advisors, our investor relations advisors or feel free to get in touch with us. Thank you. Thank you. On behalf of Spark Capital Advisors, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.