Kalpataru Power Transmission Ltd., a global EPC player in the Power T&D sectors, has reported for the second quarter ended September 30, 2006, a total revenue of Rs. 3.07 Billion, an increase of 127% vis-à-vis corresponding period revenues of Rs.1.35 Billion revenue.

The Profit Before Tax has jumped by 164% to Rs. 372 Million as against Rs.141 Million in the corresponding quarter. The Profit After Tax has also jumped by 185% to Rs.272 Million as against Rs.96 Million in the corresponding period of previous year.

EPS for the 6 months ended Sept 06 was Rs 25.16 vis a vis Rs 8.76 for previous half year.

Major Achievements of the Company:

• Record order backlog of above Rs.22 Billion (USD 475 Million) as of date.
• One of India ‘s first and largest Qualified Institutional Placement (QIP) by the Company to raise Rs.3.47 Billion (USD 75 Million) at a price of Rs.727/- per share of Rs.10 each.
• Key orders in the Quarter include :

  • Two jobs of 500 KV HVDC package from Powergrid worth Rs.1.80 Billion, funded by World Bank.
  • Further two jobs to lay down 400 KV Single Circuit Transmission Line from GRTE Sonelgaz, Algeria worth Rs.1.46 Billion.
  • Secured Rural Electrification job of 11 KV Feeder renovation job in Udaipur Circle from Ajmer Vidyut Vitram Nigam Ltd. worth Rs.0.40 Billion.
• JMC Projects India Limited has reported revenues of Rs 1.98 Billion (a rise of 75%) and a turnaround performance of profit before tax of Rs 89.6 Million (compared to a loss of Rs -12.3 million) for the 6 months ended Sept 06 .Also Rights Issue of 465 Million of JMC has been fully subscribed.

Mr. Donald Dsouza, Head of Equity Capital Markets in Kotak Investment Banking, the Global Coordinator and Sole Book Runner, said that “Kalpataru QIP issuance is the largest such issue from India under the new SEBI regulations. It has been our privilege to be associated with the successful completion of the QIP issue of Kalpataru Power Transmission Limited. This has been achieved through a combination of the Company’s performance and the conviction demonstrated by quality institutional investors”

The PBT has jumped by 196% to Rs. 402 Million as against Rs.136 Million in the corresponding quarter. The PAT has also jumped by 207% to Rs.290 Million as against Rs.94.6 Million in the corresponding period of previous year.

Major Achievements of the Company:

• Record order backlog of above Rs.21.20 Billion as of date.
• The Company, alongwith our international consortium partner, has secured its first partial EPC (excluding supply of line pipes) contract for 30” *74 Kms Panvel-Dabhol Pipeline Project worth Rs. 1.8 billion from Gas Authority of India Ltd.. The pipeline is to be commissioned by March 2007 and the company is making further capex investment of approx Rs 300 to 350 million for buying further specialized equipments.
• The Company had secured two Feeder Separation Order, covering over 4000 villages, in Kolhapur, Nasik and Pune Zones from Maharashtra State Electricity Distribution Co. Ltd. worth Rs.3.8 Billion in May 06.
• The Company has secured a 330 Kv ,72 kms contract from ZESCO Ltd., Zambia approx USD 9 Million.
  

The Board of Directors approved for offering of GDR / FCCB / Private Placement / Restricted Institutional Placement or other models of follow on offerings as may be permitted by SEBI, upto $ 75 Million, either in foreign currency or equivalent Indian Rupees, subject to approval of Members of the Company in its extra ordinary general meeting.

The Board also approved extension of Mr K. V Mani ‘s term as Managing Director for a further period of 2 years till March 2008.

Mr Shitin Desai has been appointed as an Additional Independent Director. Mr Shitin Desai is currently the Executive Vice Chairman of DSP Merrill Lynch.

Some of the projects, wherein the company was L1 bidder, was received in the last quarter ending March 06, including 400 KV transmission jobs from Powergrid Corporation on India in excess of Rs 300 Crores, Rural Electrification jobs in Bihar in excess of Rs 175 Crores from PowerGrid Corporation on India and a Rs 75 Crores distribution project from Uttaranchal. The order backlog, including L1 jobs where the company is well placed, stands at over Rs 2000 Crores.

The Company also announced the ISO 14000 and ISO 9000 certification for its new Tower Plant at Gandhinagar, set up as an Export Oriented Unit (EOU) in October 05. The capacity has been enhanced further to 30,000 MTs p.a, taking total installed capacity to 84,000 MTs p.a.

The Company is expecting to cross Rs 800 crores revenues for year ending March 06.

The Company has increased its stake to approx 49.9% In JMC Projects India Ltd, by acquiring further 1.3% (1,50,000 shares) from open market purchases in March 06. JMC Projects is a Civil Contracting Company, with a strong presence in Factories and Buildings, Roads and Bridges, with a order backlog in excess of Rs 750 crores.