MSK Projects (India) Ltd.

Quick Action Report

13th January 2010

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Product
 Company is into the construction business with presence in the following
domains

 Road Construction
 Industrial (Both Civil and corporate projects)
 Residential Housing
 Commercial Real estate

W o rk-in -p r o g ress as o n
Typ e o f Pro ject
30.06.2009

R o ad R s. 9607.71 22.52%
R esed en tial R s. 159.74 0.37%
C o m m er cial R s. 12869.92 30.17%
In d u strial R s. 20025.27 46.94%

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Performance
 In FY2009 company’s receipts from the civil construction contracts formed 91% of its revenues and
remaining 9% was from toll collection
 The sales of the Company has grown at a 3 year CAGR of 54.27%, while its net profit has improved at a
3 year CAGR of 37.27%
 Over last three years, y-o-y growth in sales of the Company has declined from 89.86% in FY07 to
44.81% in FY09 but y-o-y growth in net profit has increased from 30.99% in FY07 to 38.15% in FY09
 Cost of Construction and Development, forming a major component of total expenditure, increased from
53.95% in FY07 to 59.03% in FY09
 The sales, EBITDA and net profit of the Company declined q-o-q by 11.91%, 6.20% and 13.80%,
respectively in 2Q10
 During 2Q10, increase in manufacturing expense and employee cost were partially offset by the decline
in raw material cost
 The debt equity ratio of the Company has increased from 0.88 in FY07 to 1.08 in FY09 indicates that the
Company has been aggressive in financing its growth with debt
 The interest coverage ratio has increased from 1.78 in FY08 to 1.85 in FY09 as EBIT has grown by
22.07% y-o-y while the interest expense has increased by 17.46% y-o-y
 ROE has improved over the last three years from 5.47% in FY07 to 7.36% in FY09 due to the
improvement in net profit margin which was partially offset by the increase in leverage ratio
 Over the last five years, the Company has paid a 10.0% dividend rate

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Promoter
 Over the last four quarters, the promoter shareholding remained unchanged at 21.68%, out which
5.33% is pledged
 FII’s holdings have declined from 4.82% in 1Q09 to 2.39% in 2Q09

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 Theme
 The Company has strong equipment back up
:: Welcome to MSK PROJECTS (INDIA) LTD. ::
 With government thrust on infrastructure development through public-private partnership, the
Company will benefit as it has executed many projects in road and industrial construction segment

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General Information
Listing NSE/BSE • The 3 yr low P/E and 3 yr high P/E of the stock has
been 4.13 and 44.99, respectively
Current Price (Rs) 124.90 • Presently, the Company has a market cap to sales
ratio of 0.85
Market Cap (Rs Cr) 260.00

Free Float (%) 78.32

52-WEEK HIGH (Rs) 131.75

52-WEEK LOW (Rs) 34.10

BETA 0.65
P/B (x) 0.87
Current P/E (x) 13.1
PEG Ratio 0.37
Dividend Yield (%) 0.90

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