Mumbai, May 9 (IANS) Infrastructure firm Ravi Infrabuild Projects Limited, which is preparing to launch an initial public offering (IPO) to raise up to Rs 1,100 crore, has reported a decline in net profit for the financial year 2023-24 (FY24), even as its income and revenue saw growth.
According to financial data available on the company’s official website, the firm’s net profit fell by 10.46 per cent, dropping from Rs 98.49 crore in FY23 to Rs 88.19 crore in FY24.
The dip in profitability came despite a 32.68 per cent increase in revenue from operations, which rose to Rs 1,285.16 crore in FY24 from Rs 968.58 crore the previous financial year.
The company’s total income also climbed by 33.01 per cent year-on-year (YoY), reaching Rs 1,303.89 crore.
However, this growth in income was accompanied by a sharp rise in total expenses, which increased by 31.99 per cent to Rs 1,129.16 crore in FY24, up from Rs 855.53 crore in FY23.
Among the major cost drivers were a 53.49 per cent rise in employee benefits expense, which grew to Rs 62.79 crore, and a 70.21 per cent increase in depreciation and amortisation, which stood at Rs 31.25 crore in FY24.
Additionally, the cost of materials consumed jumped by 47.21 per cent, rising from Rs 318.19 crore in FY23 to Rs 468.38 crore in FY24.
The Udaipur-based company, known for its work in highways, ropeways and railway infrastructure, has filed its draft red herring prospectus with market regulator SEBI to raise Rs 1,100 crore through a fresh issue IPO.
There will be no offer-for-sale (OFS) component, and the proceeds will be used to purchase equipment, invest in subsidiaries, repay debt, and for general corporate purposes.
The company is led by promoters Narayan Singh Rao, Dilip Singh Rao, and Ravi Singh Rao, who together hold 84 per cent of the pre-issue equity share capital.
Ravi Infrabuild has executed projects for the National Highways Authority of India (NHAI), the Ministry of Road Transport and Highways, and several state governments.
–IANS
pk/na
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