GMR

Company Overview

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GMR

INTRODUCTION
GMR Group is an infrastructural company founded in 1978 by Grandhi
Mallikarjuna Rao. Employing the Public Private Partnership model, the Group
has successfully implemented several iconic infrastructure projects in India.
The Group also has a global presence with infrastructure operating assets and
projects in several countries including Turkey, South Africa, Indonesia,
Singapore and the Maldives.
Although the company started with Agri based industries like
Jute/Sugar/Breweries but slowly moved in the Infrastructure space over the
past decade. Now the GMR group interests lie in areas of Airports, Energy,
Highways and Urban Infrastructure.
GMR Infrastructure Limited is the infrastructure holding company formed to
fund the capital requirements of various infrastructure projects across the
sectors. It undertakes the development of the infrastructure projects through
its various subsidiaries.
The company was involved in the construction of Rajiv Gandhi International
Airport - Hyderabad and Sabiha Gken International Airport in Turkey. GMR is
also involved in the modernisation of Indira Gandhi International Airport in
South West Delhi.

COMPANY INFORMATION
Founded in:

1978

Head Quarters:

Bangalore

Leadership:

Kiran Kumar Grandhi (Managing Director)

Industry/Product: Airports, Energy, Highways and Urban Infrastructure

Revenue:

INR 99.75 billion (2013)

Employees:

17,000 (globally in 2013)

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FINANCIAL STATISTICS (FY 2012 13)

Segment-wise break-up:
(in INR crores)

Airports

Energy

Highways

EPC

Gross Revenue

6122

2425

517

1454

EBITDA

1843

896

389

166

41

320

97

133

Profit After Tax

PROJECTS
The projects undertaken by GMR can be categorised in to four categories as
below:

Energy:

GMR Chhattisgarh Power Project

GMR(Badrinath) Hydro Power Generation Ltd
GMR Vemagiri Power Generation Ltd
GMR Orissa Power Project
Talong Power Project
GMR Rajahmundry Ltd
GMR Renewable Energy Ltd
GMR Gujarat Solar Power Pvt. Ltd

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Airports

Delhi International Airport (P) Limited

GMR Hyderabad International Airport Ltd
Istanbul Sabiha Gokcen International Airport
Ibrahim Nasir International Airport Pvt. Ltd.

Highways
Hyderabad-Vijaywada
Chennai Outer Ring Road
Hungund-Hospet Project

Global Projects

Istanbul, Turkey: Sabiha Gokcen International Airport - Airports

South Africa: Homeland Energy Group - Energy
Indonesia: PT Barasentosa Lestari - Energy
Nepal: Upper Karnali - Hydro Power Project (900 MW) - Energy
Himtal - Hydro Power Project (650 MW) - Energy

GMR has 14 power generation assets of which 8 are operational and 6 are under
various stages of development;
8 Road assets, of which 7 are operational and one is under construction.
In the Airports sector, it has developed and commissioned the Greenfield
International Airport at Hyderabad.
GMR, besides operating the existing Delhi International Airport, has also built a
brand new integrated terminal T3 which was commissioned in time for the
Commonwealth Games in October 2010.
It has upgraded and is operating the Istanbul Sabiha Gken International
Airport.

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SWOT ANALYSIS

Strengths

Weaknesses

Leading player in infrastructure industry

4th largest power trader in the country
In urban infra, 3 operational assets and 13
projects under progress
Global presence has enhanced its reputation as
a key player in Airports sector

Assets exposed to risks; can affect continuity of

business
Received setback in power plant projects in
Vemagiri & Kakinada leading to revenue losses
Facing competition from key players in infra
sector leading to loss of important bids
Shareholders disatified due to withholding of
dividend for reinvestment

Opportunities

Threats

Many Infra projects by Govt likely to come up in

the coming years
Has received a lot of appraise and accolades for
its efforts in its major projects - this will aid in
getting new projects
Has also ventured into other untapped sectors
having scope of growth like urban development

Cut throat competition from L&T, JP Group

Constant accountability towards its
shareholders due to the need to provide good
returns

GMR IN NEWS

1. The second 350 MW unit of the GMR Groups coal-based thermal power plant at
Kamalanga in Odishas Dhenkanal District was successfully synchronized with the grid
on July 9, 2013. The first unit of 350 MW was declared commercially operational on
April 30, 2013. With this, the combined generation capacity of the GMR Group has
reached 1836 MW
2. Infra major GMR Groups consolidated net loss widened to Rs 326 crore for the quarter
ended June 2013. Loss is mainly on account of the recently commissioned EMCO and
Kamlanga power plants, which are in stabilisation phase and yet to generate full
revenue. Financial performance is likely to improve once operations in the new units
are stabilised, GMR said in a statement.

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