TARC Ltd

About

TARC Ltd. (The Anant Raj Corporation) started out as a construction and contracting company and evolved to become one of the largest real estate development companies and land bank holders in the New Delhi Metropolitan Area. The company‘s key developments are across verticals like Residential, Hospitality, Commercial and Retail projects.
The name of the company has been changed from Anant Raj Global Ltd. to TARC Ltd. in April 2021. [1]

Key Points

The Anant Raj Corporation
TARC is primarily engaged in the development and construction of IT parks, hospitality projects, SEZs, office complexes, shopping malls, and residential projects in the states of Delhi, Haryana, Andhra Pradesh, Rajasthan, and the National Capital Region. The company has 31 wholly-owned subsidiaries, 5 step-down subsidiaries, and 3 companies. [1] [2]

Real Estate Projects
Residential
4 ongoing residential projects
Completed: 59.80 lac sq ft
Ongoing / Planned: 29.57 lac sq ft
Currently developing 3 prime premium projects; one each in Hauz Khas in South Delhi, Central West Delhi, and Rajokri (Aerocity).
Shopping Mall
Developed the Moments Mall in 2011 as a marquee retail development.
Currently developing a multiplex with retail offerings in East Delhi.
Commercial
Completed 40.45 lac sq ft of institutional area and Tech Parks
Upcoming 5 lac sq ft of Grade A Commercial project in South Delhi
5 lac sq ft industrial park in Greater Noida
Currently developing ‘TARC Visva’.
Tech Park - developing a Build to Suit premium technology facility in Tech Zone, Greater Noida.
Warehouse
3 warehouses with 15.70 lac sq ft leasable area in North Delhi
A warehouse with 6.50 lac sq ft leasable area in Manesar.
Hotels / Serviced Apartments (3 existing)
Delivered 4 hotels and 1 service apartment
Upcoming - 8.65 lac sq ft of hotels and service apartments [3]
Recently TARC completed project “Maceo” over 15.50 acres in Sector 91, Gurgaon. MACEO is concluding its handing over process of 788 units. [4]

Divestment
The Board approved the execution of transaction documentation with BREP Asia II EIP Holding Pte. Ltd., pursuant to which BREP will acquire two of TARC's wholly-owned subsidiaries, Goodluck Buildtech Pvt Ltd and Anant Raj Hotels Limited. The total value of the Proposed Transaction will be INR 295 crores which will be payable in tranches. [5] This transaction will further build strong relationships with global investors.

Land Bank
TARC has land parcels and built-up assets inside the Municipal limits of New Delhi in Hauz Khas, Bhati, Chattarpur, etc. which constitute over 375 acres of fully paid-up land.
The Company has land parcels in Gurgaon and other areas in the NCR besides Manesar, Noida, and Greater Noida where the Company's land holdings exceed 250 acres of prime land.
Over the years, it has accumulated a significant land bank of more than 600 prime acres which is wholly owned and paid for. [6] It has also developed more than 20 MSF of real estate projects in its existence of more than 50 years.

Read More
  • Market Cap 1,326 Cr.
  • Current Price 45.0
  • High / Low 56.2 / 19.0
  • Stock P/E 111
  • Book Value 53.1
  • Dividend Yield 0.00 %
  • ROCE 0.79 %
  • ROE 0.40 %
  • Face Value 2.00

Pros

  • Stock is trading at 0.85 times its book value
  • Company is expected to give good quarter

Cons

  • Though the company is reporting repeated profits, it is not paying out dividend
  • Company might be capitalizing the interest cost
  • Earnings include an other income of Rs.28.96 Cr.

Peer comparison

Sector: Realty Industry: Construction

Loading peers table ...

Quarterly Results

Consolidated Figures in Rs. Crores / View Standalone

Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021
46.35 55.01 25.62 34.94 58.35 76.48 26.25 159.75
41.36 48.61 25.46 29.11 53.18 87.87 23.25 98.82
Operating Profit 4.99 6.40 0.16 5.83 5.17 -11.39 3.00 60.93
OPM % 10.77% 11.63% 0.62% 16.69% 8.86% -14.89% 11.43% 38.14%
Other Income 16.98 4.68 0.83 2.43 8.43 18.22 1.04 1.27
Interest 6.97 8.49 5.20 5.78 6.38 3.23 5.72 15.42
Depreciation 1.85 2.08 2.03 2.05 2.21 1.87 2.05 1.63
Profit before tax 13.15 0.51 -6.24 0.43 5.01 1.73 -3.73 45.15
Tax % 8.06% -194.12% 28.37% -83.72% -77.64% 44.51% 14.75% 88.24%
Net Profit 12.09 1.49 -4.47 0.79 8.90 0.96 -3.18 5.30
EPS in Rs 0.30 0.03 -0.11 0.18

Profit & Loss

Consolidated Figures in Rs. Crores / View Standalone

Mar 2020 Mar 2021 TTM
118 191 321
94 191 263
Operating Profit 24 -0 58
OPM % 21% -0% 18%
Other Income 73 30 29
Interest 25 21 31
Depreciation 8 8 8
Profit before tax 65 1 48
Tax % 18% -563%
Net Profit 53 6 12
EPS in Rs 0.21 0.40
Dividend Payout % -0% -0%
Compounded Sales Growth
10 Years: %
5 Years: %
3 Years: %
TTM: 98%
Compounded Profit Growth
10 Years: %
5 Years: %
3 Years: %
TTM: 21%
Stock Price CAGR
10 Years: %
5 Years: %
3 Years: %
1 Year: %
Return on Equity
10 Years: %
5 Years: %
3 Years: %
Last Year: 0%

Balance Sheet

Consolidated Figures in Rs. Crores / View Standalone

Mar 2020 Mar 2021 Sep 2021
59 59 59
Reserves 1,499 1,505 1,507
Borrowings 1,020 1,321 1,223
755 515 640
Total Liabilities 3,333 3,400 3,430
1,564 1,554 1,387
CWIP 73 108 122
Investments 138 138 138
1,558 1,600 1,783
Total Assets 3,333 3,400 3,430

Cash Flows

Consolidated Figures in Rs. Crores / View Standalone

Mar 2020 Mar 2021
116 190
17 23
-143 -207
Net Cash Flow -9 6

Ratios

Consolidated Figures in Rs. Crores / View Standalone

Mar 2020 Mar 2021
Debtor Days 9 7
Inventory Days 4,203 1,877
Days Payable 141 114
Cash Conversion Cycle 4,071 1,770
Working Capital Days 428 273
ROCE % 1%

Shareholding Pattern

Numbers in percentages

Dec 2020 Mar 2021 Jun 2021 Sep 2021
64.94 65.56 65.57 65.57
6.68 5.78 5.76 5.70
0.02 0.02 0.02 0.01
28.37 28.64 28.65 28.72

Documents