Dear Shareholders,
It is with great pleasure and a sense of pride that I address you today as the Chairman
of NCC Limited. As an infrastructure construction company in India, we have remained
steadfast in our commitment to building a better future for our country. Through our focus
on constructing buildings, water treatment plants, roads, metro rail networks, railways,
and various other projects, we have continued to create significant value for our nation
and its people.
PERFORMANCE DURING FY23
During the fiscal year 2022-2023, NCC Limited demonstrated exceptional performance,
achieving several milestones and overcoming various challenges. We successfully completed
a range of projects across different sectors, contributing to the growth and development
of our great nation. Our unwavering dedication to excellence and innovation has earned us
recognition as a leading player in the infrastructure industry.
I am pleased to share that we have attained the highest-ever annual order inflow of
25,895 crores, a testament to the trust and confidence bestowed upon us by our valued
clients. Furthermore, our order book has surpassed the 50,000 crores mark for the first
time, solidifying our foundation for future growth. Our consolidated revenue for the year
amounted to 15,701 crores, signifying an impressive growth of 40% over the previous
year.
GOVERNMENT OF INDIA'S POLICY INITIATIVES
India's population growth and economic development require enhanced transport
infrastructure, including investments in roads, railways, aviation, shipping, and inland
waterways. Under the Government of India's policy initiatives, we are witnessing a
significant focus on infrastructure development to propel the country towards its 2025
economic target of US$ 5 trillion.
The recently announced Budget for 2023-24 has permitted continuation of the 50-year
interest-free loan to state governments for one more year. This measure aims to spur
investment in infrastructure and incentivize complementary policy actions. The enhanced
outlay of 1.3 lakh crore (US$ 16 billion) reemphasizes the Government's commitment to
providing the necessary resources for infrastructure development.
Furthermore, under the National Infrastructure Pipeline (NIP), projects worth 108
trillion (US$ 1.3 trillion) are currently at different stages of implementation. This
comprehensive pipeline underscores the Government's vision for infrastructure development
and presents significant opportunities for companies like ours to contribute to the
nation's growth.
In November 2022, the National Investment and Infrastructure Fund (NIIF) was
established as a collaborative investment platform between the Government of India, global
investors, Multilateral Development Banks (MDBs), and domestic financial institutions.
This initiative, including the India Japan Fund, facilitates investment across multiple
sectors in India, fostering infrastructure development.
Under the Budget for 2023-24, the capital investment outlay for infrastructure is being
increased by 33% to 10 lakh crore (US$ 122 billion). This substantial increase,
amounting to 3.3% of GDP and almost three times the outlay in 2019-20, demonstrates the
Government's commitment to accelerating infrastructure development in the country.
To further enhance opportunities for private investment in infrastructure, including
railways, roads, urban infrastructure, and power, the Budget for 2023-24 also includes the
establishment of an Infrastructure Finance Secretariat. This initiative aims to create a
conducive environment for private stakeholders to invest in infrastructure projects,
aligning with the Government's vision of public-private partnerships.
ESG INITIATIVES: BUILDING A SUSTAINABLE FUTURE
At NCC Limited, we understand the importance of Environmental, Social, and Governance
(ESG) initiatives in building a sustainable future. We are committed to conducting our
business in an environmentally responsible manner, adopting sustainable practices, and
minimising our carbon footprint. Our initiatives include the efficient utilisation of
resources, the promotion of renewable energy, waste management practices, and the
implementation of green building standards. We firmly believe that sustainable development
is essential for the long-term prosperity of our company and the well-being of future
generations.
CONCLUDING REMARKS
I would like to express my heartfelt gratitude to all our stakeholders, including our
esteemed shareholders, dedicated employees, valued customers, project partners, and the
local communities where we operate. Your unwavering support and trust have been
instrumental in our success, and we remain committed to upholding the highest standards of
corporate governance, transparency, and ethical business practices.
In conclusion, I am proud to report that NCC Limited continues to contribute
significantly to the development and growth of our great nation. Our performance during
the fiscal year 2022-2023 reflects our unwavering commitment to excellence and our ability
to adapt to changing market dynamics. With the continued support of our stakeholders and
the strong foundation we have built, I am confident that we will overcome future
challenges and achieve even greater milestones. Thank you once again for your continued
trust in NCC Limited. Together, we will continue to build a brighter and more prosperous
future for our country.
Yours sincerely,
Hemant M Nerurkar
Chairman