Outlook and valuation: IVRCL has a strong order book of Rs 21,692cr (4.6x trailing revenue), which provides comfortable revenue visibility. However, given the slower than expected execution and weak performance in 1QFY2014, we lower our EPS estimates for FY2014 and FY2015 to (Rs 1.7) and (Rs 2.0). Going forward, unless there is a significant improvement in execution, we do not foresee any significant improvement in operating performance.

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