ISGEC Heavy Engineering Ltd. · NSE:ISGEC
ISGEC Heavy Engineering — Q2 FY2021 Earnings Presentation
36 slides from ISGEC Heavy Engineering's earnings presentation, Nov 11, 2020
Slide 1: Cover letter to BSE on investor presentation
Uploaded on BSE Limited Website: http://listing.bseindia.com Ho-425-S Dated: 10.11.2020 Manager – Department of Corporate Services, Bombay Stock Exchange Ltd., Registered Office: Floor 25, P J Towers, Dalal Street, Mumbai 400 001 Dear Sir/Madam, Furnishing of Information as per SEBI (Listing Obligat
Slide 2: Investor Presentation
Investor Presentation 11 th November 2020 03 February 2020 1
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by ISGEC Heavy Engineering Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for
Slide 4: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor3Presentation 3
Slide 5: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor4Presentation 4
Slide 6: ISGEC at a glance
ISGEC at a glance A Diversified Heavy Engineering Company engaged in Manufacturing and Project Businesses. Manufacturing of Presses, Castings and Process Equipment. Turnkey Projects for setting up Boilers, FGD’s, Sugar Plants, Distilleries, Power Plants, Bulk Material Handling facilities, Railways a
Slide 7: Isgec at a glance
Isgec at a glance Diversified Heavy Engineering Robust Balance Sheet Company Net Worth of INR 19,811 Mn (30 Sep 2020) Mix of Manufacturing and Project Businesses Strong Credit Rating - ICRA Credit Rating of AA Mix of Domestic & Export Revenues (Stable) and A1+ Wide Spectrum of User Industries Strong
Slide 8: Our Journey
Our Journey What started off in 1933 as a Sugar Manufacturing Company has been transformed into a Diversified Heavy Engineering Company with 90% of our Consolidated Revenues coming from Engineering Products and Projects 1933-1990 1991-2010 2011-2015 2016-2020 1933 Company (erstwhile named as Saraswa
Slide 9: Global Footprint - Presence across 91 countries
Global Footprint - Presence across 91 countries Sales from outside India contributed ~19% of Total Revenue in FY21 69% 69% 75% 77% 77% 81% India Global 31% 31% 25% 23% 23% 19% FY16 FY17 FY18 FY19 FY20 H1 FY21 03 February 2020 Investor8Presentation 8
Slide 10: Shareholder Information
Shareholder Information Shareholding structure – 30th September 2020 Shareholder Information as on 30th September 2020 Promoter BSE Ticker 533033 26.7% Market Cap (INR Mn) 18,760 Mutual Funds % Free- float 38% Free Float Market Cap (INR Mn) 7,129 1.4% 62.4% FIIs Shares Outstanding (Mn) 73.5 9.5% 3M
Slide 11: Our Team
Our Team Board of Directors Our Team Mr. Ranjit Puri Non-Executive Chairman & Promoter Mr. S.K. Khorana Executive Director & Company Secretary Mr. Aditya Puri Managing Director & Promoter Mr. Ravi Jaidka Executive Director Mrs. Nina Puri Whole-time Director & Promoter Mr. Kishore Chatnani Chief Fina
Slide 12: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 11Presentation 11
Slide 13: State-of-the-art Infra & Manufacturing Capabilities
State-of-the-art Infra & Manufacturing Capabilities EPC Offices Yamunanagar, Haryana • Noida, UP Pressure Vessels & Heat exchangers, Presses, Boilers, Containers, Castings, • Chennai, Tamil Nadu Sugar and other Industrial Machinery • Pune, Maharashtra Rattangarh, Haryana Boiler Components, Headers,
Slide 14: Building Strength with Acquisitions and JVs
Building Strength with Acquisitions and JVs Saraswati Sugar Mills Ltd. Eagle Press & Equipment Co. Ltd. With cane crushing capacity of ~ Press manufacturing company in 10000 TCD, having highest sugar 100% Windsor (Ontario) Canada recovery in Punjab and Haryana for the past 10 years 51% ISGEC Hitachi
Slide 15: Building Strength with Technology Partnerships
Building Strength with Technology Partnerships Amec Foster Wheeler, USA Fuel Tech Inc., USA - for Feedwater Heaters and Surface Condensers - for reduction of Particulate Matter emissions by use of (now with Wood Group, UK) Electrostatic Precipitators performance improvement technologies (especially
Slide 16: Engineering for Excellence - Our Business Segments
Engineering for Excellence - Our Business Segments Isgec is a significant global player across business areas in Manufacturing and EPC Manufacturing Engineering & Projects Process Equipment Sugar Plants & Distilleries Air Pollution Control Equipment Iron & Steel Castings Industrial Boilers Boiler Tu
Slide 17: Catering to Wide Spectrum of Industries
Catering to Wide Spectrum of Industries Railways Power Fertilizer Cement Mines Ports Oil & Gas Steel Chemical Space Automobile Defence Sugar Distillery Paper Water Treatment s 03 February 2020 Investor 16Presentation 16
Slide 18: Serving Global and Domestic Clients
Serving Global and Domestic Clients 03 February 2020 Investor 17Presentation 17
Slide 19: Technology Infusion across the Years
Technology Infusion across the Years 1964 1985 1998 2006 2009 2010 2012 2016 2017 2020 Babcock John Thompson, Power USA UK Wet FGDs Boilers Envirotherm, Germany ESPs Riley HITZ Power Critical Process USA Rovetta Presse, Italy Equipment Process Mechanical Presses ABB Lummus Fired AP&T Heat Transfer H
Slide 20: Technology through R&D
Technology through R&D • Multi-Servo Motor Servo Press • Drag Link Drive Technology R&D Center at Yamunanagar (Govt. Registered) approved by DSIR 03 February 2020 Investor 19Presentation 19
Slide 21: Standing Strong with Global Quality Benchmarks
Standing Strong with Global Quality Benchmarks Conformitè Europëenne Quality Management System–Approved by Lloyds Register of Quality Assurance Environment Management Occupational Health & Safety System-Approved by DNV GL Management System Business Assurance National Board, USA, 'R’ Symbol, ‘NB’ Mar
Slide 22: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 21Presentation 21
Slide 23: Positioned No.1 / No. 2 in most Business Lines
Positioned No.1 / No. 2 in most Business Lines Market Leadership Rankings Hydraulic & Mechanical Presses Process Equipment Sugar Plants Slop Fired Boilers ET 500 279 (2019) Fortune India 500 259 (2019) CFB Boilers Oil & Gas Boilers Business Today 500 397 (2019) Traveling Grate Boilers Bubbling Bed B
Slide 24: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 23Presentation 23
Slide 25: Update on COVID-19 Impact (1/2)
Update on COVID-19 Impact (1/2) • All factories are working at full capacity. • Project sites in India as well as abroad are running normally, though there are still some manpower shortages. • Offices are working with about 50 – 65% workforce in office, on rotation basis. The rest of the office empl
Slide 26: Update on COVID-19 Impact (2/2)
Update on COVID-19 Impact (2/2) • We are getting good enquiries for most of our business divisions, particularly from PSU Companies. • Order book is good. Further, less than 1% of our existing orders from customers have been put on hold. • Collection of payments from customers has normalized. • Staf
Slide 27: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 26Presentation 26
Slide 28: Performance Highlights
Performance Highlights Q2FY21 – Robust Growth in Revenue & Profitability In INR Mn Total Revenue EBITDA PAT 1,475 778 14,352 13,516 10,749 964 453 831 419 YoY QoQ YoY QoQ YoY QoQ 6% 26% 78% 53% 72% 86% Q2FY20 Q1FY21 Q2FY21 Q2FY20 Q1FY21 Q2FY21 Q2FY20 Q1FY21 Q2FY21 H1 FY21 – Strong Operating Performa
Slide 29: Order Book Composition
Order Book Composition Others Private Chemical, 8% 48% PetroChemical and Water 8% PSU and Sector wise Government Auto Sector, Power 52% Engineering goods 36% and Material Handling 6% Steel, Cement and Industry wise Export Aluminium composition 19% 7% Geography wise Railways 19% Domestic 81% Sugar &
Slide 30: Financial Performance Trend
Financial Performance Trend In INR Mn Revenue EBITDA PAT 58,522 4,853 2,483 50,507 4,130 1,905 46,296 3,540 3,350 3,567 1,684 40,559 38,259 1,440 1,507 2,439 1,197 24,154 FY16 FY17 FY18 FY19 FY20 H1 FY16 FY17 FY18 FY19 FY20 H1 FY16 FY17 FY18 FY19 FY20 H1 FY21 FY21 FY21 Segment Revenue H1 FY21 26% 58
Slide 31: Key Ratios
Key Ratios Total Debt/Equity Interest Coverage Ratio Turnover Ratio 8.3 0.6 13.6 7.8 6.9 0.5 10.9 6.4 10.0 5.2 0.4 4.9 5.0 4.9 7.1 4.1 4.0 4.1 0.3 6.3 6.3 3.2 0.2 0.1 FY16 FY17 FY18 FY19 FY20 H1 FY21 FY16 FY17 FY18 FY19 FY20 H1 FY21 FY16 FY17 FY18 FY19 FY20 H1 FY21 * Total Debt includes all interest
Slide 32: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 31Presentation 31
Slide 33: Giving Back To Society: A Few of the Activities Undertaken
Giving Back To Society: A Few of the Activities Undertaken Solar Energy Systems executed across 37 Government Schools & other public places Rainwater Harvesting Systems executed across 26 Government Schools & other public places Aquifer Recharging Systems executed by Saraswati Sugar Mills (subsidiar
Slide 34: Agenda
Agenda 1 Company Overview 2 Business Capabilities 3 Market Leadership 4 COVID 19 Impact 5 Financial Performance 6 Giving Back To Society 7 Key Investment Highlights 03 February 2020 Investor 33Presentation 33
Slide 35: Key Investment Highlights
Key Investment Highlights Presence in Comfortably Leadership Continued Geographically Constant Multiple Core placed to position in focus on niche diversified Forays into Sectors- Survive Down most technologies portfolio Futuristic Spreading cycles businesses mitigating Business Market Risk concentra
Slide 36: Thank You
THANK YOU ISGEC HEAVY ENGINEERING LIMITED, INDIA [email protected] | www.isgec.com Registered Office Radaur Road, Yamunanagar - 135001, Haryana, India CIN No.: L23423HR1933PLC000097 03 February 2020 35
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