Kec International Ltd. · NSE:KEC
Kec International — Q2 FY24 Earnings Presentation
27 slides from Kec International's earnings presentation, Nov 2, 2023
Slide 1: Cover letter to stock exchanges: Press Release and Investor Presentation
KEC INTERNATIONAL LTD. RPG House 463, Dr. Annie Besant Road Worli, Mumbai 400030, India +91 22 66670200 [email protected] www.kecrpg.com November 01, 2023 National Stock Exchange of India Limited BSE Limited Exchange Plaza Phiroze Jeejeebhoy Towers Bandra Kurla Complex Dalal Street, Fort Bandra (E
Slide 2: Financial Performance for Quarter & Half Year Ended 30 September 2023
KEC INTERNATIONAL LTD. RPG House 463, Dr. Annie Besant Road Worli, Mumbai 400030, India +91 22 66670200 [email protected] www.kecrpg.com FINANCIAL PERFORMANCE FOR QUARTER & HALF YEAR ENDED 30 SEPTEMBER 2023 KEC delivers Strong growth in Revenue and Profitability Revenue grows by 11% in Q2 and 18%
Slide 3: Standalone Financial Performance, Order Intake and Net Debt
Standalone Financial Performance: Q2 FY24 v/s Q2 FY23* H1 FY24 v/s H1 FY23* Revenue: Rs. 3,982 crore against Rs. 3,736 crore Revenue: Rs. 7,684 crore against Rs. 6,584 crore EBITDA: Rs. 184 crore against Rs. 230 crore EBITDA: Rs. 353 crore against Rs. 464 crore EBITDA Margin (Y-o-Y): 4.6% against 6.
Slide 4: About KEC International Limited
About KEC International Limited KEC International is a global infrastructure Engineering, Procurement and Construction (EPC) major. It has presence in the verticals of Power Transmission and Distribution, Railways, Civil, Urban Infrastructure, Solar, Smart Infrastructure, Oil & Gas Pipelines, and Ca
Slide 5: KEC International Limited – Q2 FY24
KEC International Limited Investor Presentation – Q2 FY24 0 1 N ove mbe r 2 0 2 3 Power T & D Civil Railways Oil & Gas Pipelines Solar Cables
Slide 6: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,
Slide 7: Overview – RPG Group & KEC International
1 Overview – Hon’ble Prime Minister, Shri Narendra Modi, RPG Group & inaugurated the Priority Section, between Sahibabad to Duhai, of India's first RRTS project KEC International KEC is proud to have developed the Sahibabad & Ghaziabad Stations, Viaduct, and Duhai Depot for this first-of-its-kind re
Slide 8: RPG Group: Powered by Passion, Driven by Ethics
RPG Group: Powered by Passion, Driven by Ethics UNLEASHTALENT RPG Enterprises was founded in 1979. The group currently operates various businesses in Infrastructure, Technology, Life Sciences, Plantations and Tyre industries. The group has business history dating back to TOUCHLIVES 1820 AD in bankin
Slide 9: KEC International: Building Infrastructure for the World of Tomorrow
KEC International : Building Infrastructure for the World of Tomorrow Transmission Oil & Gas Railways Civil Urban Infra Solar Cables & Distribution Pipelines 7+ FOOTPRINT IN 110+ 300+ $2.1 8 7500+ 35+ DECADES BILLION ONGOING MANUFACTURING OF EXPERIENCE COUNTRIES FACILITIES EMPLOYEES NATIONALITIES &
Slide 10: Diverse Portfolio of Offerings
Diverse Portfolio of Offerings Newly Added Transmission Lines Factories Underground Cabling Water Airports Hospitals Substations Residential Buildings S&T Metros – Civil Metros - Tech Commercial Buildings OHE Track Laying Railway Bridges Data Centre TCAS - Kavach Automatic Signalling Solar Tunnel Ve
Slide 11: Board of Directors
Board of Directors H. V. Goenka Chairman, Non Executive Director Vimal Kejriwal A. T. Vaswani D. G.Piramal M.S. Unnikrishnan Nirupama Rao Managing Director Non Executive Non Executive Non Executive Non Executive & CEO Independent Director Independent Director Independent Director Independent Directo
Slide 12: Management Team
Management Team Vimal Kejriwal Managing Director & CEO Rajeev Agarwal Neeraj Nanda Anand Kulkarni Kaushal Kodesia Manjit Singh Sethi Nagesh Veeturi Chief Financial Officer President – Executive Director – Executive Director – Executive Director – Executive Director – Emerging Businesses Business Ope
Slide 13: Key Performance Highlights
2 Key Performance Highlights Honourable Chief Minister of Madhya Pradesh, Shri Shivraj Singh Chouhan, recently flagged off the trial run of Bhopal Metro KEC is proud to have constructed the Bhopal Depot for Madhya Pradesh Metro Rail Corporation Limited. 9
Slide 14: Financial Highlights Q2 & H1 FY24 – Growth Across Parameters
Financial Highlights Q2 & H1 FY24 – Growth Across Parameters Q2 FY24 vs Q2 FY23 Revenues EBITDA PBT PAT 11% 54% 148% 1% YoY YoY YoY YoY % 6.1% % 1.5% % 1.2% 4,499 Cr 274 Cr 66 Cr 56 Cr H1 FY24 vs H1 FY23 Revenues EBITDA PBT PAT 18% 50% 77% 14% YoY YoY YoY YoY % 5.9% % 1.3% % 1.1% 8,743 Cr 519 Cr 112
Slide 15: Improving Trajectory of Margins
Improving Trajectory of Margins EBITDA EBITDA % 6.1% 5.8% 5.1% 4.6% 4.4% 283 274 244 178 200 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 • EBITDA Margins continue to show an improvement over the last few quarters • EBITDA Margins for Q2 have increased by 170 basis points from 4.4% in Q2 FY23 to 6.1% in
Slide 16: Key Business Highlights – Q2 FY24
Key Business Highlights – Q2 FY24 T&D Civil Railways • Revenues of Rs. 2,209 Cr, growth of 7% YoY • Remarkable performance with Revenues of • Revenues of Rs. 776 Cr for the quarter • SAE delivered turnaround performance with Rs. 1,054 Cr, a healthy growth of 42% YoY • YTD Order intake of over Rs. 75
Slide 17: Financial Performance
3 Financial Performance Cables PVC Plant at Vadodara 13
Slide 18: Profit and Loss Summary (Consolidated)
Profit and Loss Summary (Consolidated) (₹ crore) Growth Growth Q2 FY24 Q2 FY23 H1 FY24 H1 FY23 (Y-o-Y) (Y-o-Y) Revenues 4,499 4,064 11% 8,743 7,382 18% EBITDA 274 178 54% 519 346 50% EBITDA Margins 6.1% 4.4% 5.9% 4.7% (+) Other Income 16 16 19 24 (-) Depreciation 47 40 88 79 (-) Interest 178 128 39%
Slide 19: Profit and Loss Summary (Standalone)
Profit and Loss Summary (Standalone) Growth Growth (₹ crore) Q2 FY24 Q2 FY23 H1 FY24 H1 FY23 (Y-o-Y) (Y-o-Y) Revenues 3,982 3,736 7% 7,684 6,584 17% EBITDA 184 230 -20% 353 464 -24% EBITDA Margins 4.6% 6.2% 4.6% 7.0% (+) Other Income 17 17 21 25 (-) Depreciation 37 31 69 62 (-) Interest 155 101 54%
Slide 20: Businesswise Revenue Performance (Consolidated)
Businesswise Revenue Performance (Consolidated) Growth Growth (₹ crore) Particulars Q2 FY24 Q2 FY23 H1 FY24 H1 FY23 (Y-o-Y) (Y-o-Y) T&D: 2,209 2,060 7% 4,349 3,690 18% - T&D (KEC) 1,876 1,839 2% 3,707 3,104 19% - SAE Towers 333 220 51% 641 586 9% Non T&D: 2,445 2,126 15% 4,705 3,957 19% - Civil 1,05
Slide 21: Borrowings & Working Capital (Consolidated)
Borrowings & Working Capital (Consolidated) (₹ crore) Increase/ Increase/ Particulars 30-Sep-23 30-Sep-22 (Decrease) 31-Mar-23 (Decrease) YoY QoQ I) Net Debt 4,491 3,548 943 2,872 1,619 II) Interest Bearing Acceptances 1,848 2,372 -524 2,113 -265 Total (I + II) 6,339 5,919 420 4,985 1,354 ❑ Net debt
Slide 22: Order Intake & Order Book (Consolidated)
Order Intake & Order Book (Consolidated) Order Intake – YTD FY24 Order Book – YTD FY24 T&D : 55% SAE : 5% T&D: 44% SAE : 4% 9% 2% 2% 2% 8% 13% Order Intake Order Book ~Rs 9,000 Cr. Rs 31,320 Cr. 48% 23% 60% 33% T&D Civil Railways Cables T&D Civil Railways Cables Oil & Gas Others * * Others include p
Slide 23: Business Outlook Looks Promising
Business Outlook Looks Promising TAILWINDS HEADWINDS • Government’s thrust on Infrastructure • Continued high interest costs • Enhanced capex in GCC countries • Supply chain pressure in T&D and Civil businesses • Uptick in private capex, especially in Realty and Metals & Mining • Subdued order intak
Slide 24: Environmental, Social and Governance (ESG)
Pehlay Akshar Schooling 4 Environmental, Social and Governance (ESG) Providing water connections to households as a part of our water business
Slide 25: ESG & Sustainability Goals and Status
ESG & Sustainability Goals and Status Happiness Diversity & Occupational Corporate Social Quotient Inclusion Heath & Safety Responsibility Target: Increase Happiness Target: Increase in diversity by Target: Work towards the Target: Reach 2 lac CSR Quotient to 85% by FY26 25% by FY26 goal of achievin
Slide 26: Sustainability Roadmap – Key Initiatives and Approach
Sustainability Roadmap – Key Initiatives and Approach • Action planning workshops across businesses to • Modernisation of plants & machinery and increase Happiness Quotient adoption of lean manufacturing practices for Happiness • Enhanced capabilities of our AI-powered chatbot, Circularity continuou
Slide 27: Thank You
THANK YOU Global Footprint in 110+ countries* *Includes EPC and Supply Follow us on: Registered Office RPG House, 463, Dr. Annie Besant Road, Worli, Mumbai - 400 030. Phone: +91-22-6667 0200 Email: [email protected] www.kecrpg.com