Kec International Ltd. · NSE:KEC
Kec International — RPG Annual Investor Conference 2023
31 slides from Kec International's conference presentation, Jun 14, 2023
Slide 1: Intimation of Analyst/Institutional Investors meet
KEC INTERNATIONAL LTD. RPG House 463, Dr. Annie Besant Road Worli, Mumbai 400030, India +91 22 66670200 kecindia@kecrpg.com www.kecrpg.com June 14, 2023 National Stock Exchange of India Limited BSE Limited Exchange Plaza Phiroze Jeejeebhoy Towers Bandra Kurla Complex Dalal Street, Fort Bandra (East)
Slide 2: KEC International Limited – RPG Annual Investor Conference
hello happiness KEC International Limited RPG Annual Investor Conference 15 June 2023
Slide 3: 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 4: KEC Overview & Key Highlights
1 KEC Overview & Key Highlights Elevated Viaduct at Kochi Metro Project 3
Slide 5: KEC at a Glance
KEC at a Glance $ 2.1 Billion 7+ Decades 110 Countries 300+ Revenues Experience Footprint Ongoing Projects 17,282 8 17,282Cr Cr 17,282 17,282Cr 7,500+ Cr 17,282 17,282Cr 17,282 Cr 35+ Cr 17,282 Cr $ 1.7 Billion Manufacturing Revenues Revenues Revenues Revenues Revenues Facilities Employees Revenues
Slide 6: Building the World of Tomorrow
Building the World of Tomorrow Transmission & Distribution Civil Urban Infra Railways Cables Solar Smart Infra Oil & Gas Pipelines
Slide 7: Diverse Portfolio of Offerings
Diverse Portfolio of Offerings Transmission lines Substations Underground Cabling Solar Plant Smart City Overhead Electrification (OHE) Track Laying Signalling & Telecomm. (S&T) Railway bridges Stations & Platforms Metros - Tech Tunnel Ventilation Depot & Workshops Speed Upradation TCAS - Kavach Fac
Slide 8: Performance Snapshot FY23
Performance Snapshot FY23 Revenues EBITDA Order Intake NWC 17,282 Cr 4.8% 22,378 Cr 118 Days • Robust revenue growth of • Margins of the last two • Highest ever order intake • Significant reduction in 26% YoY against the quarters have improved of Rs. 22,378 Cr, stellar Net Working Capital by 19 guid
Slide 9: Diversified and Robust Order Book
Diversified and Robust Order Book Developed a well-diversified portfolio to de-risk and accelerate growth (₹ crore) Order Book Mar’23 Solar Others Oil & Gas 2% 2% T&D ~14,300 3% Civil ~10,100 Railways 13% Railways ~4,050 T&D 47% Oil & Gas Pipelines ~850 Civil 33% Solar ~750 Others* ~500 *Others incl
Slide 10: Business Highlights
2 Business Highlights Railway line doubling & composite works, Kharagpur, West Bengal 9
Slide 11: Transmission & Distribution – Powering the Globe
Transmission & Distribution – Powering the Globe • Global EPC footprint in 70 countries • Achieved Revenues of Rs. 8,809 Cr in FY23, impressive growth of 27% YoY • Significant traction in order inflows with a staggering growth of 41% YoY - Order intake of ~Rs. 10,500 Cr across India, Middle East, SA
Slide 12: India T&D
India T&D • Secured orders of over Rs. 4,000 Cr, a robust growth of 2.8 times YoY – 70% of these orders are for transmitting renewable energy • Forayed into emerging areas of Digital Gas Insulated substations and HVDC terminal stations • Expanded customer base to include power producers and refineri
Slide 13: International T&D
International T&D • Consolidated leadership position in Middle East by re-entering Kuwait and securing large interconnection orders • Witnessing a significant traction in Tower supply orders which stand at over Rs. 2,000 crore across the Middle East, North and South Americas • Reinforced presence in
Slide 14: SAE Towers
SAE Towers STRUCTURES HARDWARE POLES TOWER DESIGN & TESTING Tower Solar Substation • Achieved Revenues of Rs. 1,324 Cr in FY23 – Growth of 50% • Significant losses in EPC projects impacted margins; all EPC projects have been completed in Q3 FY23 • Delivered positive EBITDA in Q4 FY23; Refinancing of
Slide 15: Civil – Exponential Growth Trajectory
Civil – Exponential Growth Trajectory last 5 years Revenue Capability Projects Order Book 12x Growth 32x Built 70+ Ongoing 25x Growth FY18 – Rs. 268 Cr FY18 – 110 people 40+ projects delivered FY18 – ~Rs. 400 Cr FY23 – ~Rs. 3,300 Cr Current – 3,500+ people successfully Current – ~Rs. 10,000 Cr Metro
Slide 16: Urban Infra
Urban Infra ▪ Currently executing 9 large civil projects in Urban infra (7 Metro and 2 Depot projects) ▪ KEC’s first metro project, encompassing viaduct, stations and ballast-less track, for Kochi Metro has started commercial operations ▪ Successful trial runs have been started on India’s first RRTS
Slide 17: Water
Water Water Treatment Plant • Secured single largest order in history of KEC - Rs. 2,060 Cr. • Order book of over Rs. 4,000 Cr comprising - intake well, water treatment plants, pumping stations, reservoirs and cross-country water pipelines • Will provide water supply to ~7,00,000 households across v
Slide 18: Buildings and Factories
Buildings and Factories Residential Project at Pune, Maharashtra • Strengthened foothold in Residential buildings with multiple orders • Forayed into Commercial buildings • Industrial - Very strong presence in Metals & Mining sector; expanded presence beyond Cement and Auto with orders in Paints, Ph
Slide 19: Data Centres
Data Centres Data Centre Project at Hyderabad, Telangana • Currently executing 4 Data centre projects PAN India for Govt. and Private clients • Integrated value proposition for clients including Civil Infra, MEP (Mechanical, Electrical, Plumbing), Substation, Cables and Solar • Significant opportuni
Slide 20: Railways – Expected to Pick up
Railways – Expected to Pick up • Achieved Revenues of Rs. 3,701 Cr for the year • Leadership in OHE - Successfully executed ~24% of India’s railway electrification in FY23, highest in the industry • Order intake subdued at ~Rs. 2,900 Cr, growth of 15% vis-à-vis last year • Tender pipeline expected t
Slide 21: Railways – Diversification in Emerging Areas
Railways – Diversification in Emerging Areas Diversification journey continues in emerging areas of speed and technology Conventional: Metros: • Forayed in new areas of Train Collision Avoidance System • Expanded presence in the tech-enabled areas of metros (TCAS) under ‘KAVACH’ and Automatic Block
Slide 22: Oil & Gas Pipelines – Scaling up
Oil & Gas Pipelines – Scaling up • Delivered commendable performance post integration of KEC Spur Infrastructure - Revenues of Rs. 483 Cr., strong growth of 2.7 times vis-à-vis last year • Order intake ~Rs 500 Cr - Entry in composite station works which help to augment pipeline laying capacity • Str
Slide 23: Solar – Enabling Green Portfolio
Solar – Enabling Green Portfolio • Refocusing on the Solar business in line with the Government’s renewed thrust on Solar & Wind power • Green Hydrogen and associated renewable energy capacity addition of about 125 GW in the country by 2030 • Secured a mega solar project of 500 MW in Karnataka; one
Slide 24: Cables – Gaining Momentum
Cables – Gaining Momentum Cables facility in Vadodara, Gujarat 380 kV DC Underground Cabling project, Saudi Arabia • Achieved highest ever Revenues, Order Intake and Profitability in FY23 • Significantly positive cash flows – ROCE >100% • Strategic partner to Railways and T&D businesses • Strengthen
Slide 25: Environmental, Social and Governance (ESG)
3 Environmental, Social and Governance (ESG) Solar rooftop installed at Dubai plant 24
Slide 26: Our ESG Journey
Our ESG Journey FY 2023 ✓ All the goals and targets are on track FY 2022 ✓ Widened the scope of CSR committee ✓ Several ESG initiatives deployed to cover ESG & Sustainability and renamed as ‘Sustainability and CSR FY 2021 ✓ Governance structure committee’ established for timely reviews by ✓ Develope
Slide 27: Key Initiatives
Key Initiatives Environment Social • Installation of solar rooftop at Dubai plant in addition • Action planning workshops across businesses to increase to existing rooftop at Nagpur and Jaipur Happiness Quotient • Induction furnaces installed at all 4 transmission • Dedicated focus on Diversity & In
Slide 28: Way Forward
4 Way Forward Industrial project at Tiruvallur, Tamil Nadu 27
Slide 29: Exciting Times…
Exciting Times… Economic Business How are we Outlook Outlook placed? • Revival in outlook of SAE Towers • Margins improved sequentially • Government’s thrust on 4.4% to 5.1% in last two quarters - Infrastructure continues – Large • Civil will continue to be largest Confident of further improvement i
Slide 30: Looking Ahead… Guidance FY24
Looking Ahead… Profitable Growth through focused Business & Guidance FY24 Geographical Diversification Revenues 20,000 Cr + Strengthening Balance Sheet through Sustained Cash Flow Generation Order Inflows 25,000 Cr + Embedding industry leading practices - ESG EBITDA ~7% Building a World Class Engine
Slide 31: hello happiness
eid hello happiness RPG | KEC
KEC International — RPG Annual Investor Conference 2023 on 6ix