Slide 1: Investor Presentation
AUGUST 2018 KNR Constructions Limited Investor Presentation
Slide 2: Disclaimer
2 KNR Constructions Limited Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by KNR Constructions Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purcha
Slide 3: Key Highlights & Result Update
3 KNR Constructions Limited KEY HIGHLIGHTS & RESULT UPDATE
Slide 4: Standalone Financial Highlights
4 KNR Constructions Limited Standalone Financial Highlights Revenue (Rs. Million)* EBITDA (Rs. Million) PAT (Rs. Million) +16% +30% +9% 5,564 1,099 740 676 4,808 845 Q1 FY18 Q1 FY19 Q1 FY18 Q1 FY19 Q1 FY18 Q1 FY19 * Revenue from operations for the quarter ended 30th June, 2017 includes Rs. 168 milli
Slide 5: Standalone Financial Results
5 KNR Constructions Limited Standalone Financial Results Rs. Million Q1 FY19 Q1 FY18 YoY Net Sales 5,472.7 4,637.4 Other Operating Income * 90.9 170.1 Total Revenue 5,563.6 4,807.5 16% Operating Expenses 3,585.2 3,440.7 Employees Expenses 195.9 148.1 Other Expenditure 683.9 373.5 EBITDA 1,098.6 845.
Slide 6: Key Updates
6 KNR Constructions Limited Key Updates The company has received 5 HAM Road Projects worth of Rs. 56,112.10 million (BPC) 3 out of 5 HAM Projects have received sanction letters from Banks for funding the project The Company has been awarded as the “2nd Fastest Growing Construction Company (Medium Ca
Slide 7: Business Overview
7 KNR Constructions Limited BUSINESS OVERVIEW
Slide 8: Business Overview
8 KNR Constructions Limited Business Overview One of the leading companies providing Engineering, Procurement and Construction (EPC) services Major Projects in Roads & Highways – one of the fast growing sector Established presence in Irrigation and Urban Water Infrastructure Management VISION 20 yea
Slide 9: Transformation
9 KNR Constructions Limited Transformation • Received the biggest work with a order value of Rs. 8,250 • Crossed Revenue of Rs. 1995 • Incorporated & 2010 mn from Sadbhav Engineering 2016 10,000 mn on Standalone Commenced EPC Business Ltd for construction of Bijapur Basis Hungund Road project • Bagg
Slide 10: Management
10 KNR Constructions Limited Management Mr. K. Narasimha Reddy – Founder Promoter & Managing Director Over 50 years of experience in the Highway sector Started career in 1968 and engaged in the business of undertaking civil and mechanical contracts Extensive knowledge and experience in multi project
Slide 11: Supported by Professional Team
11 KNR Constructions Limited Supported by Professional Team Mr. T.L. Verma Mr. D. Tirupathi Reddy (Vice President - Projects) (GM – Projects) A Bachelor of Engineering (BE) from MITS Gwalior (MP) with Over 24 years of rich experience in various fields of Civil Over 35 years of total experience with
Slide 12: Key Business Strengths
12 KNR Constructions Limited KEY BUSINESS STRENGTHS
Slide 13: Significant Experience and Strong Track Record in Timely Execution of Projects
1 SIGNIFICANT EXPERIENCE AND STRONG TRACK RECORD IN TIMELY EXECUTION OF PROJECTS KNR Constructions Limited 13 Project Execution Top management’s active involvement at all stages of Project execution o Selection of Major Raw Material o Selection of construction Camp location Faster Decision making to
Slide 14: Pan India Project Execution Capability
14 KNR Constructions Limited Pan India Project Execution* Capability Bihar Arunachal Pradesh No of Projects 1 No of Projects 1 Uttar Pradesh Value of Projects Rs. 1,411 mn Value of Projects Rs. 920 mn No of Projects 4 Value of Projects Rs. 1,704 mn Assam No of Projects 2 Madhya Pradesh Value of Proj
Slide 15: Project Execution Highlights
15 KNR Constructions Limited Project Execution Highlights Cement Concrete Road • Completed Widening to 4/6 lanes and Strengthening of Existing two lane carriageway of NH – 5 in the State of Orissa for a length of 56.0 Kms with total contract value of work is Rs 2,310 mn • Existing road was widened &
Slide 16: World Class Construction Equipments
2 WORLD CLASS CONSTRUCTION EQUIPMENTS USE OF RIGHTRIGHT TOOLS FOR WORK KNR Constructions Limited 16 In-house Construction Equipment Sl. No. Name Of The Machinery Qty 1 Tippers & Tankers 827 2 Excavators 229 3 Compactors 90 4 Concrete Mixers And Pumps 100 5 Loaders 51 6 Pavers 36 7 Crushers 16 8 Grad
Slide 17: In-house Team of 1,250 Qualified and Experienced Employees
3 IN-HOUSE TEAM OF 1,250 QUALIFIED AND EXPERIENCED EMPLOYEES LED BY PROVEN MANAGEMENT TEAM KNR Constructions Limited 17 In-house Execution Team 1% 35% 38% Project Engineering Site Supervision Site Engineers Equipment Operators Admin & Office Staff 18% 8%
Slide 18: Host of Marquee Clients
4 HOST OF MARQUE CLIENTS KNR Constructions Limited 18 Reputed Clientele National Andhra Pradesh Ministry of Hyderabad Karnataka Karnataka Road Highways Road Development Road Transport Growth State Highway Development Authority of Corporation & Highways Corridor Improvement Corporation India (NHAI) (
Slide 19: BOT Portfolio
19 KNR Constructions Limited BOT PORTFOLIO
Slide 20: BOT Portfolio – Annuity Projects
20 KNR Constructions Limited BOT Portfolio – Annuity Projects Particulars Patel KNR Infrastructures limited (PKIL) Patel KNR Heavy Infrastructures Limited (PKHIL) Stake 40% 40% Project Details Project Type Road-Annuity Road-Annuity State Karnataka Telangana JV Partner PEL PEIL Client NHAI NHAI Lengt
Slide 21: BOT Portfolio – Toll Projects
21 KNR Constructions Limited BOT Portfolio – Toll Projects Particulars KNR Walayar Tollways Private Limited KNR Muzaffarpur Barauni Tollway Private Limited Stake 100% 51% Project Details Project Type Road-Toll Road-Toll State Kerala Bihar JV Partner - JKM Infra Project Ltd Client NHAI NHAI No of Lan
Slide 22: HAM Portfolio
22 KNR Constructions Limited HAM Portfolio Particulars Trichy to Kallagam Meensurutti to Chidambaram Chittor to Mallavaram Ramsanpalle to Mangloor Magadi to Somwarpeth Stake 100% 100% 100% 100% 100% Project Type Hybrid Annuity Hybrid Annuity Hybrid Annuity Hybrid Annuity Hybrid Annuity Project Detai
Slide 23: Walayar–Vadakkancherry Project
23 KNR Constructions Limited Walayar –Vadakkancherry Project KNR Walayar Tollways Private Limited is a wholly owned subsidiary of KNR Constructions Limited, incorporated as an SPV for execution of Walayar Road Project Provisional Completion Certificate for 100% of Project length has been issued for
Slide 24: Muzaffarpur - Barauni Project
24 KNR Constructions Limited Muzaffarpur - Barauni Project KNR Muzaffarpur Barauni Tollway Private Limited is a Step down subsidiary of KNR Constructions Limited, incorporated as an SPV for execution of Muzaffarpur -Barauni Road project on BOT (Toll) basis Provisional Completion Certificate for 75%
Slide 25: Order Book & Business Strategy
25 KNR Constructions Limited ORDER BOOK & BUSINESS STRATEGY
Slide 26: Order-book Break-up
26 KNR Constructions Limited Order-book Break-up Central Govt. 61% Others Captive 0% 100% State Govt. 39% Captive State Govt. Central Govt. Others ORDER BOOK OF RS. 19,800 MILLION AS ON 30TH JUNE 2018
Slide 27: Order-book Highlights
27 KNR Constructions Limited Order-book Highlights Roads - Non Irrigation 22% Key Projects Rs. mn Captive 78% Others Hubli – Hospet Section of NH - 63 5,205 0% Thiruvananthapuram Bypass 2,707 State Road from Gobuk – Mariyang – Sijhon Nallah in 1,742 Arunachal Pradesh Dindigul-Bangalore Road (Pollach
Slide 28: HAM Projects Won
28 KNR Constructions Limited HAM Projects Won 39,750^ 59,550 Bid Project Cost Rs. million HAM Order Wins (Rs. mn) 4 Laning of Trichy to Kallagam Section of NH-227 under Bhartmala 10,206.0 Pariyojana (Residual Project under NHDP) in the state of Tamil Nadu 2 Laning with Paved Shoulder of Meensurutti
Slide 29: Order-book: State-wise
29 KNR Constructions Limited Order-book: State-wise Arunachal Pradesh No of Projects 1 Balance Value Rs. 1,742 mn Karnataka No of Projects 9 Balance Value Rs. 6,236 mn AP & Telangana No of Projects 8 Balance Value Rs. 4,483 mn Kerala No of Projects 3 Balance Value Rs. 2,726 mn Tamil Nadu No of Proje
Slide 30: Business Strategy
30 KNR Constructions Limited Business Strategy Focus on Projects involving Higher degree of engineering skills Focus on securing Continuously explores EPC contracts from growth opportunities reputed Clients and by forming strategic Concessionaire Joint Ventures (JVs) Capitalise on Execute all the Op
Slide 31: Financial Highlights
31 KNR Constructions Limited FINANCIAL HIGHLIGHTS
Slide 32: Standalone Financial Results
32 KNR Constructions Limited Standalone Financial Results Rs. Million FY18 FY17 YoY Net Sales 18,756.4 15,325.4 Other Operating Income * 560.2 85.1 Total Revenue 19,316.6 15,410.5 25% Operating Expenses 12,854.4 11,145.1 Employees Expenses 721.2 552.4 Other Expenditure 1,879.7 1,417.3 EBITDA 3,861.3
Slide 33: Standalone Balance Sheet
33 KNR Constructions Limited Standalone Balance Sheet ASSETS (Rs. Millions) Mar-18 Mar-17 EQUITY & LIABILITIES (Rs. Millions) Mar-18 Mar-17 Non-Current Assets Equity Property, plant and equipment 3,313.7 2,606.9 Equity Share capital 281.2 281.2 Capital work-in-progress 0.2 15.3 Other equity 11,297.1
Slide 34: Consolidated Financial Results
34 KNR Constructions Limited Consolidated Financial Results Rs. Million FY18 FY17 YoY Total Revenue 20,696.0 16,795.9 23% Operating Expenses 13,390.5 11,893 Employees Expenses 739.6 586 Other Expenditure 2,081.1 1,678 EBITDA 4,484.76 2,639.62 70% EBITDA margin 21.7% 15.7% Other Income 557.9 329.6 De
Slide 35: Consolidated Balance Sheet
35 KNR Constructions Limited Consolidated Balance Sheet ASSETS (Rs. Millions) Mar-18 Mar-17 EQUITY & LIABILITIES (Rs. Millions) Mar-18 Mar-17 Non-current assets Equity Property, plant and equipment 3,336.9 2,630.9 Equity Share capital 281.2 281.2 Capital work-in-progress 11.5 26.6 Instruments Entire
Slide 36: Standalone Financial Highlights
36 KNR Constructions Limited Standalone Financial Highlights* Financial Year 2010 2011 2012 2013 2014 2015 2016^ 2017^ 2018^ Rs. 7,125 Rs. 7,930 Rs. 7,505 Rs. 6,921 Rs. 8,348 Rs. 8,761 Rs. 9,025 Rs. 15,411 Rs. 19,317 Turnover $118.6 $132.0 $125.0 $115.2 $139.0 $140.0 $136.1 $238.3 $296.9 Rs. 1,121 R
Slide 37: Standalone Financial Highlights
37 KNR Constructions Limited Standalone Financial Highlights Revenue & EBITDA (Margin %) EBITDA 15.7% 17.1% 17.8% 16.8% 15.1% 14.4% 16.9% 14.9% 20.0% Margin (%) 19,317 15,411 7,930 8,348 8,761 9,026 7,125 7,505 6,921 EBITDA 3,861 1,121 1,356 1,338 1,164 1,258 1,261 1,529 2,296 Revenue 2010 2011 2012
Slide 38: Standalone Net Working Capital Days
38 KNR Constructions Limited Standalone Net Working Capital Days 79 69 53 52 48 52 40 43 41 30 28 26 23 18 20 19 16 16 15 15 15 17 13 14 12 14 14 12 7 98 10 66 45 64 51 74 53 39 45 28 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Jun-18 Inventory Debtors Creditors Net Working Capita
Slide 39: Shareholding Pattern as on 30th June 2018
39 KNR Constructions Limited Shareholding Pattern as on 30th June 2018 14.07% Shareholders Holding more than 1% of the Equity % to Equity (Other than Promoters) HDFC Mutual Fund 6.76% DSP Blackrock Mutual Fund 5.85% 27.29% 55.38% ICICI Mutual Fund 5.13% L&T Mutual Fund 3.12% Tata Mutual Fund 2.02% F
Slide 40: Other Businesses
40 KNR Constructions Limited Other Businesses Strong growth opportunity in development of Agricultural Infrastructure Execution of Irrigation & Water Supply Projects with Joint Venture Partners Executed 3 Projects in Telangana & 1 Project in Bihar Executed an Urban Water Infrastructure project in th
Slide 41: Project Gallery
41 KNR Constructions Limited PROJECT GALLERY
Slide 42: Completed Projects
42 KNR Constructions Limited Completed Projects Eturunagaram Bridge over river KNR Walayar Toll Road Godavari
Slide 43: Completed Projects
43 KNR Constructions Limited Completed Projects Walayar Toll plaza Muzaffarpur-Barauni Road Project
Slide 44: Under-Construction Projects
44 KNR Constructions Limited Under-Construction Projects Coimbatore Flyover Coimbatore Flyover
Slide 45: Under-Construction Projects
43 KNR Constructions Limited Under-Construction Projects Flyover in Madurai - Salem Flyover Ramanathpuram Section
Slide 46: Equipments
44 KNR Constructions Limited Equipments Salem work yard Tippers on site
Slide 47: Irrigation Projects
45 KNR Constructions Limited Irrigation Projects Palamurru lift Irrigation
Slide 48: Irrigation Projects
46 KNR Constructions Limited Irrigation Projects Palamurru lift Irrigation
Slide 49: For further information, please contact
47 KNR Constructions Limited For further information, please contact Company : Investor Relations Advisors : Strategic Growth Advisors Pvt. Ltd. KNR Constructions Ltd. CIN: U74140MH2010PTC204285 CIN: L74210DL1995PLC238364 Mr. Jigar Kavaiya / Mr. Rohan Adhiya Mr. K. Venkata Ram Rao (GM - Finance & Ac