Ahluwalia Contracts (india) Limited · NSE:AHLUCONT

Ahluwalia Contracts (india) — Investor Presentation (May 2018)

49 slides from Ahluwalia Contracts (india)'s investor presentation, May 2018

1. Slide 1: Ahluwalia Contracts (India) Limited - Transcending to the next orbit of growth

   AHLUWALIA CONTRACTS (INDIA) LIMITED [ACIL] Total Engineering Solutions Transcending to the next orbit of growth 1 May. 2018

2. Slide 2: What is the transcending to the next orbit of growth?

   What is the transcending to the next orbit of growth?  Moving into another orbit of growth is not incremental, it is a quantum shift.  It is not adding to growth but multiplying growth at a different, higher level altogether.  It requires not just to do things better, but to do better things.  I

3. Slide 3: The growth story so far… a snapshot

   The growth story so far… a snapshot ACIL is an integrated construction company with many milestones underlining its growth odyssey: 5+ decades of offering turnkey solutions in engineering and designing to public and private sectors 45+ ongoing projects across High Rise Residential, Commercial Comple

4. Slide 4: Powered by an enduring vision, mission and values

   Powered by an enduring vision, mission and values Our business is founded on our vision of excellence and steered by our mission of continuous enhancement, as we move towards the next milestone in our journey. Vision Values that To be the company of choice for construction of complex drive us buildi

5. Slide 5: What is the next orbit of growth?

   What is the next orbit of growth?  In the construction business, demand is driven by economic growth.  Given an expanding economy, we will reach the next orbit – where opportunities are larger, the canvas is bigger, and demand multiplies with an expanding economy and market. 5

6. Slide 6: The Indian infrastructure sector has received a much needed boost

   The Indian infrastructure sector and in particular, the construction sector has received the much needed boost in the year gone by. Let us first study these initiatives and look at the opportunity matrix through ACIL’s eyes 6

7. Slide 7: The orbit of expanding Opportunities

   The orbit of expanding Opportunities 1.4 Bn: Expected size of Indian population by 2025 USD 974 Bn: Investment needed in India’s cities until 2025 USD 1 Tn: Amount to be expended during the 12th FYP on infrastructure through PPP mode 62%: Total investment required in roads & infrastructure 8 times:

8. Slide 8: The orbit of expanding Opportunities

   The orbit of expanding Opportunities  Relaxation on FDI Norms in construction industry  US$ 1 trillion investment in infrastructure targeted in 12th FYP, 50% from the private sector  New rail corridors such as agri-rail and tourist rail networks creating opportunities requiring real estate for th

9. Slide 9: The orbit of expanding Opportunities

   The orbit of expanding Opportunities  Creating an infrastructure status to affordable housing project.  Highest ever allocation to the infrastructure Development (INR 3.96 lacs crore).  RARE (Real estate regulation & development Act 2016) has been introduced from 01 May 2017.  Providing efficien

10. Slide 10: Construction industry preparing to enter one of its most exciting phases

    As a result of the above, the construction industry is preparing itself to enter one of its most exciting phases ever. ACIL is ideally positioned to transcend to the next orbit of growth by harping on these opportunities. Our focus on building new age infrastructure that will transform the face of I

11. Slide 11: What makes us prepared to transcend to the next orbit of growth?

    So what is it that makes us prepared to transcend to the next orbit of growth?  Visionary management team  Expeditious strategic thinking  Synergistic strengths and expertise in operations  Engineering strengths and execution capabilities  Technological prowess  Sound fiscal position 11

12. Slide 12: Our visionary management steers our thinking

    Our visionary management steers our thinking Mr. Bikramjit Ahluwalia (Founder, Promoter and CMD)  A Civil Engineer, involved in the construction activities for last 50 years.  Awarded by the Government of India for his valuable services in the Asian Games, 1982 & was also awarded by the Finance Mi

13. Slide 13: Reaching the next orbit of growth requires visionary thinking

    Reaching the next orbit of growth requires visionary thinking.  Not business as usual, but new, radical thinking that is futuristic.  It requires people of a new mindset with a vision that matches the direction of the economy.  It requires a new alignment of the management vision and strategic th

14. Slide 14: Expeditious strategic thinking

    Expeditious strategic thinking The Leadership team at ACIL has formidable competencies and possesses extensive experience across multiple disciplines in the core construction business. The strategic leadership capabilities are endorsed by a plethora of measures that have been undertaken.  Higher fo

15. Slide 15: Synergistic strengths and expertise in operations

    Strategic thinking, matched by synergistic strengths and expertise in operations State-of-the-art Wide service In-house Timely mechanized portfolio offerings capabilities to construction & solutions offered through robust ensure high quality delivery of projects through excellent business flow stand

16. Slide 16: Our in-house engineering capacities and proven execution capabilities

    Our in-house engineering capacities and proven execution capabilities Aluminium Design, supply and Turnkey installation of aluminium Piling to Facades and construction pre-cast-pre-stressing doors, windows, structural work Building gazing, glass facade and Glasses aluminium cladding works In-house D

17. Slide 17: Rethinking our ways of execution

    Rethinking our ways of execution  Transcending to the next level of growth will not happen if we do more of what we did.  There is a need to adopt new technologies, new ways of working, and add efficiencies and multiply results. 17

18. Slide 18: Introducing new technology and new methods of construction

    Introducing new technology and new methods of construction Our commitment towards creating an efficient organisation is reflected through continuous investments for upgradation of technology, systems and process. Strategy  Collaborated with a Russian entity to build structures using patented high –

19. Slide 19: Our iconic project portfolio is a showcase of our commitment

    On these pillars of strengths is built our delivery platform. We have, till date, delivered projects across 14+ states. Our buildings speak the language of the people they are home to. Creating an environment that invigorates the senses and expands the horizons of the mind. Our iconic project portfo

20. Slide 20: Corporate and office projects

    Rethinking our ways of execution  Head quarters for Securities Exchange Board  Cyber Green IT Park at Gurgaon of India at Mumbai  Corporate Tower for EROS Group at New  Indian Institute of Corporate Affairs at Delhi Manesar  India Resident Mission for ADB at New Delhi  Local Head Quarters for

21. Slide 21: Facilities for Generation Next

    Facilities for Generation Next  Rohini East Metro station for Delhi Metro Rail Corporation  Rohini West Metro station for Delhi Metro Rail Corporation  Pitampura Metro station for Delhi Metro Rail Corporation  Seelampur Metro station for Delhi Metro Rail Corporation  Dwarka Depot for DAMEPL at

22. Slide 22: Centres of education excellence

    Centres of education excellence  IIT – TIFAC building at Delhi  Ahlcon International School at New Delhi  Indian Institute of Information  Ahlcon Public School at New Delhi Technology (IIT-D) at Delhi  Academic Block for Delhi University at  National Institute of Fashion Technology North Campu

23. Slide 23: Homes that breathe happiness

    Homes that breathe happiness  Commonwealth Games Village (34  Brigade Metropolis & Gateway Towers at Towers 2B+G+8) at Delhi Bangalore  South City (4 Towers G+ 35) at Kolkata  Tata Housing at Gurgaon  Tata Aquila Housing (G+35) at Bangalore  Housing Complex at Bakarwala in Delhi  India Bulls

24. Slide 24: Industrial landscapes of innovation

    Industrial landscapes of innovation  Aluminum Smelter Plant for Vedanta Aluminum Limited.  Cielo Car Plant for Daewoo Motors  Holland Tractor Plant at Greater Noida  Fiat Automobile plant at Pune  Moser Baer plant at Greater Noida  Expansion of Apollo Tyre Plant at Baroda  Cold Rolling Mill f

25. Slide 25: Hospitality hubs of distinction

    Hospitality hubs of distinction  ITC Gardenia Hotel, Bangalore  IBIS Hotel at New Delhi, Bangalore &  (World’s largest Platinum rated 7 Star Nasik Hotel)  Hotel Holiday Inn for Waves Hospitality  ITC Grand Central Seven Star Hotel at at New Delhi Mumbai  Hotel for Novotel & Pullman at New  Ho

26. Slide 26: Healthcare units for ultimate care

    Healthcare units for ultimate care  Artemis Hospital for Apollo Tyre Group at Gurgaon  Fortis Hospital at Noida  Fortis Hospital at Shalimar Bagh, New Delhi  Apollo Gleneagles Hospital at Kolkata  AIIMS Trauma Center at New Delhi  B.L. Kapoor Memorial Hospital at New Delhi  Escorts Heart & Su

27. Slide 27: Seats of prestige for the nation

    Seats of prestige for the nation  Chief Minister’s Secretariat at New Delhi  Goa Legislative Assembly at Goa  Asian Development Bank Building at New Delhi  Singapore Chancery Complex at New Delhi  Bangladesh High Commission at New Delhi  Milon Mela Permanent Trade Fair Complex at Kolkata  Apo

28. Slide 28: Top Ongoing Project

    Top Ongoing Project Value Value of Project Net o/s (Rs. Mn.) (Rs. Mn.) HSCC Ltd: Construction of Mother & Child, OPD Block & Other Associates Services 4,981 1,306 in AIIMS Campus Ansari Nagar New Delhi Housing Development and Infrastructure Ltd: Construction of Residential Building at 4,237 2,434 Mu

29. Slide 29: Top Ongoing projects (contd.)

    Top Ongoing projects (contd.) Value Value of Project Net o/s (Rs. Mn.) (Rs. Mn.) Amity University : Construction of university Campus at Kolkata 2,750 494 CPWD: Construction of redevelopment of general pool Residential colony at New Delhi 2,550 2,530 HSCC Ltd: Construction of Hospital Building for C

30. Slide 30: Other ongoing projects

    Other ongoing projects  Construction of Regional centre for National Security Guard Kolkata.  Construction of Residential Building for EROS Group at Greater Noida.  Civil, Finishing & Plumbing Works for Tata Medical Centre Kolkata.  Precast work of superstructure residential building for Umang R

31. Slide 31: Marquee clientele

    Marquee clientele Agilent Technologies anSaL Al uilding lifestyles since 1967 ve TATA ie ae pose le ARTEMIS Leadership with trust jdence “@\ DLF& Ca e n ce wo BUILDING INDIA FORTIS EY, THE LEELA Ke Ex SAFCI Gille=f#te ‘JET AIRWAYS@ OH YATT, — we 1 fet reefs te, @/D Mahindra a v4 Sox a _ BSNL. moserb

32. Slide 32: Strong network of channel partners

    Strong network of channel partners  Kerry Hill, Singapore  SCDA Architects, Singapore  JV Consults, Germany  Gherzi Eastern Ltd.  Ralph Lerner Architects – USA  Charles Corrhea  Hafeez Contractor  Tata Projects Ltd.  Tata Consulting Engineers 32

33. Slide 33: Where does the sum of the past and the essence of the future bring us?

    Where does the sum of the past and the essence of the future bring us to? Our strategically focused direction, intrinsic strengths and strong execution capabilities have enabled us to move ahead on the path of growth and progress. They have helped us create a robust Order Book… Current order book of

34. Slide 34: Segmentwise Ongoing projects

    Sagmentwise Ongoing projects Order Book as on 31st March., 2018 Segment (Rs. in Crore) Percent (%) Commercial 227 08% Hospital 586 19% Hotels 9 Infrastructure 266 9% Institutional 1038 33% Residential (Pvt) 573 20% Residential (Govt) 375 11% Total 3074 100% 34

35. Slide 35: Our increasing footprints in the Govt. sector

    Our increasing footprints in the Govt. sector Order Book break-up as on 31th March., 2018 34% Private Public 66% 35

36. Slide 36: Our diversified regional presence

    Our diversified regional presence Net Order Book as on 31th March 2018 31% East 55% West North 14% 36

37. Slide 37: Our sound fiscal position

    Our sound fiscal position Net Order Book Stock ticker More than Market Turnover BSE Scrip code: 532811 Rs. 30742 Mn as on capitalisation Rs. 16,466Mn for 31st March 2018, likely NSE Scrip code: Rs. 27,000 Mn FY 2017-18 execution over the next AHLUCONT two & half years ACIL Share price performance (R

38. Slide 38: Financial highlights

    Financial highlights Order Book (INR Cr) Income from Operations (INR Cr) 8000 2000 6914 6541 1689 1647 1568 5847 5735 5538 5895 6231 1363 1388 1427 6000 5300 5221 1500 1250 1060 960 4000 1000 2000 500 0 0 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY17 EBITD

39. Slide 39: Financial highlights

    Financial highlights Parameters Unit FY09 FY10 FY11 FY12 FY13 FY14 FY 15 FY 16 FY17 FY18 Operational Gross Order Rs. 41,433 53,000 58,471 57,358 55,382 52,213 58,952 63,311 69136 65415 Book Mn. Growth % 32 28 10 (02) (03) (06) 13 07 09 (05) Net Order Rs. 26,454 30,047 34,850 32,977 25,860 24,427 33,

40. Slide 40: Financial highlights

    Financial highlights Parameters Unit FY09 FY10 FY11 FY12 FY13 FY14 FY 15 FY 16 FY 17 FY18 PAT Rs. Mn 577 817 708 (406) (762) 217 641 844 863 1154 PAT Margin % 4.95 5.2 4.18 (2.95) (5.48) 2.26 6.05 6.76 6.05 7.01 EPS Rs. 9.20 13.03 11.28 (6.47) (12.15) 3.46 10.00 12.60 12.84 17.23 RONW % 32.51 32.27

41. Slide 41: Financial Highlights

    Financial Highlights Period 4Q FY 18 4Q FY 17 Total Income (in Cr.) 446.77 471.86 EBITDA (in Cr.) 53.38 42.89 EBITDA Margin 11.95% 09.09% DEPRECIATION 6.54 6.44 Finance Cost 4.24 7.62 PBT 45.27 30.89 PAT (in Cr.) 31.00 20.13 PAT Margin (%) 6.95% 4.27% 41

42. Slide 42: Higher profitability to be supported by an improving balance sheet position

    Higher profitability to be supported by an improving balance sheet position, higher efficiency, stronger execution capabilities, stronger order book and a credible management team. Further scope of margin improvement due to a higher proportion of Government orders, better operating efficiencies alon

43. Slide 43: Return on Capital Employed

    Return on Capital Employed Return on Capital Employed (%) 60% 50% 48% 40% 40% 40% 37% 32% 33% 30% 30% 29% 27% 20% 16% 10% 0% FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 -10% -6% -9% -20% 43

44. Slide 44: Return on Net Worth

    Return on Net Worth Return on Net Worth (%) 50.00% 41.31% 40.00% 30.00% 32.27% 31.20% 32.51% 22.75% 22.02% 21.00% 20.00% 18.49% 20.47% 10.00% 9.61% 0.00% FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 -10.00% -14.47% -20.00% -30.00% -37.28% -40.00% -50.00% 44

45. Slide 45: Positive outlook: Transitioning to the India we dream to build...

    Positive outlook: Transitioning to the India we dream to build...  Leaving behind the floundering economy and the policy paralysis witnessed over the past year, the Indian electorate’s mandate has ushered positivity, optimism and uplifted the business sentiment within the country.  The government’

46. Slide 46: Strong growth drivers

    Strong growth drivers  Rising income - Real annual personal disposable income has been increasing steadily for the past five years, and is projected to grow at a steady rate of 8-10 percent annually over the next couple of years  Wealth creation - Real Estate Holdings - personal and corporate have

47. Slide 47: Our way forward…

    Our way forward…  To create new benchmarks in excellence & quality.  To build new-age infrastructure that will transform the face of India.  To expand and deepen presence across sectors of presence and enter new sectors of future growth.  To leverage best-in-class technology and world-class equi

48. Slide 48: Are you ready to reach for the next orbit in our growth?

    Are you ready to reach for the next orbit in our growth? 48

49. Slide 49: Disclaimer

    Disclaimer The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the applicable laws and regulations as amended from time to time. There is no representation that all information relating to the context

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