Knr Constructions Limited · NSE:KNRCON
Knr Constructions — Q2 FY24 Earnings Presentation
44 slides from Knr Constructions's earnings presentation, Nov 14, 2023
Slide 1: Exchange submission letter for investor presentation
KNR Constructions Limited. Date: 14th November 2023 Ref: KNRCL/SD/2023/650&651 To, To, The Manager The Manager, BSE Limited, National Stock Exchange of India Limited, P J Towers, Dalal Street, Exchange Plaza, Bandra Kurla Complex, Fort, Mumbai – 400001 Bandra (E), Mumbai – 400051. Scrip code: 532942
Slide 2: KNR Constructions Limited Investor Presentation November 2023
KNR Constructions Limited Investor Presentation November 2023
Slide 3: Disclaimer
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 purchase or subscribe for any secu
Slide 4: Key Highlights & Result Update
Key Highlights & Result Update 3
Slide 5: Key Highlights
Key Highlights ❑ Achieved Provisional Certificate of Completion for KNR Somwarpet Project Infra Private Limited (Magadi – Somwarpet ) as 27th June 2023 ❑ Achieved Financial Closure for KNR Sriranganatha Infra Private Limited (Mysore to Kushalnagara Section of NH-275 – Package V) as 27th September 20
Slide 6: Standalone Financial Highlights
Standalone Financial Highlights Rs. Million Revenue EBITDA EBITDA Margins PAT +11% -458 bps -12% -7% 9,415 1,888 22.3% 1,076 8,474 1,663 999 17.7% Quarter 2 Q2 FY23* Q2 FY24 Q2 FY23* Q2 FY24 Q2 FY23* Q2 FY24 Q2 FY23* Q2 FY24 Revenue EBITDA EBITDA Margins PAT +8% -4% -217 bps +1% 1st Half 18,711 3,53
Slide 7: Standalone Financial Results
Standalone Financial Results Standalone Rs. Million Q2 FY24 Q2 FY23* YoY Q1 FY24 QoQ H1FY24 H1FY23* YoY Total Revenue 9,414.7 8,474.1 11% 9,295.8 1% 18,710.6 17,380.0 8% Operating Expenses 6,307.7 5,577.3 6,553.9 12,861.5 11,968.0 Employees Expenses 416.4 469.4 392.7 809.1 855.2 Other Expenditure 1,
Slide 8: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. Million) Sep-23 Mar-23 EQUITY & LIABILITIES (Rs. Million) Sep-23 Mar-23 Non-Current Assets Equity Property, plant and equipment 4,086.8 4,084.1 Equity Share capital 562.5 562.5 Capital work-in-progress 40.5 25.1 Right of Use Asset 56.8 69.2 Other equity 28,814.1
Slide 9: Consolidated Financial Results
Consolidated Financial Results Consolidated Rs. Million Q2 FY24 Q2 FY23* YoY Q1 FY24 QoQ H1FY24 H1FY23* YoY Total Revenue 10,384.5 9,616.5 8% 9,810.2 6% 20,194.7 19,421.0 4% Operating Expenses 6,585.2 5,745.4 6,574.2 13,159.4 12,159.2 Employees Expenses 418.0 483.2 394.2 812.1 881.2 Other Expenditur
Slide 10: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. Million) Sep-23 Mar-23 EQUITY & LIABILITIES (Rs. Million) Sep-23 Mar-23 Non-Current Assets Equity Property, plant and equipment 4,469.2 4,480.3 Equity Share capital 562.5 562.5 Capital work-in-progress 40.5 25.1 Instruments entirely equity in nature 85.0 85.0 R
Slide 11: Cash Flow Statement
Cash Flow Statement Standalone Consolidated Particulars (Rs. Million) Half year ended 30- Half year ended 30- Half year ended 30- Half year ended 30- Sep-23 Sep-22 Sep-23 Sep-22 Net Profit Before Tax 2,813.9 2,857.7 3,492.6 3,081.1 Adjustments for: Non-Cash Items / Other Investment or Financial Item
Slide 12: Standalone Net Working Capital Days
Standalone Net Working Capital Days 82 79 67 62 69 63 65 52 48 53 53 55 57 52 52 40 49 43 41 36 45 45 28 26 23 25 25 25 23 18 20 19 20 20 20 16 16 15 15 15 17 16 13 14 14 7 98 10 66 45 64 51 74 53 39 12 45 40 78 117 95 96 86 85 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Ma
Slide 13: Business Update
Key Highlights & Result Update Business Update 12
Slide 14: Business Overview
Business Overview ❑ One of the leading companies providing Engineering, Procurement and Construction (EPC) services • Major Projects in Roads & Highways – one of the fast-growing sectors • Established presence in Irrigation and Urban Water Infrastructure Management Vision ❑ 25+ years of experience o
Slide 15: Transformation
Transformation Bagged 1st BOT Project in Bagged an EPC Project worth Rs. Incorporated & Karnataka worth Rs. 4,420 mn; Bagged 2nd BOT project IPO & Listed on BSE 9,371 mn for Madurai – 1995 Commenced EPC 2006 Entry into Urban water 2007 worth Rs.5,920mn in 2008 and NSE 2013 Ramanathapuram Section of
Slide 16: Top Management
Top Management Mr. K. Narasimha Reddy – Mr. K. Jalandhar Reddy – Founder Promoter & Managing Director Promoter & Executive Director ▪ Over 50 years of experience in the Highway sector ▪ Over 25 years of experience in the Highway and ▪ Started career in 1968 and engaged in the business of infrastruct
Slide 17: Supported by Professional Team
Supported by Professional Team ▪ A Bachelor of Engineering (BE) from MITS Gwalior (MP) with Over 40 years of total experience with ~20 years of Mr. T.L. Verma experience in Highway sector (Sr. Vice President - Projects) ▪ Working with the company since 2006 on various projects i.e. Bridges and Highw
Slide 18: Key Business Strength
Key Business Strength 17
Slide 19: Project Execution Capabilities
1. Project Execution Capabilities ❑ Top management’s active involvement at all stages of Project execution • Selection of Major Raw Material • Selection of construction Camp location ❑ Faster Decision making to ensure project completion on schedule ❑ Received Bonus for completion of construction ahe
Slide 20: Pan India Project Execution Capability
Pan India Project Execution Capability* Sr. No. State No. of Projects Project Value (Rs. Mn) 1 Tamil Nadu 12 44,998 2 AP & Telangana 30 43,534 Arunachal Haryana Pradesh 3 Karnataka 15 33,176 Assam 4 Kerala 2 17,068 Uttar Pradesh 5 Madhya Pradesh 4 6,619 Gujarat 6 Uttar Pradesh 10 4,549 Madhya Prades
Slide 21: Project Execution Highlights
Project Execution Highlights Grade Separator ❑ Constructed Grade Separator in Coimbatore city with a cumulative length of flyover, 2.853 km • Length of 1st level flyover is 1.752 km • Length of 2nd level flyover is 1.101 km as a part of multipronged approach to ease traffic congestion in main city r
Slide 22: In-house Construction Equipment
2. In-house Construction Equipment Sr. No. Machinery Quantity Sr. No. Machinery Quantity 1 Tippers & Tankers 1,298 15 Tractors 47 2 Excavators 402 16 Transformers 33 3 Generators 285 17 Crushers 32 4 Concrete Mixers And Pumps 207 18 Trailers 32 138 19 Dozers 25 5 Compactors 20 Light Soures 24 6 Dril
Slide 23: In-house Execution Team
3. In-house Execution Team 5% Total Employees* Project Engineering 2,285 28% Site Supervision 35% Site Engineers 8% Equipment Operators Admin & Office Staff 24% IN-HOUSE TEAM OF QUALIFIED AND EXPERIENCED EMPLOYEES LED BY PROVEN MANAGEMENT TEAM * as on September 30, 2023 22
Slide 24: Host of Marque Clients
4. Host of Marque Clients National Andhra Pradesh Ministry of Road Hyderabad Growth Karnataka State Karnataka Road Highways Road Development Transport & Corridor Limited Highway Development Authority of Corporation (APRDC) Highways (MoRTH) (HGCL) Improvement Corporation India (NHAI) Project (KSHIP)
Slide 25: BOT Portfolio
BOT Portfolio Disclaimer BOT Porfolio 24
Slide 26: BOT Portfolio – Annuity Projects
BOT Portfolio – Annuity Projects Particulars Patel KNR Infrastructures limited (PKIL) Patel KNR Heavy Infrastructures Limited (PKHIL) Stake 40% 40% Project Type Road-Annuity Road-Annuity Project Details State Karnataka Telangana JV Partner PEL PEIL Client NHAI NHAI Length (KM) 60.0 53.0 Concession S
Slide 27: BOT Portfolio – Toll Project
BOT Portfolio – Toll Project Particulars KNR Muzaffarpur Barauni Tollway Private Limited Stake 51% Project Type Road-Toll Project Details State Bihar JV Partner JKM Infra Project Ltd Client NHAI No of Lanes Two Length(KM) 108 Concession Start Date 8th July 2012 Concession Period 21 Years Terms Sched
Slide 28: HAM Portfolio
HAM Portfolio Mysore to Mysore to Magadi - Oddanchatram - Ramanattukara - Valanchery - Marripudi to Particulars Chittor -Thatchur Kushalnagara Kushalnagara Somwarpet Madathukulam Valanchery Kappirikkad Somvarappadu (Pkg V) (Pkg IV) KNR KNR Somwarpet KNR Sriranganatha KNR Palani Infra KNR Ramanattuka
Slide 29: Order Book & Business Strategy
Order BOTBook & Business Portfolio – TollStrategy Project Order Book & Business Strategy 28
Slide 30: Order-book Highlights
Order-book Highlights Key Projects Rs. Mn Order Book Break-up Ramanattukara to Valanchery bypass project (HAM) 9,571 41% Valanchery Bypass to Kappirikkad project (HAM) 8,159 45% 55% Bangalore-Mangalore Project (Periya Shanthi to Bntwal) 12% 6,166 (EPC) 2% Development of Six lane Chittoor-Thatchur Hi
Slide 31: Order-book: State-wise
Order-book: State-wise Karnataka No of Projects 4 Balance Value Rs. 8,882 mn AP & Telangana No of Projects 15 Kerala Balance Value Rs. 23,039 mn No of Projects 2 Balance Value Rs. 17,729 mn Tamil Nadu No of Projects 5 Balance Value Rs. 7,082 mn Disclaimer: Maps not to scale. All data, information, a
Slide 32: Recently Won Projects
Recently Won Projects Rs. million Rs. Million 17,800 74,532 New Projects (Excluding GST) Development of six lane access controlled Greenfield Highway from Marripudi (ch. 285+500) to Somvarappadu (ch. 314+600) of [NH-544G] Bengaluru-Vijayawada economic corridor on HAM Mode under 5,800* Bharatmala Par
Slide 33: Orderbook Breakup - Rs. 74,532 Mn
Orderbook Breakup - Rs. 74,532 Mn Order Book Break-up 31% 58% 42% 9% 2% Captive (HAM Projects) State Govt. Central Govt. Others Segment Wise Split Region Wise Split Roads (Others) 21% Irrigation 21% South 100% Roads (HAM) 58% 32
Slide 34: Business Strategy
Business Strategy Focus on Projects involving Higher degree of engineering skills 03 Focus on securing EPC Continuously explores growth contracts from reputed opportunities by forming Clients and Concessionaire strategic Joint Ventures (JVs) 02 04 Capitalise on Opportunity of Execute all the project
Slide 35: Financial Highlights
Financial BOT Portfolio – Toll Project Highlights Financial Highlights 34
Slide 36: Standalone Financial Highlights
Standalone Financial Highlights Financial 2010* 2011* 2012* 2013* 2014* 2015* 2016^ 2017^ 2018^ 2019^ 2020^ 2021^ 2022^ 2023^ Year 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 Rs.21,373 Rs. 22,442 Rs. 27,026 Rs. 32,726 Rs. 37,438 Turnover $118.6 $132.0
Slide 37: Standalone Financial Results
Standalone Financial Results Rs. Million FY23 FY22 YoY Total Revenue 37,437.9 32,726.0 14% Operating Expenses 25,795.4 21,972.1 Employees Expenses 1,709.9 1,447.7 Other Expenditure 2,715.4 2,528.8 EBITDA 7,217.2 6,777.4 6% EBITDA margin 19.3% 20.7% Other Income 320.9 416.8 Depreciation 1,474.3 1,345
Slide 38: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. Million) Mar-23 Mar-22 EQUITY & LIABILITIES (Rs. Million) Mar-23 Mar-22 Non-Current Assets Equity Property, plant and equipment 4,084.1 4,143.9 Capital work-in-progress 25.1 206.2 Equity Share capital 562.5 562.5 Right of Use Asset 69.2 93.1 Other equity 26,780.3
Slide 39: Consolidated Financial Results
Consolidated Financial Results Rs. Million FY23 FY22 YoY Total Revenue 40,623.6 36,058.3 13% Operating Expenses 26,320.1 22,265.7 Employees Expenses 1,742.1 1,460.5 Other Expenditure 3,388.3 4,345.5 EBITDA 9,173.1 7,986.6 15% EBITDA margin 22.6% 22.1% Other Income 366.8 448.7 Depreciation 1,807.0 1,
Slide 40: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. Million) Mar-23 Mar-22 EQUITY & LIABILITIES (Rs. Million) Mar-23 Mar-22 Non-Current Assets Equity Property, plant and equipment 4,480.3 4,579.5 Equity Share capital 562.5 562.5 Capital work-in-progress 25.1 206.2 Instruments entirely equity in nature 85.0 85.0
Slide 41: Cashflow Statement
Cashflow Statement Standalone Consolidated Particulars (Rs. Million) Year ended 31-Mar-23 Year ended 31-Mar-22 Year ended 31-Mar-23 Year ended 31-Mar-22 Net Profit Before Tax 7,050.7 5,787.9 6,812.5 5,633.8 Adjustments for: Non-Cash Items / Other Investment or Financial Items 430.1 1,130.0 995.1 1,8
Slide 42: Standalone Financial Highlights
Standalone Financial Highlights Revenue & EBITDA (Margin %) EBITDA 15.7% 17.1% 17.8% 16.8% 15.1% 14.4% 16.9% 14.9% 19.9% 20.0% 21.7% 19.8% 20.7% 19.3% Margin (%) 37,438 32,726 27,026 21,373 22,442 19,317 15,411 EBITDA 7,125 7,930 7,505 6,921 8,348 8,761 9,026 6,777 7,217 Revenue 3,839 4,270 4,871 5,
Slide 43: Shareholding Pattern as on 30th Sept 2023
Shareholding Pattern as on 30th Sept 2023 Shareholders Holding more than 1% of the Equity % to Equity (Other than Promoters) HDFC Mutual Fund 8.40% 10.03% ICICI Prudential Mutual Fund 3.37% DSP Mutual Fund 3.35% SBI Mutual Fund 2.76% Invesco Mutual Fund 1.91% 32.27% 51.09% Franklin Templeton Mutal F
Slide 44: For further information, please contact
For further information, please contact Company : Investor Relations Advisors : KNR Constructions Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L74210TG1995PLC130199 CIN: U74140MH2010PTC204285 Mr. K. Venkata Ram Rao Mr. Jigar Kavaiya / Ms. Devika Shah (GM - Finance & Accounts) +91-9920602034 / +91-9