Tega Industries Ltd. · NSE:TEGA
Tega Industries — Q1 FY24 Earnings Presentation
29 slides from Tega Industries's earnings presentation, Aug 11, 2023
Slide 1: Stock exchange intimation letter for investor presentation
August 11, 2023 To, The Corporate Services Department, Manager - Listing Department BSE Limited The National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no. C/1, G Block, Dalal Street, Bandra-Kurla Complex Mumbai- 400 001 Bandra (E), Mumbai - 400 051 BSE Scrip Code:
Slide 2: Q1 FY24 Results Presentation
TEGA INDUSTRIES LIMITED Q1 FY24 Results Presentation August 2023
Slide 3: Company Overview
COMPANY OVERVIEW TEGA INDUSTRIES LIMITED
Slide 4: Tega Industries Limited
Tega Industries Limited Leading manufacturer & Commenced operations in India Catering to global mineral distributor of specialized ‘critical in 1978, in collaboration with beneficiation, mining & bulk to operate’ & recurring Skega AB, Sweden solids handling industry consumable products Immunity from
Slide 5: Corporate Structure
Corporate Structure Tega Industries Ltd 100% 100% 50%JV McNally Sayaji Tega Holdings Pte Ltd Hosch Engineering Limited 100% 100% 100% Tega Industries Africa Tega Industries Chile Losugen Pty Ltd Proprietary Ltd. SpA 4 TEGA INDUSTRIES LIMITED
Slide 6: Evolution into a Global Multi-Product Player
Evolution into a Global Multi-Product Player Intellectual Property, Additional Patent, Initial Public Foundation Buyout Acquisition Greenfield Project Offering Collaboration of our Buyout by Madan Mohan Grant of patent in relation to Grant of patent in relation to The shares of the company Promoter,
Slide 7: The Focus Behind Our Vision
The Focus Behind Our Vision TEGA is committed to engineering flawless solutions that enrich the future of mining Committed: We have made long-term investments to deepen our core competence. Engineering: We are a technology-led and specialized competence- driven company that addresses complex custome
Slide 8: Our Value-Accretive Business Model
Our Value-Accretive Business Model Experience Wallet Share Mission-Critical Productivity Driver Developed rich insight into the Products with established ore quality and terrain realities productivity and efficacy. across 70 countries, helping to Majority customers buy large continuously provide imp
Slide 9: Our Value-Accretive Business Model
Our Value-Accretive Business Model Inherent Advantages Strategic Positioning Supply chain High Entry Barrier Proximity Customized design Low reliance on outsourcing Presence in high entry moderates its dependence on barriers of technology and vendors minimizing the knowledge. We operate in possibili
Slide 10: Post acquisition of MSEL - Added Equipment and services component
Holistic Value Chain Integration Tega Industries Ltd – Focused on MSEL - Focused on Equipment and Consumables services component • Build a more sustainable business. • Tap the new market- global market size • Designs and manufactures critical-to- • Original Equipment Manufacturer (OEM) for the equip
Slide 11: Digitalization Momentum (Industry 4.0)
Digitalization Momentum (Industry 4.0) Digital Transformation Disruption Initiatives to enhance systemic Ground-shifting sensor- based efficiency, moderate redundancy, product. This IoT-driven product safeguard from viruses and cyber- will send out real-time alerts on attacks, accelerate data retrie
Slide 12: Q1 FY24 Performance Highlights
Q1 FY24 Performance Highlights TEGA INDUSTRIES LIMITED
Slide 13: Financial Performance
Financial Performance Q1 FY24 FY23 Operating Revenue YoY Operating Revenue YoY Rs. 2,681 mn +9.7% Rs. 12,140 mn +27.6% Operating EBITDA Operating EBITDA Rs. 393 mn -14.7% Rs. 2,704 mn +47.9% PAT PAT Rs. 214 mn -7.4 % Rs. 1,840 mn +57.4% 12 TEGA INDUSTRIES LIMITED
Slide 14: Consolidated Financial Performance
Consolidated Financial Performance Operating Revenue Operating EBITDA & Margin PAT & PAT Margin 19% 15% 9% 8% +10% -15% -7% 2681 461 231 2444 214 393 Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 All figures in Rs mn 13 TEGA INDUSTRIES LIMITED
Slide 15: Q1 FY24 - Consolidated P&L Statement
Q1 FY24 - Consolidated P&L Statement Particulars (Rs in mn) Q1FY24 Q1FY23 Y‐o‐Y FY23 Revenue from Operations 2,681 2,444 9.69% 12,140 Cost of Materials consumed 1,344 1067 5,291 Changes in Inventories -233 -57 -15 Material Margin 1,570 1,434 9.5% 6,864 Margin (%) 58.6% 58.6% 56.5% Employee Benefits
Slide 16: Operations & Growth Strategy
Operations & Growth Strategy TEGA INDUSTRIES LIMITED
Slide 17: Strategic Advantages
Strategic Advantages 1 Diverse & Innovative Products with Low 2 Insulated from Capex Cyclicity of 3 Strong R&D leading to Multiple Patents, Substitution Threat Mining Players with focus on Quality 4 Diverse Global Presence with 5 Consistent Growth with Operational 6 Track Record of Successful Strong
Slide 18: Diverse & Innovative Products
1 Diverse & Innovative Products FLAGSHIP PRODUCTS MILL LINERS HYDROCYCLONES SCREENS & TROMMELS CONVEYOR PRODUCTS SALE OF PRODUCTS Rapido Spillex Specialized, ‘critical to operate’ And recurring consumable products DynaPrime DynaPulp Tega Cyclone (PExEL) Trommel Centrax Sale of Services Screening Sol
Slide 19: Insulated from Capex Cyclicity of Mining Players
2 Insulated from Capex Cyclicity of Mining Players Upfront capex & After-market spend over the lifecycle of a mill Recurring cost for miners 1X Approx. split 3X Upfront Capex After market spend ~75% Repeat Orders (over last 3 years) 18 TEGA INDUSTRIES LIMITED
Slide 20: Strong R&D Leading to Multiple Patents
3 Strong R&D Leading to Multiple Patents Track record of bringing multiple innovative products to the market ISO 45001:2018 India 2018 – Rapido 2018 – DynaPrime 2016 – Chutes 2015 – Trommels R&D Capability Quality Control ISO 9001:2015 India, South Africa o We do not rely on outsourcing: reduces our
Slide 21: Diverse Global Presence - Manufacturing & Sales Capabilities
4 Diverse Global Presence - Manufacturing & Sales Capabilities International manufacturing operations Chile South Africa Australia Commissioning/Acquisition: Commissioning/Acquisition : Commissioning/Acquisition: 2011 2006 2010 Product capabilities: Product capabilities: Product capabilities: Mill l
Slide 22: Consistent Growth & Long-Term Repeat Business
5 Consistent Growth & Long-Term Repeat Business ESTABLISHED TRACK RECORD CAGR 17% Revenue from Operations FY19-23 Growth Momentum CAGR 29% Robust market position Built Inherent Strength Forged Strong Relations Operating EBITDA from FY 19-23 Differentiated, High Margin Business Successfully maintaine
Slide 23: Successful Track Record of Inorganic Growth Strategy
6 Successful Track Record of Inorganic Growth Strategy JV in 1991 Acquisition in 2006 Acquisition in 2010 Acquisition in 2011 Acquisition in 2023 • Expand operations • Access to the Latin • Offers pioneering globally • Increased market share American markets solutions in the field of • Provided acce
Slide 24: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Diverse & Innovative Leverage in-house R&D to Expand manufacturing Explore opportunities Operational efficiencies Products with Low grow product offerings & capabilities to optimise for inorganic growth & margin expansion Substitution Threat capitalize on future tren
Slide 25: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Capitalise on growing relevance Disrupt the market Balance Sheet integrity • Ore grades depleting in gold mines • Penetrate the market with the distinctive • Expand largely out of accruals • Disproportionate growth in mining and mineral DynaPrime product • Fund worki
Slide 26: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Capitalize on the future Product Improvement Capacity Expansion • Leverage proprietary R&D capabilities; increase • Consistently improve products,enhancing • Greenfield facility in Chile product offerings cost- effectiveness • Engage in brownfield expansion in South
Slide 27: Experienced Board of Directors
Experienced Board of Directors MADAN M. MOHANKA MEHUL MOHANKA SYED YAVER IMAM Chairman and Executive Director Managing Director and Group CEO Executive Director Appointed: Since inception Appointed: Jun-02 Appointed: Jul-05 Promoter, Founder and Chairman One of the Promoters, MD & Group CEO Serves a
Slide 28: Management Team
Management Team MEHUL MOHANKA SHARAD KUMAR KHAITAN MD and Group CEO CFO One of the Promoters of the Company, MD & Group CEO Qualified Chartered Accountant with an experience of more Associated with Tega for almost two decades than 20 years in areas of Financial Planning & Analysis, Master’s degree i
Slide 29: Thank You!
THANK YOU! Sharad Kumar Khaitan Chief Financial Officer investor.relations@tegaindustries.com Mr. Nachiket Kale +91 9920940808 nachiket.kale@linkintime.co.in Mr. Rajesh Agrawal Sr. Vice President +91 99674 91495 Rajesh.Agrawal@linkintime.co.in