Triveni Engineering and Industries Limited · NSE:TRIVENI
Triveni Engineering and Industries — Investor Presentation (August 2012)
35 slides from Triveni Engineering and Industries's investor presentation, August 2012
Slide 1: Corporate Presentation Q3/9M FY12
Corporate Presentation Q3/9M FY 12
Slide 2: Triveni Organisation Structure
TRIVENI ORGANISATION STRUCTURE 2 Triveni TEIL holds 21.8% of the equity in TTL Triveni Engineering Triveni Turbine Ltd. & Industries Ltd. (TTL) (TEIL) 50% plus one share GE Triveni Ltd. Sugar Engineering Business Business (JV with GE) Co- Water & Sugar Distillery Gears generation Waste Water
Slide 3: Triveni Fact Sheet
TRIVENI FACT SHEET 3 Two Independent Listed Companies – Triveni Engineering & Industries Ltd. and Triveni Turbine Ltd. Promoter driven, professionally managed company Eminent and independent Board of Directors Pan India Presence
Slide 4: Triveni Engineering & Industries Ltd. (TEIL)
TRIVENI ENGINEERING & INDUSTRIES LTD. (TEIL) Triveni Engineering & Industries Ltd. (TEIL) Sugar Engineering Business Business
Slide 5: Engineering Business – Pan India Presence
ENGINEERING BUSINESS – PAN INDIA PRESENCE 5 GEARS BUSINESS - MYSORE Market leader in High speed gears & gear boxes upto 70 Noida MW capacity and speed of 70,000 rpm WATER BUSINESS - NOIDA A leading player in the high technology water & wastewater management business Mysore Corporate Office Manufactu
Slide 6: Engineering Business – Revenue Growth
ENGINEERING BUSINESS – REVENUE GROWTH 6 3500 CAGR 06-11 3068 3000 SALES – 39% 2625 2500 PBIT – 46% 2000 ` in millions 1730 1500 1437 1006 1000 588 565 651 500 392 325 192 98 0 FY06 FY07* FY08 FY09 FY10 FY11 Revenue PBIT FY07* - 12 months period from Oct 06 – Sep 07
Slide 7: Gears Business Group – Business Perspective
GEARS BUSINESS GROUP – BUSINESS PERSPECTIVE 7 Triveni is in the business of design, manufacture and marketing of customised gears and gearboxes. State of the art design and manufacturing facility at Mysore. Conforms to international standards such as DIN, API & AGMA - DIN 3 quality assured. Ab
Slide 8: Gears Business Group – Low Speed Gear Technology License Agreement
GEARS BUSINESS GROUP – LOW SPEED GEAR TECHNOLOGY LICENSE AGREEMENT 8 On 22nd July 2011, the company signed the Technology License Agreement for manufacture of niche engineered-to-order high technology low speed gear applications with Lufkin The agreement envisages transfer of technology for four
Slide 9: Gears Business Group – Financial Performance
GEARS BUSINESS GROUP - FINANCIAL PERFORMANCE 9 CAGR 06-11 Q3/9M FY 12: 1202 1200 SALES – 22% 34 During the Q3/9M period under review, both 35 35 turnover and profitability had been lower in line PBIT – 41% 1014 with the capital goods industry in the country. 1000 33 30 The business from retrofit
Slide 10: Water Industry – Potential to Grow
WATER INDUSTRY – POTENTIAL TO GROW 10 Rising Water Demand to double by 2025 from 2000 levels - Growth potential in coming years in both major segments – Municipal and Industrial. Multi-lateral funding actively promoting privatisation and commercialisation of water. Annual estimated market for
Slide 11: Water Business Group – Business Perspective
WATER BUSINESS GROUP - BUSINESS PERSPECTIVE 11 Technology association with world’s leading technology providers for various products, process & solutions such as Ultra filtration (UF), Reverse Osmosis (RO), Moving Bed Bio Reactor (MBBR) etc. One of the widest ranges of products & technologies of
Slide 12: Water Business Group – Financial Performance
WATER BUSINESS GROUP - FINANCIAL PERFORMANCE 12 CAGR 06-11 Q3/9M FY 12: SALES – 68% 1900 1866 17 PBIT – 60% The turnover and profitability of the water business 1800 16 has been impacted due to slowdown in the industrial 1700 1610 16 1600 15 activities/ capital expenditure resulting in delays in 1
Slide 13: Sugar Business
SUGAR BUSINESS SUGAR BUSINESS One of the largest sugar producers in India with seven sugar manufacturing facilities CO-GENERATION BUSINESS 68 MW of state of the art co-generation facilities; with one 22 MW plant having multi-fuel capability DISTILLERY BUSINESS One of the largest single stream molass
Slide 14: Sugar Industry Overview
SUGAR INDUSTRY OVERVIEW 14 Global: The world sugar surplus is expected to be around 8 million tonnes in 2011-12 and is estimated to decline by around 3 million tonnes in 2012-13. The sugar prices globally have received strong support since the beginning of June on account of continuous flow of p
Slide 15: Domestic Production & Consumption of Sugar
DOMESTIC PRODUCTION & CONSUMPTION OF SUGAR 15 (Figures in million tonnes) 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 (Est.) Opening Stock as on 1st Oct. 4.3 11.0 10.4 4.4 5.0 6.8(*) Production during the Season 28.3 26.3 14.5 18.9 24.4 26.0 Imports - - 2.5 4.0 0 0 Total Availability 32.6 37.3 2
Slide 16: Sugar – Key Differentiators
SUGAR – KEY DIFFERENTIATORS 16 Major facilities located in cane rich areas of Western Uttar Pradesh with more than 80% cane intensity – fertile and irrigated land Deoband Sugar cane catchment area for all sugar Chandanpur units under canal irrigation – both in Western & Central Uttar Pradesh - Lower
Slide 17: Sugar – Performance
SUGAR - PERFORMANCE 17 Sugar Season 2011-12/ 9M FY12 Triveni crushed 5.12 million tonnes cane at an average recovery of 9.09% during the season which is higher by 12% in comparison to the previous season. Ramkola recorded the highest recovery in the state of U.P. at 10.29%. The company has produ
Slide 18: Sugar Business – Co-generation Business
SUGAR BUSINESS – CO-GENERATION BUSINESS 18 1467 1470 45 68 MW of co-generation capacity; three plants in two sugar units of Khatauli & Deoband. 1370 1339 41 40 Q3/9M FY 12: 1270 34 1174 1171 During the current nine months, revenue from sale of 1170 35 CERs for Deoband unit for April 08 - May 2010
Slide 19: Sugar Business – Distillery Business
SUGAR BUSINESS - DISTILLERY BUSINESS 19 24 889 900 25 160 KLPD distillery, is one of the largest single stream molasses based distillery in the country 800 762 and is located at Muzaffarnagar. 737 20 Ideally located to use the molasses from two 700 of the major units viz., Khatauli & Deoband.
Slide 20: Operational Performance
OPERATIONAL PERFORMANCE 20 Co-generation Business Q3 FY 12 Q3 FY 11 9M FY 12 9M FY 11 Power Generated – (million units) 16.88 18.90 214.87 194.93 Power Exported – (million units) 12.61 12.15 142.74 127.61 Distillery Business Q3 FY 12 Q3 FY 11 9M FY 12 9M FY 11 Production (000 ltr) 13,386 2,925 36,23
Slide 21: 9M FY12 Financial Results
9M FY12 FINANCIAL RESULTS 21 Net Sales (` In Million) PBIT before exceptional items (Overall) (` In Million) 13823 (Overall) 13268 619.3 432.8 9M FY 12 9M FY 11 9M FY 12 9M FY 11 Revenue Composition (` In Million) PBIT (` In Million) 423 352 371 13262 12542 249 2054 2016 9M FY 12 9M FY 11 9M FY 12 9
Slide 22: 9M FY12 Financial Results
9M FY12 FINANCIAL RESULTS 22 Net Turnover – Sugar Business PBIT – Sugar Business 9M FY 12 9M FY 11 (` In Million) (` In Million) 11045 9M FY12 9M FY11 484 366 236 10826 88 -83 1271 1143 946 572 -472 Sugar Sugar Co-generation Distillery Co-generation Distillery Net Turnover – Engineering Business PBI
Slide 23: 9M FY12 Financial Results – Order Book
9M FY12 FINANCIAL RESULTS 23 Order Book in Millions GBG WBG 5070 4950 4495 635 800 688 9M FY 12 9M FY 11 Sep FY 11 Total - 5585 Total - 5870 Total – 5183
Slide 24: Triveni Turbine Ltd. (TTL)
TRIVENI TURBINE LTD. (TTL) Triveni Turbine Ltd. (TTL) 50% plus one share GE Triveni Ltd. (JV with GE)
Slide 25: Demerger of Steam Turbine Business into Triveni Turbine Limited
DEMERGER OF STEAM TURBINE BUSINESS INTO TRIVENI TURBINE LIMITED (TTL) 25 Board of Directors approved the demerger of Turbine Business from Triveni Engg & Ind Ltd (TEIL) in March 2010. The demerged entity is Triveni Turbine Limited (―TTL‖) (formerly known as Triveni Retail Ventures Ltd.). The s
Slide 26: TTL – Pan India Presence
TTL - PAN INDIA PRESENCE 26 Noida Allahabad Ahemdabad Raipur Kolkata Nagpur Latur Mumbai Pune Hyderabad Kolhapur Vijaywada Bengaluru Manufacturing Facility Marketing and Service Centres
Slide 27: Power Generation Market
POWER GENERATION MARKET 27 Market Characteristics - Premium on shorter deliveries. Purchase decision based on high levels of technology, efficiency & lower life cycle cost. Price sensitive market. Strong servicing capabilities and lifetime relationship with the customer is expected. Robust
Slide 28: Power Generation – Potential to Grow
POWER GENERATION – POTENTIAL TO GROW 28 Gap between power requirement and generation getting wide - Growing renewable energy market - Huge potential for Biomass based power generation. Costly fuel source to influence replacement of DG to TG sets; thrust on co-generation. Focus on waste heat to
Slide 29: TTL – Business Perspective
TTL - BUSINESS PERSPECTIVE 29 Cater to wide range of customers across segments like sugar, paper, co- gen, textiles, pharma, steel, IPP. Consistently upgrading the product range and efficiency. The current range of product up to 30MW. Manufacturing since 1968; over 2,500 turbines manufacture
Slide 30: TTL – Customer Care & Refurbishing
TTL - CUSTOMER CARE & REFURBISHING 30 Customer Care An extensive network of 13 Service centres. A strong team of 185 service professionals. Reaching the customer site within 24 hours of service call. Currently over 900 turbines serviced annually. Refurbishing Full speed vacuum balancing tu
Slide 31: Financial Performance – Steam Turbine Business
FINANCIAL PERFORMANCE - STEAM TURBINE BUSINESS 31 CAGR 06-12 SALES – 15% 6135 6319 PBT – 24% 23 26 6000 22 22 21.4 20 5500 21 4845 5000 4542 5256 21 4680 PBT Margins (%) 4500 13 16 ` in millions 4000 3500 2783 11 3000 2500 2000 6 1135 1140 1289 1350 1500 916 978 1000 373 1 500 0 -4 FY 06 FY 07 FY 08
Slide 32: Performance – TTL
PERFORMANCE – TTL 32 (Figures in ` million) Q1 FY 13 Q1 FY 12 Variation April - June 2012 April - June 2011 Income from operations (net) 1114 1611 -31% EBITDA 301 367 -18% EBITDA Margin 27.00% 22.80% 420 bps Depreciation & Amortisation 30 28 8% PBIT 271 339 -20% PBIT Margin 24.30% 21.00% 330 bps Int
Slide 33: Performance – TTL Key Balance Sheet Details
PERFORMANCE – TTL 33 Key Balance Sheet Details (Figures in ` million) Q1 FY 13 FY 12 As on 30th June 2012 As on 31st March 2012 Share Capital • Equity 330 330 • Preference 28 28 Net Worth 860 686 Total Debt 313 363 Cash & Bank Balance equivalent 237 218 Net Debt 76 145 The order-intake during the qu
Slide 34: Joint Venture with General Electric (GE)
JOINT VENTURE WITH GENERAL ELECTRIC (GE) 34 Triveni formed a Joint Venture with GE for the turbine business on 15th April 2010. GE Triveni Ltd. (GETL) headquartered in Bengaluru, will design, manufacture, supply, sell and service advanced technology steam turbines in India in the range above 30-10
Slide 35: Contact
CONTACT 35 CN Narayanan Triveni Engineering & Industries Ltd. Tel. +91 120 430 8000 Fax : +91 120 431 1010 cnnarayanan@trivenigroup.com Gavin Desa/ Rishab Barar Citigate Dewe Rogerson Tel: +91 22 66451238 gavin@cdr-india.com / rishab@cdr-india.com ----------------------------------------------------
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