Knr Constructions Limited · NSE:KNRCON
Knr Constructions — Investor Presentation (November 2020)
42 slides from Knr Constructions's investor presentation, November 2020
Slide 1: KNR Constructions Limited Investor Presentation November 2020
KNR Constructions Limited Investor Presentation November 2020 25 Years and Beyond…
Slide 2: 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 3: Key Highlights & Result Update
Key Highlights & Result Update
Slide 4: Key Highlights
Key Highlights Update on Sale of KNR Walayar Tollways Private Limited ❑ Transferred 100% stake of KNR Walayar Tollways Private Limited ("SPV") to Cube Highways and Infrastructure III Pte. Ltd. ❑ Share Purchase Agreement was signed on January 9, 2020; Sale completed on September 28, 2020 ❑ Transactio
Slide 5: Financial Highlights
Financial Highlights Rs. Million Revenue EBITDA EBITDA Margins PAT +10% -1% -240 bps -29% 6,012 1,258 1,240 23.0% 701 5,462 20.6% Quarter 2 498 Q2 FY20 Q2 FY21 Q2 FY20 Q2 FY21 Q2 FY20 Q2 FY21 Q2 FY20 Q2 FY21 Revenue EBITDA EBITDA Margins PAT +7% +1% -110 bps -24% 1st Half 10,806 2,158 2,184 21.3% 20
Slide 6: Standalone Financial Results
Standalone Financial Results Standalone Rs. Million Q2 FY21 Q2 FY20 YoY Q1 FY21 QoQ H1 FY21 H1 FY20 YoY Total Revenue 6,012.0 5,462.0 10% 4,793.7 25% 10,805.7 10,108.0 7% Operating Expenses 3,939.4 3,157.0 3,150.1 7,089.6 6,210.2 Employees Expenses 292.6 362.8 277.6 570.2 634.2 Other Expenditure 539
Slide 7: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. Million) Sep-20 Mar-20 EQUITY & LIABILITIES (Rs. Million) Sep-20 Mar-20 Non-Current Assets Equity Property, plant and equipment 3,411.9 3,777.7 Equity Share capital 281.2 281.2 Capital work-in-progress 28.2 101.5 Right of Use Asset 18.8 26.0 Other equity 16,852.0
Slide 8: Consolidated Financial Results
Consolidated Financial Results Consolidated Rs. Million Q2 FY21 Q2 FY20 YoY Q1 FY21 QoQ H1 FY21 H1 FY20 YoY Total Revenue 6,558.8 5,870.7 12% 5,225.3 26% 11,784.0 11,177.9 5% Operating Expenses 3,956.9 3,179.5 3,173.3 7,130.2 6,573.0 Employees Expenses 296.5 367.3 281.4 578.0 642.7 Other Expenditure
Slide 9: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. Million) Sep-20 Mar-20 EQUITY & LIABILITIES (Rs. Million) Sep-20 Mar-20 Non-Current Assets Equity Property, plant and equipment 3,438.6 3,809.8 Equity Share capital 281.2 281.2 Capital work-in-progress 28.2 101.5 Instruments entirely equity in nature 85.0 85.0
Slide 10: Cash Flow Statement
Cash Flow Statement Standalone Consolidated Cashflow for Half Year (Rs. Million) Sep-20 Sep-19 Sep-20 Sep-19 Net Profit Before Tax 1,265.5 1,489.4 2,326.7 1,588.4 Adjustments for: Non-Cash Items / Other Investment or Financial Items 1,014.1 763.3 238.2 1,255.3 Operating profit before working capital
Slide 11: Business Overview
Business Overview
Slide 12: 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 ❑ 20 years of experience of
Slide 13: Transformation
Transformation Bagged 1st BOT Project in Incorporated & Karnataka worth Rs. 4,420 mn; Bagged 2nd BOT project IPO & Listed on 1995 Commenced EPC 2006 Entry into Urban water 2007 worth Rs.5,920mn in 2008 BSE and NSE Business Infrastructure with contract in Telangana Bangalore Bagged an EPC Project wor
Slide 14: 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 15: Supported by Professional Team
Supported by Professional Team ▪ A Bachelor of Engineering (BE) from MITS Gwalior (MP) with Over 35 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 16: Key Business Strengths
Key Business Strengths
Slide 17: 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 18: Pan India Project Execution Capability
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 Projects Rs. 1,913 mn No of Proje
Slide 19: Project Execution Highlights
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 & strengthened with flexible p
Slide 20: In-house Construction Equipment
2. In-house Construction Equipment Sr. No. Machinery Quantity Sr. No. Machinery Quantity 1 Tippers & Tankers 1,141 15 Rollers 37 2 Excavators 318 16 Crushers 29 3 Generators 225 17 Dozers 28 4 Concrete Mixers And Pumps 136 18 Light Soures 26 5 Compactors 131 19 Trailers 25 6 Loaders 84 20 Transforme
Slide 21: In-house Execution Team
3. In-house Execution Team 5% Total Employees* Project Engineering 1,975 31% Site Supervision 38% Site Engineers Equipment Operators 8% Admin & Office Staff 18% IN-HOUSE TEAM OF QUALIFIED AND EXPERIENCED EMPLOYEES LED BY PROVEN MANAGEMENT TEAM * as on September 30, 2020 21
Slide 22: Host of Marque Clients
4. Host of Marque Clients 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) (APRDC) (MoRTH) Limited (HGCL) Project (KSHIP)
Slide 23: BOT Portfolio
BOT Portfolio
Slide 24: BOT Portfolio – Annuity Projects
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 Length (KM) 60.0 53.0 Concession S
Slide 25: 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 26: HAM Portfolio
HAM Portfolio Trichy to Chittor to Ramsanpalle to Magadi to Oddanchatram to Particulars Kallagam Mallavaram Mangloor Somwarpeth Madathukulam KNR Srirangam Infra KNR Tirumala Infra KNR Shankarampet Projects KNR Somwarpeth Infra KNR Palani Infra SPV Name Private Limited Private Limited Private Limited
Slide 27: Details of SPA with Cube
Details of SPA with Cube^ Total Equity Cube’s Equity Share KNR’s Equity Share Consideration for KNR’s Particulars (Rs. mn) (49%) (Rs. mn) (51%) (Rs. mn) 51% stake (Rs. mn)* KNR Sriranagm Infra Pvt Ltd 471.5 490.8 736.1 (SPA Signed: 28th Jan’19) 962.3 1.50 times KNR Tirumala Infra Pvt Ltd 701.9 730.6
Slide 28: Order Book & Business Strategy
Order Book & Business Strategy
Slide 29: Order-book Highlights
Order-book Highlights Key Projects Rs. Mn Order Book Break-up Elevated Highway along Avinashi Road in Coimbatore City 10,334 (EPC) 49% Magadi to Somwarpeth Project (KSHIP HAM) 7,706 31% 69% Oddanchatram to Madathukulam Project (HAM) 6,400 4% 16% Ramsanpalle to Mangloor Project (HAM) 4,610 Captive (H
Slide 30: Order-book: State-wise
Order-book: State-wise Arunachal Pradesh No of Projects 1 Balance Value Rs. 822 mn Karnataka No of Projects 6 Balance Value Rs. 11,122 mn AP & Telangana No of Projects 13 Balance Value Rs. 51,103 mn Kerala No of Projects 2 Balance Value Rs. 96 mn Tamil Nadu No of Projects 13 Balance Value Rs. 22,402
Slide 31: Business Strategy
Business Strategy Focus on Projects involving Higher degree of engineering skills 03 Focus on securing EPC Continuously explores contracts from reputed growth opportunities by Clients and forming strategic Joint Concessionaire Ventures (JVs) 02 04 Capitalise on Opportunity Execute all the projects o
Slide 32: Financial Highlights
Financial Highlights
Slide 33: Standalone Financial Highlights
Standalone Financial Highlights Financial Year 2010* 2011* 2012* 2013* 2014* 2015* 2016^ 2017^ 2018^ 2019^ 2020^ 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 Turnover $118.6 $132.0 $125.0 $115.2 $139.0 $140.0 $136.1 $238.3 $296.9 $3
Slide 34: Standalone Financial Highlights
Standalone Financial Highlights Revenue & EBITDA (Margin %) EBITDA Margin (%) 15.7% 17.1% 17.8% 16.8% 15.1% 14.4% 16.9% 14.9% 19.9% 20.0% 21.7% 21,373 22,442 19,317 15,411 7,930 8,348 8,761 9,026 EBITDA 7,125 7,505 6,921 3,839 4,270 4,871 Revenue 2,296 1,121 1,356 1,338 1,164 1,258 1,261 1,529 2010
Slide 35: Standalone Financial Results
Standalone Financial Results Rs. Million FY20 FY19 YoY Total Revenue 22,442.4 21,372.6 5% Operating Expenses 13,550.0 13,881.0 Employees Expenses 1,252.2 928.6 Other Expenditure 2,769.5 2,293.4 EBITDA 4,870.7 4,269.6 14% EBITDA margin 21.7% 20.0% +170 bps Other Income 565.9 633.9 Depreciation 1,918.
Slide 36: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. Million) Mar-20 Mar-19 EQUITY & LIABILITIES (Rs. Million) Mar-20 Mar-19 Non-Current Assets Equity Property, plant and equipment 3,777.7 3,709.2 Equity Share capital 281.2 281.2 Capital work-in-progress 101.5 0.1 Right of Use Asset 26.0 0.0 Other equity 15,957.7 1
Slide 37: Standalone Net Working Capital Days
Standalone Net Working Capital Days 79 69 52 48 53 53 52 44 40 43 41 36 45 34 28 26 23 18 20 19 20 20 20 16 16 15 15 15 17 16 13 14 12 14 7 98 10 66 45 64 51 74 53 39 45 40 78 58 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Sep-20 Inventory Debtors Creditors Net Worki
Slide 38: Consolidated Financial Results
Consolidated Financial Results Rs. Million FY20 FY19 YoY Total Revenue 24,516.8 22,915.0 7% Operating Expenses 14,004.1 14,051.4 Employees Expenses 1,269.2 947.7 Other Expenditure 3,019.1 2,549.2 EBITDA 6,224.4 5,366.8 16% EBITDA margin 25.4% 23.4% +200 bps Other Income 656.9 743.4 Depreciation 2,54
Slide 39: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. Million) Mar-20 Mar-19 EQUITY & LIABILITIES (Rs. Million) Mar-20 Mar-19 Non-Current Assets Equity Property, plant and equipment 3,809.8 3,746.0 Equity Share capital 281.2 281.2 Capital work-in-progress 101.5 0.1 Instruments entirely equity in nature 85.0 85.0 R
Slide 40: Cash Flow Statement
Cash Flow Statement Standalone Consolidated Particulars (Rs. Million) FY20 FY19 FY20 FY19 Net Profit Before Tax 2,936.8 2,905.9 3,244.7 2,923.6 Adjustments for: Non-Cash Items / Other Investment or Financial Items 2,157.3 1,624.8 3,000.8 2,906.6 Operating profit before working capital changes 5,094.
Slide 41: Shareholding Pattern as on 30th September 2020
Shareholding Pattern as on 30th September 2020 Shareholders Holding more than 1% of the Equity % to Equity (Other than Promoters) 10.74% DSP Mutual Fund 6.85% HDFC Mutual Fund 6.40% ICICI Prudential Mutual Fund 6.08% UTI Mutual Fund 2.21% 32.17% 55.17% Franklin Templeton Mutual Fund 2.00% Invesco Mu
Slide 42: For further information, please contact
For further information, please contact Company : Investor Relations Advisors : KNR Constructions Ltd. CIN: L74210TG1995PLC130199 Strategic Growth Advisors Pvt. Ltd. Mr. K. Venkata Ram Rao CIN: U74140MH2010PTC204285 (GM - Finance & Accounts) Mr. Jigar Kavaiya / Mr. Parin Narichania venkatram@knrcl.c
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