Knr Constructions Limited · NSE:KNRCON
Knr Constructions — Q2 FY25 Earnings Presentation
38 slides from Knr Constructions's earnings presentation, November 2024
Slide 1: Investors Presentation November 2024
GUIDED BY VISION DRIVEN BY EXCELLENCE INVESTORS PRESENTATION November 2024
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 3
Slide 4: Key Highlights
Key Highlights ❑ Credit Rating Outlook ✓ India Ratings & Research has affirmed its outlook on the long-term bank facilities at IND AA/Stable ✓ The short-term rating is affirmed at ‘IND A1+’ ❑ Arbitration claim received from Orrisa Project ✓ Amount included in Revenue from Operations: Rs. 277.6 mn ✓
Slide 5: Key Highlights
Key Highlights ❑ Divestment of KNR Muzaffarpur Barauni Tollway Private Limited ✓ KNR Constructions Ltd. (Company) signed Share Purchase Agreement (SPA) with JKM Infra Projects Limited and/or Mr. Gaurav Jalan (Promotor and Director of JKM Infra Projects Limited) (Investor) for Rs. 4.59 mn on 29th Oct
Slide 6: Standalone Financial Highlights
Standalone Financial Highlights Rs. Million Revenue EBITDA EBITDA Margins PAT -1% - 99 bps +235% -6% 9,415 8,838 1,663 1,648 17.7% 18.6% 3,344 Quarter 1 999 Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Revenue EBITDA EBITDA Margins PAT +5% +208 bps +123% -6% 18,711 17,640 3,395 3,
Slide 7: Standalone Financial Results
Standalone Financial Results Standalone Rs. Million Q2 FY25 Q2 FY24 YoY Q1 FY25 QoQ H1 FY25 H1 FY24 YoY Total Revenue 8,838.0 9,414.7 -6% 8,801.8 0% 17,639.8 18,710.6 -6% Operating Expenses 5,942.8 6,307.7 5,613.0 11,555.7 12,861.5 Employees Expenses 525.6 416.4 419.2 944.8 809.1 Other Expenditure 7
Slide 8: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. Million) Sep-24 Mar-24 EQUITY & LIABILITIES (Rs. Million) Sep-24 Mar-24 Non-Current Assets Equity Property, plant and equipment 3,362.9 3,659.7 Capital work-in-progress 11.8 21.8 Equity Share capital 562.5 562.5 Right of Use Asset 27.9 45.5 Other equity 36,309.7
Slide 9: Standalone Net Working Capital Days
Standalone Net Working Capital Days 89 82 79 67 71 69 63 52 48 53 60 53 55 57 52 52 53 40 43 41 36 45 28 26 23 25 23 18 20 19 20 20 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 96 122 111 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19
Slide 10: Consolidated Financial Results
Consolidated Financial Results Consolidated Rs. Million Q2 FY25 Q2 FY24 YoY Q1 FY25 QoQ H1 FY25 H1 FY24 YoY Total Revenue * 19,448.6 10,384.5 87% 9,850.0 97% 29,298.6 20,194.7 45% Operating Expenses * 9,074.1 6,585.2 5,627.3 14,701.4 13,159.4 Employees Expenses 524.4 418.0 420.8 945.2 812.1 Other Ex
Slide 11: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. Million) Sep-24 Mar-24 EQUITY & LIABILITIES (Rs. Million) Sep-24 Mar-24 Non-Current Assets Equity Property, plant and equipment 3,723.2 4,030.2 Equity Share capital 562.5 562.5 Capital work-in-progress 11.8 21.8 Instruments entirely equity in nature 85.0 85.0 R
Slide 12: Cash Flow Statement
Cash Flow Statement Standalone Consolidated Particulars (Rs. Million) Half Year Ended Half Year Ended Half Year Ended Half Year Ended 30-Sep-24 30-Sep-23 30-Sep-24 30-Sep-23 Net Profit Before Tax 6,072.0 2,813.9 8,907.9 3,492.6 Adjustments for: Non-Cash Items / Other Investment or Financial Items -2
Slide 13: Business Update
Key Highlights & Result Update Business Update 13
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 18
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 1,273 15 Tractors 47 2 Excavators 402 16 Transformers 35 3 Generators 299 17 Crushers 32 4 Concrete Mixers And Pumps 203 18 Trailers 35 Compactors 137 19 Dozers 24 5 20 Light Soures 25 6 Dril
Slide 23: In-house Execution Team
3. In-house Execution Team 6% Total Employees* Project Engineering 26% 2,456 Site Supervision 33% Site Engineers 9% Equipment Operators Admin & Office Staff 26% IN-HOUSE TEAM OF QUALIFIED AND EXPERIENCED EMPLOYEES LED BY PROVEN MANAGEMENT TEAM * as on Sept 30th 2024 23
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 Portfolio 25
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: 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 Somwarpet KNR KNR Palani Infra KNR Ramanattukara KNR Guruvayur I
Slide 28: Order Book & Business Strategy
Order BOTBook & Business Portfolio Strategy – Toll Project Order Book & Business Strategy 28
Slide 29: Order-book Highlights
Order-book Highlights Key Projects Rs. Mn Order Book Break-up Marripudi to Somvarappadu Project (HAM) 5,105 Bangalore-Mangalore Project (Periya Shanthi to Bntwal) 54% (EPC) 4,255 33% 67% Ramanattukara to Valanchery bypass project (HAM) 3,340 11% 2,581 2% Valanchery Bypass to Kappirikkad Project (HAM
Slide 30: Order-book: State-wise
Order-book: State-wise Karnataka No of Projects 4 Balance Value Rs. 6,058 mn AP & Telangana No of Projects 14 Kerala Balance Value Rs. 29,402 mn No of Projects 2 Balance Value Rs. 5,921 mn Tamil Nadu No of Projects 4 Balance Value Rs. 2,679 mn Disclaimer: Maps not to scale. All data, information, an
Slide 31: Recently Won Projects
Recently Won Projects Rs. million Rs. Million 12,000 56,060 New Projects (HAM) (Excluding GST) Construction of Access Controlled four laning with paved shoulder from Mysore to Kushalnagara Section of NH-275 on Hybrid Annuity Mode 5,750* under NH(O) in the State of Karnataka (Package IV) 44,060 Const
Slide 32: Orderbook Breakup - Rs. 56,060 Mn
Orderbook Breakup - Rs. 56,060 Mn Order Book Break-up 43% 47% 53% 8% 2% Captive (HAM Projects) State Govt. Central Govt. Others Segment Wise Split Region Wise Split Irrigation 18% Pipeline Roads 20% (Others) 15% South 100% Roads (HAM) 47% 32
Slide 33: 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 34: Financial Highlights
Financial BOT Portfolio – Toll Project Highlights Financial Highlights 34
Slide 35: Standalone Financial Highlights
Standalone Financial Highlights Financial 2010* 2011* 2012* 2013* 2014* 2015* 2016^ 2017^ 2018^ 2019^ 2020^ 2021^ 2022^ 2023^ 2024^ Year Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. 7,125 Rs. 7,930 Rs. 7,505 Rs. 6,921 Rs. 8,348 Rs. 8,761 Rs. 9,025 Rs.21,373 Turnover 15,411 19,317 22,442 27,026 32,726 37,438 40,9
Slide 36: 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% 17.1% Margin (%) 40,910 37,438 32,726 27,026 21,373 22,442 19,317 EBITDA 15,411 7,125 7,930 7,505 6,921 8,348 8,761 9,026 6,777 7,217 7,010 Revenue 3
Slide 37: Shareholding Pattern as on 30th September 2024
Shareholding Pattern as on 30th September 2024 Shareholders Holding more than 1% of the Equity % to Equity (Other than Promoters) HDFC Mutual Fund 8.18 14.06% SBI Mutual Fund 4.40 DSP Mutual Fund 3.69 Canara Robeco Mutual Fund 2.18 48.81% Franklin Templeton Mutal Fund 1.88 30.47% Kotak Mutual Fund 1
Slide 38: 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 (GM - Finance & Accounts) +91-9920602034 venkatram@knrcl.com jigar