Tega Industries Ltd. · NSE:TEGA
Tega Industries — Investor Presentation (February 2022)
24 slides from Tega Industries's investor presentation, Feb 15, 2022
Slide 1: Tega Industries Limited Investor Presentation Feb. 2022
TEGA INDUSTRIES LIMITED PART NE RS HIP S I N P RAC T I C E Investor Presentation Feb. 2022 1
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Tega Industries 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 secur
Slide 3: Tega Industries Limited – Company Overview
Tega Industries Limited – Company Overview Immunity from Capex Cycles ▪ Cater to after-market spend recurring revenues Continuous Design Innovation ▪ Launched DynaPrime in 2018 – a composite liner of rubber & steel Leading manufacturer & Commenced Catering to global mineral Inorganic Strategy distri
Slide 4: Evolution into a Global Multi-product Player
Evolution into a Global Multi-product Player Foundation Buyout Intellectual Property, Initial Public Additional Patent, Acquisition Offering Greenfield Project Collaboration of our Buyout by Madan Mohan • Grant of patent in relation The shares of the company Promoter, Madan Mohan Mohanka of Skega AB
Slide 5: Corporate Structure
Corporate Structure Tega Industries Ltd Material Subsidiaries1 100% 100% 100% 100% 50% JV Tega Industries Tega Industries Tega Holdings Africa Proprietary Losugen Pty Ltd Hosch Chile SpA Pte Ltd Ltd. Holdings Pte Ltd 1 Shown above are material subsidiaries. The company also holds other wholly owned
Slide 6: Key Strengths
Key Strengths Robust fundamental Established Track Record Mineral Processing • Infrastructure growth, shift to EVs, RE, electronics, volatility CAGR 12.7% 23.3% Rs 2,781 mn hedge, etc. key demand drivers for relevant metals Industry 2020- Revenue from Operating EBITDA Robust Orderbook 301 • Declinin
Slide 7: Q3 & 9M FY22 Performance Highlights
Q3 & 9M FY22 PERFORMANCE 7 HIGHLIGHTS
Slide 8: Q3 & 9M FY22 Performance Highlights
Q3 & 9M FY22 Performance Highlights Q3FY22 9MFY22 Revenue +20% Revenue +19% Rs. 2,578 mn Management Commentary Rs. 6,617 mn ❑ Impact of rise in material costs led to pressure on margin. The same will be passed on gradually being critical Operating EBITDA Operating EBITDA spares for the customers +8%
Slide 9: Consolidated Financial Performance
Consolidated Financial Performance In Rs mn Quarter- wise trend : FY22 Revenue Operating EBITDA PAT +11.7% +33.2% 2,578 2,307 +29.6% 510 1,732 +67.0% +48.9% 393 336 +89.8% 236 226 119 Q1 FY22 Q2 FY22 Q3 FY22 Q1 FY22 Q2 FY22 Q3 FY22 Q1 FY22 Q2 FY22 Q3 FY22
Slide 10: Consolidated Financial Performance
Consolidated Financial Performance Nine-Months Performance Revenue Operating EBITDA PAT +18.9% -14.0% -28.6% 6,617 1,324 952 5,567 1,139 680 9M FY21 9M FY22 9M FY21 9M FY22 9M FY21 9M FY22
Slide 11: Q3 & 9M FY22 - Consolidated P&L
Q3 & 9M FY22 - Consolidated P&L Particulars (INR mil) Q3 FY22 Q3 FY21 YOY Q2 FY22 QoQ 9M FY22 9M FY21 YOY FY21 Revenue from operations 2,577.9 2,141.5 20% 2,307.1 12% 6,617.0 5,566.9 19% 8,055.2 Cost of materials consumed 1,144.9 1,110.7 1,017.1 2,926.4 2,218.5 3,282.4 Changes in inventories -39.0 -
Slide 12: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS 12
Slide 13: Key Investment Highlights
Key Investment Highlights Diverse & Innovative Products Insulated from Capex with Low Substitution Threat 1 2 Cyclicity of Mining Players Diverse Global Presence with Strong R&D leading to Multiple Patents, with focus on Quality 3 Strong Global Manufacturing 4 & Sales Capabilities Consistent Growth
Slide 14: 1. Diverse & Innovative Products
1. Diverse & Innovative Products Specialized, ‘critical to operate’ and recurring consumable Sale of Sale of Products Services products Flagship products Specialized Plant Audit Mill liners Hydrocyclones Screens & Trommels Conveyor Products Consultancy Supply of Individual Spare Rapido Spillex Parts
Slide 15: 2. 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 1x 3x Approx. split Upfront After market spend Capex Recurring cost for miners Majority of our products are linked to the operating expenditure budget of a mining site, thus immune fro
Slide 16: 3. 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 2018 – Rapido 2018 – DynaPrime 2016 – Chutes 2015 – Trommels • In-house R&D team comprises 36 personnel • We do not rely on outsourcing: reduces our dependence • R&D & manufacturing capabili
Slide 17: 4. Diverse Global Presence - Manufacturing & Sales Capabilities
4. Diverse Global Presence - Manufacturing & Sales Capabilities Chile South Africa Australia International Commissioning/Acquisition: 2011 Commissioning/Acquisition : 2006 manufacturing Product capabilities: Commissioning/Acquisition: 2010 Product capabilities: Mill liners, Trommels, Chute liners, P
Slide 18: 5. Consistent Growth & Long-Term Repeat Business
5. Consistent Growth & Long-Term Repeat Business Entry barriers helps maintain high margins over Robust market position time with revenues from operations growing at 12.74% CAGR FY19-21 Successfully maintained operational efficiency levels whilst completing acquisitions, JVs & Built Inherent Strengt
Slide 19: 6. Track Record of Successful Inorganic Growth Strategy
6. Track Record of Successful Inorganic Growth Strategy JV in 1991 Acquisition in 2006 Acquisition in 2010 Acquisition in 2011 • Assistance from Hosch • Expand operations globally • Increased market share in • Access to the Latin American England covering aspects Australia by acquiring markets inclu
Slide 20: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Gain market share & Leverage in-house R&D to Expand manufacturing Explore opportunities for Operational efficiencies & customer wallet share grow product offerings & capabilities to optimise inorganic growth margin expansion across high growth capitalize on future ec
Slide 21: Leadership Team
LEADERSHIP TEAM 21
Slide 22: Experienced Board of Directors
Experienced Board of Directors Madan M. Mohanka Mehul Mohanka Syed Yaver Imam Chairman and Executive Managing Director and Executive Director Director Group CEO Appointed: Since inception Appointed: Jun-02 Appointed: Jul-05 Background: Background: Background: • Promoter, Founder and Chairman • One o
Slide 23: Management Team
Management Team • One of the Promoters of the Company, MD & • Associated with Tega for four decades since Group CEO joining as a Trainee in 1981 and climbed up Mehul Mohanka • Associated with Tega for almost two decades Syed Yaver Imam the ladder MD and Group CEO Director – Global • Bachelor’s degre
Slide 24: Thank You
THANK YOU Mr. Manoj Kumar Agarwal Director Global Finance, Chief Financial Officer & Company Secretary investor.relations@tegaindustries.com Mr. Rajesh Agrawal Sr. Vice President +91 99674 91495 Rajesh.Agrawal@linkintime.co.in Mr. Nachiket Kale +91 9920940808 nachiket.kale@linkintime.co.in
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