Shakti Pumps (india) Limited · NSE:SHAKTIPUMP

Shakti Pumps (india) — Q2 FY24 Earnings Presentation

40 slides from Shakti Pumps (india)'s earnings presentation, Nov 3, 2023

Slide 1: Cover letter to stock exchanges
Date: ‐ 03/11/2023 To, To, The Secretary, The Secretary, Listing Department Corporate Relationship Department National Stock Exchange of India Ltd. BSE Limited Exchange plaza, BKC, Bandra (E) P. J. Towers, Dalal Street Mumbai ‐ MH 400051. Mumbai‐ MH 400001. REF: ‐(ISIN‐ INE908D01010) SCRIP CODE BSE‐
Slide 2: Investor Presentation November 2023
Investor Presentation November 2023 Shakti Pumps (India) Limited www.shaktipumps.com BSE: 531431 | NSE: SHAKTIPUM P |ISIN: INE908D01010 03-11-2023 1 © 2023, All Rights Reserved - www.shaktipumps.com
Slide 3: Disclaimer
Disclaimer This presentation and the following discussion may contain “forward looking statements” by Shakti Pumps (India) Limited (“SPIL” or the company) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operations, finan
Slide 6: Management Commentary on Performance
Management Commentary on Performance “We are delighted to report that this has been a breakthrough quarter for the company as we started receiving orders under the PM KUSUM III Scheme. Under Component B of the scheme, we received two orders for 17,781 Off-Grid Solar Photovoltaic Water Pumping System
Slide 7: Recent Developments: Orders
Recent Developments ORDERS # of Pumps Order Value* Execution COMPONENT B - Off-Grid Solar Photovoltaic Water Pumping Systems (Rs. Crores) Timeline 30 Aug, 2023 Haryana Renewable Energy Department (HAREDA) 7,781 358.0 120 days ^ 15 Sep, 2023 Department of Agriculture, Uttar Pradesh 10,000 293.0 90 da
Slide 8: Recent Developments: Patents
Recent Developments PATENTS Received 5 new patents between April 2023 & October 2023 - Date Patent For Remarks 06 Apr 2023 Inventing Switching Circuit To Start Single Phase Induction Prevents the complications in capacitors, issues of voltage drops and additional cost Motor of conductors in riser ca
Slide 9: Q2 & H1 FY24 Consolidated Income Statement
Q2 & H1 FY24 Consolidated Income Statement Particulars (Rs Mn) Q2FY24 Q2FY23 YoY Q1FY24 QoQ H1FY24 H1FY23 YoY Revenue from Operations 1,528 2,163 (29.4%) 1,131 35.1% 2,658 4,708 (43.5%) EBITDA 152 124 22.2% 79 91.9% 231 338 (31.5%) EBITDA Margins % 10.0% 5.8% 420 bps 7.0% 294 bps 8.7% 7.2% 153 bps F
Slide 10: Quarterly Comparative Charts
Quarterly Comparative Charts Revenue (Rs Mn) EBITDA (Rs Mn) and EBITDA Margin (%) 4,708 400 12.0% 10.0% 8.7% 350 10.0% 300 7.2% 2,658 8.0% 250 5.8% 2,163 200 6.0% 1,528 338 150 4.0% 100 231 124 152 2.0% 50 0 0.0% Q2FY23 Q2FY24 H1FY23 H1FY24 Q2FY23 Q2FY24 H1FY23 H1FY24 PAT (Rs Mn) and PAT Margin (%)
Slide 11: Consolidated Income Statement
Consolidated Income Statement Particulars (Rs Mn) FY20 FY21 FY22 FY23 H1FY24 Revenue from Operations 3,828 9,297 11,785 9,677 2,658 EBITDA 114 1,413 1,105 666 231 EBITDA Margins % 3.0% 15.2% 9.4% 6.9% 8.7% Depreciation and Amortization Expense 172 184 186 184 94 Finance Cost 208 162 157 192 69 PBT (
Slide 12: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (Rs Mn) Mar’ 20 Mar’ 21 Mar’ 22 Mar’ 23 Sep’ 23 Assets Net Fixed Assets 1,539 1,481 1,463 1,481 1,599 Other Non Current Assets 170 214 48 152 327 Current Assets 3,698 5,009 7,126 5,620 6,624 Total Assets 5,406 6,705 8,637 7,253 8,550 Liabilities Net Worth 2,652
Slide 13: Key Financial Highlights
Key Financial Highlights Revenue driven by improved demand of Solar pumps (Rs Mn) Break-up of Operating Costs as a % of Revenue 11,785 9,297 9,677 14.1% 4.4% 5.5% 9.7% 4.7% 9.4% 10.8% 17.7% 9.4% 14.7% 5,464 3,828 1,105 1,413 76.8% 76.8% 65.0% 70.6% 884 451 756 648 666 241 59.3% 114 -141 FY 2019 FY 2
Slide 14: Key Financial Highlights – Key Ratios
Key Financial Highlights – Key Ratios Optimum capital structure with high coverage ratio (x) Improving working capital cycle 8.8 212 7.1 153 5.0 121 119 119 4.5 115 3.9 104 102 3.5 3.5 3.2 91 87 92 81 75 74 62 0.5 0.6 0.6 0.8 0.2 0.2 0.2 FY2019 FY2020 FY2021 FY2022 FY2023 FY2019 FY2020 FY2021 FY2022
Slide 16: Company at a Glance
Company at a Glance ▪ Incorporated in 1982 and led by Mr. Dinesh ▪ Products have varied applications from Patidar, Shakti Pumps (India) Limited (SPIL) agricultural, building services, power, oil & gas, has made strong presence in the pumps metals & mining and others industry ▪ Diversified customer m
Slide 17: Have been in the pumps business since last 4 decades
Have been in the pumps business since last 4 decades Commenced operations in Received first Uganda to Implementation of patent Supply Solar Listed on the PM-KUSUM scheme Powered Bombay stock Corporate Excellence Received IMC Set up a separate SEZ Water exchange Received R & D RBNQ Started the SSI Un
Slide 18: Diversified Product Range - Inhouse manufacturing of energy efficient products
Diversified Product Range - Inhouse manufacturing of energy efficient products Shakti’s Range of Product Key Differentiators High quality energy efficient stainless steel Pumps 30-40% less energy consumption ~40% more output compared to cast iron pumps Rust & corrosion free ~ 2X life compare to cast
Slide 19: Varied Range of Applications
Varied Range of Applications - Provide less dependency on any one sector Solar Domestic Channel partner with MNRE For domestic needs of bungalows, with top notch 1A ratings, pumps high-rise buildings, housing ranging from 0.5 HP to 300 HP that complexes and apartment. ideally are simple to operate w
Slide 20: Diversified Customer Mix
Diversified Customer Mix – Reduces the customer concentration risk FY2019 FY2020 FY2021 FY2022 FY2023 69% 67% 58% 41% 33% 33% 35% 32% 25% 24% 22% 19% 16% 15% 9% Customers under Govt Projects Export Customers Other Customers Highest revenue share with 2nd largest revenue Other Customers including 67%
Slide 21: State-of-art Manufacturing Facilities
State-of-art Manufacturing Facilities – with strong backend support 1 World class manufacturing unit 2 Additional facilitates 3 Certifications & Approvals Backward Integrated - In-house UL Certificate Unit I – Main unit: (Total Area-16 acres) manufacturing all the key components required for pumps a
Slide 23: Experienced Management Team with robust Corporate Governance Standards
Experienced Management Team with robust Corporate Governance Standards Mr. Dinesh Patidar Chairman Mr. Ramesh Patidar A visionary, self-made industrialist and leader with a strong Managing Director business acumen and knowledge in development of engineering products and management. More than 3 decad
Slide 24: Experienced Management Team with robust Corporate Governance Standards
Experienced Management Team with robust Corporate Governance Standards Dr Chinmay Jain Mr. Ravi Patidar DGM - Electronics and Control Company Secretary An M. E. in electrical engineering from Indian Institute of Science, A Commerce graduate, and also hold the degree of L.L.B. He is Bangalore, he has
Slide 25: Corporate Structure – Providing Global Presence
Corporate Structure – Providing Global Presence SPIL Shakti Pumps India Limited Domestic Foreign Shakti Energy Solutions P Ltd Shakti Pumps 100% WOS based out of USA & Shakti Green Industries P Ltd USA, LLC Revenue: ₹ 470 mn, PAT: ₹ 41 mn in FY2023 Shakti Energy - 100% WOS has 1,00,000 solar structu
Slide 27: Why Solar Pumping Systems are need of hour?
Why Solar Pumping Systems are need of hour? Working of a Existing Grid System Pump ▪ A solar-powered pump is a pump PM supporting Solar power running on solar energy to push farmer income generated by photovoltaic panels or the radiated thermal energy PM speech on Solar pump available from collected
Slide 28: Government Initiatives to support Solar Power Generation
Government Initiatives to support Solar Power Generation To promote the Target to setup 280 GW solar power capacity by 2030 green energy agenda (from 49.34 GW as on 31 Dec 2021) Off Grid Launched Grid Connected Various Schemes ▪ Setting up of Solar Parks and Ultra Mega Solar ▪ Pradhan Mantri - Kisan
Slide 29: Kusum - A initiative to transform agriculture sector
Kusum - A initiative to transform agriculture sector In FY 2018-19, a ₹480 bn budget was setup for 10 years period Subsidy scheme to install new solar pumps and replace the existing electrical/diesel pumps to reduce the dependency of grid power Component Addition of 10,000 MW solar power capacity wi
Slide 30: Kusum – Benefitting farmers to the core
Kusum – Benefitting farmers to the core and slowing the base issues in the sector State State Nodal Agency Project Farmer Share State Share MNRE Share Total Rajasthan RHDS - Jaipur PM-KUSUM 40% 30% 30% 100% Haryana HAREDA - Panchkula PM-KUSUM 25% 45% 30% 100% Punjab PEDA - Chandigarh PM-KUSUM 15% -
Slide 31: Kusum - Benefitting Government to move away from fossil to renewable sources
Kusum - Benefitting Government to move away from fossil to renewable sources India Potential – Renewable Energy (RE) ~ 1,100 GW 750 Solar Extremely slow execution Targets to reach 500 GW RE capacities by 2030 of rate so far, just added ~53 which Solar is expected to GW capacities during Apr 300 have
Slide 32: Huge Addressable market for SPIL providing immense opportunities
Huge Addressable market for SPIL providing immense opportunities Large Headroom for ▪ Global solar industry was valued at Solar Pumps in India – Market Size (component B) USD 50 bn in 2019 and is estimated Growth - Water Pump Market to grow by 26% to reach USD 200 bn KUSUM 3 & Particulars KUSUM 1 KU
Slide 33: Emphasizing on technological improvement to further drive future growth
Emphasizing on technological improvement to further drive future growth Regular addition of new products Awarded 7 patent of 29 allied patents ▪ On the back of advanced R&D team and infrastructure, ▪ Providing innovative solutions through its advanced R&D support SPIL filled for 29 patents ▪ Some of
Slide 34: Presence across Continents – Leading to Revenue & Margin expansion
Presence across Continents – Leading to Revenue & Margin expansion Global Presence (100+ countries) Opportunities ▪ Segment reported a CAGR of 11.5% during 2018-21 expecting to Europe 26 countries perform better on the back of new orders which may translate into better overall margins as the segment
Slide 35: Retail demand – Well supported by strong distribution network
Retail demand – Well supported by strong distribution network and new product launch High market penetration ▪ Sells all its products under with strong distribution network “Shakti” Brand ▪ One of the selected bidders among 5-7 L1 bidders for supplying pumps with 1-10 HP 500+ 1200+ Nos of Dealers ▪
Slide 36: Strong backend support to improve customer connect
Strong backend support to improve customer connect ▪ Availability of many field people who control any issues related to the pumps ▪ Technological advanced company’s pumps can be remotely monitored through “Shakti Remote Monitoring System – Mobile App” with controls built inside the pumps ▪ Controll
Slide 38: Project Execution Process (PM KUSUM Scheme)
Project Execution Process (PM KUSUM Scheme ) General Mechanism Respective Nodal Agency of each state looks after the activities for New & Renewable Energy sector: 60% STEP1: State Government 100% Farmer submits interest for Solar equipment and contributes 10% to State Nodal Agency Work Order STEP2:
Slide 39: ESG Initiatives for Sustainable Growth of Business
ESG Initiatives for Sustainable Growth of Business Environment Empathy Social Responsibility Corporate Governance ▪ The Company has diversified into solar ▪ Installation of solar pumps and systems ▪ The Company is committed to sound energy operated pumps and rooftop across multiple villages in India
Slide 40: Thank You
Shakti Pumps (India) Limited Regd. Office & Works: Plot No. 4O1-,402 & 413, industrial Area, Sector - 3, Pithampur - 454774, Dist. Dhar (M.P.) India. Mr. Dinesh Patel, CFO ✉ dinesh.patel@shaktipumps.com Ernst & Young, LLP Vikash Verma ✉ vikash.verma1@in.ey.com Rohit Anand ✉ rohit.anand4@in.ey.com Ri

Shakti Pumps (India) — Q2 FY24 Earnings Presentation on 6ix

Shakti Pumps (india) — Q2 FY24 Earnings Presentation

Slide 1: Cover letter to stock exchanges

Slide 2: Investor Presentation November 2023

Slide 3: Disclaimer

Slide 4: Contents

Slide 5: Financial Highlights

Slide 6: Management Commentary on Performance

Slide 7: Recent Developments: Orders

Slide 8: Recent Developments: Patents

Slide 9: Q2 & H1 FY24 Consolidated Income Statement

Slide 10: Quarterly Comparative Charts

Slide 11: Consolidated Income Statement

Slide 12: Consolidated Balance Sheet

Slide 13: Key Financial Highlights

Slide 14: Key Financial Highlights – Key Ratios

Slide 15: Business Overview: Pumping Growth

Slide 16: Company at a Glance

Slide 17: Have been in the pumps business since last 4 decades

Slide 18: Diversified Product Range - Inhouse manufacturing of energy efficient products

Slide 19: Varied Range of Applications

Slide 20: Diversified Customer Mix

Slide 21: State-of-art Manufacturing Facilities

Slide 22: High Tech Manufacturing Facilities - Defining global standards

Slide 23: Experienced Management Team with robust Corporate Governance Standards

Slide 24: Experienced Management Team with robust Corporate Governance Standards

Slide 25: Corporate Structure – Providing Global Presence

Slide 26: Key Drivers

Slide 27: Why Solar Pumping Systems are need of hour?

Slide 28: Government Initiatives to support Solar Power Generation

Slide 29: Kusum - A initiative to transform agriculture sector

Slide 30: Kusum – Benefitting farmers to the core

Slide 31: Kusum - Benefitting Government to move away from fossil to renewable sources

Slide 32: Huge Addressable market for SPIL providing immense opportunities

Slide 33: Emphasizing on technological improvement to further drive future growth

Slide 34: Presence across Continents – Leading to Revenue & Margin expansion

Slide 35: Retail demand – Well supported by strong distribution network

Slide 36: Strong backend support to improve customer connect

Slide 37: Annexure

Slide 38: Project Execution Process (PM KUSUM Scheme)

Slide 39: ESG Initiatives for Sustainable Growth of Business

Slide 40: Thank You