A2z Infra Engineering Limited · NSE:A2ZINFRA
A2z Infra Engineering — A2Z Maintenance & Engineering Services — Investor Presentation (February 2011)
37 slides from A2z Infra Engineering's investor presentation, Feb 10, 2011
Slide 1: A2Z Maintenance & Engineering Services Ltd. Presentation
A2Z Maintenance & Engineering Services Ltd. Presentation 10 February 2011
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements made in this presentation may not be based on historical information or facts and may be “forward looking statements,” including those relating to general business plans and strategy of A2Z Group (“A2Z”), its future outlook and growth prospects, and future de
Slide 3: Contents
Contents 1 Company Snapshot 2 Overview of Business Verticals 3 Financial Track Record 4 Qualified and Experienced Management 5 Our Growth Plans 6 Competitive Strengths 3
Slide 4: Company Snapshot
Company Snapshot
Slide 5: Diversified Business Model in the Indian Infrastructure Sector
Diversified Business Model in the Indian Infrastructure Sector A2Z Group FY02 FY06 FY08 FY09 Facilities Management Municipal Solid Waste Power EPC Services Renewable Energy Services (FMS) Management (MSW) Direct/Indirect employment to Order book of INR 11,482 mn(1) 21 Projects; 6,600 MT Per Day 237
Slide 6: Corporate Structure
Corporate Structure A2Z Maintenance & Engineering Services Ltd. (EPC for T&D and Roads , Renewable Energy Generation) Renewable Municipal Solid Waste EPC for Power Power IT Solutions for ERP Energy Facilities Management Services (FMS) Management (MSW) Generation Solutions implementation Generation 8
Slide 7: Corporate Structure (Contd..)
Corporate Structure (Contd..) A2Z Maintenance & Engineering Services Ltd. (EPC for T&D and Roads , Renewable Energy Generation) 89.01% A2Z Infrastructure 80% 80% 80% 80% 100% 100% 100% 100% 100% 100% A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste A2Z Waste
Slide 8: Corporate History and Evolution
Corporate History and Evolution FY 2009 May 2009 May 2010 Jan 2002 FY 2006 Jul 2006 Aug 2007 Commenced projects Demerger of FMS to Acquisition of Commenced the FMS Entered EPC of Power Investment by Mr. Investment by Beacon related with IT a2z Infraservices Pvt. Surendar Chowdhury Business Distribut
Slide 9: Overview of Business Verticals
Overview of Business Verticals 9
Slide 10: Engineering, Procurement & Construction (EPC)
Engineering, Procurement & Construction (EPC)
Slide 11: EPC: Industry Dynamics and Scope to Scale up
EPC Industry Dynamics and Scope to Scale up Distribution Sector Transmission Sector Typically, distribution is considered to be transfer of less than Bulk transfer of power over a long distance at a high voltage, 66KV range of power to end consumers generally 132 KV and above Xth five-year Pla
Slide 12: EPC: Business Model with Proven Track Record
EPC Business Model with Proven Track Record Power EPC for Transmission and Distribution Rural Electrification Proven track record since fiscal 2006 Construction of 33KV/11KV distribution line; Undertook Strong presence in the EPC of distribution lines automatic meter reading projects (AMR) Experti
Slide 13: Power IT Solutions
Power IT Solutions Robust Business Model with Proven Track Record Executing projects as a systems integrator by developing IT solutions for AT&C loss reduction in India The Company together with its consortium partner, Sterlite Technologies Limited, empanelled by Power Finance Corporation of Ind
Slide 14: EPC: Financials and Major Projects
EPC Financials and Major Projects EBITDA and Sales In FY10 was awarded the HVDS project by UHBVNL(2) for conversion of existing LT lines to new 11KV lines and EBITDA Large setting up distribution transformers with capacities 20.1% 20.0% 18.1% Margin Turnkey ranging from 6.3KVA to 40KVA in Karnal,
Slide 15: Facilities Management Services
Facilities Management Services
Slide 16: Indian Facilities Management Industry
Indian Facilities Management Industry Industry Overview Market Size (USD Bn) and Growth The Indian Facilities Management industry („FM‟) was 20 estimated at USD 3.4 Bn in 2009, growing to USD 7.2 Bn in 2014 50% at a CAGR of 16% 15 13.6 14.8 11.4 12.4 40% The potential market size, however, is si
Slide 17: Facilities Management Services: Business Model with Proven Track Record
Facilities Management Services Business Model with Proven Track Record Industry Dynamics Key Financials and Features Revenues INR mn Facilities Management encompasses multiple disciplines 1000 910 to ensure functionality of the built environment by 800 integrating people, place, process and techno
Slide 18: Municipal Solid Waste Management Business
Municipal Solid Waste Management Business
Slide 19: Municipal Solid Waste Management Business: Industry Overview
Municipal Solid Waste Management Business Industry Overview Urbanization gathering momentum: Urban population to Significant Opportunity for PPP Model total population increased from 17% in 1951 to 28 % in 2001 This ratio is expected to cross 40% by 2021 India generates 100,000 MT of MSW per d
Slide 20: Municipal Solid Waste Management: Revenue Model
Municipal Solid Waste Management Business Revenue Model Business Process and Sources of Revenue Kanpur Integrated Waste Management Facility Collection and transportation of waste to a disposal site C&T Collection & Transportation Revenue includes C&T charges based on weight of waste Production
Slide 21: Kanpur Plant
Municipal Solid Waste Management Business Kanpur Plant Processing and Disposal Plant In- house R&D Energy from Waste ____________________ Source: Company 21
Slide 22: Typical Project Bidding/ Contract Terms
Municipal Solid Waste Management Business Typical Project Bidding/ Contract Terms Typically long-term contracts involving substantial investment on BOOT basis Certain Projects eligible for capital subsidy Strict pre-qualification requirements in relation to technical capability and performance
Slide 23: Municipal Solid Waste Management: Project List
Municipal Solid Waste Management Business Project List Project Capacity (TPD) C&T Start Date P&D Start Date Kanpur 1,500 Operational Operational Indore 600 Operational Q1 FY 12 Varanasi 600 Q1 FY 12 Q1 FY 12 Meerut 600 Q1 FY12 Land allotment awaited Integrated Ranchi 490 Q4 FY 12 Q4 FY 12 Moradabad
Slide 24: Renewable Energy Generation
Renewable Energy Generation
Slide 25: Renewable Energy Generation: Industry Dynamics
Renewable Energy Generation Industry Dynamics Key Drivers of the Renewable Energy in India Key Regulatory Incentives Demand-supply gap in power generation 80% accelerated depreciation on assets Tax 10-year Income-tax holiday u/s 80 IA Regulatory incentives to „clean‟ energy projects Incentiv
Slide 26: Renewable Energy Generation: Project List
Renewable Energy Generation Project List Capacity Water Env. Project Land Fuel PPA (MW) Supply Clearance Fazilka 15 MW Bagasse 5 acres each Fuel, cotton stock, rice Mills to Morinda 15 MW Lease deeds husk to procured locally Executed Exempt supply signed from Multi Fuel Mgmt. Nakodar 15 MW P
Slide 27: Financial Track Record
Financial Track Record 27
Slide 28: Financial Track Record
Financial Track Record Strong Growth in Revenues… …With Robust EBITDA Margins INR mn % Margin INR mn 15,000 21% 12,193 3,000 25% 18% 18% 2,007 7,157 20% 10,000 2,000 11% 1,269 15% 4,790 883 16% 10% 1,000 5,000 1,807 199 5% 75 352 0 0% 0 FY06 FY07 FY08 FY09 FY10 FY06 FY07 FY08 FY09 FY10 (1) EBITDA Ma
Slide 29: Historical Revenue Split by Segment
Financial Track Record Historical Revenue Split by segment Total Income(1) 352 1,807 4,790 7,157 12,193 INR mn EBITDA 75 199 883 1,269 2,007 INR mn 0.4% 15,000 46 7.5% 910 92.2% 11,237 12,000 Revenue INRmn 0.0% 2 9,000 7.0% 501 6,654 93.0% 5.3% 6,000 254 94.7% 4,536 5.7% 102 3,000 1,704 94.3% 84 23.
Slide 30: Qualified and Experienced Management
Qualified and Experienced Management 30
Slide 31: Qualified and Experienced Management
Qualified and Experienced Management Promoter of the company with 20 years of Mr. Surender Kumar Experience of 42 years in the Indian Government experience in project management and execution (incl. Chairman, Punjab State Electricity Board) Mr. Amit Mittal in the power, oil and infrastructure se
Slide 32: Qualified and Experienced Management Team Across Business Segments
Qualified and Experienced Management Team Across Business Segments Corporate Taxation Finance, Legal & Mr. Rakesh Gupta 26 years of work experience - previously, Vice President, Nahar Industrial Enterprises Ltd. Group CFO Member of the Institute of Chartered Accountants of India Mr. Amit Sardana
Slide 33: Our Growth Plans
Our Growth Plans 33
Slide 34: Growth Strategy Across All Business Segments
Growth Strategy Across All Business Segments Municipal Solid Waste Facilities Management Incubation of Related Power EPC Renewable Energy Management Services Businesses Focus on distribution Offer integrated waste Derive benefits from Focus on large customers EPC services to other manageme
Slide 35: Competitive Strengths
Competitive Strengths 35
Slide 36: Competitive Strengths & Strategies
Competitive Strengths & Strategies EPC Business: Executed projects across various States in India, even under difficult and challenging terrains and conditions - Pre-qualified with certain government entities to Proven Execution Construct Distribution Line infrastructure and substations with a c
Slide 37: Thank You
THANK YOU 37
A2Z Maintenance & Engineering Services — Investor Presentation (February 2011) on 6ix