Salasar Techno Engineering Ltd. · NSE:SALASAR
Salasar Techno Engineering — Q1 FY2021 Earnings Presentation
23 slides from Salasar Techno Engineering's earnings presentation, Aug 29, 2020
Slide 1: Cover letter to NSE and BSE
To, a= L— | SALASAR Salasar Techno Engineering Limited Dated: 29.08.2020 The Manager — Listing National Stock Exchange of India Ltd. Exchange Plaza, BandraKurla Complex Bandra East Mumbai — 400051 Symbol — SALASAR The Secretary Corporate Relationship Dept. BSE Limited P.J.Tower, Dalal Street, Mumbai
Slide 2: Investor Presentation Q1FY21
Investor Presentation Q1FY21
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Salasar Techno Engineering Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for
Slide 4: Contents
Contents 01 | Q1FY21 Highlights 02 | Company Overview 03 | Industry Opportunities 04 | Growth Strategy 05 | Historical Financial Performance
Slide 5: Q1FY21 Highlights
QI1FY21 Highlights
Slide 6: Q1FY21 consolidated P&L statement
Q1FY21 consolidated P&L statement Particulars (INR Cr) Q1FY21 Q1FY20 Manufacturing - Steel Structures and Others EPC - Power Transmission Net Sales 63.2 163.5 EPC - Railway Electrification Cost of Goods Sold 49.8 131.7 Employee Cost 5.4 7.2 5% Other Indirect Expenses 3.2 7.9 21% Total Expenditure 58
Slide 7: Q1FY21 operational highlights
Q1FY21 operational highlights 1 Won EPC order from Haryana Vidyut Prasaran Nigam Limited - Scope: Construction of transmission lines in Yamuna Nagar & Ambala Area - Value: Rs 28.7 cr 2 Won EPC order from U.P. Power Transmission Corporation Limited - Scope: Construction of Hybrid Substation at Jewar
Slide 8: Company Overview
Company Overview
Slide 9: Diversified product portfolio
Diversified product portfolio Transmission Line 0 0 0 Towers Solar Structures Manufacturing and deployment Manufacturing, fabrication and of transmission towers for EPC deployment of solar module 1 3 5 business, Turnkey Projects, mounting structures supplying structures to other EPC contractors Rail
Slide 10: Technology driven facilities
Technology driven facilities 3 State-of-art Steel Structure Manufacturing and Galvanising Facilities 1 Location: District Hapur (UP) 3 Total Area: Unit-I, Jindal Nagar 1,30,000 Square yards Unit-II, Khera, Pilkhuwa Installed Capacity: Unit-III, Khera, Pilkhuwa 1,00,000 MT of Steel Galvanizing 2 Raw
Slide 11: Technical Tie-up with Ramboll, Denmark
Technical Tie-up with Ramboll, Denmark To manufacture lighter and lower costing tower structures and high mast poles. Their designs reduce the cost by 20% compared to conventional angular towers. Client Implications: Ramboll Telecom is a world leader in designing telecom and high mast Poles. With th
Slide 12: Experienced management team
Experienced management team Mr. Alok Kumar B.Sc from Punjab University, Chandigarh With experience spanning over 4 decades in trading, manufacturing and fabrication of iron & steel, Mr. Kumar is behind the group's spirit and commitment to deliver products and services of uncompromising quality and i
Slide 13: Strong client base
Strong client base Telecom Sector Power Sector Others/EPC 1 Approved vendor for Power Grid Corporation Ltd. 2 Qualified to bid for Rural Electrification projects 3 Qualified by CORE (Central Organization for Railway Track Electrification) 12
Slide 14: Industry Opportunities
Industry Opportunities
Slide 15: Industry opportunity - Telecom
Industry opportunity - Telecom Mobile and Internet penetration ▪ The proportion of unique mobile subscribers to the total population is expected to reach around 63% in 2025 from 58% in July 2018 ▪ With the increase in the mobile phone penetration and reducing data costs in India, it is expected that
Slide 16: Industry opportunity – Power & Railway
Industry opportunity – Power & Railway Increased demand for power transmission infrastructure development ▪ Power consumption is estimated to reach up to 1,894.7 TW in 2022 Increasing Demand for Electricity Growth in Renewable Energy ▪ Increased demand for power transmission infrastructure developme
Slide 17: Growth Strategy
Growth Strategy
Slide 18: Growth strategy
Growth strategy Decided to enter into manufacturing of structures for Road and Railway overbridges (ROBs) of 1000 MT per month at 1 a Capex of ~Rs 20 Cr during FY21. The capex will be funded from the subscription amount of warrants issued and internal accruals. The manufacturing will start by the en
Slide 19: Historical Financial Performance
Historical Financial Performance
Slide 20: Key financial highlights
Key financial highlights Volumes (MT) Revenue (INR Cr) 74993 654.9 494.7 526.2 55657 58619 51956 384.3 41703 310.0 FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 EBITDA (INR Cr) and Margin (%) PAT (INR Cr) and Margin (%) 73.4 33.3 29.6 54.0 51.8 22.3 38.7 18.7 29.1 11.7 9.4% 10.1% 10.9% 11.2% 9.8
Slide 21: Consolidated P&L Statement
Consolidated P&L Statement Particulars (Rs Cr) FY18 FY19 FY20 Net Sales 494.7* 654.9 526.2 Cost of Goods Sold 386.7 526.0 415.1 Employee Cost 22.9 28.0 31.0 Other Indirect Expenses 31.1 27.5 28.3 Total Expenditure 440.7 581.5 474.4 EBITDA 54.0 73.4 51.8 EBITDA Margin% 10.9% 11.2% 9.8% Other Income 1
Slide 22: Consolidated Balance Sheet
Consolidated Balance Sheet (Rs Cr) Mar-19 Mar-20 (Rs Cr) Mar-19 Mar-20 EQUITY & LIABILITY ASSETS Share Capital 13.3 13.3 Non-Current Assets: Other Equity 176.1 193.8 Gross Block 89.0 15 Less: Accumulated Depreciation 11.7 18.1 Shareholder's Funds 189.4 207.1 Net Block 77.3 91.1 Non-Current Liabiliti
Slide 23: Thank You
Thank You Salasar Techno Eng Pramod Kala - CFO pramod.kala@salasartechno.com investor.relations@salasartechno.com Pareto Capital (Investor Relations) Pooja Dokania pooja.dokania@paretocapital.in
Salasar Techno Engineering — Q1 FY2021 Earnings Presentation on 6ix