Megatherm Induction Limited · NSE:MEGATHERM
Megatherm Induction — Investor Presentation (April 2024)
49 slides from Megatherm Induction's investor presentation, Apr 24, 2024
Slide 1: www.megatherm.com
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Slide 2: About Megatherm & Promoters
About Megatherm & Promoters 2
Slide 3: One of the largest manufacturers of induction equipment
One of the largest manufacturers of induction equipment with close to 3000 installations in 45 countries Established in 1989 by our founder Mr S B Chanda with core expertise in Induction technology for products ranging from induction furnaces for steel and foundry applications to induction heating a
Slide 4: Leadership
LEADERSHIP MR. SHESADRI BHUSAN CHANDA MR. SATADRI CHANDA Chairman & Managing Director Whole Time Director & CFO Bachelor of Electrical Bachelors of Technology in Electronics & Engineering - Jadavpur Communication Engineering - West Bengal University University - Gold medalist, of Technology topper a
Slide 5: Technology Heads
TECHNOLOGY HEADS Kazi Mergjul Islam Power Electronics & Electromagnetics Masters in Electrical Engineering with more than 10 years of industry experience Debasish Choudhary Embedded Systems Electrical Engineer with more than 35 years of industry experience Suman Panja Automation and loT Masters in S
Slide 6: Sales & Service Heads
SALES & SERVICE HEADS Saikat Chatterjee Induction Heating & Heat Treatment Mechanical Engineer with more than 25 years of industry experience Suchintya Paul Induction Melting & Welding Electrical Engineer with more than 25 years of industry experience Sudipta S Ghosh SMS Projects (MENA & East In MBA
Slide 7: Clients & Market Sectors
Clients & Market Sectors 7
Slide 8: Diversified Revenue Streams, Product Portfolio
DIVERSIFIED REVENUE STREAMS PRODUCT PORTFOLIO FROM CUSTOMERS IN VARIED * Induction melting furnace and induction heating equipment SECTORS ¢ Up-stream & down-stream plant & machineries ¢ Transformers * Continuous casting machines * Ladle refining furnaces * Fume extraction systems Electric arc furna
Slide 9: Wide Spread Domestic & International Presence
(e.g. Poland, Francel = WIDE SPREAD DOMESTIC & so | Europe Bag INTERNATIONAL PRESENCE IN So 5 CONTINENTS “eg. Bangladesh, = Nepal, Bhutan] _ « [e.g. Indonesia, NJ S . Malaysia) Read emia \ (e.g. Argentina, Brazil, etc] (e.g. South Africa, Kenya, Tanzania, Ghana, Nigeria) GD |. z= = REPUTED Cer CUSTO
Slide 10: Megatherm was the first to introduce innovations
Megatherm was the first to: • Introduce multi zoned coils • Introduce OFWF furnace transformer • Use low frequency design in current fed circuit for reduction of energy consumption • Use PLCs in IMFs since 1998 …and introduced many other innovations which was later incorporated by the industry More
Slide 11: Revenue break-up domestic and export
IN LAKHS WISE REVENUE BREAK-UP WB now BM otHercountries i) ToTAL REVENUE 2020-21 2021-22 2022-23 FISCAL YEAR ENDED ul | | | \ 7116.15 3784.77 10900.92 15039.73 3743.40 18783.13 19761.95 6826.20 26588.15 % OF REVENUE % OF REVENUE % OF REVENUE FISCAL YEAR ENDED Nl 65.28 34.72 100.00 80.07 19.93 100.00
Slide 12: Some Domestic Clients
Some Domestic Clients _ SHRI BAJRANG Fa POWER ANDISPATLTD. SHYAM STEEL a Talpres SRMB TATA MOTORS A gy nincmeenngse i 7 al _ ya AEG ouscram Pastoners Limited SHAKAMBHARI GROUP ‘SARTHAK . REAL $ eM ISPAT & POWER LTD. KAMActH Geour q A JHAV Mahindra » CESC Limited MM Forgings il cay ated BMA Biussyste
Slide 13: Our Products
Our Products 13
Slide 14: Current Issues
Current Issues Industry: Forging, Welding, Billet Re- Industry: Foundry heating & Metal Working Application: Ferrous/Non-Ferrous castings Application: Automobile Components, Pipes & Tubes, Re-Rolling Mills, Railways Old Technology: Polluting Oil/Coal Fired Metal Melting Old Technology: Polluting Oil
Slide 15: Current Issues
Current Issues Industry: Steel Application: Long Products Current Technology: Polluting Blast Furnaces (Coal based) The content of this presentation is confidential and should not be distributed to a third party without prior authorization 15 from EMT Megatherm. © EMT Megatherm Limited 2012
Slide 16: Solution?
Solution? The content of this presentation is confidential and should not be distributed to a third party without prior authorization 16 from EMT Megatherm. © EMT Megatherm Limited 2012
Slide 17: Solution: Principle of Induction
Solution Principle of Induction 17
Slide 18: Solution: Induction Heating Equipment
Solution Induction Heating Equipment 18
Slide 19: Solution: Induction Melting Furnaces for Foundries
Solution Induction Melting Furnaces for Foundries 19
Slide 20: Induction Melting Furnace, Billet Heaters, Hardening Equipment
INDUCTION MELTING FURNACE e Electrical furnace in which the heat is applied by induction heating of metal. Used to melt iron and steel, copper, aluminum, and precious metals or make alloys of different compositions ¢ Application in metal industry segments like Automobile casting, DI pipe casting, Ma
Slide 21: Induction Power Source, Transformer, Ladle Refining Furnace
INDUCTION POWER SOURCE (STATIC FREQUENCY CO NVERTER) ¢ Converters accept multi-phase 50 Hz AC power from the grid, which is rectified to DC and then inverted back into single phase medium or high Frequency AC power. ¢ Conversion process is effected through Power Electronics Technology using Power Se
Slide 22: Electric Arc Furnace and Continuous Casting Machine
ELECTRIC ARC FURNACE It melts all type of scrap irrespective of chemical composition or size and also melts direct reduced iron (D.R.I] / Sponge Iron by creating an electric arc between electrodes and the metal Manufacture electric arc furnace with the capacity for producing different heat sizes. Us
Slide 23: Extensive Product Portfolio Catering to Multiple Industries
EXTENSIVE PRODUCT PORTFOLIO CATERING TO MULTIPLE INDUSTRIES RAIL HARDENING MACHINE FUME EXTRACTION SYSTEM e Used for heat treatment & hardening of rails ¢ Used to extract fumes eminating from melting ° Power range is 200 kw - 300 kw furnaces due to burning of Silica / Slag / Impurities during metal
Slide 24: Our Factory
Our Factory 24
Slide 25: Factory in Vidyasagar Industrial Park, Kharagpur
Our Factory is located in WBIDC’s Vidyasagar Industrial Park, Kharagpur, WB
Slide 26: Images of Factory
Images of Factory
Slide 27: Images of Factory
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Slide 28: In house PCB production
In house PCB production 28
Slide 29: Heating Equipment Production
Heating Equipment Production 29
Slide 30: Final Assembly Areas of Crucible & Panel
Final Assembly Areas of Crucible & Panel 30
Slide 31: Final Assembly Areas of Crucible & Panel
Final Assembly Areas of Crucible & Panel 31
Slide 32: All CU components finished by CNC machines
All CU components finished by CNC machines The content of this presentation is confidential and should not be distributed to a third party without prior 32 authorization from EMT Megatherm. © EMT Megatherm Limited 2012
Slide 33: In house machining shop for all MS/SS/GM items
In house machining shop for all MS/SS/GM items 33
Slide 34: In house fabrication setup includes plasma cutting machines
In house fabrication setup includes plasma cutting machines The content of this presentation is confidential and should not be distributed to a third party without prior authorization 34 from EMT Megatherm. © EMT Megatherm Limited 2012
Slide 35: Transformer manufacturing factory in Kolkata
Transformer manufacturing factory in Kolkata The content of this presentation is confidential and should not be distributed to a third party without prior authorization 35 from EMT Megatherm. © EMT Megatherm Limited 2012
Slide 36: Industry Status
Industry Status 36
Slide 37: Government of India Initiatives and Industry Overview
GOVERNMENT OF INDIA INITIATIVES e Make in India e Atam Nirbhar Bharat ¢ Vocal for Local e Specialty steel USTRY OVERVIEW Improved road & rail connectivity by building highways, bridges & dedicated freight & superfast rail corridors etc. REGION-WISE SHARE OF INDIA’S ENGINEERING GOODS EXPORT (2021-22)
Slide 38: Recycling / Secondary Steel
Recycling / Secondary Steel 80% 60% 40% BF Arc / IF 20% 0% FY'04 FY'08 FY'12 FY'16 FY'20 FY'22 65% Secondary steel has lower environmental impact 60% Arc Secondary steel should continue to play an important part in achieving 55% IF 300mt steel production in India with a focus on minimizing environme
Slide 39: Micro Steel Plants
Micro Steel Plants World produces 500 million tons of scrap steel a year In many countries abundant availability of scrap steel has led to the development of micro steel plants Capacities are typically 100,000 tpa to 1,000,000 tpa 39
Slide 40: Comparison Between EAF & IF
Comparison Between EAF & IF For certain grades of steel IF route has much lower Capex, Opex and environmental impact EAF IF Cost Difference Operational Electrical Energy 450 kwh/t 475kwh/t Costs Refractory 4 kg/t 3.5 kg/t Electrodes 2.5 kg/t None Oxygen 15 Nm3/t None Slag Builder 25 kg/t None Meltin
Slide 41: CO2 Equivalent Emissions
CO2 Equivalent Emissions Production Technology Estimated range of CO2 equivalent (CO2e) emissions (in tons) per ton of crude steel production BF - BOF 2.2 – 2.6 Scrap based EAF 0.6 – 0.8 Scrap based IF 0.3 – 0.4 Source: CSE De-carbonizing India, Declarations by Ministry of Steel Sustainability Repor
Slide 42: Melting, Refining, Casting
Melting, Refining, Casting Caster Arc Furnace Ladle Refining Furnace Induction Ladle Refining Caster Furnace Furnace Induction Low Power Caster Furnace Arc Furnace
Slide 43: Others: Automobile Component Industry
OTHERS AGRICULTURAL wc 8% AUTOMOBILE COMPONENT INDUSTRY e Valued at $20.1 Bn in FY21 & expected to reach $80 Bn by 2026 ¢ Grew 34.8% to INR 2.65 lakh Cr in H1 FY23 e Set to become the 3rd largest globally by 2025 43
Slide 44: Snapshots of high frequency applications: Auto Industry
Snapshots of some high frequency applications: Auto Industry 44
Slide 45: Financials
Financials 45
Slide 46: Financial Overview
SUIN LARA FINANCI ERVIEW REVENUE FROM OPERATIONS EBITDA PAT NETWORTH 26588.15 2754.40 1400.41 5062.64 1316.33 3662.23 18783.13 3512.13 10900.92 FINANCIAL OVERVIEW EBITDA MARGIN PAT MARGIN RONW ROCE
Slide 47: Growth Plans
Growth Plans 47
Slide 48: Growth Plans
Growth Plans • Long term natural growth of industry approx. 11% • Increase domestic market in steel sector especially for downstream & upstream products • Increase international market share via sales/service offices in countries like UAE, Africa, etc. • Increase spares market share via opening of w
Slide 49: Thank You
Thank You 49
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