Kec International Ltd. · NSE:KEC
Kec International — Investor Presentation (May 2023)
37 slides from Kec International's investor presentation, May 4, 2023
Slide 1: KEC International Limited Corporate Presentation
KEC International Limited Corporate Presentation 4 May 2023 Power T & D Railways Civil Cables Solar Smart Infra Oil & Gas Pipelines
Slide 2: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,
Slide 3: Contents
RPG Group Page 04-05 KEC International Business Overview Page14-37 Page 06-09 Leadership Team Page 10-12 Business Overview Contents Page 13-22 Performance / Financial Overview Page 23-30 Environmental, Social and Governance (ESG) Page 31-36 3
Slide 4: RPG Group
KEC Power T& D Railways Civil Cables Solar Smart Infra Oil & Gas Pipelines
Slide 5: RPG Group: Powered by Passion, Driven by Ethics
RPG Group: Powered by Passion, Driven by Ethics Founded by Shri RP Goenka in 1979 One of India’s fastest growing conglomerates Turnover in excess of USD 4 billion 20,000+ employees Footprint in 110+ countries KEC acquired by RPG Group in 1982 KEC RPG Life Raychem Harrisons CEAT Zensar Malayalam Inte
Slide 6: KEC International
KEC KEC International aie: Oil & Gas Pipelines Power T& D Railways
Slide 7: KEC Overview
KEC Overview 9500+ 7+ DECADES OF EXPERIENCE & EXPERTISE EMPLOYEES 35+ DIVERSE NATIONALITIES FOOTPRINT IN 110+ $2.1 COUNTRIES BILLION GLOBAL EPC MAJOR ONGOING PROJECTS IN 8 MANUFACTURING 30+ COUNTRIES UNITS 5 in India, 3 Overseas 7
Slide 8: KEC Overview
KEC Overview • Global infrastructure EPC major • FY22 Sales: Rs. 17,282 crore (USD 2.1 billion) • Eight manufacturing facilities across India, Dubai, Brazil and Mexico Footprint in 110+ countries across the globe Central Asia Americas Middle Oceania Africa East India & South Asia EPC Footprint count
Slide 9: KEC's Expansion into New Verticals
KEC’s Expansion into New Verticals 9
Slide 10: Leadership Team
KEC Leadership Team aie: Oil & Gas Pipelines Power T& D Railways 10
Slide 11: Board of Directors
Board of Directors H. V. Goenka Chairman, Non Executive Director Vimal Kejriwal A. T. Vaswani D. G.Piramal G. L. Mirchandani M.S. Unnikrishnan Managing Director Non Executive Non Executive Non Executive Non Executive & CEO Independent Director Independent Director Independent Director Independent Di
Slide 12: Management Team
Management Team Vimal Kejriwal Managing Director & CEO Rajeev Agarwal Neeraj Nanda Anand Kulkarni Kaushal Kodesia Manjit Singh Sethi Chief Financial Officer President – South Executive Director – Executive Director – Executive Director – Asia (T&D, Solar & Business Operations Railways Cables Smart I
Slide 13: Business Overview
KEC Business Overview a Power T&D Railways
Slide 14: Transmission & Distribution (T&D)
Transmission & Distribution (T&D) • One of the largest Power T&D EPC companies; footprint across 70+ countries • Global leadership with experience of 7+ decades • Integrated solutions on turnkey basis • Transmission Lines up to 1,200 kV 765 kV Fatehgarh-Bhadla Transmission Line for a private • Large
Slide 15: Transmission & Distribution (T&D) (contd.)
Transmission & Distribution (T&D) (contd.) SAE Towers, USA Wholly owned subsidiary • Leading manufacturer of steel lattice transmission towers in the Americas • 9+ decades of rich and diverse experience in the region • Executing EPC works in Brazil & 500 kV Sapeaçu - Poções III Transmission Line, Br
Slide 16: In-house capabilities for turnkey solutions
In-house capabilities for turnkey solutions Design & Engineering • In-house design centers with 275+ engineers across eight centres in India, the Middle East and Americas • >60 years library of transmission lines design database, including towers, hybrid poles and monopoles; expertise across designi
Slide 17: Railways
Railways • Currently executing 55+ projects; electrified ~30% of the Indian Railway network till date • Complete turnkey solutions provider in the railway infrastructure EPC space • Overhead Electrification systems • Signalling & Telecommunication systems for outdoor and indoor installation includin
Slide 18: Civil
Civil • Focus on construction of factories, warehouses, residential buildings, commercial complexes, data centres, airports, metros, water pipelines and water treatment plants • Providing services in an area dominated by small unorganised players and few large companies • Established as a preferred
Slide 19: Solar
Solar • Capabilities to execute large scale projects >150 MW • Significant experience in Single Axis Tracker implementation • Proficiency in Design, project feasibility analysis across large-scale Solar Photovoltaic Power plants, backed by project management & execution capabilities • Supply/sourcin
Slide 20: Smart Infra
Smart Infra • Launched Smart Infra vertical in FY 2018-19 • Focus on Smart Cities & Communication, Smart Grid and Smart Mobility • Business aligned with Government of India’s agenda of enhancing India’s digital infrastructure and building 100+ smart cities Command and Control Centre at Aurangabad Sm
Slide 21: Oil & Gas Pipelines
Oil & Gas Pipelines • KEC launched the Oil and Gas Pipelines EPC business in line with the Government’s thrust in the sector and our strategy to diversify the business portfolio into adjacencies. • The business focusses on the construction of Oil & Gas cross-country pipelines in India as well as in
Slide 22: Cables
Cables • Extensive range of cables & turnkey cabling solutions offered in 90+ countries • Two fully integrated facilities, manufacturing a wide range of Power (HT, LT and EHV up to 220 kV), Control & Instrumentation, Telecom, Solar, Railway Signalling Cables and Railway Contact & Catenary Conductors
Slide 23: Key Performance Highlights
Key Performance Highlights 23
Slide 24: Performance Snapshot – Q4 FY23
Performance Snapshot – Q4 FY23 Revenues • Robust Consolidated growth YoY; 29% in Q4 and 26% in FY23 • Healthy growth in both T&D as well as Non T&D businesses Order Book • FY23 order intake growth of 30% – Highest ever order inflows of Rs. 22,378 Cr - Led by T&D, Civil and Railways • Order Book + L1
Slide 25: Key Business Highlights – FY23
Key Business Highlights – FY23 T&D Railways Civil • Exponential Growth trajectory • Achieved Revenues of Rs. 8,809 Cr in continues Revenues of Rs. 3,319 Cr, • Delivered Revenues of Rs. 3,701 Cr in FY23, stellar growth of 27% YoY growth of 75% YoY FY23 • FY23 order intake of over Rs. 10,000 • Tractio
Slide 26: Financial Overview
KEC Financial Overview aie: Oil & Gas Pipelines Power T& D Railways 26
Slide 27: Order Intake & Order Book (Consolidated)
Order Intake & Order Book (Consolidated) Order Intake – FY23 Order Book – 31 March’23 T&D : 40% SAE : 7% T&D: 42% SAE : 5% 2% 1%2%3% 1% 5% 3% 13% 13% Order Intake Order Book Rs 22,378 Crs Rs 30,553 Crs 47% (Growth of ~30%) 47% (Growth of ~29%) 33% 30% T&D Civil Railways Cables T&D Civil Railways Cab
Slide 28: Profit and Loss Summary (Consolidated)
Profit and Loss Summary (Consolidated) (₹ crore) Q4 Full Year Particulars Growth Growth FY23 FY22 FY23 FY22 (Y-o-Y) (Y-o-Y) Revenues 5,525 4,275 29% 17,282 13,742 26% EBITDA 283 252 13% 830 904 -8% EBITDA Margins 5.1% 5.9% 4.8% 6.6% (+) Other Income 6 3 31 13 (-) Depreciation 42 42 161 158 (-) Inter
Slide 29: Businesswise Revenue Performance
Businesswise Revenue Performance (₹ crore) Q4 Full Year Business Verticals Growth Growth FY23 FY22 FY23 FY22 (Y-o-Y) (Y-o-Y) T&D: 2,772 1,947 42% 8,809 6,956 27% - T&D (KEC) 2,379 1,694 40% 7,485 6,072 23% - SAE Towers 393 253 55% 1,324 884 50% Non T&D: 2,967 2,556 16% 9,117 7,462 22% - Railways 1,2
Slide 30: KEC: Equity Share Information
KEC: Equity Share Information Year-End Market Capitalisation (Rs. Crore) Equity Share Information 14000 • Share Price (31 Mar 2023): Rs. 456 / share 12000 11744 • Market Cap (31 Mar 2023): Rs. 11,744 crore 10562 • Financial Year – April to March 10000 9742 • Listed on Indian Stock Exchanges • Bloomb
Slide 31: Environmental, Social and Governance (ESG)
Environmental, Social and Governance (ESG) 31
Slide 32: Green Portfolio (1/2)
Green Portfolio (1/2) Our portfolio of businesses promote environment sustainability by efficient usage of natural resources TRANSMISSION & DISTRIBUTION RAILWAYS • Effective way of transporting • More efficient than road in terms energy with maximum of energy efficiency and land efficiency and minim
Slide 33: Green Portfolio (2/2)
Green Portfolio (2/2) Our portfolio of businesses promote environment sustainability by efficient usage of natural resources SOLAR SMART INFRA • Construction of large solar- • Developing Smart Cities to based power generation encourage efficient use of resources plants, which have one of the lowest
Slide 34: Commitment to ESG
Commitment to ESG KEC is committed to delivering excellence and outperformance with unwavering focus on embedding sustainable practices towards improving Environment, Society, Safety and Governance Strategic ESG Pillars ESG Focus Areas Unleash Enabling environment for people to Human Capital Diversi
Slide 35: KEC's ESG Journey So Far
KEC’s ESG Journey So Far FY 2021 FY 2022 FY 2023 ✓ Developed ESG & ✓ Several ESG initiatives ✓ Widened the scope of CSR Sustainability strategy in deployed especially in committee to cover ESG & consultation with EY factories Sustainability and renamed as ‘Sustainability and CSR committee’ ▪ Materia
Slide 36: ESG & Sustainability Goals and Status
ESG & Sustainability Goals and Status Happiness Diversity & Occupational Corporate Quotient Inclusion Heath & Safety Social Responsibility Target: Increase Target: Increase in Target: Work towards Target: Reach 2 lac CSR Happiness Quotient to diversity by 25% by the goal of achieving beneficiaries b
Slide 37: Thank You
THANK YOU Global Footprint in 110+ countries* *Includes EPC and Supply Follow us on: Registered Office RPG House, 463, Dr. Annie Besant Road, Worli, Mumbai - 400 030. Phone: +91-22-6667 0200 Email: kecindia@kecrpg.com www.kecrpg.com