Slide 1: Vascon Engineers Investor Presentation May 2018
VASCON ENGINEERS INVESTOR PRESENTATION | MAY 2018
Slide 2: Disclaimer
DISCLAIMER This presentation and the accompanying slides (the “Presentation”), which have been prepared by Vascon Engineers Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any sec
Slide 3: Key Developments & Financial Highlights
KEY DEVELOPMENTS & FINANCIAL HIGHLIGHTS
Slide 4: FY18 - Delivering on Commitments
FY18 - DELIVERING ON COMMITMENTS WHAT WE TARGETED WHAT WE DELIVERED EPC Order Intake • Achieved EPC order Intake of ~Rs 660 Crs > Rs. 500 Crs • Order Intake from Reputed Developers (Shapoorji Palanji, Godrej) and Institutions Real Estate Launches • Launched & Fully sold Commercial Building in Pune ‐
Slide 5: FY18 - Delivering on Commitments
FY18 - DELIVERING ON COMMITMENTS WHAT WE TARGETED WHAT WE DELIVERED Improve Financial Health • Received Stable Credit rating of SMERA BBB‐ for Fund Based Improve Ratings & Facilities and SMERA A3 for Non‐Fund Based Facilities Optimizing Cost Cash Flow Generation • Generated cash flow of ~Rs 75 Crs i
Slide 6: Standalone & Consolidated Profit & Loss Highlights
STANDALONE & CONSOLIDATED PROFIT & LOSS HIGHLIGHTS Standalone Consolidated Particulars (Rs. Crs) Crs) FY18 FY17 FY18 FY17 Revenue 335.35 239.72 540.58 496.35 Other Income 24.06 44.29 37.93 58.01 Total Income 359.41 284.01 578.51 554.36 Construction Expenses / Material Consumed 249.45 183.02 383.21 3
Slide 7: Segment Wise Profit & Loss - After Allocation
SEGMENT WISE PROFIT & LOSS - AFTER ALLOCATION Particulars (Rs. Cr) RE EPC GMP Inventorised Total Revenue 119.01 315.30 202.61 636.92 Other Income 6.21 16.44 17.04 39.69 Total Income 125.22 331.74 219.65 676.61 Cost of Sales 94.09 236.43 133.92 8.53 472.97 Gross Profit 24.92 78.87 68.69 163.95 Gross
Slide 8: Balance Sheet - Consolidated
BALANCE SHEET - CONSOLIDATED Rs. Crs Mar– 18 Mar – 17 Rs. Crs Mar – 18 Mar – 17 Non‐current assets 386.66 394.10 Shareholder’s Fund 668.07 634.19 Share capital 174.14 167.66 Fixed assets 119.86 130.19 Reserves & Surplus 493.93 466.53 Financial Assets 195.62 199.01 Other Non Current assets, Non Contr
Slide 9: Vascon – At Present
VASCON – AT PRESENT ENGINEERING PROCUREMENT & CONSTRUCTION One of the leading EPC Company in India REAL ESTATE DEVELOPMENT Focus on Affordable Housing NON‐CORE ASSETS Liquidating non core investments 9
Slide 10: Engineering Procurement & Construction
ENGINEERING PROCUREMENT & CONSTRUCTION
Slide 11: EPC Business
EPC BUSINESS Construction Experience across various verticals Residential Complexes, Commercial Buildings, IT Parks, Hospitals, Shopping Malls, Multiplexes, etc Executed over 200 projects with construction area of over 50 msft Ability to execute around 8 msft per annum State of the art equ
Slide 12: Consistent Order Intake in Last Year
CONSISTENT ORDER INTAKE IN LAST YEAR Opening 3rd Current 3rd Party Order Party Order Book 876 Book STRONG ORDER INTAKE OF ~RS 660 CRS SINCE Q1 FY18 ONWARDS 508 220 190 80 70 97 FY17 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Current Order Book EXECUTION OF NEW ORDERS TO IMPROVE REVENUE & CAPACITY UTILISATIO
Slide 13: EPC Projects – Existing Order Book
EPC PROJECTS – EXISTING ORDER BOOK Project Location Amt (Rs. Cr) External Order book Kailash Enclave Lucknow 138 Adhiraj Mumbai 119 Godrej Greens Pune 96 Ayyalur Ayyalur,Andhra Pradesh 90 Adoni Adoni, Andhra Pradesh 80 TNMC Chennai 70 Sriram Educational Turst Chennai 70 Sheth Creators – Malad (I&II)
Slide 14: Real Estate Development
x VASCON REAL ESTATE DEVELOPMENT
Slide 15: Real Estate Business
REAL ESTATE BUSINESS Vascon Brand Equity in Pune L d Landmark k developments d l t (Windermere, (Wi d F Forest t County C t and d Willows) Will ) have h established t bli h d the th Brand B d Vascon V i Pune in P Market End‐to‐End Capabilities In‐house Design and Construction team gives us a
Slide 16: Real Estate Land Bank
REAL ESTATE LAND BANK Land Bank of 273 acres under various models Developable area of around 28 msft Focus on Real Estate development in Pune and Mumbai in beginning and than grow in other cities No land investments in new Projects; asset light development model through JVs & JDAs Project Ar
Slide 17: Real Estate - Strategy
REAL ESTATE - STRATEGY Affordable Housing – the Focus Area INVESTED IN STRENGTHENING REAL ESTATE TEAM Focus on developing Affordable Housing projects Perfect the Affordable Housing model in Pune and replicate in other cities 100 Launch of new phases in existing projects with clear sales visi
Slide 18: Current Real Estate Projects Under Development
CURRENT REAL ESTATE PROJECTS UNDER DEVELOPMENT Total Vascon Share Project Name Location Vascon Share Project Area Sale Sale Rev. Collection Collection Area Sold Value Value Recognised Type Share msft msft Rs. Cr Rs. Cr Rs. Cr Rs. Cr Rs. Cr Forest Edge Pune JV 50% 0.08 0.06 40 9 20 5 ‐ Windmere Pune
Slide 19: Recently Launched Projects
RECENTLY LAUNCHED PROJECTS REAL ESTATE SALES (RS CRS) Projects Dev. Area (msft) Launch 197 Platinum Square 0.05 Sep 2017 (JV) Forest Edge 0.08 Jan 2018 110 (JV) Windermere 60 0.38 Mar 2018 (JV) Vascon Goodlife ‐ Value Home 0.46 Mayy 2018 (O ) (Own) FY17 1HFY18 FY18 NEW SALE BOOKING OF ~2 2,46,867 46
Slide 20: Recently Launched Projects
RECENTLY LAUNCHED PROJECTS PLATINUM SQUARE, PHASE II LAUNCHED “FOREST EDGE” IN JAN 2018 – SUCCESSFUL LAUNCH IN SEP 2017 A RESIDENTIAL PROJECT ULTRAMODERN LUXURY BOUTIQUE OFFICES IN PUNE RESIDENTIAL PROJECT IN KHARADI, PUNE AREA ‐ 91,200 SFT; FULLY SOLD AREA – 360,000 SFT; FULLY SOLD
Slide 21: Re-launch of Signature Luxury Residency: Windermere
RE-LAUNCH OF SIGNATURE LUXURY RESIDENCY WINDERMERE
Slide 22: Affordable Housing Launch – Value Home
AFFORDABLE HOUSING LAUNCH – VALUE HOME VASCON GOODLIFE ‐ KATVI, TALEGAON VASCON’S FIRST‐EEVER VALUE HOUSING PROJECT LAUNCHED IN MAY 2018 SPREAD OVER 10 ACRES
Slide 23: Liquidating Non-Core Assets
LIQUIDATING NON-C CORE ASSETS
Slide 24: Liquidating Non-Core Assets
LIQUIDATING NON-CORE ASSETS NON‐CORE INVESTMENTS CORE BUSINESS 1. GMP TECHNICAL EPC BUSINESS SOLUTIONS (85% HOLDING) ~RS 75 CRS 2 2. STAKE IN HOTEL CASH FLOW GENERATED IN FY18 PROPERTIES REAL ESTATE DEVELOPMENT 3. COMMERCIAL ASSETS 4. RESIDENTIAL ASSETS CASH FLOW GENERATED UTILIZED FOR REPAYING HIGH
Slide 25: Thank You
THANK YOU Mr. M. Krishnamurthi / Mr. Punit Bhayani Mr. Gaurang Vasani / Mr. Vikash Verma k thi@ mk_murthi@vascon.com punit@vascon.com it@ vgaurang@stellar-ir.com vikash.verma@stellar- ir.com Vascon Weikfield Chambers, Pune - 411014 Kanakia Wall Street, Andheri (East), Mumbai 400 093