Tega Industries Ltd. · NSE:TEGA
Tega Industries — Q4 FY24 Earnings Presentation
33 slides from Tega Industries's earnings presentation, May 23, 2024
Slide 1: Exchange intimation letter for investor presentation
May 23, 2024 To, The Corporate Services Department, Manager - Listing Department BSE Limited The National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no. C/1, G Block, Dalal Street, Bandra-Kurla Complex Mumbai- 400 001 Bandra (E), Mumbai - 400 051 BSE Scrip Code: 543
Slide 2: Investor Presentation – Q4 & FY24
TEGA INDUSTRIES LIMITED Investor Presentation – Q4 & FY24 May 2024
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Tega Industries 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 secur
Slide 4: Company Overview
COMPANY OVERVIEW
Slide 5: Tega Industries Limited
Tega Industries Limited Leading manufacturer & Commenced operations in India Catering to global mineral distributor of specialized ‘critical in 1978, in collaboration with beneficiation, mining & bulk to operate’ & recurring Skega AB, Sweden solids handling industry consumable products Immunity from
Slide 6: Corporate Structure
Corporate Structure Tega Industries Ltd 100% 100% 50%JV Tega McNally Tega Holdings Pte Ltd Hosch Minerals Limited 100% 100% 100% Tega Industries Africa Tega Industries Chile Losugen Pty Ltd Proprietary Ltd. SpA TEGA INDUSTRIES LIMITED 5
Slide 7: Evolution into a Global Multi-Product Player
Evolution into a Global Multi-Product Player Intellectual Property, Additional Patent, Initial Public Foundation Buyout Acquisition Greenfield Project Offering Collaboration of our Buyout by Madan Mohan Grant of patent in relation to Grant of patent in relation to The shares of the company Promoter,
Slide 8: The Focus Behind Our Vision
The Focus Behind Our Vision TEGA is committed to engineering flawless solutions that enrich the future of mining Sales Management To remain the first vendor of recall for all our customers Our purpose We strive to deliver superior products that enhance value for our customers At Tega, Values lead to
Slide 9: Our Value-Accretive Business Model
Our Value-Accretive Business Model Experience Wallet Share Mission-Critical Productivity Driver Developed rich insight into the Products with established ore quality and terrain realities productivity and efficacy. across 70 countries, helping to Majority customers buy large continuously provide imp
Slide 10: Our Value-Accretive Business Model
Our Value-Accretive Business Model Inherent Advantages Strategic Positioning Supply chain High Entry Barrier Proximity Customized design Low reliance on outsourcing Presence in high entry moderates its dependence on barriers of technology and vendors minimizing the knowledge. We operate in possibili
Slide 11: Tega's Holistic Value Chain Integration
Tega's Holistic Value Chain Integration Tega McNally Minerals Ltd - Tega Industries Ltd - Focused on Equipment and services Focused on Consumables component • Build a more sustainable business • Tap the new market – The Global • Designs and manufactures critical-to- • Original Equipment Manufacturer
Slide 12: Our Digitalization Momentum (Industry 4.0)
Our Digitalization Momentum (Industry 4.0) DIGITAL SECURITY MEASURES DISRUPTION Initiatives to enhance systemic efficiency, Ground-shifting sensor-based product. This moderate redundancy, safeguard from IoT-driven product will send out real-time viruses and cyber-attacks, accelerate data alerts on p
Slide 13: ESG Initiatives
ESG Initiatives ENVIRONMENT SOCIAL GOVERNANCE 2000 21 All Committees chaired safety mock drills by Independent & trees planted Executive Directors conducted 13.35% AA-/Stable reduction in CO2 emissions ₹ 2.28 crore Long term rating by CSR Expenditure CRISIL, validating our in the last two years gove
Slide 14: Q4 & FY24 Performance Highlights
Q4 & FY24 PERFORMANCE HIGHLIGHTS
Slide 15: Q4 & FY24 Consolidated Result Highlights
Q4 & FY24 Consolidated Result Highlights Q4 FY24 FY24 YoY YoY Operating Revenue Operating Revenue +27.9% +23.0% Rs. 5,070 Rs. 14,927 Operating EBITDA Operating EBITDA 35.0% +16.8% Rs. 1,388 Rs. 3,160 PAT PAT 5.3% 15.8% Rs. 895 Rs. 1,939 All figures in Rs mn 14 TEGA INDUSTRIES LIMITED
Slide 16: Consolidated Financial Performance
Consolidated Financial Performance Operating Revenue Operating EBITDA & Margin PAT & PAT Margin 25.9% 27.4% 19.5% 17.7% +28% +35% +16% 5,070 1388 895 3,964 773 1028 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 22.3% 21.2% 15.2% 13.0% +23% +17% +5% 14,927 3,160 1,840 1,939 12,140 2,704 FY23 FY24 F
Slide 17: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (In Rs. Mn) Q4FY24 Q4FY23 Y-o-Y Q3FY24 Q-o-Q FY24 FY23 Y-o-Y Revenue from Operations 5,069.8 3,964.1 27.9% 3,402.0 49.0% 14,927.1 12,139.7 23.0% Cost of Material Consumed 2262.1 1681.8 1689.4 6959.6 5291.0 Change in Inventories of Finished goods & Wor
Slide 18: Consolidated Balance Sheet Statement
Consolidated Balance Sheet Statement Particulars (In Rs. Mn) FY24 FY23 Particulars (In Rs Mn) FY24 FY23 ASSETS Equity Non ‐ Current Assets Equity share capital 665.4 663.5 Property, plant and equipment 3481.7 3055.2 Other equity 11252.8 9826.4 Goodwill 614.2 624.8 Equity attributable to equity holde
Slide 19: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Cash Flow Statement (In Rs. Mn) FY24 FY23 Cash Flow from Operating Activities Profit before Tax 2,469.7 2,361.0 Adjustment for Non-Operating Items -874.5 -629.1 Operating Profit before Working Capital Changes 3,344.2 2,990.1 Changes in Working Capital -402.3 -747.7 C
Slide 20: Operations & Growth Strategy
OPERATIONS & GROWTH STRATEGY
Slide 21: Strategic Advantages
Strategic Advantages Diverse & Innovative Products with Insulated from Capex Cyclicity of Low Substitution Threat 1 2 Mining Players Strong R&D leading to Multiple Patents, Diverse Global Presence with Strong with focus on Quality 3 4 Global Manufacturing & Sales Capabilities 700 Distributors Consis
Slide 22: 1. Diverse & Innovative Products
1. Diverse & Innovative Products FLAGSHIP PRODUCTS MILL LINERS HYDROCYCLONES SCREENS & TROMMELS CONVEYOR PRODUCTS SALE OF PRODUCTS Rapido Spillex Specialized, ‘critical to operate’ and recurring consumable products DynaPrime DynaPulp Tega Cyclone (PExEL) Trommel Centrax Sale of Services Screening Ce
Slide 23: 2. Insulated from Capex Cyclicity of Mining Players
2. Insulated from Capex Cyclicity of Mining Players Upfront capex & After-market spend over the lifecycle of a mill Recurring cost for miners 1X Approx. split 3X Upfront Capex After market spend ~75% Repeat Orders (over last 3 years) TEGA INDUSTRIES LIMITED 22
Slide 24: 3. Strong R&D Leading to Multiple Patents
3. Strong R&D Leading to Multiple Patents Track record of bringing multiple innovative products to the market ISO 45001:2018 India 2018 – Rapido 2018 – DynaPrime 2016 – Chutes 2015 – Trommels R&D Capability Quality Control ISO 9001:2015 India, South Africa o We do not rely on outsourcing: reduces ou
Slide 25: 4. Diverse Global Presence – Manufacturing & Sales Capabilities
4. Diverse Global Presence – Manufacturing & Sales Capabilities INTERNATIONAL MANUFACTURING OPERATIONS DOMESTIC MANUFACTURING OPERATIONS CHILE SOUTH AFRICA AUSTRALIA DAHEJ, GUJARAT KOLKATA (SAMALI), WB KALYANI, WEST BENGAL Commissioning/Acquisition: Commissioning/Acquisition : Commissioning/Acquisit
Slide 26: 4. Diverse Global Presence - Manufacturing & Sales Capabilities
4. Diverse Global Presence - Manufacturing & Sales Capabilities India Chile South Africa Australia Sales & Marketing Offices Mining activity High TEGA INDUSTRIES LIMITED 25
Slide 27: 5. Consistent Growth & Long-Term Repeat Business
5. Consistent Growth & Long-Term Repeat Business ESTABLISHED TRACK RECORD CAGR 19% Revenue from Operations FY19-24 Growth Momentum CAGR 25% Robust market position Built Inherent Strength Forged Strong Relations Operating EBITDA from FY 19-24 Differentiated, High Margin Business Successfully maintain
Slide 28: 6. Successful Track Record of Inorganic Growth Strategy
6. Successful Track Record of Inorganic Growth Strategy JV in 1991 Acquisition in 2006 Acquisition in 2010 Acquisition in 2011 Acquisition in 2023 • Tega McNally Minerals Ltd • Access to the Latin • Expand operations globally • Increased market share in (erstwhile McNally Sayaji American markets • P
Slide 29: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Capitalise on growing relevance Disrupt the market Balance Sheet integrity • Ore grades depleting in gold mines • Penetrate the market with the distinctive • Expand largely out of accruals • Disproportionate growth in mining and mineral DynaPrime product • Fund worki
Slide 30: Key Growth Drivers Going Forward
Key Growth Drivers Going Forward Capitalize on the future Product Improvement Capacity Expansion • Leverage proprietary R&D capabilities; increase • Consistently improve products, enhancing • Greenfield facility in Chile product offerings cost- effectiveness • Engage in brownfield expansion in South
Slide 31: Experienced Board of Directors
Experienced Board of Directors MADAN M. MOHANKA MEHUL MOHANKA SYED YAVER IMAM Chairman and Executive Director Managing Director and Group CEO Executive Director Appointed: Since inception Appointed: Jun-02 Appointed: Jul-05 Promoter, Founder and Chairman One of the Promoters, MD & Group CEO Serves a
Slide 32: Management Team
Management Team MEHUL MOHANKA SHARAD KUMAR KHAITAN MD and Group CEO Chief Financial Officer One of the Promoters of the Company, MD & Group CEO Qualified Chartered Accountant with an experience of more Associated with Tega for almost two decades than 20 years in areas of Financial Planning & Analysi
Slide 33: Thank You
Sharad Kumar Khaitan Chief Financial Officer investor.relations@tegaindustries.com Manjuree Rai Company Secretary & Compliance Officer manjuree.rai@tegaindustries.com Thank You Mr. Bhavya Shah +91 8082748577 bhavya.shah@linkintime.co.in Mr. Nikunj Jain +91 9769060608 nikunj.jain@linkintime.co.in