Slide 1: Zen Technologies Limited exchange filing cover letter
ZEN TECHNOLOGIES LIMITED Certified ISO 9001:2015, ISO 27001:2013, ISO 14001:2015, CMMI MLS Regd. Office : B-42, Industrial Estate, Sanathnagar Hyderabad - 500 018, Telangana, India Phone: +914023813281, Fax No: +914023813694 Email: info@zentechnologies.com Website: www.zen.in being there ... Corpora
Slide 2: Investor Presentation - August 2020
Investor Presentation - August 2020 “The more you sweat in peace, the less you bleed in war.”
Slide 3: Zen Technologies: Snapshot
Zen Technologies : Snapshot Pioneer and Leadership in In-house Design, Listed On Defence Training Solutions Development and BSE & NSE and track record in India Manufacturing of Simulators of consistent dividend payment Over 25 years of successful Developed & Applied Establishing global track record
Slide 4: Zen's Business Model
Zen’s Business Model Pioneer & Leader Revenue Drivers in Defence Training Solution Provider Simulator Products Orders are of large size and have long closing cycles resulting in revenue volatility Balancing the First mover advantage with many soldiers having trained on the Company’s products
Slide 5: Scalability
Scalability Combat Training Centre Indian Army training requirement of Rs 8000 Cr Abundant Global Opportunities Handful of companies globally Zen’s products are mature in this segment Growing credibility of Indian Global addressable Large value add to Defence Vendors with active market size
Slide 6: Fulfilment Capacity and Capabilities
Fulfilment Capacity and Capabilities The Company has an Asset Light model and outsources most of manufacturing to its supply chain. Mostly, software and final hardware assembly is done at the Zen facility Hyderabad based vendors have adequate surplus manufacturing capacity to cater to any incr
Slide 7: Investment in IPR
Investment in IPR Focused R&D driven organisation Total IPR Applications R&D Driven prototyping to develop state of the art training simulators 93 Over 90 in-house researchers working on specialised in-house created domain libraries Collaboration with universities to further augment research c
Slide 8: Competitive Edge
Competitive Edge Comprehensive product range More than 50 simulator and other training Complete in-house skills products for varied training needs Comprehensive Customised Training solutions with Combat Training Centre Electronics Optics Credibility with 25-year track record Great understandin
Slide 9: Growth Drivers
Growth Drivers 1 2 3 AMC Domestic Exports Annual Maintenance Contracts Conducive regulatory regime has Target smaller erstwhile ignored AMC CAGR of 38.5% over last 5 opened erstwhile closed single markets through tailored training years vendor business opportunities solution Simulator sales
Slide 10: Growth Levers - Strategic diversification
Growth Levers - Strategic diversification Zen Medical Domestic Technologies Zen Tech’s in-house R&D centre has successfully prototyped a medical ventilator There is real dearth of indigenous medical device manufacturers in India and Zen Medical Tech aspires to fill the void The Company foresee
Slide 11: Regulatory Tailwinds
Regulatory Tailwinds Industry can suo moto come up with solutions which can solve or address the challenges faced by Indian Army For accepted solutions the Indian armed forces will give a go ahead MAKE II procedure in to develop such a system the DPP 2016 Indian armed forces will assure the ac
Slide 12: Regulatory Tailwinds fortifies…
Regulatory Tailwinds fortifies… • Hon’ble Defence Minister announced a list of 101 items which will be exclusively procured from domestic defense industry. • The list includes 9 simulators which are designed, developed and Exclusivity to Indigenous Products manufactured by Zen Technologies Limited.
Slide 13: Zen poised for Growth like Special Bamboo Tree
Zen poised for Growth like Special Bamboo Tree Bamboos include some of the fastest-growing plants in the world,[ due to a unique rhizome- dependent system. Certain species of bamboo can grow 36 inch within a 24-hour period, at a rate of almost 1 1⁄2 inch an hour © Zen Technologies Limited – All Righ
Slide 14: Moving Up The Complexity Pyramid
Moving Up The Complexity Pyramid Networked with Geo Specific Terrains Instrumented (Live Simulation) Live Firing ranges CTC : Advanced scoring and analytics Command Training Centre Real terrain & equipment Virtual Simulators Seamless Laser, Sensors, GPS and Wireless communication TacSim,
Slide 15: Simulator Life Cycle
Simulator Life Cycle -3 to 0 Years: 0-2 Years: Presales and product New product sale X specifications 8-15 Years: 3-7 Years: AMC & Upgrades: 0.75X AMC ~9% pa of sale 0.45X Simulator sale of X creates a future revenue potential of 1.2X over the product life © Zen Technologies Limited – All Rights Res
Slide 16: Simulator Product List
Simulator Product List Defence Homeland Security 81mm Mortar Integrated Driver Aptitude Testing 81mm Mortar Integrated Driving Training Simulator System Simulator Simulator Advanced Weapons Simulator Driving Training Simulator Advanced Weapons Hand Grenade Simulator Anti-Aircraft A
Slide 17: Are You Combat Ready?
A million dollar question for Armed Forces Are You Combat Ready?
Slide 18: Combat Training Centre
Combat Training Centre Control Center Virtual Domain © Zen Technologies Limited – All Rights Reserved. 17
Slide 19: Zen CTC: One Stop Solution for higher Combat Readiness
Zen CTC: One Stop Solution for higher Combat Readiness Immense Helps overcome challenges Cost Saving to combat training Combat Readiness: Measurement And Much higher, Measured Recording: and ‘Scored’ Powerful scoring model Integrated, wholesome combination of all types of training systems: Live, Las
Slide 20: Infrastructure Facilities
Infrastructure Facilities Corporate Head Office 27,000 Sq. Ft. B-42 Industrial Estate, Sanath Nagar, Hyderabad Production Division 75,000 Sq. Ft. built up on 8.55 acre land Hardware Park, Maheshwaram, Hyderabad New R&D centre 25,000 Sq. Ft. Floor No.11 and 12, Signature Towers, Kondapur, Hyderabad ©
Slide 21: Financial Snapshot
Financial Snapshot (Figures in INR Millions) Particulars 2018 2019 2020 Sales 389.6 922.2 1,469.8 Sale of Products 184.3 698.9 1275.25 Sale of Services 205.3 223.3 194.55 Gross Profit 323.1 615.6 1022.27 R&D Expenses 128.3 122.7 148.16 EBITDA Excl R&D 109.8 348.2 784.07 PAT 2.0 190.5 605.3 Total Ord
Slide 22: Statement of Affairs
Statement of Affairs (Figures in INR Millions) Particulars 2018 2019 2020 Net Worth 1,184.2 1410.1 1987.46 Long-Term Borrowings 32.7 88.0 1.88 Short-Term Borrowings 68.3 329.9 6.9 Trade Payables 34.7 75.2 51.26 Fixed Assets 646.4 627.7 643.61 Capital Work-in-Progress 0.0 4.0 0.0 Inventories 115.5 35
Slide 23: Trends
Trends Figures in INR Millions SALES SALE OF PRODUCT Figures in INR Millions 1,469.8 1275.3 922.2 698.9 389.6 184.3 2018 2019 2020 2018 2019 2020 GROSS MARGINS Figures in INR Millions EBITDA EXCLUDING R&D Figures in INR Millions 1022.3 784.1 615.6 348.2 323.1 109.8 2018 2019 2020 2018 2019 2020 © Ze
Slide 24: Trends continues……
Trends continues…… (Figures in INR Millions) R&D EXPENSES PAT Figures in INR Millions 148.2 128.3 122.7 605.3 190.5 2 2018 2019 2020 2018 2019 2020 Figures in INR Millions NETWORTH LONG TERM DEBT 88 1,987.5 1,410.1 1,184.2 32.7 1.88 2018 2019 2020 2018 2019 2020 © Zen Technologies Limited – All Righ
Slide 25: Salient Developments
Salient Developments The Company achieved historically highest turnover and profitability during the financial year 2019-20 The Company prepaid Term Loan and achieved debt free status during the year The Company continues to maintain debt free status . The Company’s surplus funds reached to ne
Slide 26: Thank You
THANK YOU DISCLAIMER: C E R T A I N S T A T E M E N T S I N T H IS P R E S E N T A T IO N C O N C E R N IN G O U R F U T U R E G R O W T H P R O S P E C T S A R E F O R W A R D - LO O K IN G S T A T E M E N T S , W H IC H IN V O L V E A N U M B E R O F R IS K S A N D U N C E R T A I N T I E S T H A