Knowledge Marine & Engineering Works Limited · NSE:KMEW
Knowledge Marine & Engineering Works — H1 FY2023 Earnings Presentation
27 slides from Knowledge Marine & Engineering Works's earnings presentation, Nov 19, 2022
Slide 1: Intimation under Regulation 30 - Investor Presentation
KNOWLEDGE MARINE & ENGINEERING WORKS LIMITED Ship Builders, Repairers, Charterers and Marine Contractors CIN: L74120MH2015PLC269596 Ref: KMEW/BSE/2022-23/Reg 30/19 Date: 19th November, 2022 To, BSE Limited, PhirozeJeejeebhoy Towers Dalal Street, Fort Mumbai- 400001 Scrip Code Symbol ISIN 543273 KMEW
Slide 2: Earnings Presentation H1 FY2023
Knowledge Marine & Engineering Works Ltd. (BSE: 543273) Earnings Presentation H1 FY2023
Slide 3: KMEW Investment Case
KMEW Investment Case • Dredging across east and west coast of India • Conducting hydrographic surveys Revenue growth prospects with EBITDA • Pilotage services margins of 28.6%+ on a sustainable basis • Security / Patrolling services Key Services • Ship mooring services Lower capex due to in-house ca
Slide 4: H1 FY2023 Highlights
H1 FY2023 Highlights Consolidated Financial Highlights Operational Highlight Total Income Gross Profit EBITDA Dredging Other Ancillaries Rs. 123.1 crores Rs. 40.0 crores Rs. 35.2 crores Rs. 120.1 crores Rs. 2.57 crores Growth: 534% Margin: 32.5% Margin: 28.6% Growth: 560% Growth: 168% Net Profit Net
Slide 5: Management Commentary
Management Commentary Commenting on the performance, Sujay Kewalramani, Chief Executive Officer, said: “I am pleased to announce that the Company has delivered its best ever financial performance in H1 FY23. During the period, KMEW delivered Revenues from Operations of Rs. 122.7 Crores, which is 6x
Slide 6: Successful Track Record of Delivering on Contracts
Successful Track Record of Delivering on Contracts • Listing on BSE SME • First Dredging contract platform in March 2021 • Commissioning of River from Kolkata Port for • International Contract Pearl 3 at Vizag Port • Acquisition of RP 11 and Rs. 23 crores from Ministry of External for 5 years RP 12
Slide 7: Growth Strategies
Growth Strategies • CSDs are hydraulic dredgers, have the ability to dredge nearly all kinds of soils and are used where the Cutter Suction ground is too hard for trailing suction hopper dredgers Dredgers (CSDs) • Plans to tie up with a strategic partner to create a Special Purpose Vehicle (SPV) wit
Slide 8: H1 FY2023 River Pearl Updates
H1 FY2023 River Pearl Updates 100% Uptime Constructed and Deployed Under Construction 1 2 3 4 5 06 7 8 11 9 10 12 • RP 1 and RP 2: Kolkata Port • RP 5: Vizag Port • RP 9: Awarded a contract by Vizag Port for a tenure of 3 years, extendable by 2 • RP 3: Vizag Port • RP 06 & RP 7: Deendayal Port addit
Slide 9: H1 FY2023 Annual Performance Trends
H1 FY2023 Annual Performance Trends Total Income Gross Profit and Margins 40.0 63% 52% 54% 48% 38.8 17.4 33% 11.6 10.4 24.2 33.4 61.6 19.4 123.1 FY2020 FY2021 FY2022 H1 FY22 H1 FY23 FY2020 FY2021 FY2022 H1 FY22 H1 FY23 Gross Profit (Rs. Cr.) Margin (%) EBITDA and Margins PAT and Margins 32.9 35.2 34
Slide 10: Leverage Profile
Leverage Profile (Rs. Crores) Sep-22 Sep-21 Total Debt / Equity (x) Short Term Debt 8.4 4.7 Long Term Debt 9.8 10.5 1.30x Total Debt 18.2 15.3 Cash and Cash Equivalents 32.4 9.7 0.59x 0.53x 0.46x Net Debt / (Net Cash) (14.2) 5.6 0.25x Equity 73.6 33 FY2020 FY2021 FY2022 H1 FY22 H1 FY23 • All existin
Slide 11: Key Return Ratios
Key Return Ratios Return on Equity Return on Capital Employed 77% 79% 53% 50% 47% 33% 30% 30% 29% 29% FY2020 FY2021 FY2022 H1 FY22 H1 FY23 FY2020 FY2021 FY2022 H1 FY22 H1 FY23 Return on Assets 44% 29% 16% 17% 14% FY2020 FY2021 FY2022 H1 FY22 H1 FY23 Rs. Crores 10
Slide 12: Income Statement
Income Statement (Rs. Crores) 12M FY20 12M FY21 12M FY22 H1 FY22 H1 FY23 Revenue from Operations 23.9 33.3 61.1 19.2 122.7 Other Income 0.3 0.1 0.5 0.3 0.4 Total Income 24.2 33.4 61.6 19.4 123.1 Expenses Cost of Operating Expenses 12.6 16.0 22.8 9.0 83.1 Employee Benefit Expenses 1.6 2.0 2.7 1.1 1.8
Slide 13: Balance Sheet
Balance Sheet Liabilities H1 FY22 H1 FY23 Assets H1 FY22 H1 FY23 Equity and Liabilities Assets Equity Non-Current Assets Equity share capital 10.2 10.2 Tangible assets 26.7 50.6 Other Equity 20.9 60.7 Intangible assets 0.0 0.0 Non-controlling interest 2.3 2.6 Capital work-in-progress 6.6 13.6 Invest
Slide 14: Dredging Services Overview
Dredging Services Overview • Process of removal of sediments and debris from the bottom of oceans and harbors to create navigable waterways for shipping traffic at ports What is • Reclaiming dredged material to create new land Dredging • Environmental dredging is undertaken to remove pollutants from t
Slide 15: Dredging Marine Assets: Project Overview
Dredging Marine Assets: Project Overview Tenure Customers Location Geography Service Value (Years) 2 West Bengal Maintenance Rs. 23 crores 5 Kolkata Port Trust Domestic (East Coast) Dredging Rs. 87 crores 5 4 Ministry of External Myanmar 8 International Capital Dredging Rs. 118 crores* 2.5+2 2 Affai
Slide 16: Myanmar Project Highlights
Myanmar Project Highlights Project Overview Strategic Importance of Sittwe Port, Myanmar for India Dredging and providing maintenance on Access Channel and Port basin at Sittwe Port, Myanmar and • Situated at the mouth of Kaladan river and is Description Kaladan River for Shipping and Navigation in
Slide 17: Dredging Marine Assets: Constructed and Deployed
Dredging Marine Assets: Constructed and Deployed Vessel Gross / Net Speed Vessel Year Built / Dimension Loaded Engine Vessel Description (Knots) Tonnage Builder (L x B x D) mts Draft (mts) Make BHP / RPM River Pearl 2 2016 Grab Hopper Dredger at 6 622 / 201 51.0 x 12.0 x 3.6 3.1 Cummins 325 x 2 Kolk
Slide 18: Dredging Marine Assets: Under Repair
Dredging Marine Assets: Under Repair Backhoe dredger Description Backhoe Dredger Year of Build 2010 River Pearl 12 Dimension (Length x Breadth X Depth) 36 x 11 x 2.5 Meters Loaded Draft 1.7 Metre Gross / Net Vessel Tonnage 238 / 77 17
Slide 19: Dredging Industry Dynamics
Dredging Industry Dynamics • Sagarmala, a project of Government of India (GOI) in 2015 to set up mega ports; modernize ports and, develop Coastal Economic Zones • The new Shipbuilding Financial Assistance Policy for Indian shipyards provides financial grant, to Indian shipyards for shipbuilding contr
Slide 20: Port Ancillary Services: Overview
Port Ancillary Services: Overview • The science of measurement and description of • Provides repair, refit and maintenance services features which affect maritime navigation, marine • Caters to predominantly naval and merchant ships Hydrographic Repair and construction, dredging, offshore oil • Incl
Slide 21: Port Ancillary Services: Project Overview
Port Ancillary Services: Project Overview Tenure Customers Location Geography Service Value (Years) 1 West Bengal Survey and Kolkata Port Trust Domestic Rs. 21 crores 7 (East Coast) Pilotage 3 Pilotage Services Rs. 5 crores 5 5 Andhra Pradesh Vizag Port Trust Domestic and Patrolling Rs. 5 crores 5 (
Slide 22: Port Ancillary Crafts: Constructed and Deployed
Port Ancillary Crafts: Constructed and Deployed Vessel Gross / Net Speed Vessel Year Built / Dimension Loaded Engine Vessel Description (Knots) Tonnage Builder (L x B x D) mts Draft (mts) Make BHP / RPM River Pearl 1 2017 Survey-cum-pilot boat at 12 113 / 34 24.5 x 5.5 x 3.0 1.3 Cummins 600 x 2 Kolk
Slide 23: Port Ancillary Crafts: Assets Under Construction
Port Ancillary Crafts: Assets Under Construction Speed Patrol Boat for Coastal & Port Security to Description Speed Patrol Boat be deployed at Vizag Port Expected Completion / Builder Dec 2022 / Synergy Shipyard, Goa Dimension (Length x Breadth X Depth) 13.1 x 3.8 x 1.9 Meters River Loaded Draft 1 M
Slide 24: Board of Directors
Board of Directors C Saurabh Daswani Ashish M Mohandas Managing Director Independent Director C C Kanak Kewalramani Sandeep Zaveri Whole Time Director and CFO Independent Director Audit Committee Nomination & Remuneration Committee Jagat Jiban Biswas Stakeholder Relationship Committee Non Executive
Slide 25: Key Management Team
Key Management Team • Responsible for overall management of the • Over 12 years of experience in the field of dredging organization with over 6 years of experience at various major ports of India • Area of expertise include budgeting and cost control • Track record of executing contracts over Rs. 1,
Slide 26: Disclaimer
Disclaimer This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Knowledge Marine & Engineering Works Limited (“KMEW” or the Company) futu
Slide 27: Knowledge Marine & Engineering Works Ltd
Knowledge Marine & Engineering Works Ltd Office no 402, Sai Samarth Business Park, Deonar Village Road, Govandi (East), Mumbai - 400 088, India Phone: +91 22 3553 0988 Email: info@kmew.in www.kmew.in/index.html
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