Titagarh Rail Systems Ltd · NSE:TITAGARH
Titagarh Rail Systems — FY2023 Earnings Presentation
31 slides from Titagarh Rail Systems's earnings presentation, May 25, 2023
Slide 1: Exchange filing cover letter
25thMay, 2023 National Stock Exchange of India Limited Exchange Plaza Bandra-Kurla Complex Bandra (E), Mumbai-400051 Scrip Code: TWL(EQ) BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai-400001 Scrip Code: 532966 Dear Sirs, Sub: Corporate Presentation – March 2023 (Q4and full year FY 2023)
Slide 2: Investor Presentation Q4 & Full Year FY23
Investor Presentation Q4 & Full Year FY23 TITAGARGH RAIL SYSTEMS LTD. (FORMERLY TITAGARH WAGONS LIMITED)
Slide 3: Key Business Updates
1 Key Business Updates
Slide 4: Key Business Updates – FY23
Key Business Updates – FY23 Execution of highest ever single order from Indian Railways for supply of 24,177 nos. of wagons amounting to Rs. 7,800 crores is on track. The consortium of BHEL & Titagarh has won the contract for supply and maintenance of 80 Vande Bharat trainsets to Indian Railways. Th
Slide 5: Vande Bharat – Order Details
Vande Bharat – Order Details Supply 9600 120 Cr * 80 train sets • The consortium of BHEL & Titagarh has been Crore 120 Cr is the L1 price awarded tender for the supply and maintenance of 80 trainsets (1280 coaches). Maintenance 13,500 35 years @ 4.1% p.a. of the • Execution Timeline - The first 2 pr
Slide 6: Forged Wheel – Tender Details
Forged Wheel – Tender Details 435 kgs • The consortium of RKFL & Titagarh has been Average weight per wheel awarded tender for manufacturing of forged wheels with guaranteed offtake of 80,000 wheels by IR for 20 188.10 Rs/kg 81,824 Rs years Price per wheel • Manufacturing - It will be a greenfield p
Slide 7: Financial Performance
2 Financial Performance
Slide 8: Financial Snapshot – FY23
Financial Snapshot – FY23 2,781 cr 264 cr 205 cr 103 cr Revenue EBITDA* PBT* PAT (excl. other income) 86% 9.51% 7.37% 3.72% Revenue Growth (YoY) EBITDA Margin* PBT Margin* PAT Margin (excl. other income) 27,546 cr 16.33% 25.97% 8.64 Order Book ROE* ROCE EPS * Before exceptional items 7
Slide 9: Strong Order Book
Strong Order Book 198, 13% Freight Rail 12,716, Systems 46% FY23 FY22 Rs 27,546 cr 14,830, Rs 1,493 cr 54% Passenger Rail Systems 1,295, 87% 1. During the year, the Company has reassessed its operating segments based on the recent changes in the overall business activities and internal re-organisati
Slide 10: Q4FY23 & FY23 : Standalone
Q4FY23 & FY23 : Standalone Rs. In Crores Strong Performance with FY23 Revenue up by 86% and Profit Before Tax up by 85% Y-o-Y Revenue EBITDA* Profit Before Tax* 7.7% 9.8% 131% 114% 173% 10.6% 974 6.5% 75 95 422 45 28 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 Revenue EBITDA* Profit Before Tax*
Slide 11: Financial Performance: Standalone
Financial Performance: Standalone Rs. In Crores Q4 y-o-y Q3 q-o-q Year Ended y-o-y Rs. Crores FY2023 FY2022* Growth (%) FY2023 Growth (%) FY23 FY22** Growth (%) Revenue 974.22 422.14 131% 766.40 27% 2780.53 1495.51 86% EBITDA 95.49 44.61 114% 72.66 31% 264.31 168.35 57% Margin (%) 9.80% 10.57% - 9.4
Slide 12: Balance Sheet - Standalone
Balance Sheet - Standalone Assets (In Crores) FY23 FY22 Equity & Liabilities (In Crores) FY23 FY22 Non Current Assets Equity Property, Plant and Equipment 620.01 607.54 Equity Share Capital 23.91 23.91 Right-of-Use Assets 101.92 59.92 Other Equity 939.01 845.84 Capital Work-in-progress 12.28 0.00 To
Slide 13: Financial Performance Trend
Financial Performance Trend Strong CAGR Growth in Last 5 Years Revenue up by 32%, EBITDA up by 49% and PBT up by 51% Rs. In Crores Revenue from Operations EBITDA and Margins PBT and Margins +32% +49% +51% CAGR CAGR CAGR 2,781 264 205 168 111 1,484 1,496 129 119 1,026 60 910 63 54 40 FY19 FY20 FY21 F
Slide 14: Strong Financial Trends
Strong Financial Trends Return on Equity Return on Capital Employed 16.3% 26.0% 16.3% 10.1% 8.9% 12.7% 11.5% 5.2% 5.4% 6.5% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Net Working Capital Days 79 77 60 48 37 FY19 FY20 FY21 FY22 FY23 13
Slide 15: Q4FY23 & FY23 : Consolidated
Q4FY23 & FY23 : Consolidated Rs. In Crores Strong Performance with FY23 Revenue up by 89% and Profit Before Tax up by 78% Y-o-Y Revenue EBITDA Profit Before Tax 7.2% 9.8% 131% 108% 144% 10.9% 974 6.8% 96 70 422 46 29 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 Revenue EBITDA Profit Before Tax 6.
Slide 16: Financial Performance: Consolidated
Financial Performance: Consolidated Rs. In Crores Q4 y-o-y Q3 q-o-q Year Ended y-o-y Rs. Crores FY2023 FY2022* Growth (%) FY2023 Growth (%) FY23 FY22* Growth (%) Revenue 974.22 422.19 131% 766.40 27% 2779.59 1467.50 89% EBITDA 95.50 45.94 108% 72.66 31% 263.49 164.91 60% Margin (%) 9.80% 10.88% - 9.
Slide 17: Balance Sheet - Consolidated
Balance Sheet - Consolidated Assets (In Crores) FY23 FY22 Equity & Liabilities (In Crores) FY23 FY22 Non Current Assets Equity Property, Plant and Equipment 619.98 879.02 Equity Share Capital 23.91 23.91 Right-of-Use Assets 101.92 59.92 Other Equity 939.64 818.21 Capital Work-in-progress 12.28 15.18
Slide 18: Sustainable Growth Momentum
3 Sustainable Growth Momentum
Slide 19: Leading player in wagons manufacturing
Leading player in wagons manufacturing Existing Capacity Efficient Operating Model 8,400 Potential to grow: ~Rs. 5000 Cr Manufacturing Excellence with Proposed Capacity experience of 40 Timely execution of Wagons order years 12,000 FY2023 5498 3274 FY2021 2563 Liquid metal existing capacity 3458 In-
Slide 20: Passenger Rolling Stock - Well positioned for growth
Passenger Rolling Stock - Well positioned for growth Existing Capacity Titagarh is the only Integrated Player Potential to grow: ~Rs. 5000 Cr+ 250 coaches/year in the Passenger Rolling Stock Well Positioned to Deliver Profitable Growth Proposed Capacity segment in India Fully integrated facility for
Slide 21: Transforming Business to Future Potential
Transforming Business to Future Potential Freight Rolling Stocks Passenger Rolling Stocks • Well established business segment with strong order Shipbuilding, • Strong orders book of ~Rs. Bridges 12,716 Cr at the end of FY23 and Defence book of ~Rs. 14,830 Cr at the end FY23 • Well positioned to capi
Slide 22: Strong Industry Tailwinds to Drive Structural Growth
4 Strong Industry Tailwinds to Drive Structural Growth
Slide 23: Strong Industry Tailwinds
Strong Industry Tailwinds Government Spending Freight Rolling Stock Passenger Rolling Stock Massive modernization drive undertaken Indian Railway to increase freight traffic by rail Vande Bharat over the last few years to upgrade the from 27% to 45% by 2030 Railways to world class standards in all a
Slide 24: Railway Infrastructure
Railway Infrastructure • Capital outlay of Rs. 2.4 lakh Cr for the Indian Railways in the Union Budget 2023-24 Leader in Wagons Manufacturing in India which is 9 times the outlay made in 2013-14. NRP proposed total capex of ~Rs 9.15 Cr during 2026- 2031 (~>57% previous 5-year period) • High Speed Ra
Slide 25: NRP Targeting 45% Modal Share by 2030
NRP Targeting 45% Modal Share by 2030 Average of ~21,000 new wagons are Rapid Growth in Freight required to be procured each year in Movement in DFC ▪ After a steady decline in Railway’s share of freight over the achieving below target last 3 decades, Indian Railway, for the first time, aims to EDFC
Slide 26: Passenger Rolling Stock – Strong Tailwinds
Passenger Rolling Stock – Strong Tailwinds The global rolling stock market was valued at LeaderPassenger in Wagons RollingManufacturing in India Stock – Exports Outlook ($ Bn) $51.31 billion in 2021 and is projected to reach Existing Global Passenger RS Mkt 51.3 $73. 27 billion by 2031, registering
Slide 27: Annexure
5 Annexure
Slide 28: Sustainability a Core Pillar of Strategy
Sustainability a Core Pillar of Strategy Focus on Energy Efficiency Committed to Highest Governance • Solar Power Plant of 2 MW capacity Environment • 50% of the Board of Directors are Social Governance independent • Light sensitive switches have been installed to reduce consumption by • Board of Di
Slide 29: Titagarh’s Journey so far
Titagarh’s Journey so far Establishment of Establishment of First production of Certified by RDSO – Association with Indian Application granted of an Titagarh as a foundry Titagarh as a EMU/MEMU for Indian G105 with a production Air Force for supply & Defence Industrial License unit. Catering to man
Slide 30: Disclaimer
Disclaimer This presentation contains statements that are “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Titagarh Rail Systems’ future business developments and economic performance.
Slide 31: Titagarh Rail Systems Limited
Titagarh Rail Systems Limited Kolkata Registered & Corporate Office Titagarh Towers, 756, Anandapur, E.M. Bypass Kolkata – 700107, West Bengal, India T: +91 33 4019 0800 F: +91 33 4019 0823 E: corp@titagarh.in