Kirloskar Brothers Ltd. Financial Analysts Meet Quarter 3 FY - - PowerPoint PPT Presentation

1

This is a proprietary document of Kirloskar Brothers Ltd.

Kirloskar Brothers Ltd. Financial Analysts Meet Quarter 3 FY 2011-12

January 24, 2012

This is a proprietary document of Kirloskar Brothers Ltd.

COMPANYWIDE HIGHLIGHTS

2

This is a proprietary document of Kirloskar Brothers Ltd.

• Overall global economic decline and the Indian economic scenario affecting liquidity and

growth adversely

• Slow decision making in major government policies for the Power sector.
• Cash crunch in the private power sector
• Focus on selective sale depending on financial position of customer.
• Project sectors have booked only product orders in the quarter.
• Civil portion of all projects likely to be completed by next FY.
• AP situation improved and payments are being released, going forward, focus will be on

collection of retention money.

• Agri business, which is seasonal in nature has picked up, after a slow down for two

months due to extended monsoon

SECTOR HIGHLIGHTS

3

This is a proprietary document of Kirloskar Brothers Ltd.

3

This is a proprietary document of Kirloskar Brothers Ltd.

Water Resource Management

• 90 MLD water delivered to Bhopal city while 180 MLD water supply system

is likely to be completed by June 2012. . Irrigation

• Situation in Andhra Pradesh has improved and payments being made as

committed.

SECTOR HIGHLIGHTS

4

This is a proprietary document of Kirloskar Brothers Ltd.

4

This is a proprietary document of Kirloskar Brothers Ltd.

Power:

• Successful commissioning of CW Pumps for Reliance Energy’s Rosa Thermal

Power Station.

• Successful commissioning of CW pumps at 660 MW Essar Salaya Power Plant –

KBL’s first indigenous concrete volute pump (CVP) for 660 MW unit.

• Successful commissioning of water system package for 1x500 MW DVC Koderma
• DM Plant. – KBL's first plant water system package
• Successful completion of 72 Hrs. full load testing for KBL's first vertical Francis

machine for KSEB’s 1 x 3.5 MW Dhom HEP Ranni Perunad– Unit I & II synchronized with grid - Largest horizontal kaplan with runner diameter of 2.8 m. Building & Construction :

• Submitted approximately 120 offers for multi outlet multistage pumps that would

likely lead to a shift from standard product to high margin product business in fire fighting.

SECTOR HIGHLIGHTS

5

This is a proprietary document of Kirloskar Brothers Ltd.

5

This is a proprietary document of Kirloskar Brothers Ltd.

Industry:

• First ever order for LLC and iCP pumps received from sugar industries – 5 nos.from

Lakshmi Sugar Mills and 2 nos iCP pumps from Lakshmi Sugar Mills.

• Concept of VTP - LLC version accepted by Century Rayon that could lead to potentially

good business

• Workshop on LLC pumps and valves conducted in JSW Ispat Industries, Pen.

Gas Oil & Defense:

• String test successfully carried out for four out of seven packages of ONGC offshore fire

fighting platform project at SPP, UK. Balance three packages string tests were successfully carried out and witnessed at Fluid Power, USA.

• Received order for development and supply of special axial flow pump for Amphibian

Tank from Vehicle Research Development Establishment.

SECTOR HIGHLIGHTS

6

This is a proprietary document of Kirloskar Brothers Ltd.

6

This is a proprietary document of Kirloskar Brothers Ltd.

Distribution:

• Crossed break even quantity per month of 11,000 pumps at Coimbatore plant.
• Executed first order of 14 nos. stainless steel submersible pumps.
• Appointed 20 new dealers and 150 new retailers in Q -3.

Customer Service & Spares :

• Achieved more than 75% customer satisfaction level on services provided to

customers on Dewas range of products, based on a survey conducted

FACTORY HIGHLIGHTS

7

This is a proprietary document of Kirloskar Brothers Ltd.

7

This is a proprietary document of Kirloskar Brothers Ltd.

Kirloskarvadi Factory:

• Received FM approval & UL listing for VT Pump series, a joint project with SPP.

Large Pump Division

• Successfully executed prestigious order of Fujairah in 12 weeks from PO date.
• Introduced complete cartridge assembly check fitting for CVP/MVP pumps
• Completed order for Bechtel, USA and hydel turbines for 2.2 MW Pench LBC.

Small & Medium Pump Division

• Completed line re-layout of split-case, process pump and multi-stage pumps

divisions, leading to significant capacity rise.

8

This is a proprietary document of Kirloskar Brothers Ltd.

FACTORY HIGHLIGHTS

Dewas :

• Foundry won ‘Regional Productivity Championship’ award from IMTMA.
• Launched Mobile Pump Controller at Shirval plant.
• DB Pumps production shifted from Kirloskarvadi to Dewas

FACTORY HIGHLIGHTS

9

This is a proprietary document of Kirloskar Brothers Ltd.

9

This is a proprietary document of Kirloskar Brothers Ltd.

Kondhapuri :

• Completed Proof of Design (POD) for 1200mm BFV PN10 (2% NiCI)
• Obtained

consent to

• perate

from Maharashtra Pollution Control Board (MPCB) till Jul-13

• Conducted vendor meet of suppliers.

This is a proprietary document of Kirloskar Brothers Ltd.

10

AHMEDABAD PLANT PROGRESS

07.01.11

AHMEDABAD PLANT PROGRESS

11

This is a proprietary document of Kirloskar Brothers Ltd.

11

This is a proprietary document of Kirloskar Brothers Ltd.

This is a proprietary document of Kirloskar Brothers Ltd.

COMPANYWIDE PENDING ORDERS

12 12

This is a proprietary document of Kirloskar Brothers Ltd.

Sector 1Q 2Q 3Q 3Q (Rs.In Crores) Jun-11 Sep-11 Dec-11 % of Total Irrigation (IRR) 1,463 1,424 1,359 52% Water Resource Management (WRM) 356 353 292 11% Power (POW) 854 790 710 27% Gas, Oil & Defence (GOD) 120 125 107 4% Industry (IND) 75 65 78 3% Building & Construction (B&C) 20 27 25 1% Distribution (DIS) 17 32 40 2% Customer Service & Support (CSS) 44 27 23 1% TOTAL 2,949 2,843 2,635 100%

Orders Received Quarter - I Quarter - II Quarter - III

• Rs. In Crores

352 306 210

13

This is a proprietary document of Kirloskar Brothers Ltd.

13

This is a proprietary document of Kirloskar Brothers Ltd.

Q3 FINANCIALS - STANDALONE HIGHLIGHTS

• Total sales are at Rs. 12,592 M as against Rs.12,212 M in PY
• All product sectors have crossed sales over Previous year
• Share of own products has increased to 59% as against 55% in previous year
• PBT has increased to Rs. 67 crores as against Rs. 60 crores in previous year
• CY PBT includes non-operating income of Rs. 35 crores being profit on sale of

investment in Gondwana Engineering Ltd.

• Borrowings reduced by Rs. 25 crores in Q3 over Q2.

14

This is a proprietary document of Kirloskar Brothers Ltd.

14

This is a proprietary document of Kirloskar Brothers Ltd.

Q3 KEY FINANCIALS - STANDALONE

( Rs in Crores ) Particulars Dec-11 Dec-10 Dec-09 KEY FINANCIALS Total Income 1,270 1,231 1,400 1,951 P B D I T 80 105 130 163 P B T 32 60 85 103 P A T 23 41 55 61 CASH PROFIT 46 63 74 91 KEY FINANCIAL RATIOS P B I D T % AGE 6% 9% 9% 8% P B T % AGE 3% 5% 6% 5% R O C E % AGE 6% 9% 15% 12% Period Ending Year Ended Mar 31, 2011

Note: Figures of period ending Dec 2011 excludes profit on sale of investment Rs. 35 crores

15

This is a proprietary document of Kirloskar Brothers Ltd.

Q3 KEY FINANCIALS -CONSOLIDATED

15

This is a proprietary document of Kirloskar Brothers Ltd.

( Rs in Crores ) Particulars Dec-11 Dec-10 Dec-09 KEY FINANCIALS Total Income 1,896 1,797 1,869 2,663 P B D I T 125 151 172 244 P B T 65 90 108 161 P A T 44 57 67 99 CASH PROFIT 74 90 95 145 KEY FINANCIAL RATIOS P B I D T % AGE 7% 8% 9% 9% P B T % AGE 3% 5% 6% 6% R O C E % AGE 8% 11% 15% 16% Period Ending Year Ended Mar 31, 2011

Note: Figures of period ending Dec 2011 excludes profit on sale of investment Rs. 35 crores

16

This is a proprietary document of Kirloskar Brothers Ltd.

THANK YOU