Kridhan Infra Limited Investor r Update Q1F FY17 Disclaimer - - PowerPoint PPT Presentation

Kridhan Infra Limited Investor Q1F r Update FY17

Disclaimer

This presentation contains forward-looking statements whic “expects,” “will,” “anticipates,” “believes,” “intends,” “pr statements that address expectations or projections about t strategy for growth, product development, market positio statements. Forward-looking statements are based on certain assumption to in this presentation cannot guarantee that these assumpt t l lt f hi t ld th diff actual results, performance or achievements, could thus differ statements. These companies assume no responsibility to publicly amen These companies assume no responsibility to publicly amen basis of any subsequent developments, information or events, ch may be identified by their use of words like “plans,” rojects,” “estimates” or other words of similar meaning. All the future, including, but not limited to, statements about the n, expenditures, and financial results, are forward-looking ns and expectations of future events. The companies referred ions and expectations are accurate or will be realized. The t i ll f th j t d i h f d l ki r materially from those projected in any such forward-looking d modify or revise any forward looking statements on the d, modify or revise any forward looking statements, on the , or otherwise.

Company Overview

merging EPC company; established lead

Singapore’s 2nd largest Fo

quality and high value added industry

Prestigious L6 certification

Singapore, enabling them to ten

250+ projects in Singapore

Expanded business operations to My chain to complete EPC proj chain to complete EPC proj

dership in foundation engineering

undation Engineering company; Provides timely,

d services to the Infrastructure, building and construction with the Building and Construction Authority (BCA) of nder for unlimited project values in foundation engineering

yanmar, Malaysia and India; Moved up the value jects jects

4

Evolved through successful acquisitions.

2011 20 2006 2007 2011

• IPO and

listing on

• Acquisit

KH Foge Singapo largest p compan

• Established in

Mumbai in JV with CSC Holdings

• Started

manufacturi ng unit at Khopoli, Mumbai BSE stock exchange p

• Entry int

Foundat Enginee business Holdings, Singapore

• Pioneered ready

to use steel - T bars & Cut & bend services

.

2014 2016 12 2013

• Acquired 35%

stake in Econ Geo Tech Pte.

• Acquired PSL
• Acquired Swee

Hong, Singapore listed

company, a leading civil tion of es -

• re’s 7th

piling y

Ltd, Singapore,

a soil investigation company; backward integration

q Engineering, Singapore –

specialists in Bored & Micro piling; expansion

• f product

construction company; moving up the vakue chain to complete EPC projects y to tion ring s

• KH Foges has

emerged as 2nd largest piling company in Singapore p portfolio

• Commenced
• perations in

Myanmar

Foray in larger value EPC projects

• Started piling
• perations in India

projects

5

Experienced leadership team

Anil Dhanpatlal Agrawal,

Managing Director

• Founding member in 2006
• Over 15 years of experience in steel and

infrastructure industry

• Pioneered the concept of ‘ready to use’ steel

in India

• S

f ll l d th KH F t i iti

• Successfully led the KH Foges post acquisition

and scaled operations to gain market share in Singapore

• MBA from Mumbai University, India

Ang Boon

Director, KH

• Has more

constructio

• Managed

Singapore

Siang Thong Yeo

Chief Executive Officer, KH Foges Pte

• Over

20 years

• f

experience in the construction industry

• Led large construction groups and projects in

Singapore

• Registered

Professional Engineer with the P f i l E i B d Professional Engineers Board,

• Honours Degree in Civil Engineering and

Masters of Science (Civil Engineering) from NUS Singapore

Hai

Foges Pte than 20 years of experience in the

• n industry

more than 200 piling projects in e

6

Servicing marqee clients

Transport Reside Commercial Infrastr Leisure ential ructure Public Works

7

Successful acquisitions drove growth..

Revenue

• FY13 revenues include full year impact of acquisition
• Acquired PSL Engineering in FY13 which further bolste
• Growth in last 2 years impacted by consolidation in th

Rs Crore

EBITDA and Margins

11.4% 10.9% 10.3% 8.3% 13.5%

• f KH Foges Singapore in FY12

ered revenues in FY14

8

he Singapore construction market

… growth to further accelerate with acqu

L d hi L di EPC C Leadership: Leading EPC C Proven expertise: tunneling, sewer wor Robust order boo Enable Kridhan to cater to end-to-e

• pportunities in civil infrastructure spa

uisition of Swee Hong

C i Si Company in Singapore

+

rks, bridge works, roads works, flyovers

+

• k: SGD 125 million

=

end EPC projects and tap the larger ace which has an exceptional potential

9

• rporate structure

Kridhan (In

RMS Singapore Pte Ltd (Singapore)

100%

KH Foges Pte Ltd (Singapore)

90%

KH Foges Geotechnics PSL Engineering

100% 100% 100%

KH Foges Geotechnics Pte Ltd PSL Engineering Pte Ltd KH Fo Foundati Engineer in India Specialised in Micro piling & Geotechnical Engg Services Specialised in Bored and driven pile in India Engg Services

n Infra Ltd ndia)

Steel Solution & Kridhan Infra Solutions Pvt Ltd (India)

100%

Mechanical Splicing Econ Geotech

35% 50.2%

• ges India

Econ Geotech Pte Ltd ion ring Business Specialised in Soil Investigation Swee Hong Ltd Specialised in civil construction

10

Presence across all segments of foundati

• Suitable

for projects in relatively less populated locations

Driven Piling

• Mainly for medium sized

buildings

• Ideal for very dense and

hard ground conditions.

B d Pili

Used for construction

• f

large buildings; higher than 10 storeys Process is deeper drilling

Bored Piling

Process is deeper drilling Ideal for very dense and hard ground conditions

ion engineering

• Assess suitability of soil

for proposed construction

• Mandatory

requirement

Soil Investigation

in Singapore before commencement

• f

any project

Micro Piling & Soil

• Used for low-rise buildings
• Mainly carried out for land

which may not be suitable

Micro Piling & Soil Improvement

which may not be suitable for construction activit; Soil improvement is carried out through addition of sand

11

Growth Strategy

Continue leadership in core business; ex

Consolidate leadership in foundation engineering Fo

• n b tt nd f

t tion ith

Maintain Leadership

Focus on better and faster execution with high quality

Expand Geographies

Expand to other South East Asian countries Grow India operation at faster pace Be a leading player in foundation engineering and construction in India Tap larger EPC opportunities across all the geographies where the company has

Tap and Grow EPC

presence Focus on EPC projects in Singapore as well as India

pand in civil engineering

13

Capitalize on civil engineering opportunity in Singapore…

• As per The Building and

Construction Authority (BCA) the constr ction demand in the construction demand in 2016 is estimated to be $27 - $34 billion

• ~40% would be from the civil
• ~40% would be from the civil

engineering and infrastructure demand

• 65% of the total are expected

65% of the total are expected to come from the public sector

• Civil engineering construction

demand is likely to remain demand is likely to remain strong beyond 2016

14

Q1FY17 Financial Highlights

Consolidated profitability highlights Q1F

Rs Cr Q1FY17 Total revenue 144.3 Direct expenses 110.3 Employee cost 6.7 Other costs 2.9 Total expenditure 119.9 EBITDA 24.4 EBIDTA margin (%) 17% Interest 2.9 Depreciation 8.8 Other income 1.2 Profit before tax 13.9 Tax 2 3 Tax 2.3 Profit after tax 11.6 PAT margin (%) 8% Minority interest 1.2 Consolidated PAT 10.4

FY17

Q1FY16 YoY% 130.2 10.8% 103.0 6.4%

 The growth in revenue is mainly due to improvement in the business sentiments, resulting in the company getting new orders

7.1

• 5.6%

3.4

• 14.9%

113.6 5.0%

 Strategy to expand in high growth economies including India, Myanmar, Indonesia and

16.7 50.7% 13% 36.0% 2.8 3.1%

• ther South East Asian Economie

 Focus on profitable growth – EBITDA margins up year-on-yea

7.7 13.8% 1.4

• 64.9%

7.5 84.5% 1 1 102 1%

in Q1FY17 (400 bps YoY) due to

• perational efficiencies

1.1 102.1% 6.4 81.4% 5% 63.7% 0.8 51.2%

16

5.6 85.7%

Revenue break-up Q1FY17

Business Segments Geography

Rs Crores 17

Order backlog of Rs. 583 cr (30th June 20

Business Segments

016)

Geography

Rs Crores 18

THANK YOU

FOR FURTHER INFORMATION PLEASE CONTACT: Jagjit Padgaonkar - Head Finance &Investor Relations Email: jagjit.padgaonkar@kridhan.com