Ramky Infrastructure Limited Company Presentation December 2010 - - PowerPoint PPT Presentation

Ramky Infrastructure Limited

Company Presentation

December 2010

1



This Presentation and the accompanying slides (the “Presentation”), which has been prepared by Ramky Infrastructure Ltd (“The company”) had been prepare solely for information purposes and don’t constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied

• n in connection with any contract or binding commitment what so ever. No offering of securities of the Company

will be made except by means of a statutory offering document containing detailed information about the company.



This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, expressed or implied, what so ever, and no reliance shall be placed on the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all information that you may consider material. Any liability in respect of the content of, or any omission from this Presentation is expressly excluded.



Certain matters discussed in this Presentation may contain statements regarding the Company’s market

• pportunity and business prospects that are individually or collectively forward looking statements. Such forward

looking statements are not guaranties of future performance and are subject to known and unknown risks, uncertainness and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to , the performance of the Indian economy and of the economies of various international markets, the performance of the infrastructure industry in India and world wide, competition, the Companies ability to successfully implement its strategy, the Companies future levels of growth and expansion, technological implementation , market risks, as well as other risks. The Companies actual results, levels of activity, performance,

• r achievements could differ materially and adversely from results expressed in or implied by this Presentation. The

Company assumes no obligation to update any forward looking information contained in this Presentation. Any forward looking statements and projections made by third parties(If any) included in this Presentation are not adapted by the Company and the Company is not responsible for such third party statements or projections

Disclaimer

30/12/2010 14:52:45 –

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Offering summary

30/12/2010 14:52:45 –

Issuer

 Ramky Infrastructure Limited

Offering Size

 INR 5,300m (fresh issue of INR 3,500m and offer for sale of INR 1,800m)

Issue Price

 450.00

Book Building

 Issue opened on: September 21st ; Issue closed on: September 23rd

Issue Subscription Listing Venue

 Bombay Stock Exchange Ltd. (“BSE”); National Stock Exchange of India Ltd. (“NSE”)

Book Running Lead Managers IPO Grading

 IPO Grade 3/5

Objects of the Fresh Issue

 Investment in capital equipment

INR804.55m

 Working capital requirements

INR1,750.00m

 Repayment of loans

INR250.54m

 General corporate purposes

INR 694.91 m

Type of offering

 Reg S

Category % Oversubscription Overall 2.89 times over subscribed

QIB 60% 4.25 Retail 30% 0.99 Non-institutional 10% 1.44

3

Agenda Strengths and growth strategy Industry overview Corporate profile

4

Corporate profile of Ramky Infrastructure Limited

Ramky snapshot

 Ramky Infrastructure Limited (“Ramky” or the “Company”), is an

integrated construction and infrastructure development and management company with a pan-India presence

 Ramky operates in two principal business segments: –

Construction business which is operated by the Company

–

Developer business which is operated through Subsidiaries and Associates

 Ramky is promoted by a first generation promoter,

Alla Ayodhya Rami Reddy and Y.R. Nagaraja, and managed by a team of experienced professionals

 Addition of Order Book during quarter ended Sept 30, 2010 was

INR 49078m

 Track record of robust growth attained by a diversified portfolio of

projects:

Construction business Developer business Industrial 34 completed projects Power 12 ongoing projects Water & Waste water Industrial parks 109 completed projects 5 projects Irrigation 15 completed projects Roads 5projects Transport terminal Transportation 29 completed projects 1 project Building construction 87 completed projects Integrated townships 3 projects (INRm) FY2006 FY 2010 FY 11(H1) CAGR*

Order book 14,139 74,317 115894 51.4% Revenue 4,125 20,093 10286 48.6% EBITDA 322 2,016 1014 58.2% Net income 185 1,042 516 54.1%

Note: Above mentioned financials are for Ramky standalone * CAGR between 2006-2010

Sum of the parts

Note: Projects completed in the tables above are from April 1, 2002 to September 30, 2009

Proven track record across construction and developer business verticals

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Detailed construction business profile

30/12/2010 14:52:45 –

Water & Waste Water

 Include water treatment plants, water transmission and

distribution systems, elevated reservoirs and ground level service reservoirs, sewage treatment plants, tertiary treatment plants, underground drainage systems and lake restorations

 Value of projects in hand: INR 23,083m

Closing order book (INR m)

Irrigation

 Include canals, cross-drainage works, lift irrigation projects,

dams and barrages

 Value of projects in hand: INR 14,914m

Industrial

 Includes industrial parks, SEZs and related works  Value of projects in hand: INR 5,939m

Buildings

 Includes commercial, residential, public, institutional and

corporate buildings, mass housing projects and related infrastructure and facilities such as hospitals and shopping malls

 Value of projects in hand: INR 19,671m

Transportation

 Includes expressways, highways, bridges, flyovers and

dedicated service corridors

 Value of projects in hand: INR 46,819m

Power

 Includes electricity transmission networks, substation

feeder lines and low tension distribution lines

 On-going power transmission and distribution project in

Madhya Pradesh and Maharashtra

 Value of projects in hand: INR 5,469m

14,139 22,308 36,887 59,238 74,317 115,894 20,000 40,000 60,000 80,000 100,000 120,000 140,000 FY06 FY07 FY08 FY09 FY10 FY 11(H1)

Average order size (INR m)

Revenue visibility is driven by robust order book growth in the construction business

1,216 4,778 5,587 15,644 15,541 18,250

4,000 8,000 12,000 16,000 20,000

FY06 FY07 FY08 FY09 FY10 FY 11(H1)

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Detailed construction business profile (continued)

30/12/2010 14:52:45 –

Closing order book (INR m)

Irrigation

 Perceived by clients as a total irrigation solution

provider, including, lift irrigation, dams, barrages and cross drainage work

 Efficient design and execution team  Mitigate risks in the vertical by only retaining core

activities of design and supervision while subcontracting all other areas

 Focus on geographic expansion outside Andhra

Pradesh into states such as Gujarat, Madhya Pradesh and Karnataka

 Qualified to bid for larger projects  Strategy is to leverage government incentives for

the sector 2,929 4,021 13,586 16,823 24,476 23,083 5,000 10,000 15,000 20,000 25,000 30,000 FY06 FY07 FY08 FY09 FY10 FY 11(H1)

Closing order book (INR m)

Construction business is spearheaded by Water and Waste Water with significant contributions from other segments

Water & Waste Water

 Core competency and area of continued focus going

forward

 Undertake projects on both composite and several

basis with scope including, design, engineering, construction, operation & maintenance solutions to manage projects from generation, T&D, Treatment, eventual storage & disposal

 Highly specialized internal design team equipped

with tacit processes and know how gained through experience

 Qualified to build Treatment Plants of large sizes up

to 300 MLD

 Strategy going forward is to retain leadership by

continuous investment in technology 1,216 4,778 5,587 15,644 15,541 14,914 4,000 8,000 12,000 16,000 20,000 FY06 FY07 FY08 FY09 FY10 FY 11(H1)

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Detailed construction business profile (continued)

30/12/2010 14:52:45 –

Closing order book (INR m)

Buildings

 Focus remains on construction of large institutional

buildings

 Inbuilt processes to attain synergies across various

verticals and rely on a pool of qualified subcontractors for efficient execution

 Core competency remains focusing on efficient

planning

 Strategy is to mechanize processes where

specialized manpower is required, thereby, improving operating margins

Closing order book (INR m)

Additionally, Ramky continues to build on momentum gained in other verticals such as Power

Transportation

 Qualified to execute expressways, highways,

bridges, flyovers and dedicated service corridors

 Maximize efficiency through seamless

synchronization of supply chain, logistics,

• peration and execution functions

 Leverage expertise in developer business  Aim for completion prior to target dates through:

• Control over supply chain (e.g. Quarries)
• Technology to improve supply chain and

reduce pilferages

• In house control over bituminous mix

 Strategy remains to focus on challenging terrains

1,403 3,836 5,992 9,249 15,750 46,819 10,000 20,000 30,000 40,000 50,000 FY06 FY07 FY08 FY09 FY10 FY 11(H1) 4,579 3,837 8,527 10,451 10,244 19,671 5,000 10,000 15,000 20,000 25,000 FY06 FY07 FY08 FY09 FY10 FY 11(H1)

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Developer business profile

Name of subsidiary (Ramky’s interest) Project cost / estimated project cost in INR m Completion date/ Scheduled completion date Description

Ramky Pharma City (India) Limited (51%) 5,205 September 2010



2,143 acres of a integrated industrial park aimed at handling bulk drug manufacturers, pharmaceutical companies and fine chemical manufacturers Ramky MIDC Agro Processing Park Limited (100%) 468 August 2013



SEZ will have a leasable area of 172 acres Ramky Herbal and Medicinal Park (Chhattisgarh) Limited (100%) 964 October 2014



Concession to develop a 250 acre herbal and medicinal industrial park in Dhamtari, Chhattisgarh on a BOT basis Ramky Food Park (Chhattisgarh) Limited (100%) 835 October 2014



Concession to develop a 303 acre food processing industrial park in Rajnandagao, Chhattisgarh on a BOT basis Naya Raipur Gems and Jewellery SEZ Limited (100%) 1,834 October 2014



Concession to develop a 70 acre gems and jewellery SEZ in Raipur, Chhattisgarh on a BOT basis (42.03 acre leasable area) Ramky Elsamex Hyderabad Ring Road Limited (74%) 3,994 Completed



Operate and maintain a 12.63km eight lane expressway – part of Phase-II of the program Gwalior Bypass Project Limited (51%) 3,321 October 2009(1)



Developing a 42km road that will connect the NH-3 & NH-75 highways in Madhya Pradesh MDDA Ramky IS Bus Terminal Limited (100%) 131(Phase 1) 319 (Phase 2) June 2004 (Phase 1) March 2010 (Phase 2)



Operate the bus terminal to be built for one of the first time on a BOT basis in India



Revenue earned from terminal fees, shop rental, advertising, and accommodation charges Ramky Towers Limited (51%) 4,000 March 2011



Developing an integrated residential and commercial project on 17.10 acres in Gachibowli, Hyderabad (1,478,470 sq. ft. saleable area) Ramky Enclave Limited (89.01%) 2,164 September 2011



Developing an integrated housing project on 32.69 acres of land (946,210 saleable area) Ramky Integrated Township Limited (29.19%) 34,244 72 months from satisfaction of conditions precedents.



Developing an integrated township on 574.60 acres in Ranga Reddy District, Andhra Pradesh (estimated 14.0m sq. ft. saleable area) NAM Expressway Limited (50%) 18000 July 2013



Developing the 212.50km Narketpalli-Addank-Medarametla in Andhra Pradesh on build

• perate and transfer (BOT ) basis

Jorbat Shilong Road Project (50%) 8240 June 2014



Design, engineering , construction, operation and maintenance of the 61.85km 4 lane road in Jorbat-Shillong Srinagar Banihal Road (74%) 14173 June 2014



Rehabilitation, strengthening and converting to 4 lanes of the 67.76km section of NH-1A from Srinagar to Banihal in Jammu and Kashmir

(1) Gwalior Bypass Project Limited has vide letter dated September 19, 2009 applied for extension of completion date to September 2010

Recent Projects “Roads driving growth”

Niche area of expertise remains Industrial Parks whilst Roads are expected to drive growth

Integrated Townships “Walk to work” Transport Terminal Roads “Challenging terrain” Industrial Parks “Focus on polluting industries”

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Net Worth details of key developer projects

30/12/2010 14:52:45 –

Project Net Worth (in INR Mn as of 31st March 2010)* Description Ramky Pharma City Ltd 658.6 Remaining land 577 Acres to be sold

• ver next two years. Current on going

rate 1.21 lakhs for SEZ and 90 Lakhs for Non-SEZ. 163 Cr of cost yet to be incurred Ramky Integrated Township Ltd 3102.6 Developing 575 Acres (25 Mn sq ft of land over 6 years of which 15 mn sq ft will be salable. Ramky Towers Ltd 52.7 8.65 Mn sq ft to be sold over next two years @ an on going rate of about Rs. 3500/ Sq ft Ramky Enclave Ltd 226.3 Developing an integrated housing on 32.69 acres of land Ramky Elsamax Hyderabad Ring Road Ltd 1115 O&M of 12.63 Km of eight lane expressway Gwalior Bypass Project Ltd 882.7 Developing 42 Km bypass road that connect NH3 and NH75 MDDA Ramky ISBT 140.5 O&M of the bus terminal

* Includes Share Application Money

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Detailed developer business profile (continued)

Roads Industrial Parks

 Focus remains on industrial parks for polluting industries  Ramky specialises in providing state-of-the-art civil infrastructure

and industry specific waste handling facilities

 Focus remains on roads with technically challenging projects in

difficult terrain

 Revenue certain mode: –

Annuity projects preferred

–

Alternatively, conservative toll assumptions

 Earn bonus for early completion  Ramky Pharma City is an integrated industrial park spread over

2,143 acres in Parwada, Andhra Pradesh

 Initial area: 2,143 acres –

SEZ: 611 acres (413 acres saleable)

–

Non-SEZ: 1,532 acres (1,016 acres saleable)

 Fully developed and operational with 1,068 acres sold  Waste handling facilities include, ETP, CETP, MEE, WTP,

• utfall, incineration and landfill

 Civil infrastructure like training facilities, convention facilities,

labs, administrative facilities, roads, security , banking facilities and catering facilities present on site

 Design, construction, operation and maintenance of 8 lane

expressway under phase IIA of outer ring road project in Hyderabad

 Stretching over a length of 12.63 km between Tukkaguda and

Shamshabad was completed by November 2009, 6 months ahead of scheduled completion

 Revenue model: –

Fixed semi-annuities on a BOT basis

–

Semi- annuities of INR315.0m for a period of 12.5 years

 Execution efficiency demonstrated by: –

Control over aggregates through rights on quarries

–

Control over pilferage and logistics through global fencing technology on vehicles

–

Control over core actively by investing in bitumen mixers and layers

–

Subcontracting non-core activities through productivity

• riented contracts

Case study: Ramky Pharma City Case study: Hyderabad Ring Road Recent transactions

Client Acres Price/Acre Year Srivani Chemicals 2.6 (Non-SEZ) INR9.0m 2009 Syntrix Ltd 3.0 (Non-SEZ) INR9.0m 2010 Hospera 19.0 (SEZ) INR12.8m 2010

Clients

PharmaZell Eisai Biocon SNF Orchid Matrix Aurobindo

Synergistic business model between core construction activities and development business

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Agenda Strengths and growth strategy Corporate profile Industry overview

12

Overview of Indian infrastructure sector

Key highlights

 Despite the slowdown, investment in India has remained relatively stable with the ratio of fixed investment to GDP increasing to 32.2% of GDP in

FY2009 compared to 31.6% in FY2008

 Investments in construction – circa 11.0% of India‟s GDP & circa 50.0% of the gross fixed capital formation  Over the next five years, infrastructure development to account for 78.3% of all construction expenditure in India  Expenditure on industrial construction is expected to grow 2.2x over the next five years (2008 –13) as compared to the previous five year period

(2003-08)

 Private capital to fund approximately 30.0% of the total investment during the Eleventh Plan, as compared to 20.0% during the Tenth Plan

Twelfth plan target infrastructure spending

Source: Mid term appraisal of Eleventh Plan by Planning Commission

Projected growth in Infra & Industrial segments

Source: CRISIL Research

227 514 1,025 10th plan actual (2002 – 07) 11th plan revised (2008 – 12) 12th plan target (2013 – 17)

At 4.5x of Tenth Plan Accounts for 10% of GDP

4.5x 2.3x 5.08% 7.55% 9.95% 10th plan actual (2002 – 07) 11th plan revised (2008 – 12) 12th plan target (2013 – 17)

13

Government playing a crucial role in Ramky’s core sectors

Government incentives to infrastructure sector

 Permitting FDI up to 100% in companies engaged in construction development projects in housing, commercial premises, resorts, educational

institutions, recreational facilities, townships and city and regional level infrastructure, subject to conditions in Press Note No 2 (2005) issued by the Government of India

 The revised estimate for Infrastructure investments under the 11th Plan is US$514 bn. This is a 2.4x increase v/s actual Infrastructure investment

under the Tenth Plan

 Average investment in Infrastructure under the Twelfth Plan would be 9.95% of GDP as against 7.6% in Eleventh Plan and 5.1% in Tenth plan

Source: CRISIL Research

Sector-wise Govt. spending

Source: Mid-term Appraisal of XI plan, by Planning Commission

Telecom INR3,532bn, 17% Railways INR2,008bn, 10% Ports INR406bn, 2% Oil & gas INR1,273bn, 6% Storage INR90bn, 0% Airports INR361bn, 2% Electricity INR6,586bn, 32% Roads INR2,787bn, 14% Irrigation INR2,462bn, 12% Water INR1,117bn, 5% Ramky’s core focus

14

Agenda Strengths and growth strategy Industry overview Corporate profile

15

Key business strengths

30/12/2010 14:52:45 –

Execution efficiency Pan-India presence Benefits of parentage Independent board & experienced management team Strong financial profile Diversified sector focus

16

Execution efficiency

 Two reasons mainly contributed to increase in margins –

Economies of scale

–

Well established processes for execution

1

Note: Ramky standalone financials

Execution keeping pace with order book (INR m) Operational efficiency maintained with increase in scale of operations

 1,742 full-time employees of

which 41% are engineers (as

• f 31 March 2010)

 Execute effective planning

and tie-ups with institutes

 Hire only supervisory level

and above

 Subcontract low end activity  Maintain a lean asset size  Procure only core and scarce

equipment

 Prefer hiring non-core

equipment machinery

 Index pegged contracts  Create pre-bid tie ups for key

commodities

 Built long term vendor

relationships for effective procurement

 Continued access to debt  Limited dilution of stock and

improved access to capital markets

 Capital to support future

growth

Superior in-house design capabilities remains a key distinguisher in executing complex projects

Man power Machinery Materials Money

5,000 10,000 15,000 20,000 25,000 0.00% 2.50% 5.00% 7.50% 10.00% 12.50% 15.00% 17.50% 20.00% FY06 FY07 FY08 FY09 FY10 FY 11(H1) EBITDA margin Revenue 14139 22308 36887 59238 74317 7110 10292 14303 18612 9259 10000 20000 30000 40000 50000 60000 70000 80000 FY 07 FY 08 FY 09 FY 10 FY 11(H1)

Opening Order book Execution

17

Diversified sector focus

Note: Order book as of 30 September 2010

2

% FY2010 revenue (FY 11-H1) Construction revenue: % order book Value of order book: INR 115,894m

No sector has more than one third share of order book and/or FY2010 revenue

Water & waste water 19.9% Irrigation 12.9% Buildings 17% Transportation 40.4% Power 4.7% Industrial 5.1% Irrigation 8.2% Water & waste water 33.2% Buildings 21.9% Transportation 19.6% Industrial 4% Power 6.1%

18

Pan-India presence 3

Ramky‟s pan-India presence increases diversification and positions us uniquely amongst competitors

% FY2011(H1) revenue Construction revenue % order book (30st Sept – 2010) Value of order book : INR 11,589m

Andhra Pradesh 32.7% Eastern states 12.6% Western states 11.7% Other Southern states 7.8% Northern states 30.5% Central states 4.7%

A.P, 32% East, 11% West, 19% North, 13% South, 14% Central, 12%

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Benefits of parentage 4

 Ramky is the flagship company of Ramky Group  Ramky Group is a multidisciplinary organization focused in the areas of Civil, Environmental & Waste Management infrastructure with specific

emphasis on 'Public Private Partnership' projects

 Operational since 1994 with over 15 years of experience across the infrastructure sector  Ramky Group has a presence in more than 55 locations in India in addition to branch offices at Saudi Arabia, UAE and Singapore  Operates through 4 Group Companies namely: Ramky Infrastructure Limited, Ramky Enviro Engineers Ltd, Ramky Estates and Farms Ltd and

Ramky Finance & Investment Pvt. Ltd.

 Each Group Company has an independent and professional management team in place

 Access to critical

equipment & supplies

 Synergies among

various business verticals

 Access to

expertise of senior management

 History of

established execution track record

 Access to technical

expertise and knowledge

Benefits accruing to Ramky

Ramky remains the flagship company of Ramky Group which is evolving into a leading Infrastructure conglomerate in India

20

Independent board & experienced management team

5

 23 years of experience in the field of environmental services, civil works, biomedical waste and

hazardous waste management

 Worked for various water, waste water and engineering projects, notably with Gannon Dunkerly & Co.,

Reliance Industries Limited

 Bachelor‟s degree in civil engineering from Karnataka University and a master‟s degree in civil

engineering from Osmania University

 Accredited with best “Engineer of Year Award” in 2005 by Govt. of Andhra Pradesh & Institute of

Engineers (India) Alla Ayodhya Rami Reddy Chairman, Ramky Group

• Y. R. Nagaraja

Managing Director, Ramky

Ramky Board of Directors

• Y. R. Nagaraja

Managing Director Rajiv Maliwal Non-Executive Director

SAPE Nominee

• Dr. A. Hingorani

Non-Executive Director

Tara India Fund Nominee

P V Narasimham Independent Director Murahari Reddy Independent Director PG Sastry Independent Director K S Vikamsey Independent Director V H Kumar Independent Director

Ramky Management Team

 24 Years of experience in allied fields  Positions held with the Public Works Department of the State of Karnataka, Mandanlal Steels Limited

and Navega Engineers Private Limited

 Bachelor‟s degree in civil engineering from Karnataka University

• A. F. Battiwala

23 yrs. of experience Sanjiv Iyer 25 yrs. Of experience

• P. Mahendra Kumar

30 yrs. of experience

• K. V. S. S. Narayanrao

17 yrs. of experience Phani Bhushan 8 yrs. of experience Head – Contractor Business Head – Finance Head – Commercial Head – HR & Admin Head – Secretarial

A well balanced board with a professional management team across all business segments ensures transparency and efficiency in decision making

21

Strong financial profile 6

Networth (INRm) & ROE Income (INR m) and EBITDA margin Leverage ratios Working Capital ratios (INR m)

Note: All financials are for Ramky standalone

414 2,030 2,541 3,220 4,263 4,778 44.7% 19.0% 20.1% 21.1% 24.4% 21.6% FY 06 FY 07 FY 08 FY 09 FY 10 FY 11(H1) Networth ROE (%)

Note: ROE calculated as net income/networth

0.3x 0.8x 2.1x 2.2x 1.7x 2.5x 0.2x 0.3x 0.8x 1.0x 0.8x 1.1x FY 06 FY 07 FY 08 FY 09 FY 10 FY 11(H1) Net debt/EBITDA Net debt/Equity

Aggressive growth has been achieved whilst improving margins and maintaining a conservative balance sheet

44 120 148 129 127 145 11.6% 32.5% 40.4% 35.6% 35.0% 39.7% FY 06 FY 07 FY 08 FY 09 FY 10 FY 11(H1) Net working capital days Net working capital (% of sales)

3,797 7,111 10,292 14,304 18,613 9,259 7.8% 10.8% 9.7% 10.0% 10.8% 11.0%

4.5% 5.4% 4.8% 4.6% 5.2% FY 06 FY 07 FY 08 FY 09 FY 10 FY 11(H1)

Income EBITDA margin (%) PAT margin (%)

22

Growth strategy

Developer business Construction business

Continue to build on the expertise gained in polluting industries parks Leverage on Water and Waste Water construction business once government opens sector Power and other highly complex verticals (synergistic) „Public Private Partnerships‟ will be the focus model Undertake projects with visibility on returns Leverage our execution capabilities and move into larger and more complex projects Continue to focus on Water and Waste Water projects and through leadership in technology and design Closely track and benefit from sectors with Government priority such as transportation and power Improve productivity through economies of sale Compete through optimum pricing and efficient execution

Ramky has benefitted from a “first-movers” advantage in several verticals and continuing to innovate remains the Company‟s core strategic focus going forward

23

Key investment highlights

30/12/2010 14:52:47 –

Infrastructure sector

Large addressable opportunity

 Construction expenditure is expected to double to INR12,189bn during 2008-09 to 2012-13

period versus INR6,217bn during the 2003-04 to 2007-08 period

 Between FY2010 and FY2014, government spending on roads alone is targeted at

INR5,216bn with increased focus on timely completion Business model

Scalable with proven execution capabilities

 Ramky‟s strategically positioned to realize opportunities in the sector with presence in both

construction and development businesses

 Completed 104 Water and Waste Water projects, 82 Building Construction projects, 15

Irrigation projects, 28 Transportation projects and 32 Industrial projects Diversification

Sectoral & geographical presence

 Evolved from a consultant to a EPC player and finally a infrastructure developer

• Ramky continues to build on core competencies

 Reduces the risk of dependence on any one sector or project and helps in participating in

projects across the country Visibility of earnings

Revenue driven by strong order book

 Order book of INR 115,894m as of Sept 310 2010 provides high revenue visibility  Proven execution capabilities with planning and execution expertise, ensuring order

completion within the estimated budget and on time.

 For the period ended March 31, 2010 the company had a order to sales ratio of 3.7x

Parental leverage

Experienced management and marquee investors

 Synergistic model leveraging on core construction activities and expertise gained in other

Ramky Group companies to culminate in a efficient development business

 Highly experienced professional management team with proven capabilities  Delivered returns to marquee investors including IL&FS (Tara Fund III), International Finance

Corporation & SAPE

24

Key financials – P&L

30/12/2010 14:52:47 –

Standalone financials Consolidated financials

INRm FY 07 FY 08 FY 09 FY 10 FY 11(Q2) FY 11 (H1) Revenue ** 7111 10292 14304 18613 5062 9259 Growth rate 87.29% 44.75% 38.98% 30.12% 57.76% 39.9%* EBITDA 775 1023 1475 2016 526 1014 EBITDA margin 10.90% 9.94% 10.31% 10.83% 10.39% 10.95% PBT 542 687 849 1300 325 650 PBT margin 7.62% 6.67% 5.94% 6.98% 6.42% 7.02% PAT 386 510 680 1042 255 516 PAT margin 5.43% 4.96% 4.75% 5.60% 5.04% 5.57% INRm FY 07 FY 08 FY 09 FY10 FY 11(Q2) FY 11 (H1) Revenue ** 7384 11164 15560 21631 5666 10171 Growth rate

• 48.57%

39.30% 32.40% 56.64%* 35.03%* EBITDA 799 1235 2106 3103 994 1720 EBITDA margin 10.82% 11.06% 13.53% 14.35% 17.54% 16.91% PBT 559 868 1301 1902 637 1044 PBT margin 7.57% 7.78% 8.36% 8.79% 11.24% 10.26% PAT 387 522 833 1288 404 682 PAT margin 5.24% 4.68% 5.35% 5.95% 7.13% 6.71%

• Note: All financials are for Ramky restated
• - YOY growth for the first six months of the financial year
• ** : Revenue figures are excluding WIP

Stellar performance continues…

25

Key Financials- Balance Sheet

Standalone Consolidated

INRm FY 07 FY 08 FY 09 FY 10 FY 11(H1) FY 07 FY 08 FY 09 FY 10 FY 11(H1) Net worth 2030 2541 3220 4263 4778 2032 2553 4261 5549 6229 Minority Interest

• 94

665 867 1480 1654 EPS 7.96 10.49 13.75 21.09 10.44* 8.17 10.58 16.86 26.07 13.79* Long terms Debt 1236 2644 3899 4739 5798 1623 3190 7043 10110 11513 D/E 0.61 1.04 1.21 1.11 1.21 0.80 1.25 1.65 1.82 1.85 Fixed Assets 716 688 1365 1386 2075 F.A / Revenue 10% 7% 10% 7% 11% Investments 201 606 792 1078 1161 1 1 977** 976** 976** Net Working Capital *** 2348 3891 4962 6538 7340 2346 3950 4250 6645 7510 W.C days 121 138 127 128 145 116 129 100 112 135 Sundry debtors 2398 4479 5648 5744 5620 2143 3780 4423 5020 5102 Debtors Days 123 159 144 113 111 106 124 104 85 92 Cash 630 495 619 1384 772 1122 700 815 1678 1083 Net Debt 606 2149 3280 3355 5027 508 2531 6256 8441 10430 Net Debt/Equity 0.3 0.85 1.02 0.79 1.05 0.25 0.99 1.47 1.52 1.67

• * Represents only Half yearly earnings
• ** Revalued based on PE investment
• *** Net of Share Application Money

Capital management key to high EPF

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Post-issue Share holding pattern

30/12/2010 14:52:48 –

Anchor investors

Share Holding pattern As of 8th Oct 2010 Category # of shares % Promoter group(A) 38,238,967 66.85% Institutions(B) Mutual Funds/UTI 1,750,611 Financial Institutions/Banks 606,066 FIIs 4,082,830 Venture Capital Funds 291,420 Insurance companies 1,102,955 Sub total(B) 7,833,882 13.70% Non-Institution (C ) 11,124,942 19.45% Total public holding(B+C) 18,958,824 33.15% Total Shares(A+B+C) 57,197,791 100.00%

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Thank you!