Announcement under Regulation 30 (LODR)-Investor Presentation

In continuation to our letter dated September 12, 2022, and pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we enclose herewith the presentation to be made by the Company during the RPG Annual Investor Conference 2022.

12 days ago

INVESTOR PRESENTATION

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Sentiments detected

Positive 40
  • Synergistic Diversification/ Acquisitions in New Business and Segments Sustained focus on North Star Goal of Ahead of Time Delivery – Customer Delight Embedding sustainable practices towards Environment, Safety & Governance

  • Concerted efforts on Deleveraging and Capital Efficiency

  • Acquired KEC Spur Infrastructure Pvt. Ltd., an EPC mainland Dubai in FY20; Ramped up its production company for accelerated growth of the business capacity from 36,000 MTs to 50,000 MTs this year

  • Healthy order book of Rs.

  • Annual domestic market opportunity of ~Rs.

  • Leveraged Dubai facility to significantly enhance business in MENA •

  • ✓ Several initiatives deployed ✓ Improvement in ESG rating by S&P Global DJSI FY 2020

  • Sustainability journey ✓ Strengthened existing ESG practices ESG Focus Areas

  • FY17 FY18 FY19 FY20 FY21 FY22 FY17 FY18 FY19 FY20 FY21 FY22 FY17 FY18 FY19 FY20 FY21 FY22 #PAT of FY22 excludes impact of exceptional item *3 Year CAGR Pre-COVID ❑ Delivering Sustainable Growth across Revenue, PAT (Excluding COVID impact) and Order Book ❑ Steady performance in FY22 and Q1

  • 17,200 Cr - Growth of ~45%; YTD FY23 Order Intake of ~Rs.

  • Debt to Equity improved from 1.2 times to 0.7 times Interest as % to Revenue reduced by ~25% in 5 years

  • Debt level is slightly elevated currently owing to a few one-off reasons – Confident of normalizing in H2 FY23

  • 7x Revenue 10x Capability 40+ Projects 23x Order Book Growth Built Ongoing Growth

  • Shri Narendra Modi - Capable of executing large, complex and technologically intensive urban infra projects ▪ Currently executing 9 large civil projects in Urban infra (7 Metro and 2 Depot projects) - Built significant capabilities in people, assets, processes and technology

  • • Foray in Water EPC segment, one of the most promising sector with significant investments •

  • Breakthrough in the growing public spaces segment with orders in Airports, High Courts & Govt.

  • o Revenue CAGR of 60% in last 6 years (Rs. 210 Cr in FY16 to Rs.

  • Achieved Revenues of over Rs. 700 Cr in Q1 FY23, Growth of 19% •

  • Diversified and Healthy Order book + L1 of over Rs. 7,000 Cr to drive growth •

  • Witnessing a gradual pick up in the tendering activities and are confident of securing a larger share of orders in the coming months

  • o Railway siding 2017 2019 2020 2021 2022 ₹ 446 Cr ₹ 1,918 Cr ₹ 2,551 Cr ₹ 3,409 Cr ₹ 3,860 Cr - Successfully transformed into a technology player from a conventional EPC player - Expanded portfolio in Conventional Railways - Concerted efforts on International

  • – Confident of breakthrough in FY23

  • • Global EPC footprint in 70 countries − Successfully entered/re-entered over 20 countries in the last five years, including two new countries in FY22 •

  • Strengthened presence in India with large orders from PGCIL, private players and state utilities including Green Energy Corridor projects o

  • Secured a prestigious order to build India’s first 765kV Digital GIS Substation from PGCIL in Q1 FY23 •

  • Significant order wins in international markets such as Saudi Arabia, UAE, Bangladesh and Americas 400 kV Transmission Line at Padma River, Bangladesh

  • Cables manufacturing plant at Mysuru, Karnataka Underground Cabling project, Saudi Arabia • Achieved highest ever Revenues and Profitability in FY22; Momentum continues in Q1 FY23 •

  • Strengthening Backward Integration - Commissioned additional capacity for Railway contact & catenary conductors and signaling cables •

  • Sustained focus on New Product Development – 15 New Products in last two years •

  • Reinforced presence in Cabling solutions segment

  • TAILWINDS HEADWINDS - Softening of commodity prices such as Steel, Aluminium - Increase in Working Capital and Copper - Capex resurgence - Rising interest rates especially in SAE Brazil

  • o Government’s thrust on Infrastructure continues - Elevated logistics costs o Return of Private capex - Geopolitical instability - Enhanced GCC capex backed by high oil prices - Uptick in tendering activities of Domestic T&D and Railways - Gradual revival in outlook of SAE Towers ✓

  • Commenced execution of projects which had been secured based on current/ higher commodity & logistics costs ✓ Robust Order Book and L1 Position of over Rs. 30,000

  • Focus on Make-in-India & PLI - Revival in Domestic T&D market with significant opportunities in Green Energy Corridor Phase II and - Uptick in private capex Leh Ladakh HVDC lines - Significant opportunities in overseas markets

  • ambitious target to increase Gas in energy mix segments of Metros (Power Supply, Ballastless tracks, from current 6% to 15% by 2030 Third rail, Signaling, etc.)

  • - Significant pipeline projects planned for North-East India - Increasing capex in conventional •

  • International opportunities with increase in crude prices - International opportunities especially in SAARC & Africa

  • Developed a well-diversified portfolio to de-risk and accelerate growth (₹ crore)

  • Profitable Strengthening Transform KEC Employee Growth through Balance Sheet from a Happiness – Sustainable focused through ‘traditional’ to a Being an Value Creation Business & Sustained Cash digital/ tech- Employer of for all Geographical Flow enabled Choice Stakeholders Diversification Generation company

  • Consistent Strong replicate competitive & digital technologies for practices across ESG advantage to win in the building infrastructure of market Governance pillars future

Negative 1
  • FY23 amidst a challenging environment ▪ Revenue growth of 5% in FY22 and 31% in Q1 FY23 ▪ Profitability impacted due to SAE Brazil EPC and Increase in Commodity prices/ Freight costs ▪ Highest ever Order Intake in FY22 of over Rs.

Mentioned Phrases & Organizations

Important keywords detected (20+)

order (17)
presentation (12)
infra (12)
kec (10)
information (9)
railways (9)
gas (9)
projects (9)
statements (8)
growth (8)
business (8)
urban (8)
book (8)
international (7)
new (7)
oil (7)
pipelines (7)
epc (7)
civil (7)
orders (7)

Organizations identified (10+)

KEC International Limited (2)
Govt (2)
PGCIL (2)
RPG Annual (1)
EPC (1)
Establishing International (1)
BIM KEC Technology (1)
✓ Improvement (1)
Business World (1)
✓ Embarked (1)

Features are experimental.