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

Kridhan Infra Limited Investor r Update Q1F FY17

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

Company Overview

merging EPC company; established lead dership in foundation engineering Singapore’s 2nd largest Fo undation Engineering company ; Provides timely, quality and high value added d services to the Infrastructure, building and construction industry Prestigious L6 certification with the Building and Construction Authority (BCA) of Singapore, enabling them to ten nder for unlimited project values in foundation engineering 250+ projects in Singapore Expanded business operations to My yanmar, Malaysia and India; Moved up the value chain to complete EPC proj chain to complete EPC proj jects jects 4

Evolved through successful acquisitions. . 2016 2014 2013 • Acquired Swee Hong, • Acquired 35% Singapore listed 20 12 stake in Econ company, a • Acquired PSL Geo Tech Pte. q leading civil 2011 2011 construction Ltd, Singapore , Engineering, company; moving a soil Singapore – • Acquisit tion of 2007 up the vakue investigation specialists in KH Foge es - chain to complete company; Bored & Micro Singapo ore ’ s 7th EPC projects • IPO and backward piling; expansion largest p piling 2006 listing on integration of product p compan p y y BSE stock portfolio • Started exchange • KH Foges has • Entry int to manufacturi emerged as 2nd • Commenced Foundat tion ng unit at Foray in larger • Established in largest piling operations in Enginee ring Khopoli, Mumbai in JV company in value EPC Myanmar business s Mumbai with CSC Singapore projects projects Holdings, Holdings Singapore • Started piling operations in India • Pioneered ready to use steel - T bars & Cut & bend services 5

Experienced leadership team Anil Dhanpatlal Agrawal, Siang Thong Yeo Chief Executive Officer, KH Foges Pte Managing Director • Founding member in 2006 • Over 20 years of experience in the • Over 15 years of experience in steel and construction industry infrastructure industry • Led large construction groups and projects in • Pioneered the concept of ‘ready to use’ steel Singapore in India • Registered Professional Engineer with the • Successfully led the KH Foges post acquisition • S f ll l d th KH F t i iti Professional Engineers Board, P f i l E i B d and scaled operations to gain market share in • Honours Degree in Civil Engineering and Singapore Masters of Science (Civil Engineering) from • MBA from Mumbai University, India NUS Singapore Ang Boon Hai Director, KH Foges Pte • Has more than 20 years of experience in the constructio on industry • Managed more than 200 piling projects in Singapore e 6

Servicing marqee clients Leisure Transport Reside ential Commercial Infrastr ructure Public Works 7

Successful acquisitions drove growth.. Rs Crore EBITDA and Margins Revenue 8.3% 11.4% 10.9% 13.5% 10.3%  FY13 revenues include full year impact of acquisition of KH Foges Singapore in FY12  Acquired PSL Engineering in FY13 which further bolste ered revenues in FY14  Growth in last 2 years impacted by consolidation in th he Singapore construction market 8

… growth to further accelerate with acqu uisition of Swee Hong L Leadership: Leading EPC C d hi L di EPC C Company in Singapore C i Si + Proven expertise: tunneling, sewer wor rks, bridge works, roads works, flyovers + Robust order boo ok: SGD 125 million = Enable Kridhan to cater to end-to-e end EPC projects and tap the larger opportunities in civil infrastructure spa ace which has an exceptional potential 9

orporate structure Kridhan n Infra Ltd (In ndia) Steel Solution & Mechanical Splicing 100% 100% RMS Singapore Pte Ltd Kridhan Infra Solutions (Singapore) Pvt Ltd (India) 90% KH Foges Pte Ltd (Singapore) 100% 100% 35% 50.2% 100% KH Foges Geotechnics KH Foges Geotechnics PSL Engineering PSL Engineering Econ Geotech Econ Geotech KH Fo oges India Swee Hong Ltd Pte Ltd Pte Ltd Pte Ltd Specialised in Bored Specialised in Micro Foundati ion Specialised in Soil Specialised in civil and driven pile piling & Geotechnical Engineer ring Business Investigation construction Engg Services Engg Services in India in India 10

Presence across all segments of foundati ion engineering Driven Piling Soil Investigation Suitable for projects in Assess suitability of soil   relatively less populated for proposed construction locations Mandatory requirement  Mainly for medium sized in Singapore before  buildings commencement of any project Ideal for very dense and  hard ground conditions. Micro Piling & Soil Micro Piling & Soil Bored Piling B d Pili Improvement Used for construction of large buildings; higher than Used for low-rise buildings  10 storeys Mainly carried out for land  Process is deeper drilling Process is deeper drilling which may not be suitable which may not be suitable for construction activit; Soil Ideal for very dense and improvement is carried out hard ground conditions through addition of sand 11

Growth Strategy

Continue leadership in core business; ex pand in civil engineering Maintain Leadership Consolidate leadership in foundation engineering Fo Focus on better and faster execution with on b tt nd f t tion ith 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 and Grow EPC Tap larger EPC opportunities across all the geographies where the company has presence Focus on EPC projects in Singapore as well as India 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 FY17 Rs Cr Q1FY17 Q1FY16 YoY% 10.8% Total revenue 144.3 130.2 Direct expenses 110.3 103.0 6.4% Employee cost 6.7 7.1 -5.6%  The growth in revenue is mainly due to improvement in the Other costs 2.9 3.4 -14.9% business sentiments, resulting in Total expenditure 119.9 113.6 5.0% the company getting new orders 50.7% EBITDA 24.4 16.7 EBIDTA margin (%) 17% 13% 36.0%  Strategy to expand in high growth economies including Interest 2.9 2.8 3.1% India, Myanmar, Indonesia and 13.8% Depreciation 8.8 7.7 other South East Asian Economie -64.9% Other income 1.2 1.4 Profit before tax 13.9 7.5 84.5%  Focus on profitable growth – EBITDA margins up year-on-yea Tax Tax 2.3 2 3 1 1 1.1 102 1% 102.1% in Q1FY17 (400 bps YoY) due to Profit after tax 11.6 6.4 81.4% operational efficiencies PAT margin (%) 8% 5% 63.7% 51.2% Minority interest 1.2 0.8 Consolidated PAT 10.4 5.6 85.7% 16

Revenue break-up Q1FY17 Rs Crores Business Segments Geography 17

Order backlog of Rs. 583 cr (30 th June 20 016) Rs Crores Business Segments Geography 18

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