Professional Documents
Culture Documents
Corporate Presentation
4 May 2023
Power T & D Railways Civil Cables Solar Smart Infra Oil & Gas
Pipelines
Disclaimer
This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections
about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures, and
financial results, are forward looking statements. Forward looking statements are based on certain assumptions and expectations of future events
and involves known and unknown risks, uncertainties and other factors. The Company cannot guarantee that these assumptions and expectations
are accurate or exhaustive or will be realised. The actual results, performance or achievements, could thus differ materially from those projected in
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The information contained in these materials has not been independently verified. None of the Company, its Directors, Promoter or affiliates, nor
any of its or their respective employees, advisers or representatives or any other person accepts any responsibility or liability whatsoever, whether
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RPG Group
Page 04-05
KEC International
Business Overview
Page14-37
Page 06-09
Leadership Team
Page 10-12
Business Overview
Contents
Page 13-22
3
RPG Group
4
RPG Group: Powered by Passion, Driven by Ethics
Founded by Shri RP Goenka in 1979 One of India’s fastest growing conglomerates
5
KEC International
6
KEC Overview
9500+
7+
DECADES
OF EXPERIENCE
& EXPERTISE EMPLOYEES
DIVERSE
35+ NATIONALITIES
FOOTPRINT IN
110+ $2.1
COUNTRIES BILLION
GLOBAL EPC MAJOR
ONGOING
PROJECTS IN
8 MANUFACTURING
30+
COUNTRIES
UNITS
5 in India,
3 Overseas
7
KEC Overview
• Global infrastructure EPC major
• FY22 Sales: Rs. 17,282 crore (USD 2.1 billion)
• Eight manufacturing facilities across India, Dubai, Brazil and Mexico
Central Asia
9
Leadership Team
10
Board of Directors
H. V. Goenka
Chairman, Non Executive Director
Vimal Kejriwal
Managing Director & CEO
Rajeev Agarwal Neeraj Nanda Anand Kulkarni Kaushal Kodesia Manjit Singh Sethi
Chief Financial Officer President – South Executive Director – Executive Director – Executive Director –
Asia (T&D, Solar & Business Operations Railways Cables
Smart Infra)
Nagesh Veeturi Sanjeev Agarwal Rakesh Gaur Mayank Agrawal Milind Apte Sumant Srivastava
Executive Director – Executive Director – Chief Executive Chief Executive - Oil & Chief Human Chief Executive – KEC
Civil International Officer – SAE Towers Gas Pipelines Resources Officer Towers LLC and
(T&D, Solar) Senior Vice President -
MENA 12
Business Overview
13
Transmission & Distribution (T&D)
Villupuram-Thanjavur Railway Bhopal-Itarsi Third Line project, Ballastless track laying works,
Electrification project, for RVNL Madhya Pradesh Kochi Metro project
17
Civil
• Focus on construction of factories, warehouses, residential buildings, commercial
complexes, data centres, airports, metros, water pipelines and water treatment plants
• Providing services in an area dominated by small unorganised players and few large
companies
• Established as a preferred agency in the construction of factories, especially Cement,
Automobile and Auto-ancillaries
• In the league of top 10 contractors executing the slip form technology in Silo Construction
• Currently executing 60+ projects
• Leveraging advanced digital technologies such as drones, photogrammetry, BIM, and IoT in
construction and utilising latest formwork technology and mechanisation tools
• Seven decades of experience executing various civil works across the business
150 MWp Ground Mount Solar 20 MW Solar Carport project, 30 MW Tracker Based Installation,
Project, Rajasthan Haryana Andhra Pradesh
19
Smart Infra
23
Performance Snapshot – Q4 FY23
Revenues
• Robust Consolidated growth YoY; 29% in Q4 and 26% in FY23
• Healthy growth in both T&D as well as Non T&D businesses
Order Book
• FY23 order intake growth of 30% – Highest ever order inflows of Rs. 22,378 Cr - Led by T&D,
Civil and Railways
• Order Book + L1 Pipeline of over Rs. 34,000 Cr – Diversified equally in T&D and Non T&D
businesses
Margins
• Consolidated EBITDA margins at 5.1% in Q4 and 4.8% in FY23
• EBITDA margins of the last two quarters have improved sequentially from 4.4% to 5.1%
Leverage
• Net Debt incl. Acceptances stands at Rs. 4,985 Cr – Largely in line with last year despite a
sequential Revenue increase of over Rs. 3,500 Cr, Growth of 26% - Targeting further
reduction in FY24 24
Key Business Highlights – FY23
• Demonstrated very good • Green hydrogen production • Delivered highest ever Revenues, Order
performance post acquisition of capacity of ~5 MMTPA and Intake and Profitability
KEC Spur Infrastructure last year associated renewable energy • Achieved Revenues of Rs. 1,615 Cr.
• Revenues of Rs. 483 Cr. in FY23, capacity of ~125 GW by 2030
• As a part of backward integration,
Growth of more than 2 times • Commenced execution of our commissioned the PVC compounding
• Strong order book + L1 of ~Rs. largest solar project of 500 MW in plant at Vadodara which will help
1,000 Cr. Karnataka improve profitability
25
Financial Overview
26
Order Intake & Order Book (Consolidated)
2% 1%2%3% 1%
5% 3%
13%
13%
33%
30%
T&D Civil Railways Cables
T&D Civil Railways Cables Solar Oil & Gas Solar Oil & Gas Smart Infra
Domestic : 72% International : 28% Domestic : 69% International : 31%
Tax 14 6 -15 67
Tax Rate % 15.9% 4.9% -9.3% 16.9%
PAT 72 112 -36% 176 332 -47%
PAT Margins 1.3% 2.6% 1.0% 2.4%
(*) Exceptional item is amount written off against a legacy arbitration case in South Africa last year in Q2 FY22 28
Businesswise Revenue Performance
(₹ crore)
Q4 Full Year
Business Verticals Growth Growth
FY23 FY22 FY23 FY22
(Y-o-Y) (Y-o-Y)
T&D: 2,772 1,947 42% 8,809 6,956 27%
- T&D (KEC) 2,379 1,694 40% 7,485 6,072 23%
- SAE Towers 393 253 55% 1,324 884 50%
12000 11744 • Market Cap (31 Mar 2023): Rs. 11,744 crore
10562 • Financial Year – April to March
10000 9742 • Listed on Indian Stock Exchanges
• Bloomberg Code – KECI IN
7706
8000 • Reuters Code – KECL.BO
4000 9%
52%
2000
39%
0
FY19 FY20 FY21 FY22 FY23 Public Institutional Investors Promoter
30
Environmental, Social and
Governance (ESG)
31
Green Portfolio (1/2)
Our portfolio of businesses promote environment sustainability by efficient usage of natural resources
Unleash Enabling environment for people to Human Capital Diversity & Inclusion
unleash their entrepreneurial spirit and Management
Talent realise their full potential
Occupational Health Quality and Service
& Safety Delivery
Touch To understand, care and make a Local Community
meaningful difference to customers, Customer Centricity
Lives Development
employees, society & all stakeholders
Financial Digitalization and
Performance Innovation
Sustained & clear outperformance
relative to all our competitors & industry Water-Positive
Outperform Circularity
on financial and non-financial metrics Approach
that matter
Sustainable
Decarbonization
Procurement
To have fun by creating high-energy
environment with a keen sense of Corporate Governance
belonging and smiling faces everywhere
34
KEC’s ESG Journey So Far
✓ Developed ESG & ✓ Several ESG initiatives ✓ Widened the scope of CSR
Sustainability strategy in deployed especially in committee to cover ESG &
consultation with EY factories Sustainability and renamed as
‘Sustainability and CSR committee’
▪ Materiality assessment ✓ Governance structure
established for timely ✓ Issued the Sustainability & ESG
▪ Interaction with various reviews by the Steering Policy
stakeholders – Investors, committee (fortnightly) and ✓ Board level review of the
Employees, Vendors, etc. ExCom & COE (monthly) performance on sustainability
▪ Shortlisted 9 focus areas for goals, targets & strategy
✓ Engagement initiated with
deployment across rating agencies - ✓ Extending the ESG initiatives to
businesses Improvement in ESG rating project sites, in addition to factories
by S&P Global DJSI ✓ Improvement in ESG rating by S&P
▪ Developed long-term vision
and goals with targets as Global DJSI and Morningstar
✓ Ranked in the Top 50 most
part of our sustainability Sustainalytics
sustainable companies in
roadmap till FY26 India by Business World ✓ On path to publish Integrated
Annual Report FY23 with BRSR
✓ Published Integrated Annual ✓ Enhanced communication reporting and enhanced
Report FY21 with the goals and with internal and external disclosures
targets stakeholders
35
ESG & Sustainability Goals and Status
www.kecrpg.com