Thermax Limited has informed the Exchange about Investor Presentation
May 17, 2023
To The Secretary BSE Limited PJ Towers, Dalal Street Mumbai: 400 001 Company Scrip Code: 500411
National Stock Exchange of India Limited Exchange Plaza, C-1, Block G, Bandra Kurla Complex, Bandra (E) Mumbai – 400 051 Company Scrip Code: THERMAX EQ
Sub: Regulation 30 of the SEBI (Listing Obligations & Disclosure Requirements)
Regulations, 2015- Investor Presentation
Dear Sir/Madam,
In terms of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and other applicable provisions, if any, please find enclosed copy of Investor Presentation for Q4 FY 2022-23.
We request you to take this information on Record.
Thanking you,
Yours faithfully, For THERMAX LIMITED,
Janhavi Khele
Company Secretary Membership No: A20601
Encl: As above
Thermax Limited: Investor Presentation Q4 FY22-23
Conserving Resources, Preserving the Future.
To be a globally respected high performance organisation offering sustainable solutions in energy and the environment
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Disclaimer
This presentation includes forward-looking information and statements, including those concerning the outlook for our businesses. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, encompassing global economic conditions, and the economic conditions of the regions and industries that are major markets for Thermax. These expectations, estimates and projections are generally identifiable by statements containing words such as “expects”, “believes”, “estimates”, “targets”, “plans”, “outlook” or similar expressions.
There are numerous risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from the forward-looking information and statements made in this presentation and which could affect our ability to achieve any or all of our stated targets. The important factors that could cause such differences include, among others:
• • • • •
Business risks associated with the volatile global economic environment and political conditions
Costs associated with compliance activities
Market acceptance of new products and services
Changes in governmental regulations and currency exchange rates, and
Such other factors as may be discussed from time to time in Thermax Ltd.'s filings with the Securities and
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Exchange Board of India (SEBI), including its Annual Report
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Confidential and Internal Purpose only
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Thermax at a Glance
3,704 Employees Globally*
Installations in 90+ Countries
$1 Billion revenue
Sales and Service presence in 30+ Countries
14 Manufacturing Locations (10 in India, 4 abroad)
Conserving Resources, Preserving the Future * - Employees excluding workmen
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Confidential and Internal Purpose only
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Operating Segment
• Thermax has revised its reporting segments under Ind AS 108, considering the way the CODM (Chief Operating Decision Maker) reviews the performance of the businesses and key decisions are taken. The Company will be disclosing them in four segments - Industrial Products, Industrial Infra, Green Solutions and Chemical.
• The details of businesses covered under each of these segments is given below. The earlier disclosure under
Energy, Environment and Chemicals is hence being discontinued.
Segment
Businesses Covered
Industrial Products
Boilers & Heating equipment (small capacity), Absorption Chillers / Heat Pumps, Air Pollution Control Equipment/Systems, Water & Waste Recycle. Including Associated Services and Engineering, Procurement and Construction (EPC).
Industrial Infra
EPC of Power Plants, Boiler & Heater (high capacity) Plants, Infra Projects, Flue Gas Desulphurisation Projects (Includes Associated Services)
Green Solutions
Build, Own and Operate (BOO) model of Green Solutions for Energy and Environment Utilities
Chemical
Ion Exchange Resins, Performance Chemicals, Construction Chemicals, Water Treatment Chemicals, Oil Field Chemicals, Paper Chemicals and Construction Chemicals and Related Services
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Confidential and Internal Purpose only
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Business Highlights – Industrial Products
Meeting Heat & Steam Needs of a Plywood Co.
Meeting Process Needs of a Chemical Complex
Helping an Indian Steel Major Manage Emissions
Treating Water for World's Largest Vaccine Maker
Arial (Body) 14pt
Commissioned an energy plant package of 32.5 MW capacity which includes thermic fluid heater and steam generator for India’s largest plywood manufacturer located in Gujarat.
Recently commissioned a double effect steam fired chiller for a reputed chemical complex in Bangladesh.
Commissioned an electrostatic precipitator (ESP) to manage emissions <10 mg/Nm3 .
Commissioned a 1 MLD fully automatic Conserving Resources, Preserving the Future WTP for treating raw water to IS 10500 and US Pharmacopoeia.
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Confidential and Internal Purpose only
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Business Highlights – Industrial Infra
Improving Efficiency of a Public Sector Steel Plant
Setting Up First Heat Recovery Waste to Energy Boiler in the UK
First Waste to Energy Order Burning Rice Straw
Synchronised 2 x 40 MW captive waste heat recovery power plant on an EPC basis.
Successful mechanical completion of 3 X 26.05 TPH heat recovery waste to energy boiler for a 18 MWe Energy from Waste (EfW) plant.
Won an order for supply of a 46 TPH high pressure-temperature FlexiSource™ boiler combusting 100% rice straw along with other biofuels.
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Confidential and Internal Purpose only
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Business Highlights – Green Solutions
Aiding Tamil Nadu Industries with Green Power
Green Power for Pharma and Chemical Companies in Maharashtra
TOESL Helps Processing Veneer Waste to Energy
FEPL commissioned a 16 MWp solar power project under open access in Tamil Nadu.
FEPL commissioned a 11.5 MWp solar power project under open access in Maharashtra.
TOESL finalised a long term tie-up with veneer processing industries in Karnataka, for supply of veneer waste of cumulative capacity of more than 4,000 tonnes/month.
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Confidential and Internal Purpose only
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Business Highlights – Chemical
Healthy Order Pipeline for Construction Chemicals
Cooling Water Treatment Growth in Domestic Market
Good Traction for Resins Seen Across Markets
A remarkable 21% year-on-year growth due to increased activity in construction space.
Demand seen for cooling water treatment products in domestic markets.
Increased focus on industrial resin sales in domestic markets, and specialty resins in Europe and MENA.
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Confidential and Internal Purpose only
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Thermax Q4 FY 2022-23 Results
Order book
Order balance
2,254 cr.
9,752 cr.
Operating revenue 2,311 cr.
PBT*
214 cr.
PAT
156 cr.
Cash and Investments
2,741 cr.
34 %
11 %
16 %
63 %
51 %
13 %
• Last year order book included two major orders from Industrial Infra segment - one for a sulphur recovery
block system worth Rs. 1,176 crore in Q4, and flue gas desulphurisation (FGD) systems worth Rs. 546 crore.
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Confidential and Internal Purpose only
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* - Profit Before Tax and exceptional item
Note - % growth is with respect to Q4 FY 2021-22
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Q4 – Order Book Status
Others 13%
Refinery and Petrochemicals 16%
Paper and Pulp 3%
Pharmaceutical 4%
Engineering 5%
Chemical 8%
Sugar/Distillery 9%
• Enquiry pipeline from metal, sugar/distillery, food & beverages sectors continues to be strong
• Bagged EPC orders from petrochemical major
• Received an order from a public sector company
to renovate and modernise ESP
• Received multiple orders to set up bio-CNG
plants
Food and Beverages 13%
Power 11%
Metals/Steel 9%
Transportation 9%
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Confidential and Internal Purpose only
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Consolidated Performance Indicators
Q3, 2023 Performance Indicator
Q4, 2023 Q4, 2022
2,204 Order Booking
9,859 Order Balance
2,049 Revenue
165
Profit Before Tax (PBT) and Exceptional
8.0% PBT before Exceptional %
-
Exceptional Item
165
Profit Before Tax (PBT)
8.0% PBT %
126
Profit After Tax (PAT)
6.2% PAT %
2,254
9,752
2,311
214
9.3%
-
214
9.3%
156
6.8%
3,396
8,812
1,992
132
6.6%
-
132
6.6%
103
5.1%
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Confidential and Internal Purpose only
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Note - Values are in Rs. crore
Consolidated Performance Summary by Segment
Segment
Q4, Mar 2023 YOY% Change YTD Mar 2023 YOY% Change
Order Booking
Order Balance
Industrial Products
1,190
Industrial Infra
Green Solutions
Chemical
Total
858
45
161
2,254
27 %
-63 %
28%
27 %
-34 %
2,842
6,308
493
109
9,752
42%
-1%
66%
-15%
11%
• Last year’s Q4 Industrial Infra segment had two major orders - one for a sulphur recovery block system
worth Rs. 1,176 crore in Q4, and flue gas desulphurisation (FGD) systems worth Rs. 546 crore.
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Note - Values are in Rs. crore
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Confidential and Internal Purpose only
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Business Performance Summary
For Q4, FY2022-23
For Q4, FY2021-22
YTD Mar FY2022-23
YTD Mar FY2021-22
Segments
Revenue PBIT PBIT % Revenue PBIT PBIT % Revenue PBIT
PBIT %
Revenue
PBIT
PBIT %
Industrial Products
981
104 10.6%
872
74
8.4%
3,338
274
8.2%
2,576
182
7.0%
Industrial Infra
1,160
72
6.2%
986
46
4.7%
3,928
217
5.5%
2,988
131
4.4%
Green Solutions
85
2
2.1%
69
Chemical
168
32
19.2%
132
4
4
5.8%
2.8%
363
673
15
86
4.1%
12.8%
217
539
16
62
7.4%
11.6%
Total
2,394
210 8.8%
2,059 128
6.2%
8,301
592
7.1%
6,319
391
6.2%
• Better performance due to increase in revenue and commodity cost stabilised post Q2, FY2022-23
• Green solutions margin are lower due to initial expenses of Solar business - First Energy Pvt. Ltd. (FEPL)
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PBIT - Segment PBIT before exceptional and unallocated overheads Revenue in crore
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Confidential and Internal Purpose only
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Business Segment Wise - Annual Trend
Industrial Products
Industrial Infra
4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 -
e r o r c
. s R n
i
l
e u a V
OB RR PBIT
400 350 300 250 200 150 100 50 -
OB RR PBIT
e r o r c
. s R n
i
l
e u a V
FY22 2,891 2,576 182
FY22 127 217 16
Green Solutions
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Confidential and Internal Purpose only
300
250
200
150
100
50
-
T B P
e r o r c
. s R n
i
l
e u a V
7,000
6,000
5,000
4,000
3,000
2,000
1,000
-
OB RR PBIT
800 700 600 500 400 300 200 100 -
OB RR PBIT
e r o r c
. s R n
i
l
e u a V
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16
15
14
13
12
11
10
T B P
FY22 5,822 2,988 131
FY22 569 539 62
FY23 4,172 3,338 274
FY23 195 363 15
250
200
150
100
50
-
T B P
FY23 3,779 3,928 217
Chemical
100 90 80 70 60 50 40 30 20 10 -
FY23 643 Conserving Resources, Preserving the Future 673 86
T B P
OB: Order Booking RR: Revenue Recognition PBIT: Segment PBIT before exceptional and unallocated overheads
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Industry Outlook
Input Cost
• Steel, chemical and other commodity prices
were stable.
Market Sentiments
• The S&P Global India Manufacturing PMI increased to a four-month high of 57.2 in April 2023 from 56.4 in the previous month as both output and new orders grew.
• The RBI has marginally raised its GDP growth projection
for FY24 to 6.5% from earlier estimate of 6.4%.
Demand
•
India's steel sector will experience good growth due to significant increases in government capital expenditures on infrastructure and transportation.
• Government policies and CAPEX outlays to support green technologies
will spur the clean energy portfolio of Thermax.
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Confidential and Internal Purpose only
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Sources: MOSPI, S&P Global, RBI
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Environmental consciousness has been at the core of our products and services offerings. Our focus will continue to strengthen our green portfolio as we chart the decarbonisation path.
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Conserving Resources, Preserving the Future.
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For more information about Thermax:
Contact Us
Thermax Limited Thermax House 14, Mumbai - Pune Road, Wakdewadi, Pune - 411 003, India
www.thermaxglobal.com