Thermax Limited has informed the Exchange about Investor Presentation
August 1, 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: Reg 30 of SEBI (LODR) Regulations, 2015 – Investor Presentation
Dear Sir / Madam,
In terms of Regulation 30 of SEBI (LODR) Regulations, 2015, please find enclosed the Investor Presentation for Q1 FY 2023-24.
You are requested to kindly take note of the above.
Thanking you,
Yours faithfully, For THERMAX LIMITED
Janhavi Khele Company Secretary Membership No: A20601 Encl: As above
Thermax Limited: Investor Presentation Q1 FY23-24
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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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Thermax at a Glance
3,767 Employees Globally*
Installations in 90+ Countries
Sales and Service presence in 30+ Countries
$1 Billion revenue
14 Manufacturing Locations (10 in India, 4 abroad)
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Business Highlights – Industrial Products
Facilitating Water Treatment for an Educational Institute
Meeting Cooling Needs of an Automobile Co. in USA
Removing Fugitive Fume Gases for a Steel Co.
Sufficing Green Steam Needs of a Pharma Major
Arial (Body) 14pt
Commissioned SBR based STPs of 275 KLD and 325 KLD along with a WTP of 600 KLD capacity
Recently commissioned a low temperature hot water driven chiller for a major automobile company in Indianapolis, USA
Commissioned a fume extraction system for the blast furnace cast house for a steel maker in India
Commissioned a 10 TPH biomass-fired Conserving Resources, Preserving the Future boiler at a pharma major in India
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Business Highlights – Industrial Infra
Converting Waste Heat to Energy in Oman
Helping a Japanese MNC in East Asia to Recover Heat from Waste
Refurbishing the Boiler of a Leading Carbon Black Manufacturing Co. in Egypt
Commissioned a waste heat recovery boiler producing high pressure steam of 2 x 24 TPH for a calcinated petroleum coke manufacturer
TBWES received an order for two units of 77 TPH waste to energy boiler heat recovery portion
Supplied evaporator modules of 50 tonnes for a different make, tail gas-fired boiler as part of a reliability improvement project at a global carbon black additives manufacturer for their Egypt plant
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Business Highlights – Green Solutions
Setting up the First Hybrid RE Project in Gujarat, India
FEPL Strengthens Customer Relations with Repeat Orders
Enabling a Biopharma Major Transition Towards Net Zero
FEPL commissioned a 45.80 MW wind-solar hybrid (WSH) captive power plant in Gujarat, helping reduce1,11,700 tonnes of carbon equivalent per year
FEPL bags orders from existing customers for its upcoming wind-solar bundled open access project in Tamil Nadu, India
Commissioned a 30 TPH biomass boiler plant under the Build-Own-Operate model for enabling the biopharma major to achieve CO2e reduction of nearly 31,000 tonnes/year
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Business Highlights – Chemical
Enabling Construction with Sustainable Solutions
Admixtures Continue Growth in the West
Waterproofing Segment Shows Growth
Registered 26% year-on-year growth in Q1 FY24 due to increase in real estate and infrastructure orders
Major order wins in the west region of India helped continuous growth in the admixture segment
A major developer trusted Thermax for solutions in waterproofing with orders more than Rs. 5 crore to be supplied over 18 months
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New Product Launches
Maxshield CW: Integral crystalline waterproofing system
• Protects concrete from water penetration under hydrostatic
pressure
• Protects reinforcements from corrosion
• Excellent crack sealing properties (self-healing) and
resistance to shrinkage
• Excellent resistance to sulphates and chlorides in water
• Eliminates the repair costs arising out of a failed membrane
system
• Eliminates installation of a waterproofing membrane itself and
allows free use of the area
•
Low dosages
• Cost effective waterproofing system
Applications:
• Water reservoirs, marine structures, foundations, basements, tunnels and concrete pipes, shotcrete, architectural, pre-cast concrete and many more
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•
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Thermax Positions itself for Energy Transition Play
• Acknowledging its ability to play a significant role in the global shift towards industrial decarbonisation, Thermax has repositioned itself as a ‘trusted partner in energy transition’.
•
The company will continue to bolster its manufacturing capabilities, forge technology partnerships, and make investments in areas like biomass conversion (bio- CNG/gasification), waste to energy, waste heat utilisation, industrial cooling, refrigeration, and a wide range of renewable capabilities including solar, wind, storage battery, and hybrid solutions.
• Recognising the immense potential of hydrogen in
enabling a greener energy landscape, Thermax is also committed to offering forward-looking solutions in this domain.
• With these newer capabilities being added to the portfolio and realising that success is all about Conserving Resources, Preserving the Future collaboration, Thermax aims to establish strong and trusted partnerships with its customers.
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Thermax Q1 FY 2023-24 Results
Order book
Order balance
2,567 cr.
10,505 cr.
Operating revenue 1,933 cr.
PBT*
142 cr.
PAT
60 cr.
Cash and Investments
2,617 cr.
11 %
10 %
17 %
75 %
2 %
7 %
•
Increased revenue has resulted into increased PBT. Last year PBT was lower due to the impact of input
commodity costs in the Industrial Products and Chemical segments.
• PAT is impacted due to exceptional item of provision related to litigation of Rs. 51 crore.
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* - Profit Before Tax and exceptional item
Note - % growth is with respect to Q1 FY 2022-23
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Q1 – Order Book Status
Sugar/Distillery 11%
Food and Beverages 11%
Metals/Steel 18%
Refinery and Petrochemicals 20%
Chemical 10%
Engineering 7%
Power 4%
Cement 3% Fertiliser & Agro 3%
Paper and pulp 1%
Pharmaceutical 1%
Others 11%
• Some good competitive wins across the
company
• Bagged multiple boiler orders from steel and
distillery segment
• Enquiry inflow from food, chemical and distillery remains strong, there are signs of improvement in the cement segment
• Enquiry inflow continues to be positive from the
waste to energy segment
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Consolidated Performance Indicators
Q4, 2023 Performance Indicator
Q1, 2024 Q1, 2023
2,254 Order Booking
9,752 Order Balance
2,311 Revenue
214
Profit Before Tax (PBT) and Exceptional
9.3% PBT before Exceptional %
-
Exceptional Item
214
Profit Before Tax (PBT)
9.3% PBT %
156
Profit After Tax (PAT)
6.8% PAT %
2,567
10,505
1,933
142
7.4%
50.63 91
4.7%
60
2,310
9,554
1,654
81
4.9%
- 81
4.9%
59
3.1%
3.6%
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Note - Values are in Rs. crore
Consolidated Performance Summary by Segment
Segment
Industrial Products
Industrial Infra
Green Solutions
Chemical
Total
Order Booking
Order Balance
Q1, Jun 2023 YOY% Change YTD Jun 2023 YOY% Change
1,198
1,127
84
158
2,567
5 %
14 %
152%
7%
11 %
D
D
3,343
6,382
668
112
10,505
32%
-2%
67%
-13%
10%
• Order balance from the Industrial Infra and Chemical segments are marginally lower due to execution
of orders in Q1.
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Note - Values are in Rs. crore
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Business Performance Summary
For Q1, FY2023-24
For Q1, FY2022-23
Segments
Revenue
PBIT
PBIT %
Revenue
PBIT
PBIT %
Industrial Products
Industrial Infra
Green Solutions
Chemical
Total
836
916
113
161
56
30
10
27
2,026
123
6.7%
3.3%
8.8%
16.5%
6.1%
663
808
58
150
24
50
5
6
1,680
85
3.6%
6.2%
8.9%
3.7%
5.1%
•
Improved performance seen in the Industrial Products and Chemical segments on account of
increased revenue. Last year's margins were impacted by higher commodity costs which are stabilised
now.
•
Industrial Infra margins are lower due to lower margins in projects under execution.
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Note - PBIT - Segment PBIT before exceptional and unallocated overheads Revenue in crore
Business Segment Wise - Annual Trend
Industrial Products
Industrial Infra
1,400 1,200 1,000 800 600 400 200 -
e r o r c . s R n
i
l
e u a V
OB RR PBIT
160 140 120 100 80 60 40 20 -
e r o r c . s R n
i
l
e u a V
OB RR PBIT
Q4 FY 22 935
872 74
Q1
1,137
663 24
FY 23
Q2
969
838 66
Q3
876
856 80
Q4
1,190
981 104
Q1 FY 24 1,198
836 56
Green Solutions
Q4 FY 22 35 69 4
Q1
33 58 5
FY 23
Q2
47 135 2
Q3
70 85 5
Q4
45 85 2
Q1 FY 24 84 113 10
120 100 80 60 40 20 -
T B P
12 10 8 6 4 2 -
T B P
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
200 180 160 140 120 100 80 60 40 20 -
e r o r c . s R n
i
l
e u a V
OB RR PBIT
Q4 FY 22 2,299 986 46
Q4 FY 22 127 132 4
Q1
993 808 50
Q1
147 150 6
80
60
40
20
-
T B P
35 30 25 20 15 10 5 -
T B P
Q2
809 959 40
Q3
Q4
FY 23
1,120 1,001 54
857 1,160 72
Q1 FY 24 1,127 916 30
Chemical
Q2
Q3
Q4
FY 23
161 190 168 190 Conserving Resources, Preserving the Future 32 26
145 164 23
Q1 FY 24 158 161 27
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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 and are expected to remain stable.
Market Sentiments
•
Indian Manufacturing PMI was of 57.8 in June, which was 58.7 in May, showing expansion, and showcasing resilience and strength despite facing higher inflationary pressures.
• While RBI expects India's 2023-24 GDP growth at 6.5%, world bank cuts the projection to 6.3%, down from its previous forecast of 6.6% growth.
Demand
•
India's steel & distillery sector will experience good growth due to a significant increase in government capital expenditures on infrastructure and a focus on ethanol blending.
• Government policies and CAPEX outlays to support green technologies
will spur the clean energy portfolio of Thermax.
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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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For more information about Thermax:
Contact Us
Thermax Limited Thermax House 14, Mumbai - Pune Road, Wakdewadi, Pune - 411 003, India
www.thermaxglobal.com