WELCORPNSE8 November 2023

Welspun Corp Limited has informed the Exchange about Investor Presentation

Welspun Corp Limited

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WCL/SEC/2023

November 08, 2023

To, BSE Ltd. Department of Listing, P. J. Towers, Dalal Street, Mumbai – 400 001.

National Stock Exchange of India Ltd. Exchange Plaza, Bandra-Kurla Complex, Bandra (E), Mumbai – 400 051.

(Scrip Code: Equity - 532144), (NCD – 960468, 960491 and 973309)

(Symbol: WELCORP, Series EQ)

Dear Sirs/ Madam,

Sub: Buisness Update and Investors’ Presentation

Further to our letter dated November 08, 2023, with respect to Un-audited Financial Results for the quarter and the half year ended September 30, 2023, please find enclosed the Business Update and Investors’ Presentation which is being released to the media.

Kindly take the same on record.

Thanking You.

Yours faithfully, For Welspun Corp Limited

Pradeep Joshi Company Secretary FCS-4959

BUSINESS UPDATE

Strong performance Q2&H1FY24 performance in line with our guidance

Nov 8, 2023, Mumbai: Welspun Corp Ltd. (WCL), a flagship Company of the Welspun Group, announced

its consolidated financial results for the quarter ended September 30, 2023.

Complete Pipe Solutions:

 Sales volume of line pipe businesses in India and the USA for H1FY24 rose 57% YoY

o Order Book for Line Pipes in India and US stands at 611 KMT valued at ~INR 8,000 crore

o Our associate Company, EPIC in Saudi Arabia has a confirmed order book exceeding 2

years. Execution of recent Aramco order of SAR 1.8 billion started

 Steady improvement in DI Pipes sales with H1FY24 sales volume growing by 24x YoY to 73

KMT

 During H1FY24, Stainless Steel Bars sales volume rose by more than 3x YoY to 8,373 MT

while, Pipes & Tubes sales volume grew by 46% YoY to about 2,484 MT

Building Materials:

 Steady improvement in market penetration for both Sintex and TMT Rebars segments. In

Sintex, WST sales volume for H1FY24 rose 16% YoY to 7,103 MT while TMT Rebars sales

volume for H1FY24 stood at 48 KMT

 Sintex announces foray in PVC Pipes segments in Telengana

Financials:

 Consolidated revenue from operations for Q2FY24 and H1FY24 stood at INR 4,059 crore

(+107% YoY) and INR 8,129 crore (+147% YoY) respectively

 EBITDA for Q2FY24 and H1FY24 jumped more than 10x and 6x to INR 501 crore and INR 920

crore respectively

 PAT for Q2FY24 and H1FY24 stood at INR 385 crore and INR 550 crore respectively, against

losses of INR 57 crore and INR 52 crore during the corresponding periods previous year

 Net Debt reduced by INR 520 crore to INR 315 crore in the current quarter and in line with our

guidance

ESG:

 Focus on increasing share of renewable energy continues across various segments

 Aligned with UN Sustainable Development Goals through various social initiatives and

programmes

 Strong focus on Governance with ~55% Independent Directors with illustrious and diverse

backgrounds. Female Gender ratio in the Board stands at 38%

Note: Sales Volume & Order Book excludes our Saudi operations

BUSINESS UPDATE

(A) Complete Pipe Solutions:

(A.1) Line Pipes

Line Pipes - Sales (KMT)

57%

387

36%

202

247

148

Q2 FY23

Q2 FY24

H1FY23

H1FY24

Sales volume for India & USA

Line Pipes Active Bid Book (KMT) 2,552

1,538

1,748

3,114

2,029

Q2FY23

Q3FY23

Q4FY23

Q1FY24

Q2FY24

Global Oil & Gas Scenario:

 While the IEA in its latest World Energy Outlook 2023, estimated global Oil demand to see a steady

growth reaching to 101.5 million barrel/day by 2030, OPEC has a very strong outlook and expects

global Oil demand reaching 112 million barrel/day

 According to the IEA, starting from 2025, a huge surge in LNG project is set to start off with addition of

250 billion cubic meters per year liquefaction capacity by 2030, which is equal to almost half of today’s

global LNG supply. Most of these capacities will come between 2025 and 2027

 Oil prices globally have been hovering between US$70- 90/ barrel. Strong demand and ongoing geo-

political tensions have been supporting prices

 As per the IEA, in the “Stated Policy” scenario, around US$ 190 billion is expected to be invested each

year to develop upstream gas between 2022 and 2030, and a further US$ 40 billion is expected to be

spent each year on LNG infrastructure; while the clean energy is also is going to be in focus, as per

IEA under the “Net Zero Emissions” scenario, the projected spending will be around US$100 billion in

each year on Hydrogen transport infrastructure by 2050.

 According to the IEA, the investment in Oil and Natural Gas is set to reach a level of around US$800

billion and will likely to remain at similar level till 2030

BUSINESS UPDATE

(A.1.1) Key Drivers - India

 According the OPEC, the largest contributions to the Oil demand from Non- OECD countries will come

from India with 6.6 million barrel/ day addition between 2022 to 2045



India’s natural gas demand is also likely to almost quadruple to 4.1 million barrel oil equivalent/ day.

Expanding city gas distribution systems are set to increase gas usage in the residential and commercial

sectors

 Target to increase natural gas pipeline coverage by ~54% to 34,500 km by 2024-25 and to connect all

the states with the trunk natural gas pipeline by 2027



India’s target is to reach to a refining capacity of 9 million barrel/ day by 2030

Outlook:

City Gas Distribution (CGD) network- recently the Government concluded 11th CGD bidding round

increasing the potential to cover 98% population and 88% of geographical area. Around 12,000 km pipeline

is approved/ under construction. Current share of gas in the country’s energy mix is slated to increase from

5.8% to 15% by 2030.

Both Central and State Governments have strong focus on the irrigation projects and water transportation

through line pipes has huge potential.

Export market looks promising especially in Australia, South East Asia, Middle East etc. Welspun Corp

recently got an order of approx. 61,000 MT of bare pipes and bends for offshore production and

transportation of gas in Middle East.

Order book remains strong at 370 KMT.

(A.1.2) Key Drivers – USA

 Natural Gas exports from the USA at 20.4 billion cubic feet/ day for H1CY2023 has been the highest

when compared to same period any year

 LNG exports in H1CY2023 rose by 4% YoY to 11.6 billion cubic feet/ day, which made the USA world’s

top LNG exporting country. During the same time, natural gas pipeline exports to Mexico and Canada

increased by 4% YoY to 8.8 billion cubic feet/ day

 Half of the upcoming LNG capacity of 250 billion cubic metre/ day by 2030, will come in the USA and

Qatar

Outlook:

Outlook remains strong in the USA with rise in natural gas production in the USA.

Completion of five new natural gas pipeline projects has the potential to increase Permian Basin’s

takeaway capacity by a combined 4.18 billion cubic feet/ day.

Strong demand for our HSAW pipes to continue in the US market. Total order book remains strong at

240 KMT. We are also confident on booking new orders to ensure continuity of the business.

BUSINESS UPDATE

(A.1.3) Key Drivers - Saudi Arabia

 As per the Saudi Aramco, it expects to award contracts for 14 pipeline projects between 2023 and 2025

 12,000 km of pipelines is expected to be required for 90 projects that Saudi Aramco plans to award

contracts for

 Saudi Aramco raised its upstream spending by about 24% to US$29 billion and plans further increase

in spending to boost its crude oil capacity to 13 million bpd by 2027

 Water desalination remains a major focus with the country heavily investing in these projects exceeding

US$14.58 billion

Outlook:

With a strong focus on increasing Oil production, transportation of gas, water desalination and other

projects e.g. oil-to-chemical etc., outlook for line pipes remain strong.

The substantial pipeline of large-scale projects in the oil and gas and water sectors in the Kingdom

presents remarkable prospects for our associate company, EPIC’s operations to flourish. As a state-of-

the-art manufacturer, EPIC is firmly placed to expand backlog further, secure additional market share,

and continue pioneering in supporting KSA’s strategic objectives under the Vision 2030 umbrella.

The long-standing and strategic relationships with key business partners, resulting into better

positioning in both the local and regional markets, is considered an integral component of EPIC’s growth

and development.

With the landmark SAR 1.8 billion (Approx ~INR 4,000 crore) contract with Aramco beginning to

materialize, we anticipate a further improvement in financial performance during the upcoming period.

(A.2) DI Pipes

DI Pipes - Sales (KMT): +15X YoY

Q2FY23

Q3FY23

Q4FY23

Q1FY24

Q2FY24

Key Highlights:

 DI Pipes segment ramp up has been in expected lines with Q2 sales volume growing by 15X YoY and

68% on QoQ basis. H1FY24 sales volume recorded at 73 KMT

 We have a strong order backlog of ~ 246 KMT valued at ~ INR 1,960 crore

 With strong business potential, we are exploring various growth options at current and new locations

BUSINESS UPDATE

Outlook:

Government’s strong focus on improving water infrastructure in the country through initiatives such as

“Jal Jeevan Mission” and “Nal se Jal” has already created strong demand for DI Pipes in the country.

Additionally, with progress of “Amrut 2.0” and other such initiatives, DI Pipes demand is expected to

remain strong in the future as well.

On the back of the strong demand outlook and significant demand supply mismatch in smaller diameter

segment we are expanding our DI Pipes capacity by 100 KMTPA in Anjar to take the total DI Pipes

capacity to 500 KMTPA at an estimated investment of ~INR 300 crore. This new capacity is planned to

cater to small diameter range of DN100 to DN300.

Based on the quality and serviceability established with our customers in our existing DI Pipes capacity,

we have established ourselves as a credible DI Pipes manufacturer in the country.

We continue to explore export markets e.g. Middle East and Africa, as we see good opportunities there.

(A.3) Stainless Steel Pipes and Bars- WSSL

Sales Volumes (MT)

SS Bars: +395% YoY

SS Pipes: +20% YoY

5,351

2,783

3,022

1,081

1,009

1,448

1,278

1,079

1,275

1,209

Q2FY23

Q3FY23

Q4FY23

Q1FY24

Q2FY24

Key Highlights:

 WSSL has witnessed clear turnaround during H1FY24. Backed by its integrated manufacturing process

and diverse product offerings, the Company has a unique presence in its addressable market segment

 SS Bars sales volume during H1 rose by more than 3x YoY to about 8,373 MT. Similarly, Pipes & Tubes

sales volume rose by 46% YoY to about 2,484 MT

 WSSL made its foray into the USA and the first shipments have already reached

 WSSL has successfully developed Super Austenitic 904L Bars as well as Pipes, Nickel Alloy 800 Bars

as well as Pipes, Critical Heat Exchanger Tubes Ultra Low Cobalt Stainless Bars for Nuclear Power

application

 The company has successfully commercialized precipitation hardened grades like 17-4pH and duplex

grades both in the form of Bars as well as Tubes

BUSINESS UPDATE

 Product level GHG footprint available for all products of WSSL, approved internally as well as by third

party vendor. This is to help to continue to be a lead supplier to EU markets.

Outlook:

The current Order Book stands at ~ 4,507 MT valued at ~ INR 169 crore.

We expect to secure more and more customer approvals and volume ramp up in upcoming quarters.

The company is already serving various sectors and continues to focus on further market penetration in

niche value added segments and products.

We are confident that the business performance shall further improve on the back of several new

customer approvals, accreditations, development of new products and penetrating new markets.

(B) Building Materials:

(B.1) Sintex: Moving towards right direction

 Existing business has been ramping up steadily with Q2FY24 Water Storage Tanks (WST) sales

volume rising by 16% YoY to 3,565 MT. For H1FY24, WST sales volume grew by 12% YoY to

7,103 MT

 During the quarter, Sintex BAPL has reached an understanding with the state government of

Telangana to set up a manufacturing unit in the state with investment upto Rs 350 crore

 Along with growing its market reach in water tanks segment, Sintex, a national iconic brand, plans

to make its foray into pipes business through this project, which will have a mix of different types of

PVC pipes and fittings

 Sintex has a pan India presence through its widespread distribution network of 900 distributors and

13,000 retailers

 With strong business potential, we are exploring various growth options at current and new

locations

BUSINESS UPDATE

Outlook:

The WST market size in India is expected to grow at a CAGR of 19% between 2022 and 2026 to become

double at a size of INR 9,000- 10,000 crore.

Plastic pipe market share on the other hand is likely to grow at CAGR of 10-12% between 2021 and

2025 to reach INR 60,000 crore which makes it an attractive segment to enter.

Operations in the proposed manufacturing unit is expected to start in next 15- 18 months and will

ramp up gradually. For existing businesses of Sintex, the strategic focus is to:

o Re-energize go-to-market plan for WST aggressively including Retailers, Plumbers,

Customers and Distributors

o Restructure route-to-market for institutional products focusing on B2G and B2B

(B.2) TMT Bars

TMT Bars - Sales (KMT): +39% QoQ

Q3FY23

Q4FY23

Q1FY24

Q2FY24

Success Metrics:

Product Reach (no.s)

252

125

Dealer Network

213

152

Districts

Total in Gujarat

Taluka Actual being Served

Dec-22

Mar-23

Jul-23

Oct-23

Key Highlights:

 Consistent improvement in production and sales of “Welspun Shield” TMT Bars with Q2FY24 sales

volume recorded at 28 KMT, registering a sequential growth of 40%

 Higher TMT sales directly resulted in reduction in sale of intermediary products (billets)

BUSINESS UPDATE

 Market penetration has been progressing well with 98% districts are now covered in Gujarat and 213

dealers are connected. Our marketing approach through innovative digital channel to address B2C

segment, has been paying off

Outlook:

Government’s focus on infrastructural development and huge scope for urbanisation to continue help TMT

rebars demand in India.

We see strong a traction for our brand “Welspun Shield” to improve further in the B2C segment.

Our primary focus remains on the Western states of India.

 We have been disposing off metals/ metals scrap, which is resulting into steady cash flow. We are

keeping our fixed cost at very minimal level

 We are not exploring any capital intensive investment options like ship building

 We are confident of fully monetizing the assets, thus having no stress whatsoever on the balance

sheet

(D) ESG Initiatives

DJSI Rating:

• Ranks in top 7% of the companies in steel sector globally

Long term sustainability goals:

• To achieve carbon neutrality from 10% (2024) to 100% (2040)

• WCL: a) Installation of renewable energy of capacity 970 kW at Anjar, 2 MW at Bhopal and 1MW at

Mandya is proposed

b) Mounting Renewable Power Limited (MRPL), a subsidiary of Welspun New Energy Limited

(WNEL) is setting up a 42 MW Renewable Energy Round-The-Clock (Re-RTC) project to generate

energy from wind and solar for the Company’s Anjar operations, which will make the Company’s Anjar

Unit about ~55% RE by the financial year 2026. It will also result in significant reduction in the per unit

cost of energy. WCL will hold 21.54% in MRPL for an investment not exceeding INR 44.25 crore.

WSSL: c) RE power tied up with third party for WSSL – (3 MW wind and 2.55 Mw Solar). Share of

renewable electricity reached upto 30% of total electricity consumed in the month of September at

WSSL

• To achieve water neutrality by 2040: Current initiatives include internal water recycling and rain water

harvesting at all facilities

BUSINESS UPDATE

• Zero Waste to Landfill: Waste minimization, reuse and recycling through authorized vendors are

practiced for the same

Social: Aligned with UN Sustainable Development Goals through various social initiatives and programmes

Governance: Strong compliance with all the statutory requirements and policy needs. Key highlights:

 No pledging of promoter shares

 Professional management with well- defined structures for all the business verticals

 No cross holdings

 Board comprises of illustrious and diverse backgrounds with 55% Independent

Directors; Female Gender ratio remains 38%; All key committees are led by the

Independent Directors

Company Outlook

Guidance for FY24

 Top line of INR 15,000 crore (growth of ~ 50%)

 EBIDTA of INR 1,500 crore (growth of ~ 90%)

 ROCE of 16% + (from 7% in FY23)

 Only Maintenance Capex

 Strong focus on growth of Sintex, DI Pipes and WSSL



Increase in DJSI ESG rating to 60+

Progress till H1FY24 has line with our in been guidance

BUSINESS UPDATE

Management Comments

“I am pleased to share that our performance has further strengthened in the quarter

gone by despite various challenges in the global macro-economic scenario. The Q2

& H1FY24 performance has raised the bar for the rest of FY24. Strong operational

performance helped in sharp reduction in our debt level, thereby strengthening the

balance sheet further. While, performance of our Pipe Solutions vertical has been

steady backed by strong execution capabilities, performance of our Building Material

segment has been improving gradually. With its iconic brand presence, Sintex has

taken a step ahead to foray into PVC Pipes segment in the State of Telengana.

Along with focus on its existing business, foray into Pipes segment has been a step

in the desired direction to unlock high potential value creation in Sintex. Our DI Pipes

segment also has been ramping up well as per our expectations along with TMT

Rebars. Stainless Steel Bars and Pipes has turned around completely with strong

upside potential. I am happy that we have been walking the talk and committed to

create higher value for our stakeholders” said Mr. B. K. Goenka, Chairman, Welspun

Group. “We have also been much focused on our ESG initiatives across the

organization and sustainability will continue to be our key focus area” he added.

BUSINESS UPDATE

Consolidated Performance Snapshot:

Prior period figures are restated after the acquisition of the Steel business of Welspun Steel Limited and merger

of Welspun Metallics Limited

Sales Volume & Order Book excludes our Saudi operations

Line Pipes- India & USA

Figures in INR crore

Prior period figures have been restated, wherever necessary

Net Debt / (Cash) position

Figures in INR crore

Saudi Financials: Key figures of East Pipes Integrated Company for Industry (EPIC)

Figures in SAR Mn

Prior period figures have been restated, wherever necessary

Sales Volumes Q2FY24 Q1FY24 Q2FY23 H1FY24 H1FY23 Line Pipes (KMT) 202 185 148 387 247 DI Pipes (KMT) 46 27 3 73 3 SS Bars (MT) 5,351 3,022 1,081 8,373 2,638 SS Pipes (MT) 1,209 1,275 1,009 2,484 1,701 WST (MT) 3,565 3,538 3,065 7,103 6330TMT Bars (KMT) 28 20 - 49 - Consolidated Profit & Loss Account Q2FY24 Q1FY24 Q2FY23 H1FY24 H1FY23 Continuing OperationsTotal Revenue from Operations 4,059.5 4,069.3 1,963.8 8,128.7 3,285.6 Other Income 102.0 49.5 177.1 151.5 249.7 Reported EBITDA 501.5 418.3 45.8 919.8 147.4 Depreciation and Amortisation 85.7 85.9 70.0 171.6 131.3 Finance Cost 75.0 92.3 47.5 167.3 78.0 Profit before tax and share of JVs 340.8 240.1 (71.7) 580.9 (61.9)Share of profit/(loss) from Associates and JVs 124.7 (12.0) 13.6 112.8 17.1 Tax expense 79.0 59.7 5.1 138.7 19.3 Non-controlling interest 1.9 3.1 (6.6) 5.0 (11.7)PAT after Minorities, Associates & JVs 384.7 165.4 (56.6) 550.1 (52.5)Basic EPS from Continuing Operations 14.7 6.3 (2.2) 21.0 (2.0)Consolidated debtSep-23Jun-23Mar-23Gross Debt 1,940 2,795 3,316 Cash & Cash Equivalents 1,625 1,960 2,178 Net Debt / (Cash) 315 835 1,138 Particulars in SAR MN Q2FY24 Q1FY24 Q2FY23 H1FY24 H1FY23 Saudi Arabia Ops:Sales / Revenue 230 39 303 269 509 Gross Profit 33 (6) (5) (4) 33 Operating Profit 28 (12) 14 16 26 Net Profit after Zakat and Tax 21 (19) 9 2 15 Total Comprehensive Income 21 (18) 9 3 16 BUSINESS UPDATE

Q2 FY24 Investor & Analyst conference call: On Thursday, November 9, 2023 at 10.00 AM (IST)

 Primary Access: +91 22 6280 1143 / +91 22 7115 8044



International Toll-Free numbers

o Hong Kong: 800 964 448

o Singapore: 800 1012 045

o UK: 0808 101 1573

o USA: 1866 746 2133

About Welspun Corp Ltd. (WCL)

Welspun Corp Ltd (WCL) is the flagship company of Welspun Group, one of India's fastest-growing multinationals with a leadership position in line pipes and home textiles, along with other lines of businesses in infrastructure, warehousing, retail, advanced textiles, and flooring solutions.

WCL is one of the largest manufacturers of large diameter pipes globally and has established a global footprint across six continents and 50 countries by delivering key customized solutions for both onshore and offshore applications. The company also manufactures BIS-certified Steel Billets, TMT (Thermo Mechanically Treated) Rebars, Ductile Iron (DI) Pipes, Stainless Steel Pipes, and Tubes & Bars. The company has state-of-the-art manufacturing facilities in Anjar (Gujarat), Bhopal (Madhya Pradesh), Mandya (Karnataka) and Jhagadia (Gujarat) in India. Overseas, WCL has a manufacturing presence in Little Rock, Arkansas, USA.

WCL’s expansion entails creating a diversified product portfolio and repurposing its business to add new target segments, organically and inorganically. The company recently acquired Sintex-BAPL, a market leader in water tanks and other plastic products, to expand its building materials portfolio. It has also acquired specified assets of ABG Shipyard with a potential to enter Defence and commercial shipbuilding, green steel, ship breaking, and ship repair.

The company’s business growth and diversification strategy is aligned with the Welspun Group’s vision of ‘Har Ghar Se Har Dil Tak Welspun.’ ____________________________________________________________________________________

For further information please visit www.welspuncorp.com ____________________________________________________________________________________

DISCLAIMER: The information in this release has been included in good faith and is for general purposes only. It should not be relied upon for any specific purpose and no representation or warranty is given as regards to its accuracy or completeness. No information in this release shall constitute an invitation to invest in Welspun Corp Ltd. or any of its affiliates. Neither Welspun Corp Ltd., nor their affiliates' officers, employees or agents shall be liable for any loss, damage or expense arising out of any action taken on the basis of this release, including, without limitation, any loss of profit, indirect, incidental or consequential loss.%

Welspun Corp Limited

Investor Presentation

Q2FY24

Date: 8th November, 2023

Disclaimer

its accuracy, fairness or completeness is not guaranteed and has not been independently verified unless

For any financial disclosures, the information contained herein is provided by Welspun Corp Limited (the “Company”), although care has been taken t o ensure that the information in this presentation is accurate, and that the opinions expressed are fair and reasonable, the information is subject t o change without notice, specifically provided and no express or implied warranty is made thereto. You must make your own assessment of the relevance, accuracy and adequacy of the information contained in this presentation and must make such independent investigation as you may consider necessary or appropriate f or such purpose. Neither the Company completeness of, or any errors or omissions in, any information or nor any of its directors assume any responsibility or liability for, the accuracy or its management, and their respective advisers undertakes any opinions contained herein. By preparing this presentation, none of obligation t o provide the recipient with access t o any additional information or t o correct any inaccuracies in any such information which may become apparent. This document is for informational purposes and does not constitute or f orm part of a prospectus, a statement in lieu of a prospectus, an offering circular, offering memorandum, an advertisement, and should not be construed as an offer t o sell or issue or the solicitation of an offer or an offer document t o buy or acquire or sell securities of the Company or any of its subsidiaries or affiliates under the Companies Act, 2013, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, both as amended, or any applicable law in India or as an inducement t o enter into investment activity. No part of this document should be considered as a recommendation that any investor should subscribe t o or purchase securities of the Company or any of its subsidiaries or affiliates and should not f orm the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. This document is not financial, legal, tax, investment or other product advice.

information or t o update this presentation or any additional

Company,

the

W ith respect t o any ESG related disclosures, the information contained in our disclosures, statements or reports are specific t o the Company and not audited or confirmed t o be compliant with any general or standard benchmark. A number of statements in such disclosure or statements may contain forward-looking statements including statements about the Company’s strategic priorities, financial goals and aspirations, organic growth, performance, organizational quality and efficiency, investments, capabilities, resiliency, sustainable growth and Company management, as well as the Company’s overall plans, strategies, goals, objectives, expectations, outlooks, estimates, intentions, targets, opportunities, focus and initiatives.

W ith respect t o all disclosures provided herein, the statements contained herein may be pertaining t o future expectations and other forward-looking statements which involve risks and uncertainties that are subject t o change based on various important factors (some of which are beyond the Company’s control). These statements include descriptions regarding the intent, belief or current expectations of the Company or its officers including with respect t o the consolidated results of operations and financial condition, and future events and plans of the Company. These statements can be recognized by the use of words such as “expects,” “plans,” “will,” “estimates,” “forecast,” “project,” “anticipate,” “likely,” “target,” “expect,” “intend,” “strategy,” “synergies,” “opportunities,” “trends,” “future,” “continue,” “seek,” “believe,” “plan,” “goal,” “could,” “should,” “would,” “may,” “might,” “will,” “potentially,” “outlook” or words of similar meaning. Such forward-looking statements are not guarantees of future performance and actual results, performances or events may differ f rom those in the forward-looking statements as a result of various factors and assumptions. You are cautioned not to place undue reliance on these forward looking statements, which are based on the current view of the management of the Company on future events. No assurance can be given that future events will occur, or that assumptions are correct. The Company does not assume any responsibility t o amend, modify or revise any forward-looking statements, on the basis of any subsequent developments, information or events, or otherwise.

Reproduction, distribution, republication and retransmission of material contained herein is prohibited without the prior consent of the Company

Sales Volumes at a Glance: Q2FY24

Pipe Solutions

Building Materials

LINE PIPES 202 KMT

DI PIPES 46 KMT

(+36% YoY)

(+1398% YoY)

SS PIPES 1,209 MT

(+20% YoY)

SS BARS 5,351 MT

(+395% YoY)

Notes: 1. Line Pipe Sales volumes does not include Saudi Arabia operations 2. *Figures not available for YoY comparison since this is new operation 3. YoY is comparison with Q2FY23, and QoQ is comparison with Q1FY24

Water Storage Tanks 3,565 MT

(+16% YoY)

TMT BARS 28 KMT

(+39% QoQ)*

Consolidated Financial Performance: Q2FY24

PARTICULARS (INR crore)

Total Revenue from Operations

Q 2 FY24

4,059

Other income

Reported EBITDA

Depreciation and Amortisation

Finance Cost

Profit before tax and share of JVs

Share of profit/(loss) from Associates and JVs

Tax expense

Non-controlling interest

PAT after Minorities, Associates & JVs

Note: Prior period figures are restated wherever necessary

102

501

341

125

1.9

385

Q2 FY23

YoY

1,964

177

(72)

(6.6)

(57)

107%

(42%)

994%

22%

58%

820%

1460%

Consolidated Financial Performance: H1FY24

PARTICULARS (INR crore)

Total Revenue from Operations

H 1 FY24

8,129

H1 FY23

3,286

Other income

Reported EBITDA

Depreciation and Amortisation

Finance Cost

Profit before tax and share of JVs

Share of profit/(loss) from Associates and JVs

Tax expense

Non-controlling interest

PAT after Minorities, Associates & JVs

Note: Prior period figures are restated wherever necessary

151

920

172

167

581

113

139

550

250

147

131

(62)

(12)

(52)

YoY

147%

(39%)

544%

31%

114%

558%

617%

Walking the talk

Guidance

Gross debt (INR crore)

YTD Achievement

Gross Debt (INR Crore)

3,316

3,178

3,316

2,021

1,211

2,795

1,940

FY22

FY23

FY24*

Dec-22

Mar-23

Jun-23

Sep-23

Net Debt (INR crore)

Net Debt (INR Crore)

1,138

1,837

231

FY23

FY24*

1,138

835

315

Dec-22

Mar-23

Jun-23

Sep-23

FY22 -173

Note: *FY24 figures are estimated

Walking the talk

Guidance

EPS (INR)

16.8

7.9

YTD Achievement

26.8

EPS (Rs)

21.0

16.8

7.9

FY22

FY23

FY24*

FY22

FY23

H1FY24

ROCE

11.0%

FY22

Note: *FY24 figures are estimated

7.3%

FY23

16.0%

FY24*

ROCE

11.0%

10.1%

7.3%

FY22

FY23

H1FY24

Transforming: Creating Value

Pipe Solutions

Building Materials

Large Diameter Pipe and Coating

DI Pipes

SS Pipes

Current: Water Storage Tanks, Interiors, Liquid Storage Solutions, Electrical Boxes Proposed: Plastics Pipes, Fittings, Adhesives

TMT Rebars

Amongst the Top 3 manufacturers globally

Integrated producer from steel-making to finished products

O&G, API, Water & New Energy

Sewage, Drinking water under Jal Jeevan Mission

Nuclear, Defense & Power

One stop solution in Building material Brand Sintex with Pan India presence

B2C

s s e n i s u B

n o i t i s o p r u O

s u c o F

Outlook: Pipe Solutions Vertical

WCL: Line Pipes

Top

Among Line Pipe Manufacturers globally

2.2 mn MT Pipes Capacity

5 0 +

Approvals from O&G majors; Qualifies for global bidding

16+

million metric ton Pipes delivered since inception with multiple repeat orders

5 manufacturing facilities in 3 countries

Used in Oil & Gas, Water industry & Structurals

Line Pipes: Key Drivers

•

INDIA

USA

City Gas Distribution (CGD) S t r o n g n a t u r a l g a s a n d e x p a n d i n g c i t y g a s d i s t r i b u t i o n s y s t e m s a r e s e t t o a i d L i n e P i p e s d e m a n d

• Natural Gas exports from the USA at 20.4 bcf/ day for H1CY23 has been the highest when compared to same period any year

Strong export o u t l o o k w i t h focus o n Australia, Europe, South East Asia and Middle East. Upcoming hydrogen hubs and carbon capture projects to drive future demand for pipelines for H2 & CO2 applications

Demand in Water Projects – Strong traction continues in JJM (Jal Jeevan Mission), Nal Se Jal, Jal Nigam projects

•

A t least 3 more large gas pipelines planned from Permian t o Gulf coast; 5 new LNG terminals being added for export o f gas

Big focus remains on New Energy including Carbon Capture, Hydrogen and Ammonia pipelines

•

SAUDI ARABIA

Saudi Aramco expects to award contracts for 14 pipeline projects between 2023 and 2025

90 projects that Saudi Aramco plans to award contracts for, will need 12,000 km of pipelines

• Huge capex in distribution o f

Desalinated water; 7 large water infrastructure projects planned; Total demand exceeding 3 MN MT over 3 years

Ductile Iron Pipes

Huge Focus on creating drinking water supply infrastructure in India

Immediate Focus Market is West, Central and N ort h India

DI Pipes - Sales (KMT)

Q2FY23

Q3FY23

Q4FY23

Q1FY24

Q2FY24

Strong order backlog of ~246 KMT valued at ~ INR 1,960 crore

Ductile Iron Pipes: Value added products

Capacity expansion by 100 KMTPA at Anjar to take total capacity to 500 KMTPA

•

Time line: in 12 months

Investment required: ~INR 300 crore

Rationale:

 New capacity is planned for diameter range of DN 100 to DN 300

 Consistent demand improvement expected due to Government’s investment

 Significant demand supply mismatch in small diameter pipes segment

 Excess hot metal capacity to be utilized for this value added new DI Pipes capacity

Stainless Steel Pipes and Bars

•

New grades development & introduction continues

Geography and territory expansion continues

Government’s “Make in India” policy showing impact on ground, global tenders converting into domestic tenders

Sustainability and excellence initiatives progressing well

• Order Book stands at~ 4,507 MT valued at ~INR 169 crore

Sectors & Demand

Visible Turnaround

•

Critical applications in key sectors e.g. Energy, Nuclear, Defense, Petrochemicals etc.

Demand Estimate: ~65 KMT in Domestic Market and ~25 KMT in Exports per Annum

•

SS Bars sales volume during H1 rose by more than 3x YoY to about 8,373 MT. Similarly, Pipes & Tubes sales volume rose by 46% YoY to about 2,484 MT

Product acceptability both in the domestic and export market with all approvals and accreditations

• Moving towards higher value added grades such

as Nickel Alloy, Duplex & Super Duplex

Only facility, which is fully integrated from SS Steel to Pipes

Source: News articles, Market intelligence, Internal estimates

Projections: “Pipe Solutions Vertical”

Line Pipes (KMT)

DI Pipes (KMT)

1003

795

1002

8% CAGR

1250

122% CAGR

450

FY21

FY22

FY23

FY24 (P) FY25 (P) FY26 (P)

FY21

FY22

FY23

FY24 (P) FY25 (P) FY26 (P)

SS Pipes (MT)

SS Bars (MT)

25% CAGR

8,000

112% CAGR

65,000

2,915

1,937

4,059

1,531

6,869

FY21

FY22

FY23

FY24 (P) FY25 (P) FY26 (P)

FY21

FY22

FY23

FY24 (P) FY25 (P) FY26 (P)

Outlook: Building Materials Vertical

Sintex: Key Product Offerings

uPVC Doors & Interiors Brand recall & Weather- resistant

SMC Panel Tanks (upto 1200 KL) Modular, Long Life, Non-Corrosive, Non-Leaching

Water Storage Tanks (WST) Strong brand & Complete Range

Electrical Boxes Shockproof, Long Life

Packaged STP (upto 1000KLD) Packaged, Low Maintenance & Underground

Industrial Containers (IC) Special containers for Pharma, Chemical, Textiles and Food sector

Sintex: Access to Market

Manufacturing Locations

• Kalol Gujarat

• Nalagarh Himachal Pradesh

• Namakkal Tamil Nadu

• Uluberia West Bengal

• Butibori (Nagpur) Maharashtra

• Guwahati Assam

Distribution Network

PAN India distribution network of 900 distributors which is further connected to 13,000 retailers

Note:

Map not to scale; WST- Water Storage Tanks

Q2FY24 WST sales volume at 3,565 MT (+16% YoY)

BAPL

reached

Sintex an understanding with the Telengana set Government a to up for WST and manufacturing unit PVC Pipes Through this, Sintex plans to make its foray into pipes business, which will have a mix of different types of PVC pipes and fittings

Market Outlook

WST Market Size (INR billion)

Plastic Pipe Market Size (INR billion)

UPVC

CPVC

HDPE

PPR

19% CAGR

90-100

10-12% CAGR

45-50

2022

2026

18-10% CAGR

190 13 19

133

2013

600

121

359

CAGR 2013- 2021

CAGR 2021- 2025

11%

17%

6-8%

11-13%

16-18%

8-10%

400

21 60

254

2021

2025

• CAGR of 19% (Water Storage Tanks) and 10-12% (Plastics Pipes) with organized segment to grow much faster

• Government efforts on JJM, PMAY etc. as well as structural economic drivers to boost the spending on

building materials segment

Sintex: The Way Forward

Strategic:

• Enhance product basket to adjacent categories like Pipes, Fittings and Adhesives:

•

Significant synergy between WST existing ecosystem and pipes requirements

Pipes market being significantly larger (5-6x), provides greater opportunity to grow

•

Invest in infrastructure at the strategic locations

• Focus on strengthening soft assets (talent, ATL, R&D, NPD, Quality etc.)

Operational:

• Re-energize go-to-market plan for WST aggressively including Retailers, Plumbers, Customers and Distributors

• Restructure route-to-market for institutional products focusing on B2G and B2B

• Assess the market needs to arrive at the right product-technology mix for Interiors

TMT: Our Differentiated Strategy

Key Growth Drivers

Infrastructure: Massive spending expected in the sector including –

• PM Gati Shakti National Master Plan: an expected outlay of INR 100 lakh Cr

• Pradhan Mantri Awas Yojana-Urban's (PMAY-U) 'Housing for All' mission

• Private Sector Capital Expenditure

• Individual House Builders

Welspun Strategy

• Branding and creating a robust distribution network - B2C segment

• High Quality and excellent serviceability

•

Leverage Welspun’s strong brand presence in the market

Gujarat Demand 3 MMTPA

Our Capacity 0.3 MMTPA

H1FY24 Sales Volume 48 KMT

Source: News articles, Market intelligence, Internal estimates

Focus on ESG

ESG: Environment

Long Term Sustainability Goals

W e l s p u n C o r p r a n k s i n t h e T o p 7 % i n G l o b a l S t e e l I n d u s t r y i n S & P G l o b a l ’ s D J S I C o r p o r a t e S u s t a i n a b i l i t y A s s e s s m e n t

1 ) C a r b o n N e u t r a l i t y – 1 0 % ( 2 0 2 5 ) , 2 0 % ( 2 0 3 0 ) , 1 0 0 % ( 2 0 4 0 )

W C L : a )

I n s t a l l a t i o n o f

r e n e w a b l e e n e r g y o f c a p a c i t y 9 7 0 k W a t A n j a r , 2 M W a t B h o p a l a n d

1 M W a t M a n d y a i s p r o p o s e d

b ) M o u n t i n g R e n e w a b l e P o w e r L i m i t e d ( M R P L ) , a s u b s i d i a r y o f W e l s p u n N e w E n e r g y

L i m i t e d ( W N E L ) i s s e t t i n g u p a 4 2 M W R e n e w a b l e E n e r g y R o u n d - T h e - C l o c k ( R e - R T C ) p r o j e c t t o

g e n e r a t e e n e r g y f r o m w i n d a n d s o l a r f o r t h e C o m p a n y ’ s A n j a r o p e r a t i o n s , w h i c h w i l l m a k e t h e

C o m p a n y ’ s A n j a r U n i t a b o u t ~ 5 5 % R E b y t h e f i n a n c i a l y e a r 2 0 2 6 . I t w i l l a l s o r e s u l t i n s i g n i f i c a n t

r e d u c t i o n i n t h e p e r u n i t c o s t o f e n e r g y . W C L w i l l h o l d 2 1 . 5 4 % i n M R P L f o r a n i n v e s t m e n t n o t

e x c e e d i n g I N R 4 4 . 2 5 c r o r e .

W S S L : c ) R E p o w e r t i e d u p w i t h t h i r d p a r t y f o r W S S L – ( 3 M W w i n d a n d 2 . 5 5 M w S o l a r ) . S h a r e

o f

r e n e w a b l e

e l e c t r i c i t y r e a c h e d u p t o 3 0 % o f

t o t a l e l e c t r i c i t y c o n s u m e d i n t h e m o n t h o f

S e p t e m b e r a t W S S L

2 ) W a t e r N e u t r a l i t y b y 2 0 4 0

3 ) Z e r o w a s t e t o l a n d f i l l

Alignment with UN Sustainable Development Goals

Total no. of beneficiaries for H1- FY23: ~496,000

ESG: Social

Welspun Programs

Education Programs

Empowerment Programs

Health Programs

ESG: Governance

No pledging of promoter shares

No Cross Holdings

Professional management

Independent Board of Directors

• •

•

Female gender ratio of Board members – 38 % Independent directors (~55% of the board) with illustrious and diverse backgrounds Key committees led by independent directors

Ethics Framework

• Whistle-blower Policy Code of Conduct • Fraud Prevention Policy & Fraud Response Plan • Anti-Bribery & Anti-Corruption policy • Supplier code of conduct •

• •

Board Matters / Entity Level Controls ESG Committee at the board level Quarterly review of ESG performance and communication to stakeholders through BRSR and Sustainability report

Thank You!

Welspun Corp Limited CIN: L27100GJ1995PLC025609

For further queries, contact Name : Mr. Goutam Chakraborty

Email : goutam_chakraborty@welspun.com

Name : Mr. Salil Bawa Email : salil_bawa@welspun.com

www.welspuncorp.com

Connect with us:

/TheWelspunGroup

/WelspunGroup

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