Thermax Limited has informed the Exchange about Investor Presentation
November 3, 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 Q2 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 Q2 FY23-24
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
3,767 Employees Globally*
Installations in 90+ Countries
Sales and Service presence in 30+ Countries
$1 Billion revenue
14 Manufacturing Locations (10 in India, 4 abroad)
Conserving Resources, Preserving the Future * - Employees excluding workmen
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Confidential and Internal Purpose only
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Business Highlights – Industrial Products
Generating Green Steam for a Beverage MNC
Meeting Cooling Needs of a Industrial Gas Major
Controlling Emissions for a Beverage Co. in Thailand
Treating Water for a Leading Tyre Major
Arial (Body) 14pt
Commissioned 12 TPH biomass fired boiler at a beverage MNC in India
Commissioned a hot water fired chiller to cater to the needs of 5° C chilled water to be used in manufacturing of industrial oxygen to improve process efficiency
Commissioned an electrostatic precipitator (ESP) to control emissions from a 30 TPH biomass fired AFBC boiler
Commissioned a completely automated water treatment plant of 1.5 MLD for boiler- Conserving Resources, Preserving the Future feed, marking the third order from the customer
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Confidential and Internal Purpose only
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Business Highlights – Industrial Infra
Powering a Textile Major in India
Recovering Waste Heat for an Indian Cement Major
Converting Waste Heat to Power for a Ferrous Co.
Transforming Municipal Waste into Energy in the Western Part of India
Synchronised a state-of-the-art 16.3 MW captive cogeneration plant, based on coal and rice husk, for a textile major in central India
Commissioned dual-pressure waste heat recovery boilers with natural circulation design at various locations for an Indian cement major, enabling effective heat recovery from flue gases
Synchronised 20 MW coke oven waste heat recovery based power plant for a ferrous industry major in Karnataka, South India
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TBWES received the first MSW-RDF fired waste-to-energy boiler order of 38.9 TPH steam capacity with HZI Steinmüller licensed technology for a single unit to be installed in the western part of India
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Confidential and Internal Purpose only
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Business Highlights – Green Solutions
Paving the Way for Green Steam
Decarbonising Thermax Chemical Operations
Green Power for Chemical Co. in Maharashtra
Expanding the Green Power Portfolio for Tamil Nadu Industries
Arial (Body) 14pt
Inaugurated two briquetting facilities in Maharashtra to process nearly 600 TPM of agro-waste, contributing to our green steam portfolio
TOESL commissioned an 8 TPH green steam supply plant in Gujarat, aiding an estimated reduction of nearly 7,000 tonnes of CO2e per year
FEPL executed contracts with a chemical company in Maharashtra for the development of 15.5 MWp solar power project under open access
FEPL commissioned 56.85 MWp solar power of solar-wind bundled project (90 Conserving Resources, Preserving the Future MWp solar + 39 MW wind) in TN under open access. The contract is executed for 75 MWp solar and 21.4 MW wind capacity
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Confidential and Internal Purpose only
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Business Highlights – Chemical
Healthy Order Pipeline for Construction Chemicals
Uptick in Water Treatment Chemicals Profitability
Good Traction for Resins Across Markets
Witnessed 18% year-on-year growth in Q2 due to growth in the real estate and infrastructure segment
Profitability in the water treatment chemical segment improved due to reduced raw material cost
Large industrial water treatment plants and specialty applications in Europe are driving business growth. However, geopolitical impact is being seen in a few segments with subdued demand
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Confidential and Internal Purpose only
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Thermax Q2 FY 2023-24 Results
Order book
Order balance
1,973 cr.
10,264 cr.
Operating revenue 2,302 cr.
PBT*
217 cr.
PAT
159 cr.
Cash and Investments
2,705 cr.
2 %
8 %
11 %
53 %
46 %
7 %
• Higher revenue and enhanced operational performance across all segments are the contributing factors
to the improved Profit Before Tax (PBT).
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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 Q2 FY 2022-23
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Q2 – Order Book Status
Sugar/Distillary 8%
Food & Beverages 10%
Power 16%
Metals/Steel 18%
Cement 8%
Engineering 7%
Fertiliser & Agro 5%
Refinery and Petrochemicals 4%
Chemical 4%
Pharmaceutical 3%
• Continue to build on stable base orders.
• Enquiry inflow from steel, chemical, distillery and
F&B remains strong.
• Enquiry inflow continues to be positive from the
waste to energy and biofuel segments.
• Some good competitive wins across the company.
Others 17%
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Confidential and Internal Purpose only
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Consolidated Performance Indicators
Q1, 2024 Performance Indicator
Q2, 2024 Q2, 2023
2,567 Order Booking 10,505 Order Balance
1,933
Revenue
Profit Before Tax (PBT) and Exceptional
142 7.4% PBT before Exceptional % 50.63 Exceptional Item
Profit Before Tax (PBT)
91 4.7% PBT %
Profit After Tax (PAT)
60 3.1% PAT %
1,973
10,264
2,302
217
9.4%
- 217
9.4%
159
6.9%
2,015
9,485
2,075
142
6.9%
- 142
6.9%
109
5.3%
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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
Q2, Sep 2023 YOY% Change YTD Sep 2023 YOY% Change
Order Booking
Order Balance
Industrial Products
1,080
Industrial Infra
Green Solutions
Chemical
Total
655
58
179
1,973
12 %
-19 %
25%
-6%
-2 %
3,499
5,939
713
113
10,264
27%
-6%
120%
57%
8%
• The Industrial Infra order balance has slightly decreased due to project executions, and this year's
orders do not include any big order which existed in the previous year.
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Confidential and Internal Purpose only
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Note - Values are in Rs. crore
Business Performance Summary
For Q2, FY2023-24
For Q2, FY2022-23
YTD SEP FY2023-24
YTD SEP FY2022-23
Segments Revenue PBIT PBIT % Revenue PBIT PBIT % Revenue PBIT
PBIT % Revenue
PBIT
PBIT %
Industrial Products Industrial Infra Green Solutions
Chemical
989
99
10.0%
838
1,085
57
5.3%
959
66
41
7.8%
1,825
155
8.5%
1,501
4.3%
2,001
88
4.4%
1,767
125
8
6.4%
135
3
2.0%
188
35
18.4%
190
25
13.4%
238
349
18
61
7.6%
17.5%
193
341
90
91
8
31
6.0%
5.2%
4.1%
9.1%
Total
2,387
199
8.3%
2,122
135
6.4%
4,413
321
7.3%
3,802
220
5.8%
•
•
Industrial Products saw enhanced performance due to increased revenue and improved margins from stabilised commodity costs.
Industrial Infra margins have increased due to high revenue.
• Green solutions performance is improved due to improved operational performance
•
In the Chemical segment, better margins were achieved through the stabilisation of both commodity and freight costs,
which were previously impacting negatively.
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Note - PBIT - Segment PBIT before exceptional and unallocated overheads Revenue in crore
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Business Segment Wise - Quarterly Trend
Industrial Products
Industrial Infra
1,400 1,200 1,000 800 600 400 200 -
’
s 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 -
’
s 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
Q1
Q2
FY 24
1,190 981 104
1,198 836 56
1,080 989 99
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
FY 24
Q1
84 113 10
Q2
58 125 8
120 100 80 60 40 20 -
I
T B P
12 10 8 6 4 2 -
I
T B P
2,500 2,000 1,500 1,000 500 -
’
s e r o r c
. s R n
i
l
e u a V
OB RR PBIT
’
s e r o r c
. s R n
i
l
e u a V
200 180 160 140 120 100 80 60 40 20 -
OB RR PBIT
80
60
40
20
-
I
T B P
40 35 30 25 20 15 10 5 -
I
T B P
Q4 FY 22 2,299 986 46
Q1
993 808 50
FY 23
Q2
809 959 40
Q3
Q4
Q1
Q2
1,120 1,001 54
857 1,160 72
FY 24
1,127 916 30
655 1,085 57
Chemical
Q4 FY 22 127 132 4
Q1
147 150 6
Q2
190 190 26
Q3
Q4
Q1
Q2
FY 23
FY 24
145 164 23
161 168 32
158 161 27
179 188 35
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Confidential and Internal Purpose only
OB: Order Booking RR: Revenue Recognition PBIT: Segment PBIT before exceptional and unallocated overheads
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Domestic – Export Business Performance
FY 2022-23
YTD Sep FY 2023-24
Q2, FY 2023-24
Order Book
168
475
- 195
Chemical
Green Solutions
Industrial Infra
Industrial Products
3,373
407
3,109
1,063
-
1,000 2,000 3,000 4,000 5,000
Revenue
Revenue
Chemical
Green Solutions
Industrial Infra
Industrial Products
193
479
- 363
3,378
550
2,162
1,175
Chemical
Green Solutions
Industrial Infra
Industrial Products
Chemical
Green Solutions
Industrial Infra
Industrial Products
114
223 -
142
1,475
307
1,783
496
62
118
58
-
Chemical
Green Solutions
Industrial Infra
Industrial Products
489
165
844
237
-
500 1,000 1,500 2,000 2,500
-
200 400 600 800 1,000 1,200
108
241
-
238
1,742
260
1,195 630
Chemical
Green Solutions
Industrial Infra
Industrial Products
57
131
-
125
924
161
638
352
-
1,000 2,000 3,000 4,000 5,000
-
500 1,000 1,500 2,000 2,500
-
200 400 600 800 1,000 1,200
Order Balance
Chemical
Green Solutions
Industrial Infra
Industrial Products
51 58
- 592
5,578
631
504
2,339
Chemical
43
70
Green Solutions
Industrial Infra
Industrial Products
- 713
5,205 735
3,036
463
-
5,000
10,000
-
2,000 4,000 6,000 8,000
Domestic
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Export
All values are in Rs. crore
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Confidential and Internal Purpose only
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Industry Outlook
Input Cost
• The majority of commodity prices remained
steady, with only a slight upward trend observed in steel and aluminium towards the end of the quarter.
Market Sentiments
• S&P Global Indian Manufacturing PMI slips marginally to
57.5 in September.
•
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
like biofuel will spur the clean energy portfolio of Thermax.
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Sources: MOSPI, S&P Global
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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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Classification: Confidential
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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