Transformers And Rectifiers (India) Limited has informed the Exchange regarding Investor Presentation

t.r~ctiHITX (lndill)ltd

Date: 14th February, 2020 Ref: TRIL/SECT/2019-20/NSE-BSE/COMPL/47

To, The Secretary BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400001 Security_ Code : 532928

To, The Secretary National Stock Exchange of India Limited Exchange Plaza, C-1, Block G, Bandra - Kurla Complex, Bandra (E), Mumbai - 400 051 Trading Symbol: TRIL

Dear Sir/Madam,

Sub: Presentation

With reference to the captioned subject, we send herewith Presentation of and Consolidated Financial Results of the the Unaudited Standalone Company for the quarter and nine month ended 31st December, 2019 pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Please take the same on your record.

Thanking you,

Yours faithfully, For Transformers and Rect·fi.e~$....(lndia) Limited

t

g, \).~,.<\ Rakesh Kiri Company Secretary

Encl.: As above.

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Regd. Office: Survey No. 427 P/3-4, & 431 P/1-2, Sarkhej-Bavla Highway, Moraiya, Tal.: Sanand, Dis!.: Ahmedabad 382 213. Tel.: 91 - 2717 - 661661 Fax: 91 - 2717 - 661716 E-mail: info@transformerindia.com Website: www.transformerindia.com

CIN No.: L33121GJ1994PLC022460

An ISO 9001:2015, ISO 14001:2015 & ISO 45001:2018 CERTIFIED

Q3 - FY 2019-20 - Presentation 14th February, 2020

DISCLAIMER

This presentation and the discussion that follows may contain certain words or phrases that are

forward - looking statements, based on current expectations of the management of Transformers and

Rectifiers (India) Limited or any of its subsidiaries and associate companies (“TRIL”). Actual results may

vary significantly from the forward-looking statements contained in this presentation due to various risks

and uncertainties. These risks and uncertainties include the effect of economical and political conditions

in and outside India, volatility in interest rates and the securities market, new regulations and

Government policies that may impact the businesses of TRIL as well as its ability to implement the

strategy.

The information contained herein is as of the date referenced and TRIL does not undertake any obligation

to update these statements. TRIL has obtained all market data and other information from sources

believed to be reliable or its internal estimates, although its accuracy or completeness can not be

guaranteed. This presentation is for information purposes only and does not constitute an offer or

recommendation to buy or sell any securities of TRIL. This presentation also does not constitute an offer

or recommendation to buy or sell any financial products offered by TRIL. Any action taken by you on the

basis of the information contained herein is your responsibility alone and TRIL or its Directors or

employees will not be liable in any manner for the consequences of such action taken by you. TRIL

and/or its Directors and/or its employees may have interests or positions, financial or otherwise, in the

securities mentioned in this presentation.

ISO 45001 : 2018

FINANCIALS - STANDALONE

Particulars (Rs. in Lakhs)

Q3 FY 2019-20

Q3 FY 2018-19

9 M onths

9 M onths

FY 2019-20 FY 2018-19

Revenue from Operations (Gross)

20,492

19,349

Other Income

Total Income

Expenditure

126

219

20,618

19,568

52,132

1,547

53,679

60,365

851

61,216

Cost of Raw Materials

16,161

15,434

40,080

47,960

Employee Cost

Other Expenditure

Depreciation

Finance Cost

Profit Before Tax

Less : Tax

Add: Other Comprehensive Income

PAT after Comprehensive Income

EBITDA

EBITDA Margin

PAT Margin

816

2,065

444

1,009

123

47

(1)

75

1,576

7.64%

0.36%

774

2,205

436

1,002

(283)

(69)

(3)

(217)

1,155

5.90%

-1.11%

2,236

6,684

1,353

2,993

333

115

(2)

216

4,679

8.72%

0.40%

2,286

6,491

1,272

3,246

(39)

(2)

(13)

(50)

4,479

7.32%

-0.08%

ISO 45001 : 2018

Q3FY 2019-20 RESULT HIGHLIGHTS

Q3 FY 2019-20  Revenue from Operations stood at Rs. 206.18 Cr increased by 5% as compared to Q3 FY 2018-19 due to better product mix.

 EBIDTA stood at Rs.15.76 Cr as compared to Rs. 11.55 Cr during Q3FY 2018-19 due to better product mix and reduction in operational expenses.

9M FY 2019-20  Revenue from Operations stood at Rs. 538.37 Cr, decreased by 12% as compared to 9M FY 2018-19 due major decrease in sales in H1 2019-20.

 EBIDTA stood at Rs. 46.79 Cr as compared to Rs. 44.79 Cr

during 9M FY 2018-19 due to better product mix.

ISO 45001 : 2018

FINANCIALS - CONSOLIDATED

Particulars (Rs. in Lakhs)

Q3 FY 2019-20

Q3 FY 2018-19

9 M onths

9 M onths

FY 2019-20 FY 2018-19

Revenue from Operations (Gross)

21,084

19,587

Other Income

Total Income

Expenditure

Cost of Raw Materials

Employee Cost

Other Expenditure

Depreciation

Finance Cost

Profit Before Tax

Share of profit/(loss) of associates and joint ventures Less : Tax

Add: Other Comprehensive Income

PAT after Comprehensive Income

EBITDA

EBITDA Margin

PAT Margin

113

197

53,783

1,499

61,349

710

21,197

19,784

55,282

62,059

16,106

15,010

39,873

47,317

883

2,464

487

1,046

211

9

73

(1)

146

1,744

8.23%

0.69%

840

2,616

476

1,028

(186)

0

(1)

(3)

(188)

1,318

6.66%

-0.95%

2,426

7,938

1,481

3,095

469

9

181

(2)

295

5,045

9.13%

0.53%

2,470

7,510

1,385

3,327

50

0

65

(13)

(28)

4,762

7.67%

-0.05%

ISO 45001 : 2018

Q3 FY2019-20 RESULT HIGHLIGHTS Consolidated

Q3 FY 2019-20  Revenue from Operations stood at Rs. 211.96 Cr increased by

7% as compared to Q3FY 2018-19.

 EBIDTA stood at Rs. 17.43 Cr as compared to Rs. 13.18 Cr

during Q3FY 2018-19.

9M FY 2019-20  Revenue from Operations stood at Rs. 552.81 Cr, decreased by

11% as compared to 9M FY 2018-19.

 EBIDTA stood at Rs. 50.44 Cr as compared to Rs. 47.62 Cr

during 9M FY 2018-19.

ISO 45001 : 2018

OPERATIONAL PERFORMANCE

Particulars

Sales MVA

Upto 220kV

Above 220kV

Particulars

Sales Breakup - Customer Segment

Utilities (SEBs, Rail and Utilities etc.)

Industrial (incl. renewables)

Exports (Incl. Third Party Exports - Utilities & Power)

Q3 FY 2019-20

Q3 FY 2018-19

9 Months FY 2019-20

9 Months FY 2018-19

FY 2018-19

3014

1775

3615

840

6374

6805

11977

3925

16294

5515

Q3 FY 2019-20

Q3 FY 2018-19

9 Months FY 2019-20

9 Months FY 2018-19 FY 2018-19

In Crore

%

In Crore

%

In Crore

%

In Crore

%

In Crore

%

125

60% 125

65% 280

52% 396

66% 540

65%

56

27

27%

61

32% 216

40% 147

24% 218

26%

13%

7

4%

43

8%

61

10% 75

9%

Total

208

100% 193 100% 539 100% 604 100% 833 100%

ISO 45001 : 2018

MAJOR MARKET UPDATES

 Orders in hand ( Status as on 31-Jan-2020 ) - Rs. 1160.65 Crs.

 The Company has been awarded the order of Transformers amounting to Rs. 126

Crs from one of the Central Utility.

 The Company has been awarded the order of Transformers amounting Rs. 89 Crs

from a State Transmission Utility.

 The Company has been awarded the order of Transformers amounting Rs. 69 Crs

from a one of subsidiary of Central Utility.

 The Company has received Export order of transformers for US$ 23.57 Million

equivalent to Rs. 166 Crs (World Bank funded project).

 The Company received repeat export order for Transformers amounting to Rs. 23

Crs.

 State Transmission Utility has awarded orders for Reactors for the first time. This

will be another business opportunity in future for reactor business.

 The Company has received order as package for Power Distribution and Arc Furnace

Transformer from a private entity.

ISO 45001 : 2018

Market Update - Energy sector

Nirmala Sitharaman unveils Rs. 102 lakh crore of infra projects for next 5 years

Power, including renewables; rail, irrigation; mobility; health; and digital form bulk of these Rs 105 lakh crore projects

Out of Rs. 105 Lakh Crores, highest allocation to power sector, which is to the extent of Rs. 24.54 Lakh Crores

(23.38%)

ISO 45001 : 2018

Strategy to improve margins

1. Improvement in product mix, value added industrial products mainly large transformers for arc furnaces and

rectifier transformers, induction furnace transformers.

2. Increase in focus on exports where margins are better.

3. Increase focus on backward integration : Company is already manufacturing tanks at Savas Engineering at our subsidiaries. Company is having a strategy to do backward integration into insulation and bushing. Bushing plant is upgraded to cater new customers due to closure of other competitor plant. We are in process of installing insulation facility in Moraiya plant. Facility will commence from April 20. Bushing and insulation plants are part of backward integration strategy. This will help to increase net margin by 0.25% to 0.50% annually.

4. Company is focusing on reducing inventory and reducing the total

cycle time of manufacturing to improve operational efficiency.

ISO 45001 : 2018

STRENGTH

In-house technical & In-house technical & design capabilities design capabilities

 Design & engineering capabilities developed indigenously & in-house enabling the company to  Design & engineering capabilities developed indigenously & in-house enabling the company to

achieve greater customization and cater to niche segments achieve greater customization and cater to niche segments

 Designs structured so as to minimize the losses occurring within the transformer  Designs structured so as to minimize the losses occurring within the transformer

 Unique distinction of being approved by utilities for power transformers up to 400 kV class  Unique distinction of being approved by utilities for power transformers up to 400 kV class

without any external technological support without any external technological support

Cost Advantage Cost Advantage

components components

 Backward integration providing timely & cost-effective access to critical raw material  Backward integration providing timely & cost-effective access to critical raw material

 Installation of new machines (oven) has helped reduce cycle time to manufacture transformers  Installation of new machines (oven) has helped reduce cycle time to manufacture transformers

 Manufacturing entire range of transformers including power generation, T&D, industrial and  Manufacturing entire range of transformers including power generation, T&D, industrial and

certain special transformers certain special transformers

Wide product Wide product portfolio and portfolio and customer base customer base

 One of the largest manufacturers of furnace transformers  One of the largest manufacturers of furnace transformers

 Preferred supplier to many utilities & industrial companies in India  Preferred supplier to many utilities & industrial companies in India

Well positioned to Well positioned to move up the value move up the value chain chain

 Exported transformers to countries such as England, Canada, U.A.E., South Africa, Saudi Arabia  Exported transformers to countries such as England, Canada, U.A.E., South Africa, Saudi Arabia

& Indonesia & Indonesia

 Manufacturing customized transformers & providing requisite on-site and after-sales service  Manufacturing customized transformers & providing requisite on-site and after-sales service

support support

 Robust business model with revenues split almost equally between utilities & industries  Robust business model with revenues split almost equally between utilities & industries

 In house capabilities and self reliance by way of backward integration in FY15.  In house capabilities and self reliance by way of backward integration in FY15.

 Supported with strong technical collaboration with ZTR for 765 Kv transformer & with Fuji for  Supported with strong technical collaboration with ZTR for 765 Kv transformer & with Fuji for

400/765 KV reactors and 400 Kv generator transformer. 400/765 KV reactors and 400 Kv generator transformer.

 KEMA, Netherlands BV, the world renowned short circuit testing laboratory, Successfully tested  KEMA, Netherlands BV, the world renowned short circuit testing laboratory, Successfully tested

our 315 MVA, 400/220/33 kV, 3 phase autotransformer our 315 MVA, 400/220/33 kV, 3 phase autotransformer

ISO 45001 : 2018

PRODUCT PORTFOLIO

Distribution Transformers

Furnace Transformers

Power Transformers

Rectifier Transformers

Classification of transformers

Range

Types

Power Transformer

Upto 1200 kV class

Generator transformer, Unit Auxiliary transformers, Step up & Step Auto transformers, Dual Voltage Primary or Secondary Three winding transformers

Interconnecting

transformers,

down

Shunt Reactor

Upto 765 kV class

Reactors upto 765 kV class

Distribution Transformers

160 kVA and above

Furnace Transformers

105 kA and above

Earthing transformers, Three winding transformers, Step up & Step down transformers, Dual voltage Primary or Secondary

Arc Furnace, Submerged Arc Furnace transformers

Induction Furnace, Laddle Arc Furnace and

Rectifier Transformers

Upto 160 kA DC

For DC power sources for Melt and Chemical Industries

ISO 45001 : 2018

TESTING LAB FACILITY

INFRASTRUCTURE 1000 Sq. meter, 25 meter high test bay with shielding suitable for partial discharge measurements

Test Sources • 3000 kW 50/60 Hz Generator • 250kV Transformer for High Voltage

test

• 0-170kV Source Transformer for

losses measurement

• 1500 kW 200Hz Generator • 50 MVAr Capacitor Bank • 800kV Source Transformer

(provision to increase upto 100MVAr)

ISO 45001 : 2018

An ISO 9001:2015, ISO 14001:2015 & ISO 45001:2018 CERTIFIED

THANK YOU

www.transformerindia.com