Jash Engineering Limited

Pratik Patel

CHAIRMAN AND MANAGING DIRECTOR

Dharmendra Jain

CHIEF FINANCIAL OFFICER

500 crore

he company has invested in manufacturing facilities which can give a potential turnover of around 500 crores plus and we are constantly investing in increasing our capabilities so as to easily do ~400 cror

400 crore

00 crores plus and we are constantly investing in increasing our capabilities so as to easily do ~400 crores turnover. The issue here is because our business is very much towards the last two quarters the

59 crore

ed we have significant growth this year in revenue in Rodney Hunt in nine month. You can see from 59 crores to 91 crores. As a result of this growth, the losses in Rodney Hunt has gone down from last year

91 crore

ificant growth this year in revenue in Rodney Hunt in nine month. You can see from 59 crores to 91 crores. As a result of this growth, the losses in Rodney Hunt has gone down from last year 5.9 crores t

5.9 crore

to 91 crores. As a result of this growth, the losses in Rodney Hunt has gone down from last year 5.9 crores to this year 2.1 crores nine months December 31. I believe all three companies are doing good an

2.1 crore

lt of this growth, the losses in Rodney Hunt has gone down from last year 5.9 crores to this year 2.1 crores nine months December 31. I believe all three companies are doing good and we come near to 31st M

22%

e the results as projected by us. Consolidated financials snapshot, you can see we have around 23-22% increase in our revenue compared to last year, nine months. What has been worrying was that the

476 crore

of now has very healthy order book position. The total orders with the Company as on 1st February 476 crores and of this orders within India is 191 crores and order outside India is 285 crores. Most of the

191 crore

he total orders with the Company as on 1st February 476 crores and of this orders within India is 191 crores and order outside India is 285 crores. Most of the subsidiaries have been doing good. Shivpad al

285 crore

1st February 476 crores and of this orders within India is 191 crores and order outside India is 285 crores. Most of the subsidiaries have been doing good. Shivpad also has a good order book position as J

85 crore

ruary the company has Jash Engineering Limited already negotiated orders of 85 crores out of which 82 crores are outside India. Out of 85 crores I understand close to 75 crores worth

82 crore

Jash Engineering Limited already negotiated orders of 85 crores out of which 82 crores are outside India. Out of 85 crores I understand close to 75 crores worth of orders have already

“Some 10 crores of orders also will be coming in by the end of this month.”

“We started from zero this year we expect to be around $18 million and may be minor profits in Rodney Hunt.”

“In addition to this, three orders we have already and we are negotiating a very big order of $5 million plus for large cast iron gas project in Kansas and this order is also under final stages and we expect to receive this order by February.”

“We have got now the first order for Laguna project in Philippines.”

“Big investment has been on SEZ unit 3 where we have set up a complete caste iron gate manufacturing facility with one of the biggest test bench in the world and this facility would be inaugurated by us in early April when we expect our foreign Jash Engineering Limited Directors, including Mr.”

“The growth we delivered which is of 23% is still not as per our expectation but by the end of the year we hope that what we seen the last quarter a huge increase in revenue that may allow us to reach the desired target for the year.”

“Our revenue target was intimated to everyone earlier and consolidated revenue target was around 340 crores on the lower side and maybe on the higher side it may go to little higher.”

“So in next year, I believe most of the orders I would say 70-75% of the orders would be executed at a higher raw material price considered already in our estimate.”

“So we will be back on track next year with improved profitability because the material price shock which we have got this year will not have to that extent in next year.”

“So, we will not be investing in huge capex in America and neither we will be incurring in huge capex in India, the capex of 10-15 crores between Indian and maybe America we'll be doing 1-2-3 crores every year not more.”

Pratik Patel

30

Siddesh Chawan

14

Naveen JR

9

Sanjay Shah

8

Dharmendra Jain

7

Zaki Nasser

4

Dilip Sahu

4

Rahul Aurkandathil

4

Sid Shah

4

Bhaskar Tiwari

3

Pratik Patel

Thank you Siddesh. Warm welcome to all the investors who are attending this conference. I will start brief presentation so that those who are new know what is happening in the company and what the company is all about. Those who are new to the Company, we are manufacturing company making products for water, wastewater and allied products to water and waste water industry. We are not an EPC contractor. We have manufacturing plants at 5 locations and have around 800 employees and we sell under our main brands which are Jash, Jash Schutte, Shivpad, Mahr Maschinenbau and Rodney Hunt. The company has evolved over a period of time through acquisition and collaboration. Our motto has been we should be number one, two, three within whatever business we do in India and we would like to be globally within the first 10 in most of the businesses which we do. We went into various acquisition as well as collaboration. Our main acquisition has been Sureseal, Shivpad, Mahr Maschinenbau and Rodney Hunt

Siddesh Chawan

Thank you sir. We will now begin with the Q&A session. To ask question I will ask all the participants to use raise hand option. The first question is from Naveen JR. Please go ahead.

Naveen JR

We have given a very positive commentary with respect to Rodney Hunt in terms of order wins. If I see that for the first nine months of the current financial year we added around 90 crores of orders but in the first 10 days we are in line to back close to 100 crores. So, if you can explain what has changed on the ground for us to back close to 100 crores in these 10 days.

Pratik Patel

First Naveenji you have to understand that America is entering in investment cycle. If you have heard me earlier in the water industry in America, the investment cycle stopped in 2000. There has not been much investment in American infrastructure in the last 20 years. The country has realized, the administration has realized that and they are now required to invest heavily to come at par with all other modern countries. And as a result we would see a huge boost in investment cycle in America. The new administration has already announced investment of more than $50 billion in water infrastructure. So, you can see that all these will result in future also as well as current also new projects are coming up quite fast in America and that is one of the reasons why we have got all these jobs. However it is a matter of luck that all these jobs have come in first 10 days. We were expecting some of the jobs in January, some of the jobs in December. But overall, a huge potential is opening up in

Pratik Patel

Naveenji every year we are doing 10-15 crores capex. So, Rodney Hunt 65-70% of production is done in India and only 30-35% production is done in America. So, we will not be investing in huge capex in America and neither we will be incurring in huge capex in India, the capex of 10-15 crores between Indian and maybe America we'll be doing 1-2-3 crores every year not more.

Naveen JR

My second question is we have a very healthy order book and in the past also, but somehow that is not translating into higher sales. Apart from this external factors Jash Engineering Limited which you spoke of, whether it's COVID or financial constraints with regard to the client, are there any internal factors that you want to highlight?