Capacit'e Infraprojects Limited — Investor Presentation 2020

Feb 10, 2020

Ref : CIL/STEX 30/Q3FY20 Date : February 10, 2020

To

The Secretary,	The Secretary,
BSE Limited	National Stock Exchange of India Limited
Corporate relation Dept,	Plot No. C/1, G Block,
P.J. Towers,	Bandra Kurla Complex
Dalal Street, Fort,	Bandra (East)
Mumbai-400 001	Mumbai-400 051
Scrip Code –/Scrip Id: 540710/CAPACITE	Scrip Symbol: CAPACITE

Subject: Investor Presentation – Q3 & 9M FY20

Dear Sir/ Madam

Pursuant to Regulation 30 and other respective regulations of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed Investor Presentation.

This is to further inform that the Investor Presentation has been uploaded on the website of the Company www.capacite.in and is also available on the websites of the Stock Exchanges for your information and also for the information of the public at large.

This is for your information and records.

Thanking you,

Capacit'e Infraprojects Ltd. On a Long-term Growth Path…

Investor Presentation Q3 & 9M FY20

Oberoi, Enigma, MMR

1

This presentation and the accompanying slides (the "Presentation"), which have been prepared by Capacit'e Infraprojects Ltd. (the "Company"), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company.

This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded.

This presentation contains certain forward looking statements concerning the Company's future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forward looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, competition (both domestic and international), economic growth in India and abroad, ability to attract and retain highly skilled professionals, time and cost over runs on contracts, our ability to manage our international operations, government policies and actions regulations, interest and other fiscal costs generally prevailing in the economy. The Company does not undertake to make any announcement in case any of these forward looking statements become materially incorrect in future or update any forward looking statements made from time to time by or on behalf of the Company.

Q3 & 9M FY20 Standalone Performance

9M FY20 Standalone Performance Highlights

The Net Working Capital Days during 9M FY20 stand at 70 days vis-à-vis 68 days in H1FY20

The Total Collections during 9M FY20 are ~ ₹ 591 Crores

Net Debt : Equity as on December 31, 2019 is at 0.0x

Robust performance in the face of acute challenges

NBFC Crisis (Q3FY19) ▪ Severe liquidity crunch ▪ Funding constrained for the real estate and other sectors ▪ Several projects stuck due to non availability of funds ▪ Crisis had a domino effect on the economy leading to an overall slowdown What did we do in the time of crisis Consequences of our actions Derisk our Business Model by foraying into Government projects • Equally balanced order book between Public (49%) & Private (51%), thereby significantly safeguarding ourselves from the expected slowdown in the Private sector • Order Book at historical highs with higher ticket size orders, despite decline in new launches Focused client selection • High-quality hybrid order book comprising of elite names representing both Public & Private sector • Well diversified order book between Residential, Commercial/ Institutional and Mixed use Focused Execution • Successful completion & handover of projects, inflow of bigger ticket size projects, resulting in cost savings and margin expansion • Repeat orders from existing clients Focus on cashflows • Healthy collections in FY19 & 9MFY20 • Net Debt:Equity = 0.0x as on December 31, 2019 Foreclosure of projects where cashflows were a concern • WC days kept under control despite liquidity crunch in the economy

CAPACIT'E INFRASTRUCTURES LIMITED

Our Order Book

• Total Order Inflow during 9M FY20 was ~ ₹ 5,244 Crores
• Added New marquee names to the clientele:
  • PWD
  • CIDCO
  • Raymond Limited
  • K Raheja Corp with GIC Singapore
  • Phoenix Market City with Canadian Pension Fund

Order Book Details

Key Delivered / Virtually Completed Marquee Projects

Lodha	Saifee
–	Burhani
The Park	Upliftment Trust
Tata Trust –	Brookfield –
Cancer Hospital	Unitech developers MLCP*
Godrej –	Brookfield –
Central	Seaview Developers Phase 1
Godrej –Summit	SattavaGroup –Sattva SalarpuriaCadenza
Hiranandani –	Bharti Land –
The Walk	Worldmark
T-Series –Corporate Office	Lodha–One Altamount
Wadhwa –	Ozone –
W54	Urbana Hyatt Place
Auris Serenity Tower 1&2	Wadhwa –Platina
Nahar Mahalaxmi	Provident –Tree

8

9M FY20 Financial highlights

Q3 & 9M FY20 Standalone Profit & Loss

Particulars (₹ In Crs)	Q3 FY20	Q3 FY19	Y-o-Y	9M FY20	9M FY19	Y-o-Y
Revenue from Operations	404.9	449.4	-9.9%	1,221.5	1,290.0	-5.3%
Other Income	4.9	11.3		19.8	34.0
Total Income	409.8	460.7	-11.0%	1,241.3	1,323.9	-6.2%
Cost of Material Consumed (Incl. Construction Expenses)	278.4	332.0		850.8	947.4
Employee Expenses	35.2	37.8		105.5	108.4
Other Expenses	19.2	17.7		56.1	52.8
EBITDA	77.1	73.1	5.5%	228.9	215.5	6.2%
EBITDA Margin (%)	18.8%	15.9%		18.4%	16.3%
Depreciation #	29.8	19.9		84.1	64.4
Finance Cost	16.2	13.8		46.1	40.7
Profit before Tax	31.1	39.4	-20.9%	98.7	110.4	-10.6%
Profit before Tax Margin (%)	7.6%	8.6%		8.0%	8.3%
Tax ^	7.7	15.5		11.6	40.8
Profit After Tax	23.5	23.9	-1.7%	87.1	69.6	25.0%
PAT Margin (%)	5.7%	5.2%		7.0%	5.3%
Other comprehensive income	0.6	0.0	0.0	0.6	0.3
Total comprehensive income (TCI)	24.0	23.9	0.5%	87.7	70.0	25.4%
Cash PAT*	55.4	46.0	20.3%	163.1	139.9	16.6%
Cash PAT Margin	13.5%	10.0%		13.1%	10.6%
Diluted EPS	3.46	3.52		12.83	10.26

*Cash PAT = TCI + Depreciation + Deferred Tax

^ Tax expense for the quarter and nine months ended December 31, 2019 reflect changes made vide Taxation Laws Amendments Ordinance 2019 as applicable to the Company

# Depreciation for the quarter and nine months ended December 31, 2019 reflect changes of ~₹ 16 Cr on account of adoption of Ind AS 116 and hence not comparable with previous period

CAPACIT'E INFRASTRUCTURES LIMITED

Strong Standalone Balance Sheet with low leverage

ASSETS (₹ In Crs)	Sept-19	Mar-19
NON-CURRENT ASSETS	898	726
Property, plant & equipment:
Core Assets	391	369
Site Establishment	177	143
Other Fixed Assets	38	27
Capital work-in-progress	7	4
Intangible assets	1	2
Investments	16	12
Trade receivables	59	66
Loans	0	0
Other Financial Assets	38	28
Current tax assets (Net)	21	13
Other Non -current assets	69	62
CURRENT ASSETS	1,279	1,324
Inventories	88	91
Investments	0	0
Trade receivables	403	529
Cash & Cash Equivalents	8	30
Bank balances other than cash & cash equivalent	146	163
Loans	27	29
Other Financial Assets	504	391
Other Current assets	103	91
TOTAL ASSETS	2,097	2,050

EQUITY AND LIABILITIES (₹ In Crs)	Sept-19	Mar-19
EQUITY	899	843
Equity Share capital	68	68
Other equity	831	775
NON-CURRENT LIABILITIES	255	235
Borrowings	56	58
Lease Liability	11	0
Other financial liabilities	47	42
Provisions	2	1
Deferred tax liabilities (Net)	45	57
Other Non-Current Liabilities	94	76
CURRENT LIABILITIES	943	972
Borrowings	189	178
Trade Payables	523	533
Other Financial Liabilities	55	61
Provisions	13	22
Current Tax Liabilities (net)	20	12
Other current liabilities	144	166
TOTAL EQUITY & LIABILITIES	2,097	2,050

Key Financial Indicators

12

'BEST OF BOTH WORLDS'

Hybrid Service Portfolio = Private + Public

Embarking On A Long-term Growth Path…

Developed our service portfolio by capturing the complexities …

CAPACIT'E is unlike a commoditized construction company… "We do our business DIFFERENTLY"

2016 Onwards

High Rise Super High Rise Gated Communities + Commercial Offices Multi Level Car Parks Hotels

2018 Onwards

High Rise Super High Rise Gated Communities Commercial Office Multi Level Car Parks Hotels

+ Hospitals Data Centers Factory Construction

CAPACIT'E INFRASTRUCTURES LIMITED

Sustainable Model:

Timely Orderbook Execution + Technology Focus + Large Opportunity = SUSTAINABLE PROFITABILITY

Hybrid Service Portfolio = Private + Public

Marquee Clientele

Will Continue to work with Highly Liquid and Cash Rich Organizations in-order to safeguard our cashflows

Hybrid Service Portfolio – Builds Diversity

CAPACIT'E INFRASTRUCTURES LIMITED * Ex of MHADA

Strategic Priorities

Work with Large and Liquid Clients in the country, thereby strengthening our Revenue Visibility

Deepen the culture of account driven approach, in which we mine our clients for more projects, which increases our wallet share, and helps transform an individual client into a sustainable revenue generating

'platform'

Design & Build projects,

attracting lump sum remuneration, has potential to increase the scope of services and corresponding revenues enhancing recall, market share and project control

Marquee Clientele Account Groups Design & Build Lean Balance Sheet Cash Flows

Most sustainable companies have less debt and high net worth; we expect to remain net debt-free across the foreseeable future

Strong Cash Flow Focus leading to shortening receivables, moderating debt, investing in technologies that accelerate construction and graduate to superior margin Projects

CAPACIT'E INFRASTRUCTURES LIMITED

Our vision is to be among the top three leading building construction companies in the geographies of our presence, evoking the recall of 'THINK CONSTRUCTION, THINK CAPACIT'E'

Standing at a point of INFLECTION (1/2)

CAPACIT'E at a point of INFLECTION

Standing at a point of INFLECTION (2/2)

New Way of Execution… To Timely deliver Orders

Tata Trust Cancer Hospital (Varanasi)

Godrej Summit (Gurgaon)

Our Creations (1/6)

CAPACIT'E INFRASTRUCTURES LIMITED

Loadha The Park, Mumbai MMR Oberoi The Enigma, Mumbai MMR Nahar Exallibur, Mumbai MMR

25

Our Creations (2/6)

CAPACIT'E INFRASTRUCTURES LIMITED

Our Creations (3/6)

Our Creations (4/6)

CAPACIT'E INFRASTRUCTURES LIMITED

Our Creations (5/6)

CAPACIT'E INFRASTRUCTURES LIMITED

29

Our Creations (6/6)

Strong Financials to Achieve Growth

On A Long-term Growth Path…

Next Phase of Growth…Ready for Execution…

…and to deliver robust financial performance

Profit & Loss Statement

Particulars (₹In Crs)	FY19	FY18	FY17
Revenue from Operations	1,788	1,336	1,125
Other Income	37	24	15
Total Income	1825	1,360	1,140
Cost of Material Consumed (Incl. Construction Expenses)	1,320	966	796
Employee Expenses	146	117	87
Other Expenses	73	49	46
EBITDA	285	228	212
EBITDA Margin (%)	15.6%	16.7%	18.6%
Depreciation	89	67	65
Finance Cost	49	40	42
Profit before Tax	147	121	105
Tax	52	42	36
Profit After Tax	96	79	69
PAT Margin (%)	5.2%	5.8%	6.1%
Cash PAT	198	161	135
Cash PAT Margin (%)	10.9%	11.8%	11.8%

ASSETS (₹ In Crs)	Mar'19	Mar'18	Mar'17
NON-CURRENT ASSETS	726	543	381
Property, plant & equipment	539	409	324
Capital work-in-progress	4	0	7
Intangible assets	2	1	2
Investments	12	19	0
Trade receivables	66	50	16
Loans	0	2	3
Other Financial Assets	28	29	13
Current tax assets (Net)	13	0	1
Other Non -current assets	62	32	16
CURRENT ASSETS	1,324	1,190	697
Inventories	91	216	170
Investments	0	0	0
Trade receivables	529	415	358
Cash & Cash Equivalents	30	13	11
Bank balances other than cash & cash equivalent	163	311	39
Loans	29	52	30
Other Financial Assets	391	128	31
Current tax assets (Net)	-	-	3
Other Current assets	91	56	54
Assets held for sale	-	-	1
TOTAL ASSETS	2,050	1,734	1,078

EQUITY AND LIABILITIES (₹ In Crs)	Mar'19	Mar'18	Mar'17
EQUITY	843	749	299
Equity Share capital	68	68	44
Other equity	775	682	255
NON-CURRENT LIABILITIES	235	192	203
Borrowings	58	48	67
Other financial liabilities	42	29	33
Provisions	1	1	2
Deferred tax liabilities (Net)	57	40	26
Other Non-Current Liabilities	76	73	74
CURRENT LIABILITIES	972	792	577
Borrowings	178	139	97
Trade Payables	533	447	310
Other Financial Liabilities	61	77	47
Current tax liabilities (Net)	12	5	4
Provisions	22	18	2
Other current liabilities	166	107	116
TOTAL EQUITY & LIABILITIES	2,050	1,734	1,078

For further information, please contact

Company : Investor Relations Advisors :

Capacit'e Infraprojects Ltd. CIN - L45400MH2012PLC234318

Mr. Alok Mehrotra (President, Corporate Finance) ir@capacite.in

Strategic Growth Advisors Pvt. Ltd. CIN - U74140MH2010PTC204285

Mr. Shogun Jain / Mr. Pratik R. Shah shogun.jain@sgapl.net / pratik.shah@sgapl.net +91 77383 77756 / +91 9769260769

www.capacite.in

www.sgapl.net