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PSP Projects Limited Investor Presentation 2019

Aug 9, 2019

61476_rns_2019-08-09_d62dd5ba-ee3a-4171-84ab-1e5ae63c8876.pdf

Investor Presentation

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® T PSPJ—[J] AM 1 M“ g PSP Projects Ltd. ISO 9001 :2015, 14001 :2015, 45001 :2018 Certified Company

"RefNo:PSPPROIEC‘PYSE/34/19-20L

‘ ‘ “ Augu5t09.2'oi锓3

Corporate[Relations ] Department BSE Limited

Floor 25, P.]. Towers,

Dalal Street, Mumbai-400 001 Scrip[code:] 540544

Listing Department

National Stock Exchangeof India Limited Exchange Plaza,[Bandra Kurla] Complex, Bandra (East), Mumbai - 400 051 Scrip Symbol: PSPPROIECT

Dear Sir/Madam,

Subject: InvestorPresentation[for] the quarter[ended] June[30,][2019]

Pursuant to Regulation 30 of the[SEBI] (Listing Obligations[and] Disclosure Requirements] Regulations, 2015, please[find][enclosed][herewith the][Investor][Presentation][for][ the ] quarter and ended June 30, 2019.

Kindly take the same on your[record.]

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Thanking You,
For PSP Projects Limited

( ,
Mitta Christachary
J
CompanySecretary
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Encl.: As mentionedabove.

‘PSP House’, Opp. Celesta Courtyard, Opp. Lane[of] VikramnagarColony,[ISCON][-Amba|i ] Road,[Ahmedabad—380][058.] Phone : 079 - 2693 6200, 2693 6300, 2693 6400 | Fax No. : O79 - 2693 6500 I Email : [email protected] | URL : www.pspprojecis.com CIN[:] L45201GJ2008PLC054868

PSP PROJECTS LTD.

INVESTOR PRESENTATION Q1 FY20 August 2019

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SAFE HARBOR STATEMENT

Statements in this ‘Presentation’ describing the Company’s objectives, estimates, expectations or predictions may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make difference to the Company’s operations include global and Indian demand supply conditions, finished goods prices, feedstock availability and prices, cyclical demand and pricing in the Company’s principal markets, changes in Government regulations, tax regimes, economic developments within India and the countries within which the Company conducts business and other factors such as litigation and labour negotiations. The Company assumes no responsibility to publicly amend, modify or revise any forward looking statement, on the basis of any subsequent development, information or events, or otherwise.

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FINANCIAL SNAPSHOT

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FINANCIAL SNAPSHOT - STANDALONE

RESULT SUMMARY Q1 FY20 (RS. CR.)

REVENUE FROM OPERATIONS

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307.27
234.72
31%
Q1 FY19 Q1 FY20
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EBITDA

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42.68
32.99
29%
Q1 FY19 Q1 FY20
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PAT
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25.52
20.83
23%
Q1 FY19 Q1 FY20
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PSP Projects 11 124 1,733.76 (Rs/cr) Market cap as Years in Projects on 8[th] Aug 2019 existence delivered 49 3,402 Projects under (Rs/cr) Order book as execution (as on 30[th] on 30[th] June 2019 June 2019)

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(STANDALONE)

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REVENUE BREAK-UP FOR THE Q1FY20 - Rs. 307.27 CR (STANDALONE)

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0.74%
3.30%
71.94% 3.57%
20.45%
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94.31%
3.46%
1.76%
0.47%
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REVENUE BREAK-UP FOR THE Q1FY20 (EXCLUDING SDB) - Rs. 213.93 CR

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1.06%
59.70%
4.74%
5.13%
29.37%
Government Govt Residential Industrial
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Institutional Residential

91.82% 4.97% 2.53% 0.68% Gujarat Karnataka Rajasthan Maharastra

CATEGORY WISE

GEOGRAPHICAL

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WORK ON HAND - RS. 3402 CR (STANDALONE)

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3.15%
64.71% 4.36%
22.42%
5.36%
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1.09%
2.32%
22.26%
74.33%
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WORK ON HAND Rs. 2334.83 CR (STANDALONE) (EXCLUDING SDB)

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4.60%
6.35%
48.57%
32.67%
7.81%
Government Govt Residential Industrial
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Institutional Residential

CATEGORY WISE

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1.59% [3.38%]
32.44%
62.59%
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Gujarat Rajasthan Karnataka Maharastra

GEOGRAPHICAL

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BUSINESS ROBUSTNESS IN NUMBERS (STANDALONE)

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GROSS REVENUE (RS. Cr) EBIDTA (Rs. Cr) PAT (Rs. Cr)
#CAGR – 38.87% #CAGR - 61.78% #CAGR - 59.71%
148.94
1066.99 90.22
748.31 101.28 64.34
468.24 65.94 41.43
414.15
286.89 312.46 39.27 42.68 25.13 25.52
21.74 13.86
FY15 FY16 FY17 FY18 FY19 FY20 FY15 FY16 FY17 FY18 FY19 FY20 FY15 FY16 FY17 FY18 FY19 FY20
EBIDTA margin% PAT margin%
16.45%
10.00%
14.27%
13.88% 13.89%
8.60% 8.46%
8.17%
8.57%
7.75% 5.37%
4.83%
FY15 FY16 FY17 FY18 FY19 FY20
FY15 FY16 FY17 FY18 FY19 FY20
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*** Till 30[th] June 2019 # CAGR based on five years completing on 31.03.2019**

PROMINENT PROJECTS COMPLETED IN FY19

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Brigade International Financial Centre Renovation of Gujarat Vidhansabha, Sabarmati Riverfront
at GIFT City, Gandhinagar Gandhinagar Development Co. Ltd. (SRFDCL)
Office Building, Ahmedabad
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PROMINENT PROJECTS

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Swarnim Sankul 1 & 2 Construction and interior work

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Zydus Hospitals

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Sabarmati River Front development

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Kaira District Co-operative Milk Producers’ Union Limited (Amul Dairy)

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Hospital, Residential Building and Medical College for GCS Medical College, Hospital and Research Centre

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Gujarat Housing Board,Naranpura, one of the Largest affordable housing project in Gujarat

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MARQUEE PROJECT

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Executing single-largest contract of Rs 1575[#] cr of Surat Diamond Bourse

  • ( [#] Excluding GST)

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SURAT DIAMOND – WIP (ACTUAL SITE IMAGE)

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WORK ON HAND as on June 30, 2019 (MAJOR PROJECTS)

Project Name of the Client Total Contract
Value (in Lacs)
Outstanding
Contract Value (in
Lacs)
Surat Diamond Bourse Main Contract Works, Surat, Gujarat SDB Diamond Bourse 1,57,500 1,06,741
EWS Housing Project at Bhiwandi, Maharastra Bhiwandi Nizampur City Municipal
Corporation
60,140 60,140
IIM AHMEDABAD, Gujarat Indian Institute Of Management 32,801 31,980
Medical College and Hospital at Dahod , Gujarat Zydus Foundation 22,500 16,959
Affordable Housing Project at Pandharpur, Maharastra Pandharpur Municipal Corporation 15,755 15,610
Multi-tenanted office for DSCCSL at GIFT City, Gujarat Dalal Street Commercial Cooperative
SocietyLtd.

13,050
11,663
Zydus Hospital at Baroda, Gujarat Zydus Hospitals & Healthcare Research
Pvt Ltd.

10,691
10,109
Phoenix Mall at Thaltej, Ahmedabad, Gujarat SGH Realty LLP 9,139 9,139
Residential Complex At Atali Housing, Dahej Torrent Pharmaceuticals Limited 8,268 8,268
Super specialty Block of Government Medical College at
BhavnagarGujarat
Bridge & Roof Co. (India) Ltd 7,860 6,440
Corporate House at Ahmedabad, Gujarat Punishka Enterprises 5,470 4,900
Hospital Building at Tal - Kamrej – Surat, Gujarat Tornascent Care Institute 6,788 4,522
Student Activity Center, Ahmedabad, Gujarat Ahmedabad University 5,150 4,298
SiteInfraWorksfor LMC andBIASPlantat Dahej, Gujarat MRF Limited 5,340 4,244

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FINANCIAL PERFORMANCE

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SEQUENTIAL QUARTERLY PERFORMANCE

Q1FY20 STANDALONE AUDITED PROFIT & LOSS STATEMENT (Rs. In Lakhs)

Particulars Q1 FY20 Q4 FY19 Q1 FY19 **Q-o-Q ** Y-o-Y FY19 FY18 Y-o-Y
Revenue from Operations 30,727.34 33,825.56 23,471.90 -9% 31% 1,04,401.25 72,983.03 43%
Costof materialsconsumedincludingWIP 11,486.89 12,707.88 11,631.35 41,279.95 27,047.86
Construction Expenses 13,255.96 14,625.30 7,330.53 42,915.74 32,076.01
Employeebenefitsexpense 1,378.73 1,167.07 999.48 4,317.82 2,861.33
Other expenses 337.75 337.52 211.12 993.29 869.64
Total Operating Expenses 26,459.33 28,837.77 20,172.48 -8% 31% 89,506.80 62,854.84 42%
EBITDA 4,268.01 4,987.79 3,299.42 -14% 29% 14,894.45 10,128.19 47%
EBITDA Margin(%) 13.89% 14.75% 14.06% 14.27% 13.88%
Other Income 518.96 663.17 608.71 2,297.84 1,847.56
Finance costs 275.51 317.89 145.63 916.05 870.09
Depreciation 588.33 742.09 481.34 2,422.90 1,117.50
Profit Before Tax 3,923.13 4,590.98 3,281.16 -15% 20% 13,853.34 9,988.16 39%
Tax Expense 1,370.66 1,577.99 1,172.71 4,829.72 3,551.57
Other comprehensive income (0.52) (8.71) (25.53) (2.10) (2.89)
Profit After Tax 2,551.95 3,004.28 2,082.92 -15% 23% 9,021.52 6,433.70 40%
PAT Margin(%) 8.17% 8.71% 8.65% 8.46% 8.60%
EPS (INR) 7.09 8.37 5.86 25.07 18.45

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SEQUENTIAL QUARTERLY PERFORMANCE

Q1FY20 CONSOLIDATED AUDITED PROFIT & LOSS STATEMENT (Rs. In Lakhs)

Particulars Q1 FY20 Q4 FY19 Q1 FY19 **Q-o-Q ** Y-o-Y FY19 FY18 Y-o-Y
Revenue from Operations 30,768.27 33,855.90 23,822.04 -9% 29% 1,05,040.66 75,164.69 40%
Cost of materials consumed includingWIP 11,486.00 12,702.30 11,868.89 41,578.42 28,937.86
Construction Expenses 13,257.25 14,638.93 7,397.02 43,272.51 32,019.83
Employee benefits expense 1,379.84
1,167.99 1,000.32 4,321.26 2,861.55
Other expenses 341.87
338.71 213.96 1,012.33 895.34
Total Operating Expenses 26,464.96 28,847.93 20,480.19 -8% 29% 90,184.52 64,714.58 39%
EBITDA 4,303.31 5,007.97 3,341.85 -14% 29% 14,856.14 10,450.11 42%
EBITDA Margin(%) 13.99% 14.79% 14.03% 14.14% 13.90%
Other Income 464.23 614.36 583.11 2,283.92 1,872.20
Finance costs 286.28 327.83 160.23 967.39 929.73
Depreciation 588.43 743.52 484.22 2,430.17 1,147.86
Profit Before Tax 3,892.83 4,550.98 3,280.51 -14% 19% 13,742.50 10,244.72 34%
Tax Expense 1,364.77 1,568.81 1,173.66 4,821.49 3,644.83
Other comprehensive income (0.20) (9.22) (26.11) (4.23) (3.28)
Profit After Tax 2,527.86 2,972.95 2,080.75 -15% 21% 8,916.78 6,596.61 35%
PAT Margin(%) 8.09% 8.62% 8.53% 8.31% 8.56%
EPS(INR) 7.04 8.30 5.85 24.84 18.78

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COMPANY OVERVIEW

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PROJECT CLASSIFICATION

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Industrial Projects Institutional Projects Government projects Government residential Residential projects projects Construction of industrial buildings Construction of buildings for hospitals Focus only on challenging and Construction of buildings for group for pharmaceutical plants, food and healthcare services, prestigious government projects Execution of prestigious government housing and townships processing units, engineering units as educational institutes, malls, affordable residential projects Construction of independent well as manufacturing and hospitality services and corporate processing facilities. offices. Executed marquee projects - residences for select private Swarnim Sankul 01 and 02 at customers. Design-build of affordable high-rise Gandhinagar, Sabarmati Riverfront residential buildings cum Rich experience in catering to Track record comprises Zydus Development project works in commercial units at Naranpura & Executed Seventy by bsafal, pharmaceutical manufacturers Hospital, GCS Medical College & Hospital, Commercial Projects at Ahmedabad, Renovation of Gujarat Vidhansabha Building Mukhya Mantri GRUH Yojana for Hathijan in Gujarat under the Anutham at gota, Gulmahor Mall at Ahmedabad Constructed industrial facilities for GIFT City, Hostel building for PDPU major Gujarat-based public sector among others. customer. Torrent Pharmaceuticals, Nirma, Intas Number of Government Pharmaceuticals, Cadila Projects Completed - 21 Number of Residential Healthcare, Claris Injectables, KHS Number of Institutional Projects Number of Government Projects Completed - 10 Machinery and Inductotherm (India), MRF Ltd. among others Projects Completed - 42 Residential Projects Projects Projects Completed - 02 Projects Number of Industrial Projects Completed - 49 Projects

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INFLECTION POINTS IN OUR JOURNEY

2008 AUG 2009 APR 2009 DEC 2010 JUL 2011 JAN 2011 DEC 2012 APR 2014 APR APR Commenced Started Design P.S.Patel (CMD) Opportunity to Awarded order to Awarded “Swarnim Acquired the working on PM’s Build Project of profiled in construct Medical construct 72 meter Sankul 01 & 02” – SAP INCORPORATION business of BPC dream project of Affordable housing ‘Business Game College & Hospital Zydus Hospital, One more dream implementation Projects Sabarmati for Gujarat Housing Changers - Shunya for GCS, A’bad A’bad project of PM Riverfront Board, A’bad Se Shikhar’ book 2019 2016 APR 2016 JUL 2017 JAN 2017 MAY 2017 MAY 2017 JUN 2017 JUL 2017 OCT 2018 SEP 2018 DEC FEB GHB Naranpura ‘The Signature Awarded Most MOST Project by Hiranandani’ Awarded Honoured by Admired Awarded as RESPECTED awarded as at GIFT City, CSR ‘Excellent Quality Mark Multidisciplinar one of India’s ENTERPRENURE “Affordable Gandhinagar Awarded with EXCELLENCE Contractor of Participated in Awards 2017 y Construction “Top AWARD Housing Project PSP Projects awarded Surat Diamond FOR the Year 2016’ Vibrant Gujarat (Building & Company of the Challengers” at (CONSTRUCTIO of the Year Listed on NSE Excellence in Bourse Project “OUTSTANDING award by Global Trade Construction Year (Gujarat) 16th N) TO SHRI Award by and BSE Delivery Award (6.5 mn sq ft CONTRIBUTION Gujarat Show 2017 Category) by award by The Construction P.S.PATEL VY Realty Plus by Realty Plus built-up area). ” BY TV9 Contractor Quality Mark Rising World Global HURUN Excellence Excellence GUJARATI Association Trust Leadership Awards 2018 REPORT INDIA Awards Awards Awards 2017 2018 (Gujarat) 2016” (Gujarat) 2017

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LEADERSHIP TEAM

Prahaladbhai Shivrambhai Patel Chairman, Managing Director and CEO

Mahesh Patel is the Vice President - Prahaladbhai Shivrambhai Patel Operations of our Company. He has Is Chairman, Managing Director been with the company since inception And CEO Of PSP Projects Ltd. Mr. Patel Is First Generation & has played a major role in company’s Entrepreneur & Carries A Rich success. He has 26 years of experience Experience Of 33+ Years In in project execution of construction Construction Industry. He Holds industry. He holds a degree of diploma Bachelor’s Degree In Civil in civil engineering. Engineering • Featured In Book ‘Business Mahesh Patel Vice President - Operations Game Changer: Shoonya Se Shikhar’ By Prakash Biyani Maulik Patel is the Director - And Kamlesh Maheshwari, Procurement of our Company. • Received ‘The Dena Bank Along with Mahesh Patel, Maulik Hercules Award’ By Gujarat Innovation Society For Patel is also associated with Innovation And Quality In company since company’s India’s Construction And establishment & has played a vital Infrastructure Sector. role in company’s success story. He • Awarded Most Respected holds a Bachelor’s Degree in Entrepreneur Award Commerce. (Construction) by Hurun Report India 2018 Maulik Patel Director - Procurement

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EXPERIENCED MANAGEMENT

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Hetal Patel is the Chief Financial Officer of our Company. She holds a Master’s degree in commerce from Gujarat University. She is a member of the Institute of Chartered Accountant of India.

Pooja Patel is the Executive Hetal Patel is the Chief Financial Director of our company. She Officer of our Company. She holds holds a Bachelor’s degree in Civil a Master’s degree in commerce Engineering from Gujarat from Gujarat University. She is a Technological University & member of the Institute of Diploma in Financial Management Chartered Accountant of India. from Ahmedabad Management Association. She is actively She is also a certified internal involved in the execution of the auditor from the Institute of projects for past 5 years and is Internal Auditors, USA. She has presently looking after the Surat 19 years of experience in accounts Diamond Bourse Project. She also and finance & associated with represented our company twice in PSP Projects for past 6 Years . Indian Concrete Institute Chapter1, Ahmedabad.

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Ramjibhai Parmar is the General Manger - Tender of our Company. He holds a Diploma in Civil Engineering. He has 30+ years experience in Contracts & Tendering of a Construction Industry. He is associated with PSP Projects for past 6 Years.

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Mittali Christachary is the Company Pratik Thakkar is General Manager - Business Development Secretary & Compliance Officer of our company. She is an Associate of our company. He holds a member of the Institute of company Bachelor’s Degree in Commerce Secretaries of India (ICSI). She also and Diploma in Marketing holds a Bachelor’s Degree in Management. He has 11 years’ Commerce and a Bachelor’s experience in Business Degree in Law from Gujarat Development & Tendering in University. She has 4 years of Construction Industry. He has experience in all company been with the company for 5 Secretarial functions and years. compliances.

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CAPABILITIES

People ramp-up

Plants, machinery and vehicles

15 in 2008 to more than 1200 direct employees plus 8000+ contract employees

Invested Rs 145 cr in assets for timely project delivery 1

2

Proven

Diverse capability

Extensive experience and Multi-storied buildings, highproven track record in rises, hospitals, industrial delivering high-valued and buildings, educational time-critical projects with institutions, commercial quality buildings 5 6

IT investments

Implemented SAP and CANDY; enhanced informed decision-making

3

Customer types

Government and private clients

7

Capability

Multiple project location management 4

Accreditation

ISO 9001, ISO 14001 and ISO 45001 (quality, environment protection and worker safety) 8

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STRENGTHS

Execution record:

Execution Robust orders: record: Order book of Diverse projects Rs 3402 cr as on mix; completed 30[th] June 2019 projects across (to be addressed segments. within 24 to 30 months)

Experience: Financial One Stop Shop: Promoter strength: Offering EPC (Prahaladbhai A strong balance service for the Shivrambhai sheet helps in Building Project Patel) with 30+ successful – from Design to years of sectoral project Construction, experience; completion MEP to Interior supported by Fitout. experienced professionals

Impressive Ration of repeat business

Torrent Pharma, Zydus Cadila Group, DDU, BAMUL,MRF

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PREFERRED CHOICE

Projects under execution

(as on 30th June 2019)
AVERAGE
TICKET SIZE OF
PROJECTS
49
Frugal cost
structure;
enhanced
competitiveness
Active promoter
involvement;
enhanced client
assurance
Track record of
timely project
completion with
committed quality
Large and multiple
project
management
capability
Selective choice of
margin-enhancing
projects
Rs8.54Cr
In 2012-13
Rs42.91 Cr
In 2018-19
*Actual image of Brigade at GIFT City

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WIDENING HORIZONS

Focus on buildings Steady investment Strong qualification construction in people, capabilities to (commercial, equipment, participate in high“ residential, technology and value projects industrial and systems, (worth Rs 600-800 Building is institutional) strengthening crore) across India business sustainability my passion Extending from Executing projects Intending to P.S. Patel , Gujarat to other in Rajasthan, increase non- Chairman, Managing Director and CEO geographies; Karnataka & Gujarat revenue to infrastructure in Maharastra 30% of total place business

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WIDENING HORIZONS - ONE-STOP BUILDINGS CONSTRUCTION SHOP

Extended to Mechanical, Now providing Commenced as Civil Engineering and complete solution – construction Plumbing (MEP), Design to contractor Interior & now construction – one- O&M Services stop shop too.

Complementary alliances with major design firms and MEP consultants

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WIDENING HORIZONS

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GUJARAT RAJASTHAN
BHIWANDI
MAHARASTRA
KARNATAKA
DELHI
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PRIDE-ENHANCING CLIENTELE

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CERTIFICATIONS

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ISO 9001:2015 + ISO 14001:2015 + ISO 45001:2018 Approved Contractor as ‘AA’ class and “Special Category–1 in Buildings Class” with Government of Gujarat Approved Contractor as ‘AA’ class with Ahmedabad Municipal Corporation Registered as ‘A’ class approved electrical contractor in Roads and Buildings Department, Government of Gujarat

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AWARDS

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EXCELLENT CONTRACTOR OF THE YEAR 2015-16” BY “GUJARAT CONTRACTOR ASSOCIATION” DURING “GUJARAT CONTRACTOR SUMMIT 2016

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AFFORDABLE HOUSING PROJECT OF THE YEAR” FOR “MUKHYAMANTRI GRUH YOJNA” BY “REALTY PLUS EXCELLENCE AWARDS (GUJARAT) 2016”

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QUALITY MARK AWARD 2017 (BUILDING & CONSTRUCTION CATEGORY) BY QUALITY MARK TRUST

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HERCULES AWARD 2017 TO SHRI P.S.PATEL
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“EXCELLANCE IN DELIVERY” FOR “THE SIGNATURE BY HIRANANDANI” BY “REALTY PLUS EXCELLENCE AWARDS (GUJARAT) 2017”

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“THE MOST ADMIRED MULTIDISCIPLINARY
CONSTRUCTION COMPANY OF THE YEAR
(GUJARAT) BY THE RISING LEADERSHIP
AWARDS 2017
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CONSTRUCTION WORLD’S TOP
CHALLENGERS OF 2017-18 BY
CONSTRUCTION WORLD GLOBAL AWARDS
2018
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MOST RESPECTED ENTERPRENURE AWARD
(CONSTRUCTION) TO SHRI P.S.PATEL BY
HURUN REPORT INDIA 2018, DEC 13TH
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CSR EXCELLENCE FOR “OUTSTANDING
CONTRIBUTION” BY TV9 GUJARATI, 16 [TH] FEB
2019
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Thank You

PSP Projects Ltd.

‘PSP House’,

Opp. Celesta Courtyard, Opp. Lane of Vikramnagar Colony, Iscon-Ambli Road, Ahmedabad – 380058

P - +91 79 2693 6200/6300/6400

E – [email protected] I W – www.pspprojects.com

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