Salasar Techno Engineering Limited — Interim / Quarterly Report 2022

Oct 31, 2021

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Dated: 31.10.2021

To,

The Manager – Listing The Secretary National Stock Exchange of India Ltd. Corporate Relationship Dept. Exchange Plaza, BandraKurla Complex BSE Limited Bandra East P.J.Tower, Dalal Street, Mumbai – 400051 Mumbai – 400001 Symbol – SALASAR Scrip Code: 540642

Sub : - Press Release

Dear Sir/Madam,

Please find attached herewith Press Release of the Company w.r.t. Financial Results of the Company for quarter and Half Year ended 30[th] September, 2021, for your record and further dissemination.

Kindly take the same on record.

Thanking You,

Yours Sincerely

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Salasar Techno Engineering Ltd.

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STRONG BROAD-BASED PERFORMANCE IN Q2FY22

New Delhi, India – Oct 31, 2021 – Salasar Techno Engineering, a leading manufacturers of telecom towers and provider of customized steel fabrication and infrastructure solutions in India, announced its second quarter of FY22 (Q2FY22) results on Saturday, 30[th] Oct 2021.

Management Commentary:

Speaking about the performance, Mr. Shashank Agarwal, Joint Managing Director, Salasar Techno Engineering Ltd. Said ,

“I am pleased to inform you that the company has delivered a strong performance during the quarter with a revenue of Rs 200.2 Crores and EBITDA of Rs 21.5 Crores which is 10.7% of the revenue. The operations of the company are back to normal post the Covid disruptions, which is reflected in the results. The stellar performance was driven by contribution from each of our business segments along with our approach to diversify and enter newer segments. All our business verticals offer significant headroom for growth and operating leverage as they scale up. Railways’ electrification continues to remain a key growth segment and focus area for us. Further our new vertical of Heavy Steel Structure Division has gained impetus with a steady flow of orders along with increasing our customer base with reputed brands.

“The entire team of Salasar Techno Engineering deserves special acknowledgement for their untiring efforts in contributing towards the Company’s performance as we continue to strive for growth opportunities in the future.”

Key Financial highlights of the Quarter (Consolidated):

Particulars (INR Cr)	Q2 FY22	Q2 FY21	YoY	Q1 FY22	QoQ	H1 FY22	H1 FY21	YoY
Net Sales	200.2	147.6	35.7%	132.8	50.8%	333.0	210.7	58.0%
EBITDA	21.5	15.0	43.3%	14.7	45.8%	36.3	19.8	82.8%
EBITDA Margin%	10.7%	10.2%	57 bps	11.1%	-36 bps	10.9%	9.4%	147 bps
Profit After Tax	10.0	8.2	22.6%	7.3	36.4%	17.4	8.4	107.4%
PAT Margin%	5.0%	5.5%	-53 bps	5.5%	-52 bps	5.2%	4.0%	124 bps
Basic EPS (Rs.)	3.51	3.08	14.0%	2.54	38.2%	6.05	3.15	92.1%

Performance Highlights:

Q2FY22

• Revenue from Operations was at Rs. 200.2 crore in Q2 FY22, as against Rs. 147.6 crore in Q2 FY21, registering a growth of 35.7% Y-o-Y. This growth has been on account of timely execution of orders across segments and normalisation of pandemic led restriction and economic revival .

• EBITDA stood at Rs. 21.5 crore in Q2 FY22 as against Rs. 15.0 crore in the previous year, registering a growth of 43.3% driven by better realisation.

• EBITDA margin for the quarter stood at 10.7%, an increase 57 bps as against 10.2% in Q2 FY21.

Salasar Techno Engineering Limited, Limited, E-20, South Extension I, New Delhi-110049 www.salasartechno.com | BSE: 540642 | NSE: SALASAR | CIN: L23201DL2001PLC174076 | ISIN: INE170V01019

Salasar Techno Engineering Ltd.

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• Profit After Tax was at Rs. 10.0 crore in Q2 FY22 as against Rs. 8.2 crore in Q2 FY21, Y-o-Y growth of 22.6%.

• PAT margin stood at 5.0% in Q2 FY22.

• Basic EPS stood at Rs. 3.51.

Key Developments

• The Heavy Steel Structure Division of the company has started its operations and as on date, the Company is having unexecuted orders of worth 61 Crores in hand and is in negotiation with some leading customers for supply of structures.

• The company has an order book of Rs 32 Crores of export orders in hand.

• During the period under review the operations of the company are back to normal and there is no COVID impact now. EPC work is being carried out without any hinderance.

• Telcom companies have again started to execute their capex plans for installation of new towers for 4G and forthcoming 5G, and the recent Telecom package announced by Govt of India for Telecom sector has boosted the overall sentiments of the industry.

About Salasar Techno Engineering Limited:

Salasar Techno Engineering Ltd. incorporated in 2007 is a provider of customized steel fabrication and infrastructure solutions in India. The Company provides 360-degree solutions by carrying out engineering, designing, fabrication, galvanization and deployment. Its products include telecommunication towers, power transmission line towers, smart lighting poles, monopoles, guard rails, substation structures, solar module mounting structures and customized galvanized & non-galvanized steel structures. Salasar Techno Engineering Limited’s services include providing complete engineering, procurement and control for projects such as Railway Electrification, Rural Electrification, Power Transmission Lines, and Solar Power Plants.

Salasar Techno Engineering is among the leading manufacturers of telecom towers in India with more than 50,000 towers since inception. The Company has three state of the art manufacturing facilities located in Hapur, Uttar Pradesh.

For more details, please visit: www.salasartechno.com

For further information, please contact:

Mr. Pramod Kumar Kala Lokesh Pareek/Vikash Verma Chief Financial Officer Christensen Advisory Salasar Techno Engineering Limited M: +91 84249 55935 E: investor.relations@salasartechno.com E:Lpareek@christensenir.com/ VVerma@ChristensenIR.com

Salasar Techno Engineering Limited, Limited, E-20, South Extension I, New Delhi-110049 www.salasartechno.com | BSE: 540642 | NSE: SALASAR | CIN: L23201DL2001PLC174076 | ISIN: INE170V01019