3Fact sheet Triveni Turbine Ltd. GE Triveni Ltd. (TTL) 50% + One share Location: A 50,000 sq.mt factory area in beautiful city of BengaluruTTL listed in NSE & BSE,two major stock exchanges in IndiaTriveni Turbine Ltd.(TTL)50% + One shareGE Triveni Ltd.(JV with GE)
4Fact sheet Delivering STG Packages Market Share Annual Revenues Delivering STG packages up to 30 MW. Installations base of over 2500 turbinesglobally.Market ShareKey global player in steam turbine market with market leadership position in India, having approx. 58% market share.Annual RevenuesAnnual Revenues for FY 13 at ` 6.57 billion (USD 120 million).Global PresenceSignificant presence in South East Asia, Europe, South America, Middle East & Africa, with installations in over 55 countries.
5Pan India PresenceManufacturing FacilityMarketing and Service CentresNOIDAAllahabadAhmedabadRaipurKolkataMumbaiNagpurPuneLaturHyderabadKolhapurVijaywadaBengaluruTTL’s pan Indian presence offers a strong value proposition to the customersKeyDifferentiator
6Reduce Power Consumption Efficient ProductsBack PressureSteam TurbinesProductProductIncrease EfficiencyReduce Power ConsumptionStraight Back Pressure TypeCondensingSteam TurbinesProductProductTriveni TurbinesStraight Condensing TypeCondensing Type with Controlled ExtractionCondensing Type with Un-Controlled ExtractionCondensing Type with InjectionEngineered to orderCost EfficientPower Generation CapacityUp to 30 MWSteam Inlet TemperatureUp to 545°CSteam Inlet PressureUp to 120 Bar (a)
7Efficient Products Steam turbine and its control system Standard ScopeIncludesProductSteam turbine and its control systemControl oil systemLubricating oil systemCondensing system (as applicable)Gear boxAlternatorElectrical metering/control/protection systemInstrument control system
8Manufacturing Excellence PrecisionQualityState-of-the-artManufacturing facilityISO 9001 QMSISO EMScertifiedTechnologyManufacturing facility is equipped with:An array of 4 axis and 5 axis Vertical Machining Centres and Horizontal Machining Centres for machining of bladesMill-turn centre for machining of rotorsCNC gantry and CNC VTL for casing machining to high accuraciesLatest software applications like Integrated CAD/CAM for seamless manufacturing of turbine parts, ZeissCo-ordinate Measuring Machines (CMM) for precision measurements of critical componentsAssembly-cum-test beds for assembling steam turbines from start to finish and recording the test results on a wireless Data Acquisition and Display SystemHigh Speed Vacuum Balancing Machine for balancing rotorsCNC Coordinate Measurement MachineTurbine no load steam test facilityManufacturing Excellence
10Quality First An ISO 9001 14001 company Products meet International standards such as API, ASME, AGMA, IEC, NEMA etc.A network of approved suppliers and dedicated sub-contractors complying with stringent quality norms.Quality Checks performed before dispatchUltrasonic TestRadiographyHydro TestProfile MeasurementZygloTestDynamic BalancingAlignment CheckFull speed factory testSound Level MeasurementVibration MeasurementGovernor Response
11Innovative Designs delivering Research & DevelopmentDeveloped and commercialised 22 basic new models of high pressure, cost effective and highly efficient steam turbines in the past 10 years.Introduced 12 new product variants of turbines inDeveloped 10 new models of turbines inDeploy Latest computer aided design and engineering software for Finite Element Analysis (FEA), Computational Fluid Dynamics (CFD), Aero and Thermal Design, Modelling, Rotor Dynamics and Lifting analysis of turbo-machinery components.Innovative product development concepts such as design to cost, QFD, FMEA techniques, DOE techniques.Innovative Designs deliveringHigher PerformanceContinuous efficiencyimprovementOptimising costand performanceContinuous ProductDevelopmentCutting EdgeTechnologyIn-house design teamsupported by consultantsand domain expertsAssociation with globallyAcclaimed turbo-machinery design houses based in the USA
12Intellectual Property Rights TTL has totally filed 103 unique IP filings as on October, 2013.Involvement of IP team is right from product conceptualisation stage to the final design stage thus establishing a comprehensive security system to safeguard the valuable IPRs.The Company won the prestigious National Intellectual Property Award 2013 in the category of "Top Organisation in Design" for its outstanding contribution to intellectual property in the country.TTL has been awarded certificate of “Commendation for Significant Achievement” in the CII-EXIM Bank Award for Business Excellence This recognition has been achieved by TTL for the third time in the consecutive years.
13Unparallel Service360° After -Sales ServiceAftermarket Services are integrated under Customer Care Cell (CCC) which provides solutions for all after-sales requirements from erection and commissioning (E&C) to maintenance and spare parts to efficiency improvement.Full speed vacuum balancing tunnel for balancing turbines, compressors/alternators – can undertake balancing for turbo machines up to 200 MW depending on specifications.Overhauling & troubleshooting.Refurbishment & Residual Life Assessment of all makes of turbines, compressors etc.Customization & upgradation of old turbines for both industrial and utility segments in India and Asia Pacific market.Currently offering refurbishment solutions for higher MW turbines for all makes.13 service centres180 service professionalsOver 900 turbinesServiced annually24X7 customer caresupport
14Diverse Applications & Industry Segments Co-generationCaptive Power PlantCombined Heat & PowerCCP / Waste Heat RecoveryIncinerationBiomassSugarPalm OilDistilleryPulp & PaperFood ProcessingTextilesSteel & MetalCarbon BlackCementChemicals & FertilizersOil & Gas and PetrochemicalDistrict Heating & CoolingMunicipal Solid waste
15Power Generation Market Market CharacteristicsAnnual MarketPurchase decision based on high level of technology, efficiency & low life cycle costPrice sensitive marketPremium on shorter deliveriesStrong servicing capabilities and lifetime relationship with the customer is expectedRobust designs, typically suited for the Indian market are in demand.The five year average annual domestic demand for steam turbines upto 30 MW is about 1200 MW. On account of economic uncertainty and delay in order finalisation, the demand for FY 13 is estimated at around 670 MW.ReplacementMarketDemandDriversKyoto protocolPowerRatePower ShortageManufacturingGrowthIndustrialGrowth
16Power Generation Market Potential Gap between power requirement and generation getting wideGrowing renewable energy marketHuge potential for Biomass based power generation.Costly fuel source to influence replacement of DG to TG sets; thrust on co-generation.Focus on waste heat to energy and non-conventional energy sources like solar etc.Current industrial power consumption –generation gap to be bridged – focus on captive power generation.Additional power requirement in the country – incentive for surplus generation and allowing open access sale of power at remunerative prices.
17Financial Performance All financials are for April-March period for respective financial year
18Exports Strategy STP Strategy Segmenting Industries Positioning TTL Value PropositionTargetingCountriesEuropean MarketEqualiser – World class manufacturing infrastructureDifferentiator – Engineered–to-order productValue based pricingSegment Focus - Waste Heat and District HeatingAfrican MarketExperience of high temperature & pressure ( kg/cm2) cycleCompetitive DeliverySegment Focus – Sugar Co-generation/ BiomassSouth & Central American MarketExperience of high temperature & pressure ( kg/cm2) cycleCompetitive DeliverySegment Focus – Sugar Co-generationSouth East Asian MarketCompetitive Delivery & flexible product designPrice differentiation compared to Japanese product
19Exports FY13Export Order Book(` million)84%Growth33%Growth
20Exports FY13 Export Sales (` million) Order execution - Growth of 100% 98%Growth33%GrowthOrder execution - Growth of 100%Exports contribution to revenue - 27 %
23Financial Performance The overall performance for the quarter and half year under review has been lower than the corresponding periods of last year and significantly lower than the estimates for the current year.aggregating to over ` 1 billion, resulting in a total inflow for the first seven months at ` 2.4 billion.The first half of the current financial year saw an overall demand of 263 MW in the domestic market, which is a decline of ~32 % over the same period last year.With the market remaining uncertain, in the short term, the company anticipates similar slow down in the deliveries, which may have an impact on the overall turnover and profitability of the company in the coming quarters of the current year.The order booking in the export market in the first six months has been quite below our estimates mainly due to macro economic reasons and is not related to company's business strategy.On the booking front also, many of the enquiries under finalisation got postponed due to uncertainties and this has resulted in much lower order booking during the current six months in comparison to the previous year. The closing order book as on 30th Sept 2013 has been at ` 4.48 billion.Triveni is currently have presence in over 55 countries and during the past six months, it has made in-roads into over 15 new countries, the result of which in terms of order booking is expected in the coming quarters.Many of the orders which were not closed at the end of the Q2 FY14, concluded in October 2013The company's performance in after market for the six months under review has been better than Q1 with a growth of 17%.
24Joint Venture with General Electric (GE) Triveni Turbine Ltd. formed a 50:50 Joint Venture with GE on 15th April GE Triveni Ltd. (GETL) headquartered in Bengaluru, a subsidiary of TTL, will design, supply, sell and service advanced technology steam turbines in India in the range above MW for power generation applications in India and globally.The JV is currently responding to the enquiries both in the domestic market and to a diverse international market ranging from Canada to Indonesia.GE Triveni's first order for 35 MW has been commissioned and the performance has been as per the specifications.GETL to get technology and on-going R&D support from GE and TTL and will use TTL’s Bengaluru facility for turbine manufacturing.GETL, during the first six months of the current financial year secured two orders totalling to 76 MW, which is a significant share of the total order booking in the above 30 MW segment for the current first half.The operations of the joint venture with GE are in line with our expectation. All key managerial personnel are on board and the technology transfer is progressing as per schedule.GETL is currently executing four turbines, a part of which will be despatched during the current year itself and it is in an advanced stage of getting its first overseas order.The marketing teams of both GE and Triveni are working closely on the opportunities in their respective markets.
25Contact for Investor Relations CN NarayananTriveni Turbine Ltd.Tel Fax :Gavin Desa/ Ashwin ChhuganiCitigate Dewe RogersonTel: /1250/DISCLAIMER :Some of the statements in this presentation that are not historical facts are forward looking statements. These forward-looking statements include our financial and growth projections as well as statements concerning our plans, strategies, intentions and beliefs concerning our business and the markets in which we operate.These statements are based on information currently available to us, and we assume no obligation to update these statements as circumstances change. There are risks and uncertainties that could cause actual events to differ materially from these forward-looking statements. These risks include, but are not limited to, the level of market demand for our services, the highly-competitive market for the types of services that we offer, market conditions that could cause our customers to reduce their spending for our services, our ability to create, acquire and build new businesses and to grow our existing businesses, our ability to attract and retain qualified personnel, currency fluctuations and market conditions in India and elsewhere around the world, and other risks not specifically mentioned herein but those that are common to industry.Further, this presentation may make references to reports and publications available in the public domain. Triveni Turbine Ltd. makes no representation as to their accuracy or that the company subscribes to those views / findings.