Salasar Techno Engineering Ltd

- The company has recently undertaken CAPEX of Rs. 20-25 crores generating incremental revenue of Rs. 80-100 crores this year. - There are plans for further CAPEX including a new heavy structures facility (~Rs. 40 crores) expected to generate Rs. 150-200 crores in revenue annually. - Another Rs. 50 crore CAPEX is planned for a new galvanizing plant to increase capacity. - The management is exploring various funding options for growth, including rights issues and debt, as needed. - They acknowledge the availability of "easy money" in the market and are open to raising funds through rights issues, especially from existing shareholders, to accelerate growth. - There is a cautious approach to scaling up rapidly but they are open to borrowing or equity fundraising if growth opportunities are compelling. - No definitive decision has been finalized on new fundraising yet; it depends on growth opportunities and market conditions.

- Recently completed CAPEX of Rs. 20-25 crores leading to incremental revenue of Rs. 80-100 crores annually. - New heavy structure steel division started; plans to expand with an additional facility requiring Rs. 40 crores CAPEX, expected to generate Rs. 150-200 crores annual revenue (under consideration, not finalized). - Investment of Rs. 50 crores to set up a new galvanizing plant adjacent to existing units, increasing capacity by 90,000 tons and improving cost efficiency; partly funded by Rs. 37 crores bank loan and internal accruals. - Focus on 5G readiness with in-house design teams collaborating with customers to provide lighter, smarter, and faster deployable telecom towers. - Considering growth opportunities and open to rights issues or borrowing to fund expansion based on market conditions and opportunities.

- Company aims for steady growth of 15%-20% year-on-year, considering capacity and financial prudence. - Plans incremental heavy structure steel division expansion with CAPEX of ~Rs. 40 crores, targeting Rs. 150-200 crores revenue per year. - New galvanizing plant CAPEX of Rs. 50 crores expected to add capacity (90,000 tons) and margin improvement. - Telecom sector outlook positive with expected 5G rollout driving exponential demand increases. - Power transmission and railway electrification segments also show large order books and government commitment. - Order book (~Rs. 967 crores) executable over 12-18 months indicates healthy near-to-medium term revenue visibility. - Focus on manageable order inflow to maintain margins and avoid overextension, limiting aggressive scaling despite large market opportunities. - Exploring scaling up with potential equity infusion (including discussions on rights issues) to capitalize on opportunities.

- Company targets steady growth of 15% to 20% year-on-year, maintaining manageable scale to ensure efficiency and margin sustainability. - New heavy structure steel division expected to contribute incremental revenue of Rs. 80-100 crores annually, with plans for further expansion targeting Rs. 150-200 crores yearly. - Expansion includes new galvanizing plant (Rs. 50 crore CAPEX) to increase capacity by 90,000 tons, improving margins and operational efficiency. - Telecom segment poised for strong growth, driven by 5G rollout and increased rural connectivity; anticipated monthly telecom order inflow around Rs. 30-35 crores. - EPC segment has robust order book of Rs. 967 crores, executable over 12-18 months, supporting sustained revenues. - EBITDA margins expected in the 10%-11% range; company focuses on maintaining margins despite input cost pressures. - No exact EPS guidance provided, but profit growth aligns with revenue and margin expansion, with past PAT margin around 5%.

- As of September 30, 2021, the total order book stands at Rs. 967 crores. - This includes: - Unexecuted orders worth Rs. 561 crores. - L1 EPC orders of Rs. 110 crores. - Manufacturing orders outstanding under the Heavy Structure unit of Rs. 61 crores. - Orders in Salasar Adorus amounting to Rs. 235 crores. - Export orders of Rs. 32 crores. - The Heavy Steel Structure Division has started operations with Rs. 61 crores unexecuted orders and ongoing negotiations. - EPC orders typically execute over 12 to 18 months, with some projects extending up to 20-24 months. - The company has good visibility of orders in telecom, power transmission, railways, and heavy structures with several large projects in the pipeline.