#1Thermax Limited - Investor Presentation Q4 FY21-22 Energy | Environment | Chemical | Services Our Vision To be a globally respected high- performance organisation offering sustainable solutions in energy and the environment#2Disclaimer This presentation includes forward-looking information and statements including statements concerning the outlook for our businesses. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, including global economic conditions, and the economic conditions of the regions and industries that are major markets for Thermax. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates", "targets", "plans", "outlook" or similar expressions. There are numerous risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from the forward-looking information and statements made in this presentation and which could affect our ability to achieve any or all of our stated targets. The important factors that could cause such differences include, among others: business risks associated with the volatile global economic environment and political conditions costs associated with compliance activities THERMAX • market acceptance of new products and services . • changes in governmental regulations and currency exchange rates, and such other factors as may be discussed from time to time in Thermax Ltd.'s filings with the Securities and Exchange Board of India (SEBI), including its Annual Report Energy Environment | Chemical | Services www.thermaxglobal.com#3Thermax at a Glance 3,699 Employees Globally* ጸሐ Installations in 88 Countries $651 Million revenue Energy Environment | Chemical | Services THERMAX Sales and Service presence in 30 Countries 14 Manufacturing Locations (10 in India, 4 abroad) Note: employees excluding workmen www.thermaxglobal.com#4Business Highlights - Energy Chilling the Chemical Processes in Malaysia Heating Oil & Gas Processes at Singapore Supplying Power from Waste Heat at a Steel Co. THERMAX Reducing Carbon Footprint for a FMCG and Textile Major through BOO Model Installation of chiller for a major acetic acid manufacturer. Commissioned a hot oil package boiler at an Oil & Gas giant. Energy Environment | Chemical | Services TBWES has commissioned 2*110 TPH waste heat recovery boilers at an iron & steel major in West Bengal, India. Commissioned two plants this quarter; steam supply to an FMCG major; steam and heat supply to a textile major, helping them reduce CO2 emissions by ~33,000 tons per year. www.thermaxglobal.com#5Business Highlights - Environment THERMAX Helping a Steel Industry Major to Manage Particulate Emissions Retrofit Air Pollution Control Solution for Sponge Iron Application Highest Capacity of Pre- fabricated STP Solution Helping Oil Major for Recycling Effluents W Commissioned an ESP for 63 TPH waste heat recovery boiler of a steel manufacturer. ESP retrofitting project completed for a steel major in India. Thermax has set up a 2.4 MLD STP recycling plant for a major automobile company in Gurgaon, India. Commissioned a 8.4 MLD - ETP recycle plant for an oil & gas major in India. Energy Environment | Chemical | Services www.thermaxglobal.com#6O Business Highlights - Chemical Digitalising Chemical Solutions by loT Products Growth in Oil Field Chemicals Growth in Construction Chemicals DOB @ SMART INDUSTRY O D 198 THERMAX Winning International Orders from Eastern and Western World Big wins in automated loT based product orders (digital offerings) for cooling water applications received in Q4. Oil field chemicals saw - 200% jump in Q4 Y-O-Y, which is highest ever order book in FY22; attributed to major order received from renowned oil field service provider. 40% Y-O-Y growth seen in construction chemicals business. Major orders for ion exchange resins received for industrial water treatment and high purity water from USA, Europe, Japan, Korea and India. Energy Environment | Chemical | Services www.thermaxglobal.com#7New Product Launches THERMAX Ultra Low Temp Hot Water Chiller Heat Pump Chiller TACTS-RX RealSteam™ Heat source: Hot water Inlet water temperature: 60°C -80°C COP 0.4 0.45 Capacity: 70-640 TR RISPLAY READINGS Lut P01; Ext Pressure (P2) Esdt Temperature (2) Steam Dryness Fraction 135:4 98.41 RealSteam WOCK MEL Takes care of both heating and cooling water needs TACTS-RX Compact, highly reliable, weatherproof, with unique benefits RealSteam™ is steam dryness fraction measurement device Absorption Cooling Energy Environment | Chemical | Services Steam Engineering www.thermaxglobal.com#8Thermax Q4 FY2021-22 Results P TAX Order book Order balance Operating revenue PBT* 3,396 cr. 8,812 cr. 1,992 cr. 131 cr. 127 % 69 % 26% PAT 103 cr. Cash and Investments 2,416 cr. (-6) % (-4)% 11 % Growth in order booking is due to two significant project orders bagged in Q4 • Sulphur recovery unit worth Rs. 1,176 Cr. • Flue Gas Desulphurisation (FGD) systems worth Rs. 546 Cr. Revenue - Highest invoicing in last 12 quarters PBT is lower due to increased commodity and freight costs Energy Environment | Chemical | Services THERMAX * Profit Before Tax and exceptional item Note: % Growth with respect to Q4 FY 2020-21 www.thermaxglobal.com#9Q4 - Order Book Status Cement 5% Metals & Steel 4% Drugs & Pharmaceuticals 4% Sugar / Distillery 4% Refinery And Petrochemical 6% Chemical 6% Others 12% Food/Beverage & packaging 8% Power 17% Transportation* 34% *Transportation sector includes the order from a refinery in North East India Energy Environment | Chemical | Services . THERMAX Highest ever quarterly order booking of Rs. 3,396 crore in 10 years Bagged Rs. 1,176 crore order to set up sulphur recovery block from an Indian public sector refinery Healthy mix of orders from diverse industry sectors Enquiry pipeline from Metals, Cement and refinery sectors continue to be strong due to increased CAPEX plans in the private sector www.thermaxglobal.com#10Consolidated Performance Summary by Segment Order Booking Order Balance Segment Q4, 2022 YOY% Change YTD Mar 2021 YOY% Change Energy Environment 2,385 103 % 5,895 63 % 884 332 % 2,788 82% Chemical 127 6% 128 63 % Total 3,396 127 % 8,812 68.6 % Energy Environment | Chemical | Services www.thermaxglobal.com THERMAX Note: Values are in Rs. crore#11Consolidated Performance Indicators Q3, 2022 Performance Indicator Q4, 2022 Q4, 2021 2,462 Order Booking 3,396 1,497 7,389 Order Balance 8,812 5,227 1,615 Revenue 1,992 1,575 108 Profit Before Tax and Exceptional (PBT) 131 140 6.7% PBT before Exceptional % 6.6% 8.9% Exceptional Item 108 Profit Before Tax (PBT) 132 140 6.7% PBT % 6.6% 8.9% 79 Profit After Tax (PAT) 103 107 4.9% PAT % 5.1% 6.8% Energy Environment | Chemical | Services THERMAX Note: Values are in Rs. crore and ratios are in % www.thermaxglobal.com#12Business Performance Summary THERMAX For Q4, FY2021-22 For Q4, FY2020-21 YTD Mar 22 YTD Mar 21 Segments Energy Environment Revenue PBIT PBIT % Revenue PBIT PBIT % Revenue PBIT PBIT % Revenue PBIT PBIT % 462 1,451 101 6.9% 23 1,175 109 9.3% 4,434 286 6.4% 3,627 218 6.0% 5% 302 20 6.6% 1,294 43 Chemical 132 4 2.8% 119 22 18.5% 539 62 3.3% 11.6% 794 38 4.7% 429 103 24.1 % PBIT - Segment PBIT before exceptional & unallocated overheads Energy Environment | Chemical | Services www.thermaxglobal.com#13Business Segment Wise - Quarterly Trend Energy Environment THERMAX | | | Value in Rs. crore 3,000 2,500 2,000 1,500 1,000 500 120 1,200 25 100 20 1,000 80 15 800 60 10 40 m 600 5 20 P 400 -5 200 -20 -10 -40 -15 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2122 FY2021 FY2122 OB 412 848 1,291 1,173 1,256 1,432 1,163 2,385 OB 104 155 172 204 300 285 1,135 884 RR 500 886 1,066 1,175 763 1,057 1,163 1,451 RR 84 155 253 302 180 312 339 462 PBIT -26 39 97 109 28 84 73 101 PBIT -10 10 18 20 3 6 11 23 Chemical 180 160 Value in Rs. crore 140 120 40 35 30 25 100 80 60 40 20 || || 15 10 TGSINNS PBIT 20 m Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2122 OB 92 111 102 120 139 139 163 127 RR 84 115 111 119 123 129 155 132 PBIT 17 35 29 22 22 20 17 4 Energy Environment | Chemical | Services www.thermaxglobal.com OB Order Booking RR Revenue Recognition PBIT Segment PBIT before exceptional & Unallocated Overheads PBIT#14THERMAX Domestic - Export Business Performance FY 2020-21 YTD March FY 2021-22 Q4, FY 2021-22 172 Chemical 252 Order Book Environment 555 80 Environment 2,693 1,030 Energy 1,000 2,000 3,000 4,000 Chemical 300 268 Chemical 64 64 2,517 87 4,747 1,490 868 16 Environment 1,983 Energy 402 Energy 2,000 4,000 6,000 8,000 500 1,000 1,500 2,000 2,500 3,000 Chemical 264 275 Chemical 1,204 90 Environment 3,178 1,257 Energy 55 75 77 418 45 1,098 353 183 Chemical 247 735 Revenue Environment 60 2,259 Environment 1,369 Energy Energy 2,000 4,000 1,000 2,000 3,000 4,000 5,000 500 1,000 1,500 2,000 Chemical 30 48 54 74 Chemical Order Balance 1,372 59 2,728 61 Environment Environment 2,824 892 4,608 1,287 Energy Energy 1,000 2,000 3,000 4,000 Energy Environment | Chemical | Services 2,000 4,000 6,000 8,000 Domestic Export All values are in Rs. crore www.thermaxglobal.com#15Environment and Industry Outlook • Covid-19 had a reducing impact on businesses across the globe after December 2021 • India's PMI for manufacturing fell to 54 Covid-19 Impact • Input Cost • • THERMAX Steel prices are at an all-time high, and continuously rising fuel prices have impacted the margins of the company Prevailing geo-political scenario has disrupted the supply chain which led to increase in input cost Cost of styrene, caustic soda, bicarb, ethylene di- chloride, including phosphorus-based chemicals continued to rise, thus adding cost pressure • • from 54.9 amid slower expansions in new orders and decline in new export orders The GDP projections for FY23 are slashed to 8.2% from the previously declared 9% owing to the rise in commodity prises (source: IMF) The global GDP is also revised to 3.6% from 4.4% due to commodity price volatility and disruption of supply chains caused by the war in Europe Market Sentiments Demand Energy Environment | Chemical | Services Sources: MOSPI, WHO, IMF • Healthy enquiry pipeline was witnessed across multiple segments like cement, steel, sugar, F&B and petrochemicals due to increased CAPEX in private sector Increased thrust on sustainability is driving the demand for alternate fuel consumption (biomass) and outsourcing of utilities especially in F&B and agro sectors Policy push to ramp up ethanol production helped in securing orders from sugar/distillery sector www.thermaxglobal.com#16Environmental consciousness has been at the core of our products and services offerings. The focus will continue strengthening our green portfolio as we chart the decarbonisation path. Energy Environment | Chemical | Services www.thermaxglobal.com THERMAX#17For more information about Thermax: Contact Us Thermax Limited Thermax House 14, Mumbai - Pune Road Wakdewadi, Pune 411003, India visit: www.thermaxglobal.com in You f Tube THERMAX Energy Environment | Chemical | Services