#1TITAGARH 10th February, 2022 National Stock Exchange of India Limited Exchange Plaza Bandra-Kurla Complex Bandra (E), Mumbai-400051 Scrip Code: TWL (EQ) BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai-400001 Scrip Code: 532966 Dear Sirs, Sub: Earnings Presentation Q3 FY2022 Dear Sirs, Please find attached the "Earnings Presentation Q3 FY2022" which is self-explanatory. Please take the above on record. Thanking you, Yours faithfully, For TITAGARH WAGONS LIMITED Sumit Jaiswal Sumit Jaiswal Company Secretary Encl. As above TITAGARH WAGONS LIMITED CIN: L27320WB1997PLC084819 - 700 107, India Registered & Corporate Office: Titagarh Towers, 756 Anandapur, E. M. Bypass, Kolkata Phone: +91 33 4019 0800 | Fax: +91 33 4019 0823 | Email: [email protected] | Web: www.titagarh.in#2MOBILITY FOR MILLIONS. GLOBALLY. Titagarh Wagons Ltd (BSE:532966; NSE:TWL) Earnings Presentation Q3 FY2022 TITAGARH KD#3Transforming Business to Future Potential Transforming Business by Creating Distinguished Freight and Passenger Rolling Stocks Segment • Well established business segment with strong order book of ~Rs. 1,050 Cr at the end of Q3 FY22 C TITAGARH Freight Rolling Stocks . . Largest installed capacity of 8400 wagons per annum. Well positioned to capitalize on the growing opportunities arising from the increased government expenditure especially on wagons procurement Leading company in India to be engaged in the manufacturing of freight and growth fundamentals are fully aligned with growing industry dynamics Passenger Rolling Stocks Shipbuilding, Bridges and Defence Strong Indian orders book of ~Rs. 1,050 Cr at the end of December 2021 Execution of Pune Metro project is on schedule. Production at Uttarpara (West Bengal, India) is in full swing and commencement of delivery is expected in Q4 FY22 • Various tenders are due for bidding in near future Prototype development for various propulsion systems are in advanced stages ~ Order book of Rs. 450 Cr comprising of Shipbuilding, Specialized equipment's for India defence • Execution just started in Q3 FY22 and will pick up in the coming quarters • Land comprising of 8.8 Acres was acquired in Falta, West Bengal to expand Ship Building business. This facility will allow Titagarh to participate in tenders for larger vessels 2#4Q3 FY2022 In Review: Standalone Revenue up 17% and EBITDA up by 16% with Margins of 12.2% Rs. In Crores Total Income 332 17% 387 12.3% 41 EBITDA 6.7% 12.2% 47 22 Profit after Tax 4.9% Q TITAGARH 19 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 ◆ Margin (%) Margin (%) Total Income registered a double-digit growth owing to improving macro-economic scenario. Demand remained strong and execution on track as recovery from covid-19 continues At the end of December 21, the order book stood at Rs. 2,550 Cr • . EBITDA of Rs. 47 Crores, registering a y-o-y growth of 16.3% Maintaining EBITDA margins of 12.2% despite sharp increase in raw material prices especially steel Profit after Tax declined on y-o-y basis due to higher finance cost during the quarter Margins are expected to improve as other business contribution increases The Company remains Long-Term Net Debt-Free on a Standalone basis 3#5Order Book: Standalone Standalone Order Book as on December-2021: Rs. 2,564 Cr TWL India Order Book Breakup · Diversified order book 450, 18% 1,050, 41% ■Freight Rolling Stocks ~Rs. 2,550 Cr ■Passenger Rolling Stocks Dec 2021 1,050, 41% ■Ship Building, Bridges and Defence • • Around 60% of Indian order book is from the non- wagon business which will further dependency on the wagon business reduce Execution of Pune Project is on track and the first train was flagged off on 30th July from our Italian Plant Production at Uttarpara (West Bengal, India) is in full swing and commencement of delivery is expected in Q4 FY22 The company has participated in Freight and Passenger Rollings Stocks tenders and results are awaited * Others order book includes bids in which TWL is L-1 and formal contract is expected soon C TITAGARH 4#6Financial Performance: Standalone Rs. Crores FY2022 C TITAGARH Q3 YOY Q2 QoQ Nine Months YOY FY2021 Growth FY2022 Growth 9M FY2022 | 9M FY2021 Growth Total Income 387.3 331.6 16.8% 341.1 13.6% 1,073.1 764.5 40.4% EBITDA Margin (%) 47.3 40.6 16.3% 42.5 11.1% 133.3 94.5 41.1% 12.2% 12.3% 12.5% 12.4% 12.4% Profit After Tax (PAT) 18.9 22.2 (15.0)% 18.8 0.1% 58.4 33.1 76.2% Margin (%) 4.9% 6.7% 5.5% 5.4% 4.3% Basic EPS (Rs.) 1.58 1.87 (15.5)% 1.58 (0.0)% 4.89 2.78 75.5% 5#7Financial Performance Trend: Standalone Timely execution of orders and delivering consistent quarterly performance Revenue (Rs. Cr) EBITDA (Rs. Cr) 332 273 345 341 44 43 47 41 36 387 13.3% 12.3% 12.6% 12.5% 12.2% Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 EBITDA Margin (%) Profit After Taxes (Rs. Cr) 22 21 17 C TITAGARH Q3 FY22 19 19 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 6#8Q3 FY2022 In Review - Italy Business Legacy orders are on verge of completion and will be fully executed by end of Q4 FY22 Rs. In Crores 133 Total Income 209 206 • C TITAGARH In January 2022, Italy has won a framework contract of Euro 280 mn comprising of 38 trainsets 167 165 • Legacy orders are on verge of completion and will be fully executed by end of Q4 FY22 • • Higher margin order book delivery has started and will pick up in Q1 FY23 which will contribute positively to the profitability At the end of Dec 21, Italy order book remained strong with Rs. 4,450 Cr . Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Italy business registered a revenue growth of 24% on y-o-y 7#9Order Book: Consolidated Diversified order book across Indian and Italian business operations. Consolidated Order Book as on December 2021: ~Rs. 7,000 Cr TWL India Order Book Breakup 450, 18% Entity Wise Breakup 1,050, 41% ■Freight Rolling Stocks 36% ~Rs. 2,550 Cr ■Passenger Rolling Stocks ~Rs. 7,000 Cr Dec 2021 Dec 2021 ■Ship Building, Bridges 64% and Defence 1,050, 41% C TITAGARH ■TFA ■ TWL 8#10Q3 FY2022 Quarter In Review - Consolidated Revenue up 6.4% and EBITDA up by 19% with Margins of 8.3% Rs. In Crores 455 Total Income EBITDA 484 40 34 8.3% 7.4% Q TITAGARH Profit After Tax from Continuing Operations 1.47 Q3 FY21 Q3 FY22 (0.81) Q3 FY21 Q3 FY21 Q3 FY22 Q3 FY22 ◆ Margin (%) Both Standalone and Italy business registered double-digit year on year revenue growth of 17% and 24% respectively At the end of Dec 21, the order book remained strong with ~ Rs. 7,000 Cr • EBITDA margins continuous to improve significantly on y-o-y basis despite sharp increase in raw material prices Legacy orders are on verge of completion and will be fully executed by end of Q4 FY22 Profitability driven by standalone business which continues to deliver resilient PAT margins Higher margin order book delivery has started and will pick up in Q1 FY23 which will contribute positively to the profitability 9#11Financial Performance: Consolidated Rs. Crores FY2022 Q3 YOY Q2 QoQ Nine Months Q TITAGARH YOY FY2021 Growth FY2022 Growth 9M FY2022 9M FY2021 Growth Total Income 484.3 455.2 6.4% 467.4 3.6% 1,468.0 1,101.7 33.2% EBITDA 40.0 33.6 19.2% 42.8 (6.5)% 136.3 71.3 91.3% Margin (%) 8.3% 7.4% 9.2% 9.3% 6.5% Net Profit attributable to 1.5 (0.2) 5.8 (74.4)% 24.6 (19.5) Shareholders Margin (%) 0.3% (0.04)% 1.2% 1.7% (1.4)% Basic EPS (Rs.) 0.12 (0.02) 0.48 (75.3)% 2.06 (1.36) 10#12Segment Performance: Consolidated Q TITAGARH Q3 YOY Q2 QoQ Nine Months Rs. Crores FY2022 FY2021 Growth FY2021 Growth 9M FY2022 | 9M FY2021 YOY Growth Freight Rolling Stock Revenue 316.4 309.7 2.2% 246.6 28.3% 880.3 730.4 20.5% PBT 39.7 39.9 (0.5)% 36.4 9.0% 120.3 87.0 38.3% Margin (%) 12.5% 12.9% 14.8% 13.7% 11.9% Passenger Rolling Stock Revenue 159.4 135.4 17.7% 193.4 (17.6)% 536.1 353.4 51.7% PBT (8.0) (12.9) (3.2) (7.0) (36.6) Margin (%) (5.0)% (9.5)% (1.6)% (1.3)% (10.4)% Shipbuilding, Bridges and Defence Revenue 6.9 4.3 59.8% 20.0 (65.7)% 33.4 7.0 PBT 4.0 0.3 4.7 (16.4)% 8.1 (0.7) Margin (%) 57.8% 7.6% 23.7% 24.3% (9.9)% 11#13Disclaimer TITAGARH This presentation contains statements that are “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Titagarh Wagons' future business developments and economic performance. While these forward looking statements indicate our assessment and future expectations concerning the development of our business, a number of risks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macro-economic, gover-ental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. Titagarh Wagons undertakes no obligation to publicly revise any forward looking statements to reflect future/ likely events or circumstances. For further information, please contact: Anil Kumar Agarwal Chief Financial Officer Titagarh Wagons T: +91 33 4019 0800 E: [email protected] Ravi Gothwal/ Vikas Lhuach Churchgate Partners T: +91 22 6169 5988 E: [email protected] 12#14Titagarh Wagons Limited Kolkata Registered & Corporate Office Titagarh Towers, 756, Anandapur, E.M. Bypass Kolkata - 700107, West Bengal, India T: +91 33 4019 0800 F: +91 33 4019 0823 E: [email protected] CIN: L27320WB1997PLC084819 I TITAGARH