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Investor Presentaiton

Management Commentary GAURAV SARUP CO-FOUNDER & MD • The Company's operational and financial performance has rebounded in Q4FY22 after two subdued quarters that were disturbed in anticipation of a severe third wave, and many of the clients deferring their capital investments at the time. On a QoQ basis, the Company reported a significant increase of 162% in Revenue from Operations, coupled with an improved EBITDA margin of 22% in Q4FY22. Improvement in EBITDA margin was driven at the gross level, where the Company successfully passed the increase in input costs to its customers. Furthermore, the Company has a robust order book of 54 crores and order bids of 260 crores as of 31st March 2022, recording a YoY increase of 6% and 93%, respectively. With a pickup in industrial activity, positive feelers from its clients on their capital expenditure plans, and an all-time high order book, the Company eyes for a significantly improved FY23 performance. The demand outlook is especially good on the automation front. Clients are increasingly scouting and opting for automated machine cells to improve their production efficiency in an inflationary environment to maintain cost competitiveness. As a result, the Company expects an increase in the share of automated business within the revenue mix. On the operational front, dramatic supply chain disruptions, logistical challenges and volatile input costs persist; however, the Company is better positioned to tide through these challenges. Further, the Company is also strengthening its geographical presence, especially in smaller manufacturing hubs such as Jamshedpur, Nagpur, and Mehsana - where it has appointed dealers. Going forward, the Company plans to pursue sales channels such as the dealer model to further growth in these territories. Other strategic initiatives involve the addition of Defence & PSU business - predominantly an L1- tender driven business, which the Company plans to cater to in the coming years. To conclude, the Company is geared to build on its performance of Q4FY22 and deliver a significantly improved FY23. 40 I MARSHALL MACHINES LIMITED
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