AtIIFL’S Enterprising India Conference 2010

3rd February 2010 Mumbai

Cautionary Statement

A US$6 billion Engineering & Manufacturing enterprise of its kind in India

A ‘Navaratna’ company and a Major Integrated Power Plant Equipment Manufacturer in the World

Profit Making Company since 1971-72 Consistent Dividend Paying Company for

over thirty years (FY 1976-77 onwards) References in over 70 countries Installed base of more than 1,00,000 MW

Power Transmission

Industry Transportation

Oil & Gas NCES

Single Source

for Multiple

Solutions of

Infrastructure &

Industrial

Sectors of the

Economy

( As on 31st Dec’09 )

(Rs. crore)

Rs. crore

Rs. crore

Total Order Book as on 31.12.09: Rs. 1,34,000 crore

Parameter Q3 FY0910 Q3 FY0809 YoY %

Turnover 7381 6445 + 15%

EBIDTA 1755 1327 + 32%

EBIDTA Margin 24% 21% +319 bps

Profit Before Tax (PBT) 1644 1223 + 34%

Profit After Tax (PAT) 1073 791 + 36%

EPS (Rs) 21.91 16.13 + 36%

(Rs. Crore)

Growth Story Continues

Rs.5564 Cr order for 3x660 MW Bara, Pryagraj PGCL, JP Group

Rs.2889 Cr order for 5x270 MW ELENA PIL (India Bulls), Amaravati

Rs.2486 Cr order for 2x600 MW PIPAVAV Energy Pvt. Ltd

Rs.2889 Cr order for 5x270 MW ELENA PIL (India Bulls), Nasik

OB up to Q3FY0910 Power Industry Exports(Rs Cr) 36,425 28425 7557 967

Transmission, 7.6%

Transportation, 3.6%

Other Indl. Products, 12.8%

• Transformers• Switchgear• Indl. Control Gear / Control Panels• Capacitors• Insulators• HVDC/ Transmission Projects

• Traction machines• Traction Control gears• DESL• AC Locos / DG Sets / Other

• Industrial Machines• Indl. TG / Boiler Sets• Compressors• Oil Field Equipment• Valves• Others

Industry Segment contribution to total Turnover: 25-27%

A major manufacturer of power plant equipment for various fuels

Fully indigenized technology up to 600 MW from world leaders

Supplies Steam turbines, generators, boilers and matching auxiliaries up to 800 MW ratings including supercritical sets of 660/800 MW

307 coal based sets installed, including 35 sets of 500 MW rating

365 nos. BHEL make Hydro Utility sets installed in the country

BHEL is fully geared up to meet demand for

Power Plant Equipments in the Country.

Ordered on Others3609745%

Thermal3329841%

Hydro61428%

Nuclear5001%

Gas39735%

BHEL4391354%

Manufacturing capacity expansion: 15,000 MW p.a. completion by Mar 2010 20,000 MW p.a. completion by Mar 2012

Supercritical Technology Business: Orders received for: 2x800 MW supercritical boilers for Krishnapatnam 2x660 MW supercritical sets for Barh-II, NTPC 3x660 MW Bara, Pryagraj PGCL, JP Group

JVs formed for: 2x800 MW supercritical thermal power project each with TNEB and MPPGCL 3x800 MW supercritical thermal power projects with KPCL

MoU signed with Mahagenco for 2X660 MW supercritical thermal power plant at Latur, Maharashtra

Nuclear Field: Order received for steam generators for new rating 700 MWe Nuclear sets MoU signed with NPCIL for formation of JV for conventional island of Nuclear

Power Projects. Technology tie-ups being explored for 700 MW and above TG sets.

MoU signed with GE-Hitachi for cooperation in Nuclear island equipments for Power plants to be set up by NPCIL.

Technology Edge: 270 MW, 525 MW, 600 MW sub-critical thermal sets introduced R&D spend in 2008-09 at Rs. 690 Crore Advance Class Gas Turbines technology in place Tie-up with Sheffield Forgemasters Intl., UK for technology transfer in Forgings 765 and 1200 KV- development work being pursued Transportation-IGBT based technology being pursued Sole supplier in world for 420 kN/320 kN porcelain insulators for ±800 kV

HVDC transmission lines

Strategic Alliances: Partnerships forged with NTPC, KEL & HEC for strengthening the

supply chain Solar: MoU signed with BEL for formation of a JV to address Solar

Photovoltaic business Transportation: MoU with GE for Diesel Electric locomotives and

manufacture of propulsion systems Transmission: JV route covering Transformers, GIS, ACBs etc.

Inorganic Growth: BHPV - 100% subsidiary

Global Forays: Physical export orders of Rs.3,265 Crore in 2008-09 - from 22

countries Presently executing 40 contracts in 25 countries Forays in new markets – Belarus, Senegal, Rwanda & new market

segments in Syria, Tajikistan, Japan, Nigeria Long term business tie-up: 6year Rate Contract for 126 MW rated Gas

Turbine Generating Sets from Oman – one of its kind in the world MoU signed with TGR, Hungary for exploring opportunities for

conventional boilers and R&M of boilers in European and CIS countries

Customer Confidence: Confidence reposed by Private Sector customers: Highest ever (92%)

private sector orders inflow of Rs 25,917 Cr/ 11,819 MW in Power Sector up to Q3FY10

Highest value order of Rs.2,005 Crore received in Industry Sector business segment from Hindalco for 6x150 MW BTG package for Mahan (MP)

First ever order for generator transformers for 800 MW sets and also the largest rating to be installed in India for Mundra UMPP, reinforcing technological and market leadership in transformers

Other capability enhancing measures: In two years (2007-09) manpower ramped up by 8,500 persons

(ETs, STs, Artisans) Enhancing Vendor base for raw materials and Balance of Plant (BOP) Leveraging Welding Research Institute at Trichy to train high pressure

welders of contractors Deploying additional Tools & Plants like heavy lift cranes suitable for

erection of 800 MW, 500 MW, 250 MW Boilers

Capability & Capacity Enhancement

Investment

Rs.4200 Crores

Globalization

Export revenues to

increase by 6 times to

Rs.6700 Crore

Spares & Services

Revenues to grow by 4 times to

Rs.4700 Crore

R&D

Spend to increase by 6

times to Rs.900 Crore

HR

Manpower to grow from 42,000 to 50,000 by 2011-12

18,739 Cr. (2006-07)

45,000 Cr. (2011-12)

91,900 Cr. (2016-17)

AA:P

LD:5

6::0

2.02

.10