Triveni Turbines

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About The Company

Triveni Turbine limited (TTL) is a holding company. The Company is engaged in the manufacturing of steam turbines and parts thereof. It is also involved in servicing, operation and maintenance of steam turbines. For over four decades, Triveni has delivered robust, reliable and efficient steam turbine solutions. Triveni Turbine Ltd. is a leading industrial steam turbine manufacturer, with a dominant market share of over 60% in India. It operates through Power Generating Equipment and Solutions segment.

The Company provides renewable power solutions specifically for Biomass, Independent Power Producers, Sugar & Process Co-generation, Waste-to-Energy and District Heating. Its steam turbines are used in diverse industries, ranging from Sugar, Steel, Textiles, Chemical, Pulp & Paper, Petrochemicals, Fertilisers, Solvent Extraction, Metals, Palm Oil to Food Processing and more. Apart from manufacturing, the Company also provides a wide range of aftermarket services to its own fleet of turbines as well as turbines of other makes supported by its team of highly experienced and qualified service engineers that operate through a network of service centers. Triveni Turbines market leadership has been built on a foundation of strong and continuously evolving research, development and engineering capabilities. The customer centric approach to R&D, along with a keen focus on delivered product and life-cycle cost has allowed Triveni Turbines to set benchmarks for efficiency, robustness and up-time of the turbine. A strong internal team, strengthened by collaborative associations with globally leading design and research institutions, has placed Triveni at the forefront of a technically challenging field dominated by large multi-nationals. GE Triveni Limited (GETL) is a subsidiary of Triveni Turbine Limited (TTL) and a joint venture with General Electric (now BHGE). GETL is engaged in design, supply and service of advanced technology steam turbines with generating capacity of above 30 to 100 MW. Headquartered in Bengaluru, GETL turbines are manufactured at state-of-the-art plants of Triveni Turbine Ltd. The products are marketed under “GE Triveni” brand globally.

Subsidiaries include GE Triveni Ltd (GETL), Triveni Turbine Europe Pvt Ltd (TTEPL) and Triveni Turbine DMCC (TTD).

 

 

Triveni Group Organisation Structure

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Shareholding Pattern

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Key Milestones

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Product Portfolio

A large percentage of world's power generation is achieved using steam turbines. The  advantage of power generation using steam turbines are:

  • The physical properties of steam (used as energy source for the turbines) are predictable at various pressures & temperatures and are constant across the globe.
  • The Steam turbine designs are scalable and can be designed to suit any application.
  • A Steam turbine separates the energy source and electrical power generation, making it compatible with various sources of fuels as feedstock (Coal, biomass, Municipal Waste), unlike a gas turbine, gas engine, diesel sets, etc.
  • Combined heat and power can be handled by steam turbines effectively, making it a widely used mode of power generation in the process industry.
  • Steam turbines catering to the base load operation in modern power systems by their unique operational characteristics (starting time and reliability)

Up to 30 MW

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Above 30 MW up to 100 MW

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Industry Overview

In India, steam turbine market is anticipated to grow significantly owing to electricity demand growth and rigorous industrialization. Stringent government norms towards technology development will further thrust the industry share. By applications, the global steam turbine market is segmented as power generation, petrochemical, pharmaceuticals, food processing and waste to energy. Power generation is anticipated to grow substantially owing to increasing demand for electrification and government initiatives in compliance with effective technology adaption. In 2017, Government of India has revised generation targets for the financial year 2017-18 to be increased by 50 billion units in comparison to previous year. Waste to the energy industry is set to grow considerably about growing demand for energy security and clean energy generation. The total installed capacity for power generation in India was 3,26,848 MW as on 31st March 2017, and approximately 57,260 MW of the installed capacity was from renewable energy sources.

The Indian Government’s focus on attaining ‘Power for all’ has accelerated capacity addition in the country. Indian power sector is undergoing significant changes that will redefine the industry outlook. Sustained economic growth continues to drive electricity demand in India. The annual growth rate in renewable energy generation has been estimated to be 34%. The Government has added 8,500 MW of conventional generation capacity during April 2016 - January 2017 period. Under the 12th Five Year Plan, the Government has added 93,500 MW of conventional power generation capacity, thereby surpassing its target of 88,500 MW during the period. Out of India’s total installed capacity of 57,260 MW of grid-connected renewable power, a significant share of 56% came from wind power, while 8% is contributed by small hydro power. The share of biomass and waste to energy segments contributed about 14%, with the balance 21% coming from solar.

 

Location of plants

Triveni Turbines manufactures steam turbines at its world-class manufacturing facilities in Bengaluru, India and assists its customers with their aftermarket requirement through its six global servicing offices. With installations of over 3000 steam turbines across 18 industries, Triveni Turbines is present in over 70 countries around the world including Europe, Africa, Central & Latin America, SE Asian and SAARC countries Triveni Turbine Limited offers steam turbine solutions for Industrial Captive and Renewable Power. It was demerged from its parent Company, Triveni Engineering and Industries Limited which holds 21.82% equity capital of TTL, in 2010 to emerge as a pure play turbine manufacturer.

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Key User Industries

Triveni caters to varied and diverse industries like Biomass IPP, Municipal Solid Waste IPP, District Heating, Palm Oil, Paper, Sugar, Naval, Textiles, Metals, Cement, Carbon Black, Solvent Extraction, Pharmaceutical, Chemicals, Petrochemicals, Fertilizers, Oil & Gas Municipal Solid Waste based Independent Power Plants (IPPs), and Captive Power Plants (CPPs).

 

Revenue Analysis

Domestic Market

The Indian Steam Turbine market for under 30 MW size showed a growth of 7% in FY 17 as compared to FY16. The total domestic order booking for the Company regarding value stood at 4.11 billion in FY 17, a growth of 29%.

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Export Market

The total order booking from the International market during the year stood at Rs.3.00 billion. During the year, the Company’s inquiry book grew by 5% at 5 GW and also expanded its market reach by entering new geographies.

With over 2500 turbines installations in over 50 countries globally, the Company is fast spreading its global footprint to more countries and geographies and is present in more than 18 industries.

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Geographic Composition of Net Sales

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Aftermarket Business

It is also the objective of the Company to increase the quantum and proportion of the high margin aftermarket business. Refurbishment of turbines is a focus area, and it offers enormous potential for growth. These trends indicate that the Company is well on its way to improve the proportion and has made an effective entry in the export market.

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Key Initiatives

The increased focus and market penetration in new markets like Middle East, North Africa, Australia and Vietnam have yielded positive results that should strengthen the Company’s further growth in the export market going forward.

New generation blades, profiles, and modules are under development which should also help the Company to remain at the forefront of product development.

 What the Company’s portfolio of IPR is building up on a consistent manner

company is also having new product serving new markets such as the oil and gas market in MENA and the waste to energy market in Europe. The models that company is developing are at the forefront of competition today.

The company expects to increase its expenses in R&D, and product development as per customer needs to stay competitive in future.

 

Competitive Advantage

  • The key competitor for the company in India is Siemens. However, companies like Siemens and BHEL have a very wide range of products and are not as focused on a single product in a narrow range (below 30 Mw).
  • The company earns a very high return on capital which points to the presence of a sustainable competitive advantage
  • According to the company, its focus on after-market service has proven to be a decisive differentiator from competitors
  • Triveni focuses on technology which is a key differentiator to deliver value to its customer.
  • The spectrum of industry segments that Triveni serves helps the company to understand clients' working conditions, enabling complete product delivery.
  • Triveni Turbines have gained global recognition for their custom-engineered, cost-effective products and solutions.
  • The workforce includes specialists in steam turbines and related electrical systems having strong domain knowledge on Functional and Basic Design, Testing and Plant commissioning.
  • Well established high-quality vendor network Good acceptance in oversees market in products and service
  • Company has maintained 65% – 70 % of overall Market share of up to 30 MW capacity in the last 10 Years

 

Financial Summary

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