TD Power Systems held a conference call on August 7, 2015. In the conference call the company was represented by Nikhil Kumar, MD of the company.

Key takeaways of the conference call

Order inflow in Q1FY16 for manufacturing is Rs 72 crore and for projects is Rs 29 crore. The order backlog as end of June 2015 was Rs 463.2 crore and of which about Rs 299.7 crore was domestic, Rs 119.7 crore exports and Rs 43.8 crore was deemed exports. Of the total order backlog the share of manufacturing was about Rs 320.2 crore (domestic Rs 156.7 crore and balance are exports/deemed exports), projects is about Rs 136.6 crore and EPC is Rs 6.5 crore.

Manufacturing revenue growth for FY16 is now expected at 10-15% as domestic market continued to be weak. The small hydro turbine segment witnessed dropped by 90% to 5 units from 50-60 sets earlier. The company had over 70% share in small hydro turbine segment. Similarly there is change in steam turbine generator dynamics as well.

EBITDA Margin for FY16 will be flat at 13.5%. Realizations for us are down due to market conditions this negates the benefits on account of benign material cost as well as cost reductions.

Other interest income and forex fluctuation which is on negative side. The forex loss is Rs 2 crore in Q1FY16.

One of our major technology partners is currently negotiating for sourcing Steam turbines from India for their global requirement. The deal is yet to be signed and once that happen the supply from India to them from the company's plants start from next year.

Indian Railways currently buys generators from BHEL and GE and the company is looking at catering to this segment.

Currently about 16% of exports are from Eurozone.