Moldtek Technologies

First ever concall notes: Heard the recording- transcript is highlighted below.

Disclaimer: no reco to buy or sell. Notes from Q1FY24 concall.

1. Q2-Q4 invoicing improves and numbers start looking good. Work on hand has increased by 4.5 times.

2. Clientele is now increasing- takes 5-8 years to establish system. Work in civil has been well established. Can refer in any city in USA- Have several examples to prove ourselves.

3. Took 10 years to establish ourselves. We Were a part of World trade centre engineering. Credentials matter a lot. Today we do- 2d, 3d, robotics and simulations.

4. Started doing work for TESLA in 2019. In EV field- we are working with a lot of new customers. Seeing strong growth in next 2-3 years.

5. FY23 margins will be definitely sustained or Improved and there will be good growth on EBITDA level.

6. 40-50% EBITDA growth is what we are targeting in overall financial year this time.

7. Projects are typically long term. Start from Foundation of steel structure. Team in USA- interact with project managers. Moving into structural design.

8. Have moved to high end projects like industrial plants. Fixity margins are better at 50%. Want to have more such assignments. Currently at 10-12% of revenues, want to increase it to 15-20% of revenues.

9. Order book is 4-4.1 million Dollars in Civil. More than 30% above our average order. In mechanical, order book has gone from $200k to $1-1.1 million.

10. Completely working with Private Contractors, have several repeat clients. Have been adding several repeat clients. At present at the bottom of the pyramid. Once we become Structural engineers and architects. Will be directly rubbing shoulders with GC. We can charge them higher rates. If we take popular decisions, things can look good going forward.

11. With several new models in EV- expecting good demand going forward in next 3-5 years.

12. Second Generation is involved in both the companies. 3 are involved in Packaging, son in law is involved in Tech.

13. KPIT, Onward are some of the other competitors. We are a niche player- not competing directly. No listed company in our space of civil structural designing and detailing.

14. Q2 onwards- % of MEIS might increase. Will be better than last year. Both divisions have better work on hand- performance will be better than Q1.

15. Wish to enter into Embedded electronics. Absolute number- want to increase EBITDA to 55-60 Crores.

16. Hired record number of 115 trainees this Year. Internal training has become quite strong. Putting LMS in place. Have 14-15% Attrition in the company.

MOLD TEK TECH.pdf (1.4 MB)