Fabtech Technologies Limited – Investor Presentation Summary

Key Operational Highlights

  • Global turnkey solutions provider operating across 62 countries with focus on pharmaceutical, biotech and healthcare facilities
  • 78% of revenue derived from MENA, GCC and ECO Zone markets
  • Asset-light, integrated model combining in-house manufacturing and advanced project execution
  • Key capabilities across Process Equipment & Containment Systems, Cleanrooms, and Purified Water & Distribution systems

Key drivers of operational performance:

Better project selection, procurement efficiency, execution quality, and scope mix driving margin expansion

Financial Highlights

Revenue: ₹74.98 Cr

EBITDA: ₹7.41 Cr

PAT: ₹4.21 Cr

Contribution Margin: 46.7%

YoY/QoQ comparison:

  • Revenue up 10.3% YoY
  • Swung from ₹6.13 Cr loss to ₹4.21 Cr profit YoY
  • Contribution margin expanded 910 basis points YoY
  • Employee costs down 2.8% to ₹10.22 Cr
  • Finance costs down 35.9% to ₹0.84 Cr

Drivers of financial performance:

Higher contribution margin due to better project selection, procurement efficiency, execution quality, and scope mix

Post-IPO utilization of funds reducing finance costs

Key Risks:

Seasonal concentration in H2 characteristic of EPC sector

Severe regional pressure in some markets

Project timing and execution cycle variations

Geographical Revenue Split

International revenue share: ~55%

Regional Breakdown:

  • Saudi Arabia: ₹17.13 Cr (+130% growth)
  • Africa: ₹27.93 Cr (Morocco and Kenya combined)
  • Rest of world: 29.6%
  • UAE: 27.9%
  • India: 10.0%
  • Kenya: 9.6%
  • Morocco: 4.8%

Strategic & R&D Initiatives

Investments in becoming local market-by-market through FTS Cleanroom Systems LLC and strategic joint ventures

Focus on precision-controlled environments in-house across Process, Air & Water capabilities

Expected impact on growth:

Market localization strategy driving growth in Saudi Arabia (+130%) and African markets

Strategic Rationale:

Expanding into high-growth GCC and African markets with pharmaceutical self-reliance focus post-COVID

Reducing dependency on imports and fragmented suppliers

Industry Trends & Business Environment

Macro/Industry Trends:

  • Post-COVID MEA region focus on pharmaceutical self-reliance
  • Biologics and specialty pharma capex accelerating
  • Healthcare infrastructure investment in GCC and Africa
  • Regulatory pressure driving facility upgrades globally
  • China+1 strategies increasing manufacturing diversity

Impact on Company:

Accelerating growth trajectory in target markets

Strong order pipeline of ₹9,300+ Cr

Management Commentary & Growth Outlook

Strategic Outlook: "Our aspiration is not simply to become larger. It is to become stronger, more resilient and more admired — an institution that commands trust and stands as a global benchmark in life sciences engineering" - Naushad Panjwani, Chairman

FY Guidance: Expected 20-25% YoY organic growth for FY27 based on order pipeline and business visibility

Growth Expectations: Q2 steady, H2 stronger with large-ticket opportunities in Africa

Risks and Opportunities: Seasonal patterns in EPC business with H2 typically stronger

Capital Allocation Philosophy

  • Capital deployed against execution priorities
  • Acquisitions considered based on strategic fit rather than pace
  • Idle capital optimization reviewed every quarter

Corporate Structure

Fabtech Group structure includes:

  • 100% ownership in KSA operations
  • 100% ownership in UAE operations (FTS Cleanroom Systems LLC)
  • 49% ownership in another entity
  • ~16% ownership in another entity
  • 33.33% ownership in joint ventures