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DIVERSIFIED DISCIPLINED DETERMINED ITD Cementation India Limited Annual Report 2020-21 What’s Inside… CORPORATE OVERVIEW 02 At a Glance Please find our online version at 04 Chairman’s Message https://www.itdcem.co.in/investors/ 08 In Conversation with Top Management financial/annual-reports/ 12 Board of Directors 14 Management Team 15 Key Performance Indicators 16 Diversified : The Fulcrum of Growth 18 Disciplined : The Fuel for Excellence 20 Determined : To Excel 22 Diversified Presence and Disciplined Performance 24 Determination : Performance Build-up 26 Determined to Deliver : Project Highlights Or simply scan to download 36 Our Marquee Projects : Contributing to Nation Building 42 Determined to Serve the Community 44 Diverse and Disciplined Human Capital 45 Awards and Recognition STATUTORY REPORTS 46 Board’s Report 68 Management Discussion and Analysis 78 Report on Corporate Governance 92 Business Responsibility Report FINANCIAL STATEMENTS Standalone 101 Independent Auditor’s Report 110 Balance Sheet 111 Statement of Profit & Loss 112 Cash Flow Statement 113 Statement of Changes in Equity 115 Accounting Policies & Other Explanatory Information Consolidated Disclaimer: This document contains statements about expected future events and financials of ITD Cementation India Limited (or the Company), which are forward-looking. 158 Independent Auditor’s Report By their nature, forward-looking statements require the 166 Balance Sheet Company to make assumptions and are subject to inherent risks and uncertainties. There is significant risk that the 167 Statement of Profit & Loss assumptions, predictions and other forward-looking statements may not prove to be accurate. Readers are 169 Cash Flow Statement cautioned not to place undue reliance on forward-looking statements as a number of factors could cause assumptions, 171 Statement of Changes in Equity actual future results and events to differ materially from 173 those expressed in the forward-looking statements. Accounting Policies & Accordingly, this document is subject to the disclaimer and Other Explanatory Information qualified in its entirety by the assumptions, qualifications and risk factors referred to in the Management Discussion and Analysis of this Annual Report. Diversified Disciplined Determined WHAT DEFINES US: Our Diversified Product Portfolio WHAT DIRECTS US: Our Disciplined Project Execution WHAT DRIVES US: Our Determination to Excel Our robust execution capabilities, strong pre- qualification credentials, and the drive to excel enable us to build complex structures that are testaments of pride in nation building. Our decades of experience and support from our parent, Italian-Thai Development Public Company Limited, has been our strong backbone upholding us to develop reliable credentials as one of the major players in India’s infrastructure sector. We continue to increase our business diversity with a varied range of infrastructure projects, client base, and geographies in our proud roaster. We deliver quality infrastructure and deliver best solutions to create long-term value for our stakeholders. At a Glance ITD Cementation India Limited (‘ITD Cem’ or ‘the Company’ or ‘We’) is a well diversified infrastructure Company with rich experience and capability in executing technically complex projects. Our diversified portfolio, robust presence & scalability and streamlined business model have together established us as one of the leading names in the construction of off- shore Maritime structures, Mass Rapid Transit Systems including Elevated corridors, Underground metro stations, buildings and Tunnels, Industrial structures including Airport terminal buildings and technological buildings, Hydro electric power plants with Dams, Irrigation projects and Micro Tunneling works within the cities, Foundation and Specialist Engineering with reclamation and ground improvement. 90 YEARS OF RICH ExPERIEnCE Major EPC Player In InDIAn InfrastruCTuRE OPPORTunITIES Our business strategies are aimed at consistent performance of delivering complex infrastructure projects. We have a reputation of creating high-quality infrastructure assets. We are determined to constantly improve our operational efficiencies, continuously strengthen our balance sheet, unfailingly empower our workforce and dependably create value for our stakeholders. ANNUAL 2 REPORT 2020-21 Company Overview Statutory Reports Financial Statements We prioritise state-of-the art VISION CORE PRINCIPLES technology and an excellent Our aim is a satisfied Our safety, health and MIS system. client, a strong and quality standards are second Environmental awareness to none. proactive workforce and and care for our quality product finished We are Customer’s delight. surroundings in which we live is a part of our business on time maintaining Employees are our most philosophy. highest safety standard important asset and and to budget. working conditions and Our competitive edge training must enable them is maintained through to give their best. specialist skills and commitment to both MISSION We strive to ensure timely training and R&D. commencement and To make ITD Cementation completion of projects. India Limited, the Plant and machinery are country’s leading our wealth. We ensure their construction company in proper maintenance to customer choice, quality prolong productivity. and safety. ITD CEMENTATION INDIA LIMITED 3 Chairman’s Message We have demonstrated and nurtured our robust execution capabilities over the years. Our proven expertise and time-tested capabilities provide us with significant control over our projects’ execution and quality, even in the most challenging situations which drive our performance. Our constant endeavour is to keep on achieving our growth plans to create sustainable long-term value for our stakeholders. ANNUAL 4 REPORT 2020-21 Company Overview Statutory Reports Financial Statements Dear Shareholders, attributed to lower demand on the safety of our workers as a top account of global slowdown, priority, we continue to work as We are now entering into our stressed Centre and State- per the directives of Central and 90th year of journey in India. level finances, and inflationary State Government. We have been executing pressures, among other reasons. complex infrastructure projects In order to overcome these The infrastructure sector was no of national importance which challenges, the magnitude and different. For long, it has been are contributing in our historic cohesion of policy response by considered the sunshine sector lineage. Government was proactive and in India and instrumental in was backed by pro-growth fiscal FY 2020-21 was a volatile year propelling the country’s overall measures, monetary stimulus and for everyone. The sudden development. As a result, it technological alignments that outbreak of the pandemic and continues to receive focussed have actually triggered a reflation its continuance brought together attention from the Government, like situation in the global unexpected disruptions across thereby ensuring creation of economy. the globe. In these challenging world-class infrastructure in the times, I extend my sympathies to country. The Indian economy which people who have suffered and showed signs of recovery was The sector witnessed a slowdown continue being impacted by the further impacted by the second in Q1 FY 2020-21 due to the pandemic. I would also like to wave of the pandemic. However, widespread effects of the express my heartfelt gratitude the second wave had a short term pandemic primarily led by the towards the front-line healthcare setback and limited disruptions lockdowns imposed to contain workers who have selflessly and unlike the first wave of the the spread of the deadly virus. tirelessly served the people and pandemic. This is also supported The lockdowns further had a nation in these trying times. by improvement in global cascading effect on the sector macroeconomic situation and due to mass labour migration. speeding up of economies. Further, the unavailability of raw Industrial Landscape material, logistics constraints, The Government’s fast track Even before the pandemic struck decline in steel and cement initiatives in providing adequate at the fag end of the FY 2019-20, production also affected health infrastructure and faster the Indian economy was already project executions. However, availability of vaccines has already going through a lean patch. construction activities started kick started the Indian economy. Overall, there was widespread to gain momentum post Q1 FY Also, the recently announced volatility, reflected through a 2020-21 with gradual easing of budget placed special emphasis lowering of GDP growth rate, lockdown relaxations, availability on increased allocation for the moderating since the beginning of raw materials and labour force sector, ease of doing business, of Q4 FY 2018-19. This could be resuming work. While keeping ITD CEMENTATION INDIA LIMITED 5 increase in FDI investments, Performance in FY our Company showcased a good loans at concessional rates and 2020-21 performance for FY 2020-21, with encouraging more private sector a diversified order book of participation which shall provide At ITD Cementation India ₹ 11,732 Crore having pan India further impetus to the economy Limited, we have demonstrated and international presence, and the sector. and nurtured our robust thereby providing strong revenue execution capabilities over the visibility over next 3 years. The The Government has already years. Our proven expertise