Triveni Engineering & Industries : Gross Revenue at Rs. 706.61 crore

Registered office: Deoband, District Saharanpur, Uttar Pradesh 247554.

Corporate office: Express Trade Towers, 8th floor, 15-16, Sector 16A, Noida 201301, Ph: 0120-4308000, Fax: [phone]

CIN : L15421UP1932PLC022174

For immediate release

Q1 FY 19 Consolidated Results ended June 30, 2018

Gross Revenue at ` 706.61 crore, lower by 16%

Profit after Tax at ` 37.12 crore

•  Sugar Businesses

  •  The Country's sugar production estimated at ~ 32.4 million tonnes

  •  Sugar prices dipped to ` 26/Kg during the quarter but these have improved substantially as a result of various Government measures

  •  Liquidation of cane dues requires significant intervention by the Government.

  •  Preliminary estimates for SS 2018-19 sugar production in the range of 35 - 35.5 million tonnes

•  Engineering Businesses

  •  Market has been showing good visibility for Gears business; registered good growth during the quarter in terms of turnover, profitability and order booking

  •  Water business booked significant orders during the quarter; exhibited a clear turn around

  •  Outstanding order book of ` 1272 crore for combined Engineering Businesses

Mysuru, August 01, 2018: Triveni Engineering & Industries Ltd. ('Triveni'), one of the largest integrated sugar producers in the country; a market leader of engineered-to-order high speed gears & gearboxes and a leading player in water and wastewater management business, today announced its performance for the first quarter ended June 30, 2018 (Q1 FY 19).

The Company has prepared the Financial Results for the first quarter based on the Indian Accounting Standards (Ind AS) and as in the past, has been publishing and analyzing results on a consolidated basis.

PERFORMANCE OVERVIEW: Q1 FY 19 (Consolidated)

In ` crore

Q1 FY 19	Q1 FY 18
Gross Revenue	706.61	844.29
EBITDA (before exceptional items)	81.82	134.31
EBIDTA Margin	11.58%	15.91%
Share of income from Associates	3.29	2.36
Profit / (Loss) Before Tax	45.01	83.78
Profit / (Loss) After Tax (PAT) Consolidated	37.12	60.54
Other Comprehensive Income (Net of Tax)	(0.37)	0.06
Total Comprehensive Income	36.75	60.60
EPS (not annualized) (`/share)	1.44	2.35

•  Sugar profitability is mainly due to upward revaluation of stocks by ` 21.3 crore.

•  Co-generation business has performed well during the quarter owing to long sugar season and higher operational days.

•  Distillery also registered improved performance.

•  Gears business performed well during the quarter in terms of better order booking, turnover and profitability.

•  Water business secured substantial orders during the quarter. Some continuing delays in existing contracts added to losses by way of some cost overruns and prudent provisioning.

•  The total debt of the Company as on June 30, 2018 is ` 1087 crore which is ` 260 crore lower than 30.06.2017, it includes term loans of ` 125 crore, comprising soft loans of ` 31 crore.

Commenting on the Company's financial performance, Mr. Dhruv M. Sawhney, Chairman and

Managing Director, Triveni Engineering & Industries Ltd, said:

"The outlook of the Sugar Business looked alarming due to the glut situation as the sugar prices dipped to ` 26/Kg during the first half of the quarter. However, the position has somewhat been salvaged due to intervention of the Government in introducing regulated sugar release mechanism, buffer stocks, prescribing floor prices for sale of sugar and mandatory exports, however more Government initiatives, including policy change is required in the immediate future.

The normal production of the country has undergone a change and the new normal may be set. UP is expected to produce over 10/11 million tonnes on a sustainable basis. It is well above the consumption levels and there is a need to export on a continuous basis. In view of the high cost of production of sugar produced in the country, primarily due to unrealistic cane price, the exports arenot price competitive and hence, such exports are not possible unless the export losses could be offset by strong domestic sugar price or through assistance from the Government.

The New Bio Fuel Policy, permitting production of ethanol from sugarcane juice and B-heavy molasses, and a recent scheme to incentivize new ethanol manufacturing capacities will go a long way in setting up additional capacities and regulating sugar production in favour of ethanol but the results will take at least 2-3 years to stabilise. In the meantime, the Government must have a plan to deal with surplus sugar, including dissuading farmers to restrict planting of sugarcane till adequate ethanol capacities are established.

The Central Government has recently increased FRP. The UP Government will do well in not following suit and instead, work out a plan to bail out sugar industry, which is in acute financial stress. Due to projections of higher surplus, the storage of sugar will be a pressing challenge in the upcoming season.

The Gears business, during the quarter, has performed well in terms of turnover, profitability and the order booking which augurs well for the business going forward. Our foray into new products is expected to result in better performance in the coming quarters. In the Water business, the order inflow during the quarter has been very good and the total order intake has been ` 368.92 crore, a growth of 377% compared to Q1 FY 18. With improved turnover arising from the new orders. we expect turn around in the business here onwards.

- ENDS -

Attached: Details to the Announcement and Results Table

About Triveni Engineering & Industries Limited

Triveni Engineering & Industries Limited is a focused, growing corporation having core competencies in the areas of sugar and engineering. The Company is one amongst the largest integrated sugar manufacturers in India and the market leader in its engineering businesses comprising high speed gears, gearboxes, and water treatment solutions. Triveni currently has seven sugar mills in operation at Khatauli, Deoband, Sabitgarh, (all in western Uttar Pradesh), Chandanpur, Rani Nangal and Milak Narayanpur (all in central Uttar Pradesh) and

Ramkola (eastern Uttar Pradesh). While the Company's Gears manufacturing facility is located at Mysuru, the

Water & Wastewater treatment business is located at Noida. The Company currently operates three grid connected co-generation plants and three incidental co-generation plants located across five sugar units and one of the largest single stream molasses based distillery in India, located at Muzaffarnagar.

The Company produces premium quality multi-grade plantation and refined sugar. All of the Sugar units are FSSC-2000:2010 certified. The sugar is supplied not only to household consumers but also to bulk consumers. The Company has supply chain relationship with leading multinational beverage, food & FMCG companies and pharmaceutical companies. It also has a strong presence in branded sugar market through its brand "Shagun". The distillery has a flexible manufacturing process allowing it to produce Ethanol, Extra Neutral Alcohol (ENA), Rectified Spirit (RS) and Special Denatured Spirit (SDS) all of which are renowned for their high quality. Its co-generation plants in Deoband and Khatauli (Phase I) are registered as Clean Development Mechanism (CDM)

projects with UNFCCC. The Company's Khatauli, Deoband, Sabitgarh, Chandanpur & Milak Narayanpur units are also registered as Renewable Energy Certificate (REC) project under CERC.

The Company delivers robust and reliable Gears solutions which cover a range of applications and industries to meet the ever-changing operating conditions and customers' requirements. The major product portfolio includes steam turbines, gas turbines, and compressor gearboxes under the High Power High Speed segment.

In the Low Speed segment, the Company focuses on the gearboxes used in applications such as reciprocating pumps and compressors, hydel turbines, mill and extruder drives for metal, sugar, rubber and plastic industries, marine applications, etc. All the products are designed, manufactured and commissioned in accordance with international quality norms such as DIN/ AGMA/ API/ ISO standards. Its robust and reliable products are backed by 360-degree service solutions which minimise the downtime for its customers. The Company provides health monitoring services for all types of critical gearboxes, high speed and low speed, as well as maintains an inventory of dimension ready sites for immediate solution.

The Company is also one of the leading solutions providers for water treatment, wastewater treatment and the recycle of water. Advanced Solutions offered for total water management include turnkey / EPC, customer care, operations and maintenance, life cycle models such as Design, Build Own & Operate (DBOO), Design, Build Own Operate and Transfer (DBOOT), BOOT, equipment supply for unit processes like screening, grit separation, clarification and sludge handling. The Customer Care Division offers value added services for operation management and performance optimisation. The quality service offerings are tailored to customers' requirements, which in many cases form an integral part of the main contract - operations and maintenance, annual maintenance contracts, product & process audit, health check-up and overhauling, pilot experiments, refreshment, upgradation and automation of existing plants, spares and service consumables and chemicals and on-site training and assistance.

The turbine business of the Company, located at Bengaluru has been demerged through a scheme of arrangement into Triveni Turbine Limited (TTL) from the appointed date on 1st October 2010, and the same has become effective w.e.f. 21st April, 2011. Triveni Engineering & Industries Limited holds 21.82% equity capital of Triveni Turbine Limited.

For further information on the Company, its products and services please visitwww.trivenigroup.com

C N Narayanan	Neha Arora
Triveni Engineering & Industries Ltd	Triveni Engineering & Industries Ltd
Ph: [phone]	Ph: [phone]
Fax: [phone]	Fax: [phone]
E-mail:[e-mail]	E-mail:[e-mail]

Note: Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward looking statements. Triveni Engineering & Industries Ltd. will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances.