Gallantt Ispat Limited · NSE:GALLANTT
Gallantt Ispat — Q2 FY2025 Earnings Presentation
31 slides from Gallantt Ispat's earnings presentation, Nov 4, 2024
Slide 1: Press release cover letter to stock exchanges
CrunnilT CILIGKPI2O24.25 November 04,2024 BSE Limited National Stock Exchange of India Limited Floor 25, P J Towers, Dalal Street "EXCHANGE PLAZA", Mumbai- 400 001. INDIA. Bandra - Kurla Complex, Bandra (East) Scrip Code: 532725 Mumbai - 400 051. INDIA. Symbol: GALLANTI Sir[r4adam, SUB: PRESS RELEAS
Slide 2: Gallantt Ispat Limited Q2 & H1FY25 Investor Presentation
Gallantt Ispat Limited Q2 & H1FY25 Investor Presentation Presence, Efficiency, Scale
Slide 3: Safe Harbour
The following slides may contain “forward looking statements” including, statements relating to the implementation of strategic initiatives by Gallantt Ispat Limited (“GIL” or “Company”) and future business developments and economic performance. While these forward looking statements indicate the Co
Slide 4: Financial overview Q2FY25
Presence Efficiency Scale Financial overview Q2FY25 Revenue EBITDA PAT (Rs. Crore) (Rs. Crore) (Rs. Crore) (0.8%) 12.6% 3.4% 949.87 942.57 99.67 88.5 47.26 48.89 Q2FY24 Q2FY25 Q2FY24 Q2FY25 Q2FY24 Q2FY25 EBITDA and PAT increase are also driven by several efficiency and cost rationalisation initiativ
Slide 5: Financial overview H1FY25
Presence Efficiency Scale Financial overview H1FY25 Revenue EBITDA PAT (Rs. Crore) (Rs. Crore) (Rs. Crore) 5.9% 96.6% 119.0% 170.76 1,986.04 2,102.26 315.44 160.44 77.97 H1FY24 H1FY25 H1FY24 H1FY25 H1FY24 H1FY25 EBITDA and PAT increase are also driven by several efficiency and cost rationalisation i
Slide 6: Production and sales volumes Q2FY25
Presence Efficiency Scale Production and sales volumes Q2FY25 Production volumes Sales volumes TOTAL TOTAL DRI Steel Melt Shop Rolling Mill DRI Steel Melt Shop Rolling Mill Period Power Plant Pellet Period Pellet (Sponge Iron) (Billet) (TMT Bars) (Sponge Iron) (Billet) (TMT Bars) MW Unit MT MT MT MT
Slide 7: Production and sales volumes H1FY25
Presence Efficiency Scale Production and sales volumes H1FY25 Production volumes Sales volumes TOTAL TOTAL DRI Steel Melt Shop Rolling Mill DRI Steel Melt Shop Rolling Mill Period Power Plant Pellet Period Pellet (Sponge Iron) (Billet) (TMT Bars) (Sponge Iron) (Billet) (TMT Bars) MW Unit MT MT MT MT
Slide 8: EBITDA Per tonne
Presence Efficiency Scale EBITDA Per tonne (Rs. Per Tonne) Various cost rationalization and efficiency initiatives including: • Procurement of Railway Goods Rakes which have reduced freight costs and turnaround time besides ease of operation 4,860 4,981 • Commencement of Pellet producing capacity
Slide 9: Successful preferred bidder for Iron Ore Mine
Presence Efficiency Scale Successful preferred bidder for Iron Ore Mine Gallantt Ispat Limited has been declared as a Successful "Preferred Bidder" vide communication Letter received from the Director of Mines & Geology, Government of Rajasthan on June 15, 2024, for Composite Licence for Todupura lr
Slide 10: Chairman's Message
Chairman’s Message Chairman and MD, Chandra Prakash Agrawal commenting on the Q2FY25 results, “Our results for the quarter under review are a reflection of our long- standing focus on cost rationalization and productivity combined with a steady demand environment. The benefits of the initiatives tak
Slide 11: Our journey
Our journey 2005 2009 2012 – 2022 2020 2022 Commencement of Commencement of Capacity Completed Installation of commercial commercial operation expansions across execution of Real Modern materials operations at 1.7 at 1.67 lakh MTPA both Estate Premium movement Wagon lakh MTPA integrated steel manufa
Slide 12: Presence Efficiency Scale
Presence Efficiency Scale Profitable growth on Leading manufacturer the back of strong cost of TMT bars – Capacity: optimisation thrust, 950,000 TPA backward integration and value addition Well entrenched presence in key Strong presence in consumption states of infra sector of both Uttar Pradesh and
Slide 13: The Gallantt locational advantage
Presence Efficiency Scale The Gallantt locational advantage Gorakhpur, Uttar Pradesh o Only Integrated Steel Plant in Uttar Pradesh; a region which is witnessing significant development o Enhanced customer serviceability: • Shorter delivery times • Ability to deliver small quantities offering deal
Slide 14: Driving operational efficiencies
Driving operational efficiencies
Slide 15: Backward integration: Pellets and Coal
Presence Efficiency Scale Backward integration Pellets Coal 792,000 MT/annum pellets capacity in Gorakhpur Linkages with Northern Coalfields Limited, caters to entire production requirement Eastern Coalfields Limited and Central coalfields Captive production estimated to be ~10‐15% Limited ens
Slide 16: Logistics and power: Rail infrastructure and Captive Power
Presence Efficiency Scale Logistics and power Rail Captive infrastructure Power Railway sidings at both units to facilitate Total captive power capacity: 129 MW efficient material movement and connectivity Availability of captive power ensures minimal Modern material wagon tippler at Gorakhp
Slide 17: Power: Own vs purchased
Presence Efficiency Scale Power: Own vs purchased % of Captive power consumed – % of Captive power consumed – Kutch, Gorakhpur, UP Gujarat 95.4% 94.7% 92.5% 92.5% 97.2% 93.0% 95.7% 95.9% 96.1% 95.5% 94.5% 95.0% 90.1% 90.4% 88.8% 88.2% 91.5% 78.9% Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q1FY
Slide 18: Capacity overview
Presence Efficiency Scale Capacity overview Plant wise breakup TOTAL Type Units Total Sponge Iron MT 9,18,000 Steel Melt Shop MT 9,57,000 Rolling Mill MT 9,50,400 Power Plant MW 129 Pellet Plant MT 7,92,000 Gorakhpur, Uttar Pradesh Type Units Total Sponge Iron MT 5,44,500 Steel Melt Shop MT 5,28,000
Slide 19: Dealer & Distributor strength and relationship
Presence Efficiency Scale Dealer & Distributor strength and relationship Thrust on expanding and Catering to ~2700 dealers and deepening distribution around 34 distributors in network to reach further Into Uttar Pradesh and Gujarat for areas in Uttar Pradesh seeing close to 2 decades Infrastructure
Slide 20: Value Addition thrust
Value Addition thrust
Slide 21: Premium offerings
Presence Efficiency Scale Premium offerings Introduced a stronger and more durable value added offering under the brand Gallantt Advance Bollywood star Ajay Devgn is the brand ambassador Emphasis on branding, use of electronic and social media 20
Slide 22: Capex plans & timelines (Future plans)
Presence Efficiency Scale Capex plans & timelines (Future plans) Direct Reduced Iron (DRI) Kiln having a capacity of 1,65,000 MTPA at the Company’s manufacturing facilities at Gorakhpur, Uttar Pradesh is expected to be completed by FY2025. The cost towards this is ~Rs. 125 crore. The Company has ins
Slide 23: ESG Initiatives
Presence Efficiency Scale ESG Initiatives Recycling of water Modern technology and other natural Plantations at Water conservation and equipment to resources across factory premises and harvesting lesser consumption factory premises and of electricity factory operations Modern Modern technology equi
Slide 24: Promoter Group
Promoter Group CHANDRA PRAKASH AGRAWAL DINESH R. AGARWAL NITIN M KANDOI Chairman & Managing Director Director – Administration Director-Plant Operation First generation entrepreneur First generation entrepreneur, Actively involved in the possessing more than 40 years having over three decades
Slide 25: Uttar Pradesh, Gujarat – Strong infrastructure investment thrust
Presence Efficiency Scale Uttar Pradesh, Gujarat – Strong infrastructure investment thrust Strong infrastructure push in both states of operation driven by public and private sector participation Key infrastructure projects: Uttar Pradesh Project Name Sector Total Project Cost (in Rs. crore) Road Up
Slide 26: Growth outlook
Presence Efficiency Scale Growth outlook Efficiencies Technological upgradation across facilities to enhance capacity utilization from present 80% to 95% Installation of Modern Rail tippler contributing towards lower wastage faster turnaround time Rationalising input dependency Commencement of
Slide 27: Financial outlook
Presence Efficiency Scale Financial outlook FY26 (E) revenue: ~Rs. 5,000 crore +/‐5% To be driven by targeting to achieve capacity utilisations levels of >90% EBITDA margins in FY 2023 was 9%, which in FY 2024 has increased to 11% and is expected to expand by 200 basis points to 13% in FY25. To be
Slide 28: P&L Q2FY25
P&L Q2FY25 STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED SEPTEMBER 30, 2024 Rs. in Lakhs Quarter ended HALF YEAR ENDED ON YEAR ENDED Sr. No. Particulars 30.09.2024 30.06.2024 30.09.2023 30.09.2024 30.09.2023 31.03.2024 Unaudited Unaudited Unaudited Unaudited Unaudited
Slide 29: The Gallantt Group
Presence Efficiency Scale The Gallantt Group Gallantt Cement Cement manufacturing unit at Gorakhpur with an annual capacity of 6,00,000 MTPA Commenced commercial operations in 2022 Gallantt Flour Modern Flour Mill unit with an annual production capacity of 1,08,000 MTPA Commenced commercial
Slide 30: Contact Us
Contact Us Nitesh Kumar (Head ‐ Investor Relations) Gallantt Ispat Limited Tel: +91 99034 62248 Email: nitesh@gallantt.com Gavin Desa / Rishab Barar CDR - India Tel: +91 98206 37649/ +91 77770 35061 Email: gavin@cdr‐india.com / rishab@cdr‐india.com 29
Slide 31: Thank You
Thank You