Hi-tech Pipes Ltd. · NSE:HITECH
Hi-tech Pipes — Q4 FY21 Earnings Presentation
35 slides from Hi-tech Pipes's earnings presentation, June 2021
Slide 1: Revised Result Update Presentation cover letter to NSE
+91-11-48440050 info@hitechpipes.in T oO 0 hitechpipes.in To, 08-June-2021 National Stock Exchange of India Limited Exchange Plaza, Plot No.C/1, G Block, Bandra Kurla Complex (E), Mumbai-40005 1, Symbol: HITECH Subject: Revised Result Update Presentation Dear Sir/ Madam, In reference to the above ca
Slide 2: Hi-Tech Pipes Limited. Investor Presentation June 2021
Hi-Tech Pipes Limited. Providing Innovative Solutions Investor Presentation | June 2021 1
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Hitech Pipes Ltd. (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities,
Slide 4: Key Performance Indicators – Q4 FY21
Key Performance Indicators – Q4 FY21 Revenue (Rs Crore) EBITDA (Rs Crore) PAT (Rs Crore) +31% +33% +55% 415.7 23.2 9.3 391.5 19.3 299.8 6.5 14.5 4.2 Q4FY20 Q3FY21 Q4FY21 Q4FY20 Q3FY21 Q4FY21 Q4FY20 Q3FY21 Q4FY21 Sales SalesVolume (MT) Volume (MT) EBITDA EBITDA Per MT(Rs) Per MT (Rs) -3% +38% 82,620
Slide 5: Key Performance Indicators – FY21
Key Performance Indicators – FY21 Revenue (Rs Crore) EBITDA (Rs Crore) PAT (Rs Crore) +11% +20% +12% 1,340.6 70.8 22.8 1,209.6 20.4 59.2 FY20 FY21 FY20 FY21 FY20 FY21 Sales SalesVolume (MT) Volume (MT) EBITDA EBITDA Per MT(Rs) Per MT (Rs) -4% +25% 283,200 2,71,200 2,611 2,091 FY20 FY21 FY20 FY21 4
Slide 6: Consolidated Profitability Highlights – Q4 & FY21
Consolidated Profitability Highlights – Q4 & FY21 Particulars (Rs crore) Q4 FY21 Q4 FY20 Y-o-Y % Q3 FY21 Q-o-Q % FY21 FY20 Y-o-Y % Total Income from Operations 391.50 299.78 30.6% 415.69 -5.8% 1,340.63 1,209.61 10.8% Raw Materials 353.55 271.95 30.0% 376.31 -6.1% 1,210.20 1,095.45 10.5% Employee Cos
Slide 7: Consolidated Balance Sheet – FY21
Consolidated Balance Sheet – FY21 Particulars (Rs crore) Mar-20 Mar-21 Particulars (Rs crore) Mar-20 Mar-21 Equity 173.61 205.19 Non-current Assets 209.02 241.79 Equity Share Capital 10.93 11.20 Property, Plant and Equipment 172.97 202.49 Other Equity 162.68 193.99 Capital Work in Progress 29.40 29.
Slide 8: Consolidated Cash Flow – FY21
Consolidated Cash Flow – FY21 Particulars (Rs crore) FY21 FY20 Net Profit Before Tax and Extra Ordinary Activity 30.99 23.86 Add/ Less Adjustments for: Depreciation 8.32 6.57 Interest Received (0.78) (0.86) Finance Costs 32.29 30.04 Operating Profit Before Working Capital Changes 70.81 59.61 Adjustm
Slide 9: Recent Developments – New Value-Added Products addition in Portfolio
Recent Developments – New Value-Added Products addition in Portfolio A new product line viz. CR Sheet (used for fabrication of With commissioning of new Khopoli Steel Furniture) has been developed and Special Annealing (Maharashtra) Facility, share of value-added Furnaces has been installed at Sikan
Slide 10: Recent Developments – Capacity Expansion on Track
Recent Developments – Capacity Expansion on Track Khopoli (Maharashtra) facility with installed New Continuous Pickling line with capacity of capacity of 80,000 tonnes per annum has been 2.5 lakh tons and Two New CR Slitting Lines successfully commissioned and commercial wider width with Capacity of
Slide 11: Recent Developments – Cost Optimisation through adding Solar Power Capacities
Recent Developments – Cost Optimisation through adding Solar Power Capacities The company has commissioned Roof Top Solar Projects under Opex Model at its Sikanderabad (UP) and Khopoli (Maharashtra) facilities With this, the total Roof Top Solar Power Generation installed capacity has increased to 3
Slide 12: Company Overview
Company Overview 11
Slide 13: Hi-Tech Pipes | Capabilities Built So Far…
Hi-Tech Pipes | Capabilities Built So Far… Built Core Installed Capacity Diversified Presence Business Experience Employees Strength 5,80,000 MTPA 5 Plants across 4 states 35+ years ~1,100+ Dealers & Distributors SKUs Contractor Consumers OEM Customers Strong Distribution 390+ 550+ 90+ 150+ Product
Slide 14: …Over the 35 Years of Consistent Growth and Innovation
…Over the 35 Years of Consistent Growth and Innovation 2019-2021 2017-2019 Started Colled Rolling expansion project for wider product of HRoP, Commenced operations CRCA, CRFH, GPGC 2012-2016 at Hindupur (Andhra Pradesh) Unit IV Commenced Khopoli, Maharashtra facility of 2001-2010 Sikanderaba
Slide 15: Continued Investment in Building Competencies to Cater to Demand…
Continued Investment in Building Competencies to Cater to Demand… Enhancing Capacities Year-on-Year (Metric Tonnes per Annum) One of the India’s leading manufacturer of Steel Pipes with presence in more than 5,000 retail stores 5,80,000 Continuously enhancing manufacturing capabilities while diversi
Slide 16: …with Strategic Locations for a Pan-India Presence and Distribution
…with Strategic Locations for a Pan-India Presence and Distribution Encompassing 580,000 MTPA of production ambience and a strong network of 390+ Dealers & Distributors Pan India Plant Location Capacity (MTPA) Product Portfolio MS Steel Pipes, Hollow Sikandrabad, UP, Sikandrabad, UP 2,55,000 Section
Slide 17: Application Based Product Portfolio
Application Based Product Portfolio Brand Name Description of item Key Application Brand LOGO’s JALSHAKTI GI Pipes Borewell, Water, Agriculture CASEWELL MS & GI Casino pipes Borewell GI Pipes ORGANIC Poly Houses, Agriculture BAHUBALI Large Dia Hollow Section Infra, Airport, Metro Stations GI Pipes P
Slide 18: Widening and Deepening the Product Range for Diversified Applications
Widening and Deepening the Product Range for Diversified Applications Emerged as a holistic pipe solution provider with 590+ SKUs…. …Making Hi-Tech a One-Stop Shop for a wide range of sectors Railings & Metro Scaffolding, Airports, Poly Houses Borewell Steel Pipes and Tubes Windows Stations Highways
Slide 19: Well Established Branded product Portfolio with increasing share of value-added products
Well Established Branded product Portfolio with increasing share of value-added products Certified THE HI-TECH Wide Range Pan-India After Sales Competitive BRAND Quality & Reliability Products – ISI Easy Logistics Applications Delivery Service Pricing Mark ADVANTAGE Borewell, Water, Agriculture Infr
Slide 20: Pedigreed Management Team with Deep Sector Knowledge…
Pedigreed Management Team with Deep Sector Knowledge… Mr. Ajay Kumar Bansal Mr. Anish Bansal Chairman & Managing Director Whole-Time Director An Industry stalwart with over 36 years of experience in B.Sc. (Economics ) in Banking & Finance graduate from the steel industry the Cardiff University,
Slide 21: …Leading to Long Standing Relationships with Marquee Clientele..
…Leading to Long Standing Relationships with Marquee Clientele.. Marquee Clients Marquee Projects which used Hi-Tech Products Crash Barrier at Curtain Walling Structure at Toll Plaza at Fire Fighting Pipes at Grandstand Roofing at Yamuna Expressway Mumbai Int’l Airport Bandra-Worli Sea Link Seven Hi
Slide 22: …Validated by Quality Certifications and Client Awards
…Validated by Quality Certifications and Client Awards CERTIFICATE EXEMPLARY DNV OF AMONG TOP GROWTH & BUSINESS RECOGNITION 100 SMEs INNOVATION ASSURANCE MINISTRY OF SKOCH AWARD CERTIFICATE COMMERCE GROUP SUPER SME INDUSTRY BEST COMPANY PERFORMANCE OF THE YEAR EXCELLENCE AWARD TOP AWARD MINISRY OF S
Slide 23: Strategic Focus
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Slide 24: Expanding Value-Added Brand Products Portfolio with Strengthening Distribution Network
Expanding Value-Added “Brand” Products Portfolio with Strengthening Distribution Network Focus on expanding share of value-added products With recent capacity expansions, strengthening our base in the Western & Southern market Expanding Value-Added Products where there is a higher demand for val
Slide 25: Improvement in Capacity Utilisation, Cost Optimisation to drive Operating Margins
Improvement in Capacity Utilisation, Cost Optimisation to drive Operating Margins Improvement in Efficient Sourcing of Cost Optimisation Increasing share of Operating Margins Capacity Utilisation Raw Materials Measures Value Added Products to Improve Strong demand for steel Prudent and Efficient Wit
Slide 26: Huge Opportunity in the Indian Steel Pipes & Tubes Industry
Huge Opportunity in the Indian Steel Pipes & Tubes Industry Per Capital Consumption (Kgs) - Steel 8% Steel Pipes & Tubes contribution in Indian 7.8 million Production in 568 FY 2019 Steel Consumption tonnes 208 140 75 Growth in Global China India Rest of 7-8% Pipes market to grow by 2023 compare to
Slide 27: Huge demand from various sectors aided by Government Schemes
Huge demand from various sectors aided by Government Schemes Infrastructure & Housing Urban development program – Smart cities, Amrut, Hriday Growing vertical mode of development – increased spending on Skyscrapers Increasing Warehousing demand due to rapid digital transformation Rapid Urban
Slide 28: Annual Financials
Annual Financials 27
Slide 29: Key Performance Highlights
Key Performance Highlights Volume (‘000 MT) EBITDA Per Metric Ton 283.2 2,789 269.0 271.2 2,661 2,611 2,518 226.0 2,091 137.8 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 EBITDA/ton improved sharply in FY21 led by improvement in sales realization; Increase in contribution from Value Added Produ
Slide 30: Key Performance Highlights
Key Performance Highlights Revenue EBITDA & EBITDA Margin % 1,360.0 1,340.6 5.5% 5.3% 6.3% 5.9% 4.9% 1,209.6 74.8 1,016.0 70.8 60.1 59.2 637.0 39.9 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 PAT & PAT Margin % Networth 205.2 2.1% 1.3% 1.6% 1.7% 1.7% 27.5 173.6 146.8 21.0 22.8 20.4 113.6 76.6
Slide 31: Key Financial Ratios
Key Financial Ratios Debt/ Equity (x) Return on Assets % 2.21 2.24 5.4% 1.76 1.70 4.7% 1.45 3.8% 3.6% 2.9% FY17 FY18 FY19 FY20 FY21 FY17 FY218 FY19 FY20 FY21 Return on Capital Employed % Return on Equity % 19.1% 18.7% 22.1% 20.8% 15.8% 13% 12.3% 14.5% 12.7% 12% FY17 FY218 FY19 FY20 FY21 FY17 FY218 F
Slide 32: Raising Funds through equity to strengthen the balance sheet
Raising Funds through equity to strengthen the balance sheet Company has issued and allotted 13.70 lakh fully convertible warrants at a price of Rs 164 per warrant aggregating up-to Rs 22.468 Crores to the persons belonging to promoter, promoter group and non-promoter group category Of the total
Slide 33: Consolidated P&L – Last 5 Years
Consolidated P&L – Last 5 Years Particulars (Rs crore) FY17 FY18 FY19 FY20 FY21 Total Income from Operations 637.4 1,015.7 1,360.4 1,209.6 1,340.6 Raw Materials 562.7 913.3 1,236.4 1,095.4 1,210.2 Employee Cost 10.6 12.1 13.7 17.8 18.8 Other Cost 24.3 30.1 35.6 37.2 40.8 EBITDA 39.9 60.1 74.8 59.2 7
Slide 34: Historical Consolidated Balance Sheet
Historical Consolidated Balance Sheet Particulars (Rs crore) Mar-18 Mar-19 Mar-20 Mar-21 Particulars (Rs crore) Mar-18 Mar-19 Mar-20 Mar-21 Equity 113.6 146.8 173.6 205.2 Non-current Assets 149.4 177.4 209.0 241.8 Equity Share Capital 10.5 10.7 10.9 11.2 Property, Plant and Equipment 123.9 169.1 173
Slide 35: Contact Us
Contact Us For more details, please contact: Company: Investor Relations Advisors: Hi-Tech Pipes Limited. Strategic Growth Advisors Pvt. Ltd. CIN: L27202DL1985PLC019750 CIN: U74140MH2010PTC204285 Mr. Arvind Bansal, CFO Mr. Vijay Goel / Mr. Aakash Mehta cfo@hitechpipes.in vijay.goel@sgapl.net / aakas