Surya Roshni Limited · NSE:SURYAROSNI
Surya Roshni — Investor Presentation (December 2018)
38 slides from Surya Roshni's investor presentation, Dec 14, 2018
Slide 1: Cover letter to stock exchanges
SURYA ROSHNI LIMITED An IS/ISO 9001, An IS/ISO 14001 & IS: 18001 Company CIN - L31501HR1973PLC007543 2nd Floor. Padma Tower-1, Rajendra Place, New Delhi-110 008 Ph.: +91-11-25810093-96, 47108000 Fax: +91 -11-25789560 E-mail: cs@surya.inWebsite:www.surya.co.in SRL/NK/2018-19/49 14th December, 2018 BS
Slide 2: Investor Presentation December 2018
Steel Pipes CR Strips Lighting Fans Home Appliances Investor Presentation December 2018
Slide 3: Contents
Contents 1 Company Overview 2 Steel Pipes & Strips 3 Lighting & Consumer Durables The International Tube and Pipe Trade Fair, 4 Financial Highlights Germany, April 2018 5 Growth Drivers 6 Board of Directors & KMP’s 7 Clients & Customers Light India 2018, New Delhi 2
Slide 4: Surya Roshni – A corporate with a strong foundation
Surya Roshni – A corporate with a strong foundation FY 2017-18 Established in 1973, SURYA spearheaded the technological 50 + Rs 50,118 million, 20% YoY ↑ revolution Exports across Revenues from operations countries globally Evolved as one of the fully integrated 100 % Rs 3,486 million, 11% YoY ↑ Ste
Slide 5: Business Segment
Business Segment Steel Pipes & Strips Segment GI Pipes ERW – Black Section Pipes API & Spiral Pipes Cold Rolled Strips Lighting & Consumer Durable Segment Conventional Home Appliances LED Lamps LED Street Lights Fans Lighting & Fittings 4
Slide 6: With a PAN India Manufacturing Presence
With a PAN India Manufacturing Presence Steel Pipe & Strips Plants Branches o Bahadurgarh (Haryana) o Malanpur, Gwalior (M.P.) o Hindupur (A.P.) North Zone o Anjar, Kutch (Gujarat) East Zone Lighting Plants West and Central Zone o Kashipur (Uttarakhand) South Zone o Malanpur, Gwalior (M.P.) R &D Cen
Slide 7: Revenue Split FY 2017-18
Revenue Split FY -2017-18 Steel Pipes & Strips Lighting & Consumer Durables 11% GI Pipes 18% 35% LED lighting 20% Structural Pipes 49% Conventional lighting CR Sheets 14% 33% Consumer Durables Black Round Pipes 20% API & Spiral Pipes Steel Pipes Lighting Particulars (Rs. in million) Segment Segment
Slide 8: Competitively Positioned
Competitively Positioned Lighting & Consumer Steel Pipes & Strips Segment Durable Segment Complete Brand Distribution Products Equity Network Range Market Quality Manufacturing Friendly Products Capabilities Policies 7
Slide 9: Steel Pipes & Strips
Steel Pipes & Strips Extensive Applications 8
Slide 10: Steel Pipes & Strips Business – leading by quality
Steel Pipes & Strips Business – leading by quality Position and Brand Company is the largest exporter of ERW Pipes and largest manufacturer of ERW GI pipes in India under Brand “PRAKASH SURYA” Particulars 2016-17 2017-18 Turnover (Net of Taxes) (Rs. in million) 26,049 35,545 (CAGR 3 Year @ 14%) Valu
Slide 11: Industry Structure - Steel Pipes & CR Sheets / Strips
Industry Structure - Steel Pipes & CR Sheets / Strips Steel Pipes Cold Rolled API & 3 LPE Coated GI Black Hollow Section and Spiral Pipes CR Strips / Sheets Applications Applications Applications Applications Applications Irrigation, Agriculture Construction Engineering & Oil Pipelines Auto Componen
Slide 12: Strategically located facilities – Anjar (Gujarat)
Strategically located facilities – Anjar (Gujarat) ERW and Spiral Manufacturing Unit 3LPE Coating Manufacturing Unit Established in 2010, spread across 92 Acres to Commenced commercial production on November 5, target export markets. Merged with company 2018. w.e.f April 2016 Track record establishe
Slide 13: Strategically located facilities – Hindupur (A.P)
Strategically located facilities – Hindupur (A.P) Established in March, 2017 for ERW (GI, Black, Section) pipes. Strategic initiative in order to decentralize the manufacturing unit nearer to the market place, will work in such direction in future. Expanded capacities to 1,50,000 M.T in November 201
Slide 14: Strategically located facilities – Bahadurgarh and Gwalior
Strategically located facilities – Bahadurgarh (NCR-Delhi) and Gwalior (M.P.) Bahadurgarh (NCR – Delhi) Gwalior (M.P) ERW pipe plant established in 1973 Established in 2010 for ERW pipes (GI, black Cold rolled plant established in 1991 section) Spread across 55 acres Manufactures ERW pipes (GI, Blac
Slide 15: Demand drivers – robust future growth
Demand drivers – robust future growth The NSP 2017 targets Steel capacities to 300 Million Metric Tonnes (MMT) by 2030 against present 128 MMT 15% value addition made compulsory for projects above Rs. 50 crore for level playing City Gas projects, New Oil and Gas pipe lines, exploration of new gas fi
Slide 16: Global Footprints: EXPO 2020, FIFA-2022
Global Footprints EXPO 2020, Dubai FIFA-2022, Qatar Jewel of the Creek Ras Abu Aboud Stadium Al Habtoor City Lusail Iconic Stadium 15
Slide 17: Lighting & Consumer Durables
Lighting & Consumer Durables 16
Slide 18: Lighting & Consumer Durables Segment – leading by technology
Lighting & Consumer Durables Segment – leading by technology and Product innovation Position and Brand 2nd Largest in Lighting – Marketing under brand “SURYA” Particulars 2016-17 2017-18 Turnover (Net of Taxes) (Rs. in million) 12,822 13,833 (CAGR 12%) LED Growth (%) 77% 45% Plant / R&D Locations Ka
Slide 19: Offering vast range of Fast Moving Electrical Goods
Offering vast range of Fast Moving Electrical Goods LEDs Smart Lighting Lamps Street Lights Down Lighters Conventional Lighting GLS Consumer Durables Fans Home Appliances PVC (Pipes & Fittings) 18
Slide 20: State-of-the-art manufacturing facilities – Kashipur and Gwalior
State-of-the-art manufacturing facilities – Kashipur (U.K.) and Gwalior (M.P) Kashipur Gwalior Manufacturing LED lights (Lamps, Street Lights, Lighting Glass Plant for manufacturing of LED Downlighters and fittings ) & Conventional lights (lamps, street lights, decorative lighting ) Lights (GLS, T5,
Slide 21: Lighting Business – at a glance
Lighting Business – at a glance The inevitable changes over the past 2 years Phasing out of CFL and FTL Exponential growth in LED Lighting Price correction in LED Lighting getting stabilize Number of light points per household increased India’s 2nd largest lighting products company 80 % Expected sha
Slide 22: Fan and Home Appliances Business
Fan and Home Appliances Business Entered into the Fan business in FY 2014 Ventured into Domestic Kitchen Appliances Gained No. 6 slot in the Fan market in a short span business in FY 2015 Provides feature rich, contemporary range of of time • Electrical Heating Appliances like, Water Provides wide c
Slide 23: Distribution Strength – PAN India reach
Distribution Strength – PAN India reach Leader in various states such as AP, Telangana MP, Chhattisgarh, Uttar Pradesh and Jharkhand Second in Karnataka, Delhi, Maharashtra, Bihar, Rajasthan and Uttaranchal, among others 10% 18% 20% B2C Rural 53% Tier II B2B 70% 29% Government Metro Cities Enterpris
Slide 24: Distribution strength
Distribution strength 1 Strong dealer relations (50% of B2C distributors have more than 5 years of association) due to transparent and attractive polices, schemes, incentives and foreign tours. 2 Strong trade network of 2,50,000 Retail Outlets supports scaling 3 Primary network is supported by a str
Slide 25: Demand drivers – future ahead
Demand drivers – future ahead Growth factors: Market reach, Retail network and Brand Equity Increasing preference of luminaires against Lighting – multi-fold value-addition Futuristic Intelligent Lighting 75% of organised market is dominated by 7 players including Surya Product basket with all types
Slide 26: Financials
Financials 25
Slide 27: Financial Highlights-Company as a whole
Financial Highlights-Company as a whole (INR in million) Half Year Ended Particulars Year Ended (Un-audited) (Audited) % Growth Sept 17 Sept 18 % Growth 31.03.17 31.03.18 22731 26653 17% Revenue from Operations 41810 50118 20% 21925 26653 22% Revenue (net of taxes) 38835 49312 27% 1526 1594 4% EBITD
Slide 28: Financial Highlights-Steel Pipes & Strips Segment
Financial Highlights-Steel Pipes & Strips Segment (INR in million) Half Year Ended Particulars Year Ended (Un-audited) (Audited) % % Sept-17 Sept-18 Growth 31.03.17 31.03.18 Growth 16169 19943 23% Revenue from Operations 28356 36234 28% 15481 19943 29% Revenue (net of taxes) 26049 35545 36% 914 992
Slide 29: Financial Highlights-Lighting & Consumer Durables Segment
Financial Highlights-Lighting & Consumer Durables Segment (INR in million) Half Year Ended Particulars Year Ended (Un-audited) (Audited) % % Sept-17 Sept-18 Growth 31.03.17 31.03.18 Growth 6580 6719 2% Revenue from Operations 13491 13950 3% 6463 6719 4% Revenue (net of taxes) 12822 13833 8% 612 602
Slide 30: Financial Highlights – last 4 years
Financial Highlights – last 4 years (INR in million) I GAAP Ind - AS 2017 Particulars 2015 2016 2017 (Merged) 2018 CAGR Revenue from Operations 30708 31965 34128 41810 50118 18% Revenue (Net of taxes) 28571 29642 31455 38835 49312 20% EBITDA 2268 2442 2306 3139 3486 15% Interest 1090 964 877 1127 10
Slide 31: Shareholding Pattern as at 30.09.2018
Shareholding Pattern as at 30.09.2018 Institutional Others Investors 1% 4% Body Corporates 14% Public Promoters (Individuals) 63% 18% Bankers : Total No. of Shareholders – 23092 SBI, HDFC, BOB, CANARA, PNB, IDBI, DCB & EXIM 30
Slide 32: Strategic thrust and priorities
Strategic thrust and priorities Constant thrust on Value added and Quality products in both the divisions The commencement of commercial production of 3LPE coating pipes unit will provide higher capacity utilization for API and Spiral pipes. Maximize utilization of existing manufacturing facilities,
Slide 33: Chairman & Board of Directors
Chairman & Board of Directors Shri J.P. Agarwal is an Executive Chairman of the Company. Sh. Agarwal through his skills & driving force have created Surya as one of the most reputed, trusted and successful Company having two business verticals viz. Steel Pipe & Strips and Lighting & Consumer Durable
Slide 34: Board of Directors
Board of Directors T.S. Bhattacharya, an Ex-MD of SBI has S K Awasthi - Ex-Managing Director of an illustrious professional career of 44 PNB Capital. years. Shri Ravinder Kumar Narang - Ex-Chairman of IOCL with vast S S Khurana - Ex-Chairman of Railway experience in the field of Operations, Board an
Slide 35: Key Managerial Personnel's (KMPs)
Key Managerial Personnel's (KMPs) A qualified CA with 32 years experience in Corporate Affairs, Finance, Commercial & Taxation. He A qualified Chartered Accountant with held CFO positions at RSWM, PDL, 32 years of experience in Commercial, Welspun Corporation etc. and also in Operations and Administ
Slide 36: Clients & Customers
Clients & Customers eveiel uiell Yeast a Diez aiazenl GDS \ Kash) eae \ A INDIAN OIL CORP. LTD. WE feccht So. INDRAPRASTHA ANavratna Company —_ Delhi Metro Rail Corporation Lit GAS LIMITED OnGC Shell CITYGAS ted L = 2 .@ GAIL (India) Limited Qe 4 . 7 eee Reliance ESSAR’ Marubeni 95-15 Industries Lim
Slide 37: Disclaimer
Disclaimer This presentation does not constitute an offer from Surya Roshni Limited to any party and the information contained herein will not form the basis of any contract. Neither Surya Roshni Limited nor any of its shareholders, directors, employees, agents or representatives makes any warranty
Slide 38: Thank You
Thank You Surya Roshni Limited Regd. Office Prakash Nagar, Sankhol Bahadurgarh Distt. Jhajjar, Haryana: 124 507 CIN: L31501HR1973PLC007543 Corporate Office Padma Tower - 1, Rajendra Place, New Delhi - 110008 (INDIA) Ph: +91-11 47108000 Fax no: +91-11 25789560 Website www.surya.co.in Contact Detail S