Greenlam Industries Ltd · NSE:GREENLAM
Greenlam Industries — H1FY20 Earnings Presentation
22 slides from Greenlam Industries's earnings presentation, Nov 7, 2019
Slide 1: Greenlam Industries – Result Presentation filing letter
® Greenlam/2019-20 November 07, 2019 Greenlam Industries Limited The Manager, The Manager, BSE Limited National Stock Exchange of India Ltd. Department of Corporate Services Exchange Plaza, Sandra Kurla Complex, Floor 25, P.J.Towers, Dalal Street Sandra (E) Mumbai - 400 001 Mumbai - 400 051 Fax No.
Slide 2: Result Presentation Q2 & H1FY20
Result Presentation Q2 & H1FY20 November 7th, 2019
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Greenlam Industries Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any
Slide 4: Belief driven by our values to thrive improvement across business segments
Its a belief driven by our values to thrive improvement across business segments
Slide 5: Our 'bettering' culture is visible in..
Our ‘bettering’ culture is visible in.. Marketing Product Service Solutions Manufacturing Network Infrastructure People Financials
Slide 6: Product Portfolio
Product Portfolio Decorative Laminate & Allied Products Veneer & Allied Products Standard Compact Decorative Mikasa Mikasa Laminates Compact Panels MFC Veneer Floor Door Panels Lab Guardian Natural Engineered Restroom & Locker Veneer Engineered Wood Door Commodity to Melamine Wood Floor and Premium
Slide 7: Unaudited Consolidated Financials
Unaudited Consolidated Financials
Slide 8: Consolidated Financial Performance – Q2FY20
Consolidated Financial Performance –Q2FY20 • Consolidated Net Revenue grew by 9.6% at INR 349.0 Crores as compared to INR 318.4 Crores in Q2FY19 Laminate revenue grew by 8.6% to INR 296.0 crores in Q2FY20 from INR 272.5 crores in Q2FY19, volumes grew by 4% Revenues of decorative veneer business
Slide 9: Consolidated Financial Performance – H1FY20
Consolidated Financial Performance –H1FY20 • Consolidated Net Revenue grew by 5.3% at INR 638.5 Crores as compared to INR 606.5 Crores Laminate revenue grew by 4.2% to INR 541.6 crores in H1FY20 from INR 519.6 crores in H1FY19, volumes de-grew by 4.0% Revenues of decorative veneer business de-gr
Slide 10: Consolidated Financial Performance – Profit and Loss Statement
Consolidated Financial Performance Profit and Loss Statement INR Crores Q2FY20 Q2FY19 YoY% H1FY20 H1FY19 YoY% Net Revenue 349.0 318.4 9.6% 638.5 606.5 5.3% Raw Material 184.8 172.3 330.9 322.7 Gross Profit 164.2 146.1 12.4% 307.6 283.8 8.4% Gross Margin % 47.0% 45.9% 110 bps 48.2% 46.8% 140 bps Empl
Slide 11: Consolidated Financial Performance – Balance Sheet
Consolidated Financial Performance Balance Sheet INR Crores Sep-19 Mar-19 INR Crores Sep-19 Mar-19 Shareholder’s Fund 458.3 428.4 Non-Current Assets 447.7 380.1 Share capital 12.1 12.1 Fixed assets 435.7 351.4 Reserves & Surplus 446.2 416.3 Goodwill 3.4 0.6 Borrowings 262.8 269.7 Other Non-Current A
Slide 12: Laminates & Allied Segment
Consolidated Financial Performance Laminates & Allied Segment INR Crores Q2FY20 Q2FY19 YoY% H1FY20 H1FY19 YoY% Net Revenue 296.0 272.5 8.6% 541.6 519.6 4.2% Gross Profit 139.6 125.8 11.0% 263.3 244.5 7.7% Gross Margin % 47.2% 46.2% 100 bps 48.6% 47.0% 160 bps EBIDTA 45.6 37.0 23.3% 76.5 69.5 10.0% E
Slide 13: Laminates & Allied Segment – Production and Sales
Consolidated Financial Performance Laminates & Allied Segment Production and Capacity (Mn Average Realisation (INR / Sales (Mn Sheets) Sheets) Sheet) +6.1% +4.0% +3.1% 3.51 3.31 3.59 3.51 3.35 3.48 778 803 Q2FY19 Q2FY20* Q2FY19 Q2FY20 Q2FY19 Q2FY20 Capacity Production +0.7% -4.0% +6.2% 7.01 6.73 7.1
Slide 14: Veneers & Allied Segment
Consolidated Financial Performance Veneers & Allied Segment INR Crores Q2FY20 Q2FY19 YoY% H1FY20 H1FY19 YoY% Net Revenue 53.0 45.9 15.4% 97.0 86.9 11.6% Gross Profit 24.5 20.4 20.5% 44.4 39.4 12.8% Gross Margin % 46.3% 44.3% 200 bps 45.8% 45.3% 50 bps EBIDTA 2.9 2.3 23.6% 1.9 3.6 -45.9% EBIDTA Margi
Slide 15: Decorative Veneers – Production and Sales
Consolidated Financial Performance Decorative Veneers Production and Capacity Sales Average Realisation (Mn Sqmt) (Mn Sqmt) (INR / Sqmt) +6.1% +2.3% -6.1% 1.05 1.05 0.43 0.44 713 670 0.41 0.44 Q2FY19 Q2FY20 Q2FY19 Q2FY20 Q2FY19 Q2FY20 Capacity Production -5.3% +0.2% -7.9% 2.10 2.10 0.81 725 727 0.75
Slide 16: Engineered Wooden Floors and Doors
Consolidated Financial Performance Engineered Wooden Floors and Doors Revenue (INR Crores) EBIDTA (INR Crores) Capacity Utilization 14.9 -0.1 33% 12.6 28% 24% 8.1 -1.1 -1.3 9% 3.0 -1.8 Q2FY19 Q2FY20 Q2FY19 Q2FY20 Q2FY19 Q2FY20 Floors Doors Floors Doors Floors Doors 26.4 26% 20.9 20% 23% -1.3 15.2 -2
Slide 17: Operating Parameters – Net Working Capital (Days)
Consolidated Financial Performance Operating Parameters- Net Working Capital (Days) Net Working Capital Days In Days H1FY19 H1FY20 FY19 +8 Inventory 94 102 88 91 90 83 Debtors 48 43 50 H1FY19 H1FY20 FY19 Creditors 59 53 48 Net Working Capital 83 91 90
Slide 18: Return Ratios – ROCE & ROE
Consolidated Financial Performance Return Ratios – ROCE & ROE ROCE INR Crores H1FY19 H1FY20 FY19 16.5% 17.2% 14.8% EBIT 55.2 54.7 123.2 PAT 33.5 35.9 77.1 H1FY19* H1FY20* FY19 Capital Employed 668.7 737.7 718.3 ROE 17.3% 18.0% Net Worth 386.5 458.3 428.4 15.7% ROCE 16.5% 14.8% 17.2% H1FY19* H1FY20*
Slide 19: Debt Position
Consolidated Financial Performance Debt Position Debt-Equity Ratio INR Crores H1FY19 H1FY20 FY19 0.68 0.63 0.57 Long Term Debt 99.0 100.0 110.7 (Including current maturity) Short Term Debt 164.7 162.8 159.0 H1FY19* H1FY20* FY19 Total Debt 263.7 262.8 269.7 Debt-EBIDTA Ratio Net Worth 386.5 458.3 428
Slide 20: IndAS 116 – Leases
IndAS 116 – Leases Pursuant to regulatory changes on account of adoption of IndAS-116 – ‘Leases’, key impact of consolidated financials is as under Half Year Ended Half Year Ended Particulars (INR/Crore) Sept 30, 2019 Sept 30, 2019 Standalone Consolidated Increase in Finance Cost 2.26 2.36 Increase
Slide 21: Change in Rate of Income Tax
Change in Rate of Income Tax The Company has chosen to exercise the option of lower tax rate of 25.17% (inclusive of surcharge and cess) under section 115BAA of the Income Tax Act, 1961 as introduced by the Taxation Laws (Amendment) Ordinance 2019. The full impact of this change has been recognized
Slide 22: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : Greenlam Industries Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L21016AS2013PLC011624 CIN: U74140MH2010PTC204285 Mr. Ashok Sharma - CFO Mr. Shogun Jain / Mr. Shrikant Sangani Email: ashok.sharma@greenlam.com shogun.ja