Apollo Pipes Ltd. · NSE:APOLLOPIPE
Apollo Pipes — Q3 FY2023 Earnings Presentation
32 slides from Apollo Pipes's earnings presentation, January 2023
Slide 1: Apollo Pipes Ltd. Q3FY23 Earnings Presentation
APOLLO PIPES LTD. Q3FY23 EARNINGS PRESENTATION JANUARY, 2023 1
Slide 2: Safe harbour
Safe harbour Except for the historical information contained herein, statements in this presentation and the subsequent discussions, which include words or phrases such as "will", "aim", "will likely result", "would", "believe", "may", "expect", "will continue", "anticipate", "estimate", "intend", "
Slide 3: Table of Content
Table of Content 1 Apollo Pipes Overview 2 Growth Levers 3 Macro-Growth Drivers 4 5 6 www.apollopipes.com Future 5 Year Financial Q3FY23 Outlook Highlights Highlights 3
Slide 4: Company Overview
www.apollopipes.com COMPANY OVERVIEW 4
Slide 5: Apollo Pipes at a Glance
Apollo Pipes at a Glance Among the Top 10 5 600+ leading PVC pipe 131,200 MTPA Manufacturing Plants Channel Partners manufactures in India Capacity www.apollopipes.com 1500+ 13% 27% 26% 5-year Sales Volume 5-year Revenue 5-year Net Profit SKU’s CAGR CAGR CAGR 5
Slide 6: Q3FY23 at a Glance
Q3FY23 AT A GLANCE 18,011 MT Rs. 236.7 Cr. Rs. 16.1 Cr. 6.8% Sales Volume Revenue EBITDA EBITDA Margin 44% YoY increase 26% YoY decrease 454bps YoY decrease 24% YoY increase 16% QoQ increase 545% QoQ increase 559bps QoQ increase 14% QoQ increase Rs. 4.9 Cr Rs. 12.3Cr. 10.4% 7.4% Cash Profit www.apol
Slide 7: Apollo Pipes at a Glance
Apollo Pipes at a Glance Agriculture Segment Water Management Construction Oil & Gas Segment Telecom Ducting Segment Segment •Casing pipes •Hot & cold potable water •Sanitation & Sewage pipes •Conveying edible oils and •Drip irrigation & distribution & transportation •Plumbing Pipes chemicals & corr
Slide 8: Product Portfolio Diversified Basket of 1,500+ Products
Product Portfolio Diversified Basket of 1,500+ Products PPR-C PLUMBING CPVC PIPING uPVC Piping System SYSTEM SYSTEM uPVC Pipes & Fittings | uPVC Column Pipes | S W R Drainage Pipes | uPVC Pressure Pipes P PR -C Pipes & Fittings CP VC Pipes & Fittings Well Casing Pipes | Underground Drainage Pipes HDP
Slide 9: Product Portfolio
Product Portfolio Commercial PVC pipe • Started manufacturing UPVC • Largest plastic piping Concluded promoter Commissioned the Raipur manufacturing operations Plumbing Pipes fittings with solution company infusion of Rs. 142 crore plant to tap Central and Established 3600 MTPA in 180 MTPA capacity
Slide 10: Tiger Shroff Appointed as Brand Ambassador
Tiger Shroff Appointed as Brand Ambassador Social Media campaign launched in Q3FY22 continue to garner good response 8.9 Million Views On Tiger Shroff’s : Water Tank 4.2 Million Views Water Tank: 3 Million Views (On Apollo Platform) 9.2 Million Views Pipes: 1 Million Views 13.4 Million Views Pipes 3
Slide 11: Raveena Tandon Appointed as Brand Ambassador
Raveena Tandon Appointed as Brand Ambassador Social Media campaign launched in Q3FY22 continue to garner good response 6.8 Million Followers Bath Fitting (On Raveena’s Platform) 8.5 Million Followers Digital Campaign, Packaging promotions etc. www.apollopipes.com #Amazing Everyday 11
Slide 12: Our Environment, Social, Governance and Safety Policy
Our Environment, Social, Governance and Safety Policy Cost Savings and Energy conservation are one of the key focus areas for Apollo Pipes • Installed rooftop solar plant at Dadri for optimum utilsation of energy • Evaluating opportunities to install rooftop solar plants at Ahmedabad and Bengaluru i
Slide 13: Growth Levers
www.apollopipes.com GROWTH LEVERS 13
Slide 14: Key Business Strength
Key Business Strength Catering to multiple sectors – Expanding footprint in India Agriculture, Water Management, Infrastructure Proven expertise in Strong and highly experienced complex projects Management Team Advanced equipment & technology Multiple and efficient product offerings www.apollopipes.com
Slide 15: Strengthening distribution network across India
Strengthening distribution network across India to Augment presence and improve market penetration Enjoys a Dadri& Sikandrabad dominant and (Manufacturing Unit) leading presence in North India Extensive distribution network significantly reduces delivery time to 4 8 hours Tapping newer (from 10-12 d
Slide 16: Diversified Product Portfolio aiming for 2,500+ products
Diversified Product Portfolio with total offerings at 1,500+, Aiming to achieve 2,500+ products to the basket • Range of products manufactured at the technologically-advanced manufacturing facility at Dadri & Sikandrabad at U.P., Ahmedabad at Gujarat, Tumkur (Banglore) at Karnataka and Raipur at Chat
Slide 17: Capacity Expansion to aid long-term growth plan
Capacity Expansion to aid long-term growth plan Available Capacity 1,31,200 MTPA Ahmedabad, Bengaluru and Raipur www.apollopipes.com line for the value added products at new locations 17
Slide 18: Macro Growth Drivers
MACRO GROWTH DRIVERS www.apollopipes.com 18
Slide 19: PVC Pipe Industry
PVC Pipe Industry The Indian PVC pipes and fittings market expected to register 15% CAGR during FY22 - FY26 • The domestic plastic pipes industry size at ~ ₹ 340Bn • Organized players account for ~60% market share • Key features of plastic pipes against other pipes - Lightweight - Ease of transportat
Slide 20: At the Forefront of multiple sector trends
At the Forefront of multiple sector trends Urban Infrastructure & Construction Water Management Agriculture Focus • Infrastructure push - plumbing and • Rehabilitation of aging pipelines and • Improving irrigation schemes for distribution requirements installation of new pipes in transportation farm
Slide 21: Future Outlook
www.apollopipes.com FUTURE OUTLOOK 21
Slide 22: Focus Areas for FY22-23
Focus Areas for FY22-23 Strengthen Undertake a Register solid Penetrate and Improve Undertake foothold in phase-wise growth in sales – establish utilization at the various brand existing capacity expansion targeting revenue footprint into existing building markets of at the existing growth of around
Slide 23: Operational & Financial Highlights
OPERATIONAL & FINANCIAL HIGHLIGHTS www.apollopipes.com 23
Slide 24: Financial Trend
Financial Trend 9MFY23 ( 5 Y r . C A G R 13%) ( 5 Y r. C A G R 27%) Sales Volume (Tons) Revenue (Rs. Cr) 53,849 47,333 47,882 784 44,692 39,823 663 33,707 518 408 362 284 FY18 FY19 FY20 FY21 FY22 9MFY23 FY18 FY19 FY20 FY21 FY22 9MFY23 ( 5 Y r. C A G R - 2 5 % ) ( 5 Y r. C A G R 2 6 % ) PAT (Rs.Cr) E
Slide 25: Financial Trend
Financial Trend 9MFY23 Op. Cashflow (Rs. Cr) Net Working Capital (Days) 66 68 65 96 57 53 52 53 39 36 26 12 FY18 FY19 FY20 FY21 FY22 9MFY23 FY18 FY19 FY20 FY21 FY22 9MFY23 Net Debt* (Rs.Cr) ROE (%) ROCE** (%) 34 21.5 15 15.9 16.5 14.6 13.9 13.5 13.2 11.9 11.7 10.6 10.4 www.apollopipes.com FY18 FY19
Slide 26: Quarterly Performance
Quarterly Performance Q3FY23 Revenue (Rs. Cr) EBITDA (Rs. Cr) 28.4 247.5 236.7 218.9 207.0 21.6 190.8 20.0 16.1 2.5 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 EBITDA Margin (%) PAT (Rs. Cr) 11.3% 11.5% 15.6 9.2% 11.4 6.8% 8.8 www.apollopipes.com 4.9 1.2% Q3 FY22
Slide 27: Profit & Loss Statement
Profit & Loss Statement Particulars (Rs. crore) Q3FY23 Q2 FY23 Q3FY22 Y-o-Y Shift Q-o-Q Shift 9MFY23 9MFY22 Y-o-Y Shift Total Income From Operations (Net) 236.7 207.0 190.8 24% 14% 662.6 536.6 23% Total Expenditure 220.6 204.5 169.2 30% 8% 624.0 471.6 32% Raw Material expenses 179.4 166.8 139.3 29%
Slide 28: Balance Sheet and Cash flow Statement
Balance Sheet and Cash flow Statement Balance Sheet - Assets (Rs Cr) H1FY23 FY22 Cash Flow Statement (Rs Cr) H1FY23 FY22 Cash & Bank Balance 1.5 42.0 EBITDA 23.3 93.4 Receivables 60.2 70.5 Changes in Accounts receivables 10.3 -7.8 Inventories 167.0 131.6 Changes in Inventory -35.3 -53.4 Other curren
Slide 29: Conclusion
CONCLUSION 29 www.apollopipes.com
Slide 30: Key Takeaways
Key Takeaways Increased market presence and Target to achieve improving 25%+ revenue distributor network growth CAGR over to address demand next three years across Leveraging ‘APL Value-added pan-India Apollo’ brand Available Capacity product categories reach and recall of 131,200 MTPA to provide im
Slide 31: About Us
About Us Ap ol lo Pipes (BSE: 531761; NSE: APOLLOPIPE), is among the top 10 leading piping solution providing Company in India. Headquartered in Delhi, the Company enjoys strong brand equity in the domestic markets. With more than 3 de ca de s of experien ce in the Indian P ip e Market, Apol lo Pipe
Slide 32: Thank You
sagen Go THANK YOU GE@ixouc PIPING SYSTEMS Made ter lite