Ester Industries Limited · NSE:ESTER
Ester Industries — Q1 FY17 Earnings Presentation
26 slides from Ester Industries's earnings presentation, August 2016
Slide 1: Q1 FY17 Results Presentation
Q1 FY17 Results Presentation August - 2016
Slide 2: Disclaimer
Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause actual resu
Slide 3: Index
Index Q1FY17 Performance 04 Business – wise Performance 08 Strategic Shift – The New Ester 18 Business Overview 21 3
Slide 4: Q1 FY17 Performance
ESTER ——_ INDUSTRIES LTD. Q1 FY17 Performance
Slide 5: Financial - Q1 FY17 Performance
Financial - Q1 FY17 Performance Q1* Q1 Y-o-Y Particular (Rs cr) FY17 FY16 (%) Temporary shut-down of plant for maintenance and discontinuation of sale of polyester chips impacted Total Income 166 211 (21.3) operations and performance for the Qtr. Weaker performance of dominant polyester film busines
Slide 6: Key Highlights
Key Highlights Temporary shut down of Continuous Polymerization (CP) and Film Plant for ~3 weeks for purpose of maintenance and introduction of new infrastructure impacted performance during the quarter Specialty Polymer business reported strong performance: revenue growth of ~30%; EBIT margins
Slide 7: Chairman’s Comments
Chairman’s Comments Commenting on the results, Mr. Arvind Singhania, Chairman, Ester Industries said ”We are gradually progressing towards attaining our goal of transforming the existing business profile and emerging as an innovation and technology driven Company. Our Specialty polymer business the
Slide 8: Specialty Polymers
Specialty Polymers
Slide 9: Specialty Polymers
Specialty Polymers Stain resistant Master Batch – Increased Specialty Polymers Revenue Share (%) demand led to increase in sales as a result of 17 22 acceptance and awareness 3 7 8% 13% Product portfolio - 18 products of which patents Q1 FY16 Q1 FY17 Q1 FY16 Q1 FY17 Specialty Polymers Polyester
Slide 10: Awards
Awards • Felicitated at the 6th National Awards for Technology Innovation 2015-16 in Petrochemicals under the category of “Innovation in Polymeric Materials” • Joint Winner in the category of Innovation in Polymeric Materials for “Modified Polyester for Hotfill Application by Injection Stretch Blow
Slide 11: Specialty Polymers – Products & Applications
Specialty Polymers – Products & Applications Polyethylene Terephthalate (PET) Products Polybutylene Terephthalate (PBT) Polyethylene Naphthalate (PEN) Master Batches Rigid Packaging – Hot-fill / Beer Kegs Textile – Flame Retardant Applications Carpets – Stain Resistant Master Batches Heat Sealable E
Slide 12: Specialty Polymers – Case Study
Specialty Polymers – Case Study Problem – High cost towards carpet stain removal Stain marks on (nylon) carpets given spillover / spillage of Business Opportunity • liquid shortens its shelf life • Impairs aesthetic appeal • Present technology – ‘Sulphonated Nylon’ (Costly & inflexible) and ‘Topical
Slide 13: Polyester Films
Polyester Films
Slide 14: Polyester Films
Polyester Films Manufactures and markets polyester films under the brand Polyester Films Revenue Share (%) “UmaPET” 156 111 74% 67% Manufacturing capacity - 57,000 MTPA for polyester films 20 9 & 13,200 MTPA for metalized polyester films Q1 FY16 Q1 FY17 Q1 FY16 Q1 FY17 Integrated player – Poly
Slide 15: Polyester Films – Products & Applications
Polyester Films – Products & Applications White Opaque High Clear Products High Barrier Embossable Heat Saleable Twist Wrap Shrink film Anti - Static Metalized High Barrier Matte Flexible Packaging Applications Barrier Packaging Embossing Lidding Label & Graphics 15
Slide 16: Engineering Plastics
eettestettssrsszsss Engineering Plastics
Slide 17: Engineering Plastics – Products & Applications
Engineering Plastics – Products & Applications A well regarded manufacturer of Engineering plastics Engineering Plastics Revenue Share (%) 37 34 18% 20% Diverse Product Portfolio – 350+ grades products marketed under the brand “ESTOPLAST” 2 2 Manufacturing capacity - 16,500 MTPA Q1 FY16 Q1 FY1
Slide 18: Strategic shift – The new Ester
Strategic shift – The new Ester
Slide 19: New ESTER
Knowledge New Innovation ESTER Customization Technology
Slide 20: Business Transformation – “Commodity” to “Technology”
Business Transformation – “Commodity” to “Technology” New Product Value Addition Technology Innovation Customisation Development Past Present Future One amongst many in the Transforming from a Aiming to be a Technology Polyester Film and “commodity” to “technology” driven enterprise Engineerin
Slide 21: Business Overview
EST INDUSTRIES LTD. . a — ~ = - 4 — <— “ . -_= ~~ ~~ an . as _ 5
Slide 22: Quick Facts
Quick Facts Founded Corporate Headquarters Businesses & Annual Capacities 1985 GURGAON, Polyester Chips – 70 KT INDIA Specialty Polymers – 30 KT Polyester Film – 57 KT Global Presence People Metallized Film – 13.2 KT EXPORTS TO 50+ 560+ Engineering Plastics – 16.5 KT COUNTRIES 22
Slide 23: Our Presence
Our Presence Haryana Uttarakhand Gurgaon Corporate Headquarter Khatima Manufacturing facility 23
Slide 24: Financial Summary
Financial Summary Particulars FY14 FY15 FY16 Segment-wise Share (%) Revenue by Segment (Rs.cr) 928.5 896.3 770.8 4% Specialty Polymers 38.5 19.7 66.8 16% Polyester Films 746.10 703.3 548.9 FY14 Engineering Plastics 143.9 173.3 155.2 Revenue by Geography 80% Domestic (%) 75 78 71 Exports (%) 25 22 29
Slide 25: Global Presence
Global Presence USA Ukraine Iran Thailand Canada Italy Turkey Nepal Brazil Germany Israel Srilanka Peru Spain South Africa Bangladesh Argentina United Kingdom Tunisia China Colombia Austria Kenya Malaysia Chile Poland Morocco Vietnam Ecuador Bulgaria Nigeria Taiwan Uruguay Oman Egypt Korea Venezuela
Slide 26: Investor Contacts
Investor Contacts About Us: (CIN :- L24111UR1985PLC015063) Incorporated in 1985, Ester Industries Limited (EIL) is an ISO 9001:2008,ISO 22000:2005,TS16949:2002 certified Company engaged in the manufacture of polyester films, specialty polymers, engineering plastics and polyester chips with manufactu