Visaka Industries Ltd. · NSE:VISAKAIND
Visaka Industries — Q1 FY2024 Earnings Presentation
51 slides from Visaka Industries's earnings presentation, Aug 10, 2023
Slide 1: Exchange filing cover letter
Ref: VILSTEX/presentations/FY2024/45 Date:10.08.2023 To, National Stock Exchange of India Limited, BSE Limited, Exchange Plaza, 5th Floor, The Senior General Manager, Plot No. C / 1G Block, Bandra Kurla Complex, Listing Compliances, Floor 25, P. J. Towers, Dalal Bandra (East), Mumbai – 400 051 Stree
Slide 2: Investor Presentation | August'23
Investor Presentation | August’23
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by VISAKA INDUSTRIES 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 securi
Slide 4: Visaka at Glance
Visaka at Glance ➢ The Company was incorporated in 1981 by Dr. G. Vivekanand. It is presently stewarded by Mr. G. Vamsi Krishna, son of Dr. G. Vivekanand and Mrs. Saroja Vivekanand ₹ 446.84 Crs ₹ 38.61 Crs Revenue- Q1 FY24 EBITDA- Q1 FY24 ➢ Headquartered in Hyderabad (India), Visaka has 13 manufactu
Slide 5: The Journey of Transformation
The Journey of Transformation Commenced the manufacture of Widened its business by corrugated cement manufacturing V Next fibre sheets fibre cement boards 1981 1985 1992 2008 2018 The Company was incorporated in 1981 by Dr. G. Vivekanand Diversified into the Launched of a one-of- manufacture of its
Slide 6: Business Transformation: Success Metrics (Standalone)
Business Transformation: Success Metrics (Standalone) Revenue Contribution Revenues (INR in Crs) EBITDA^ (INR in Crs) 1,647 202 210 1,416 18% 1,146 147 1,050 116 FY 23 56% 26% FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 EBITDA Margin Debt to Equity ROCE% 16% 9.6% 1.0 x 8.0% 7.9% FY 15 73% 8.9% 11% 0.6 x
Slide 7: Diversified Product Portfolio
Diversified Product Portfolio Fibre Cement Roofs Est: 1981 Integrated Solar Roof Est: 2018 Fibre Cement Boards Est: 2008 Wonder Yarn Est: 1992 ➢ Company commenced the ➢ The pioneering ATUM solar roof ➢ Visaka commenced the ➢ Visaka extended into the manufacture of cement was launched in 2018, a manu
Slide 8: Diversified Locations, Closer to the Customer
Diversified Locations, Closer to the Customer Haryana Uttar Pradesh West Bengal Odisha Maharashtra Telangana Andhra Pradesh Karnataka Fibre Cement Roof Plants Tamil Nadu Vnext Plants ATUM Yarn 7
Slide 9: Diversified Geographical Presence
Diversified Geographical Presence Global Presence 1. Germany 2. Italy 3. Turkey 9 4. Egypt 5. USA 6 13 1 6. UK 8 15 7. Taiwan 5 12 2 3 8. France 10 18 4 19 7 9. Russia 11 14 10. Lebanon 11. Mexico 17 12. Portugal 13. Poland 14. Hong Kong 15. Bosnia 16 16. South Africa 17. Sri Lanka 18. Nepal Export
Slide 10: Diversified Marquee Customers
Diversified Marquee Customers Indian Railways Serum Institute Mahindra Holidays & Resorts Manipal Institute Himalayan Institute of Pheonix Group Rainbow Hospital Hindustan Aeronautics Alternatives, Ladakh The brand names mentioned are the property of their respective owners and are used here for ide
Slide 11: Diverse Board of Directors
Diverse Board of Directors Shri. Dr G. Vivekanand Shri. G. Appnender Babu Shri. Gusti J. Noria Smt. Vanitha Datla Chairman Independent Director Independent Director Independent Director ➢ An MBBS graduate from Osmania ➢ Shri Gogineni Appnender Babu ➢ He has been on the company's ➢ She held various p
Slide 12: Diverse Board of Directors
Diverse Board of Directors Shri J. P. Rao Shri. P. Srikar Reddy Smt. G. Saroja Vivekanand Shri. G. Vamsi Krishna Director (Strategic Planning & Independent Director Managing Director Joint Managing Director Business Development) ➢ He is with Sonata Software Limited ➢ She has been on the company's ➢
Slide 13: Testimony to Our Performance
Testimony to Our Performance Best Management Achieved 24th position The Company was Silver Winner Spotlight Awareness Centre of AP Distinguished The Exhibition Society Award for 2023 by in BW Businessworld awarded the Most awards by LACP Under Environment World Industrial Award from AP Distinguished
Slide 14: Cement roofing sheets
BUSNIESS DIVISION ANALYSIS # 1 Cement roofing sheets
Slide 15: Cement Roofing Sheets Business Highlights, 2022-23
Cement Roofing Sheets- Our Cement Roofing Sheets Business Highlights, 2022-23 ROOFING ➢ Visaka is one of the topmost AC roofing sheets brand in the country with production capacity of 8.3 lakh tpa. and 40 years of core experience and having a market share of 18% 01 02 ➢ We are number two with a mark
Slide 16: Cement roofing sheets
Cement roofing sheets ROOFING Visaka / 07 Shakti ATUM Number of Plants Brands 56% 18% Pan India Sales contribution Market share Market Presence (%) to total revenue For FY 22-23 V-NEXT YARN Plant Locations : Andhra Pradesh, Tamil Nadu, Karnataka, West Bengal, Odisha, Uttar Pradesh, and Maharashtra 1
Slide 17: Capacity utilisation
Capacity utilisation Capacity Utilisation ROOFING FY19 FY20 FY21 FY22 FY23 Installed capacity (metric tonnes) 8,02,000 8,02,000 8,02,000 8,02,000 8,30,000 Capacity utilisation (%) 92 80 89 96 98 ATUM Annual Growth in Sales (INR in Crs.) Contribution to total sales (%) 915 841 V-NEXT 791 728 626 69%
Slide 18: Cement Fibre Roof Key Products
Cement Fibre Roof Key Products ROOFING ATUM Close fitting Adjustable Ridges North light Ridges V-NEXT YARN Ridge Finials Barge Boards 17
Slide 19: ATUM
SUB-BUSNIESS SEGMENT ATUM
Slide 20: ATUM- India's 1st Power-Generating Hybrid Roof
ATUM- India’s 1st Power-Generating Hybrid Roof Highlights, 2022-23 ROOFING WHAT IS ATUM? ➢ ATUM is the first power-generating roofing solution in India. It seamlessly combines the traditional functions of roof-stability, shelter 01 02 and protection with sustainable energy generation ➢ We have taken
Slide 21: What is ATUM?
What is ATUM? ATUM is Solar Cells embedded into Fibre Cement Boards making it a composite Solar Roof with unmatched mechanical properties ROOFING Various Key Projects Undertaken ATUM V-NEXT YARN 20
Slide 22: Why ATUM?
Why ATUM? ROOFING High on Productivity Advantages ➢ 100% Leakproof for lifetime ATUM ➢ Leakproof industrial Grade Sealant and Aluminum profiles ➢ Panel Jointing has been designed to withstand 250kmph Strength Durable speed unlike the conventional fragile clamps. Features ➢ Can withstand 300 kg/sqm l
Slide 23: ATUM Key Projects & Units
ATUM Key Projects & Units ROOFING • Current Manufacturing Capacity: 30 MV • 5kW Roof and Mud Walls • ATUM Panels are made using power • Being tested for superior thermal insulation in produced by ATUM Roof • Ladakh • This is a Net Zero Building • Energy Savings from thermal Insulation ATUM Manufactu
Slide 24: V Next products, fiber cement boards & panels
BUSNIESS DIVISION ANALYSIS # 2 V Next products, fiber cement boards & panels
Slide 25: Fibre cement boards: Unique Product Immense Possibilities
Fibre cement boards: Unique Product Immense Possibilities Highlights, 2022-23 (V Next products) ROOFING What are Fibre Cement Boards ➢ Products are marketed under the brand V- Next and covers a wide 01 02 range of products -V Panel, V Premium, V Planks and V Boards which are manufactured using cellu
Slide 26: V Next products, fibre cement boards and panels
V Next products, fibre cement boards and panels ROOFING ATUM 32% 04 Pan India V Next 25% Market share Number of Plants Market Presence Brands Sales contribution (%) to total revenue V-NEXT Added 72,000 MT of capacity with greenfield expansion at West Bengal (Midnapore) which expects to commence prod
Slide 27: Capacity utilisation
Capacity utilisation Capacity Utilisation ROOFING FY19 FY20 FY21 FY22 FY23 Installed capacity (metric tonnes) 179,750 179,750 189,750 239,750 249,750 Capacity utilisation (%) 67 76 71 76 96 ATUM Annual Growth in Sales (INR in Crs.) Contribution to total sales (%) 405 V-NEXT 284 196 203 25% 177 18% Y
Slide 28: V-Next
V-Next ROOFING Vpanel ATUM Salient Features V-NEXT Vpremium ➢ Environment friendly ➢ Asbestos Free ➢ Termite resistant ➢ Fire resistant ➢ Water resistant ➢ Excellent Workability like wood ➢ Sound Insulation YARN ➢ Highly flexible material ➢ Low thermal conductivity Vplanks 27
Slide 29: V-Next
V-Next ROOFING ATUM Wardrobes, Kitchen Cabinets & Shelves V-NEXT YARN Office Boards Sound Insulated Walls in Theatres Virat Kohli’s Restaurant- V-Next 28
Slide 30: V-Next
V-Next HAPPY TO BE PART OF THE MARVELOUS NEW PARLIAMENT WITH VNEXT – SUPPLYING MORE THAN 3,00,000 SFT VNEXT ECO FRIENDLY BOARDS 29
Slide 31: Synthetic yarns
BUSNIESS DIVISION ANALYSIS # 3 Synthetic yarns
Slide 32: The Wonder Yarn (Subsistence Is Sustainable)
The Wonder Yarn (Subsistence Is Sustainable) Highlights, 2022-23 ROOFING ➢ ‘The Wonder Yarn’, founded in 1992, is a sustainable yarn produced by recycling used PET bottles. ➢ This business has helped the company to get to an international 01 02 presence with its progressive ideology and technology ➢
Slide 33: Capacity utilisation
Capacity utilisation Capacity Utilisation ROOFING FY19 FY20 FY21 FY22 FY23 MTS Machines 41 41 41 41 45 Spinning Positions 2,752 2,752 2,752 2,752 3,040 ATUM During the year end 2023, the Company has added four MTS machines with 288 Spinning Positions Annual Growth in Sales (INR in Crs.) Contribution
Slide 34: Wonder Yarn
Wonder Yarn ROOFING ATUM Wide range of Applications ➢ Replaced cotton yarn for table napkins in UK and US V-NEXT ➢ Replaced Cotton Yarns and Twisted Filament yarns for upholstery fabrics in Belgium ➢ Matt like finish used exclusively for high-end shirting and feather light suiting for customers in I
Slide 35: New launch
New launch Subsidiaries A retail outlet offering fully Offers services to handle turnkey Solar sustainable, green products roof Projects & other Building solutions. • V next solutions aims at offering • The Company is fabricating ATUM turnkey solutions of Building Life, a chain of experience centres
Slide 36: New launch
New launch Sustainable Fashion Stationary Cosmetics 35
Slide 37: Q1 FY24 Financial Statement
Q1 FY24 FINANCIAL STATEMENT
Slide 38: Standalone Quarterly Financial Highlights
Standalone Quarterly Financial Highlights Operating Revenue (₹ Crs.) EBITDA^ Profit After Tax -1% +35% +145% 450 447 39 12 29 5 Q4FY23 Q1FY24 Q4FY23 Q1FY24 Q4FY23 Q1FY24 EBITDA (%) PAT (%) 8.6 2.7 6.3 1.1 Q4FY23 Q1FY24 Q4FY23 Q1FY24 ^ EBITDA calculated including Other Income 37
Slide 39: Standalone Quarterly Segment Mix
Standalone Quarterly Segment Mix Building Product Revenues (₹ Crs.) Building EBIT (₹ Crs.) 391 387 385 53 286 287 27 18 13 11 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Synthetic Revenues (₹ Crs.) Synthetic EBIT (₹ Crs.) 88 12 12 77 10 68 9 63 62 8 Q1FY23 Q2FY23 Q3FY23 Q4F
Slide 40: Standalone Profit & Loss Statement – Q1 FY24
Standalone Profit & Loss Statement – Q1 FY24 Profit & Loss Statement (Rs. Crs.) Q1 FY24 Q1 FY23 Y-o-Y Q4 FY23 Q-o-Q Revenue from Operations 446.8 479.2 -6.8% 450.1 -0.7% Cost of Materials Consumed 248.0 222.1 241.7 Purchase of stock-in-trade 1.0 1.5 2.2 Changes in Inventories of Finished Goods and W
Slide 41: Standalone Key Financial Ratios
Standalone Key Financial Ratios RoCE (%) Debt Cost (%) 20.3 7.1 6.9 18.0 5.9 14.9 5.6 5.6 9.0 7.9 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Interest Cover (x) Net Worth (₹ Crs.) 18.2 773 732 15.8 627 500 505 7.8 6.6 6.6 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 40
Slide 42: Consistent Dividend Performance
Consistent Dividend Performance Dividend as % of Face Value Robust Dividend Payout Final Interim 150% 150% 150% The Company paid out an aggregated Rs 212 Crores in dividend across 27 successive years ending 2022-23 80% 100% 100% 30% 70% 70% 60% 60% 50% 50% 50% 50% 50% 40% 35% 20% 20% 20% 30% 70% 70%
Slide 43: Key Takeaways
=) KEY TAKEAWAYS
Slide 44: Key Takeaways
Key Takeaways Young Leadership 40+ Years of Experience Unique Products Proven Performance Robust Financials Sustainability is the Future 43
Slide 45: The Drivers of Value at Visaka
The Drivers of Value at Visaka 01 02 03 04 Business Mix Housing Focus Capacity Dispersal Financial Dispersal Blend of four Addressing roofing 13 pan-India Focus on capacity businesses in one and paneling needs manufacturing creation with short locations payback 05 06 07 08 Brand Integration Responsi
Slide 46: Annexure
Annexure 45
Slide 47: Historical Yearly Segment Mix
Historical Yearly Segment Mix Building Product Revenues (₹ Crs.) Building EBIT (₹ Crs.) 1,351 184 1,168 161 1,010 835 95 71 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 Synthetic Revenues (₹ Crs.) Synthetic EBIT (₹ Crs.) 296 44 43 248 216 28 137 3 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 46
Slide 48: Historical Product Revenues Mix
Historical Product Revenues Mix Cement Asbestos (%) Fibre Board & Panels (incl ATUM Roof) (%) Textile- Synthetic Yarn- Wonder (%) 26 20 69 18 18 22 60 60 56 20 19 12 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 47
Slide 49: Historical Profit & Loss Statement
Historical Profit & Loss Statement Profit & Loss Statement (Rs. Crs.) FY20 FY21 FY22 FY23 Income from Operations 1,050.4 1,146.2 1,415.8 1,646.6 Other Income 6.6 8.6 9.9 11.0 Total Income 1,057.0 1,154.8 1,425.7 1,657.6 Operating Expenses 941.5 952.7 1,215.7 1,510.6 EBITDA 115.5 202.1 209.9 147.0 EB
Slide 50: Historical Balance Sheet and Key Ratios
Historical Balance Sheet and Key Ratios Balance Sheet (INR in Crores) FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 Share capital 15.9 15.9 15.9 15.9 15.9 15.9 15.9 16.5 17.3 17.3 Reserves and Surplus 317.5 316.3 331.1 371.9 429.7 483.6 489.1 610.4 715.0 755.6 Non-current liabilities 125.8 119.4
Slide 51: Thank You
Company: CIN: L52520TG1981PLC003072 Mr. Shafi Singanamala Thank You Chief Financial Officer shafi.singanamala@visaka.in Investor Relations Advisors : Mr. Irfan Raeen Mr. Parth Patel +91 97737 78669 +91 98197 85972 irfan.raeen@linkintime.co.in parth.patel@linkintime.co.in