Tcpl Packaging Limited · NSE:TCPLPACK
Tcpl Packaging — Investor Presentation (January 2022)
46 slides from Tcpl Packaging's investor presentation, January 2022
Slide 1: Investor Update January 2022
INVestot 1 Qrept January 2022
Slide 2: Forward-looking statements disclaimer
Certain statements and opinions with respect to the anticipated future performance of TCPL Packaging Limited in the presentation (“forward- looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be correct. Such f
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Slide 4: One of India's leading producers of sustainable packaging solutions
TCPL – One of India’s leading producers of sustainable packaging solutions for customers across industries 31 YEARS 906 (RS. CRORE) 99 (RS. CRORE) 17.7% 8 ~1,900 15 years Of proving an Revenue Cash Profit* Manufacturing Employees array of Revenue (FY21) (FY21) units (FY21) packaging CAGR solutions (
Slide 5: To be the most admired Indian packaging company
To be the Maintain and acquire most admired customers and Indian contribute to their success packaging Company with To drive long term an objective profitable growth to: Get it right the first time every time 5
Slide 6: One of India's largest Folding Carton manufacturers
One of India’s largest Folding Carton manufacturers and convertors of paperboard Innovative player in the Flexible packaging industry Close-to-Demand Pan-India Footprint to fast-track growth Caters to Consumer Goods, Food & Beverage, Tobacco, Liquor, Agro-Chemicals, Pharma, and various other industr
Slide 7: Leading Carton Packaging company driven by industry-leading technology
One of India's leading Carton Packaging companies since 1990s driven by adoption of industry- leading technology Offers wide-range of innovative, sustainable & unique packaging solutions Well-positioned to support diverse customer requirements with PAN India presence and network MONOCARTONS SPECIALT
Slide 8: Innovative player in flexible packaging
Innovative player providing versatile and sustainable solutions to customers across industry verticals Offers a variety of products including Pouches, Laminates, Shrink Sleeves, and Wrap Around Labels POUCHES SHRINK SLEEVES WRAP AROUND LABELS BUNDLE PAPER, INNER LAMINATES TIPPING PAPER FRAMES & SOFT
Slide 9: Company history and milestones
Branched into Added Crossed $100m sheetfed offset Third Turnover printing Gravure Packaging Acquisition of line Creative Offset, Noida First machine Started Started begins production Haridwar Guwahati Incorporated at Silvassa Factory Factory TCPL Innofilms Private Limited 1990 1997 2001 2003 2005 20
Slide 10: Deep-rooted relationships, innovation, technology, presence, sustainability
Equipped with latest state-of- the-art machines Operates multiple Several technical manufacturing units Developing creative collaborations to ensure solutions by a dedicated efficiency & productivity Vast market network across Long-term connect with team with proven capabilities India and Oversees C
Slide 11: Long term relationships with several customers spanning over 31 years
Long term relationships with several customers spanning over 31 years 100+ customers ranging across large domestic 100+ 50+ & global corporates Delivers innovative & sustainable packaging Folding Flexible solutions to customers across various industry Cartons Packaging verticals such as FMCG, Food &
Slide 12: Customers across industries
Electronics, Pharma & Others FMCG FMCG Liquor Food & Beverages “Enables leading companies across industries identify the right packaging solutions” 12
Slide 13: Committed to developing best-in-class packaging solutions
Delivers Specialized Customization Packaging Solution Expert Well equipped Interventions with advanced software Exclusive technical collaborations “Committed to developing best-in-class, high-quality, and cutting-edge packaging solutions” 13
Slide 14: Specialty inks, lens effects and security features
SECURITY FEATURES – PRINTING, EMBELLISHMENT & SPECIALITY INKS SPECIALISED LENS EFFECT CODING Hidden Text/ Anti-copy feature Micro Text Images SUSTAINABLE ALTERNATIVE TO SPECIALTY COATINGS PLASTIC Random Auto paste alphanumeric coding QR code barcodes /scratch & read tags Hologram pasting Micro - emb
Slide 15: Appealing print finish, biodegradable packaging, gift box printing
Appealing Print Finish Appealing Print Finish Lux Valentina - matt/gloss Afxigra Lens – Carton 3D combination, embossing, hologram lens registered to +/- double pass foil stamping. 0.1mm accuracy Glued with hot melt on PE coated board Hidden Images, Texture UV, Cast & Cure Biodegradable Packaging Ho
Slide 16: Pan-India manufacturing footprint
Close-to-demand strategy has enabled TCPL to emerge as one of India’s leading sustainable packaging solution providers *Haridwar Delhi Headquartered in Mumbai, Noida Guwahati TCPL operates 8 manufacturing units across 5 locations & has *Silvassa Kolkata marketing offices in key metro Mumbai cities G
Slide 17: Export revenue break-up
Revenue Break-Up Exports 22% Domestic 78% Export Revenue stood at Rs. 198.9 crore for FY21 “As a ‘Star Export House’, TCPL offers exemplary value to its clients along with world-class quality and service” 17
Slide 18: Operational excellence through latest technology
Focus on achieving operational excellence by adopting latest technology and practices Established best-in-class equipment across facilities State-of-the-art laboratories at all plants to ensure GRAVURE PROCESS OFFSET PROCESS high quality Ink management systems installed as per international standard
Slide 19: Recyclable packaging and PE blown film line
Considering the plastic waste disposal crisis, there is increasing pressure on brand owners to use recyclable packaging solutions To meet this growing demand, TCPL Innofilms Private Limited, a wholly owned subsidiary of TCPL, is setting up a Poly-ethylene (PE) blown film line from Reifenhauser (Germ
Slide 20: Environment, Social, Governance
Environment TCPL has framed a policy on Business Responsibility aimed to fulfil its Social, Environmental and Economical responsibilities. It covers procedures relating to environment protection in detail and is available on TCPL’s website: TCPL - Business Responsibility Policy Invested in roof top
Slide 21: Global trend towards eco-friendly packaging
Growing global trend towards eco-friendly packaging solutions fueled considerable growth over the last decade o Ever increasing end-consumer awareness and demand for eco- friendly & recyclable offerings Paperboard is a naturally Renewable, Recyclable and Compostable material o TCPL utilizes a mix of
Slide 22: Executive management and directors
K. K. Kanoria Saket Kanoria Rishav Kanoria S. G. Nanavati Akshay Kanoria Executive Chairman Managing Director Director Executive Director Executive Director Graduate from Kolkata MBA-Finance from George Graduate from University Chartered Accountant & Graduate from University University with Hons. in
Slide 23: Independent directors
Sunil Talati Sudhir Merchant Atul Sud Rabindra Jhunjhunwala Deepa Harris Independent Director Independent Director Independent Director Independent Director Independent Director Senior Partner of M/s.Talati An Industrialist having An IIM Ahmedabad Partner at Khaitan & Co, a Have over 3 decades of &
Slide 24: Growth strategy
Scale Pan-India Presence Improving consolidation in a Close-to-demand strategy to largely unorganized industry drive growth Sustainable Packaging Partnership with Solutions Customers Emerging as a major growth Leverage existing relationship opportunity to gain higher wallet share Investment in New D
Slide 25: Acquisition of Creative Offset Printer Private Limited
About Creative Offset Printer Since both companies have production facilities in Acquisition Details Private Limited (COPPL) close proximity, TCPL aims to capitalize from key synergies, like cost rationalization & optimization Incorporated in 2002, COPPL was started TCPL acquired a majority stake (6
Slide 26: Indian smartphone market
Indian Smartphone Shipment Indian Smart phone market (Million) • One of the fastest growing markets for 173 smartphones in the World with high value add • Over the years, Indian Smartphone shipment 150 has grown tenfold, exceeding markets such as North America, Latin America, and Africa • India is t
Slide 27: Industry overview
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Slide 28: Multiple tailwinds in folding cartons and flexible packaging
India is one of the fastest growing consumers of packaging solutions in the world due to growing domestic consumption trends Paperboard industry is expected to grow at a healthy rate led by significant demand from Consumer, Food & Beverage, Liquor, Agro-Chemicals, Pharma, Retail, among other industr
Slide 29: Packaging value chain
Paper Pulp Paper Mill Folding Carton Solutions Provider Folding Carton Packaging Solution Provider Key Raw Feedstock Material to producer packaging Brand Flexible Packaging Owner Key Attributes: Customized Design Innovation Flexible Packaging Solutions Provider Plastic Granules Film Manufacturer 29
Slide 30: Fragmented, largely unorganized industry
Folding Carton Industry is Flexible Packaging Industry largely unorganized 2 1000+ 2-3 500+ 4-5 4-5 200+ Many Many <200 Small unorganized Revenue (Rs. Crore) Note – Number of Companies with Rs. 1000+ crore, 500+ crore, 200+crore and <200 crore revenue 30
Slide 31: Financial Highlights
GERM EXPERT 4 Financial Highlights
Slide 32: Revenue FY07 to FY21
Revenue (Rs. Cr.) FY07 to FY21 - 15-year CAGR: 17.7% Till 2017, the Company had 891.9 906.4 reported a robust 10-year CAGR FY07 to FY17 - 10-year CAGR: 19.8% 817.1 of 19.8% Challenging external 700.7 environment owing to demonetization, GST and Covid- 613.5 19 pandemic impacted the 592.6 Company’s t
Slide 33: EBITDA and Cash Profit
EBITDA (Rs. Cr.) EBITDA Margin (%) FY12 to FY21 - 10-year CAGR: 14.8% 16.7% 17.3% 14.8% 15.1% 15.7% 16.3% 14.7% 15.4% Tough macro environment along 12.9% 13.3% with venture into Flexible packaging category significantly impacted TCPL's profitability in FY18 and FY19 100.5 105.7 128.1 136.3 41.3 55.7
Slide 34: Net Debt to Equity and Capex
Net Debt to Equity Investments over the years have 1.87 1.93 1.79 enabled TCPL to emerge as one 1.58 1.66 of India's leading packaging 1.53 1.31 1.3 1.26 manufacturers 1.08 Comfortable Net-Debt position – cash flows prudently utilized towards capacity expansion and FY12 FY13 FY14 FY15 FY16 FY17 FY18
Slide 35: ROCE and RONW
ROCE 22.7% 23.1% Over the past few years, return 17.4% 16.3% 16.4% ratios have been below internal 13.8% 13.3% 13.3% 12.7% expectations due to lower utilization of newly 10.9% commissioned capacities FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Optimal utilization of capacities to facilitate be
Slide 36: Balance sheet particulars FY12 to FY21
Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Net Worth (Rs. Cr) 67 78 88 114 145 178 216 241 269 301 Gross Block 251* 280* 328* 392* 478* 585* 426 516 595 632 Cash and cash equivalents (Rs. Cr) 1 3 3 6 6 11 15 6 16 6 Capital Employed (Rs. Cr) 195 233 248 297 384 487 519 578 659 581
Slide 37: Dividend per share and payout ratio
Dividend Per Share (Rs.) Dividend Payout Ratio 26.2% 23.9% 20.0% 20.0% 20.4% 20.1% 19.9% 19.5% 19.7% 7.35 7.35 6.00 6.25 10.0% 5.25 3.70 4.00 2.65 2.50 2.00 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 “One of the first companies to announce a dividend policy – Committed to healthy dividend pay
Slide 38: Q2 FY22 Financial Overview
Q2 FY22 Financ Overview
Slide 39: Q2 FY22 revenues, EBITDA and cash profit
Total Revenues (Rs. Cr.) EBITDA (Rs. Cr.) Cash Profit (Rs. Cr.) 37.2 28.5 28.5 36.1 253.0 30.4 22.8 245.1 226.1 Q2 FY21 Q1 FY22 Q2 FY22 Q2 FY21 Q1 FY22 Q2 FY22 Q2FY21 Q1 FY22 Q2 FY22 Shift % (Y-o-Y) 3.2% Shift % (Y-o-Y) -2.8% Shift % (Y-o-Y) 0.0% Shift % (Q-o-Q) 11.9% Shift % (Q-o-Q) 18.8% Shift % (
Slide 40: Q2 and H1 FY22 income statement
Y-o-Y Y-o-Y Particulars (Rs. crore) Q2 FY22 Q2 FY21 H1 FY22 H1 FY21 Change (%) Change (%) Revenues from Operations 247.7 239.8 3.3% 470.6 405.6 16.0% Other Operating Income 5.3 5.3 -0.2% 8.5 9.0 -5.2% Total Revenues 253.0 245.1 3.2% 479.1 414.6 15.6% Total Expenditure • Raw Material expenses 151.4 1
Slide 41: Balance sheet snapshot as of September 2021
Rs. 310.8 Rs. 694.9 Rs. 648.7 Crore Crore Crore Net-worth Capital Employed Fixed Assets (Gross) Rs. 16.2 Rs. 367.8 Crore 93 Days Crore Cash & Investments Net Debt Net Working Capital Days Note: As on 30th September 2021 41
Slide 42: Leading producer of sustainable packaging solutions
One of India’s leading producers of sustainable packaging solutions for customers across industries Versatile & technologically advanced packaging solution provider with PAN-India presence Emerging innovative player in the flexible packaging industry Consistently outperformed growth in underlying in
Slide 43: Annexure
Annexure \ \\ A le
Slide 44: Key market statistics and shareholding pattern
Key Market Statistics As on 31-December-2021 Shareholding Pattern* BSE/NSE Ticker 523301 / TCPLPACK Others, 7.28% CMP (Rs) 514.75 Market Cap (Rs Crore) 468.42 Individual - Number of outstanding shares (Crore) 0.91 >1%, 29.45% Face Value 10.00 52-week High / Low (Rs) 587.90/337.75 Promoter & Promoter
Slide 45: About TCPL Packaging Limited and contacts
TCPL Packaging Limited (TCPL) (BSE: 523301, NSE: TCPLPACK), is For further information, please contact: one of India’s leading producers of sustainable packaging solutions for customers across industries. The Company partners with customers to provide paperboard-based packaging Vivek Dave solutions
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