Ifgl Refractories Ltd. · NSE:IFGLEXPOR
Ifgl Refractories — Q3 FY2023 Earnings Presentation
35 slides from Ifgl Refractories's earnings presentation, Feb 6, 2023
Slide 1: Exchange filing cover letter under Regulation 30
6 th February, 2023 National Stock Exchange of India Ltd BSE Limited 'Exchange Plaza', C-1, Block- G Phiroze Jeejeebhoy Towers Bandra- Kurla Complex Dalal Street Bandra (E), Mumbai 400 051 Mumbai 400 001 CODE: IFGLEXPOR CODE: 540774 Dear Sirs, Re: Disclosure under Regulation 30 of SEBI (Listing Obli
Slide 2: IFGL Refractories Limited Investor Presentation – Q3 & 9MFY23
IFGL Refractories Limited Investor Presentation – Q3 & 9MFY23
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), has been prepared by IFGL Refractories Limited, solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or b
Slide 4: Table of Content
Table of Content 1 2 3 Performance Industry About IFGL Highlights Overview Refractories 3
Slide 5: Performance Highlights
Performance Highlights
Slide 6: Q3FY23 Performance Snapshot
Q3FY23 Performance Snapshot Standalone & Consolidated Performance Standalone Consolidated Rs. 183.8 Crores Rs. 318.3 Crores Total Income Total Income Standalone Consolidated Rs. 29.6 Crores Rs. 36.7 Crores EBITDA EBITDA Standalone Consolidated Rs. 12.3 Crores Rs. 15.8 Crores PAT PAT 5
Slide 7: 9MFY23 Performance Snapshot
9MFY23 Performance Snapshot Standalone & Consolidated Performance Standalone Consolidated Rs. 628.0 Crores Rs. 1,023.8 Crores Total Income Total Income Standalone Consolidated Rs. 88.0 Crores Rs. 110.0 Crores EBITDA EBITDA Standalone Consolidated Rs. 38.2 Crores Rs. 49.8 Crores PAT PAT 6
Slide 8: Q3FY23 Standalone Financial Highlights
Q3FY23 Standalone Financial Highlights Total Income [Rs. Crs.] EBITDA [Rs. Crs.] EBITDA Margin [%] 35.1 17.9% 196.5 183.8 16.1% 29.6 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Q3FY22 Q3FY23 PAT [Rs. Crs.] PAT Margin [%] 8.9% 17.5 6.7% 12.3 Q3FY22 Q3FY23 Q3FY22 Q3FY23 7
Slide 9: 9MFY23 Standalone Financial Highlights
9MFY23 Standalone Financial Highlights Total Income [Rs. Crs.] EBITDA [Rs. Crs.] EBITDA Margin [%] 97.2 17.3% 628.0 88.0 561.2 14.0% 9MFY22 9MFY23 9MFY22 9MFY23 9MFY22 9MFY23 PAT [Rs. Crs.] PAT Margin [%] 8.5% 47.6 38.2 6.1% 9MFY22 9MFY23 9MFY22 9MFY23 8
Slide 10: Q3 & 9MFY23 Standalone Profit & Loss
Q3 & 9MFY23 Standalone Profit & Loss Profit & Loss [Rs. Crs.] Q3FY23 Q3FY22 Y-o-Y% Q2FY23 Q-o-Q% 9MFY23 9MFY22 Y-o-Y% Total Income 183.8 196.5 -6% 218.5 -16% 628.0 561.2 12% Raw Material 98.4 93.8 122.4 346.2 270.7 Employee Expenses 15.8 13.8 15.2 46.1 43.2 Other Expenses 40.0 53.8 51.0 147.7 150.2
Slide 11: Standalone Balance Sheet
Standalone Balance Sheet Assets (in Rs. Crs.) Sep-22 Mar-22 Equity & Liabilities (in Rs. Crs.) Sep-22 Mar-22 Non current Assets 343.2 337.5 Equity 587.0 586.3 Fixed Assets Share Capital 36.0 36.0 Property Plant & Equipment 112.9 107.9 Other Equity 550.9 550.3 Right to Use Asset 18.2 18.5 Capital WIP
Slide 12: Q3FY23 Consolidated Financial Highlights
Q3FY23 Consolidated Financial Highlights Total Income [Rs. Crs.] EBITDA [Rs. Crs.] EBITDA Margin [%] 39.4 12.4% 11.5% 317.2 318.3 36.7 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Q3FY22 Q3FY23 PAT [Rs. Crs.] PAT Margin [%] 6.0% 18.9 5.0% 15.8 Q3FY22 Q3FY23 Q3FY22 Q3FY23 11
Slide 13: 9MFY23 Consolidated Financial Highlights
9MFY23 Consolidated Financial Highlights Total Income [Rs. Crs.] EBITDA [Rs. Crs.] EBITDA Margin [%] 115.8 12.7% 1,023.8 110.0 10.7% 908.8 9MFY22 9MFY23 9MFY22 9MFY23 9MFY22 9MFY23 PAT [Rs. Crs.] PAT Margin [%] 6.3% 56.8 49.8 4.9% 9MFY22 9MFY23 9MFY22 9MFY23 12
Slide 14: Q3 & 9MFY23 Consolidated Profit & Loss
Q3 & 9MFY23 Consolidated Profit & Loss Profit & Loss [Rs. Crs.] Q3FY23 Q3FY22 Y-o-Y% Q2FY23 Q-o-Q% 9MFY23 9MFY22 Y-o-Y% Total Income 318.3 317.2 0% 345.6 -8% 1023.8 908.8 13% Raw Material 163.5 151.1 178.3 533.7 433.2 Employee Expenses 50.7 44.0 47.4 145.0 130.8 Other Expenses 67.4 82.7 81.2 235.1 2
Slide 15: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (in Rs. Crs.) Sep-22 Mar-22 Equity & Liabilities (in Rs. Crs ) Sep-22 Mar-22 Non current Assets 486.1 480.9 Equity 928.1 934.0 Fixed Assets Share Capital 36.0 36.0 Property Plant & Equipment 194.2 180.4 Other Equity 892.0 898.0 Right to Use Asset 20.8 21.7 Capital W
Slide 16: Capex – Capacity expansion & other improvements
Capex – Capacity expansion & other improvements ➢ ~Rs. 58.5 Cr in FY23 & FY24 (including Research & 1 IFGL Odisha Plant Technology Centre at Kalunga, Odisha for an estimated cost of Rs.20 crores) 2 IFGL Kandla Plant ➢ Rs. 50 Cr in FY23 & FY24 Visakhapatnam 3 Project ➢ Rs. 69 Cr in FY23 & FY24 Capex
Slide 17: Research & Technology Centre at Kalunga, Odisha
Research & Technology Centre at Kalunga, Odisha Building a Research & Technology Centre at our existing plant in Kalunga, Odisha for an estimated cost of Rs. 20 crores. This is likely to be operational in the year 2023. 16
Slide 18: Consistently performing over the years…
Consistently performing over the years… Particulars [Rs. Crs.] FY18 FY19 FY20 FY21 FY22 Total Income 839.7 955.4 928.3 1,042.5 1,275.4 Materials consumed 421.4 477.0 459.1 474.0 614.6 Employee Expenses 126.7 146.2 150.5 151.8 173.9 Other Expenses 181.3 218.5 216.2 240.8 328.4 EBITDA 110.3 113.8 102.
Slide 19: …to create sustainable value for Shareholders…
…to create sustainable value for Shareholders… Total Debt (Rs. Crs.) Cash & Equivalents (Rs. Crs.) Net Debt (Rs. Crs.) FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21 FY22 9MFY23 113.9 321.9 89.4 87.1 262.7 230.4 204.5 52.0 51.6 134.2 -44.8 -116.5 -152.4 -175.6 -270.3 Net Debt :
Slide 20: …with consistent Payout
…with consistent Payout 100.0% 70.0% 25.0% 25.0% 20.0% FY18 FY19 FY20 FY21 FY22 Particulars (Rs.) FY18 FY19 FY20 FY21 # FY22 Consolidated Book Value Per Share 208.7 220.5 224.5 247.1 259.2 Consolidated Earning Per Share 13.1 14.0 11.1* 23.8* 21.5 Dividend Per Share 2.00 2.50 2.50 10.0# 7.0 * EPS Adj
Slide 21: Industry Overview
Industry Overview
Slide 22: Global Steel Demand Outlook
Global Steel Demand Outlook In MT World World (Ex China) Developing economies (Ex- China) -0.7% +0.8% +2.0% 1,839 1,797 1,815 887 883 901 486 489 506 2021 2022F 2023F 2021 2022F 2023F 2021 2022F 2023F ➢ Global outlook: ▪ As per WSA, the current forecasts that steel demand will contract by 2.3% in 20
Slide 23: Forecasted Global Short-Term Steel Demand
Forecasted Global Short-Term Steel Demand In MT 2021 2022F 2023F -0.7% 1,839 1,815 -0.6% 1,797 1,270 1,299 1,285 -2.4% +1.4% 165 159 157 137 138 141 -2.2% +2.9% -7.9% -0.5% +3.8% 50 47 48 50 51 53 58 53 50 40 39 40 39 40 42 USMCA Central & EU Other Europe Africa Middle East CIS + Ukraine Asia & Ocea
Slide 24: Top Steel Consuming Countries
Top 5 Steel Consuming Countries In MT 2021 2022F 2023F -2.0% 952.0 914.0 914.0 +6.4% +1.9% 120.3 106.2 112.7 97.1 99.2 100.8 +1.0% -1.3% 57.4 57.5 58.5 56.0 54.6 54.6 China India United States Japan South Korea India’s steel demand will show high growth on the back of strong urban consumption and in
Slide 25: National Infrastructure Pipeline (NIP) Project
National Infrastructure Pipeline (NIP) Project National Infrastructure Pipeline Project (NIP) Government unveiled the multimillion-dollar National Infrastructure Pipeline (NIP), with projects spread across 18 Investment allocation under NIP states over the next five years Others, 28% Energy, 24% $5
Slide 26: Domestic Steel Industry on a strong footing in the long term
Domestic Steel Industry on a strong footing in the long term India is now the world's second largest steel producer, surpassing Japan 1 Target of 300 MT* of production capacity by 2030 2 (National Steel Policy, 2017) Strong recovery in all sectors especially in steel consuming sectors of Real Estate
Slide 27: Growth drivers of Indian Steel industry
Growth drivers of Indian Steel industry Infrastructure development and demand from the various sectors Iron and steel industry accounts for approximately 71% of the Growth Drivers will boost usage of refractory products Huge export opportunity for India due to its low cost advantage refractories mar
Slide 28: About Refractories
About Refractories What are Refractories Uses • Refractories are material having high • Refractories are used by metallurgy melting points, with properties that make industry for flow control and also in the them suitable to act as heat-resisting internal linings of furnaces, kilns, reactors barrier
Slide 29: About IFGL Refractories
About IFGL Refractories
Slide 30: A Global MNC…
A Global MNC… Monocon , UK Hofmann Ceramic, Mono Ceramics Inc Michigan, Germany US Tianjin Monocon Tianjin, China EI Ceramics, Cincinnati, US IFGL, Kandla SEZ 29
Slide 31: Corporate Structure…
Corporate Structure… IFGL Refractories Limited 3.604 Cr Equity Shares with a Face Value of Rs. 10 each 100% IFGL Worldwide Holdings Limited Plants at Kalunga, Odisha, India + Plant at Kandla SEZ, Gujarat, India 100% 100% 100% + Plant at Visakhapatnam, Andhra Hofmann Monocon Group Ceramic EI Ceramics
Slide 32: …with proven management…
…with proven management… Mr. S.K. Bajoria Mr. James McIntosh Mr. Kamal Sarda Chairman Managing Director Director & Chief Executive Officer • Promoter of S K Bajoria Group based at • Holder of Masters Degree in Technological Marketing • Fellow Member of ICAI and a law graduate with more Kolkata engag
Slide 33: …serving the specialized refractory segment…
…serving the specialized refractory segment… Isostatic Refractories Slide Gate Refractories & Systems Tube Changer Refractories & System Purging System & Refractories Cast Products & Zirconia Nozzles Foundry Ceramics 32
Slide 34: …to reputed names in the Global Steel Industry
…to reputed names in the Global Steel Industry Our Technology. Your Success. The Brand Names mentioned are the property of their respective owners and are used here for identification purpose only. 33
Slide 35: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : IFGL Refractories Ltd. Strategic Growth Advisors Pvt. Ltd. CIN - L51909OR2007PLC027954 CIN - U74140MH2010PTC204285 Mrs. Mansi Damani Mr. Abhishek Shah / Mr. Vatsal Shah mansi.damani@ifgl.in abhishek.shah@sgapl.net / vat