Emmbi Industries Limited · NSE:EMMBI
Emmbi Industries — Q3 FY2019-20 Earnings Presentation
29 slides from Emmbi Industries's earnings presentation, Feb 12, 2020
Slide 1: Cover letter to stock exchanges
emmbf INDUSTRIES LIMITED Date: 12thFebruary, 2020 To, To, Dept. of Corporate Services, The Listing Department, BSE Limited, National Stock Exchange of India Limited, Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Street, Mumbai 400 001 - Bandra (East), Mumbai 400051 BSE Scrip
Slide 2: Emmbi Industries Limited Investor Presentation Q3 2019-2020
Emmbi Industries Limited Creating a brighter future Investor Presentation Q3, 2019-2020
Slide 3: Disclaimer
Disclaimer This is not an investment recommendation, and this presentation contains forward-looking statements, identified by words such as ‘plans’, ‘expects’, ‘will’, ‘anticipates’, ‘believes’, ‘intends’, ‘projects’, ‘estimates’ and so on. All statements that address expectations or projections abo
Slide 4: Contents
Contents Company Financial Manufacturing Introduction Highlights Developments Innovation of Union Budget Long Term the Quarter 2020 Impacts Growth Drivers
Slide 5: Company Introduction
Company Introduction
Slide 6: Business Verticals
Business Verticals Emmbi Industries Limited B2B B2C: Avana Specialty Advanced Avana Avana Packaging Composites Design Create
Slide 7: B2B Market Overview
B2B Market Overview Accelerating growth in Developing markets – in US will see growth from FIBCs will outpace RIBCs global manufacturing particular, India and food and chemical because of: will drive a rise in Indonesia – will lead sectors demand for bulk this growth Ease of We are catering to this
Slide 8: B2B: Specialty Packaging
B2B: Specialty Packaging • Estimated Global Market: 30 US $ Billion • The Specialty Packaging division caters to a wide array of industries, from food and pharma to chemicals, cement and more – to transport and store material
Slide 9: B2B: Advanced Composites
B2B: Advanced Composites • Estimated Global Market: 36.5 US $ Billion • The Advanced Composites division focuses on creating high-tech solutions for specialized applications • This division creates solutions for hazardous waste management, asbestos removal, fire-retardant applications, water conserv
Slide 10: Avana Market Overview
Avana Market Overview 54% of India faces high to Water Conservation is being India to double farmer extremely-high water stress brought to the forefront of income by 2022-23 government policy This would put more money in This is resulting in more funds the hands of the consumer for the creation of f
Slide 11: B2C: Avana Create
B2C: Avana Create • Avana Create includes products and services where we design, manufacture and distribute products • This range includes: • Jalasanchay (Pond Liner) • Jalasanchay Super (Pond Liner) • Kapila (Murghas Bags) • Bioflocking Tanks (for fish cultivation) • While selecting products for th
Slide 12: B2C: Avana Design
B2C: Avana Design • Avana Design includes products where we design and distribute products, that are made by partner manufacturers • This range will include the following by Q1 of 2020-21: • Rakshak by Avana (Tarpaulin) • Leno Bags (for vegetables and onion transport) • This range will also include
Slide 13: Highlights of the Quarter
Highlights of the Quarter
Slide 14: Financial Highlights
Financial Highlights 40+ 15+ 200+ 57+ Products Patents Clients Countries (₹ Q3 Q3 2015 2016 2017 2018 2019 Growth 2015 2016 2017 2018 2019 Millions) 2020 2020 Revenues 1,929 2,177 2,410 2,790 3,148 877 Revenue Growth % 14.81 12.83 10.72 15.77 12.85 7.78 EBIDTA 202 270 297 353 411 98 EBIDTA % 10.99%
Slide 15: Vertical Wise Revenue
Vertical Wise Revenue Revenue guidance are continued from the Investor Presentation for Q2 of 2019-20. These will be updated in the annual presentation, per usual. 45.02% 44.10% 44.60% 44.00% 41.00% 40.00% 33.43% 32.69% 32.97% 30.00% 28.00% 27.00% 27.00% 24.00% 24.00% 20.26% 18.11% 19.23% 6.00% 4.00
Slide 16: Revenue Split
Revenue Split AFRICA 3.70% MIDDLE EAST 7.2.00% EUROPE 28.00% THE UK B2C 8.80% 22.95% Export Domestic 48% 52% B2B OCEANIA 11.30% 77.05% AMERICAS 41.00% Market Wise Split Export Split Business Vertical Split As on 30th Sept 2019 B2B vs B2C
Slide 17: Kisan Exhibition in Pune
Kisan Exhibition in Pune • 1,500 ponds booked ~ approximately 30 Crore of Sale Value in the Avana Kisan Samruddhi Bonanza • Establishment of Avana as a market leader in the pond liner segment • Test launch of Murghas Bag
Slide 18: Independent Analyst Research Report: Avana emerges as the Market Leader
Independent Analyst Research Report: Avana emerges as the Market Leader Prime Stall Location Value Chain Integration Improved Retail Experience High on Branding
Slide 19: Manufacturing Developments
Manufacturing Developments • Creation of an automobile style manufacturing system • Different components are manufactured in different units • This would lead to improved unit efficiency, and in-turn, helping our profitability
Slide 20: Innovation of the Quarter
Innovation of the Quarter • India’s first Murghas Bag • Used to ferment fodder for healthier cows and improved yields • Test Launch at Kisan 2019 • Over 200 bags sold in 3 days! • Will be retailed from April 2020
Slide 21: Brighter Employees
Brighter Employees At Emmbi, we are taking multiple steps to ensure that our people lead brighter lives. These initiatives will also improve productivity and retention. • Menstrual Work From Home Policy • Health Insurance coverage for all workers • Including Avana field employees • Brightness Ambass
Slide 22: Union Budget 2020
Union Budget 2020 How will this impact us?
Slide 23: Agriculture and Water Conservation
Agriculture and Water Conservation • Focus on 100 water-stressed districts • Impact: Concentrated business potential for Avana in said districts • ~ ₹ 11,500 Crores for Jal Jeevan Mission for 2020-21 • Impact: Additional allocation for canal lining, community ponds and percolation tank lining in the
Slide 24: Long Term Impacts
Long Term Impacts • Funding of ~₹ 1,400 Crores for the Technical Textiles sector and ~₹ 1.7 Lakh Crores for Infrastructure Development • Long term impact: Provision of Technology Upgradation Funds (TUF) for companies in technical textile manufacturing • Creation of a national cold chain network, and
Slide 25: Long Term Growth Drivers
Long Term Growth Drivers
Slide 26: B2B Growth Drivers
B2B Growth Drivers Emmbi has identified that a long-term growth driver in polymer processing will be green polymers – substances that have the same functionality as current polymers, but a lower environmental impact. With this in mind, we have designed: • Emmbi EcoSafe • See the next slide for compl
Slide 27: Emmbi EcoSafe
Emmbi EcoSafe • Products made with a single homopolymer design • Use only raffia grade polypropylene, as opposed to multiple polymers • No separation required during recycling • All products can be custom made with an EcoSafe design • Fully recyclable
Slide 28: Avana Growth Drivers
Avana Growth Drivers • Focus on distribution, design and marketing with partner manufacturers • Asset Light growth • Investment focused on increasing retail touchpoints • Creation of a service-focused organization • USP within rural consumer durables sector, water conservation in particular • Creati
Slide 29: Thank you!
Thank you! For more information, please contact Emmbi Investor Services at info@emmbi.com
Emmbi Industries — Q3 FY2019-20 Earnings Presentation on 6ix