Finolex Industries Limited · NSE:FINPIPE
Finolex Industries — Q2 FY2023 Earnings Presentation
27 slides from Finolex Industries's earnings presentation, Oct 21, 2022
Slide 1: Exchange filing cover letter for results presentation
FIL/SEC/SEs/2022-23/064 21st October, 2022 The Manager – Listing Department The Manager – Listing Department National Stock Exchange of India Limited BSE Limited 5, Exchange Plaza Registered Office: Floor 25 Bandra-Kurla Complex P.J.Towers Bandra (East), Dalal Street Mumbai 400051 Mumbai 400 001 Scr
Slide 2: Finolex Industries Investor Presentation Q2 FY 2022-23
FINOLEX INDUSTRIES INVESTOR PRESENTATION Q2 FY 2022-23
Slide 3: Sales volumes maintains growth trajectory; sharp price correction impacted earnings
Sales volumes maintains growth trajectory; sharp price correction impacted earnings Q2 FY23 H1 FY23 Segment Revenue – Q2 FY23 Rs Cr Sharp correction Total revenue declined 13% Total revenue registered a in prices impacted y-o-y to Rs. 941 Cr from Rs. y-o-y growth of 4% to Revenues 1,083 Cr Rs. 2
Slide 4: Segment Performance – Key highlights Q2 FY23
Segment Performance – Key highlights Q2 FY23 Pipes and Fittings 801.73 Cr 59,218 MT (47.63) Cr (11%) y-o-y 7% y-o-y (183%) y-o-y Revenue Volume EBIT 481.07 Cr 54,063 MT (110.68) Cr (27%) y-o-y 4% y-o-y (148%) y-o-y Resin Revenue Volume EBIT 3
Slide 5: Business Performance by Segment
Business Performance by Segment P&F Volume (MTs) PVC Volume (MTs) 7% 4% -18% -14% 52,029 55,453 71,960 62,746 54,063 59,218 Q2 FY22 Q1 FY23 Q2 FY23 Q2 FY22 Q1 FY23 Q2 FY23 P&F EBIT (Rs Cr) PVC EBIT (Rs Cr) -183% -148% -212% -252% 57.5 42.6 230.6 72.9 -47.6 -110.7 Q2 FY22 Q1 FY23 Q2 FY23 Q2 FY22 Q1 F
Slide 6: Business Performance of the Company (Total)
Business Performance of the Company (Total) Revenue (Rs Cr) EBITDA (Rs Cr) -13% -148% -21% -213% 300 1,083 1,190 126 941 -143 Q2 FY22 Q1 FY23 Q2 FY23 Q2 FY22 Q1 FY23 Q2 FY23 PBT (Rs Cr) Sales volumes (in MT) -142% 7% -3% -209% 310 118 76,178 73,713 -129 69,138 Q2 FY22 Q1 FY23 Q2 FY23 Q2 FY22 Q1 FY23
Slide 7: EBITDA Movement Q2 FY23 vs. Q2 FY22
EBITDA Movement Q2 FY23 vs. Q2 FY22 Rs Cr (141.4) 299.6 (250.1) - - - - (0.1) (51.0) (143.0) EBITDA Revenue Materials Employee Other expenses EBITDA Q2FY22 consumed benefit expenses Q2FY23 6 All Numbers reported in the presentation are on standalone basis excluding exceptional items
Slide 8: EBITDA Movement H1 FY23 vs. H1 FY22
EBITDA Movement H1 FY23 vs. H1 FY22 Rs Cr 83.2 (471.1) 510.97 (5.7) (134.3) (16.7) EBITDA H1 FY22 Revenue Materials Employee Other expenses EBITDA H1 FY23 consumed benefit expenses 7 All Numbers reported in the presentation are on standalone basis
Slide 9: Summarised Income Statement
Summarised Income Statement YOY YOY Rs. Cr Q2 FY23 Q2 FY22 H1 FY23 H1 FY22 Change Change Total Income from 941.13 1,082.57 (13%) 2,130.94 2,048.02 4% operations EBITDA gain/ (loss) (142.67) 299.51 (148%) (16.76) 510.97 (103%) EBITDA % (15%) 28% (1%) 25% Depreciation 21.56 20.61 42.90 40.67 Profit/(l
Slide 10: Balance Sheet – Key indicators
Balance Sheet – Key indicators Rs. Cr 30-Sep-22 31-Mar-22 Equity and liabilities Share capital 123.67 124.10 Reserves and surplus 3,709.14 3,739.66 Long term borrowings - - Short term borrowings (including loans 27.16 278.03 repayable in one year) Assets Fixed assets (Net block) 984.99 992.33 Capita
Slide 11: PVC Prices & PVC/EDC Delta
0 200 400 600 1000 1200 1600 1800 800 1400 2000 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20 Apr-20 Jun-20 Aug-20 Oct-20 Dec-20 PVC (USD/MT) Feb-21 Apr-21 Jun-21 Aug-21 Oct-21 Dec-21 Feb-22 Apr-22 Jun-22 Aug-22 PVC Prices & PVC/EDC Delta Oct-22 0 200 400 600 800 1000 1200 Apr-19 Jun-19 Aug-19 Oct-19 De
Slide 12: Select Marketing Initiatives
Select Marketing Initiatives 11
Slide 13: Story of the Founder of Finolex Group
Story of the Founder of Finolex Group Engaging storytelling of the brand by reinforcing core values of Founder of Finolex Group Podcast- Legacy of Late Shri Pralhad Chhabria Pralhad Movie- More than 5.6 M views on Youtube On Spotify & Youtube 12
Slide 14: Key objectives and initiatives
Key objectives and initiatives To continue building visibility & improve awareness in the market To strengthen relationship with key stakeholders using on-ground and digital activations Ashadhi Wari Jagannath Rath Yatra Onam Festival Pandharpur, Maharashtra Puri, Odisha Kerala
Slide 15: Brand Integration | Festival Celebration | Topical communication
Brand Integration | Festival Celebration | Topical communication • Impactful integration in TV shows with strong affinity. • Tapped diverse cultural cues and stakeholder sentiments for nation wide celebration during festive period across multiple platforms Print Ad – PM Birthday Brand Integration –
Slide 16: Awards and Recognitions
Awards and Recognitions Great Place To Work Certification Iconic Brands of India 2022 Best Financial Performance by The Economic Times Entrepreneur Awards 2022
Slide 17: CSR Update
CSR Update 16
Slide 18: Presence of Mukul Madhav Foundation in India
Presence of Mukul Madhav Foundation in India Mukul Madhav Foundation (MMF), a CSR partner of FIL is engaged in various CSR activities all across India States where we are present States where we are not present 17
Slide 19: Commitment Towards 16 out of the 17 UN Sustainable Development Goals
Strengthening Our Commitment Towards 16 out of the 17 UN Sustainable Development Goals Actively exploring opportunities to cater the remaining spectrum: - 18
Slide 20: Actively engaged in 15 out of 16 CSR Mandated Areas
Actively engaged in 15 out of 16 CSR Mandated Areas ✅ Agriculture & rural development ✅ Promoting sports projects ✅ Safe drinking water and sanitation ✅ Ensuring environmental ✅ Support to differently abled sustainability ✅ Technology incubators ✅ Eradicating extreme hunger and ✅ Armed force
Slide 21: CSR Activities in Q2 FY23 – some snapshots
CSR Activities in Q2 FY23 – some snapshots Eradicating extreme hunger & poverty Support for Differently-Abled Promotion for Education 575 children received access to nutrition through inauguration Ongoing support being provided to 1,541 CP patients. Supported 88+ educational institutes and 300
Slide 22: CSR Activities in Q2 FY23 – some snapshots
CSR Activities in Q2 FY23 – some snapshots Promoting Preventive Healthcare Supporting and encouraging small businesses Other support Blood donation camps were held at BT Shahani School, Pune, To encourage thriving small businesses, 5 institutions 2 widows were provided with an employment oppor
Slide 23: Contact details
Mr. Abhay Amlekar aba@finolexind.com D-1/10, MIDC Chinchwad, Pune 411 009 020 2740 8200 I 1-800-2003266 www.finolexpipes.com 22
Slide 24: Press release: Finolex reports 5% growth in sales volumes
FOR IMMEDIATE RELEASE Finolex Industries reports 5% growth sales volumes; sharp correction in PVC prices impacts Q2 earnings negatively Pune, 21 Oct 2022: Finolex Industries Limited (NSE:FINPIPE|BSE:500940) at its Board Meeting held today announced unaudited financial results for the second quarter
Slide 25: H1 FY23 Highlights
H1 FY23 Highlights: Total income from operations was Rs 2,130.94 Cr for H1FY23 – up 4.0% against Rs 2,048.02 Cr in H1FY22. Volume in Pipes & Fittings segment grew 17.9% to 1,31,178 MT in H1FY23 against 1,11,272 MT in H1FY22 Volume in Resin segment was up 14.2% to 1,16,809 MT in Q2FY23 against
Slide 26: This is Finolex
This is Finolex: We are India’s most trusted PVC pipes and fittings manufacturer. Over the last 40 years, we have impacted the sanitation-plumbing and agricultural sectors with prudent investments across our value chain. Right from the sourcing of quality raw materials and resin production, to manuf
Slide 27: Volume Data
Finolex Industries Limited. Volume Data Sr. No. Particulars Q4 FY19 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 1 Production in MT a PVC Resin 84,221 51,785 41,347 83,370 70,891 13,785 43,338 84,016 83,896 53,817 29,961 65,846 64,56