Apollo Pipes Ltd. · NSE:APOLLOPIPE
Apollo Pipes — Q3 FY2022 Earnings Presentation
31 slides from Apollo Pipes's earnings presentation, Jan 24, 2022
Slide 1: Apollo Pipes Ltd. Q3FY22 Earnings Presentation
APOLLO PIPES LTD. Q3FY22 EARNINGS PRESENTATION January 24, 2022 www.apollopipes.com
Slide 2: Safe Harbour
Safe Harbour Except for the historical information contained herein, statements in this presentation and the subsequent discussions, which include words or phrases such as "will", "aim", "will likely result", "would", "believe", "may", "expect", "will continue", "anticipate", "estimate", "intend", "
Slide 3: Table of Content
TABLE OF CONTENT 4 Future Outlook 5 5 Year Financial Highlights 6 Q3FY22 Highlights www.apollopipes.com
Slide 4: Company Overview
COMPANY OVERVIEW www.apollopipes.com
Slide 5: Apollo Pipes at a Glance
APOLLO PIPES AT A GLANCE Among the Top 10 1,25,200 MTPA 5 600+ leading PVC pipe Manufacturing Plants Channel Partners manufactures in India Capacity 1500+ 12% 20% 35% 5-year Sales 5-year Revenue 5-year Net SKU’s Volume CAGR Profit CAGR CAGR www.apollopipes.com
Slide 6: Q3FY22 at a Glance
Q3FY22 AT A GLANCE ` 12,520 MT 190.8Cr. 21.6Cr. EBITDA Sales Volume Revenue 15% YoY decline 9% YoY increase 49% YoY increase 11.3% 11.4 Cr. 18.0 Cr EBITDA Margin PAT Cash Profit Down 857bps YoY 30% YoY decline 13% YoY decline www.apollopipes.com
Slide 7: Presence Across Sectors
PRESENCE ACROSS SECTORS Apollo Pipes - Key Focus Area www.apollopipes.com
Slide 8: Product Portfolio
PRODUCT PORTFOLIO Diversified Basket of 1,500+ Products uPVC Piping System CPVC Piping System uPVC Pipes & Fittings | uPVC Column Pipes | S W R Drainage Pipes | uPVC Pressure Pipes CPVC Pipes & Fittings Well Casing Pipes | Underground Drainage Pipes HDPE Piping System Bath Fittings SOLVENT CEMENT Wat
Slide 9: Success Milestone
SUCCESS MILESTONE 2019 2020-21 • Concluded promoter • Concluded the strategic infusion of Rs. 142 crore acquisition of Kisan throughissuance of Mouldings’ manufacturing Equity Shares and fully unit in Bengaluru convertible warrants on • Successful listing of Preferential basis Company’s shares on NS
Slide 10: Tiger Shroff Appointed as Brand Ambassador
Tiger Shroff Appointed as Brand Ambassador Social Media campaign launched in Q3FY22 8.8 Million Views On Tiger Shroff’s : Water Tank 9.2 Million Views Water Tank: 2,959,016 Views (On Apollo Platform) 4,204,091 Views Pipes: 925,726 Views 13 Million Views Pipes 8.7 Million Views (On Apollo Platform) 3
Slide 11: Our Environment, Social, Governance and Safety Policy
Our Environment, Social, Governance and Safety Policy www.apollopipes.com
Slide 12: Growth Levers
GROWTH LEVERS www.apollopipes.com
Slide 13: Key Business Strength
Key Business Strength Catering to multiple sectors – Expanding footprint in India Agriculture, Water Management, Infrastructure Proven expertise in Strong and highly experienced complex projects Management Team Advanced equipment & Multiple and efficient product technology – cost efficient offerings – 1,
Slide 14: Strengthening distribution network across India
Strengthening distribution network across India to Augment presence and improve market penetration Enjoys a dominant and leading presence in North India Extensive distribution network significantly reduces delivery time to 4 8 hours Tapping newer (from 10-12 days) markets to reduce inventory cost fo
Slide 15: Diversified Product Portfolio with total offerings at 1,500+
Diversified Product Portfolio with total offerings at 1,500+, Aiming to achieve 2,500+ products to the basket • Range of products manufactured at the technologically-advanced manufacturing facility at Dadri & Sikandrabad at U.P., Ahmedabad at Gujarat & Tumkur (Banglore) at Karnataka and Raipur at Cha
Slide 16: Capacity Expansion to aid long-term growth plan
Capacity Expansion to aid long-term growth plan Available Capacity 1,25,200 MTPA Ahmedabad, Bengaluru and Raipur Fittings’ product at Eastern India www.apollopipes.com
Slide 17: Macro Growth Drivers
MACRO GROWTH DRIVERS www.apollopipes.com
Slide 18: PVC Pipe Industry
PVC Pipe Industry The Indian PVC pipes and fittings market expected to register 15% CAGR during FY22 - FY26 • The domestic plastic pipes industry size at ~ ₹ 340Bn • Organized players account for ~60% market share • Key features of plastic pipes against other pipes - Lightweight - Ease of transportat
Slide 19: At the Forefront of multiple sector trends
At the Forefront of multiple sector trends Urban Infrastructure & Construction Water Management Agriculture Focus • Infrastructure push - plumbing • Rehabilitation of aging pipelines • Improving irrigation schemes for and distribution requirements and installation of new pipes in farmers • Water Man
Slide 20: Future Outlook
FUTURE OUTLOOK www.apollopipes.com
Slide 21: Focus Areas for FY21-22
Focus Areas for FY21-22 Strengthen Undertake a Register solid Penetrate and Improve Undertake foothold in phase-wise growth in establish utilization at various brand existing capacity volumes – footprint into the existing building markets of expansion at the targeting neighboring manufacturing exerc
Slide 22: Operational & Financial Highlights
OPERATIONAL & FINANCIAL HIGHLIGHTS www.apollopipes.com
Slide 23: Financial Trend
Financial Trend 9MFY22 ( 5 Y r . C A G R - 12%) ( 5 Y r . C A G R -20%) Volume (Tons) Revenue (Rs. Cr) 537 518 44,692 47,333 39,823 37,440 408 33,707 362 28,941 284 241 FY17 FY18 FY19 FY20 FY21 9MFY22 FY17 FY18 FY19 FY20 FY21 9MFY22 (5 Yr. CAGR - 25%) (5 Yr. CAGR - 35%) EBITDA (Rs. Cr) EBITDA Margin
Slide 24: Financial Trend
Financial Trend H1FY22 Op. Cashflow (Rs. Cr) Net Working Capital (Days) 58 58 61 50 49 48 96 39 24 26 12 15 FY17 FY18 FY19 FY20 FY21 H1FY22 FY17 FY18 FY19 FY20 FY21 H1FY22 Net Debt* (Rs. Cr) ROE (%) ROCE** (%) 34 24.5 20 21.5 18.8 14.6 13.9 15.9 15.9 13.5 12.6 11.9 10.611.7 FY17 FY18 FY19 FY20 FY21
Slide 25: Quarterly Performance
Quarterly Performance Q3FY22 Sales Volume (Tons) EBITDA (Rs. Cr) 25.5 27.0 26.0 14,518 21.6 12,268 12,987 12,520 11,445 10,402 17.4 15.5 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 EBITDA Margin (%) PAT (Rs. Cr) 16.3 16.6 19.9% 14.1 11.4 15.5% 9.5
Slide 26: Abridged P&L Statement
Abridged P&L Statement Particulars Q3 FY22 Q2FY22 Q3 FY21 Y-o-Y Shift Q-o-Q Shift 9M FY22 9M FY21 Y-o-Y Shift Net Revenue from Operations 190.8 208.2 128.1 49% -8% 536.6 343.9 56% Total Expenditure 169.2 182.2 102.6 65% -7% 471.6 296.7 59% Raw Material expenses 139.3 152.6 79.2 76% -9% 390.5 235.9 6
Slide 27: Abridged Balance Sheet and Cash Flow Statement
Abridged Balance Sheet and Cash Flow Statement Balance Sheet - Assets (Rs Cr) H1FY22 FY21 Cash Flow Statement (Rs Cr) H1FY22 FY21 Cash & Bank Balance 40.9 72.5 EBITDA 43.4 74.2 Receivables 86.0 62.7 Changes in Accounts receivables -23.4 -3.3 Inventories 81.3 78.2 Changes in Inventory -3.1 4.2 Other
Slide 28: Conclusion
CONCLUSION www.apollopipes.com
Slide 29: Key Takeaways
Key Takeaways Increased market presence Target to achieve and improving 25%+ sales volume distributor network growth C A G R over to address demand next three years across Leveraging ‘APL Value-added pan-India Apollo’ brand Available product categories reach and recall Capacity of to provide impetus
Slide 30: About Us
About Us Apollo Pipes (BSE: 531761; NSE: APOLLOPIPE), is among the top 10 leading piping solution providing Company in India. Headquartered in Delhi, the Company enjoys strong brand equity in the domestic markets. With more than 3 d e c ad e s of experience in the Indian P ip e Market, Apollo Pipes
Slide 31: Thank You
THANK YOU www.apollopipes.com