Aeron Composite Limited · NSE:AERON
Aeron Composite — Q2 FY2025 Earnings Presentation
37 slides from Aeron Composite's earnings presentation, Nov 19, 2024
Slide 1: NSE covering letter for Investors Presentation Q2 FY2024-25
Date: 19/11/2024 To, Listing Compliance Department National Stock Exchange of India Limited Exchange Plaza, C-1, Block G, Bandra Kurla Complex Bandra (E), Mumbai – 400 051 NSE Symbol: AERON Subject: Investors Presentation Q2 FY 2024-2025. Dear Sir/Madam, Please find enclosed herewith the “Investor P
Slide 2: Aeron Composite Limited Investor Presentation November 2024
AERON COMPOSITE LIMITED Advanced Composite solutions 1 For sustainable future Investor Presentation November 2024 https://www.aeroncomposite.com
Slide 3: Table of Content
Table of Content 01 Business Overview & Financials 4-18 02 Strategic Updates 19-26 03 Performance Snapshot 26-30 03 Annexures 31-35 HTTPS://WWW.AERONCOMPOSITE.COM 2
Slide 4: Disclaimer
DISCLAIMER This presentation has been prepared by and is the sole responsibility of Aeron Composite Limited. By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or inducement to sell
Slide 5: Business Overview & Financials
Business Overview & Financials https://www.aeroncomposites.com 4 https://www.aeroncomposite.com
Slide 6: Aeron - Leading the Future of Composite Solutions
AERON - LEADING THE FUTURE OF COMPOSITE SOLUTIONS Business Summary Financial Highlights (During the FY 2023-24) Established in 2011, manufactures and supplies Rs 200 Cr Rs 15.5 Cr Rs 10.1 Cr Fiber Glass Reinforced Polymer (FRP) products Revenue EBITDA PAT The range of FRP products includes Pultruded
Slide 7: FRP (Fiber-reinforced polymer)
FRP (Fiber-reinforced polymer) Providing long lasting and new age ‘GREEN’ solution to aging Infrastructure 6 https://www.aeroncomposite.com
Slide 8: Pioneering Excellence: Among India's Largest Composite Providers
PIONEERING EXCELLENCE: AMONG INDIA'S LARGEST COMPOSITE PROVIDERS FIBER GLASS REINFORCED POLYMER FRP Rods FRP Moulded Gratings PULTRUDED PRODUCTS Applications: In industrial structures, utility poles, railway Applications structures, chemical processing plants, and safety equipment Provides support a
Slide 9: Advantages of FRP/GRP/Fiberglass
ADVANTAGES OF FRP/GRP/FIBERGLASS Electrical Non Corrosion/Chemical High Strength Light Weight Conductivity Resistance Thermal Non EMI/RFI Ease of Low Life Conductivity Transparent Fabrication Cycle Cost Less Environmental Termite Flame Impact Proof Retardant 8 https://www.aeroncomposite.com
Slide 10: Comparison with Conventional Materials
COMPARISON WITH CONVENTIONAL MATERIALS Aeron FRP Steel Aluminium Timber Corrosion Resistance High Low Medium Low Strength High High High Low Weight Low High Low Medium Electrical Conductivity Low High High Moderate Thermal Conductivity Very Low High High Low EMI/RFI Transparency Yes No No Yes Fabric
Slide 11: Leading to Diverse Application Portfolio
LEADING TO DIVERSE APPLICATION PORTFOLIO Aeron Composite Ltd. boasts a diverse application portfolio, serving a wide range of industries including telecommunications, oil & gas, and renewable energy. The company's ability to tailor its FRP solutions to specific industry requirements demonstrates its
Slide 12: Serving International and Domestic Clients
SERVING INTERNATIONAL AND DOMESTIC CLIENTS 11 https://www.aeroncomposite.com
Slide 13: Strong Industry Tailwinds
STRONG INDUSTRY TAILWINDS India's composite sector is experiencing rapid growth, positioning the country favorably in the global market GLOBAL FIBER REINFORCED POLYMER INDIAN FIBER REINFORCED POLYMER COMPOSITES (FRP) COMPOSITES (FRP) (IN BILLIONS) (IN BILLIONS) 2022 2032 2021 2026 1.9 447.3 221.9 0.
Slide 14: Creating Superior Shareholder Value (1/2)
CREATING SUPERIORS SHAREHOLDER VALUE (1/2) Revenue EBITDA Profit after Tax 16 200 10 179 10 7 108 79 6 6 4 3 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 Export vs Domestic Net Profit Ratio ROCE Exports Domestic 32.2% 5.1% 28.0% 48% 44% 3.7% 21.0% 64% 65% 3.3% 20.0% 3.2% 52% 56% 36% 3
Slide 15: Creating Superior Shareholder Value (2/2)
CREATING SUPERIORS SHAREHOLDER VALUE (2/2) Working Capital Days Net Debt Ratios Receivable days Inventory Days Payable Days 88 84 1.95 81 76 74 74 72 68 65 63 1.47 60 53 1.23 0.43 898 1,167 1,204 674 FY21 FY22 FY23 FY24 Net debt (INR Lakhs) Net debt to EBITDA (x) 14 https://www.aeroncomposite.com
Slide 16: Strengthening Balance Sheet
STRENGTHENING BALANCE SHEET Debt Equity Ratio 0.86x 0.81x 0.55x 0.33x FY 2021 FY 2022 FY 2023 FY 2024 15 https://www.aeroncomposite.com
Slide 17: Maintaining Strong Margins
MAINTAINING STRONG MARGINS 22.2% 33.2% 21.7% 32.3% 20.4% 17.9% 27.5% 32.2% 26.2% 23.5% 21.0% 20.0% 7.8% 7.8% 5.5% 5.5% 5.1% 3.2% 3.7% 3.3% FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 Gross Margin EBITDA margin PAT Margin ROE ROCE 16 https://www.aeroncomposite.com
Slide 18: Competitive Advantages
COMPETITIVE ADVANTAGES Diversified Market, Revenue from Diverse range of Fiber Glass Branding and various countries across the Globe Reinforce Polymer Products promotional activities Aeron’s diversified global presence, with Aeron manufactures a diverse range of Aeron’s increased branding and signif
Slide 19: Strategic Priorities
STRATEGIC PRIORITIES 01 02 03 04 Continue to strengthen Setup of new Augmenting growth Continue to our existing product integrated in domestic and invest in R&D portfolio and diversify manufacturing unit global markets capabilities into new product lines Currently in the process of Market products t
Slide 20: Aeron - USPs and Strategic Priorities
Aeron – USPs and Strategic Priorities 19 https://www.aeroncomposite.com
Slide 21: Aeron - Integrated Business Model
AERON - INTEGRATED BUSINESS MODEL Customer Centric Sustainability and Vertically Integrated Approach Longevity Focus Strong Integrated Technical Quality You can edit this text Expertise Control FRP Rods Resin Fully Integrated Manufacturing Plant with FRP Mouldings Glass Fibers State-of-the-Art Techn
Slide 22: Excels in Production of FRP Products
EXCELS IN PRODUCTION OF FRP PRODUCTS Raw Materials Pultrusion Process o Resin System o Glass Fibres Mat Support o Polyester o Other Framework Heated o Vinyl Ester (VE) Additives Fibre Infeed Pultrusion formation and Die o Epoxy (EP) impregnation Main Control Roving Creel Pendant Stand Twin reciproca
Slide 23: State of the Art Manufacturing Facilities - Upgrading
STATE OF THE ART MANUFACTURING FACILITIES - UPGRADING Installed Capacity (in Mt) Actual Production (in Mt) Capacity Utilization (in %) 18,845 61.3 11,555 16,503 54.0 14,550 14,550 8,906 43.5 6,330 31.4 4,570 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 22 https://www.aeroncomposite.co
Slide 24: New Products Pipeline
NEW PRODUCTS PIPELINE The Company’s new product line will be started in this new manufacturing unit FRP Carbon Fiber Rebar Products Timeline- Product introduced by the end of FY 2025 Product introduced by mid of FY2026 Use Cases- Approved by material quality check department Auto/Railways, Custom Pa
Slide 25: Competitive Products for Exports
COMPETITIVE PRODUCTS FOR EXPORTS Revenue from Domestic and Exports (in Cr) 109.5 At the close of FY 2024, 93.1 the company generated 84.6 87.5 approximately 82.7%, 70.1 85.8%, 90.7%, and 85.8% of its total revenue from 49.8 sales in its top five markets: India, USA, 37.3 28.4 Australia, UK, and Qata
Slide 26: Strong Future Growth
STRONG FUTURE GROWTH 15%+ Key Drivers Revenue Through strategic alliances with top industry players and research institutions, Aeron Composite enhances its R&D capabilities, fostering Growth continuous technological advancements (3 Years CAGR) The burgeoning demand for lightweight, high-performance
Slide 27: Performance Snapshot
Performance Snapshot 26 https://www.aeroncomposite.com
Slide 28: Key Performance Indicators
KEY PERFORMANCE INDICATORS (In ₹Cr except percentages and ratios) Key Financial Performance FY 21 FY 22 FY 23 FY24 H1FY25 Revenue from operations 78.8 108.3 179.4 199.7 107.9 EBITDA (excluding other income) 6.1 6 9.8 15.5 9.9 EBITDA Margin 7.8% 5.5% 5.5% 7.8% 9.2% PAT 2.6 3.6 6.6 10.1 6.7 PAT Margin
Slide 29: Profit & Loss for H1FY25
PROFIT & LOSS FOR H1FY25 Particulars H2FY24 H1FY24 H1FY25 YoY Revenue from operations 117.7 82.1 107.9 Other income 1 0.9 2.3 Total Income 118.7 83 110.2 32.8% Cost of materials consumed 71.7 57.7 66.3 Changes in inventories of finished goods, work-in-progress and (1.7) (7.2) (3.1) stock-in-trade Em
Slide 30: Assets and Liabilities as of H1FY25
ASSETS AND LIABILITIES AS OF H1FY25 Particulars FY 21 FY 22 FY 23 FY24 H1FY25 Particulars FY 21 FY 22 FY 23 FY24 H1FY25 Equity and Liabilities Non Current assets Shareholders’ funds PPE & intangibles 7.9 7.5 9.6 21.8 28.2 a. Share capital 1.3 1.3 1.6 1.6 17 Long term loans and b. Reserves and surplu
Slide 31: Statement of Profit & Loss
STATEMENT OF PROFIT & LOSS Particulars FY21 FY22 FY23 FY24 Revenue from operations 78.8 108.3 179.4 199.7 Other income 0.2 1.6 2.6 2.0 Total Income 79.1 109.9 182.0 201.7 Cost of materials consumed 48.4 82.0 122.1 129.4 Changes in inventories of finished goods, work-in-progress and 0.9 (7.3) 2.8 (8.
Slide 32: Annexure
Annexure 31 https://www.aeroncomposite.com
Slide 33: Meet the Doers and Builders
MEET THE DOERS AND BUILDERS Dilipkumar Ratilal Patel Chirag Chandulal Patel Pankaj Shantilal Dadhaniya Ravi Pankajkumar Patel Chairman & Non- Managing Director Whole Time Director Whole Time Director Executive Director Over 14 years of experience, he MBA graduate with over 27 With 13+ years of exper
Slide 34: Story So Far
STORY SO FAR Started Moved to new IPO: Conversion Production manufacturing - Recognition of the Company of Moulded unit. by Department from Private Gratings Significant of Scientific Limited to Executed increase in the and Industrial Public Limited first Export capacity of Research Company order Pul
Slide 35: Quality & System Certifications
QUALITY & SYSTEM CERTIFICATIONS GOV. RECO. RoHS ISO 9001:2015 CE REACH EXPORT HOUSE 34 https://www.aeroncomposite.com
Slide 36: Branding and Promotional Activities
BRANDING AND PROMOTIONAL ACTIVITIES AIA Expo, 2024 ChemTech Mumbai, 2024 https://www.aeroncomposites.com Dahej Indusrial Expo, 2023 IFAT Mumbai, 2023 35 https://www.aeroncomposite.com
Slide 37: For further information, please contact
Aeron Composite Limited Tel: +91-9909988266 Email: cs@aeroncomposite.com www. aeroncomposite.com https://www.aeroncomposites.com 36 For further information, please contact +91 22 62640831 Sakshi Katoch www.goindiaadvisors.com Email: sakshi@goindiaadvisors.com https://www.aeroncomposite.com