Time Technoplast Limited · NSE:TIMETECHNO

Time Technoplast — Investor Day (June 2021)

43 slides from Time Technoplast's investor day presentation, June 2021

Slide 1: Operational Excellence for a Better Future
Operational Excellence for a Better Future Analyst Day June 2021 BSE: 532856 | NSE: TIMETECHNO | ISIN: INE508G01029 | CIN: L27203DD1989PLC003240 ©2021, Time Technoplast Ltd., All Rights Reserved
Slide 2: Who We Are
Who We Are LEADING THROUGH INNOVATION AND TECHNOLOGY Leading Global Industrial packaging company First to launch Type-IV Composite Cylinder for LPG Dominant market position with over 60% market and CNG (CNG cascade and on-board application) share in domestic Industrial packaging. World’s in India. 2
Slide 5: Time Techno At A Glance
Time Techno At A Glance Business Mix (FY21 total revenue : ₹3,009 Cr.) Industrial Packaging Sales by User Industry Established Industrial Packaging Infrastructure Technical & Lifestyle Polyethylene (PE) Pipes, Energy Turf & Matting, Disposable Bins, Products Polymer Drums, Jerry Cans, Pails storage
Slide 7: Management Team: The Minds Behind
Management Team : The Minds Behind Mr. Anil Jain Mr. Bharat Vageria Mr. Raghupathy Thyagarajan Mr. Naveen Jain Managing Director Whole Time Director, Finance Whole Time Director, Marketing Whole Time Director, Technical  Degrees in Science,  Degree in Commerce and a  Degree in Science and  Degre
Slide 8: Geographical Presence
Geographical Presence Manufacturing Presence in 11 Countries to meet local demand | 20 Manufacturing locations in India Jammu Baddi United States Pant Nagar Bahrain INDIA India Bhuj Egypt Taiwan Ahmedabad Ratlam Kolkata Thailand Panoli Jambusar UAE Daman (U.T) Saudi Arabia Talasari Silvassa Vietnam
Slide 9: Innovative and Tech Oriented Products
Innovative and Tech Oriented Products Industrial Packaging Infrastructure Focus on Innovative & Tech Innovative Polymer Products Drums & Containers Jerry Cans Conipack Pails HDPE Pipes DWC Pipes Energy Storage oriented polymer products Devices and have several firsts to our credit-  1st to launch P
Slide 10: Time to Change
Time to Change We are at inflection point Shifting from Tech based products to High-Tech products with focus on Composites  Composite is a material of future replacing metals in high performance applications  Tectonic shift  Harnessing new growth opportunities in existing business • Launching new
Slide 11: Emphasis on Composites: Type-IV LPG Composite Cylinders
Emphasis on Composites Type-IV LPG Composite Cylinders Second Largest Manufacturer Globally  European Aerospace Technology  1.4 million cylinders per annum – Manufacturing  Innovative options  Domestic/Commercial, PU, Boat and Forklift composite cylinders  Over 10 years of experience, exported
Slide 12: New Development: Type-IV CNG Composite Cylinders
New Development : Type-IV CNG Composite Cylinders Composite Reinforced Shell Robust due to PU End Caps End Boss Carbon Fiber Wrapping Non-permeable liner Increases Gas 70% Lighter Increases Maintenance Metal free / Corrosion Higher Explosion Proof Carrying Capacity In Weight Fuel Efficiency Free fre
Slide 13: New CNG Business in consonance with Govt.'s policy to expand use of CNG
New CNG Business in consonance with Govt.’s policy to expand use of CNG CNG Composite Cylinder Applications  CNG Gas Distribution  On – Board Applications  Cascades  Roof Mounted Bus  Mobile Refueling Units  Chassis Mounted Truck  Compressed Bio-Gas Plant  CAB Mounted Truck  Gas Generators
Slide 14: New Development: CNG Cylinder - Cascade Application
New Development : CNG Cylinder - Cascade Application Why Move Steel ? Move Gas Instead. 70% Lighter Than Type I Cylinders Type IV CNG Cylinder Cascades 2.2 Times More Gas Lighter – Carries 220% More Gas Per Trip Reduce Per kg CNG transportation cost by almost 50% Type IV CNG Cylinder – Metal Free No
Slide 15: New Development: CNG Cylinder - Cascade Application
New Development : CNG Cylinder - Cascade Application Carries DOUBLE the quantity of gas Cuts operations cost by HALF © 2021 Time Technoplast Limited, All Rights Reserved. 15
Slide 16: New Development: CNG Cylinder - Mobile Refueling Units (MRUs)
New Development : CNG Cylinder - Mobile Refueling Units (MRUs) India’s First Mobile Refueling CNG Unit with Type-IV Composite Cylinders Virtual inauguration on June 8, 2021 by Mr. Dharmendra Pradhan- Union Minister for Petroleum and Natural Gas  MRUs act as Mobile CNG Stations  Can be parked anywh
Slide 17: New Development: CNG Cylinder - Onboard Applications
New Development : CNG Cylinder - Onboard Applications Dump Truck Chassis Mounted Truck CAB Mounted Truck Roof Mounted Bus Boat Car 3 Wheeler 2 Wheeler Approved by PESO and Third party (Bureau Veritas – Europe) in May 2021 for Type-IV cylinder for the first time in India. © 2021 Time Technoplast Limi
Slide 18: Market Potential: CNG Cascades
Market Potential : CNG Cascades New CNG stations allotted in 9th and 10th round 8,181 Number of Cascades required per station 2 Total number of cascades required 16,362 Estimated cost of one cascade (Rs. per cascade) 70,00,000 Total Value of Business in next 8 years (Rs. Cr.) 11,453 Source: Petroleu
Slide 19: Market Potential: Mobile Refueling Units (MRUs)
Market Potential : Mobile Refueling Units (MRUs) Total existing and committed new CNG stations in India by 2024 7,300 Conversion to MRUs (~30%) 2,200 Estimated cost of one cascade (Rs. per cascade) 60,00,000 Total Value of Business in next 4 years (Rs. Cr.) 1,320 Source: Ministry of Petroleum and Na
Slide 20: Market Potential: Compressed Bio-Gas (CBG)
Market Potential : Compressed Bio-Gas (CBG) Total CBG plants by 2023 5,000 Number of Cascades required per plant 2 Total number of cascades 10,000 Estimated cost of one cascade (Rs. per cascade) 60,00,000 Total Value of Business in next 3 years (Rs. Cr.) 6,000 Source: Ministry of Petroleum and Natur
Slide 21: Market Potential: Gas Generators for Telecom Towers
Market Potential : Gas Generators for Telecom Towers Towers- 20% of existing Telecom Towers use gas generators(~1.8 lakhs towers) 32,000 MRUs required (1 MRU for every 4 towers) 8,000 Estimated cost of one cascade (Rs. per cascade) 60,00,000 Total Value of Business in next 4 years (Rs. Cr.) 4,800 So
Slide 22: Market Potential: Onboard Applications - Intercity Bus
Market Potential : Onboard Applications - Intercity Bus No. of buses on road by 2024 2,10,000 Buses converted to CNG (~40% conversion) 85,000 No. of cylinders per Bus 8 Total No. of Cylinders required 6,80,000 Estimated Cost of 156 litre cylinder (Rs. per cylinder) 78,000 Total Estimated value of Bu
Slide 23: CNG Cylinder: Overall Market Potential
CNG Cylinder : Overall Market Potential Huge revenue potential given India’s low penetration of CNG fuel stations and CNG vehicles Estimated Total Estimated Total Estimated Business in Market Per Year Conversion % Business (Type-IV) Business (Rs. Cr.) No. of Years (Rs. Cr.) per year (Rs. Cr.) CNG Ca
Slide 24: Next Exciting Emerging Opportunities in Composites
Next Exciting Emerging Opportunities in Composites Oxygen Cylinder Composite Air Tanks Hydrogen Cylinder Composite Water Heater for Fuel Cells  Carbon Fibre Reinforced  Air Tank for commercial  Type-IV Carbon wrapped  Made with HDPE inner liner Composite Cylinder Type-III vehicles air brake syst
Slide 26: What We Have Achieved
What We Have Achieved  Achieved scale, low revenue  Achieved revenue of ₹3,009 Cr.  Strategic partners worldwide for  Increasing popularity of IBCs due volatility (9% CAGR – 10 y) (USD 412 mn) and PAT of ₹103 Cr. global chemical cos (across 11 to cost effectiveness and better (USD 14 mn) in FY21
Slide 27: How We Achieved It
How We Achieved It 1 2 3 4 Professional and Thrust on innovation Growth funded from Company is at Inflection experienced promoters, Focus on innovation leading Internal accruals point. management team along to introduction of new Raised equity capital only Moving from Tech towards with established i
Slide 28: What We Have Missed
What We Have Missed Economies of scale Working capital days Consolidation of Business ROCEs have remained below our target Working capital days have increased in Consolidation of business and disposal of 20%, implying that we haven’t last few years due to weak economic of non-core business/ assets o
Slide 29: Key Priorities For Next Few Years
Key Priorities For Next Few Years Maintain Growth Remove Promoters’ Momentum Of The Past Improve ROCE and Enhance Investor Pledge Of Shares and (tapping huge Enhance Shareholders Interaction Disposal of non-core potential in Hi-tech Value business/ assets business) 1 2 3 4 © 2021 Time Technoplast Li
Slide 30: Maintain Growth Momentum Of The Past
Maintain Growth Momentum Of The Past Our aim is to become a Rs. 5000+ Cr. company by Fiscal 25  Core Business- Industrial Packaging  Huge growth opportunities for global industrial packaging market Projected to grow from USD 58.8 Bn in 2020 to USD 72.6 Bn by 2025 (4.3% CAGR)  Chemicals, Pharmaceu
Slide 31: Improve ROCE and Enhance Shareholders Value
Improve ROCE and Enhance Shareholders Value ROCE (%) 19.5% 15.7% 16.0% 13.4% 13.5% 9.1% FY18 FY19 FY20* FY21* FY22E FY25E^ Commitment *Operations were impacted due to Covid-19 ^Business from CNG composites and other Hi-tech products not factored  Target to improve the current ROCE of 13.4% in FY20
Slide 32: Improve share of Value Added Products
Improve share of Value Added Products ₹2,128 Cr. ₹297 Cr. FY16 ₹2,425 Cr. 88% 12% ₹2,413 Cr. ₹596 Cr. FY21 ₹3,009 Cr. 80% 20% ₹4,078 Cr. ₹1,169 Cr. FY25E^ ₹5,247 Cr. Commitment 78% 22% EBITDA Margin 14% 20% Established Products Value Added Products Industrial Packaging, PE pipes, Energy IBC, Composi
Slide 33: Reduce Working Capital Intensity
Reduce Working Capital Intensity Inventory Days Debtor Days Creditor Days Net Working Capital Days 131 99 90 88 94 86 75 75 80 70 71 70 84 67 67 69 67 60 51 48 48 50 45 41 FY18 FY19 FY20* FY21* FY22E FY25E^ Commitment *Operations were impacted due to Covid-19 ^Business from CNG composites and other
Slide 34: Dispose of Non Core Business/ Assets
Dispose of Non Core Business/ Assets  Focusing on core business and dispose of non-core business/ assets - Management has decided to exit from non-core business of Medical equipments, furniture business and Battery division - Accordingly ‘Assets held for sale’ of Rs. 60 Cr., other than Battery divi
Slide 35: Capital Allocation Roadmap: Time To Reward Shareholders
Capital Allocation Roadmap: Time To Reward Shareholders Fund Flow (₹ Cr.) FY22-25E  Internal cash generation remains strong, strengthened with low leverage  Atmanirbhar (self-sufficient): No need for external sources of Profit after tax 1,235 funds Increase in net debt -  Target net debt to equit
Slide 36: Other Key Priorities
Other Key Priorities Remove promoters’ pledge of shares Enhance investor interaction  Reduction in shares pledged  Appointed an Investor Relation Agency and a - It has reduced from 17.8% of Paid-Up Capital dedicated in-house Investor relation team to only 4.2%. - To increase visibility through att
Slide 38: Strong Revenue Growth and Stable EBITDA Margin
Strong Revenue Growth and Stable EBITDA Margin Revenue (₹ Cr.) EBITDA Margin (%) CAGR 8% 5,247 3,567 3,580 3,630 3,105 3,009 15.3% 15.5% 14.8% 14.5% 14.0% 13.0% FY18 FY19 FY20* FY21* FY22E FY25E^ *Operations were impacted due to Covid-19 ^Business from CNG composites and other Hi-tech products not f
Slide 39: Continued Strong Financial Risk Profile
Continued Strong Financial Risk Profile Interest Coverage Ratio (Times) Total Outside Liabilities / Total Equity (Times) >8.00 5.61 0.90 0.87 5.43 5.34 0.80 4.63 0.69 0.65 4.00 <0.60 FY18 FY19 FY20* FY21* FY22E FY25E^ FY18 FY19 FY20* FY21* FY22E FY25^ Net Debt to EBITDA (Times) Return on Equity (%)
Slide 40: Way Forward
Way Forward Chemical production shifting IBCs growing faster Time is the largest and major player from China to other Asian in most countries it operates in countries Recycling efforts to Polymer and Composite encourage sustainability products to gain share from metals © 2021 Time Technoplast Limite
Slide 41: Thank You
Thank You Questions & Answers © 2021 Time Technoplast Limited, All Rights Reserved. “Time Technoplast” and The Time Technoplast Logo are trademarks of Time Technoplast Limited. In addition to Company data, data from market research agencies, Stock Exchanges and industry publications has been used fo
Slide 42: 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 43: Global Chemical Industry
Global Chemical Industry 2019 Chemical Sales By Country: Top 10 1,488 Chemical Sales (€ billion) For the year 2019, World chemical sales (excluding 543 504 pharmaceuticals) stood at €3,669 Bn registering a 168 119 92 76 74 growth of 4.1% from €3,525 Bn in 2018. 65 49 China EU27 USA Japan South India

Time Technoplast — Investor Day (June 2021) on 6ix

Time Technoplast — Investor Day (June 2021)

Slide 1: Operational Excellence for a Better Future

Slide 2: Who We Are

Slide 3: Agenda

Slide 4: Company Overview

Slide 5: Time Techno At A Glance

Slide 6: Global Marquee Customers

Slide 7: Management Team: The Minds Behind

Slide 8: Geographical Presence

Slide 9: Innovative and Tech Oriented Products

Slide 10: Time to Change

Slide 11: Emphasis on Composites: Type-IV LPG Composite Cylinders

Slide 12: New Development: Type-IV CNG Composite Cylinders

Slide 13: New CNG Business in consonance with Govt.'s policy to expand use of CNG

Slide 14: New Development: CNG Cylinder - Cascade Application

Slide 15: New Development: CNG Cylinder - Cascade Application

Slide 16: New Development: CNG Cylinder - Mobile Refueling Units (MRUs)

Slide 17: New Development: CNG Cylinder - Onboard Applications

Slide 18: Market Potential: CNG Cascades

Slide 19: Market Potential: Mobile Refueling Units (MRUs)

Slide 20: Market Potential: Compressed Bio-Gas (CBG)

Slide 21: Market Potential: Gas Generators for Telecom Towers

Slide 22: Market Potential: Onboard Applications - Intercity Bus

Slide 23: CNG Cylinder: Overall Market Potential

Slide 24: Next Exciting Emerging Opportunities in Composites

Slide 25: Company Updates & Strategic Outlook

Slide 26: What We Have Achieved

Slide 27: How We Achieved It

Slide 28: What We Have Missed

Slide 29: Key Priorities For Next Few Years

Slide 30: Maintain Growth Momentum Of The Past

Slide 31: Improve ROCE and Enhance Shareholders Value

Slide 32: Improve share of Value Added Products

Slide 33: Reduce Working Capital Intensity

Slide 34: Dispose of Non Core Business/ Assets

Slide 35: Capital Allocation Roadmap: Time To Reward Shareholders

Slide 36: Other Key Priorities

Slide 37: Financial Overview

Slide 38: Strong Revenue Growth and Stable EBITDA Margin

Slide 39: Continued Strong Financial Risk Profile

Slide 40: Way Forward

Slide 41: Thank You

Slide 42: Safe Harbour

Slide 43: Global Chemical Industry