Ram Ratna Wires Limited · NSE:RAMRAT
Ram Ratna Wires — Q2 FY23 Earnings Presentation
28 slides from Ram Ratna Wires's earnings presentation, Nov 14, 2022
Slide 1: Stock exchange disclosure letter
14th November, 2022 Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, Plot No. C-1, Phiroze Jeejeebhoy Towers, Block G, Bandra – Kurla Complex, Dalal Street, Mumbai – 400 001 Bandra (East), Mumbai – 400 051 Script Code: 522281 Symbol: RAMRAT Sub.:
Slide 2: Ram Ratna Wires Limited Investor Presentation Nov'22
Ram Ratna Wires Limited Investor Presentation Nov’ 22
Slide 3: Forward looking statement
Forward looking statement Disclaimer These statements are not guarantees of future performance Some of the statements made in this presentation are and are subject to risks, uncertainties and other factors, forward-looking statements and are based on the current some of which are beyond the control
Slide 4: Who we are
Who we are 2nd largest manufacturer of Winding Wire in South Asia India’s Only manufacturer Offering widest range of enamelled wires (0.016 mm – 5.000 mm) Fine & Ultra Fine Self Solderable 4 decades of promoters’ experience in the sector
Slide 5: Enriched product portfolio
Enriched product portfolio Our flagship products Enamelled Submersible Enamelled Bare Copper Copper Wire Winding Wire Copper Strips Strips Our products with differentiated technology & quality Braided wire Glass Fibre covered strips Litz wire Switchgear & Automotive Electrical Apparatus and Electric
Slide 6: Widespread application of our product
Widespread application of our product Automotive Industrial Engine Management System, Driver Information Coils, Motors, Compressor, Relays, Meters, System (Instrument Clusters), Solenoids, Power Transformers, Alternators, etc. Windows, EPS, Relays & Sensors Usage in fast emerging Electric Vehicle (E
Slide 7: Growth Drivers
Growth Drivers We are integral part of wide spectrum of growing sectors Growth in Energy sector: Growing Automotive sector: Power generation capacity expected to double by Expected to reach USD 300 billion (xx millions 2029-30 vehicles) sector by 2026 from current (~22.9 million vehicles in FY’ 23)
Slide 8: Symbol of our brand's Presence
Symbol of our brand’s Presence Trust Reliable supplier in American certifying Quality & Specifications approved Automotive industry Lab approval for applications in Indian Railway We are the proud member of ACMA with IATF 16949:2016 certification, it takes us way ahead of our competitors Assurance W
Slide 9: Our corporate journey & key milestones
Our corporate journey & key milestones we are proud of Incorporation 1st ISO Certification Investment in Subsidiary NSE Listing Corporate Activities 1992 1997 (Copper Tubes) 2022 2017 BSE Listing JV in Bangladesh Investment in Subsidiary 1995 (Electrical Wires & Cable) (BLDC Motors) 2011 2020 Produc
Slide 10: Our competitive edge that keeps us ahead
Our competitive edge that keeps us ahead Strong & Experienced Strong Business Board with high level of Partner Relationship Corporate Governance One of the flagship Wide Product company of range USD1.25 Bn conglomerate R R Global State of Art manufacturing facility Backed by strong experienced & lon
Slide 11: Global Copper (GCPL): Our visionary investment in subsidiary
Global Copper (GCPL): Our visionary investment in subsidiary Copper Tube manufacturer A brand built with quality & technology Only manufacturer with Fully integrated & advanced ”Cast & Roll” automated facility using Technology in India 100% online Eddy Current Testing system 60% Holding Distribution
Slide 12: Global Copper (GCPL): Our visionary investment in subsidiary
Global Copper (GCPL): Our visionary investment in subsidiary Sector wise Copper Tubes consumption in India Domestic availability vs. Import 2% GCPL 4% Import 2% 4% 69% 5% 105,000 77% MT Other 10% Domestic Mfg 27% HVAC Medical Gas Piping Fittings Oil & Gas LPG Gas Refrigeration Consumption to further
Slide 13: EPAVO: Our visionary investment in subsidiary
EPAVO: Our visionary investment in subsidiary Transforming to more energy efficient environment • BLDC, an energy efficient technology • Revised Star Rating BEE norms a booster to BLDC technology fans • Wide conversion opportunity (Induction Motors to BLDC Motor) 74% • BLDC Motors demand is directly
Slide 14: Strong leadership of our promoters & board members
Strong leadership of our promoters & board members Shri Tribhuvanprasad Kabra Shri Mahendrakumar Kabra Shri Hemant Kabra Chairman Managing Director Executive Director & CFO Shri Rameshwarlal Kabra Chairman Emeritus Padma Shri Awardee (Trade & Industry - 2018) Shri R. Kannan Shri Sandeep Jhanwar Shri
Slide 15: Backed by dedicated & long associated team
Backed by dedicated & long associated team Shri Satish Kumar Agarwal Sr. VP – Commercial Since inception CA by qualification and expert in financial strategies and tax plannings, he is instrumental in Group’s corporate affairs; played a vital role in setting-up all the manufacturing facilities, lead
Slide 16: Backed by dedicated & long associated team
Backed by dedicated & long associated team Shri Saurabh Gupta Company Secretary & Compliance officer Since 2015 CA & CS by qualification ensuring strict Corporate & Secretarial Compliances Shri Rajeev Maheshwari DGM - Commercial Since 2011 CA by qualification with the overall F&A responsibility; ins
Slide 17: Our commitment towards society
Our commitment towards society Our philanthropic activities arm 23 69 3 Giving Wings to Your Dreams Values Weeks Weeks Each Value 32 8 2.95 6193 5379 Subjects Life Values Lacs Teachers Schools Students Imparting Cultural & Moral education through various platforms Pandemic Zero Zero Education & Job
Slide 18: Q2 FY23 Key Highlights
RR SHRAMIK Q2 FY 23 Key Highlights , |
Slide 19: Continued volume growth momentum
Continued volume growth momentum Quarterly Quantity in MT Half yearly Volume (MT) Volume (MT) 14,832 7,562 12,234 7,270 6,785 Q2 Q1 Q2 H1 H1 FY' 22 FY' 23 FY' 23 FY' 22 FY' 23 QoQ 4.0% YoY 21.2% YoY 11.5% • Volume growth partially compensated impact of fall in Copper prices
Slide 20: Performance de-grew marginally despite drop in copper prices
Performance de-grew marginally despite drop in copper prices INR in Crores Revenue EBITDA PAT 604 23.3 22.3 11.8 19.4 9.8 554 8.4 521 Q2 Q1 Q2 Q2 Q1 Q2 Q2 Q1 Q2 FY' 22 FY' 23 FY' 23 FY' 22 FY' 23 FY' 23 FY' 22 FY' 23 FY' 23 • Copper prices continued to decline by ~ 15% QoQ. • Revenue grew by 6.3% Yo
Slide 21: Registering a consistent half yearly growth
Registering a consistent half yearly growth INR in Crores Revenue EBITDA PAT 40.4 41.8 18.4 18.1 1,158 934 H1 FY' 22 H1 FY' 23 H1 FY' 22 H1 FY' 23 H1 FY' 22 H1 FY' 23 • Revenue grew by 24.0% YoY basis backed by healthy volume growth • EBITDA up on absolute basis • PAT marginally lowered on half year
Slide 22: Summarized financial position
Summarized financial position INR in Crores Particulars 21-22 22-23 (H1) Assets: Fixed Assets (Incl. CWIP) 120.52 118.39 Investments 76.93 69.38 Other Long Term Assets 11.43 13.41 Inventories 93.14 115.02 Receivables 288.00 282.60 Other Current Assets 34.39 31.80 Total Assets 624.41 630.61 Liabiliti
Slide 23: With effective utilization of cash
With effective utilization of cash INR in Crores 44.1 -14.9 -5.2 -5.5 7.0 -2.0 -11.8 7.1 2.0 -11.0 -1.8 x sc l s s l t fits ts al Ba Ba os pe ICD xe en pi t Mi pro eC Ta Ca Op Cl Ca ym win from nc ng Pa gs ng a i Bo eeds rat Fin rki nd e Wo i de rro Op c Pro Di v Standalone financials
Slide 24: Translating into shareholders' value appreciation
Translating into shareholders’ value appreciation Share Price in INR 212 198 183 134 Sep’ 22 103 102 93 82 Mar’ 22 1-Apr 2-May 1-Jun 1-Jul 1-Aug 1-Sep 3-Oct 1-Nov Share Price Share price post split pursuant to 1:1 bonus shares on Sep 28, adjusted for comparison Gaining traction among foreign portfol
Slide 25: Strong historical performance
Strong historical performance INR in Crores 4.7% Revenue EBITDA / EBITDA Margin (%) 2,013 13.1% CAGR 20.2% CAGR 6.0% 4.9% 1,387 6.4% 4.2% 3.7% 1,250 1,255 1,027 95 801 62 61 51 52 51 16-17 17-18 18-19 19-20 20-21 21-22 16-17 17-18 18-19 19-20 20-21 21-22 PAT 2.4% 5.00 Dividend 17.3% CAGR (Rs / Share
Slide 26: Financial highlights
Financial highlights INR in Crores Particulars 19-20 20-21 21-22 RoCE + Assets: 23.35% 16.50% 13.26% Fixed Assets (Incl. CWIP) 139.94 130.34 120.52 19-20 20-21 21-22 Investments 36.58 49.20 76.93 + PBIT / Closing Capital employed Other Long Term Assets 6.63 6.84 11.43 RoE $ Inventories 78.57 112.68
Slide 27: Our group companies
Our group companies Leading manufacturer of Manufacturer of Wires & Cables | Consumer EV (2 Wheelers) Electrical goods MEW Electricals Limited Manufacturer of Busducts | Busbars & Tapes made of copper Multi-level Parking Solutions Ram Ratna International Farm Equipment Mfg Real Estate Developer
Slide 28: Registered and corporate office
Registered office: Corporate office: Ram Ratna House, Oasis Complex, Alembic Business Park (W), P. B. Marg, Worli, Mumbai - 400 013 Ground Floor, Bhailal Amin Marg, Gorwa, CIN : L31300MH1992PLC067802 Vadodara - 390 003 www.rrshramik.com