Kamdhenu Limited · NSE:KAMDHENU
Kamdhenu — Investor Presentation (January 2023)
25 slides from Kamdhenu's investor presentation, Jan 6, 2023
Slide 1: Exchange filing cover letter for investor presentation
Ref: KL/SEC/2022-23/101 Date: 6th January, 2023 To, To, The Manager- Listing The Manager- Listing National Stock Exchange oflndia Limited, BSE Limited, Exchange Plaza, Bandra Kurla Complex, Phiroze Jeejeebhoy Towers, Bandra (E), Mumbai-400 051 Dalal Street, Mumbai- 400 001 NSE Symbol: KAMDHENU BSE S
Slide 2: Kamdhenu Limited Steel Business Investor Presentation January 2023
KAMDHENU LIMITED Steel Business Investor Presentation January 2023
Slide 3: Safe Harbor
SAFE HARBOR This presentation and the accompanying slides (the “Presentation”), which have been prepared by Kamdhenu Limi ted (the “Company”), have been prepared solely fo r information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities
Slide 4: We are India's largest branded TMT bar player
WE ARE INDIA’s LARGEST BRANDED TMT BAR PLAYER Brand Turnover of Rs. 16,000 crores +; CAGR Growth of 16% over the last decade Key BRANDS over 80+ Franchise Units to manufacture the years KAMDHENU is Largest TMT Steel Rebars, Structural Steel selling brand in India, in the Products & Colour Coated Pro
Slide 5: Our Journey
OUR JOURNEY 2022 2019-2020 2018 2016-2017 2011-2015 2006-2010 2001-2005 1994-2000 2021 – Filed Sch eme of 2019 - Own Arran gemen t with NCLT, 2018 – Man u factu rin g Ch an d igarh Ben ch 2016- Name E xp an sion of E xp an sion Changed from marketin g 2022 – Approved Scheme of 2013- Lau n ch ed Kamd
Slide 6: Strong product portfolio for all user segments
STRONG PRODUCT PORTFOLIO FOR ALL USER SEGMENTS Kamdhenu Structural Kamdhenu – Nxt TMT Steel Next Generation Interlock Steel and has got the angular Produced under franchisee agreement multitude of double rib design having obtained all the rights to special contours such as angles, channels, beams, m
Slide 7: Pan-India decentralized manufacturing & marketing network
PAN-INDIA DECENTRALIZED MANUFACTURING & MARKETING NETWORK 80+ 8,500+ 250+ Franchisees Dealers Distributors Decentralized Outsourced Manufacturing Model 1 Communication 2 Low Minimums Working with a local manufacturer Even the smaller quantity of the orders makes the communication process easy. are d
Slide 8: Sustainable growth through brand creation
SUSTAINABLE GROWHT THROUGH BRAND CREATION Kamdhenu Brand Sales Turnover Volumes Sold EBITDA (In Rs. Crs) (In Lakh MT Tonnes) (In Rs. Crs) +11% 16,072 25.5 +13% 55.1 +22% 24.9 23.9^ 53.4 23.5 45.1 46.4# 12,027 12,031 10,851* 17.6 36.3 15.2 8,072 29.6 6,052 FY17 FY18 FY19 FY20 FY21 FY22 FY17 FY18 FY19
Slide 9: Asset light business model
ASSET LIGHT BUSINESS MODEL… Kamdhenu Group In n ovator – We d o Research an d in trod u ce n ew p rod u cts b ased on Hierarchy of Marketing Network Cu stomer Req u iremen t in th e Market • Every franchisee is allowed to sell its product in a particular region which is its designated geographical a
Slide 10: Creating long term sustainability
… CREATING LONG TERM SUSTAINABILITY Benefits to Kamdhenu Win–Win for Franchises E xpe rtis e & Qualit y Re ady C e ntrali ze d Enhanced E xpe rie nce A s s urance Mark e tplace Public i ty Easy revenue and availability of Provide As s u r a n c e o f Ready Platform As s i s t a n c e t o increase in
Slide 11: Structural steel - fastest growing segment
STRUCTURAL STEEL - FASTEST GROWING SEGMENT Kamdhenu Limited manufactures Structural Steel under franchisee arrangement Description Special Contours End-user Industries Advantages • High Strength and High • One such product which • Production of a multitude • Industrial structures, Ductility continue
Slide 12: Steel business - result highlights Q2 & H1 FY23
STEEL BUSINESS - RESULT HIGHLIGHTS – Q2 & H1 FY23 R s . I n Cr s . Revenues from Operations EBITDA PBT Rs. 191.3 Crores Rs. 12.2 Crores Rs. 10.9 Crores Q2 FY23 +25% YoY +14% YoY +7% YoY Revenues from Operations EBITDA PBT Rs. 382.5 Crores Rs. 27.6 Crores Rs. 24.4 Crores H1 FY23 +44% YoY +10% YoY +4%
Slide 13: Core steel TMT business
CORE STEEL TMT BUSINESS Revenue Break Up Return On Equity RoCE Debt to Equity Ratio Q2 FY23 H1 FY23 Revenue from Own Facility 25.4% 31.1% 0.15X Rs. 155.8 Crores Rs. 308.4 Crores +24% +44% Lower Working Royalty Income through Franchisee Sales Increased Focus on Own Capital Leading to Manufacturing &
Slide 14: Strong growth outlook in steel business
STRONG GROWTH OUTLOOK IN STEEL BUSINESS Increased Capacity TMT Increase in Brand Revenue (Rs. Crs) Increase in Royalty Income (Rs. Crs) 50 Lakh Metric Tonne Rs.22,000 crs Rs.150 crs by FY24 by FY24 by FY24 22,000 150 50 38 38 16,072 16,072 92 92 11 3,759 8 16 1,808 8 2007 2012 2022 2024E 2007 2012 2
Slide 15: Huge capacities at zero capex
HUGE CAPACITIES AT ZERO CAPEX Production Capacity Regional Split Company Owned - Manufacturing, R&D and T&D of Franchisees Steel Division at Bhiwadi, Rajasthan 22% 30% Steel Rebars Installed Production Capac ity 120, 000 MT per annum 45.5 L 38 Lacs Capacities (MT) (Realigned to support the future in
Slide 16: Funds to be raised to the tune of ~Rs. 70 crs.
FUNDS TO BE RAISED TO THE TUNE OF ~RS. 70 CRS. • The Board of Directors of the Company in their meeting held on 11 th November, 2022 and subject to the approval of shareholders in their Objectives general meeting, has considered and approved to create, offer, issue and allot Convertible Warrants on
Slide 17: Awards & acknowledgements
AWARDS & ACKNOWLEDGEMENTS We truly believe that Customer delight and satisfaction are the true award we vouch for and our efforts to meet the customers ’ expectation have brought many accolades to us World's Greatest Asia's Most Promising Indian Power World's Greatest Icon of Trust – The Brands 2015
Slide 18: Brand promotions
BRAND PROMOTIONS Print Media Promotional Materials Digital Campaign National Newspaper Distribution of catalogues Brochures Visiting cards Shop branding Sample board, pen, pad, mason kit having branding of Kamdhenu products. Regional Newspaper Social media campaigns to educate consumers
Slide 19: Brand promotions
BRAND PROMOTIONS Brand Educational Outdoor Campaigns Activities Television Campaign Dealers & Distributor Meets Customer Meets Seminars, conferences Workshops International Trips Strong presence on various Motivational Sessions national and regional TV Channels such as Aajtak, Zee News,
Slide 20: Participation of noted celebrities
PARTICIPATION OF NOTED CELEBRITIES Brand Promotions, Event Participation Have Helped Strengthen Dealer Connect & Expand Visibility Preity G Zinta Emraan Hashmi Madhuri Dixit Kanika Kapoor Tapsee Pannu Kangana Ranaut Malaika Arora Sonam Kapoor Dia Mirza Sonu Nigam Karishma Tanna Govinda Kareena Kapoo
Slide 21: Experienced board of directors
EXPERIENCED BOARD OF DIRECTORS Mr. Satish Kumar Agarwal Mr. Sunil Kumar Agarwal Mr. Sachin Agarwal Mr. Saurabh Agarwal Chairman & Non-Executive Whole Time Director Whole Time Director Managing Director Director Mr. Ramesh Chand Surana Mr. Ramesh Chandra Jain Mr. Madhusudan Agrawal Mrs. Pravin Tripat
Slide 22: Profit and loss statement
PROFIT AND LOSS STATEMENT Particulars (Rs. Crores) Q2 FY23 Q2 FY22 Y-o-Y H1 FY23 H1 FY22 Y-o-Y Revenue from Operations 191.3 152.7 25% 382.5 265.4 44% Cost of materials consumed 137.6 114.7 268.0 189.3 Purchases of stock-in-trade 9.4 4.5 20.7 7.8 Changes in inventories 1.0 -1.3 3.2 0.0 Total Raw Mat
Slide 23: Balance sheet
BALANCE SHEET Particulars (Rs. Crores) Sep-22 Mar-22 Particulars (Rs. Crores) Sep-22 Mar-22 Equity Non Current assets Equity Share Capital 26.9 26.9 Property, Plant and Equipments 44.5 45.2 Other Equity 116.8 95.4* Capital Work in Process 0.0 0.0 Total Equity 143.7 122.4 Right of Use Assets 2.6 3.1
Slide 24: Scheme of arrangement
SCHEME OF ARRANGEMENT 1. Amalgamation of Kamdhenu Concast Ltd, Kamdhenu Overseas Ltd, Kamdhenu Paint Industries Ltd, Kamdhenu lnfradevelopers Ltd, Kamdhenu Nutrients Pvt Ltd, Kay2 Steel Ltd and Tiptop Promoters Pvt Ltd with Kamdhenu Ltd To simplify and streamline the promoter shareholding structur
Slide 25: Thank you
THANK YOU For further Information, please contact : CIN: L27101HR1994PLC092205 CIN: U74140MH2010PTC204285 Mr. Harish Kumar Agarwal Mr. Deven Dhruva / Ms. Hinal Kothari Group CFO, CRO & Head-Legal +91 98333 73300 / +91 9930133428 hkagarwal@kamdhenulimited.com deven.dhruva@sgapl.net / hinal.kothari@sg