Dalmia Bharat Ltd. · NSE:DALBHARAT
Dalmia Bharat — Q2 FY2023 Earnings Presentation
30 slides from Dalmia Bharat's earnings presentation, Nov 2, 2022
Slide 1: Exchange filing cover letter - Investor Presentation Earnings Release
File No: 1010/1 November 02, 2022 BSE Limited National Stock Exchange of India Limited P J Towers, Dalal Street, “Exchange Plaza”, Plot No. C-1, Block G Fort Mumbai - 400001 Bandra - Kurla Complex, Bandra (East), Scrip Code: 542216 Mumbai - 400 051 Symbol: DALBHARAT Subject: Investor Presentation –
Slide 2: Earnings Release Q2FY23 and H1FY23
EARNINGS RELEASE Q2FY23 and H1FY23
Slide 3: Disclaimer
Disclaimer Certain statements in this presentation describing the Company's objectives, projections, estimates and expectations may be 'forward looking statements' within the meaning of applicable laws and regulations. Although our expectations are based on reasonable assumptions, these forward-look
Slide 4: Table of Contents
PA G E SECTION NO. 01. Key Highlights 4 02. Expansion & Capex Update 6 03. Q2 and H1 Performance 10 TA B L E O F CO N T E N T S 04. ESG at Dalmia 19 05. Awards and Accolades 22 06. Annexures 27 3
Slide 5: Key Highlights
SECTION 01 KEY HIGHLIGHTS 4
Slide 6: Key Highlights
Key Highlights Financial Performance Sales Volume increased by 13.2% YoY to 5.8 MnT in Q2FY23 Revenue increased by 15.1% and stood at Rs 2,971 cr EBITDA/T stood at Rs 655/T Net Debt/EBITDA stood at 0.3x ESG Co2 emissions brought down further to 467kg/Ton of cement in Q2FY23 Water Positiv
Slide 7: Expansion and Capex Update
SECTION 02 EXPANSION AND CAPEX UPDATE 6
Slide 8: Cement Capacity Expansion Plan – 49 MnT by FY24
Cement Capacity Expansion Plan – 49 MnT by FY24 Region Plant Capacity Commissioning Closing Capacity FY22 35.9 +1.4 MnT NORTH EAST East Bokaro, JH 0.6 North East Adhunik, ML 0.2 H1FY23 East Rajgangpur, OR 0.3 Closing Capacity H1FY23 37.0 East Kapilas, OR 0.4 East Medinipur, WB 0.6 FY23 South Belgaum
Slide 9: Clinker Capacity Expansion Plan
Clinker Capacity Expansion Plan FY22 Q2FY23 FY24E SOUTH 7.8 9.0 10.4 EAST 6.8 7.4 8.3 NORTH-EAST 2.3 2.4 2.9 WEST 2.0 2.1 2.1 TOTAL 18.9 20.9 23.7 (Figures in MnT) 8
Slide 10: Capex Update
Capex Update Phase 1 -Ongoing New capacity Innovation & Capex Sustainability Others Bihar Grinding Unit: Tamil Nadu GUs: Land Solar power: 20.0 MW Mining Land: Acquisition Land acquisition near Acquisition and registry commercialized during of Land underway in East completion for Sattur GU c
Slide 11: Q2 & H1 Performance
SECTION 03 Q2 & H1 PERFORMANCE 10
Slide 12: Financial Performance – Sales Volume
Financial Performance Quarterly Sales Volume Half-Yearly Sales Volume (MnT) (MnT) Growth: 13.2% Growth: 20.1% Decline: 7.1% 12.0 6.2 5.8 10.0 5.1 Q2FY22 Q1FY23 Q2FY23 H1FY21 H1FY22 Despite a seasonally weak quarter, we have yet again delivered industry leading volume growth 11
Slide 13: Financial Performance – Sales Revenue
Financial Performance Quarterly Sales Revenue Half-Yearly Sales Revenue (Rs Cr) Growth: 15.1% (Rs Cr) Growth: 21.3% Decline: 10.0% 6,273 3,302 5,172 2,971 2,581 Q2FY22 Q1FY23 Q2FY23 H1FY22 H1FY23 12
Slide 14: Operational Performance – Variable Cost
Operational Performance Quarterly Total Variable Cost* Half-Yearly Total Variable Cost* (Rs/T) Increase: 39.6% (Rs/T) Increase: 38.3% Increase: 4.7% 2,275 2,330 2,224 1,645 1,669 Q2FY22 Q1FY23 Q2FY23 H1FY22 H1FY23 Consumption cost of Fuel increased by almost 60% on YoY basis leading to significant
Slide 15: Operational Performance – Logistics Cost
Operational Performance Quarterly Logistics Cost Half-Yearly Logistics Cost (Rs/T) (Rs/T) Increase: 4.3% Increase: 4.5% Decrease: 6.0% 1,096 1,064 1,030 1,021 986 Q2FY22 Q1FY23 Q2FY23 H1FY22 H1FY23 Logistic Costs/T for Dalmia remains one of the Lowest in the Cement Industry 14
Slide 16: Operational Performance – Total Cost per Tonne
Operational Performance Total Cost /T 3,832 4,360 4,484 3,831 4,420 723 796 758 Others 318 327 784 322 790 Employee Costs 381 388 1,096 1,030 1,064 Freight Charges 986 1,021 Power & Fuel Raw Material Consumed 1,526 1,542 1,534 988 1,020 (Inc)/Dec in stock 677 731 794 764 762 3 (33) (7) (140) (21) Q2
Slide 17: Financial Performance – EBITDA
Financial Performance Quarterly EBITDA Half-Yearly EBITDA (Rs Cr) (Rs Cr) Margins 24.1% 17.7% 12.8% 25.8% 15.4% Decline: 39.0% Decline: 27.7% Decline: 35.3% 1,334 621 586 965 379 Q2FY22 Q1FY23 Q2FY23 H1FY22 H1FY23 High Fuel cost along with sequential decline in realization resulted in significant
Slide 18: Financial Performance – Debt Position
Financial Performance Debt Position Net Debt / EBITDA (0.08x) 0.32x (Rs Cr) 3,194 3,287 3,009 2,636 651 Jun'22 Sep'22 -185 Gross Debt Cash & Cash Equivalents * Net Debt 17 * Includes MTM value of IEX Investment (Q1FY23: Rs 2,113 cr ; Q2FY23: Rs 1,891 cr )
Slide 19: Finance Cost
Finance Cost Q2FY23 56 (Rs Cr) Cost of Borrowing 6.5% Total Finance Cost Q2FY22 0 50 (Rs Cr) Cost of Borrowing 5.6% Total Finance Cost 18
Slide 20: ESG Update
SECTION 04 ESG UPDATE 19
Slide 21: WHRS and Solar Power Update
WHRS and Solar Power Update Renewable Energy Power (WHRS and Solar) 200 WHRS Capacity- MW Solar Capacity - MW 180 101 160 FY23 - WHRS Commercialization Total Renewable Power - MW 140 H1FY23 10 120 Rest of FY23 31 41 88 100 80 60 FY23 - Solar Commercialization 32 40 H1FY23 56 Rest of FY23 13
Slide 22: CSR at Dalmia
CSR at Dalmia Major Initiatives Dalmia Institute of Knowledge & Skill Harnessing In H1FY23, 1,010 trainees gained employment with (DIKSHa), a skill training programme, actively salary range between INR 8,000 -12,000 per month Memorandum of Understanding (MoU) signed with involved in imparting
Slide 23: Awards and Accolades
SECTION 05 AWARDS AND ACCOLADES 22
Slide 24: CII National Award for Excellence in Energy Management
CII National Award for Excellence in Energy Management Ariyalur Unit Energy Leader” Award “Excellence in Energy Management” Award DALMIAPURAM “Energy Leadership Award” for 5th consecutive year “Excellent Energy Efficiency Unit” Award for 8th consecutive year Other Units “Excellent Energy E
Slide 25: Only Cement Company to Win CAP 2.0 Award from CII
Only Cement Company to Win CAP 2.0o Award from CII “Climate Action Programme, CAP 2.0” Awarded to DCBL for 2nd time under Category 2.0 oriented for Energy, Mining and Heavy Manufacturing 24
Slide 26: Safety of Our Workforce Continues to Gain Recognition
Safety of Our Workforce Continues to Gain Recognition North East Metalliferous Mines Apex India OSH Conference Tamil Nadu Mine Safety Association Safety Week Rajganjpur unit and Ariyalur Unit was Meghalaya & Umrangso received awards Mines at Dalmiapuram Unit won Second awarded “Platinum Award” at Ap
Slide 27: Other Awards and Accolades
Other Awards and Accolades Mission Energy Greentech Environment Manufacturing Today ELSC leadership Award Foundation Award Dalmiapuram unit received Ariyalur unit won “Green Dalmiapuram Unit was winner Belgaum Unit won “Best Green “Cost Optimization Award” at Champion” & “Water under “Environment Pr
Slide 28: Annexures
SECTION 06 ANNEXURES 27
Slide 29: Impact on PBT due to Goodwill Amortization (Restructuring Related)
Impact on PBT due to Goodwill Amortization (Restructuring Related) (Rs Cr) Q2FY23 Q2FY22 With Restructuring Without Restructuring With Restructuring Without Restructuring Income from Operations 2,971 2,971 2,581 2,581 Less:-Operating Expenses 2,592 2,592 1,960 1,960 EBITDA 379 379 621 621 Add:- Othe
Slide 30: Thank You
CONTACT INFORMATION Thank You Corporate Office: 11th & 12th floor, Hansalaya Building, 15, Barakhamba Road, New Delhi – 110001 e: investorrelations@dalmiabharat.com w: www.dalmiacement.com