Slide 1: Q2 - FY16 Investor Update Presentation
Q2 - FY16 Investor Update Presentation
Slide 2: HEG Limited – Profile
HEG Limited – Profile HEG Limited is a leading graphite electrode manufacturer & exporter Globally. HEG produces two grades of graphite electrodes - Ultra High Power (UHP) & High Power (HP) - used in manufacturing steel through the Electric Arc Furnace (EAF) route. Exports approximately 65% of
Slide 3: Global Steel Industry
Global Steel Industry World crude steel production for Jan‐Sept 2015 stood at 1212 million tons, a decline of 2.4% as compared to 1242 million ton in the same period in 2014. North America witnessed the largest decline of 6.8% followed by CIS dropping by 5.8%. EU dropped by 0.3% and Asia decli
Slide 4: Global Graphite Industry
Global Graphite Industry EAF segment of Steel, which is our customer base continues to be severely impacted due to disproportionate fall in the prices of Iron Ore and Coke, the two main raw materials to blast furnace industry as compared to Steel Scrap, the main raw material to EAF steel industry.
Slide 5: Financial Snapshot
Financial Snapshot in Rs. Crore (except EPS) FY 15 Q2 FY16 Q1 FY16 Q2FY15 Net Operating Income 1236.91 240.20 249.27 322.51 EBITDA* 196.78 53.93 25.15 46.81 EBITDA Margin 15.91% 22.45% 10.09% 14.51% EBIT 121.43 33.74 6.28 28.08 EBIT Margin 9.82% 14.05% 2.5% 8.71% PAT 39.0 14.66 (10.55) 5.58 PAT Marg
Slide 6: Segmental Performance – Graphite Electrodes
Segmental Performance – Graphite Electrodes in Rs. Crore FY 15 Q2 FY16 Q1 FY16 Q2FY15 Net Sales 1213.28 237.58 247.73 318.56 Export (% of sales) 78.2% 64.3% 65.8% 73.5% EBITDA Margin 8.7% 10.8% 2.2% 6.7% EBIT Margin 2.9% 3.8% (4.2%) 2.04% Capital Employed 974.50 919.69 927.80 880.63 Capacity utilisa
Slide 7: Segmental Performance – Power
Segmental Performance – Power in Rs. Crore FY 15 Q2FY16 Q1 FY16 Q2 FY15 Net Sales 228.07 57.64 46.73 56.45 EBITDA Margin 43.7% 49.2% 43.8% 42.8% EBIT Margin 37.6% 43.4% 35.7% 36.7% Capital Employed 174.0 176.58 170.54 173.04 Generation (volume) from Thermal facility increased, to suit graphite elect
Slide 8: Future Outlook
Future Outlook Anti dumping duty on imports of Chinese electrodes in India has resulted in fall of Chinese imports from an average of 1104 mt per month to 170 mt between Apr-Aug’15. HEG has been able to replace this reduced Chinese and other imports, by increasing its market share in the domesti
Slide 9: Thank You
Thank You Mr. Raju Rustogi – Chief Financial Officer HEG Limited Ph: +91 120 244 4541 Fax: +91 120 254 1575 Email: r.rustogi@lnjbhilwara.com 9