Dcm Shriram Limited · NSE:DCMSHRIRAM
Dcm Shriram — Q4 FY22 Earnings Presentation
30 slides from Dcm Shriram's earnings presentation, May 5, 2022
Slide 1: DCM Shriram Ltd. Q4 & FY22 - Results Presentation
DCM Shriram Ltd. Q4 & FY22 - Results Presentation May 5, 2022
Slide 2: Safe Harbour
Certain statements in this document may be forward-looking. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, Safe Harbour technological risks, and many other factors that could cause our actual results t
Slide 3: Table of Contents
Table of Contents Management Message & Q4 FY22 FY22 Segments Financial Snapshot 4 Financial Snapshot 9 Projects Approved 13 Revenue Drivers 5 Revenue Drivers 10 Management’s Message 14 PBDIT Drivers 6 PBDIT Drivers 11 Our Businesses 15 Returns & Leverage 7 Segment Performance 12 Chloro-Vinyl Busines
Slide 4: Financial Snapshot – Q4 FY22
Financial Snapshot – Q4 FY22 Revenue (Net) PBDIT Depreciation 2,796* 663 2,191 28% 69% 392 58 61 4% Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 PBIT Finance Cost** PAT 602 401*** 81% 73% 333 232 25 17 -29% Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 * Net of excise duty of Rs 77 crs on count
Slide 5: Revenue Drivers – Q4 FY22
Revenue Drivers – Q4 FY22 Positive Revenue Drivers Negative Revenue Drivers Chemicals Vinyl Sugar 272 297 865 144% 9% 1021 -26% 355 755* Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 • ECU prices up 118% YoY. Product prices across • Driven by higher prices. Carbide prices up 24% • Impacted by sign
Slide 6: PBDIT Drivers – Q4 FY22
PBDIT Drivers – Q4 FY22 Positive PBDIT Drivers Negative PBDIT Drivers Chemicals Fertilizers Bioseed 369 Q4 FY21 Q4 FY22 403% 401% 20 73 4 -38 -50 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 • Led higher product prices and volumes • Led by better energy efficiency and energy saving • India Operations were Impact
Slide 7: Returns & Leverage
Returns & Leverage PBDIT to Net Sales Net Debt / EBITDA 19.6% 0.108 15.0% 0.002 FY21 FY22 FY21 FY22 ROCE % Capital Employed (Rs. Crs) 35.0% 4,637 5,067 20.1% FY21 FY22 FY21 FY22 Note: ROCE and Net Debt/ EBITDA Calculated on TTM basis ROCE calculated on average of capital employed at end of the quart
Slide 8: Segment Performance – Q4 FY22
Segment Performance – Q4 FY22 Rs crs Revenues PBIT PBIT Margins % YoY % Segments Q4 FY22 Q4 FY21 YoY % Change Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Change Chloro-Vinyl 1161.6 627.1 85.2 465.4 176.1 164.3 40.1 28.1 Sugar 754.8* 1020.7 (26.0) 173.3 220.6 (21.5) 23.0 21.6 SFS 112.0 64.8 72.8 1.0 (7.6) - 0.9
Slide 9: Financial Snapshot – FY22
Financial Snapshot – FY22 Revenue (Net) PBDIT Depreciation 9,627* 1,888 8,308 16% 52% 1,244 233 238 2% FY21 FY22 FY21 FY22 FY21 FY22 PBIT Finance Cost** PAT 1,067*** 1,650 63% 59% 122 673 1,011 85 -30% FY21 FY22 FY21 FY22 FY21 FY22 Note: All figures in Rs.crs, Net revenue includes operating income *
Slide 10: Revenue Drivers – FY22
Revenue Drivers – FY22 Positive Revenue Drivers Negative Revenue Drivers Chemical Vinyl Sugar 3,385 2,498 1,119 2,474* 95% 53% -27% 1,283 732 FY21 FY22 FY21 FY22 FY21 FY22 • Driven by both volumes and prices. ECU prices up • Driven by product prices and volumes. PVC prices • Sugar volumes down by 41
Slide 11: PBDIT Drivers – FY22
PBDIT Drivers – FY22 Positive PBDIT Drivers Negative PBDIT Drivers Chemical Vinyl Sugar 875 503 400 168% 72% 493 -20% 326 287 FY21 FY22 FY21 FY22 FY21 FY22 • Lower Sugar volumes for both domestic and export. • Led by higher product prices and volumes • Driven by better product prices and volumes • H
Slide 12: Segment Performance – FY22
Segment Performance – FY22 Rs crs Revenues PBIT PBIT Margins % YoY % YoY % Segments FY22 FY21 FY22 FY21 FY22 FY21 Change Change Chloro-Vinyl 3616.5 2015.2 79.5 1266.6 518.4 144.3 35.0 25.7 Sugar 2473.7* 3384.5 (26.9) 322.7 428.9 (24.8) 13.0 12.7 SFS 948.9 858.2 10.6 134.6 109.2 23.3 14.2 12.7 Biosee
Slide 13: Projects Approved
Projects Approved Expected Business Approved by the Board Timelines Investment Rs Cr Developing manufacturing capabilities in Water soluble Shriram Farm fertilizer and Biologicals. These facilities to come up in a 20 Q3 FY24 Solutions wholly owned subsidiary 2 Extrusion Lines and 1 Blending Line to
Slide 14: Management’s Message
Management’s Message Commenting on the performance for the quarter and period ending March 2022, in a joint statement, Mr. Ajay Shriram, Chairman & Senior Managing Director, and Mr. Vikram Shriram, Vice Chairman & Managing Director, said: The Company has witnessed a strong operating and financial pe
Slide 15: Our Businesses
Our Businesses Chloro-Vinyl Agri Other Businesses Businesses Businesses Fenesta Caustic Sugar Building Soda (1,845 (38,000 Systems TPD) TCD) (8,600 TPA) Aluminum Cement Co-Gen Chloride (400,000 (155 MW) (60 TPD) TPA) PVC Resins Distillery Polymer India (220 TPD) (350 KLD)* Compounds Calcium Hariyali
Slide 16: Chloro Vinyl Business
Chloro Vinyl Business Rs/Cr Particulars Revenues PBIT Capital Employed Q4 FY22 1,161.6 465.4 1,912.1 Q4 FY21 627.1 176.1 1,492.3 % Shift 85.2 164.3 28.1 FY22 3,616.5 1,266.6 1,912.1 FY21 2,015.2 518.4 1,492.3 % Shift 79.5 144.3 28.1 The Chloro-Vinyl business of the Company has highly integrated oper
Slide 17: Chemicals
Chemicals Operational Financial Caustic Sales ECU Realisations Revenues PBIT PBIT Margin Particulars (MT) (Rs/MT) (Rs/Cr) (Rs/Cr) (%) Q4 FY22 154,571 45,420 864.7 347.3 40.2 Q4 FY21 128,111 20,882 354.7 53.3 15.0 % Shift 20.7 117.5 143.8 551.1 167.1 FY22 581,558 34,703 2,497.9 790.0 31.6 FY21 473,04
Slide 18: Chemicals
Chemicals Overall global demand up post recovery from Covid 19. Industry Indian Exports up - Q4 FY22 at 0.74 vs 0.47 lac MT LY. FY22 at 2.86 vs 2.03 lac MT LY. Overview Indian Imports down - Q4 FY22 at 0.52 vs 0.88 lac MT LY. FY22 at 2.00 vs 3.14 lac MT LY. Capacity utilization higher at 97%
Slide 19: Vinyl
Vinyl Operational Financial PVC Sales PVC XWR Carbide Sales Carbide XWR Revenues PBIT PBIT Margin Particulars (MT) (Rs/MT) (MT) (Rs/MT) (Rs/Cr) (Rs/Cr) (%) Q4 FY22 17,001 134,574 5,571 104,221 296.9 118.1 39.8 Q4 FY21 19,543 123,429 2,549 84,227 272.3 122.7 45.1 % Shift (13.0) 9.0 118.5 23.7 9.0 (3.
Slide 20: Vinyl
Vinyl Industry Global the prices of both PVC & Carbide had peaked in Oct’21 and since then the supplies have Overview stabilized and same is reflected in global & domestic prices Capacity utilization for full year at 94% vs 80% for FY21 impacted by Covid 19 related impact. Revenue for Q4 FY22
Slide 21: Sugar
Sugar Particulars Revenues (Rs. Cr.) PBIT (Rs. Cr.) PBIT Margin % Cap. Employed (Rs. Cr.) Q4 FY22 754.8* 173.3 23.0 2,954.2 Q4 FY21 1,020.7 220.6 21.6 2,621.1 % Shift (26.0) (21.5) 6.2 12.7 FY22 2,473.7* 322.7 13.0 2,954.2 FY21 3,384.5 428.9 12.7 2,621.1 % Shift (26.9) (24.8) 2.9 12.7 Capital employ
Slide 22: Sugar
Sugar Distillery Distillery Distillery Sugar Sugar Sales Sugar Power XWR Distillery Power Sales XWR - Cane XWR - B XWR - C Particulars Production (Domestic) (Domestic) (Rs/ unit) Sales (Lac Units) Juice Heavy Heavy (Rs/ (Lac Qtls) (Lac Qtls) XWR (Rs/Qtl) (Lac Units) (Lac Ltrs) (Rs/ Ltrs) (Rs/ Ltrs)
Slide 23: Sugar
Sugar Sugar Operations: o Cane crushed for SY22 is 549 lac qtls in line with last year, recoveries down 0.5%. o Cost of production of sugar for season year 2021-22 (up to March) at Rs 3,315/ qtl up 13%. o Total sugar diversion for ethanol at 11.4 lac qtls (last season at 7.0 lac qtls). Distiller
Slide 24: Shriram Farm Solutions
Shriram Farm Solutions Revenues PBIT Cap. Employed Particulars PBIT Margin % (Rs. Cr.) (Rs. Cr.) (Rs. Cr.) Q4 FY22 112.0 1.0 0.9 15.1 Q4 FY21 64.8 (7.6) (11.7) (1.4) % Shift 72.8 - - - FY22 948.9 134.6 14.2 15.1 FY21 858.2 109.2 12.7 (1.4) % Shift 10.6 23.3 11.6 - The products includes Seeds, Pestic
Slide 25: Bioseed
Bioseed Revenues (Rs. Cr.) PBIT Cap. Employed Particulars PBIT Margin % India International Total (Rs. Cr.) (Rs. Cr.) Q4 FY22 40.2 20.5 60.7 (51.7) (85.1) 391.7 Q4 FY21 49.3 16.4 65.8 (39.7) (60.3) 427.4 % Shift (18.5) 24.8 (7.7) - - (8.3) FY22 283.8 122.2 406.0 (76.3) (18.8) 391.7 FY21 354.7 109.4
Slide 26: Fertilizers (Urea)
Fertilizers (Urea) Operational Financial Particulars Sales Realisations Revenues PBIT Cap. Employed PBIT Margin % (MT) (Rs./MT) (Rs. Cr.) (Rs. Cr.) (Rs. Cr.) Q4 FY22 106,673 40,693 446.7 16.9 3.8 478.3 Q4 FY21 94,995 21,390 214.9 1.4 0.6 229.5 % Shift 12.3 90.2 107.9 1,145.6 499.2 108.4 FY22 388,223
Slide 27: Other Businesses
Other Businesses The ‘Others’ Segment in the financial results, includes Cement, Fenesta Building Systems, Vinyl compounding business and Hariyali Kisaan Bazaar. Revenues under ‘Others’ stood at Rs 297 crs in Q4 FY22 from Rs. 212 crs in Q4 FY21. PBIT for the quarter stood at Rs. 25 crs vis-à-vis
Slide 28: Fenesta Building Systems
Fenesta Building Systems Operational Financial Particulars Order Book (Rs Crores) Revenues PBIT PBIT Margin % Retail Projects Total (Rs. Cr.) (Rs. Cr.) Q4 FY22 104.6 108.4 213.0 153.3 27.9 18.2 Q4 FY21 108.8 48.1 157.0 118.3 12.4 10.5 % Shift (3.9) 125.2 35.7 29.6 124.5 73.2 FY22 361.7 311.1 672.8 5
Slide 29: Cement
Cement Operational Financial Particulars Sales Revenues PBIT Realisations (Rs./MT) PBIT Margin % (MT) (Rs. Cr.) (Rs. Cr.) Q4 FY22 110,724 3,759 50.0 (8.0) (16.0) Q4 FY21 107,535 3,557 46.5 (5.6) (11.9) % Shift 3.0 5.7 7.5 - - FY22 406,874 3,706 181.4 (23.5) (13.0) FY21 395,980 3,617 173.3 3.5 2.0 %
Slide 30: About Us & Investor Contacts
DCM Shriram Ltd. is an integrated business entity, with extensive and growing presence across the entire Agri value chain and Chloro-Vinyl industry. The Company has added innovative value- added businesses in these domains primarily Bioseed and Fenesta. Access to captive power at all key manufacturi