Oricon Enterprises Limited · NSE:ORICONENT
Oricon Enterprises — Investor Presentation (May 2019)
38 slides from Oricon Enterprises's investor presentation, May 2019
Slide 1: Stock exchange cover letter for investor presentation
June 04, 2019 To, BSELtd National Stock Exchange of India Limited Floor 25, P J Tower Exchange Plaza, 5 th Floor, Dalal Street Bandra Kurla Complex, Bandra (east) Mumbai - 400001 Mumbai - 400051 Dear Sir, Sub: Investor Presentation Ref: BSE: Scrip Code: 513121, NSE: SYMBOL: ORICONENT We are enclosin
Slide 2: Investor Presentation May 2019
Investor Presentation May 2019
Slide 3: Executive Summary
2 Executive Summary Company Overview • Oricon Enterprises Ltd.(OEL) is a 50+ year old diversified conglomerate primarily into Packaging, Marine Logistics along with Petrochemicals and Real Estate. • The company is backed by strong promoters and operated by experienced and professional management. •
Slide 4: Oricon At a Glance
3 Oricon At a Glance Focused management team for each Diversified business model Virtually a Zero Long term Debt company business segment Packaging Commenced production Largest installed capacity Strategic Location of 9 recognized brand across for manufacturing of Pet of 19 Bn plastic and metal manu
Slide 5: Company Overview
COMPANY OVERVIEW
Slide 6: Company Overview
5 Company Overview • Oricon Enterprises Ltd (OEL) a flagship company of Consolidated Revenue Breakup (in INR Cr) Parijat Enterprises has interests in Marine Logistics, Packaging, Petrochemicals and Real Estate. 11 FY19 488 379 207 • Oriental Containers Ltd (OCL) was a wholly owned 100% 34 subsidiary
Slide 7: Promoter & Other Key Managerial Personnel
6 Promoter & Other Key Managerial Personnel Mr. Rajendra Somani, Managing Director OEL Other Board Members • Over 47 years of experience and associated with OCL since inception. • Mechanical Engineer from Mumbai University • Mr. BK Toshniwal, Executive Director • Successful track record of setting-u
Slide 8: Business Structure
7 Business Structure ORICON ENTERPRISES Packaging Marine Logistics Petrochemicals Real Estate • OCL is one of the largest • USL provides an end to end • OEL manufactures Pentane • Oricon Enterprises Ltd has player in the business of integrated marine logistics and ISO pentanes. signed a Joint Develo
Slide 9: Packaging Business
8 PACKAGING BUSINESS
Slide 10: Business Overview
9 Business Overview • OCL (now merged in OEL) is the largest player in the packaging business manufacturing caps and closures in the country since the last 5 decades. • The company is the largest manufacturer of plastic and metal caps & closures in India with an annual installed production capacity
Slide 11: Competitive Edge
10 Competitive Edge Complete range of Metal and Competitive Edge 5 Brands Plastic Caps & Closures Market leader in Indian caps and closures No.1 Industry ~20 Years Of Strong OEM Relationship Strong presence across Globe through 40 Countries exports Manufacturing units at Murbad, Goa & 3 Facilities O
Slide 12: Caps and Closures
11 Caps and Closures PLASTIC CLOSURES (HIGH GROWTH BUSINESS) Carbonated Soft Drinks Water Application Fruit Juice Brand name: BEVSEAL CSD Brand name: BEVSEAL ALASKA Brand name: BEVSEAL – WF/HF Target Industry: Target Industry: Target Industry: Fruit Juice Carbonated Soft Drink Industry Bottled water
Slide 13: Production Capabilities (Caps and Closures)
12 Production Capabilities (Caps and Closures) Mn units p.a. as on March 2019 Plastic Metal 19,276 9,216 4,500 2,250 1,800 1,250 140 120 Plastic CSD Plastic WF/HF Plastic Alaska Crown Caps ROPP Caps Swage Seals HY Tubes Total Capacity TECHNOLOGY PARTNERS INNOVATION • Haun Chaun, Taiwan for Plastic c
Slide 14: Pet Preforms
13 Pet Preforms Products to be Manufactured • PET Preforms material is formed to a shape which is like moulded to a specific shape which is then afterwards blown to a bottle in the blowing machine. Present Preform Sizes • Water Preform Alaska Neck : • 10 gms, 9.5 gms for 250 ml water bottles. • 21gm
Slide 15: Strategically Located Facilities
14 Strategically Located Facilities • Proximity to Ports – Facilities are in the vicinity of prominent ports in India, thereby ensuring supply chain efficiencies, quick export fulfilment and best-in-industry input costs. Delh i • Proximity to client facilities - Facilities are located in the vicinit
Slide 16: Strong Customer Base
15 Strong Customer Base Diversified • Comprises of blue chip global companies in food & beverage (F&B), alcoholic beverages, fast moving consumer goods (FMCG) and pharmaceutical industries. • Key customers command leadership position in their respective industries • Coca -Cola – Leader in CSD indust
Slide 17: Awards & Accolades
16 Awards & Accolades OCL has received various awards and recognitions for its contribution to the packaging industry and excellence standards. Select awards & Recognitions include: • Indian Star award for packaging excellence for a record nine times • World Star award from the World Packaging Organ
Slide 18: Industry Overview
17 Industry Overview • The global market for industrial packaging is estimated to be Market Size( INR in Crores) around $52 Bn and is forecasted to reach $61 Bn by 2020 clocking a growth rate of 3.4% per annum. • The Indian Packaging industry was 32Bn USD at the end of 2015 which is expected to touc
Slide 19: Marine Logistics
18 MARINE LOGISTICS
Slide 20: Business Overview
19 Business Overview • United Shippers Ltd (USL), a 64.29% subsidiary of OEL, a closely held Strong Equipment Base public limited company, incorporated in November,1952 providing integrated marine Logistics services to its clients like Lighterage, Barging, Stevedoring and last mile connectivity thro
Slide 21: Value Chain
20 Value Chain Chartering of Ships Lighterage of Cargo Barging Charter (voyage & time Transfers Cargo onto a Movement of cargo to port chartering of vessels) smaller vessel / barge on barge Transport – Road & Rail Warehousing Stevedoring Last mile transfer of Cargo Warehouse Cargo Unload cargo on po
Slide 22: Geographical presence and Clientele
21 Geographical presence and Clientele Presence across Ports in Sanghipuram Navlakhi Bedi Singach Sikka Bhavnagar Magdalla Dahanu Tuticorin
Slide 23: Indian Market Overview
22 Indian Market Overview • India has a coastline which is more than 7,517 km long, interspersed with more than 200 ports. Most cargo ships that sail Cargo Traffic at Major Ports (MMT) between East Asia and America, Europe and Africa pass through Indian territorial waters. • The government initiated
Slide 24: Evolution of Logistics Sector in India
23 Evolution of Logistics Sector in India Beyond 2014 2000-2014 • Digitization of logistics • Growth in trade volumes services to increase 1990-2000 & regulations has led to transparency resulting in • Limited to outsourcing of emergence of CFS/ICD disintermediation of Before 1990’s transportation a
Slide 25: Initiatives by Government
24 Initiatives by Government Under Sagarmala Programme, 415 Prime Minister projects, at an Narendra Modi Ministry of Government is FDI of up to 100% Increase the estimated initiated – Shipping has planning to under the cargo handling investment of National announced operate all automatic route capac
Slide 26: Petrochem Business
25 PETROCHEM BUSINESS
Slide 27: Business Overview
26 Business Overview • Oricon Enterprises Ltd engages in the business of manufacturing of pentane which is a petrochemical for industrial applications and trading activities. • Types of pentanes manufactured: • Normal Pentane - Used as a specialty solvent for extraction of paraffin from kerosene. •
Slide 28: Industry Overview - Petrochemicals
27 Industry Overview - Petrochemicals • The Global Specialty Chemicals market is expected to reach World Consumption of speciality chemicals USD 530.9 Bn by 2022 growing at a CAGR of 6.3% from 2015 and 2022. Middle & • The largest speciality chemical segments in 2016 were East Africa, Other, 1% elec
Slide 29: Real Estate Business
28 REAL ESTATE BUSINESS
Slide 30: Business Overview
29 Business Overview 2 Acres at Worli, Mumbai 1 Acre at Worli, Mumbai • Joint Development Agreement (JDA) With Indiabulls • The Company has executed a non binding term sheet with Infraestate Limited. Indiabulls Infraestate Limited (“IIL") a subsidiary of Indiabulls Real Estate Limited, for execution
Slide 31: Financial Performance
30 FINANCIAL PERFORMANCE
Slide 32: Income Statement-Standalone (IND AS)
31 Income Statement-Standalone (IND AS) PARTICULARS (INR MN) FY18 FY19 Income from Operations 5,507 6,314 Other Income 460 257 Total Income 5,967 6,571 Operating Expenses 5,387 5,756 EBITDA 580 815 EBITDA Margin (%) 9.72% 12.40% Finance Cost 115 110 Depreciation 280 278 Profit Before Tax 185 427 Exc
Slide 33: Balance Sheet-Standalone (IND AS)
32 Balance Sheet-Standalone (IND AS) EQUITY & LIABILITIES (INR Mn) FY18 FY19 ASSETS (INR Mn) FY18 FY19 EQUITY 6,795 6,948 NON-CURRENT ASSETS 7,182 7,514 (A)Equity Share capital 314 314 (A)Property, plant & equipment 3,918 4,402 (B)Other equity 6,481 6,634 (B)Capital work-in-progress 41 - (C)Investme
Slide 34: Income Statement- Consolidated (IND AS)
33 Income Statement- Consolidated (IND AS) PARTICULARS (INR MN) FY18 FY19 Income from Operations 10,236 11,192 Other Income 535 373 Total Income 10,771 11,565 Operating Expenses 9,510 10,138 EBITDA 1,261 1,427 EBITDA Margin (%) 11.71% 12.34% Finance Cost 181 179 Depreciation 718 754 Profit Before Ta
Slide 35: Balance Sheet-Consolidated (IND AS)
34 Balance Sheet-Consolidated (IND AS) LIABILITIES (INR Mn) FY18 FY19 ASSETS (INR Mn) FY18 FY19 Shareholder’s Fund 10,112 10,402 Non-current assets 10,394 10,807 (A)Equity Share capital 314 314 (A)Property, Plant & Equipment 6,618 6,862 (B)Other Equity 8,211 8,461 (B)Goodwill 890 890 (C)Minority Int
Slide 36: Capital Market Data
35 Capital Market Data 30% 20% 10% 0% -10% -20% -30% -40% -50% -60% Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Oricon Sensex SHAREHOLDING PATTERN (AS ON 31st March, 2019) st PRICE DATA (AS ON 31 March, 2019) Face Value (INR) 2.0 Public, Market Price (INR) 28.
Slide 37: Disclaimer
36 Disclaimer Oricon Enterprises Ltd Disclaimer : No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions ar
Slide 38: Thank You
THANK YOU ORICON ENTERPRISES LTD
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