Gallantt Ispat Limited · NSE:GALLANTT
Gallantt Ispat — Q4 FY24 Earnings Presentation
33 slides from Gallantt Ispat's earnings presentation, May 4, 2024
Slide 1: Revised press release cover letter to exchanges
Cruzlr.tlT crLlcKP12023-24 March 04,2024 BSE Limited National Stock Exchange of India Floor 25, P J Towers, Dalal Street Limited Mumbai- 400 001. INDIA. "EXCHANGE PLAZA", Scrip Code: 532726 Bandra - Kurla Complex, Bandra (East) Mumbai - 400 051. INDIA. Symbol: GALLANTT Siri Madam, SUB: REVISED PRESS
Slide 2: Gallantt Ispat Limited Q4 & FY24 Investor Presentation
Gallantt Ispat Limited Q4 & FY24 Investor Presentation Presence, Efficiency, Scale
Slide 3: Safe Harbour
The following slides may contain “forward looking statements” including, statements relating to the implementation of strategic initiatives by Gallantt Ispat Limited (“GIL” or “Company”) and future business developments and economic performance. While these forward looking statements indicate the Co
Slide 4: Presence Efficiency Scale
Presence Efficiency Scale Profitable growth on Leading manufacturer the back of strong cost of TMT bars – Capacity: optimisation thrust, 950,000 TPA backward integration and value addition Well entrenched presence in key Strong relationships in consumption states of both private and Uttar Pradesh an
Slide 5: The Gallantt locational advantage
Presence Efficiency Scale The Gallantt locational advantage Gorakhpur, Uttar Pradesh o Only Integrated Steel Plant in Uttar Pradesh; a region which is witnessing significant development o Enhanced customer serviceability: • Shorter delivery times • Ability to deliver small quantities offering deal
Slide 6: Our journey
Our journey 2005 2009 2012 – (2022) 2020 2022 Commencement of Commencement of Capacity Completed Installation of commercial commercial operation expansions across execution of Real Modern materials operations at 1.7 at 1.67 lakh MTPA both Estate Premium movement Wagon lakh MTPA integrated steel manu
Slide 7: Capacity overview
Presence Efficiency Scale Capacity overview Plant wise breakup TOTAL Type Units Total Sponge Iron MT 9,18,000 Steel Melt Shop MT 9,57,000 Rolling Mill MT 9,50,400 Power Plant MW 129 Pellet Plant MT 7,92,000 Gorakhpur, Uttar Pradesh Type Units Total Sponge Iron MT 5,44,500 Steel Melt Shop MT 5,28,000
Slide 8: Financial overview Q4 & FY24
Financial overview Q4 & FY24 Revenue EBITDA PAT (Rs. Crore) (Rs. Crore) (Rs. Crore) 186.91 95.39 1,094.38 7.5% 1,177.38 125.21 49.2% 67.91 40.4% Q4FY23 Q4FY24 Q4FY23 Q4FY24 Q4FY23 Q4FY24 Revenue EBITDA PAT (Rs. Crore) (Rs. Crore) (Rs. Crore) 4,056.70 4,227.11 455.04 225.33 4.2% 367.36 23.8% 62.5% 14
Slide 9: Production and sales volumes Q4 FY24
Presence Efficiency Scale Production and sales volumes Q4 FY24 Production volumes Sales volumes TOTAL TOTAL DRI Steel Melt Shop Rolling Mill DRI Steel Melt Shop Rolling Mill Period Power Plant Pellet Period Power Plant (Sponge Iron) (Billet) (TMT Bars) (Sponge Iron) (Billet) (TMT Bars) MW MW Unit MT
Slide 10: Production and sales volumes FY24
Presence Efficiency Scale Production and sales volumes FY24 Production volumes Sales volumes TOTAL TOTAL DRI Steel Melt Shop Rolling Mill DRI Steel Melt Shop Rolling Mill Period Power Plant Pellet Period Power Plant (Sponge Iron) (Billet) (TMT Bars) (Sponge Iron) (Billet) (TMT Bars) MW MW Unit MT MT
Slide 11: Chairman's Message
Chairman’s Message Chairman and MD, Chandra Prakash Agrawal commenting on the Q4 & FY24 results, “We are glad to announce another quarter of robust financial performance. Our cost cutting initiatives have translated to strong EBITDA and bottom line improvement. We have successfully introduced two wa
Slide 12: Driving operational efficiencies
Driving operational efficiencies
Slide 13: Backward integration: Pellets and Coal
Presence Efficiency Scale Backward integration Pellets Coal 792,000 MT/annum pellets capacity in Gorakhpur Linkages with Northern Coalfields Limited, caters to entire production requirement Eastern Coalfields Limited and Central coalfields Captive production estimated to be ~10‐15% Limited ens
Slide 14: Logistics and power
Presence Efficiency Scale Logistics and power Rail Captive infrastructure Power Railway sidings at both units to facilitate Total captive power capacity: 129 MW efficient material movement and connectivity Availability of captive power ensures minimal Modern material wagon tippler at Gorakhp
Slide 15: Power: Own vs purchased
Presence Efficiency Scale Power: Own vs purchased % of Captive power consumed – % of Captive power consumed – Kutch, Gorakhpur, UP Gujarat 95.4% 94.7% 98.8% 98.6% 97.2% 95.7% 95.9% 96.1% 95.5% 90.1% 90.4% 88.8% 92.5% 91.5% 93.0% 84.8% 78.3% 78.9% Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY
Slide 16: Per tonne realisations for TMT Bars
Presence Efficiency Scale Per tonne realisations for TMT Bars Gorakhpur, UP (Rs. Per Tonne) Kutch, Gujarat (Rs. Per Tonne) 54,309 56,050 46,991 48,603 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 53,863 56,837 48,780 50,487 FY23 FY24 FY23 FY24 Per tonne realisations lower in line with lower input costs 15
Slide 17: EBITDA Per tonne
Presence Efficiency Scale EBITDA Per tonne (Rs. Per Tonne) (Rs. Per Tonne) 8,172 5,726 6,679 5,292 Q4 FY23 Q4 FY24 FY23 FY24 16
Slide 18: Value Addition thrust
Value Addition thrust
Slide 19: Premium offerings
Presence Efficiency Scale Premium offerings Introduced a stronger and more durable value added offering under the brand Gallantt Advance Bollywood star Ajay Devgn is the brand ambassador Emphasis on branding, use of electronic and social media 18
Slide 20: EPC and construction
Presence Efficiency Scale EPC and construction Evaluating opportunities to monetise ~27.5 acre land owned by Gallantt Ispat Group Housing project with ultra modern facilities under the name “Shalimar Gallant” Plans to also commence construction of hotels and malls 19
Slide 21: The Gallantt Group
Presence Efficiency Scale The Gallantt Group Gallantt Cement Cement manufacturing unit at Gorakhpur with an annual capacity of 6,00,000 MTPA Commenced commercial operations in 2022 Gallantt Flour Modern Flour Mill unit with an annual production capacity of 1,08,000 MTPA Commenced commercial
Slide 22: Dealer & Distributor strength and relationship
Presence Efficiency Scale Dealer & Distributor strength and relationship Thrust on expanding and Catering to 2700 dealers and deepening distribution 34 distributors in Uttar network to reach further Into Pradesh and Gujarat for close areas in Uttar Pradesh seeing to 2 decades Infrastructure developm
Slide 23: Capex plans & timelines (Future plans)
Presence Efficiency Scale Capex plans & timelines (Future plans) Direct Reduced Iron (DRI) Kiln having a capacity of 1,65,000 MTPA at the Company’s manufacturing facilities at Gorakhpur, Uttar Pradesh is expected to be completed by FY2025. The cost for this is ~Rs. 125 crore. The Company has install
Slide 24: ESG Initiatives
Presence Efficiency Scale ESG Initiatives Modern technology Plantations at factory Water conservation and equipment to premises and harvesting lesser consumption of electricity Recycling of water and other natural Modern equipment to Regular training follow pollution resources across programs across
Slide 25: Promoter Group
Promoter Group CHANDRA PRAKASH AGRAWAL DINESH R. AGARWAL NITIN M KANDOI Chairman & Managing Director Director – Administration Director-Plant Operation First generation entrepreneur First generation entrepreneur, Actively involved in the possessing more than 37 years having over three decades
Slide 26: Uttar Pradesh, Gujarat – Strong infrastructure investment thrust
Presence Efficiency Scale Uttar Pradesh, Gujarat – Strong infrastructure investment thrust Strong infrastructure push in both states of operation driven by public and private sector participation Key infrastructure projects: Uttar Pradesh Project Name Sector Total Project Cost (in Rs. crore) Road Up
Slide 27: Growth outlook
Presence Efficiency Scale Growth outlook Efficiencies Technological upgradation across facilities to enhance capacity utilization from present 80% to 95% Installation of Modern Rail tippler contributing towards lower wastage faster turnaround time Full benefit to be visible in current year Ratio
Slide 28: Financial outlook
Presence Efficiency Scale Financial outlook FY26 (E) revenue: ~Rs. 5,000 crore +/‐5% To be driven by targeting to achieve capacity utilisations levels of >90% EBITDA margins in FY 2023 was 9%, which in FY 2024 has increased to 11% and is expected to expand by 200 basis points to 13% in FY25. To be
Slide 29: P&L Q4 & FY24
P&L Q4 & FY24 STATEMENT OF AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2024 Rs. in Lakhs Quarter ended Year ended Sr. No. Particulars 31.03.2024 31.12.2023 31.03.2023 31.03.2024 31.03.2023 Audited Unaudited Audited Audited Audited 1. Income from operations (a) Revenue from ope
Slide 30: Balance Sheet as on March 31, 2024
Balance Sheet as on March 31, 2024 PARTICULARS As at 31.03.2024 As at 31.03.2023 Particular As at 31.03.2024 As at 31.03.2023 (I) ASSETS (II) EQUITY AND LIABILITIES (1) Non-current assets EQUITY (a) Equity share capital 24,128.09 24,128.09 (a) Property, plant and equipment 1,75,670.79 1,45,789.77 (b
Slide 31: Balance Sheet Ratios
Balance Sheet Ratios ROE (%) ROCE (%) Debt to Equity (x) 9.64 12.72 0.33 11.08 0.28 6.82 March 31, 2023 March 31, 2024 March 31, 2023 March 31, 2024 March 31, 2023 March 31, 2024 Debt:equity ratio has reduced from 0.33 to 0.28 in March 31, 2024 o Debt comprises primarily working capital borrowings
Slide 32: Contact Us
Contact Us Nitesh Kumar (Head ‐ Investor Relations) Gallantt Ispat Limited Tel: +91 99034 62248 Email: nitesh@gallantt.com Gavin Desa / Rishab Barar CDR - India Tel: +91 98206 37649/ +91 77770 35061 Email: gavin@cdr‐india.com / rishab@cdr‐india.com 31
Slide 33: Thank You
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