Rak Ceramics Pjsc · ADX:RAKCEC

Rak Ceramics Pjsc — Q3 2019 Earnings Presentation

16 slides from Rak Ceramics Pjsc's earnings presentation, November 2019

  1. Slide 1: Earnings Presentation - Q3 2019 Results

    EARNINGS PRESENTATION - Q3 2019 RESULTS EARNINGS PRESENTATION - Q3 2019 RESULTS NOVEMBER 2019 RAK Ceramics PJSC © 2019. All rights reserved

  2. Slide 2: Attendees

    EARNINGS PRESENTATION - Q3 2019 RESULTS Attendees Abdallah Massaad PK Chand Group Chief Executive Officer Group Chief Financial Officer Abdallah Massaad is Group CEO of RAK Ceramics and has more than 22 years experience Pramod Kumar Chand is the Group Chief Financial Officer of RAK Ceramics. Mr. Cha

  3. Slide 3: Disclaimer

    EARNINGS PRESENTATION - Q3 2019 RESULTS Disclaimer This information contained in the enclosed presentation summarises preliminary and and past performance is not indicative of future results. The Company undertakes no introductory information on RAK Ceramics PJSC (the Company). This presentation obl

  4. Slide 4: Key business strategy and highlights

    EARNINGS PRESENTATION - Q3 2019 RESULTS Key business strategy and highlights Business strategy Margins improved India turnaround Continued competition due to Total and tiles gross profit margins Ramp up production of slabs, globally excess capacity and increased with continued focus increase exports

  5. Slide 5: Q3 2019 Key financial highlights

    EARNINGS PRESENTATION - Q3 2019 RESULTS Q3 2019 Key financial highlights Total revenue decreased by Total gross profit margin Reported net profit decreased by -5.0% YoY to AED636m. On increased by +120bps YoY to -3.9% YoY to AED45.6m while Net constant currency as of Q3 2018, 34.5%, driven by an inc

  6. Slide 6: 9M 2019 Key financial highlights

    EARNINGS PRESENTATION - Q3 2019 RESULTS 9M 2019 Key financial highlights Total revenue decreased by Total gross profit margin Reported net profit decreased by -6.2% YoY to AED 1.92bn. On increased by +110bps YoY to -7.2% YoY to AED155.8m with a constant currency as of 9M 2018, 34.3%, driven by an in

  7. Slide 7: 9M 2019 Net Profit Bridge

    EARNINGS PRESENTATION - Q3 2019 RESULTS 9M 2019 Net Profit Bridge MANAGEMENT COMMENTS NET PROFIT BRIDGE Q3 2019 VS Q3 2018 (AEDM) 9M 2019 reported net profit decreased by -7.2% YoY to -1.8 AED155.8million, due to a revenue decrease of AED 127mn YoY, 47.4 45.6 impacting the bottom line by approx. AED

  8. Slide 8: Revenue highlights

    EARNINGS PRESENTATION - Q3 2019 RESULTS Revenue highlights MANAGEMENT COMMENTS TOTAL REVENUE (AEDM) TILES REVENUE (AEDM) Continued competition due to 2,050.6 1,391.1 1,923.7 1,258.5 globally excess capacity and increasing pricing pressure creating challenging environment. 667.4 669.5 437.1 453.5 Tot

  9. Slide 9: Tiles revenues by end market

    EARNINGS PRESENTATION - Q3 2019 RESULTS Tiles revenues by end market QUARTERLY COMPARISON YEARLY COMPARISON Q3 19 Q2 19 Q3 18 9M19 9M18 Amount Amount Growth Amount Growth Amount Amount Growth United Arab Emirates 146.0 151.4 -3.6% 143.1 2.0% 439.3 456.0 -3.7% Kingdom of Saudi Arabia 64.9 66.8 -2.9%

  10. Slide 10: Sanitaryware revenues by end market

    EARNINGS PRESENTATION - Q3 2019 RESULTS Sanitaryware revenues by end market QUARTERLY COMPARISON YEARLY COMPARISON Q3 19 Q2 19 Q3 18 9M19 9M18 Amount Amount Growth Amount Growth Amount Amount Growth United Arab Emirates 36.5 39.5 -7.6% 42.0 -13.0% 114.7 120.2 -4.6% Kingdom of Saudi Arabia 6.3 6.0 4.

  11. Slide 11: Gross profit margins

    EARNINGS PRESENTATION - Q3 2019 RESULTS Gross profit margins MANAGEMENT COMMENTS TOTAL GROSS MARGINS (%) TILES GROSS MARGINS (%) Total gross margin increased by 34.5 35.5 34.3 33.3 33.2 +120bps YoY to 34.5%. 31.1 31.4 30.4 Tiles margin increased by +320bps YoY 28.0 28.4 to 31.1% driven by continued

  12. Slide 12: Financial highlights

    EARNINGS PRESENTATION - Q3 2019 RESULTS Financial highlights YEARLY QUARTERLY COMPARISON YEARLY COMPARISON COMPARISON Q3 19 Q2 19 Q3 18 9M 19 9M 18 Amount Amount Growth Amount Growth Amount Amount Growth Revenue 636.0 667.4 -4.7% 669.5 -5.0% 1,923.7 2,050.6 -6.2% Gross margin (%) 34.5% 35.5% -1.0% 3

  13. Slide 13: Operating cycle

    EARNINGS PRESENTATION - Q3 2019 RESULTS Operating cycle MANAGEMENT COMMENTS OPERATING CYCLE (AED M) OPERATING CYCLE (LTM DAYS) Inventory days increased from 256 days to 261 days QoQ, while in absolute terms it is increased only AED by 3mn. 1,748 1,671 1,620 1,696 1,829 307 297 285 271 280 Trade rece

  14. Slide 14: 2019 Priorities

    EARNINGS PRESENTATION - Q3 2019 RESULTS 2019 Priorities Maintain revenue in UAE, Turnaround India and establish Improve profitability of Bangladesh, India, RAK Porcelain hub for exports Distribution entities and Kludi-RAK Develop strategy to Continue cost efficiencies Optimise production counter inc

  15. Slide 15: Contacts

    EARNINGS PRESENTATION - Q3 2019 RESULTS Contacts INVESTOR RELATIONS If you have any questions or require further information, please do not hesitate to contact our investor relations department. Investor Relations RAK Ceramics Al Jazeera Al Hamra PO Box 4714 Ras Al Khaimah United Arab Emirates T: +9

  16. Slide 16: EARNINGS PRESENTATION - Q3 2019 RESULTS RAK Ceramics PJSC © 2019. All rights reserved

    EARNINGS PRESENTATION - Q3 2019 RESULTS RAK Ceramics PJSC © 2019. All rights reserved 16

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