Kuantum Papers Limited · NSE:KUANTUM
Kuantum Papers — Investor Presentation (February 2023)
35 slides from Kuantum Papers's investor presentation, Feb 1, 2023
Slide 1: Cover letter to stock exchanges (Regulation 30 disclosure)
KPL/SEs/IP 01.02.2023 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Plot No. C/1, G Block, Mumbai 400 001 Bandra-Kurla Complex Scrip Code: 532937 Bandra (East) Scrip ID: KUANTUM Mumbai 400 051 Trading Symbol: KUANTUM Reg: Investor Presenta
Slide 2: Investor Presentation February 2023
February 2023 Investor Presentation 1
Slide 3: About Kuantum Papers
About Kuantum Papers • Kuantum Papers Ltd, a leading wood and agro based paper manufacturers started its commercial operations in 1980 in an economically backward village of Hoshiarpur, Punjab. Operational Revenue (INR Mn) & • They started their production with 30 TPD and are currently operating at
Slide 4: Board of Directors
Board of Directors D.S Sandhawalia - Director (Non-Independent) • Drishinder Singh Sandhawalia provides guidance and direction on real world business and Sh. Jagesh Khaitan - Chairman organizational issues to the management. • Drishinder has over 35 years experience in consulting and working with bu
Slide 5: Key Management Team
Key Management Team Mr. Roshan Garg – CFO : A qualified Chartered Mr. Sushil Kumar Khetan - CEO Operations : A seasoned Accountant & Company Secretary by profession, he has Chartered Accountant, Company Secretary and a dynamic 30 + years of work experience in Corporate Finance and professional with
Slide 6: Geographical Presence & Sales Model
Geographical Presence & Sales Model Punjab 7% Delhi Jammu & Kashmir 7% 32% Uttar Pradesh 7% Assam Order based manufacturing: Haryana 10% 2% • The production is order based and manufacturing Bihar 3% is undertaken after the company receives advance orders from dealers/distributors. Delhi 32% • The co
Slide 7: Company History and Milestones
Company History and Milestones 1980 1988 2000 2002 2005 2006 • Lignin Precipitation Plant installed in collaboration National Energy with Tanovis AG (formerly Agro Pulp Mill upgraded to Debottlenecking done to 150 TPD along with the Established with a capacity PM 3 installed with a achieve 40% impro
Slide 8: Marquee Clientele
Marquee Clientele Investor Presentation 7
Slide 9: Key Strengths
Key Strengths Pan India presence with an extensive Cost savings through Backward Integration Project has network of 100+ dealers led to improved EBITDA margins in the range of 28-30% Long standing relationship with dealers, many Improved infrastructure of paper machines in associated with the compan
Slide 10: Overview of Current Operations
OVERVIEW OF CURRENT OPERATIONS
Slide 11: Manufacturing Process
Manufacturing Process Chemical Recovery Plant Steam Co-gen Power Caustic Soda plant Recovery Effluent Treatment Agro Pulp Mill Wood Pulp Mill Plant Black Liquor Paper Manufacturing Raw Material Pulp Cooking & Washing Pulp Screening & Cutting PM1, PM2, PM3 Aggregation Bleaching & PM4 Warehousing & Di
Slide 12: Current Manufacturing Facilities
Current Manufacturing Facilities Pulping Facilities Paper Machines Chemical Recovery Plant Co-Gen Power Plant Segment • Total Capacity: 700 Solids • Turbines : Total 38 MW • Total Capacity: 380 TPD • Total capacity: 450 TPD Ø New : 20 MW & 8 MW • Machine 1 - 30 TPD TPD • Agro based pulp: 200 TPD Ø E
Slide 13: Pulping Facilities
Pulping Facilities Total Capacity: 380 TPD Agro Pulp Wood Pulp 200 TPD 180 TPD • The company has eliminated its dependency on Imported Hardwood Pulp as it has become self-reliant in wood raw material, thereby reducing the cost of production. • There is also a conscious effort to replace imported sof
Slide 14: Paper Machines
Paper Machines Total capacity: 450 TPD PM 1 - 30 TPD PM 2 - 35 TPD PM 3 - 115 TPD PM 4 - 270 TPD • Increase in paper production capacity to 450 TPD. • The increased production has been totally absorbed by the demand pull from the market and company is operating at 100% capacity utilization. • Improv
Slide 15: Chemical Recovery Island
Chemical Recovery Island Total Capacity: 700 TPD of Black Liquor Solids: New CRP : Existing CRP : 500 Solids TPD 200 Solids TPD • A chemical recovery plant of 500 TPD supplied by Andritz is a HERB recovery boiler with SRS technology has been installed to process caustic from Black Liquor. The Chemic
Slide 16: Co-Gen Power Plant
Co-Gen Power Plant Total Capacity : 38 MW Turbines : Boilers : Total 190 TPH • New : 20 MW & 8 MW • New : 130 TPH • Existing Turbines: 10 MW • Existing : 60 TPH • The need of the hour is to be self-sufficient in power requirement in order to sustain operations on a long-term basis. • Kuantum has a c
Slide 17: Effluent Treatment Plant
Effluent Treatment Plant The company has up-graded existing Effluent Treatment Plant with an objective of sustained parameters of treated effluent as well as to be ‘future ready’ to meet all Environmental norms. Effluent Treatment Low COD High COD facility had Street-1 Street-2 is with is with Aerob
Slide 18: Raw Material Sourcing
Raw Material Sourcing Kuantum has an integrated Pulping facility with separate Agro Pulping and Wood Pulping streets having a total capacity of 380 MT of pulp per day for paper manufacturing. Raw Material Mix as of FY22 Kuantum uses the following agro residues in its Agro Pulping Street (200 TPD): A
Slide 19: Technical Collaboration with Tanovis AG
Technical Collaboration with Tanovis AG The company has a collaboration with Tanovis AG (formerly Granit Recherché Development SA) For the Lignin Precipitation Plant. Tanovis AG, is a Swiss company with global operations. It is in the business of providing process technologies & innovative products
Slide 20: Technical Collaboration with Specialty Minerals, USA
Technical Collaboration with Specialty Minerals, USA The company has a Collaboration with Specialty Minerals Inc. We have a first-of–its-kind backward integrated PCC (Precipitated Calcium Carbonate) Plant in an Agro based operations in the world, set up in collaboration with Specialty Minerals Inc.
Slide 21: Social Farm Forestry Program
Social Farm Forestry Program Social farm forestry programs are These initiatives also contribute to green sustainable initiatives securing raw materials within a undertaken by paper companies in specific radius hence reducing the order to contribute to the small over all manufacturing costs and and
Slide 22: Corporate Social Responsibility
Corporate Social Responsibility Enhancing education by introducing computer technology in schools, promoting sustainable agriculture by educating farmers, and supplying rural communities with environmentally-friendly energy solutions like solar lights and water storage tanks. Investor Presentation 2
Slide 23: Corporate Social Responsibility
Corporate Social Responsibility Installation of Tree Plantation Financial Assistance Sewerage Treatment in Government Installation of Solar Providing Fire Tender to Government Plant at Saila Khurd, schools & Lights in facility with staff in case of Schools and hospitals Bharatpur Jattan and Panchaya
Slide 24: Writing and Printing Products
Writing and Printing Products Agro and Wood based paper plants manufacturing paper using wheat straw, sarkanda, bagasse, wood chips and veneer waste. Different types of paper: Creamwove, Maplitho, Copier, Ledger, Cartridge, Stiffner, Colour, Parchment and Bond. Category Brand GSM Range KUANTUM KREST
Slide 25: Writing and Printing Products
Writing and Printing Products Category Brand GSM Range Krayo 49-130 Colour Kosmo Color 60-130 Kreda Ledger 58-90 Ledger Kodexa Ledger 58-90 Thermal Paper Kosmo Thermic 42-64 Executive Bond Kuantum Bond 70-100 Color Copier Kaleela 72 Cartridge Kosmo cartridge 60-130 Stiffner Kosmo Stiffner 68-180 Kos
Slide 26: Future Growth Strategy
Future Growth Strategy Debottlenecking and upgrading plant operations to increase production capacity by ~ 1 25% and further optimize cost 1 Leveraging Single use Plastic ban by 2 2 developing a portfolio of specialty products for a sustainable future 3 3 Setting up Tissue machine to diversify produ
Slide 27: Foray into New Specialty Products
Foray into New Specialty Products Greaseproof paper is made under hygienic Food Grade conditions which gives excellent FMCG/Food Paper – grease/moisture resistance and oil hold Packaging Industry OGR/Biscuit out properties. Wrapping Soft and Absorbent paper used to make Institutions, Tissue paper na
Slide 28: Industry Overview
. 1 Kuantum Aw Paper Makers INDUSTRY OVERVIEW
Slide 29: Paper Industry
Paper Industry • Currently, the Indian paper industry is valued at INR 80,000 crore, and it is highly fragmented with RISIING PRODUCTION OF over 800 paper companies producing about 16 Million Ton of domestic paper every year. PAPER INDUSTRY (INR Mn) • India's per capita paper consumption is 15 kg, c
Slide 30: Financial Overview
Y Kuantum as Paper Makers FINANCIAL OVERVIEW
Slide 31: Historical Income Statement
Historical Income Statement Particulars (INR Mn) FY20 FY21 FY22 9M-FY23 Operational Income 7,447 4,039 8,304 9,658 Total Expenses 6,262 3,746 7,114 7,006 EBITDA 1,185 293 1,190 2,652 EBITDA Margins (%) 15.91% 7.25% 14.33% 27.46% Other Income 88 100 38 34 Depreciation 317 348 462 339 Finance Cost 304
Slide 32: Balance sheet
Balance sheet Assets (INR Mn) FY21 FY22 H1-FY23 Equity & Liabilities (INR Mn) FY21 FY22 H1-FY23 Non-Current Assets Equity Property, plant and equipment 14,263 14,006 13,956 Equity share capital 87 87 87 Capital work-in-progress 205 289 322 Other equity 8,085 8,218 8,356 Total Equity 8,172 8,305 8,44
Slide 33: Financial Highlights
Financial Highlights Operational Revenue (INR Mn) EBITDA (INR Mn) & EBITDA Margins PAT (INR Mn) & PAT Margins (%) (%) 2,652 3 5 .0 0 % 9,658 718 3 0 . 0 % 8,304 711 7,447 2 5 .0 0 % 27.46% 1,185 1,190 2 0 . 0 % 4,039 9.64% 7.36% 134 1 5 .0 0 % 15.91% 293 14.33% 1.61% (3.14%) 1 0 . 0 % 7.25% 5 .0 % F
Slide 34: Capital Market Data
Capital Market Data 120% Share Price Movement (Up to 31st December, 2022) 100% 80% 60% 40% 20% 0% -20% -40% Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Kuantum Sensex Price Data (31st December, 2022) INR Shareholding Pattern as on 31st December, 2022 Face Valu
Slide 35: Disclaimer
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 are in all events not current after the d
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