Graphite India Limited · NSE:GRAPHITE
Graphite India — Investor Presentation (September 2021)
25 slides from Graphite India's investor presentation, Sep 3, 2021
Slide 1: Covering letter to stock exchanges
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Slide 2: Corporate Presentation August 2021
NSE: GRAPHITE, BSE: 509488 Corporate Presentation August 2021
Slide 3: Important Notice
Important Notice Forward Looking Statements This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Graphite India’s future business develop
Slide 4: Discussion Agenda
Discussion Agenda Investment Highlights_______________________________________ 4 -5 Milestones _______________________________________________ 6 Business Overview _________________________________________ 7 - 12 Financial Performance ______________________________________ 13 - 18 Industry Dynamics _
Slide 5: Investment Highlights
Investment Highlights Graphite India is globally well positioned through its product quality, scale of operations and manufacturing platform base Ranked 3rd Largest Leading Graphite 98,000 mt Graphite Electrode Electrode Manufacturer Capacity with Plants at Manufacturer in the in India three Locatio
Slide 6: Investment Highlights
Investment Highlights Global Market Position Best-in-Class Operations Attractive Industry Dynamics Strong Financial Performance ❖ Largest Indian producer of ❖ High quality; around 37% of ❖ Consolidated industry with ❖ Consistent cash flows to support graphite electrodes by total electrode production
Slide 7: Milestones
Milestones Over 50 Years of Experience in the Graphite Electrode Industry -Backward integration Further Predecessor through expanded company formed acquisition of Durgapur plant by Bangur family Fully integrated two CPC Graphite India capacity from Expanded 34K to 54K MT and Great Lakes plant establ
Slide 8: Business Overview: Graphite India Highlights
Business Overview Graphite India Graphite and Carbon* Others* 93% 7% • Core expertise in value-added Ultra-High Power (UHP) electrodes • Power generation capacity of 18MW through hydel route. It is used primarily • 98K tonnes/year (TPA) capacity, with flexibility to produce all grades of for outside
Slide 9: Strategically Located Manufacturing Facilities
Business Overview Strategically Located Manufacturing Facilities Caters to European Cater to global Countries markets Barauni Durgapur Nurnberg Nasik ❖ The Indian plants are located close to the Graphite India is the largest Indian producer of three main ports of India, offering logistic graphite el
Slide 10: Diversified Premier Global Customer Base
Business Overview Diversified Premier Global Customer Base EUROPE & UK - RIVA GROUP, ITALY FERALPI, ITALY PITTINI, ITALY ACERINOX, SPAIN CANADA – SIDENOR, SPAIN ALTA STEEL OUTOKOMPU, UK RUSSIA – ARCELOR MITTAL ( DOFASCO) NORTH AMERICA - HÖGANÄS, SWEDEN TURKEY - NLMK ARCELOR MITTAL ( CONTRECOEUR) NUC
Slide 11: Global Player with Strong Profitability
Business Overview Global Player with Strong Profitability Graphite Electrode Capacity (in thousand tonnes / Year)2 GIL Exports1 54.0% 44.4% 4,243 46.0% 37.4% 37.4% Rs. Crore 230 210 98 96 1,231 1,423 80 689 733 GrafTech Showa Denko Graphite India Tokai Carbon HEG 2017 2018 2019 2020 2021 Total Expor
Slide 12: Group Organizational Structure
Business Overview Group Organizational Structure Graphite India Limited Carbon Finance Graphite Limited International B.V 100% Subsidiary 39% Associate General Bavaria Bavaria Carbon Bavaria Carbon Graphite Cova Graphene Electrodes GmbH Holdings GmbH Specialties GmbH GmbH Corporation (United States)
Slide 13: Senior Management Team
Business Overview Senior Management Team Key Executives Background K.K. Bangur • Over 32 years of experience in managing the affairs of companies and its business activities Chairman • Has been a Director of Graphite India since July 1988 and Chairman since July 1993 • Chairman of the Shareholders/I
Slide 14: Consolidated Financial Performance
Consolidated Financial Performance Q4 y-o-y Q3 q-o-q Year Ended y-o-y Growth Growth Growth (Rs. Crore) FY2021 FY2020 FY2021 FY2021 FY2020 Comments (%) (%) (%) Net Sales 565 602 (6%) 499 13% 1,958 3,094 (37%) (Excluding Other Income) On a Y-o-Y basis sales was Other Income 56 23 143% 142 (61%) 316 17
Slide 15: Standalone Financial Performance
Standalone Financial Performance Q4 y-o-y Q3 q-o-q Year Ended y-o-y Growth Growth Growth (Rs. Crore) FY2021 FY2020 FY2021 FY2021 FY2020 Comments (%) (%) (%) Net Sales 563 548 3% 453 24% 1,839 2,875 (36%) (Excluding Other Income) On a Y-o-Y basis sales was Other Income 53 18 194% 139 (62%) 306 157 95
Slide 16: Annual Performance Trends: Net Sales and Operating Profit
Annual Performance Trends Consolidated Standalone 6,737 7,858 Net Sales 2,983 2,875 3,291 3,094 1,958 1,839 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 65% 67% Operating Profit 48% 4,403 5,233 47% 18% 2% 1,441 1,533 95 111 3% 6% 62 322 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 Margins% 15 * All numbers in
Slide 17: Annual Performance Trends: Net Profit and Capacity Utilization
Annual Performance Trends Consolidated Standalone 43% 42% 3,396 31% 31% Net Profit 2,806 11% 1,032 1% 914 45 1% (32) 199 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 95% 95% Capacity Utilization % 86% 86% 69% 64% 55% 58% FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 Margins% 16 * All numbers in Crores unless s
Slide 18: Leverage Profile
Leverage Profile Significant financial flexibility available for future organic and inorganic growth Consolidated Leverage Profile Standalone Leverage Profile (Rs. Crore) Mar-21 Dec-20 Sep-20 June-20 Mar-20 (Rs. Crore) Mar- 21 Dec- 20 Sep- 20 June- 20 Mar- 20 Cash & Cash Cash & Cash 2,957 2,839 2,72
Slide 19: Annual Segment Performance
Annual Segment Performance Consolidated Segment Performance Standalone Segment Performance Full Year y-o-y Full Year y-o-y (Rs. Crore) FY2021 FY2020 Growth (%) (Rs. Crore) FY2021 FY2020 Growth (%) Graphite and Carbon 1,813 2,995 (39)% Graphite and Carbon 1,719 2,780 (38)% Others 145 99 46% Others 12
Slide 20: Global Steel and Graphite Electrode Industry
Industry Dynamics Global Steel and Graphite Electrode Industry Global Steel Production Process Wise Steel Production 2020 1,814 1,869 1,876 5.6% 1,732 30.1% 1,621 1,629 44.5% 57.6% Million Tonnes 28.0% 28.8% 27.7% 73.2% 25.1% 25.3% 26.3% 90.8% 94.4% 69.9% 485 522 518 493 55.5% 407 412 42.4% 26.3% 9.
Slide 21: Steel Industry Outlook and Dynamics
Steel Industry Outlook and Dynamics ▪ As per World Steel Association (WSA) Global crude steel production was 486.9 Mt in Q1 CY2021, an increase of 10.0% y-o-y and 1.2% on q-o-q basis. Global crude steel production excluding China registered an increase of 3.6% and 2.9% on y-o-y and q-o-q basis respe
Slide 22: Graphite Electrode Industry
Graphite Electrode Industry ▪ Since 2016 China has closed about 300 million tonnes of outdated and highly polluting steel production capacity but around 908 million tonnes still remain. Such closures are being replaced by environment friendly electric arc furnaces (EAF’s) ▪ As per S&P Global Platts
Slide 23: Industry Dynamics: Global Steel Production Share
Industry Dynamics Over the years, China remains the biggest crude steel producer with a 56.7% share in 2019 vs 45.4% in 2010 & 18.1% in 2001 Global Steel Production 2001 Global Steel Production 2010 Others China Others 15.7% 18.1% North America 11.8% China India North America 7.9% 45.4% 3.3% 14.3% C
Slide 24: EAF Steel Production Process
Industry Dynamics EAF Steel Production Process Electric Arc Furnace Graphite Electrodes Electrode Clamp/Power Supply Water Cooled Roof Molten Steel Slag Door Arc Zone EBT(Eccentric Bottom Tap Hole) Hearth Ladle Tilting Cylinder Rack & Pinion LTC(Ladle Transfer Car) ❖ An electric arc furnace (EAF) is
Slide 25: Graphite India Limited contact details
Graphite India Limited (CIN: L10101WB1974PLC094602) 31 Chowringhee Road, Kolkata 700 016 Phone: +91 33 4002 9600 Fax: +91 33 4002 9676 www.graphiteindia.com M.K. Chhajer +91 33 40029622 Graphite India Limited mkchhajer@graphiteindia.com Ravi Gothwal / +91 22 6169 5988 Vikas Luhach Churchgate Partner
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