Welspun Corp Limited · NSE:WELCORP
Welspun — Investor Day (November 2024)
35 slides from Welspun's investor day presentation, Nov 12, 2024
Slide 1: Cover letter to stock exchanges
WCL/SEC/2024 November 12, 2024 To, BSE Ltd. National Stock Exchange of India Ltd. Listing Department, Exchange Plaza, P. J. Towers, Dalal Street, Bandra-Kurla Complex, Mumbai – 400 001. Bandra (E), Mumbai – 400 051. (Scrip Code: Equity - 532144), (Symbol: WELCORP, Series EQ) (NCD – 960491 and 973309
Slide 2: Investor Day Presentation for Welspun Corp Ltd
Investor Day Presentation for Welspun Corp Ltd Date: 12th November, 2024
Slide 3: Strategic Investments
STRATEGIC INVESTMENTS Anjar Plant, Gujarat 2
Slide 4: Welspun Corp at a Glance
Welspun Corp at a Glance Turnover Market cap (FY24) (As on Nov‘24) Workforce Global Reach Sustainability Manufacturing Facilities PIPE SOLUTIONS | BUILDING MATERIALS © Copyright 2023. All Rights Reserved.
Slide 5: Leadership Team
LEADERSHIP TEAM Vipul Mathur Percy Birdy CFO Godfrey John MD & CEO CEO, Pipe Vertical Anuj Burakia Ashish Prasad Gerald Mosley CEO, Specialty CEO, Sintex CEO, Welspun Steel USA Nitin Agarwal Mohammed A Bindu Nambiar CEO, Steel Al-Shaheen HR - Head Vertical CEO, EPIC (KSA)
Slide 6: KAL (Yesterday) – Our Continuing Legacy
Slide 7: Welspun Corp – Our Legacy (Line Pipes)
WELSPUN CORP – OUR LEGACY (LINE PIPES) 2011 LSAW Mill at Anjar 2010 1998 2000 2008 2009 HSAW Acquired a 2013 2019 HSAW Mill in LSAW Mill HSAW Mill in HSAW Mill in Mill in Controlling Stake HFIW Mill HSAW Mill in 1995 Little Rock, Dahej, in Dahej, Anjar, Mandya, in the HSAW Mill in Little Bhopal, Mad
Slide 8: Welspun Corp – Our Legacy (Line Pipes)
WELSPUN CORP – OUR LEGACY (LINE PIPES) 2004 World’s Deepest Pipeline in GULF OF MEXICO 2006 World’s Heaviest Pipeline in MIDDLE EAST 2008 World’s Highest Pipeline in PERU 2008-09 World’s Longest Pipeline in the TRANS-CANADA 2017 Supplied to Prestigious Hasbah Project, Aramco 2022 Successfully Comple
Slide 9: AAJ (Today) – The Transformation
AAS coo — THE TRANSFORMATION
Slide 10: Driving the Transformation Journey
DRIVING THE TRANSFORMATION JOURNEY 2021 Entry into Stainless Steel Bars, Pipes & 2022 2023 Tubes Commissioned DI Acquired National Iconic Pipes Facility Brand – Sintex Forayed into Rebars
Slide 11: Transformation: Business Verticals
TRANSFORMATION: BUSINESS VERTICALS Pipe Solutions Building Materials LARGE DIAMETER DUCTILE IRON STAINLESS STEEL WATER STORAGE TANKS TMT REBARS LINE PIPES PIPES BARS & PIPES & PLASTIC PIPES Our position Amongst the Integrated producer Integrated National iconic Integrated producer Top 3 from steel-m
Slide 12: Welspun Corp at a Glance: The Present Scenario
Welspun THE Corp PRESENT at a Glance SCENARIO Stainless Steel Bars & Pipes Sintex: Water Storage Tanks & Plastic Pipes Ductile Iron Pipes • Complete turnaround – FY24 • National Iconic Brand with Pan-India Presence • Established as a credible player • Niche domestic approvals – NTPC, • Operations co
Slide 13: Focus: Core Businesses and Core Geographies
FOCUS: CORE BUSINESSES AND CORE GEOGRAPHIES INDIA • Line Pipes • DI Pipes • Stainless Steel USA: Line Pipes Pipes & Bars • Sintex: WST and Plastic Pipes • TMT Rebars KSA: Line Pipes & DI Pipes
Slide 14: KAL (Tomorrow) – Driving Value Creation
ay KAL cromorrow — DRIVING VALUE CREATION
Slide 15: Our Way Forward
OUR WAY FORWARD DI Pipes Greenfield DI Greenfield Capacity Pipes plant in Foray into HFIW capability LSAW plant in Plastic Pipes Expansion in KSA enhancement in KSA India incl products USA Acquisition of like OPVC HSAW capacity Weetek Plastics addition in Bhopal DRI Plant in Value added Products, An
Slide 16: Line Pipes
LINEPIPES LINE PIPES • Global Presence • Fossil fuel to stay – necessitating need for pipelines • Geo-politically every country striving for energy security • USA – “Drill Baby Drill” High Optimism – Additional 4-5 NG pipelines • New Energy (Hydrogen and Carbon Capture) in USA and Europe • KSA – Con
Slide 17: Ductile Iron Pipes
DUCTILE IRON PIPES • Presence in 2 large markets where water is critical (India and KSA) • Nal-Se-Jal, Irrigation, AMRUT are signature schemes in India • Robust demand in MP, Rajasthan, Maharashtra – proximity to Welspun • Port-based facility in India (competitive advantage) facilitating exports • K
Slide 18: Specialty Steel: SS Bars, Pipes & Tubes
SPECIALTY STEEL: SS BARS, PIPES & TUBES • The only integrated facility in India - from SS Steel Making to Tubes • Serving Global Markets with customers spread over >15 countries • Accreditations from marquee customers: NTPC, BHEL, ISRO, NPCIL, EIL etc. • Robust Indian domestic demand in attractive a
Slide 19: TMT Rebars
TMT REBARS • Enhancing DRI capacity for profitability improvement and quality enhancement • Targeting a robust market coverage in to special value added segments. Like Epoxy coated TMT, CRS grade, Cut and bend facilities etc • Focusing on high-value markets, including Coastal roads, ETPs / STPs, Maj
Slide 20: Sintex
SINTEX Investment in a phased manner over 3-4 year period primarily in Plastic Pipes Spend capital gradually and responsibly Large capex investment post foundational work completion Weetek acquisition to support test market at low cost Plastics Pipes Market (INR Cr) ~1,30,000 Acquisition Pilot P
Slide 21: Sintex: Robust Plan to Execute – Transform & Invest
SINTEX: ROBUST PLAN TO EXECUTE- TRANSFORM & INVEST Track Record of Financial Prudence to Prevail Pan India Presence: Quicker TAT Differentiated Play in High growth Industry Jammu Focus on Demand generation (pull based) : i.e. Retailers and Existing \ New Plumbers driven; along with Distributor. (V
Slide 22: Governance, Green, Growth
GOVERNANCE GREEN GROWTH Driven by Professional Board Increased adoption of renewable energy Strategic investments in Core Geographies- All Key Board Committees led by from existing 2 MW to 46 MW in 2 years India, USA, KSA independent directors Commitment towards carbon & water Investment
Slide 23: Strategic Investments
STRATEGIC INVESTMENTS MANUFACTURING PLANT IN BHOPAL, MADHYA PRADESH 22
Slide 24: Strategic Investments for Future Growth
STRATEGIC INVESTMENTS FOR FUTURE GROWTH Capacity Investment Sr No Project Target Completion (KMTPA) (Rs Crore) 1 HFIW Plant in USA (Ongoing) 350 840 March 2026 DI Pipes Plant in KSA (New) 250 2 1660 April 2026 LSAW Plant in KSA (New) 350 3 Additional Spiral line in Bhopal (New) 60 52 May/ June 2025
Slide 25: Growth Roadmap
GROWTH ROADMAP KAL (Tomorrow) • Revenue Growth: 10% to 12%CAGR • EBITDA Growth: >15% CAGR • ROCE: >20% AAJ (Today) • Net Debt/ EBITDA < 1 • Revenue: Rs 17,000 Cr • Improved EBITDA Margin • EBITDA: Rs 1,700 Cr • ROCE: ~20% • Net Debt/ EBITDA < 1 Share of Non-Line • Stable EBITDA Margin Pipe businesse
Slide 26: Key Drivers for Value Creation
KEY DRIVERS FOR VALUE CREATION Diversified Product Mix with B2B + B2C Growth in Revenue and Profits with Improved Margin Profile Prudent Capital Allocation (Exit Non-Core Asset – Shipyard) Zero Net Debt Goal Strong Governance Unwavering Commitment towards Sustainability Complete Water
Slide 27: Sustainability
SUSTAINABILITY SUSTAINABILITY PLANT IN LITTLE ROCK, ARKANSAS, USA
Slide 28: ESG
ESG 59 Environment Social Governance CRISIL 52 48 73 Across in Industrials & Metals (Ferrous & Non- ESG RATINGS Ferrous) sectors 19% over previous rating 68 Environment Social Governance DJSI ESG RATINGS Ranked in top percentile In Global Steel 4 70 65 68 Sector Long Term Carbon Water Zero Sustainab
Slide 29: Governance
GOVERNANCE Robust Compliance One Welspun Policies • BIG 4 auditors • ESG Committee at the board level • Transparent communication with stakeholders • Human Resources • Resilient ERM mechanism in place • IT / Digital Initiatives • Driven by professional Board Independent Directors Professionally Mana
Slide 30: Our People
OUR PEOPLE Welspun Corp is Proud to be Great Place To Work Certified OCT 2624-OCT 2025 Welspurt Welspun Spec! Certified OCT 2024-OCT 2025 INDIA
Slide 31: HR Initiatives
HR INITIATIVES Awarded GPTW Certification for WCL and WSSL Building a Culture of Learning, Innovation, Trust & Transparency and Endurance (LITE) Sustainable talent pipeline: Campus to Corporate: A young talent hiring program to infuse fresh talent and Succession planning to ensure a readily availabl
Slide 32: Digitalization
DIGITALIZATION. ff ~~
Slide 33: Digital Transformation – Key Drivers
DIGITAL TRANSFORMATION – KEY DRIVERS Sales & Marketing Real-time Monitoring IT Modernization Production Planning & Enhanced Customer Technology Interventions Control Industry 4.0 Experience Value Chain Focus Potential Benefits Production Operations Mobile Computing Cost Optimization Quality Assuranc
Slide 34: Summary: Investment Thesis
Summary: Investment Thesis 1. Global Presence 2. B2B + B2C 3. Profitability Focused 4. To be a Solution Provider 5. ROCE > 20% 6. Return to Shareholders be a Priority VALUE CREATION FOR 7. Governance, Compliance, Ethics – Non-negotiable STAKEHOLDERS 8. Sharp Focus on Sustainability 9. People Develop
Slide 35: Thank You!
Thank You! Welspun Corp Limited CIN: L27100GJ1995PLC025609 For fur ther queries, contact Name : Mr. Goutam Chakraborty Name : Mr. Salil Bawa Email : goutam_chakraborty@welspun.com Email : salil_bawa@welspun.com www.welspuncorp.com Connect with us: /TheWelspunGroup /WelspunGroup /welspungroup /compan