Vardhman Special Steels Limited · NSE:VSSL
Vardhman Special Steels — Q4 FY2025 Earnings Presentation
36 slides from Vardhman Special Steels's earnings presentation, Apr 22, 2025
Slide 1: Regulation 30 Compliance Letter - Vardhman Special Steels
® l Vardhman VARDHMAN SPECIAL STEELS LIMITED Vardhman Delivering Excellence. Since 1965. CHANDIGARH ROAD LUDHIANA-141010, PUNJAB T: +91-161-2228943-48 F: +91-161-2601048 E: secretarial.lud@vardhman.com Ref. VSSL:SCY:APRIL:2025-26 Dated: 22.04.2025 BSE Limited, The National Stock Exchange of India Lt
Slide 2: Result Update Presentation Q4 & FY25
Result Update Presentation Q4 & FY25
Slide 3: Disclaimer
This presentation has been prepared by Vardhman Special Steels Limited (the “Company”) solely for information purposes and does not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any cont
Slide 4: Table of Contents
" TABLE OF GONTENTS _é FINANGIAL HIGHLIGHTS ~~ COMPANY OVERVIEW NN > BUSINESS Migald a jg A WAY AHEAD Ne
Slide 5: Financial Highlights
Slide 6: New greenfield steel plant in Punjab
The company is setting up a new Greenfield steel plant in the state of Punjab for the manufacturing of special and alloy steel. Planned capacity is 5,00,000 MT per annum of billet production with commensurate Rolling Mill and testing facilities The total capital expenditure for the project is es
Slide 7: Q4 FY25 management commentary
“ In Q4 FY25, our revenue remained flat on a year-on-year basis, on account of higher than expected price reduction. Total revenue stood at Rs. 428.04 crore, with EBITDA at Rs. 38.62 crore and PAT at Rs. 19.73 crore. EBITDA per ton was Rs. 7,174 – mainly impacted by reduced realizations while raw ma
Slide 8: Q4 FY25 profit and loss statement
INR Crore Q4 FY25 Q4 FY24 Y-o-Y % Q3 FY25 Revenue From Operations 428.04 439.41 (2.59)% 426.77 Other Income 7.18 8.71 6.97 § Volumes for Q4 FY25 stood Total Income 435.22 448.13 433.74 at 53,834 tonnes – YoY Cost of Materials Consumed 220.40 277.29 305.26 increase of 3.29%. Purchases of Stocks 0.00
Slide 9: FY25 profit and loss statement
INR Crore FY25 FY24 Y-o-Y % Revenue From Operations 1,764.41 1,661.36 6.20% Other Income 29.11 29.82 § Vo l u m e s fo r F Y 2 5 sto o d a t Total Income 1,793.52 1,691.18 2,19,996 tonnes – YoY increase Cost of Materials Consumed 1,093.68 1,030.62 of 12.80%. This also includes Purchases of Stocks 0.
Slide 10: Balance sheet as on 31st March 2025
INR Crore As on 31st Mar’25 As on 31st Mar’24 INR Crore As on 31st Mar’25 As on 31st Mar’24 Equity 797.92 719.35 Non-Current Assets 474.76 365.39 Equity Share Capital 81.73 81.46* Property Plant & Equipment 308.29 324.10 Other Equity 716.19 637.89 Capital work in progress 117.03 0.99 Non-current Lia
Slide 11: Company Overview
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Slide 12: Amongst India's leading steel bar producers for automotive applications
Amongst India’s Leading Steel Bar Experienced Management Team State-of- art manufacturing facilities Quality Standards, Assurance Producers for Automotive Applications § Significant experience in Steel § Cutting-edge manufacturing & Certifications § Incorporated in May 2010 Industry technology § ISO
Slide 13: What we were: company history
What We were… 1973- 2011 2012 - 2015 2016 - 2017 2018 – Till § 1973 – Started as Oswal Steels - § 2012 - Listed on BSE & NSE § Dec 2016 – Upgraded § Feb.Date 2018 – QIP of Rs 50 Cr. 50,000 TPA capacity of special transformer & allied § June 2018 – CRISIL upgraded credit rating & alloy steels § 2013
Slide 14: Board of Directors
… Mr. Rajeev Gupta Mr. Sachit Jain Chairman & Non-Independent Director Vice Chairman & MD § B. Tech from BHU/IIT, Varanasi and MBA (IIM, Ahmedabad) § B. Tech (Electrical) - IIT, New Delhi, MBA (Gold medallist) - IIM, § Rich experience of more than 41 years - One of Country’s Ahmedabad and Owner/Pres
Slide 15: Board of Directors (continued)
… Mrs. Vidya Shah Mr. Rakesh Jain Independent Director Independent Director § MBA from Indian Institute of Management, Ahmedabad § Ph.D. in Polymers from University of Akron § 11 years of career in investment banking - ICICI, Peregrine and NM § Worked in Advanced Technology Group at GE Electro-mater
Slide 16: Business Overview
Slide 17: Hot Rolled Bars and Bright Bars
Hot Rolled Bars Bright Bars § Diameter Size : Increased from 25-70 § Size : 14.66 to 78 mm (Peeled), 18 to MM in 2012 to 16-120 MM 55.25 mm (Drawn)
Slide 18: Automotive component applications
• Axle Gears • Transmission Gear • Stabilizer Bar • Drive-Shaft • Knuckle Spindle • Tie-Rod • Piston • Bearings • Connecting Rod • Companion-flange • Camshaft • Axle Shaft • Center Velocity Joint • Piston-Pin • Crankshaft • Steering-Yoke • Differential Gears • Steering Shaft
Slide 19: Steel Melting Shop, Rolling Mill, Bright Bars
Steel Melting Shop Rolling Mill Bright Bars Annual Capacity : 3,00,000 TPA Annual Capacity : 2,00,000 TPA Annual Capacity : 48,000 TPA § 35 MT Ultra High Power (UHP) Eccentric § Rolling Mill installed in 2013-14 § Bar Peeling & Centreless Grinding Bottom Tapping (EBT Type) § Mill with complete autom
Slide 20: Process flow
PROGESS FLOW Sponge, DRI, PIG IRON, Shredded Scrap ae = Domestic Shipment a i) rr” Final Inspection and Dispatch ‘Vaccum Degassing Unit Continous Casting Facility Laddle Refining Unit As Rolled Bar “Hot Rolled" Billet A“ Reheat Furnace Rolling Mill
Slide 21: Electric Arc Furnace, Refining, Casting, Degassing
Electric Arc Furnace Two Ladle Refining Furnace Continuous Casting Machine Vacuum Degassing
Slide 22: Rolling Mill and Bright Bar Shop
Rolling Mill Bright Bar Shop Reheating Furnace Spherodizing & Annealing Machines Rolling Mill Bright Bar Shop
Slide 23: Straightening, chamfering and testing
MFLT Straightening Chamfering Acceptance Criteria: Straightness : Bar ends free from 0.2x10mm 2mm / meter Burr Shot Blasting UST Acceptance Criteria: SDH - 0.8x10mm, FBH - 0.8 & 1.2mm
Slide 24: Ensuring highest levels of quality and compliance
§ Spectrometer: ARL 4460:1454 for Chemical Analysis. Can check 32 different elements § CS - 230 : Analyzer for Carbon & Sulfur content in steel § LECO gas analyzer: TC 600 H2, N2, O2 Analyzer § Mobile Spectro and XRF for Mix up Testing of Bars § Mechanical and Metallurgical Testing Lab: § Rockwell H
Slide 25: Warehouse network
Bilaspur § One Owned Warehouse § Bilaspur Haryana Rudrapur § Five Leased Warehouses in India § Bangalore Aurangabad § Chennai § Rudrapur Pune § Pune § Aurangabad Bangalore Chennai
Slide 26: Key strengths
State of Art Manufacturing Facilities Diversified Product offerings Rich Management Experience and advanced R&D Capabilities § Manufactures diverse range of § Dynamic & rich experience in special § Well equipped with latest upgraded products with wide applications across steel sector Technology Mach
Slide 27: End-use segments served
Cars Two Wheelers HCL/LCVs Auto Components Tractors Off Highway Vehicles
Slide 28: Export markets
Russia Germany Italy Japan Turkey Vietnam Taiwan Thailand 5% of FY24 sales from exports
Slide 29: Way Ahead
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Slide 30: Leadership and training initiatives
Centre for Creative Leadership ‘Manav Vikas Kendra’ ‘EKLAVYA - B.Sc. to B. Tech.’ § CCL - US based Organisation – offers § Training programs – functional, § New Initiative undertaken leadership programs across 160 countries, attitudinal, skill development, § Formalized training programs that FT top1
Slide 31: Aichi Steel alliance phases
Gasoline § Technology and technical know how shared with VSSL to make steel for Toyota companies and other OEM’s Phase - 1 § To raise quality of steel of VSSL to be supplied to future ready cars like Hybrid, Hydrogen fuel and Electric Hybrid § Increase VSSL production capacity with aim to achieve hi
Slide 32: Possibilities and production volume roadmap
Possibilities § Future Ready products - Patent steel grades developed for special application in EV’s, hybrid and conventional cars § Own In House R&D – Toyota Car Company takes input from Aichi on special steel to be developed car parts. It means we can target more approvals for VSSL in Maruti Suzu
Slide 33: Phased plan with Aichi
Phase 3 Production 300,000MT / year Phase 2 Export 60,000 MT / year • Initiate CAPEX to increase production capacity to • Vardhman may look forward to 250,000 MT in first phase Forging business in India • FY 23: Year of manufacturing of Trial orders for Aichi • Anticipate to receive orders from Aich
Slide 34: Environment and Social
Environment • Committed towards cleaner, greener and healthier environment by implementing stringent standards & policies for Environment in our unit • Making steel through Electric Arc Furnace route which is significantly more environment friendly than Blast Furnace route. Most of our competitors a
Slide 35: Governance
Have In-house oxygen generation plants for our captive consumption. During Covid time, we had served society by supplying oxygen cylinders. During 2nd wave of Covid, we have been able to serve for 50% requirement of oxygen of Ludhiana city Employee well being: ü We hadn’t laid off anyone during
Slide 36: For further information, please contact
For further information, please contact 534392 VSSL VSSL IN VARM.BO Company Investor Relations Advisors Vardhman Special Steels Limited Adfactors PR Pvt. Ltd. Mr. Sanjeev Singla Ms. Disha Shah Ms. Samruddhi Bane +91 9699060134 +91 9619624264 sanjeevsingla@vardhman.com disha.shah@adfactorspr.com samr
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