Hle Glascoat Ltd · NSE:HLEGLAS
Hle Glascoat — Investor Presentation (June 2021)
35 slides from Hle Glascoat's investor presentation, June 2021
Slide 1: Investor Presentation
INVESTOR PRESENTATION June 2021 HLE Glascoat Limited (Formerly known as Swiss Glascoat Equipments Ltd.)
Slide 2: Safe Harbor
Safe Harbor This presentation has been prepared by and is the sole responsibility of HLE Glascoat Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or induc
Slide 3: Financial Performance
Financial Performance Key Operating Ratios and Financial Statements 3
Slide 4: Strong Operating Cashflows and Returns
Strong Operating Cashflows and Returns Return on Average Capital Return on Average Equity Employed (RoCE) (RoE) Fixed Asset Turnover 42.9% 50.3% 4.4x Total Debt Debt to Equity Rs. 93 Crs 0.7x Cash Generated from Debt / EBITDA Operations Dividend (FY21) 1.0x Rs. 48.5 Crs Rs. 4/- per share (40% of FV
Slide 5: Record Orderbook Position
Record Orderbook Position Order book (No. of months) Working Capital (Rs. In Crs.) Inventory Break-up (Rs. In Crs.) 6 148 12 48 69 148 72 73 6 6 97 57 Higher Inventory Most of the inventory on the back of is blocked in raw higher order book materials and WIP Inventory Trade Advances Trade Working Ra
Slide 6: Financial Performance: Q4 & FY21
Financial Performance: Q4 & FY21 Revenue from Operations EBITDA Profit After Tax +14% +25% +36% 488 96 53 430 76 39 +32% +39% +63% 150 29 18 113 21 11 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 Rs. In Crs EBITDA Margin (%) Profit After Tax Margin (%) +80 bps +190 bps +23
Slide 7: Segmental Performance: Q4 & FY21
Segmental Performance: Q4 & FY21 Filtration, Drying and Other Chemical Products* Rs. In Crs Glass Lined Equipment Equipment +21% +31% -43% 242 200 75 199 152 Segment Revenue +33% +78% -51% 43 71 67 21 53 38 10 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 +41% +122% -83% 44
Slide 8: Profit & Loss: Q4 & FY21
Profit & Loss: Q4 & FY21 Particulars (in Rs. Crs) Q4 FY21 Q4 FY20 Y-o-Y FY21 FY20 Y-o-Y Revenue from Contract with Customers 147.50 111.08 484.49 426.47 Other Income 2.25 2.10 3.93 3.34 Total Revenues 149.75 113.19 32% 488.42 429.81 14% Cost of Materials Consumed 76.76 59.93 230.42 229.80 Changes in
Slide 9: Balance Sheet: As on 31st March 2021
Balance Sheet: As on 31st March 2021 Particulars (in Rs. Crs) Mar-21 Mar-20 Particulars (in Rs. Crs) Mar-21 Mar-20 Non-Current Assets Equity Share Capital 13.08 12.93 Property, Plant and Equipment 110.08 89.39 Other Equity 121.61 63.08 Capital Work-in-Progress 3.12 10.01 Non Controlling Interest 0.1
Slide 10: Evolution of the Group
Evolution of the Group From Chemicals to Excellence in Engineering 10
Slide 11: Foundation of Patel Group in 1951
FOUNDATION OF PATEL GROUP in 1951 “ A farmer’s son, who obtained his PhD in Chemical Engineering from Columbia University New York, returned home in the year 1950 to contribute to a newly independent India. ▪ The foundation of Patel Group was laid by late Dr. K. H. Patel in 1951 with – ▪ ” Over the
Slide 12: Evolution from Chemicals to Engineering
Evolution from Chemicals to Engineering 2019 2003 HLE Glascoat HL Equipments & 2017 Ltd 1960 1981 R&D Facility HLE acquires Glascoat Operations of HLE & CDCC HL Engineers Engineering business starts HLE expands into Glass Lined Swiss Glascoat are Turnkey Chemical HLE begins operations, operations at
Slide 13: Merger of Leaders: Combined Performance is Greater than Individual
Merger of Leaders: Combined Performance is Greater than Individual In 2017, HLE Engineers Pvt. Ltd. acquired a controlling stake in Swiss Glascoat Equipments Ltd. • Market leader in filtration and drying • In 2019, the businesses of HLE • Second largest manufacturer of glass equipment with over 60%
Slide 14: Industry Reference for Excellence in Engineering
Industry Reference for Excellence in Engineering Market Leader in Filtration & Second Largest manufacturer of Drying Equipment with more than Glass Lined Equipment in India 60% share of the Indian Market. with nearly 30% market share. Customer Acquisition and Technology and Automation Procurement an
Slide 15: Preferred Supplier: Largest Player in Filtration & Drying
Preferred Supplier: Largest Player in Filtration & Drying Largest Technology HLE Glascoat market share Leader Competitor 1 “Preferred Supplier” Competitor 2 Others World’s Largest 0% 20% 40% 60% 80% Manufacturer of ANFDs Filtration & Drying Market Share in India 500 Filters p.a. 17% CAGR Over the pa
Slide 16: Preferred Supplier: Glass Lined Equipment
Preferred Supplier: Glass Lined Equipment 2nd Largest Player In Glass Lined Equipment ~30% Market Share In Glass Lined Equipment in India 16
Slide 17: De-risking and Diversification: A Business Imperative
De-risking and Diversification: A Business Imperative Product-wise Revenue Break-up Industry-wise Revenue Break-up ANF GLRs 8% 30% Others API & 5% Pharma Not more than 35% 37% Revenue is generated ANFD from a single 37% Speciality product Chemicals 42% GL Tanks & Others Other 16% Engineering product
Slide 18: Foundation for Growth
Foundation for Growth Enabling us to adapt to the changing needs of the business 18
Slide 19: Diversified Product Portfolio
Diversified Product Portfolio Filtration Glass Lined Equipment Agitated Nutsche Filters GL Reactors Agitated Nutsche Filter-Dryers GL Tanks Kilo-lab Filter-Dryers GL Heat Exchangers GL Columns GL Pipes & Fittings Drying GL Filters & Dryers Rotary Vacuum Paddle Dryers Rapid Disc Dryers/Coolers Spheri
Slide 20: Capabilities: Filtration, Drying and More
Capabilities: Filtration, Drying and More Continuous Pan Filter Oyster Filter Canada Germany 6m diameter pan for a continuous type 6m Diameter rotating type continuous filter rotating within the tolerance of filter, compliant with ASME, CE and JIS 3mm Standards MOC: Inconel MOC: SS316L High Pressure
Slide 21: Marquee Projects: Glass Lined Equipment
Marquee Projects: Glass Lined Equipment 32KL GMP Reactors 50KL Tank We consistently India India One of the largest glass lined One of the largest glass lined deliver GMP reactors manufactured vessel supplied in the Indian and sold in the country. market followed by a repeat order. Largest Project Or
Slide 22: State-of-the-art Manufacturing Facilities
State-of-the-art Manufacturing Facilities MAROLI WORKS ANAND WORKS HL EQUIPMENTS, SILVASSA • 10,000 m2 built-up area with nearly 8,000 m2 • 20,000 m2 floor area covered by 33 EOT cranes. • 4,200 m2 floor area covered by 8 EOT cranes. covered under 26 EOT cranes. • Five state-of-the-art SCADA control
Slide 23: Competitive Edge: Product Engineering
Competitive Edge: Product Engineering “ Pilot Plant and R&D Facility: ▪ The only pilot plant & R&D Facility of its kind among any process equipment manufacturer. Chemical Engineering Solution ▪ Our pilot plant enables our customers to conduct thorough Providers and not just ” trials on out ANFDs and
Slide 24: Competitive Edge: Process Engineering
Competitive Edge: Process Engineering Special Purpose Machines (SPMs) and Tooling ▪ Optimized every step of the fabrication process with SPMs developed and built by our team of process engineers. ▪ Our SPMs dramatically reduce the manhours required for a job and increase process repeatability. At th
Slide 25: Geographical Diversification
Geographical Diversification Strong Domestic Sales Network and Global Footprint Canada Europe Russia Channel Partner Channel Partner Channel Partner Delhi NCR Sales Office USA Ahmedabad Channel Partner Channel Partner Vadodara Thailand Anand Channel Partner Israel Channel Regd. Office Channel Partne
Slide 26: Marquee Client Relationships
Marquee Client Relationships 26
Slide 27: Experienced Management Team
Experienced Management Team Himanshu Patel He is a qualified Electrical Engineer graduating from the University of Bombay in the year 1976 and has more than 45 years of experience in the business of chemicals and engineering. Nilesh Patel He has completed his BSc (Chemistry) from the University of B
Slide 28: Professional Management Team
Professional Management Team Vice President Vice President Sr. Vice President Strategic Advisor Engineering Sales & Marketing Corporate Development Total Experience: 35 years+ Total Experience: 32 years+ Total Experience: 20 years+ Total Experience: 17 years+ B.Com, CA B.E Mechanical B Com. PG - IT
Slide 29: Robust Systems
Robust Systems 1 01 ASME Accreditation Authorized to use ASME ‘U’, ‘NB’ and ‘R’ Stamps for pressure vessels. 2 CE Compliance 02 Designing and manufacturing in compliance with CE as per Pressure Equipment, ATEX, Machinery, Electromagnetic, Low Voltage and other Directives. 3 03 JIS Compliance Designi
Slide 30: Future Outlook
Future Outlook Responding to the Large Orderbook by ramping up capacities 30
Slide 31: Identified Thrust Areas for Growth
Identified Thrust Areas for Growth Industry Potential Strong Balance Sheet Tailwinds in the various chemical sectors will continue to drive Robust liquidity position with increasing profit margins combined growth. Recent policy changes and need for domestic sourcing with a reducing working capital c
Slide 32: Capacity Ramp-up for Future Growth
Capacity Ramp-up for future growth Fabrication Shop at Maroli Assembly Shed at Anand Planned addition of manufacturing shed adjacent to the Commissioned assembly shed at Anand thereby existing facility at Maroli adding over 25% more floor area for enhancing the assembly capacity by around 50%. This
Slide 33: Funds Raised of Rs.100 crores
Funds Raised of Rs.100 crores ▪ Funds raised to the tune of Rs. 100.00 crores through • Fresh equity shares (Rs. 20 crores) and • Convertible warrants (Rs. 80 crores) ▪ The proceeds of the issue to be utilized for the growth capital and expansion/ diversification requirements, whether organic or ino
Slide 34: CSR Activities during CoVID 19
CoVID Vaccination • Organized various vaccination camps at factory and everyone above 45 is vaccinated • More than 300 people in the range of 18 to 45 have been vaccinated at camps in our factory • Continuing to arrange such camps and hope to get everyone vaccinated in a few months Facilitated Oxyge
Slide 35: Thank You
Thank You Company Name: HLE Glascoat Limited (Formerly known as Swiss Glascoat Equipments Ltd.) CIN: L26100GJ1991PLC016173 Contact Person: Email Address: Mr. K.V. Unnikrishnan, CFO investor.relations@glascoat.com Investor Relations Advisors : Mr. Deven Dhruva Ms. Neha Shroff +91 9833373300 +91 77380