Apar Industries Limited · NSE:APARINDS
Apar Industries — Q3 FY19 Earnings Presentation
27 slides from Apar Industries's earnings presentation, Feb 1, 2021
Slide 1: Powering Ahead! Q3 FY19 Earnings Presentation
Powering Ahead! Q4 & FY17 Earnings Apar Industries Ltd. Presentation Q3 FY19 Earnings Presentation Corporate Presentation Apar Industries Limited Earnings Presentation | Q3 FY19 1
Slide 2: Safe Harbor
Safe Harbor This presentation may have certain statements that may be “forward looking” including those relating to general business plans and strategy of Apar Industries Ltd., its future outlook and growth prospects. The actual results may differ materially from these forward looking statements due
Slide 3: Q3FY19: Robust growth across all three businesses
Q3FY19: Robust growth across all three businesses Conductors - Revenue up 65% YoY with stronger order book (up 111% YoY) Order Book at all-time high of Rs 3,226 crore. New orders of Rs 1,586 crore, up 113% YoY. Intake from both Revenue 2,120 domestic & export markets. Includes Rs 616 crore order
Slide 4: India's power sector sees visible traction of regulatory initiatives
India’s power sector sees visible traction of regulatory initiatives India’s power demand is expected to grow at 6.5-6.8% CAGR in FY19-23 versus 3.8% CAGR in last five years, driven by high latent demand, rapid urbanization and the government’s thrust on rural electrification. (CRISIL Research) Gove
Slide 5: Table of Contents: Financial Performance
Table of Contents Financial Performance Business Performance Company Overview Annexure Apar Industries Limited Earnings Presentation | Q3 FY19 5
Slide 6: Q3FY19: Revenues up 41% YoY, EBITDA up 17% YoY
Q3FY19: Revenues up 41% YoY, EBITDA up 17% YoY Consolidated financials, Figures in Rs crore Consolidated Revenue EBITDA (Margin %) PAT (Margin %) Q3 FY19 2,120 115 (5.4%) 35 (1.6%) 41% 17% 12% Q3 FY18 1,500 99 (6.6%) 40 (2.6%) Revenue up 41% YoY driven by strong growth in all segments – Conductors,
Slide 7: 9MFY19: Strong 36% YoY growth in revenues
9MFY19: Strong 36% YoY growth in revenues Consolidated financials, Figures in Rs crore Consolidated Revenue EBITDA (Margin %) PAT (Margin %) 9M FY19 5,504 337 (6.1%) 92 (1.7%) 36% 18% 12% 9M FY18 4,054 285 (7.0%) 105 (2.6%) Revenue up 36% YoY with robust growth in all segments. EBITDA up 18% YoY dri
Slide 8: Table of Contents: Business Performance
Table of Contents Financial Performance Business Performance Company Overview Annexure Apar Industries Limited Earnings Presentation | Q3 FY19 8
Slide 9: Q3FY19: Conductors revenue up 65% YoY, EBITDA per MT up 18%
Q3FY19: Conductors revenue up 65%YoY, EBITDA per MT (post adj*) up 18%YoY Consolidated financials, Figures in Rs crore EBITDA EBITDA per MT EBITDA EBITDA post adj* Volume (MT) Revenue (Margin %) (Rs per MT) (post adj*) (Rs per MT) Q3FY19 1,052 37 (3.5%) 7,784 39 (3.7%) 8,269 47,234 65% 31% 15% 34% 1
Slide 10: 9MFY19: Conductors deliver strong growth as new segments gain traction
9MFY19: Conductors deliver strong growth as new segments gain traction Consolidated financials, Figures in Rs crore Revenue EBITDA EBITDA per MT EBITDA EBITDA post adj* Volume (MT) (Margin %) (Rs per MT) (post adj*) (Rs per MT) 9M FY19 2,586 10,874 122 (4.7%) 10,159 1,19,929 130 (5.0%) 55% 9% 26% 15
Slide 11: Q3FY19: Oil revenue up 28% YoY, amidst steep price/cost volatility
Q3FY19: Oil revenue up 28% YoY, amidst steep price/cost volatility Consolidated financials, Figures in Rs crore EBITDA EBITDA EBITDA EBITDA post Revenue Volume (KL) (Margin %) (Rs per KL) (post adj*) adj* (Rs per KL) Q3 FY19 727 45 (6.1%) 3,850 47 (6.4%) 4,042 1,15,765 28% 4% 12% 2% 11% 9% Q3 FY18 5
Slide 12: 9MFY19: Revenue from Oils up 23% YoY
9MFY19: Revenue from Oils up 23% YoY Consolidated financials, Figures in Rs crore EBITDA EBITDA EBITDA EBITDA post Revenue Volume (KL) (Margin %) (Rs per KL) (post adj*) adj* (Rs per KL) 9M FY19 1,934 98 (5.1%) 3,118 90 (4.6%) 2,853 3,14,364 23% 20% 24% 27% 31% 6% 9M FY18 1,572 123 (7.8%) 4,122 123
Slide 13: Q3FY19: Cables continue accelerated growth
Q3FY19: Cables continue accelerated growth Consolidated financials, Figures in Rs crore Revenue EBITDA (Margin %) EBITDA (post adj*) Q3 FY19 420 41 (9.7%) 41 (9.8%) 47% 35% 34% Q3 FY18 285 30 (10.6%) 31 (10.8%) * After adjusting open period forex Revenue up 47% YoY with strong growth across all sub-
Slide 14: 9MFY19: Revenue from Cables up 51% YoY, EBITDA up 67% YoY
9MFY19: Revenue from Cables up 51% YoY, EBITDA up 67% YoY Consolidated financials, Figures in Rs crore Revenue EBITDA (Margin %) EBITDA (post adj*) 9M FY19 1,176 123 (10.4%) 120 (10.2%) 51% 71% 67% 9M FY18 780 72 (9.2%) 72 (9.2%) * After adjusting open period forex Revenue up 51% YoY to reach Rs 1,1
Slide 15: Table of Contents: Company Overview
Table of Contents Financial Performance Business Performance Company Overview Annexure Apar Industries Limited Earnings Presentation | Q3 FY19 15
Slide 16: Apar Industries at a glance
Apar Industries at a glance 3rd largest manufacturer of Conductors, 4th largest manufacturer of transformer oil Market Leadership in the world and largest manufacturer of domestic cable in renewable sector. Over 400 types of specialty & automotive oils; largest range of conventional & Diverse Portfo
Slide 17: Strong presence across diverse businesses
Strong presence across diverse businesses Conductors Specialty Oils Cables Auto Lubes Since 1958 Since 1969 Since 2008 Since 2007 23% market share 45% market share Acquired Uniflex in 2008. Renewed focus in auto Total Capacity: 180,000MT. Total Capacity: 5,42,000KL. Grew sales from Rs 129 lubes with
Slide 18: Strategic investments to drive future growth
Strategic investments to drive future growth Strategic investments of Rs 660+ crore since FY13 for innovative/higher value added products. Conductors - Rs 267 crore • Commissioned Jharsuguda (Odisha) plant with 30,000 MT capacity in Sep’16, Further shifted 50,000 MT to Jharsuguda Plant (Total - 80,0
Slide 19: Competitive strengths
Competitive strengths • Top 3 producer in conductors and Sp Oil in the world. Market Leader in key segments • 60% market share in power transformer oil and 40% in distribution transformer oil in India. • Among largest bare overhead aluminum conductor manufacturers in India, market share of 23%. • Te
Slide 20: Significant expansion in Profitability over the years
Significant expansion in Profitability over the years. . . Margins increased across businesses led by increased share of value added products Consolidated financials, Figures in Rs crore Consolidated Revenue Exports contribution at 36% EBITDA margin at 7.1% 425 412 3,297 3,336 3,297 3,736 450 367 10
Slide 21: Huge global presence driving exports
Huge global presence driving exports Presence in 100 countries, Exports contributing 36% to FY18 Revenue Adopted a hub and spoke manufacturing and distribution model for specialty oils - allows efficient delivery cycles to global transformer OEM’s across Asia, Africa and Australia Presence in ov
Slide 22: Table of Contents: Annexure
Table of Contents Financial Performance Business Performance Company Overview Annexure Apar Industries Limited Earnings Presentation | Q3 FY19 22
Slide 23: Q3 FY19: Consolidated Profit & Loss Statement
Q3 FY19: Consolidated Profit & Loss Statement Particulars (Rs Cr) Q3 FY19 Q3 FY18 % Chg YoY Q2 FY19 % Chg QoQ 9MFY19 9MFY18 % Chg YoY Total Operating Income 2,119.1 1,498.9 41.4% 1,884.7 12.4% 5,499.3 4,171.2 31.8% Total Expenditure 2,004.7 1,401.3 43.1% 1,775.8 12.9% 5,166.9 3,889.5 32.8% Cost of R
Slide 24: Q3 FY19 Financials: Key Ratios and Capital Employed
Q3 FY19 Financials Key Ratios In %, Consolidated Q3 FY19 Q3 FY18 Q2 FY19 9MFY19 9MFY18 EBITDA Margin 5.5% 6.7% 6.0% 6.2% 7.2% Net Margin 1.6% 2.6% 1.5% 1.7% 2.6% Total Expenditure/ Total Net Operating Income 94.6% 93.5% 94.2% 94.0% 93.0% Raw Material Cost/ Total Net Operating Income 80.1% 79.2% 79.9
Slide 25: Q3 FY19: Consolidated Segment Analysis
Q3 FY19: Consolidated Segment Analysis Segment (Rs Cr) Q3 FY19 Q3 FY18 %YoY Q2 FY19 % QoQ 9MFY19 9MFY18 % Chg YoY Revenue Conductors 1,052.2 638.6 64.8% 898.2 17.1% 2,585.9 1,721.3 50.2% Transformer & Specialty Oils 727.3 568.4 28.0% 630.1 15.4% 1,933.6 1,629.9 18.6% Power & Telecom Cables 419.8 285
Slide 26: Shareholding pattern
Shareholding pattern As on December 31, 2018 Outstanding shares – 3,82,68,619 Others, 9.93% Major Non-Promoter Shareholders Shareholding (%) Corporate HDFC Trustee company 8.99 Bodies, 1.77% Reliance Capital 6.50 L & T Mutual Fund Trustee Ltd 6.05 DII, 23.85% Goldman Sachs 2.64 Promoter, 58.55% Raif
Slide 27: Contact us
Contact us For any Investor Relations queries, please contact: Sanjaya Kunder Rupam Prasad Seema Shukla Apar industries Ltd Phone: +91 83750 48395 Phone: +91 124 425 1443 Phone: +91 22 67800400 rupam.prasad@four-s.com seema@four-s.com Email: kunder@apar.com Safe Harbor: This presentation may have ce