Aegis Logistics Limited · NSE:AEGISLOG

Aegis Logistics — 9M FY2015 Earnings Presentation

32 slides from Aegis Logistics's earnings presentation, January 2015

1. Slide 1: Aegis Logistics Limited

   Aegis Logistics Limited January 2015

2. Slide 2: Safe Harbour

   Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Aegis Logistics Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu

3. Slide 3: Key Highlights

   Key Highlights  Joint Venture with ITOCHU Petroleum Co., (Singapore) Pte Ltd  Phase I of Pipavav commissioned 3 months ahead of Schedule Liquid : 120,120 KL Gas : 2,700 MT  Railway Siding Infrastructure commissioned in record time of 3 months For the First Time Liquid Cargo to be evacuated throug

4. Slide 4: Railway Siding Infrastructure at Pipavav

   Railway Siding Infrastructure at Pipavav 4

5. Slide 5: Railway Siding Infrastructure at Pipavav

   Railway Siding Infrastructure at Pipavav  Siding Infrastructure Commissioned in record time of 3 months  Connects Aegis Terminals to vast Indian Railways network  For the First Time Liquid Cargo to be evacuated through Railways from Pipavav Port  Quick Turnaround of Bulk Liquid Cargo We Connect

6. Slide 6: Business Overview

   Business Overview Liquid Division Gas Division  Business  Business  Third Party Liquid Logistics (3PL)  Third Party Gas Logistics (3PL) 9M FY2015 EBITDA  O&M Services Rs 130 Cr  Auto Gas Retailing and Packed LPG Cylinders for Commercial Segment  Industrial Gas Distribution Gas  Gas Sourcing

7. Slide 7: Liquid Logistics and O&M Services

   Liquid Logistics and O&M Services Liquid Logistics (3PL) O&M Services Shipping Terminalling O&M Facilities Segment Activity Revenue Stream Storage and Throughput Fees, Handling & Value Liquid Logistics Terminalling Addition Service Charges O&M Services Operations & Maintenance O&M Fees 7

8. Slide 8: Liquid Terminal Facilities

   Liquid Terminal Facilities Existing Facilities Port Capacity (KL) Trombay Mumbai 198,000 Ambapada Mumbai 75,000 Willingdon Island Kochi 51,000 Chiranjibpur Haldia 60,190 Pipavav Gujarat 1,20,120 Built up of Capacities 504 120 60 273 51 Mumbai Kochi Haldia Pipavav Total Total capacity : ~ 500,000 KL

9. Slide 9: Update on Capacity Expansion

   Update on Capacity Expansion New Project: 60,190 KL at Haldia Expansion: 120,120 KL at Pipavav  New Project: 60,190 KL at Haldia (Greenfield)  Expansion: 120,120 KL at Pipavav  Final Project Cost Rs. 51 Cr  Final Project Cost ~Rs. 90 Cr  Debt : Rs. 30 Cr; Internal Accruals : Rs. 21 Cr  Full Ca

10. Slide 10: Liquid Division Performance

    Liquid Division Performance Revenue (Rs. Crs.) Normalized EBITDA (Rs. Crs.) * 131 83.5 107 105 64.0 61.2 92 87 54.2 81 49.7 45.9 FY10 FY11 FY12 FY13 FY14 9MFY15 FY10 FY11 FY12 FY13 FY14 9MFY15 * - Normalized EBITDA – Before Forex, Hedging Related Expenses 10

11. Slide 11: Capturing Complete LPG Value Chain

    Capturing Complete LPG Value Chain Gas Distribution Gas Logistics (3PL) AND/OR Gas Sourcing Sourcing Fees Industrial Sourcing Shipping Terminalling Auto Gas Segment Activity Revenue Stream Gas Sourcing Sourcing & Shipping Sourcing Commission Throughput Fees, Handling & Value Gas Logistics Terminalli

12. Slide 12: Update on Capacity Expansion

    Update on Capacity Expansion Expansion: 2,700 MT at Pipavav Distribution Business  Commissioned : 2,700 MT at Pipavav  Crossed 159 Distributors/Dealers  Final Project Cost ~Rs. 20 Cr  101 Auto Gas Stations  Commercial operations started  58 Commercial & Industrial Distributors spread across 42

13. Slide 13: Gas Distribution Network

    Gas Distribution Network B2C  Auto Gas Retailing: Distribute LPG as Auto Fuel through Gas Station Network  101 Auto Gas Stations across 7 States B2B  Bulk Industrial Distribution: Distribute LPG through road tankers to Auto, Steel, Ceramic Industries etc  Commercial LPG: Distribute Packed Cylind

14. Slide 14: Gas Division Performance

    Gas Division Performance Revenue (Rs. Crs.) Normalized EBITDA (Rs. Crs.) * 4,900 95.1 4,371 85.1 3,874 66.4 3,287 60.5 46.1 42.8 1,724 224 FY10 FY11 FY12 FY13 FY14 9MFY15 FY10 FY11 FY12 FY13 FY14 9MFY15 * - Normalized EBITDA – Before Forex, Hedging Related Expenses 14

15. Slide 15: LPG Volume Break-up

    LPG Volume Break-up Distribution (‘000 MT) Logistics (‘000 MT) 53 620 48 49 44 495 477 39 460 417 31 272 FY10 FY11 FY12 FY13 FY14 9MFY15 FY10 FY11 FY12 FY13 FY14 9MFY15 15

16. Slide 16: Aegis enters into a Joint Venture for its Singapore based LPG Sourcing and Supply Business

    Aegis enters into a Joint Venture for its Singapore based LPG Sourcing and Supply Business with ITOCHU Petroleum Co., (Singapore) Pte Ltd 16

17. Slide 17: Powerful Partners… …coming together…

    Powerful Partners…  Aegis Group International Pte. Ltd (AGI) is a sourcing and trading subsidiary of Aegis Logistics Limited, leading Oil, Gas & Chemical Logistics Company  Aegis Logistics has five distinct but related business segments, and operates a national network of Liquid Terminals, LPG Ter

18. Slide 18: …Creating ‘Leading LPG Sourcing Player in India’

    …Creating ‘Leading LPG Sourcing Player in India’ Aegis Logistics Limited sold 40% of its equity ownership in its wholly owned subsidiary, Aegis Group International Pte. Ltd. Singapore, to ITOCHU Petroleum Co., (Singapore) Pte Ltd., a wholly owned subsidiary of ITOCHU Corporation for a total consider

19. Slide 19: … through ‘Vertical Integration Strategy’

    … through ‘Vertical Integration Strategy’ Gas Distribution Gas Logistics (3PL) AND/OR Gas Sourcing Sourcing Fees Industrial Sourcing Shipping Terminalling Auto Gas Sourcing, Shipping & Cost Optimization Commercial 19

20. Slide 20: JV : Best of both Worlds

    JV : Best of both Worlds Aegis ITOCHU  Growing LPG Market in India  Large Volume of LPG Sourcing  0.85 mn MT p.a. throughput  Efficient and Cost Effective Shipping capacity at Mumbai and Pipavav Port for High Volumes  Strong Customer Relationships with Large Oil Companies  Strong Negotiating P

21. Slide 21: Strategic Rationale for JV

    Strategic Rationale for JV 1 Increase market share in India’s LPG Import 5 2 Cost Leadership in LPG Future Strategy Import Market 4 3 Unique Port Infrastructure Presence at Strategic Locations 21

22. Slide 22: Increase market share in India’s LPG Import

    1 Increase market share in India’s LPG Import Consumptions of LPG in India (mn MT) Imports of LPG in India (mn MT) +6% 16.3 6.6 15.3 15.6 6.3 14.3 +16% 5.8 13.1 12.0 12.2 10.8 4.5 2.8 2.7 2.3 2.4 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14P FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 Aegis sourced 0.8mn MT

23. Slide 23: Cost Leadership in LPG Import Market

    2 Cost Leadership in LPG Import Market ITOCHU  Negotiating Power Product  World wide linkages with Global Oil Companies Planning & Sourcing  Large Volume of LPG Sourcing Distribution  Efficient Shipping & Supplies & Clubbing Cargo Evacuation  Fleet of VLGCs  Optimizing Shipping & Supply System

24. Slide 24: Presence at Strategic Locations

    3 Presence at Strategic Locations Aegis – Gas Terminal Facilities  Own & Operate 22,700 MT Gas Terminal with Throughput Capacity of 0.85 mn MT  Mumbai Port – Owned Land (Mumbai Port Trust)  Pipavav Port – Lease with GPPL  Expanding Pipavav Gas Capacity from 2,700 MT to 5,400 MT (0.1 mn MT throug

25. Slide 25: Unique Port Infrastructure

    4 Unique Port Infrastructure Aegis - Gas Infrastructure Terminal Facilities Port Capacity (MT)  Owns and Operates Refrigerated Gas Terminal in Mumbai and Spherical Existing - Trombay Mumbai 20,000 Pressurized Gas Terminal in Pipavav along with Jetty pipeline Existing – Pipavav Gujarat 5,400  Direc

26. Slide 26: Future Strategy

    5 Future Strategy Target : Market Share of 20-25% with 2.5 mn MT of sales volume in 5 years  New LPG import terminals required to cater to the growing LPG imports  Our next phase of growth in LPG business will come from investments in Port Infrastructure for LPG imports  LPG terminals at ports wi

27. Slide 27: Multiple Growth Drivers

    Multiple Growth Drivers  Haldia & Pipavav Fully Operational in FY15 Capacity  Pipavav Terminal Facility : 1,20,000 KL Liquid & 5,400 MT Gas Expansion  Strengthening Distribution Network for Commercial Packed Cylinders  Expanding Auto Gas Station network in Tier I & II cities  Cap on Supply incr

28. Slide 28: Consolidated Profitability Statement

    Consolidated Profitability Statement Rs Crs Q3FY15 Q3FY14 Y-o-Y % Revenue 955 1,562 -39% Cost of Sales 886 1,502 Others 24 21 Normalized EBITDA (Segment) * 45 39 15% Finance, Hedging & Forex related Expenses (Net) 5 7 Depreciation 6 5 Unallocated Expenses 9 7 Profit Before Tax 25 20 27% Capital Gain

29. Slide 29: Consolidated Profitability Statement

    Consolidated Profitability Statement Rs Crs 9MFY15 9MFY14 Y-o-Y % FY14 Revenue 3,393 3,931 -14% 5,031 Cost of Sales 3,190 3,760 4,804 Others 73 60 83 Normalized EBITDA (Segment) * 130 111 17% 144 Finance, Hedging & Forex related Expenses (Net) 14 11 19 Depreciation 16 16 21 Unallocated Expenses 21 1

30. Slide 30: Consolidated Balance Sheet

    Consolidated Balance Sheet Rs. Crs Sept-14 Mar-14 Rs. Crs Sept-14 Mar-14 Shareholder’s Fund 390 349 Non-Current Assets 550 552 ShareCapital 33 33 Fixed Assets * 476 462 Reserves & Surplus 357 316 Non-Current Investments 3 10 Minority Interest 16 13 Other Non-Current Assets 71 80 Non-Current Liabilit

31. Slide 31: Dividend Track Record

    Dividend Track Record Dividend 42% 37% 34% 40% 29% Payout 18 15 14 10 6 6 5 4 4 2 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 DPS EPS Second Interim Dividend for FY2015 of Rs 2.5 per share Cumulative Interim Dividend for FY 2015 of Rs. 5.0 per share till date 31

32. Slide 32: For further information, please contact:

    For further information, please contact: Company : Investor Relations Advisors : Aegis Logistics Limited Strategic Growth Advisors Pvt. Ltd. CIN: L63090GJ1956PLC001032 CIN: U74140MH2010PTC204285 Mr. Murad Moledina, CFO Ms. Payal Dave / Mr. Jigar Kavaiya murad@aegisindia.com dpayal@sgapl.net / kjigar

Aegis Logistics — 9M FY2015 Earnings Presentation on 6ix