Dalmia Bharat Sugar & Industries Ltd. · NSE:DALMIASUG
Dalmia Bharat Sugar & Industries — Investor Presentation (September 2016)
28 slides from Dalmia Bharat Sugar & Industries's investor presentation, September 2016
Slide 1: Dalmia Bharat Sugar & Industries Limited
Dalmia Bharat Sugar Dalmia Bharat Sugar & Industries Limited September 2016
Slide 2: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 2
Slide 3: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 3
Slide 4: About Company
About Company Dalmia Bharat Sugar Dalmia Bharat Sugar and Industries Ltd. Distillery Plant of 60 KLPD commissioned in 2016 Maharashtra - Geographically well diversified - Integrated Sugar Operations Step towards sustainable model - Acquisition of another mill at Sangli, 2015 Maharashtra of 1,750 TCD
Slide 5: Expanding footprints in Maharashtra
Expanding footprints in Maharashtra Dalmia Bharat Sugar Work-in-progress to increase Maharashtra crushing capacity to 10,000 TCD from existing 6,750 TCD. “Capacities in Maharashtra scaled up to 23% in FY16 and 31% in near term within a span of 5 years.” 5
Slide 6: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 6
Slide 7: Assuring better Cane quality
Assuring better Cane quality Dalmia Bharat Sugar Highest sugar Sugar Recovery % – U.P. & Maharashtra recovery amongst peers DBSIL-UP DBSIL- Maharashtra 13.7 13.2 13.3 13.0 11.7 10.1 10.3 9.4 9.1 FY12 FY13 FY14 FY15 FY16 Cane Crushed (Lakh MT): Sugar Recovery % (Consolidated): 12.1 31 31 10.9 28 28 1
Slide 8: Focus towards increasing Ethanol Production
Focus towards increasing Ethanol Production: Dalmia Bharat Sugar Ethanol Production and realisation: Focused towards better realisation distillery product. 18,000 48.0 16,000 42.5 14,000 43.0 38.7 12,000 37.1 38.0 10,000 39.0 37.4 8,000 33.0 6,000 33.8 33.0 4,000 30.7 28.0 2,000 4,673 0 13,196 0 15,
Slide 9: Regional diversification leading to higher power realisations
Regional diversification leading to higher power Dalmia Bharat Sugar realisations Region-wise power Export: 2603 2347 2247 2114 2021 1437 1028 809 32 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 Region-wise power realisation rates: U.P. (Lakh Units) Maharashtra (Lakh Units) 6.2 6.3 5.2 5.3 5.2 Higher p
Slide 10: Focus on Maharashtra Region
Focus on Maharashtra Region Dalmia Bharat Sugar Kolhapur region - Higher cogen highest sugar recovery Linkage of cane prices realisation in India with Sugar realisation Rs. 6.25/ unit 13% Proximity to Ports 50% Expected benefits due to Higher Operating Days Government of India Higher Cane Yield inte
Slide 11: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 11
Slide 12: Financial Performance
Financial Performance Dalmia Bharat Sugar Particulars (Rs. Crore) FY15 FY16 YoY Total Operating Income 1,150 1,166 1% Operating Expenses 1,037 940 -9% EBITDA 113 227 101% EBITDA Margin% 10% 19% 900bps EBIT 78 135 72% Profit Before Tax 0.3 47.4 16017% Profit After Tax 1.49 58.4 3809% 12
Slide 13: Balance Sheet as on 31st March, 2016
Balance Sheet as on 31st March, 2016 Dalmia Bharat Sugar Particulars (Rs. Crore) 31-Mar-15 31-Mar-16 Equity Funds 460 513 Debt Long Term 577 747 Short Term 355 391 TOTAL 1,392 1,651 Fixed Assets 774 759 Cash & Cash Equivalents 103 117 Net Current Assets 515 775 TOTAL 1,392 1,651 Net Debt 829 1.021 N
Slide 14: Financial Performance
Financial Performance Dalmia Bharat Sugar Net Operating Income (Rs. Crore) EBITDA (Rs. Crore) 101% 227 1,150 1,166 308% 29% 113 86 343 265 21 FY15 FY16 Q1'16 Q1'17 FY15 FY16 Q1'16 Q1'17 Profit before Tax (Rs. Crore) Profit after Tax (Rs. Crore) 58 47 48 48 0.29 1.5 FY15 FY16 Q1'16 Q1'17 FY15 FY16 Q1
Slide 15: Improved profitability
Improved profitability Dalmia Bharat Sugar EBITDA (Rs. Cr.) & EBITDA Margin (%): Operating Profit (EBITDA) Rs. Crore Operating Profit Margin % 19% 15% 10% 227 10% 9% 9% 150 108 113 65 63 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 Downstream Products* Share in total revenue (%) 2016 2011 Cogen + Cogen
Slide 16: Improved realisations
Improved realisations: Dalmia Bharat Sugar Yearly: Particulars UOM FY15 FY16 Variance Sugar Rs./ MT 29,424 26,686 -9% Distillery Rs./ KL 38,866 41,843 8% Cogen Rs./ Kwh 5.2 5.3 3% Quarterly: Particulars UOM Q1 FY16 Q1 FY17 Variance Sugar Rs./ MT 26,115 34,201 31% Distillery Rs./ KL 39,713 45,131 14%
Slide 17: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 17
Slide 18: Indian Sugar Production and Consumption Trend
Indian Sugar Production and Consumption Trend Dalmia Bharat Sugar 9.3 9.1 7.5 28.3 7.1 26.36.6 25.6 25.6 26.0 24.4 25.1 24.4 24.2 25.1 22.6 22.8 23.2 20.8 6.0 4.3 SS10-11 SS11-12 SS12-13 SS13-14 SS14-15 SS15-16 SS16-17E Production (MnT) Consumption (MnT) Closing Stock (MnT) Production Consumption 10
Slide 19: Lower per capita consumption; higher growth potential
Lower per capita consumption; Dalmia Bharat Sugar higher growth potential Per capita sugar consumption (kg) in top 10 Sugar Producing countries: 67 47 46 41 39 38 34 28 20 12 Brazil Australia Thailand Russia Mexico EU US Pakistan India Mainland China Per capita sugar consumption (kg) Source: Organis
Slide 20: India Sugar Industry
India Sugar Industry Dalmia Bharat Sugar Strong and stable prices expected in future: 29.0 35.1 36.0 28.0 33.1 32.3 32.0 33.0 27.0 26.3 29.9 31.0 25.4 30.0 25.1 25.0 24.4 24.4 27.0 23.0 24.0 21.0 21.0 10-11 11-12 12-13 13-14 14-15 15-16 Production (MnT) Average S ugar P rices (Rs/ Kg) Source: ISMA T
Slide 21: Sugar Industry - Regulations
Sugar Industry - Regulations Dalmia Bharat Sugar Pre April’ 2013 Post April’ 2013: Mandatory Ethanol Blending Controls Relaxation Government of India mandated 5% blending of ethanol Levy Levy • Higher chances of cane prices to be linked with sugar Sugar Sugar prices in U.P. as already been adopted a
Slide 22: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 22
Slide 23: Global Scenario
Global Scenario Dalmia Bharat Sugar Country wise sugar production share: USA China Others 5% 5% 46% Thailand 6% India 15% Top 5 Countries have more than 50% share in World Sugar Production. Brazil 23% Source: Kingsman Statistical Update India is second largest sugar producing country in world having
Slide 24: Global Scenario: World Sugar Surplus/Deficit and Raw Sugar Prices
Global Scenario Dalmia Bharat Sugar World Sugar Production Surplus/ Deficit and Raw Sugar Prices: 12.0 11.8 11.4 28.0 9.1 26.2 8.8 25.0 7.4 26.0 8.0 Raw Sugar Prices (Cents/ lb) 24.0 World Sugar Surplus/ Defict (MnT) 4.3 4.0 21.1 2.6 22.0 0.0 20.0 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14 14-1
Slide 25: Sugar Price Trend (International & India)
Sugar Price Trend (International & India) Dalmia Bharat Sugar Month on month trend of Sugar prices: 22.0 38.5 38.6 40.0 36.9 37.5 36.8 38.0 20.0 34.9 36.0 19.3 19.7 20.0 32.2 32.6 34.0 18.0 30.6 32.0 16.0 29.0 29.0 30.0 16.7 27.2 27.7 27.5 15.4 26.4 28.0 14.0 25.8 25.8 14.9 15.0 15.0 24.4 14.1 26.0
Slide 26: Contents
Contents Dalmia Bharat Sugar About Company Financials & Operational Performance Global Scenario 26
Slide 27: Focus towards sustainability
Focus towards sustainability Dalmia Bharat Sugar Design-driven environment consciousness 118 30,000 MW 100% MT Bio-composting Renewable capacity at energy Jawaharpur Community Responsibility 43 9,200 10,775 Beneficiaries of SHGs formed with Beneficiaries of energy conservation more than 470 health a
Slide 28: Thank you
Dalmia Bharat Sugar thankyou 28
Dalmia Bharat Sugar & Industries — Investor Presentation (September 2016) on 6ix