Heg Limited · NSE:HEG
Heg — Q3 FY2020-21 Earnings Presentation
18 slides from Heg's earnings presentation, Feb 14, 2021
Slide 1: Cover letter to stock exchanges on investor presentation
PROUD TO BE INDIAN PRIVILEGED TO BE GLOBAL HEG/SECTI/ 2021 14th February, 2021 1 BSE Limited 2 National Stock Exchange of India Limited 25th Floor, P J Towers Exchange Plaza, 5th Floor Dalal Street Plot No.C/1, G Block, Bandra - Kurla Complex MUMBAI-400 001. Bandra (E), Scrip Code : 509631 MUMBAI-40
Slide 2: HEG Limited Investor Presentation: Performance Highlights Q3 FY 2020-21
HEG LIMITED Investor Presentation Performance Highlights Q3 of FY 2020-21
Slide 3: HEG is part of LNJ Bhilwara Group: The Family Tree
HEG is part of LNJ Bhilwara group a diversified, reputed and large Indian business house having more than five decades of industrial experience and presence in THE FAMILY TREE Power Generation & Power Consultancy IT Enabled Services The branches spread forth, powered by Buds flower in our service se
Slide 4: HEG Limited – Profile
HEG Limited – Profile • HEG Limited is a leading graphite electrode manufacturer & exporter globally. • Exports approximately 70% of its production to about 30 countries around the world. • Diversified customers - supplying large portion of production to top 20 steel companies of the world. • Graphi
Slide 5: Business Overview
Business Overview • HEG is among the world’s top five graphite electrode manufacturers Graphite Electrode Capacity (KMT/Year) • Steel production levels started improving in rest of the world excluding China since Oct’20 and prices started moving up resulting in increased profitability of steel compa
Slide 6: Our Growth
1977 - Established in Financial (appx 25% equity) / Technical participation of Pechiney, France 1992 - Pechiney sold their Graphite business to SGL, Germany & Indian Promoters bought these shares in HEG 1995 / 2011 – Kept expanding from 10,000 mt in small tranches & in 2011 took a quantum leap
Slide 7: R&D Center
R&D Center R&D set up to corroborate the Quality & Improvement Drives with small scale production facilities The focus is also on development of new product lines Development is focused towards Carbon
Slide 8: Crude Steel Production Annual Growth Trend (%)
CRUDE STEEL PRODUCTION ANNUAL GROWTH TREND (%) 12.4 China Rest of world World 7.8 7.9 6.6 5.8 6.3 5.2 5.2 4.1 2.6 4.9 3.0 3.8 1.5 1.3 0.6 0.5 0.5 0 -0.1 0.0 -0.8 -2.2 -2.1 -0.9 -3.1 -3.8 Source :WSA -7.7 2012 2013 2014 2015 2016 2017 2018 2019 2020 HEG Ltd © LNJ Bhilwara Group 7
Slide 9: World Crude Steel Production Last Eight Quarters
World Crude Steel Production Last Eight Quarters ( CY Jan 19 – Dec.20) China World Excl. China 281 269 271 261 257 246 232 230 234 Production (mmt) 218 218 205 224 216 217 219 206 207 210 189 208 201 204 +25% +41 mmt* 167 Jan 19 to Dec 19 CY’15 Avg. CY’16 Avg. CY’17 Avg. CY’18 Avg. Jan-Mar Apr-Jun J
Slide 10: Top 10 EAF Steel-Producing Countries-2020
TOP 10 EAF STEEL-PRODUCING COUNTRIES-2020 EAF Steel Prod. EAF Steel Prod. Rank Country Change Absolute %2020/2019 CY-2020 (Mt) CY-2019 (Mt) 1 China 109.5 104.1 5.38 5.2% 2 United States 50.7 61.2 -10.50 -17.2% 3 Iran 26.2 23.2 3.09 13.4% 4 India 25.9 29.0 -3.06 -10.6% 5 Russia 24.7 24.1 0.56 2.3% 6
Slide 11: China's Finished Steel Exports
China's Finished steel exports • China exported a gross 53.69 million mt of semi-finished and finished steel in 2020, down 17% year on year • Recovering demand for China's exports and a likely slowdown in domestic home starts in 2021, the net steel exports are likely to rebound in 2021. • China's st
Slide 12: Financial Snapshot (Standalone)
Financial Snapshot (Standalone) in Rs. Crore (except EPS) PARTICULARS Q3 FY’21 Q2 FY’21 Q1 FY’21 FY 19-20 FY 18-19 FY 17-18 REVENUE FROM OPERATIONS 320 323 233 2,149 6,593 2,758 EBITDA* 24 (25) 35 138 4,767 1,734 EBIT 6 (44) 17 66 4,695 1,661 PAT 5 (34) 11 53 3,050 1,081 EPS 1.21 (8.79) 2.79 13.83 7
Slide 13: Profit & Loss for the Quarter ended 31st December 2020 - Standalone
Profit & Loss for the Quarter ended 31st December 2020- Standalone in Rs. Crores Quarter Ended Nine Months Ended Year ended Sl. No. Particulars 31‐12‐2020 30‐09‐2020 31‐12‐2019 31‐12‐2020 31‐12‐2019 31‐03‐2020 Unaudited Unaudited Unaudited Unaudited Unaudited Audited I Revenue from Operations 319.59
Slide 14: Profit & Loss for the Quarter ended 31st December 2020 - Standalone
Profit & Loss for the Quarter ended 31st December 2020- Standalone in Rs. Crores Quarter Ended Nine Months Ended Year ended Sl. No. Particulars 31‐12‐2020 30‐09‐2020 31‐12‐2019 31‐12‐2020 31‐12‐2019 31‐03‐2020 Unaudited Unaudited Unaudited Unaudited Unaudited Audited VIII Tax expense (1) Current Tax
Slide 15: Profit & Loss for Quarter ended 31st December 2020 - Consolidated
Profit & Loss for Quarter ended 31st December 2020 - Consolidated in Rs. Crores Quarter Ended Nine Months Ended Sl. No. Particulars 31‐12‐2020 30‐09‐2020 31‐12‐2019 31‐12‐2020 31‐12‐2019 31‐03‐2020 Unaudited Unaudited Unaudited Unaudited Unaudited Audited I Revenue from Operation 319.59 322.88 393.6
Slide 16: Profit & Loss for Quarter ended 31st December 2020 - Consolidated
Profit & Loss for Quarter ended 31st December 2020 - Consolidated in Rs. Crores Quarter Ended Nine Months Ended Sl. No. Particulars 31‐12‐2020 30‐09‐2020 31‐12‐2019 31‐12‐2020 31‐12‐2019 31‐03‐2020 Unaudited Unaudited Unaudited Unaudited Unaudited Audited VIII Tax expense (1) Current Tax ‐ 0.20 (2.7
Slide 17: Business Position under COVID-19
Business Position under COVID-19 Company’s Position: The liquidity position of the company is quite robust. The company is having a treasury size of more than Rs. 1450 Crores at the end of December 2020. Further, the company is long term debt free. The company has also implemented stringent co
Slide 18: Thank You
Thank You Mr.Manish Gulati : Executive Director Mr.Om Prakash Ajmera : Group CFO Mr.Gulshan Kr.Sakhuja : CFO HEG Limited Ph: +91 9910103865 Fax: +91 120 254 1575 Email: Manish.gulati@lnjbhilwara.com Gulshan.sakhuja@lnjbhilwara.com HEG Ltd © LNJ Bhilwara Group 17