Rak Ceramics Pjsc · ADX:RAKCEC

Rak Ceramics Pjsc — Q1 2018 Earnings Presentation

15 slides from Rak Ceramics Pjsc's earnings presentation, May 2018

  1. Slide 1: Investor Presentation Q1 2018 Results

    Q1 2018 EARNINGS PRESENTATION INVESTOR PRESENTATION Q1 2018 RESULTS MAY 2018 RAK Ceramics PJSC © 2018. All rights reserved 1

  2. Slide 2: Attendees

    Q1 2018 EARNINGS PRESENTATION Attendees Abdallah Massaad PK Chand Group Chief Executive Officer Group Chief Financial Officer Abdallah Massaad is Group CEO of RAK Ceramics. and has over 21 years experience in Pramod Kumar Chand is the Group Chief Financial Officer of RAK Ceramics. Mr. Chand has cera

  3. Slide 3: Disclaimer

    Q1 2018 EARNINGS PRESENTATION Disclaimer This information contained in the enclosed presentation summarises preliminary and and past performance is not indicative of future results. The Company undertakes no introductory information on RAK Ceramics PJSC (the Company). This presentation obligation to

  4. Slide 4: Key business highlights

    Q1 2018 EARNINGS PRESENTATION Key business highlights Core business growth India turnaround Saudi Arabia Integration Core business growth led by Expansion in Morbi JV and a new Integration of recently acquired strong sales in UAE and India Greenfield project in Morbi JV’s is in progress, focusing on

  5. Slide 5: Key financial highlights

    Q1 2018 EARNINGS PRESENTATION Key financial highlights Core revenues increased by Core gross profit margin Core EBITDA increased by +3.0% +1.0% to AED626.8m YoY. remained stable at 32.0% to AED99.3m YoY, with margins of Total revenues decreased by compared to Q1 2017. 15.8% an increase of +30bps. -2

  6. Slide 6: Revenue highlights

    Q1 2018 EARNINGS PRESENTATION Revenue highlights MANAGEMENT COMMENTS TOTAL REVENUES (AED M) CORE REVENUES (AED M) Total revenue in Q1 2018 800 747.5 800 681.1 689.7 decreased by 2.8% compared 661.8 626.8 620.6 600 600 to Q1 2017, mainly due to decrease of 42.1% in non core 400 400 revenue on account

  7. Slide 7: Revenues by end market

    Q1 2018 EARNINGS PRESENTATION Revenues by end market TILE REVENUES BY END MARKET SANITARYWARE REVENUES BY END MARKET Quarterly Comparison Yearly Comparison Quarterly Comparison Yearly Comparison Q1 18 Q4 17 Q1 17 Q1 18 Q4 17 Q1 17 Amount Amount Growth Amount Growth Amount Amount Growth Amount Growth

  8. Slide 8: Revenue contribution

    Q1 2018 EARNINGS PRESENTATION Revenue contribution MANAGEMENT COMMENTS CORE AND NON-CORE REVENUE (%) Non-core revenue 5.3% 8.4% 8.9% contribution at an all time low 12.9% 14.7% 16.0% 13.0% 18.6% of 5.3% driven by our strategic focus on divesting non-core operations. During the Quarter Rough grading

  9. Slide 9: Gross profit margins

    Q1 2018 EARNINGS PRESENTATION Gross profit margins MANAGEMENT COMMENTS CORE GROSS MARGINS (%) TILES GROSS MARGINS (%) Total gross margin increased 35 30 27.1 32.0 32.1 26.8 26.3 by +20bps compared to Q1 31.2 2017. 30 31.8 30.0 31.7 20 Core margins remained stable at 25 32.0% despite of an increase i

  10. Slide 10: Financial highlights

    Q1 2018 EARNINGS PRESENTATION Financial highlights FINANCIAL HIGHLIGHTS (AED M) Quarterly Comparison Yearly Comparison Q1 18 Q4 17 Q1 17 Amount Amount Growth Amount Growth Revenue 661.8 747.5 -11.5% 681.1 -2.8% Core Revenue 626.8 689.7 -9.1% 620.6 1.0% Gross margin (%) 31.8% 30.0% 1.8% 31.7% 0.1% Co

  11. Slide 11: Core net profit and shareholder return

    Q1 2018 EARNINGS PRESENTATION Core net profit and shareholder return MANAGEMENT COMMENTS CORE NET PROFIT (AED MN) Core net profit increased by 70.2 67.9 73.1 5.4% compared to last year 50.7 48.2 42.1 41.7 39.5 44.4 41.7 27.3 with a margin improvement of 1.9 +30bps YoY. Shareholder’s return enhanced

  12. Slide 12: Operating cycle

    Q1 2018 EARNINGS PRESENTATION Operating cycle MANAGEMENT COMMENTS OPERATING CYCLE (DAYS) Inventory days has increased due to consolidation of Saudi 400 Arabia JV. Excluding this 281 286 272 impact, actual inventory days is 233 days. 300 227 239 215 200 100 113 120 115 0 -56 -66 -69 -100 Q1 17 Q4 17

  13. Slide 13: 2018 Priorities

    Q1 2018 EARNINGS PRESENTATION 2018 Priorities Maintain/Increase market share & profitability of UAE, India, Europe profitability Continue product portfolio Bangladesh, Porcelain improvement optimization and Kludi Continue focus on branding roll India turnaround and hub for Optimized production out s

  14. Slide 14: Contacts

    Q1 2018 EARNINGS PRESENTATION Contacts INVESTOR RELATIONS If you have any questions or require further information, please do not hesitate in contacting our investor relations department. Investor Relations RAK Ceramics Al Jazeera Al Hamra PO Box 4714 Ras Al Khaimah United Arab Emirates T: +971 7 24

  15. Slide 15: Q1 2018 EARNINGS PRESENTATION RAK Ceramics PJSC © 2018. All rights reserved

    Q1 2018 EARNINGS PRESENTATION RAK Ceramics PJSC © 2018. All rights reserved 15

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