Slide 1: Q4 & FY15 Investor Update Presentation
Q4 & FY15 Investor Update Presentation
Slide 2: HEG Limited - Profile
HEG Limited - Profile HEG Limited (henceforth HEG) is a leading graphite electrode manufacturer & exporter Globally. HEG produces two grades of graphite electrodes - High Power (HP) & Ultra High Power (UHP) - used in manufacturing steel through the Electric Arc Furnace (EAF) route Exports over 75% o
Slide 3: Global Steel Industry
Global Steel Industry World crude steel production reached 400 million tons in Q1 2015, declining by 1.8% as compared to 407 million ton in Q1 2014. The EU showed a drop of 0.6% in Q1 2015, whereas Asia and North America declined by 1.1% and 6.4% respectively. CIS dropped by 5.9%. Steel producti
Slide 4: Graphite Electrodes Market & EAF
Graphite Electrodes Market & EAF Graphite electrodes find their biggest industrial use in Electric Arc Furnace (EAF) used in steel plants to melt steel scrap. Share of EAF in the global steel production is around 27-28%. EAF steel has been growing at the rate of 1% for the last 4 years. Grap
Slide 5: Financial Snapshot
Financial Snapshot in Rs. Crore (except EPS) FY 15 FY 14 Q4 FY15 Q3 FY15 Q2 FY15 Q4FY14 Net Operating Income 1240.52 1466.81 290.03 279.74 323.41 501.43 EBITDA* 207.61 267.76 40.80 51.49 53.44 85.32 EBITDA Margin 16.74% 18.25% 14.07% 18.41% 16.52% 17.01% EBIT 132.26 195.09 22.81 32.19 34.71 66.15 EB
Slide 6: Segmental Performance – Graphite Electrodes
Segmental Performance – Graphite Electrodes in Rs. Crore FY 15 FY 14 Q4 FY15 Q3 FY15 Q2 FY15 Q4 FY14 Net Sales 1216.89 1434.30 283.64 271.17 319.47 494.31 Export (% of sales) 78% 79% 77% 74% 77% 84% EBITDA Margin 8.7% 10.10% 7.3% 8.14% 8.79% 9.70% EBIT Margin 3.77% 6.17% 2.32% 2.34% 4.14% 6.60% Capi
Slide 7: Segmental Performance – Power
Segmental Performance – Power in Rs. Crore FY 15 FY 14 Q4 FY15 Q3 FY15 Q2 FY15 Q4 FY14 Net Sales 228.07 229.49 54.84 60.64 56.45 69.16 EBITDA Margin 43.7% 49.5% 39.7% 46.3% 43% 52% EBIT Margin 37.62% 43.42% 34.8% 40.56% 37% 47% Capital Employed 174.0 190 174.0 172.26 173.04 190 Lower generation in
Slide 8: Short Range Outlook 2015-2016: Regional Overview
Short Range Outlook 2015-2016: Regional Overview Apparent Steel Use, finished steel products (SRO April 2015) OTHER EUROPE 2015 2016 — 38 Mt 39 Mt — Ss amet” AFRICA | 2015 | 2016 40 Mt 42 Mt Share of ASU by regions in 2016, % = European Union (28) Other Europe =CIS ™ NAFTA = Central and South Americ
Slide 9: Future Outlook
IMF has projected a moderate improvement in overall economic environment in 2015. Export pressure from Chinese blast furnace steel, affecting EAF Future Outlook industry world wide. Notification of anti – dumping duty on import of Chinese electrodes into India effective Feb 15, to help the company i
Slide 10: Thank You
Thank You Mr. Raju Rustogi – Chief Financial Officer HEG Limited Ph: +91 120 244 4541 Fax: +91 120 254 1575 Email: r.rustogi@lnjbhilwara.com 10