Shankara Building Products Ltd. · NSE:SHANKARA
Shankara Building Products — H1 FY2024 Earnings Presentation
28 slides from Shankara Building Products's earnings presentation, Nov 9, 2023
Slide 1: Cover letter to stock exchanges
Shankaro° Bui Id in g Products Limited Date: 9 November, 2023 To To Department of Corporate services Listing Department BSE Limited National Stock Exchange of India Limited 15Floor, New Trading Ring, Exchange Plaza, Plot No.C-1, Rotunda Building, Phiroze Jeejeebhoy G Block, Bandra Kurla Complex, Tow
Slide 2: Investor Presentation Q2 & H1 FY2024
# shgntgr 9 Bu-. Building Prolpro Building Investor Presentation Q2 & H1 FY2024 November 9, 2023
Slide 3: Safe Harbor
SAFE HARBOR Shanlkoro Building Products Ltd. The statements contained in this document speak only as at the date as of which they are made and certain statements made in this presentation relating to the Company’s objectives, projections, outlook, expectations, estimates, among others may constitute
Slide 4: Management Commentary
MANAGEMENT COMMENTARY Shonk«oro Building Products Ltd. “ We are delighted to report another quarter of resilient performance. Our revenues have surged by 31% YoY in H1 FY2024, with a 23% same-store sales increase, demonstrating a steady momentum, driven by our focus on customer experience, inventory
Slide 5: Q2 & H1 FY2024 Highlights
h Q2 & H1 FY2024 HIGHLIGHTS Shonkoro " Building Products Ltd. Revenue EBITDA PAT Q2 FY24 1,142 36 18 +26% YoY +23% YoY +17% YoY EBITDA Margin 3.2% PAT Margin 1.6% H1 FY24 2,275 71 35 +31% YoY +26% YoY +29% YoY EBITDA Margin 3.1% PAT Margin 1.6% Figures in Rs. Crore SHAN/CARA� Buildpro 4
Slide 6: Strong Business Momentum Continues
STRONG BUSINESS MOMENTUM CONTINUES Shanlkoro Building Products Ltd. Revenue (Rs. Crore) Revenue Mix (%) +40% CAGR ■ Retail 46% H1 2,275 1,739 FY24 54% ■ Channel & 834 1,051 Enterprise H1FY21 H1FY22 H1FY23 H1FY24 EBITDA (Rs. Crore & Margin %) PAT (Rs. Crore & Margin %) 100 .00 90. 00 80. 00 70. 00 1.
Slide 7: Balance Sheet Remains Strengthened
BALANCE SHEET REMAINS STRENGTHENED Shanlkoro Building Products Ltd. Net Worth (Rs. Crore) Working Capital Days 65 643 673 53 522 556 31 30 T FY21 FY22 FY23 H1FY24 FY21 FY22 FY23 H1FY24 Return on Capital Employed Return on Equity 16% - 15% 10% 11% 10% 6% 8% 3% FY21 FY22 FY23 H1FY24 FY21 FY22 FY23 H1F
Slide 8: Segmental Update
SEGMENTAL UPDATE Shanlkoro Building Products Ltd. Revenue (Rs. Crore) EBITDA (Rs. Crore) ' 5.6% 5.3% I ■ Steel ■ Non-Steel ' 5.5% 60 6% 5.5% ) Retail 1,223 5% 50 966 4% 40 3% 592 65 484 54 30 2% 1% 33 20 27 0% 10 -1% 0 -2% Q2FY23 Q2FY24 H1FY23 H1FY24 Q2FY23 Q2FY24 H1 FY23 H1 FY24 Revenue (Rs. Crore)
Slide 9: Consolidated Profit & Loss Statement
CONSOLIDATED PROFIT & LOSS STATEMENT Shanlkoro Building Products Ltd. Change Change Particulars (Rs Crore) Q2 FY24 Q2 FY23 H1 FY24 H1 FY23 YoY YoY Revenue from Operations 1,142 907 26% 2,275 1,739 31% Other Income 1 3 (80%) 1 3 (68%) Cost of Materials Consumed 1,076 853 26% 2,145 1,635 31% Employee
Slide 10: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET Shanlkoro Building Products Ltd. Particulars (Rs Crore) Sep-23 Mar-23 Particulars Sep-23 Mar-23 Shareholders Equity 673 643 Non-current assets 307 301 Non-current liabilities 31 40 Property, Plant & Equipment (incl. CWIP) 260 256 Borrowings 21 27 Investment Property 10 10
Slide 11: SBPL at a Glance
SBPL at a Glance
Slide 12: Shankara's Evolution
SHANKARA’S EVOLUTION Shanlkoro Building Products Ltd. Shankara Shankara 1.0 Shankara 2.0 1995 >> Integrated �------------------------- 2008 >> Acquisitions: �------------------------- 2022 >> Expansion of product warehousing facility Vishal Precision Steel portfolio to lighting, Incorporated of 55,0
Slide 13: Shankara 2.0: An Omni-Channel Marketplace
SHANKARA 2.0: AN OMNI-CHANNEL MARKETPLACE Products Omni-Channel Marketplace Customers STORE Kg 80.2NG VT;RAS Suppliers Customers 125+ Brands across Widespread customer base Steel & Non-Steel Smallest homeowner to Building Materials · L ,.fl j � . I"« g large contractors/developers Processing Facilit
Slide 14: One Stop Marketplace for All Building Materials
ONE STOP MARKETPLACE FOR ALL BUILDING MATERIALS Shanlkora Building Products Ltd. Products Omni-Channel Marketplace Customers Presence across the entire home construction and renovation lifecycle SKUs 1,00,000+ Brands 125+ Construction Materials Plumbing & Sanitaryware Flooring Product Categories 75+
Slide 15: Diverse Offerings Across Steel & Non-Steel
DIVERSE OFFERINGS ACROSS STEEL & NON-STEEL Shanlkoro Building Products Ltd. Products Omni-Channel Marketplace Customers Steel Products Non-Steel Products 6% ■ Steel Tubes & Pipes 6% ■ Sanitaryware 9% 22% ■ Steel-Flat Products ■ Tiles 2% 43% 13% ■ Roofing ■ PVC Pipes & Fittings 4% 66% ■ TMT ■ Electri
Slide 16: Largest Retailer of Leading Building Product Brands
LARGEST RETAILER OF LEADING BUILDING PRODUCT BRANDS Shonkaro Building Products Ltd. Products Omni-Channel Marketplace Customers Strength of multi-brand tie ups rrugr TNT BARS fvrlrti eltioh.d EE psw % $$» e sAIL E • SLR(ADEV Alt0r AND w UItraTech I. rt. p PENNA CEMENT .id- SUPER ACC ■GEBERIT IE KVIK
Slide 17: Omnichannel Presence
OMNICHANNEL PRESENCE Shanllkara Building Products Ltd. Products Omni-Channel Marketplace Customers Online Discovery of Wide Range of Products Anytime, Anywhere >>> Offline Push through our Fulfillment Centers Bui dpro -•m.--- 11 • ·····-· Bulla1pro Build within Budget nt in home th Buldpro experts -
Slide 18: Strong Network of Fulfillment Centers
STRONG NETWORK OF FULFILLMENT CENTERS Shanlkora Building Products Ltd. Products Omni-Channel Marketplace Customers 125 91 21 13 Fulfillment Centers 13.2 lakh sq ft >> Retail Stores 4.6 lakh sq ft + Warehouses 5.0 lakh sq ft + �-------------------------------------------------------------------------
Slide 19: Retail: Increasing Throughput from Existing Network
RETAIL: INCREASING THROUGHPUT FROM EXISTING NETWORK Shanlkoro Building Products Ltd. Products Omni-Channel Marketplace Customers 95 90 91 91 91 Change -I -l 100 Particulars H1 FY24 H1 FY23 501,359 600 ,000 YoY 367,045 385,619 50 253,143 Retail Stores (No.) 91 91 - 223,953 - 200 ,000 0 Retail Area (l
Slide 20: Widespread Customer Base
WIDESPREAD CUSTOMER BASE Shanlkoro Building Products Ltd. Products Omni-Channel Marketplace Customers Widespread customer base and reach across all touchpoints in a construction lifecycle Ownership of Shop online, Small 6+lakh pickup offline customers Home- owners Credible partner Shanlkoro Influenc
Slide 21: Marketing Initiatives
MARKETING INITIATIVES Shankoro Building Products Ltd. Products Omni-Channel Marketplace Customers Influencer Meets Exhibitions Conferences & Events Build withExhibitions BuildPro BIG»t euilapro a BIG4t»w eciapro Bui + · •. - • '¥Ve'ye " COMPLETE ton«ME t4OM4TI4a 4nN 44DEF me 3eooo- "mow • a- ±= Bui
Slide 22: Reputed Clientele
REPUTED CLIENTELE Shankoro Building Products Ltd. Products Omni-Channel Marketplace Customers OUR VALUED CLIENTS $. a "' BRIGADE .4 lad $Oft A € CASAGRAND $7 murugoppa Prestige Group Brigade Group Sobha Developers L8T Casa Grand Murugappa Group oA " wousrmes NCC KEC Shapoorji Pallonji Appaswamy Penn
Slide 23: Core Strategies for the Future
Expansion of Non-Steel Business ✓ Business aspirations to make this 25% of total revenue in next 4-5 years 01 Leveraging Distribution Channel 02 ✓ Cross sell opportunities at existing fulfillment centers and penetration further in CORE existing as well as newer geographies STRATEGIES FOR THE FUTURE
Slide 24: Expansion of Non-Steel Business
EXPANSION OF NON-STEEL BUSINESS Shonk¢ iii~a,- @ro ii o ucts Ltd. High margin non-steel business to drive EBITDA margins ❖ Shankara is scaling up presence in fast growing and value-added non-steel business, with increase in product categories and brands ❖ Aimed to increased cross selling opportuniti
Slide 25: Leveraging Distribution Channel
LEVERAGING DISTRIBUTION CHANNEL Warehouses ■ Karnataka 10/1 Processing Units ■ Tamil Nadu 4% BuildPro Store 5% ■ Kerala ■ Maharashtra States/UT 7% ■ Telangana Q2 FY24 50% ■ Andhra Pradesh 45 11% ■ Madhya Pradesh ■ Gujarat Cities 14% ■ Goa ■ Other States New Fulfillment Centers in H1 ❖ Our cluster-ba
Slide 26: Transforming Ecosystem with Technology and Innovation
TRANSFORMING ECOSYSTEM WITH TECHNOLOGY AND INNOVATION Bail Builapro uilpro Q Search here Buildpro For All � Basin Mixer • L Hand Drier ➔ N ,,, i• l -. Our Partners Coen.foe. ere.of .,. wpyere anus \. � Bath Tut ➔ Stop cock ➔ hindware ■GEBERIT - Leverage technology to ai:- • Grow Store Sales e ;:: '
Slide 27: Strengthening Balance Sheet
STRENGTHENING BALANCE SHEET Shanlkoro Building Products Ltd. EFFICIENT WORKING CAPITAL ASSET-OPTIMIZED EQUITY INFUSION MANAGEMENT BUSINESS MODEL ❑ Strengthen relationship with key suppliers ❑ Retail expansion through leased outlets, resulting in asset light operations and ❑ On November 2, 2023, APL
Slide 28: Thank You
Thank You Scan the QR to experience the Bil Shankara Building Products Limited CIN: L26922KA1995PLC018990 Mr. Alex Varghese, Chief Financial Officer ir@shankarabuildpro.com www.shankarabuildpro.com Android iOS Bilaioro P Shanlkara Building Materials and more Bui Id in g Products Ltd.
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