Prince Pipes And Fittings Ltd · NSE:PRINCEPIPE
Prince Pipes And Fittings — Q4 FY22 Earnings Presentation
42 slides from Prince Pipes And Fittings's earnings presentation, May 19, 2022
Slide 1: Exchange filing cover letter for conference call presentation
\Al -=---- PRINCE® PIPING SYSTEMS PPFL/SE/2022-2023/12 May 19, 2022 To, BSE Limited National Stock Exchange of India Limited 25th Floor, P.J Towers, Exchange Plaza, Sandra Kurla Complex, Dalal Street, Mumbai-400001 Sandra (E), Mumbai -400051 Scrip Code: 542907 Scrip Code: PRINCEPIPE Dear Sir/Madam,
Slide 2: Investor Presentation Q4 & Year Ended FY22
Prince Pipes and Fittings Limited INVESTOR PRESENTATION Q4 & YEAR ENDED FY22
Slide 3: Disclaimer
DISCLAIMER This information may contain certain forward‐looking statements/details in the current scenario, which is extremely dynamic and increasingly fraught with risks and uncertainties. Actual results, performances, achievements or sequence of events may be materially different from the views ex
Slide 4: Table of Contents
TABLE OF CONTENTS PERFORMANCE HIGHLIGHTS 04 BUSINESS HIGHLIGHTS 05 FINANCIAL PERFORMANCE 07 INDUSTRY OVERVIEW 11 UNION BUDGET 2021‐22 HIGHLIGHTS AND RELEVANCE 13 COMPANY OVERVIEW 14 LEADERSHIP, INNOVATION AND EXECUTION 24 THE ROAD AHEAD… 25 PRODUCT BASKET 26 SEEKING GROWTH…THE ESG WAY 31 AWARDS AND
Slide 5: Performance Highlights
PERFORMANCE HIGHLIGHTS o For Q4FY22, revenue at ₹ 901 crore compared to ₹ 761 crore in Q4FY21, grew by 18% o For FY22, revenue at ₹ 2,657 crore compared to ₹ 2,072 crore in FY21, grew by 28% o Sales volume increased by 9% at 45,287 MT in Q4FY22 as compared to 41,644 MT in Q4FY21 o Sales volume incre
Slide 6: Business Highlights
BUSINESS HIGHLIGHTS o Prince Flowguard Plus continues to gain strong adoption, with better contribution to net revenues positioned as a core product in the portfolio o New product launches: PE‐FIT Aqua ‐ HDPE Piping Systems: offers major advantages of polyethylene material which results in much lo
Slide 7: Business Highlights (Cont.)
BUSINESS HIGHLIGHTS …Cont o Awarded The Customer FEST Best Channel Loyalty Program for its unique customer loyalty program Prince Udaan. Prince Flowguard+ CPVC and Prince Easyfit UPVC are the 2 main product categories for which Prince Pipes nominations were accepted. PPFL ‐ One of the first corpor
Slide 8: Financial Performance for Q4 FY2022
FINANCIAL PERFORMANCE FOR Q4 FY2022 Revenue (₹ in Crs.) Sales Volume (MT) EBITDA (₹ in Crs.) PAT (₹ in Crs.) 45,287 41,644 901 147 97 140 761 88 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 7 INVESTOR PRESENTATION | March 2022
Slide 9: Financial Performance for FY2022
FINANCIAL PERFORMANCE FOR FY2022 Revenue (₹ in Crs.) Sales Volume (MT) EBITDA (₹ in Crs.) PAT (₹ in Crs.) 1,38,289 1,39,034 2,657 415 249 362 222 2,072 FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 8 INVESTOR PRESENTATION | March 2022
Slide 10: Profit & Loss Statement as on 31st March, 2022
PROFIT & LOSS STATEMENT AS ON 31ST MARCH, 2022 ₹ in Crore Particulars Q4FY22 Q3FY22 Q4FY21 Y‐o‐Y (%) FY22 FY21 Y‐o‐Y (%) Total Sales 901 664 761 18.3% 2,657 2,072 28% Raw Material Consumed 655 456 496 32% 1,892 1,379 37% Employee benefit expenses 35 32 27 29.6% 116 100 16% Other Expenses 71 65 91 (2
Slide 11: Working Capital Cycle
WORKING CAPITAL CYCLE 68 58 55 36 36* 66 67 78 59 47 70 40 77 59 62 40 66 60 85 77 FY18 FY19 FY20 FY21 FY22 Debtor Days Inventory Days Creditor Days Working Capital Days * Reclassified to 15 days based on regrouping of financials for FY 21 10 INVESTOR PRESENTATION | March 2022
Slide 12: Industry Overview
INDUSTRY OVERVIEW India's Low per capita pipe Consumption vs World Avg. (in Kg) Domestic Plastic Pipes & Fittings Market Size (₹. in Bn) 12‐14% CAGR 110 550 10‐12% CAGR 65 World Avg. 30 ~300 270 250 45 225 205 33 180 11 US Europe China Brazil India FY14 FY15 FY16 FY17 FY18 FY19 FY24P Source: CRISIL
Slide 13: Industry Growth Drivers
INDUSTRY GROWTH DRIVERS Swachh Bharat Mission 75% of 600 million – To achieve universal households do sanitation coverage and Smart City Mission – To Indians face drive economic growth not have high to extreme to put focus on drinking water By 2030, 40% of and improve the quality stress over Sanitat
Slide 14: Union Budget 2021-22 Highlights and Relevance
UNION BUDGET 2021‐22 HIGHLIGHTS AND RELEVANCE PLUMBING PIPE INFRASTRUCTURE PIPE AGRICULTURE PIPE o The Urban Swachh Bharat o Enhancement in the Agricultural Mission 2.0, on the other hand, o Ministry of Housing and Urban Credit to Rs. 16.5 Lakh crores in will be undertaken with a affairs has been al
Slide 15: Company Overview
COMPANY OVERVIEW Vision Mission Prince Pipes and Fittings Limited is To be an acknowledged leader in Indian plastic Our mission is to bring a revolution in plastic an Indian manufacturer of polymer piping industry by exceeding customers piping industry through innovative solutions expectations and m
Slide 16: Prince at a Glance
PRINCE AT A GLANCE 1987 7 8 7,200+ Incorporation No. of Facilities Warehouses SKUs ~1,500+ CRISIL A+ Long Term 1,662 Channel Partners Outlook: STABLE Debt Free Employees 7,012 Cr 249 Cr ~2,83,000 MTPA Prince and Market Cap PAT Total installed Trubore (For Mar 31st 2022) (For FY 2022) Capacity Produc
Slide 17: Our Journey Since IPO
OUR JOURNEY SINCE IPO Q3FY20 Q4FY22 ₹ 396 Cr. Revenue ₹ 901 Cr. 1,739 Employee Strength 1,662 1,408 Channel Partners 1,500+ 7,167 SKU’s 7,200+ ₹ 24 Cr. PAT ₹ 88 Cr. 16 INVESTOR PRESENTATION | March 2022
Slide 18: Our Strategy to Success
OUR STRATEGY TO SUCCESS We generate organic growth by focusing on innovation, market proximity, digitalization and our industrial potential. Organic growth 1 2 Promoting clean energy at Manufacturing units Operational Excellence 3 We achieve cost reductions by continuously We cater to new product se
Slide 19: Our Journey
OUR JOURNEY 2000 New plant set up 2018 1987 at Dadra Appointed Akshay Kumar 2020 (Western India) Incorporated as a as Brand Ambassador and for pipe Got listed on BSE & NSE private limited company rolled out campaigns manufacturing with an IPO of ₹ 5bn across platforms 2012 Acquisition of plants in T
Slide 20: Our Manufacturing Capabilities
OUR MANUFACTURING CAPABILITIES Athal 1995 Dadra 2000 Haridwar 2008 Chennai 2012 Product Product Product Product Installed 11,110 Installed 62,446 Installed 89,163 Installed 56,009 Capacity MTPA FITTINGS Capacity MTPA PIPES Capacity MTPA PIPES & Capacity PIPES MTPA FITTINGS Kolhapur 2012 Jaipur 2019
Slide 21: Always Staying Ahead of the Curve
ALWAYS STAYING AHEAD OF THE CURVE 2008 2012 2014 2020 2021 First company to Acquired Chennai & Early movers in Tie up with Lubrizol Commissioning of venture into North Kolhapur plant Eastern India with a to form CPVC Telangana plant in India and set up a through inorganic unique asset light compound
Slide 22: Strategic Distribution - Expanding Footprints
STRATEGIC DISTRIBUTION ‐ EXPANDING FOOTPRINTS NORTH EAST JAMMKASHMIR First mover in 2008 with Next frontier of growth HIMACHAL PRADESH Haridwar plant Asset light model To scale brand equity in North PUNJAB through outsourcing HARYANA UTTARAKHAND GHAZIABAD HARIDWAR g CORPORATE OFFICE DELHI JAIPUR RAJ
Slide 23: Investment Rationale
INVESTMENT RATIONALE A management Strategic A nationwide Portfolio of Long‐term team of experienced placement of robust 7200+ SKUs, partnerships to and skillful manufacturing distribution one of the ensure smooth professionals with plants running network largest amongst and cohesive proven leadershi
Slide 24: Market Consolidation - A Boon for Prince Pipes & Fittings
MARKET CONSOLIDATION – A BOON FOR PRINCE PIPES & FITTINGS PPFL is one of the front‐runners to benefit from these events and has gained significant market share over the last seven years 4 Opportunity to grab major market share as the Nationwide manufacturing and distribution unorganised sector becom
Slide 25: Leadership and Innovation
LEADERSHIP AND INNOVATION Over 3 decades, built a deep knowledge of handling multiple polymers Leading to a transition in polymer profile Largest range of SKU’s across multi polymers Early Adopters Market Leaders Innovative Trendsetters Sustained market share in PP‐R In DWC Underground Drainage In A
Slide 26: The Road Ahead: Why Prince Flowguard Plus?
THE ROAD AHEAD…WHY PRINCE FLOWGUARD PLUS ? 1st Choice World's most World‐Class Extreme Globally for preferred range Product now Temperature Potable Water of CPVC Pipes & comes with 30 Resistance for The Inventors World’s Applications Fittings with 50 Years of Trust use upto 93°C India's Leading Pipe
Slide 27: Product Basket
PRODUCT BASKET Plumbing Solutions PPR Plumbing & Low Noise SWR CPVC Plumbing Industrial UPVC Plumbing Underground Drainage Roofwater Piping Systems UPVC Industrial Piping Systems Underground Double Wall Corrugated Pipes Sewage & Underground Drainage Portfolio Reclaim Piping Systems SWR Piping System
Slide 28: Product Basket
PRODUCT BASKET Sewage & Underground Drainage Portfolio Irrigation Solutions Storage Solutions Agriculture Piping Systems Manhole & Chamber Covers Solutions Borewell FRP Manhole & Chamber Cover 27 INVESTOR PRESENTATION | March 2022
Slide 29: Technical Collaboration with Tooling Holland
TECHNICAL COLLABORATION WITH TOOLING HOLLAND INNOVATING TO THE NEXT LEVEL PRINCE PIPES TIES UP WITH TOOLING HOLLAND BV Building & offering Great impetus to superior products, aligned Prince Pipes’ to global standards and at Global leaders in Mould growth plans competitive costs Manufacturing Researc
Slide 30: Storefit - Paani Ka Bank
STOREFIT – PAANI KA BANK Launched Range of Tanks under the Brand 30 Years Leveraging experience in Plastics & Building materials offering a wide range of sizes from 500 to 5,000 ltrs Strong Pan India Presence Advantage of Multi‐Locations Manufacturing & Marketing Robust Distribution Infrastructure E
Slide 31: Focus on Triple Bottom Line
FOCUS ON TRIPLE BOTTOM LINE 7,866 MT Coal Burned/Year Financial Green Energy 1 Equal To 260 K Tree Seedlings, Grown for a Decade Triple Bottom‐line 2 Environmental Reduce Green‐house Gas Emissions over the past years Goals 4.8% Carbon Footprints reduced in 1 year 59,026 MT Carbon Footprints saved in
Slide 32: Seeking Growth - The ESG Way
SEEKING GROWTH – THE ESG WAY… Use Clean Energy Conserve Water Environment Efficient Waste Management The challenging times during the pandemic showcased the value of Manufacture high‐quality products environment, sustainability and Contribute towards Social Causes cleanliness. We, at Prince Pipes ar
Slide 33: Awards & Achievements
AWARDS & ACHIEVEMENTS Certificate of appreciation Mr. Parag Chheda ‐ JMD was Digital Transformation for active association at the awarded the ‘Inspiring Awards 2016 – Prince pipes has been awarded 2016 Gujarat Premier 10th Mega Business Leader Award’ at Transformation with 2022 The best channel Loya
Slide 34: Product Branding
PRODUCT BRANDING Auto Branding & Marketing Targeting Regional Festivals Promoting Prince + FGP through shop boards Auto Branding & World Plumbing Day Marketing Campaign 33 INVESTOR PRESENTATION | March 2022
Slide 35: Pan India Influencer & Channel Engagement Activities
PAN INDIA‐INFLUENCER & CHANNEL ENGAGEMENT ACTIVITIES 34 INVESTOR PRESENTATION | March 2022
Slide 36: Pledge to Donate Oxygen Concentrators for Bihar and Rajasthan
PLEDGE TO DONATE OXYGEN CONCENTRATORS FOR BIHAR AND RAJASTHAN Prince Pipes & Fittings Limited (PPF) announced that the company is airlifting oxygen concentrators from international partners to contribute to India’s relief efforts in fighting the surging second wave of Covid‐19. 100 Oxygen concentrat
Slide 37: Board of Directors
BOARD OF DIRECTORS Independent & Nominee Directors Mr. Ramesh Chandak, Mr. Dilip Deshpande, Mr. Jayant S. Chheda Independent Director Independent Director Founder, Chairman and MD With past affiliations at KEC International Ltd., Parag He has more than 45 years of experience, having served He has an
Slide 38: Corporate Information & Shareholding
CORPORATE INFORMATION & SHAREHOLDING Shareholding Pattern (as on 31st March, 2022) Stock Data Institutions Market Cap as on 18th May, 2022 ₹ 7,205 Cr. 18% Stock Price as on 18th May, 2022 ₹ 651.65 52 Week (High / Low) ₹ 896.65/595.30 Others 19% NSE / BSE ‐ Symbol PRINCEPIPE / 542907 Promoters 63% No
Slide 39: Annual Financial Performance
ANNUAL FINANCIAL PERFORMANCE ₹ in Crore Net Revenue from Products EBITDA & EBITDA Margin PAT & PAT Margin 12.3%% 12.3% 14.0% 17.5% 15.6% 5.6% 5.3% 6.9% 10.7% 9.4% 2,650 Margin Margin 2,068 415 249 1,561 1,631 362 222 1,315 229 162 184 113 74 82 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18
Slide 40: Stakeholder's Value Creation
STAKEHOLDER'S VALUE CREATION A disciplined balance sheet Navigating opportunities across new Strong Corporate Governance 30% geographies 29% Enhancing Brand Highly Scalable Equity Manufacturing Capabilities 266% 36% Prudent Capital Vision‐oriented Allocation leadership 39 INVESTOR PRESENTATION | Mar
Slide 41: Outlook
OUTLOOK Expanding our distribution 00 network across target markets Introducing value added products Improving RoCE and RoE ratios to ensure cost efficiency and by monitoring volume and enhanced market share price growth Bringing a more PREMIUM touch to the PRINCE brand Achieving sustainable growth
Slide 42: Thank You
THANK YOU PRINCE PIPES AND FITTINGS LTD. CONTACT DETAILS Mr. Shyam Sharda THE RUBY, 8TH FLOOR, 29, SENAPATI BAPAT MARG CFO (TULSI PIPE ROAD), DADAR (WEST), MUMBAI‐ 400028, INDIA. Mail: shy@princepipes.com Fax: + 91 22 6602 2220 Email: info@princepipes.com Mr. Anand Gupta Deputy CFO Mail: aag@princep
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