Shaily Engineering Plastics Limited · NSE:SHAILY

Shaily Engineering Plastics — Q3 FY2020 Earnings Presentation

27 slides from Shaily Engineering Plastics's earnings presentation, February 2020

  1. Slide 1: Q3 & 9MFY20 Investor Presentation

    Q3 & 9MFY20 Investor Presentation February 2020

  2. Slide 2: Overview

    A SHAILY © Overview

  3. Slide 3: Safe Harbor

    Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Shaily Engineering Plastics Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe f

  4. Slide 4: Shaily at a Glance

    Shaily at a Glance 5 REVENUE 100+ Injection Facilities in 5 Years CAGR Moulding Gujarat 17% Machines EBITDA PAT 1,100+ 5 Years 5 Years CAGR Employees CAGR 18% 10% 4

  5. Slide 5: Project Management

    Project Management Management Development • Key account • Conceptualization • Supply chain • Program management Development • Continuous improvement Quality & Risk Management Validation Manufacturing Assessment • Precision injection molding Validation • Cleanroom manufacturing • Pilot testing • Inno

  6. Slide 6: Expansion Plans

    Expansion Plans Acquisition of Land & Arranging of Long Term Debt Financing Acquisition of Land ▪ Purchased land admeasuring 17 acres at Halol for future expansion requirements in 2018 ▪ Plant to be commissioned in Q4FY20 ▪ Supplies to commence in Q4FY20 Long Term Debt Financing ▪ Arranged for Rs. 1

  7. Slide 7: Our Performance

    Our Performance

  8. Slide 8: Business Updates

    Business Updates 1 2 3 Medical Devices Toys Segment Carbon Steel Project Submission of trial Initial shipments made Plant to be commissioned batches of 4 different pens to Spin Master in Q4FY20 done to customer in Q3 Ramp up expected in Supplies to commence in Q1 FY21 Q4FY20 8

  9. Slide 9: Operating Performance in 9M FY20

    Operating Performance in 9M FY20 256 Crores 39.9% 44 Crores Revenue Gross Margin EBITDA 17.2% 17 Crores 0.7x EBITDA Margin PAT NET Debt: Equity 9 Figures are rounded off

  10. Slide 10: Key Financial Highlights – Q3FY20

    Key Financial Highlights – Q3FY20 (Rs. Cr.) Revenue Gross Margin % (Rs. Cr.) EBITDA 85.6 87.6 88.3 40.7 15.2 15.5 38.6 39.3 13.1 Q3FY19 Q2FY20 Q3FY20 Q3FY19 Q2FY20 Q3FY20 Q3FY19 Q2FY20 Q3FY20 EBITDA Margin % (Rs. Cr.) PAT (Rs. Cr.) Cash PAT # 17.3 17.6 6.3 10.2 10.8 15.3 5.6 4.3 8.1 Q3FY19 Q2FY20 Q3

  11. Slide 11: Key Financial Highlights – 9MFY20

    Key Financial Highlights – 9MFY20 (Rs. Cr.) Revenue Gross Margin % (Rs. Cr.) EBITDA 261.0 256.4 37.8 39.9 42.6 44.1 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 (Rs. Cr.) PAT (Rs. Cr.) Cash PAT # EBITDA Margin % 16.3 17.2 15.8 16.6 29.9 26.7 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 11 # Cash PAT inclu

  12. Slide 12: Machine Utilization – Across Plants

    Machine Utilization – Across Plants Machine Utilization (%) Revenue (Rs. In Crs) 71 88 88 86 66 67 Q3FY19 Q2FY20 Q3FY20 Q3FY19 Q2FY20 Q3FY20 Figures are rounded off 12

  13. Slide 13: Volume of Polymers Processed

    Volume of Polymers Processed 3,599 10,296 10,026 3,318 3,378 Q3FY19 Q2FY20 Q3FY20 9MFY19 9MFY20 Volume in Tons Figures are rounded off 13

  14. Slide 14: Operational Trends

    Operational Trends Machine Utilization (%) 82 71 74 70 72 72 69 71 67 63 62 66 66 59 Q2FY17 Q3FY17 Q4FY17 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Q1FY20 Q2FY20 Q3FY20 Volumes of Polymers Processed (MT) 3,647 3,547 3,431 3,599 3,374 3,376 3,318 3,378 2,961 3,049 2,771 2,642 2,320 2,43

  15. Slide 15: Revenue Analysis - Domestic Vs. Exports

    Revenue Analysis - Domestic Vs. Exports 9MFY19 9MFY20 Sales Sales 30% 31% 69% 70% Foreign Domestic Foreign Domestic 15 Figures are rounded off

  16. Slide 16: Income Statement

    Income Statement Particulars (Rs. Cr.) Q3FY20 Q3FY19 YoY % Q2FY20 QoQ % 9MFY20 9MFY19 YoY % Revenue 88.3 85.6 3.2% 87.6 0.8% 256.4 261.0 -1.7% Raw Material 52.3 52.5 53.1 154.0 162.4 Employee Expenses 6.5 6.2 6.4 19.0 18.8 Other Expenses* 14.3 14.0 13.7 40.5 38.5 Other Income 0.3 0.2 0.8 1.2 1.3 EBI

  17. Slide 17: Balance Sheet

    Balance Sheet Particulars in (Rs. Cr.) Sep 19 Mar 19 Particulars (Rs. Cr.) Sep 19 Mar 19 Assets Equity & Liabilities Non-current Assets 185.4 175.3 Equity 146.3 136.1 Fixed Assets 8.3 Share Capital 8.3 Property Plant & Equipment 145.2 144.0 Other Equity 137.9 127.8 Capital WIP 8.0 2.7 Non-Current Li

  18. Slide 18: Delivering Profitable Growth

    Delivering PROFITABLE GROWTH Revenue (Rs. In Crs) EBITDA (Rs. In Crs) +17% +18% 318 338 55 54 256 42 44 44 • Revenue growth has 226 246 180 28 been aided by growth in business across verticals; have added new SKUs in Home FY15 FY16 FY17* FY18* FY19* 9MFY20 FY15 FY16 FY17* FY18* FY19* 9MFY20 Furnishi

  19. Slide 19: Margin Profile

    MARGIN Profile 18.5% 17.4% 17.2% • Better Product mix and 17.9% 16.1% economies of scale on account of raw materials 15.6% have led to improvement in margin profile from 10.8% FY15 to FY18 9.5% 9.4% 8.9% 9.0% 8.3% • FY19 margin was profile impacted on account of 6.9% labor shortage, power 7.2% 7.5%

  20. Slide 20: Historical Income Statement as per I-GAAP

    Historical Income Statement as per I-GAAP Particulars in Rs. Crs. FY17 FY16 FY15 FY14 FY13 Total Revenue# 252.6 231.2 185.4 155.1 125.7 Raw Material 151.1 137.3 113.4 86.6 69.0 Employee Expenses 26.6 23.4 19.5 16.0 13.1 Excise Duty 6.2 5.6 5.7 4.3 2.9 Other Expenses 27.5 25.9 20.3 24.0 23.7 Other In

  21. Slide 21: Historical Balance Sheet as per I-GAAP

    Historical Balance Sheet as per I-GAAP Rs. Crs. FY17 FY16 FY15 FY14 FY13 Rs. Crs. FY17 FY16 FY15 FY14 FY13 Shareholder’s Fund 105.6 89.8 78.3 42.6 36.0 Non-current assets 107.3 102.5 87.0 58.0 50 Share capital 8.3 8.3 8.3 7.3 7.3 Fixed assets 97.7 97.7 77.6 49.8 45.2 Reserves & Surplus 97.3 81.4 70.

  22. Slide 22: Disciplined use of Capital

    DISCIPLINED use of Capital ROCE (%) ROE (%) 20.2 19.2 19.6 17.7 17.3 16.6 16.9 16.8 15.0 14.2 14.2 13.4 FY15 FY16 FY17* FY18* FY19* H1FY20*# FY15 FY16 FY17* FY18* FY19* H1FY20*# *As per IndAS # On Annualised basis 22

  23. Slide 23: Growth Along With Low Leverage

    Growth Along With Low Leverage Total Debt : Equity (x) Long Term Debt : Equity (x) Total Debt : EBITDA (x) 1.1 0.4 3.0 0.3 0.9 0.9 0.3 0.3 2.2 0.7 1.9 0.6 0.6 1.6 1.6 0.2 0.2 1.6 FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20*# • The growth

  24. Slide 24: Strong Focus on Improving Our Key Metrics

    Strong Focus on Improving Our Key Metrics Fixed Asset Turnover (X) FCFF to EBITDA (%) 3.0 92 87 88 2.5 80 76 73 2.3 2.3 2.3 2.3 FY15 FY16 FY17* FY18* FY19* H1FY20*# FY15 FY16 FY17* FY18* FY19* H1FY20*# • The Fixed Asset Turnover has been inching up despite continuous capex (barring FY19) on back of

  25. Slide 25: Credit Rating

    Credit Rating Rationale for Upgrade Credit Rating Upgraded: From CARE BBB+/Positive to CARE A-; Stable for Long-term Customer Bank Facilities New Clients Relationship Strong Vast Management performance Experience From CARE A2 to CARE A2+ for Short-term Bank Facilities Long and established track reco

  26. Slide 26: Contact

    Contact Company Investor Relations Advisors Company : Investor Relations Advisors : Shaily Engineering Plastics Ltd. Strategic Growth Advisors Pvt. Ltd. CIN – L51900GJ1980PLC065554 CIN - U74140MH2010PTC204285 Mr. Sanjay Shah, Chief Strategy Officer Mr. Shogun Jain/Mr. Pratik R. Shah sanjay@shaily.co

  27. Slide 27: Thank you

    Thank you

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