Greenply Industries Ltd · NSE:GREENPLY
Greenply Industries — Q1 FY2020 Earnings Presentation
41 slides from Greenply Industries's earnings presentation, Aug 14, 2019
Slide 1: Cover letter to stock exchanges on results presentation
Greenply/2019-20 August 14, 2019 The Manager The Manager SSELimited National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, Sandra Kurla Complex Floor 25, P. J. Towers, Dalal Street Sandra (E) Mumbai - 400 001 Mumbai - 400 051 Security Code: 526797 Symbol- GREENPlY
Slide 2: Financial Results Presentation Q1 FY 2020
GREENPLY INDUSTRIES LIMITED FINANCIAL RESULTS PRESENTATION Q1 FY 2020
Slide 3: Disclaimer
DISCLAIMER Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those s
Slide 4: Contents
CONTENTS 1. Consolidated and Standalone Financial Highlights 2. Financial Highlights – Balance Sheet perspective 3. Financial Highlights - Ratios 4. Consolidated performance 5. Greenply Standalone performance 6. Chairman’s message 7. Company Overview 8. Outlook 9. Annexure
Slide 5: Consolidated and Standalone Financial Highlights – Q1 FY 2020
CONSOLIDATED AND STANDALONE FINANCIAL HIGHLIGHTS – Q1 FY 2020 • Consolidated Net Sales up by 13.5% YoY to Rs. 348.2 crores Standalone Net Sales up by 6.5% YoY to Rs. 304.2 crores • Consolidated Gross margins up by 384 bps YoY to 41.9% Standalone Gross margins up by 361 bps YoY to 40.7% • Consoli
Slide 6: Consolidated Financial Highlights Q1 FY 2020 vs Q1 FY 2019
CONSOLIDATED FINANCIAL HIGHLIGHTS Q1 FY 2020 vs Q1 FY 2019 Q1 FY20 Q1 FY19 Key ratios (%) Q1 FY20 Q1 FY19 Gross Margin 41.9% 38.1% 13.5% EBITDA Margin 11.9% 7.0% 348.2 NET SALES 306.9 EBIT Margin 10.1% 5.2% 24.9% Net Margin 6.0% 2.2% Ad and promotions / Net Sales 3.9% 4.7% 145.9 GROSS PROFIT 116.8 S
Slide 7: Standalone Financial Highlights Q1 FY 2020 vs Q1 FY 2019
STANDALONE FINANCIAL HIGHLIGHTS Q1 FY 2020 vs Q1 FY 2019 Q1 FY20 Q1 FY19 Key ratios (%) Q1 FY20 Q1 FY19 Gross Margin 40.7% 37.1% 6.5% EBITDA Margin 11.1% 8.2% 304.2 NET SALES 285.6 EBIT Margin 9.3% 6.5% 16.9% Net Margin 5.2% 3.4% Ad and promotions / Net Sales 4.5% 5.1% 123.8 GROSS PROFIT 105.9 Staff
Slide 8: Financial Highlights Balance Sheet Perspective
FINANCIAL HIGHLIGHTS BALANCE SHEET PERSPECTIVE Consolidated Standalone Balance Sheet Snapshot (Rs. crore) June 30, 2019 June 30, 2018 June 30, 2019 June 30, 2018 Net worth 356.6 278.2 347.1 289.0 Total debt 259.2 255.4 167.8 192.0 Long Term Debt (Including Current Maturity) 123.2 111.6 47.8 59.3
Slide 9: Financial Highlights – Ratios
FINANCIAL HIGHLIGHTS – RATIOS Consolidated Standalone Key Ratios June 30, 2019 June 30, 2018 June 30, 2019 June 30, 2018 Inventory (days) 45 40 44 38 Debtor (days) 89 79 95 80 Creditor (days) 74 52 81 54 Working Capital Turnover (days) 60 67 58 64 RoE (%) 23.56% 16.62% 18.12% 13.47% RoCE – Pre-Tax 2
Slide 10: Consolidated Performance Q1 FY 2020 vs Q1 FY 2019
CONSOLIDATED PERFORMANCE Q1 FY 2020 vs Q1 FY 2019 Q1 FY20 Sales (Rs. Crore) Gross Profit (Rs. Crore) EBITDA (Rs. Crore) 348 304 146 41.6 124 33.7 44 22 7.86 79.7 Greenply India Subsidiaries Consolidated Greenply India Subsidiaries Consolidated Greenply India Subsidiaries Consolidated Q1 FY19 Sales (
Slide 11: Greenply Standalone Performance
GREENPLY STANDALONE PERFORMANCE Particulars Q1 FY20 Q1 FY19 Var (%) Net sales (Rs. crore) 304.23 285.60 6.5% EBITDA margin (%) 11.1% 8.2% EBIT margin (%) 9.3% 6.5% Annual capacity (million sqm.) 24.9 24.9 Production (million sqm.) 8.64 7.72 11.9% Sales volume (million sqm.) 13.57 13.04 4.1% Utilisat
Slide 12: Chairman's Message
Chairman’s Message Commenting on the performance for Q1 FY 2020, Mr. Rajesh Mittal, Chairman cum Managing Director and CEO, Greenply Industries Ltd. said, “We have done well in the quarter under review growing across almost all parameters. Consolidated Net Sales grew by 13.5% in comparison to the y-
Slide 13: Consolidated Financial Results Q1 FY 2019
CONSOLIDATED FINANCIAL RESULTS Q1 FY 2019 (Rs. in lakhs) CONS 3M CONS 3M CONS 3M CONS12M Particulars 30.06.2019 31.03.2019 30.06.2018 31.03.2019 Income a) Revenue from operations 34,944.81 39,174.59 30,894.66 141,216.17 b) Other income 41.39 60.92 81.70 326.64 Total Income 34,986.20 39,235.51 30,976
Slide 14: Standalone Financial Results Q1 FY 2019
STANDALONE FINANCIAL RESULTS Q1 FY 2019 (Rs. in lakhs) STD 3M STD 3M STD 3M STD 12M Particulars 30.06.2019 31.03.2019 30.06.2018 31.03.2019 Income a) Revenue from operations 30,543.61 34,391.36 28,761.57 128,378.83 b) Other income 102.96 135.68 154.83 645.91 Total Income 30,646.57 34,527.04 28,916.4
Slide 15: Company Overview
COMPANY OVERVIEW CAPACITY UTILIZATION PRODUCTION MODEL RAW MATERIAL SUSTAINABILITY • Plywood 139% utilization (Q1 FY 20); further • Plywood – Moving towards an asset light set-up • Plantation of fast growing and improved species of demand being catered through outsourcing by increasing outsourcing i
Slide 16: Growth Outlook
GROWTH OUTLOOK INDUSTRY DRIVERS PRODUCT PROFILE ADVERTISING & PROMOTIONAL SPENDS • Rising demand from the real estate sector • To improve mix of plywood through increase in • Continued investments in increasing brand • Increasing urbanisation, higher disposable mix of value-added products like Green
Slide 17: Annexure
ANNEXURE
Slide 18: Plywood Manufacturing Facilities / Business Model
MANUFACTURING FACILITIES / BUSINESS MODEL Facilities Business Model Capacity Presently 45% in-house, 55% outsourced in volume terms Location (including Matt Plywood) (mn sqm.) PLYWOOD Tizit, Nagaland 4.50 To increase proportion of outsourcing to 55% (in value terms) from 50% currently over next 2 ye
Slide 19: Our Brands
OUR BRANDS | __ GREEN petiber ECOTtC Hwan alot WOOD A BLOCKBOARD
Slide 20: About Greenply Industries Limited
ABOUT GREENPLY INDUSTRIES LIMITED Greenply Industries Limited (GIL) enjoys leadership position in plywood for more than 26 percent of the organized plywood market in India. GIL has three state–of-the-art manufacturing facilities for Plywood spread across the country producing world class interior pr
Slide 21: Financial Results Presentation Q4 and FY 2019
GREENPLY INDUSTRIES LIMITED FINANCIAL RESULTS PRESENTATION Q4 and FY 2019 (Restated financial results consequent to the approval by the Hon’ble National Company Law Board (NCLT), Guwahati Bench on the Composite Scheme of Arrangement between Greenply Industries Limited and Greenpanel Industries Limit
Slide 22: Disclaimer
DISCLAIMER Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those s
Slide 23: Overview
Overview • This presentation represents Greenply financial performance for the quarter and financial year ended 31st March 2019. • The Audited Standalone Financial Statements and Audited Consolidated Financial Statements for the quarter and financial year ended 31st March, 2019 have been restated co
Slide 24: Contents
CONTENTS 1. Consolidated and Standalone Financial Highlights 2. Consolidated and Standalone Profit and loss and Balance sheet details 3. Key ratios – Consolidated and Standalone 4. Consolidated Performance 5. Greenply Standalone Performance 6. Company Overview 7. Outlook 8. Annexure
Slide 25: Consolidated and Standalone Financial Highlights – FY 2019
CONSOLIDATED AND STANDALONE FINANCIAL HIGHLIGHTS – FY 2019 • Consolidated Net Sales up by 56% YoY to Rs. 1,404 crores Standalone Net Sales up by 45% YoY to Rs 1,276 crores • Consolidated Gross margins up by 193 bps YoY to 39.25% Standalone Gross margins up by 111 bps YoY to 37.17% • Consolidated
Slide 26: Consolidated Financial Highlights – FY 2019
CONSOLIDATED FINANCIAL HIGHLIGHTS – FY 2019 FY 19 FY 18 Key ratios (%) FY19 FY18 Gross Margin 39.2% 37.3% 56% EBITDA Margin 10.5% 7.5% 1,404 NET SALES 900 EBIT Margin 8.9% 5.5% 64% Net Margin 5.7% 2.3% Ad and promotions / Net Sales 4.2% 4.0% 551 GROSS PROFIT 336 Staff Cost/ Net Sales 10.8% 13.0% 117
Slide 27: Standalone Financial Highlights – FY 2019
STANDALONE FINANCIAL HIGHLIGHTS – FY 2019 FY 19 FY 18 Key ratios (%) FY19 FY18 Gross Margin 37.2% 36.0% 45% EBITDA Margin 9.9% 8.0% 1,276 NET SALES 879 EBIT Margin 8.4% 6.3% 50% Net Margin 4.8% 4.0% Ad and promotions / Net Sales 4.6% 4.1% 474 GROSS PROFIT 317 Staff Cost/ Net Sales 11.0% 12.6% 78% Lo
Slide 28: Consolidated Financial Highlights – Q4 2019
CONSOLIDATED FINANCIAL HIGHLIGHTS – Q4 2019 Q4 FY 19 Key ratios (%) Q4 FY19 390.6 NET SALES Gross Margin 39.8% EBITDA Margin 12.5% EBIT Margin 11.1% 155.6 GROSS PROFIT Net Margin 7.6% Ad and promotions / Net Sales 4.1% Staff Cost/ Net Sales 9.6% 48.8 EBITDA Logistics cost / Net Sales 4.9% EPS (Rs.)
Slide 29: Standalone Financial Highlights – Q4 2019
STANDALONE FINANCIAL HIGHLIGHTS – Q4 2019 Q4 FY 19 Key ratios (%) Q4 FY19 342.9 NET SALES Gross Margin 37.3% EBITDA Margin 10.3% EBIT Margin 8.9% 127.8 GROSS PROFIT Net Margin 5.4% Ad and promotions / Net Sales 4.6% Staff Cost/ Net Sales 10.2% 35.2 EBITDA Logistics cost / Net Sales 5.6% EPS (Rs.) 1.
Slide 30: Consolidated and Standalone Financial Highlights – B/S Perspective
CONSOLIDATED AND STANDALONE FINANCIAL HIGHLIGHTS – B/S PERSPECTIVE Balance Sheet Snapshot Consolidated (Rs. crore) Standalone (Rs. crore) March 31, 2019 March 31, 2018 March 31, 2019 March 31, 2018 Net worth 335.22 267.16 331.34 268.89 Total debt 250.02 253.81 143.64 200.60 Long Term Debt (Includi
Slide 31: Consolidated and Standalone Financial Highlights – Ratios
CONSOLIDATED AND STANDALONE FINANCIAL HIGHLIGHTS – RATIOS Consolidated Standalone Key Ratios March 31, 2019 March 31, 2018 March 31, 2019 March 31, 2018 Inventory (days) 44 52 41 47 Debtor (days) 79 94 81 93 Creditor (days) 60 80 69 79 Working Capital Turnover (days) 63 66 53 61 RoE (%) 23.77% 7.78%
Slide 32: Consolidated Performance – FY 2019 vs FY2018
CONSOLIDATED PERFORMANCE – FY 2019 vs FY2018 FY19 Sales (Rs. Crore) Gross Profit (Rs. Crore) EBITDA (Rs. Crore) 1,404 551 1,276 474 147 126 128 77 21 79.7 Greenply India Subsidiary Consolidated Greenply India Subsidiary Consolidated Greenply India Subsidiary Consolidated FY18 Sales (Rs. Crore) Gross
Slide 33: Consolidated Performance – Q4 FY 2019
CONSOLIDATED PERFORMANCE – Q4 FY 2019 Sales (Rs. Crore) Gross Profit (Rs. Crore) EBITDA (Rs. Crore) 391 156 49 343 128 35 14 28 48 Greenply India Subsidiary Consolidated Greenply India Subsidiary Consolidated Greenply India Subsidiary Consolidated
Slide 34: Greenply Standalone: Plywood Performance
GREENPLY STANDALONE: PLYWOOD PERFORMANCE Particulars Q4FY19 FY19 FY18 Var (%) Net sales (Rs. crore) 340.96 1,268.79 847.47 49.7% EBITDA margin (%) 10.3% 10.46% 9.12% Plywood EBIT margin (%) 8.9% 9.0% 7.3% Annual capacity (million sqm.) 24.9 24.9 21.9 Production (million sqm.) 9.22 34.69 23.62 46.9%
Slide 35: Financial Results Q4 & FY 2019
FINANCIAL RESULTS Q4 & FY 2019 Standalone (Rs. in lakhs) Cons olidated Particulars STD 3M STD 3M STD 3M STD 12M STD 12M CONS CONS 31.03.2019 31.12.2018 31.03.2018 31.03.2019 31.03.2018 12M 31.03.2019 12M 31.03.2018 Income a) Revenue from operations 34,391.36 31,196.55 24,310.52 128,378.83 90,617.09
Slide 36: Company Overview
COMPANY OVERVIEW CAPACITY UTILIZATION PRODUCTION MODEL RAW MATERIAL SUSTAINABILITY • Plywood 139% utilization (FY 19); further demand • Plywood – Moving towards an asset light set-up • Plantation of fast growing and improved species of being catered through outsourcing by increasing outsourcing in m
Slide 37: Growth Outlook
GROWTH OUTLOOK INDUSTRY DRIVERS PRODUCT PROFILE ADVERTISING & PROMOTIONAL SPENDS • Rising demand from the real estate sector • To improve mix of plywood through increase in • Continued investments in increasing brand • Increasing urbanisation, higher disposable mix of value-added products like Green
Slide 38: Annexure
ANNEXURE
Slide 39: Plywood Manufacturing Facilities / Business Model
MANUFACTURING FACILITIES / BUSINESS MODEL Facilities Business Model Capacity Presently, 50% in-house, 50% outsourced in volume terms Location (including Matt Plywood) (mn sqm.) PLYWOOD Tizit, Nagaland 4.50 To increase proportion of outsourcing to 55% (in value terms) from 45% currently over next 2 y
Slide 40: Our Brands
OUR BRANDS | __ GREEN petiber ECOTtC Hwan alot WOOD A BLOCKBOARD
Slide 41: About Greenply Industries Limited
ABOUT GREENPLY INDUSTRIES LIMITED Greenply Industries Limited (GIL) enjoys leadership position in plywood for more than 26 percent of the organized plywood market in India. GIL has three state–of-the-art manufacturing facilities for Plywood spread across the country producing world class interior pr
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