Hindalco Industries Limited · NSE:HINDALCO
Hindalco Industries — Q3 FY13 Earnings Presentation
25 slides from Hindalco Industries's earnings presentation, Feb 8, 2013
Slide 1: Investor Presentation Q3 FY13
INVESTOR PRESENTATION Q3 FY13 February 8, 2013
Slide 2: Q3, FY13: Highlights
Q3, FY13: Highlights Sequentially .. Strong improvement Net Profit up 21% EBITDA up 13%, PBIDTA up 39% Aluminium EBIT up 22% Copper EBIT up 8% Cost pressures and some effect of earlier disruptions affected Aluminium; operations back to normalcy now Projects in the final lap Strong Perf
Slide 3: Financial Performance: Q3
Financial Performance: Q3 Change Q3 Change ` Cr Q3 FY13 Q2 FY13 VS Q2 FY 13 FY12 VS Q3 FY 12 Net Sales 6,872 6,164 11.5 6,647 3.3 EBITDA 582 515 12.9 713 (18.4) PBITDA 900 648 39.0 805 11.8 PBT 543 447 21.4 551 (1) PAT 434 359 20.9 451 (3.7) EPS (`) 2.26 1.87 2.35 3
Slide 4: Performance Review
ADITYA BIRLA’ PERFORMANCE REVIEW HINDALCO |
Slide 5: Aluminium Business: Highlights
Aluminium Business: Highlights Smelter operations have stabilized after H1 disruptions First steps towards commissioning started at Utkal and Mahan Hirakud : New unit of the power plant ready Hirakud FRP: First slab rolled in Hot Mill; other equipments like scalper, soaking pit and slitter c
Slide 6: Al: External factors
Al: External factors Q3 FY13 vs. Impact Q2 FY13 LME ($/t) +4% Exch. Rate (`/$) Nearly flat Lower than last Ingot Premium quarter Stable, but at Other key input prices elevated levels 6
Slide 7: Al: Production Performance
Al: Production Performance Metal Output (kt) Alumina Output (kt) 139 328 326 128 Q2 FY13 Q3 FY13 Curtailment of output at Belgaum related Q2 FY13 Q3 FY13 to bauxite issues 7
Slide 8: Al: Financial Performance
Al: Financial Performance Net Sales (` Crore) EBIT (` Crore) 2,215 22% 206 2,105 170 Q2 FY13 Q3 FY13 Q2 FY13 Q3 FY13 Volumes, LME 8
Slide 9: Performance Review: Copper
PERFORMANCE REVIEW: COPPER A Stable Quarter 9
Slide 10: Cu: External factors were mixed
Cu: External factors were mixed Q3 FY13 vs. Impact Q2 FY13 TCRC Slightly higher LME ($/t) +2% Exch. Rate (`/$) Nearly flat Acid Price Significantly lower DAP Realization Stable Sharp drop in acid realizations and weak demand for DAP key challenges in the coming months 10
Slide 11: Cu: Production Performance
Cu: Production Performance Cathode Output (kt) DAP Output (kt) 84 78 61 58 Q2 FY13 Q3 FY13 Q2 FY13 Q3 FY13 Output improving sequentially after shutdowns in Q1 11
Slide 12: Cu: Financial Performance
Cu: Financial Performance Net Sales (` Crore) EBIT (` Crore) 4,661 4,066 8% 225 209 Q2 FY13 Q3 FY13 Q2 FY13 Q3 FY13 12
Slide 13: Segmental Performance – Q3 FY13
Segmental Performance – Q3 FY 13 Aluminium Greenfield Copper SALES 32% 68% EBIT 48% 52% C.E 25 59% 16%
Slide 14: Financial Performance: 9M
Financial Performance: 9M Change ` Cr 9M FY13 9M FY12 (%) Net Sales 19,063 18,950 0.6 EBITDA 1,560 2,240 (30.4) PBITDA 2,312 2,695 (14.2) PBT 1,502 1,958 (23.2) PAT 1,217 1,597 (23.8) EPS (`) 6.36 8.34 (23.7) 14
Slide 15: Near term Outlook
Near term Outlook Aluminium operations returning to normalcy Steady outlook for Copper Business External environment continue to be challenging, given the macroeconomic uncertainty, subdued LME and cost pressures With projects getting readied for commissioning stabilizing new factories will be a key
Slide 16: Aluminium Industry dynamics
Aluminium Industry dynamics…. 1. Resource challenges 2. Overhang of Inventory IMF Energy Price Index LME - Al World Al Stocks (Mn Tones) (Indexed Jan-05 = 100) 12.2 300 12.0 250 10.0 200 234 8.0 150 6.0 100 4.0 50 106 2.0 0 0.0 Jan-07 Sep-07 Jan-07 Sep-07 May-12 May-12 Jan-05 Sep-05 Jan-09 Sep-09 Ja
Slide 17: Industry dynamics & Hindalco
Industry dynamics & Hindalco Growth strategy based on Resource challenges are likely control over resources even to continue into the long-term more relevant than in the past Inventory overhang and its Pressure on margins for effects are transient; but may existing facilities will continue; continue
Slide 18: Projects at a Glance
PROJECTS AT A GLANCE Greenfield projects in the last lap 18
Slide 19: Mahan Aluminium
Mahan Aluminium Pot room Worker training: Pot room CPP #1 Light-up 220 KV line charged 19
Slide 20: Utkal Alumina
Utkal Alumina Precipitation Unit Bauxite handling Crusher at mine top CPP: Unit 1 20
Slide 21: Hirakud FRP
Hirakud FRP Hot mill Cold Mill Slitter Tension Leveler 21
Slide 22: Aditya Aluminium
Aditya Aluminium Pot tending machine Cast House Alumina Handling Conveyor Chimney 1 & 2 (275 Mtr height) 22
Slide 23: Forward Looking & Cautionary Statement
Forward Looking & Cautionary Statement Certain statements in this report may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the
Slide 24: Thank you
ADITYA BIRLA HINDALCO Thank you
Slide 25: Appendix: Sales Volume
Appendix Aluminium Sales Volume (tonnes) Q3 FY12 Q3 FY13 Chemicals 67434 74042 Primary Metal 87536 74962 VAP 58580 59250 Copper Sales Volume (tonnes) Q3 FY12 Q3 FY13 Cathodes 47602 45857 CC Rods 38098 35836 DAP 59991 59620