Jindal Steel Limited · NSE:JINDALSTEL
Jindal Steel — Jindal Steel & Power — Q2 FY2022 Earnings Presentation
27 slides from Jindal Steel's earnings presentation, Nov 2, 2021
Slide 1: Regulation 30 intimation cover letter
November 2, 2021 JINDA STEEL & POWER BSE Limited Corporate Relationship Department, ‘1st Floor, New Trading Ring, Rotunda Building, P J Towers, Dalal Street, Fort, Mumbai - 400 001 corp.relations@bseindia.com Scrip Code: 532286 National Stock Exchange of India Limited Exchange Plaza, 5 Floor, Plot N
Slide 2: Q2 FY'22 Industry Update & Key Performance Highlights
Q2 FY’22 Industry Update & Key Performance Highlights 2nd November, 2021
Slide 3: Forward looking statements disclaimer
This presentation may contain certain forward looking statements concerning Steel sector , Economy and JSPL’s future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forward looki
Slide 4: Q2 FY'22 Highlights
Q2 FY’22 HIGHLIGHTS NEXT GROWTH INDUSTRY UPDATE COMPANY UPDATE PHASE
Slide 5: JSPL Consolidated Net Debt Bridge - 2QFY22
JSPL CONSOLIDATED NET DEBT BRIDGE- 2QFY22 (In INR Crores) 16,000 1,490 4 2,569 14,000 12,000 10,000 8,000 15,227 6,000 11,164 4,000 2,000 - Net Debt as on 30th Jun 21 Debt reduction Fx Impact Movement in Cash & Cash Net Debt as on 30th Sept '21 Equivalents Note: Based on unaudited numbers
Slide 6: Industry Update
Q2 FY’22 INDUSTRY NEXT GROWTH HIGHLIGHTS UPDATE COMPANY UPDATE PHASE
Slide 7: Fundamentals for Global Steel Industry Remain Solid
Fundamentals for Global Steel Industry Remain Solid Healthy Steel Demand 1. Driven by Government Stimulus 2. Chinese government’s policy to cap CY 2021 steel production below CY 2020 should keep a lid on supply 3. Export rebate’s have been eliminated and mills are now moving away from exports 4. Red
Slide 8: Indian steel demand remains robust supported by Govt Stimulus
Indian steel demand remains robust supported by Govt Stimulus Indian GDP Growth rate is projected to remain Indian Total merchandising Exports remains at healthy during FY 22 elevated level, supporting the economy Q2FY 22 Export volume remains all time high Healthy economic outlook due to aggressive
Slide 9: Company Update
Q2 FY’22 NEXT GROWTH HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE PHASE
Slide 10: Business Segments
BUSINESS SEGMENTS STEEL POWER GLOBAL VENTURES Current Capacities – Domestic & Global 9.6 MTPA Steel CPP – 1634 MW Coal & Iron Ore 10.61 MTPA Iron ore Mines 9 MTPA Pellet Plant
Slide 11: Steel Capacities Across Life Cycle
STEEL CAPACITIES ACROSS LIFE CYCLE IRON MAKING LIQUID STEEL FINISHED STEEL (10.42 MTPA) (9.60 MTPA) (6.65 MTPA) WRM 0.60 MTPA DRI 3.12 MTPAin deail Capacity (Wire Rod Mill) (Direct Reduced Iron) Rail Mill 0.75 MTPA SMS 9.60 MTPA (Steel Melting Shop) BSM 0.70 MTPA (Beam & Structure Mill) BF 7.30 MTPA
Slide 12: Detailed Plant Wise Capacities
DETAILED PLANT WISE CAPACITIES Raigarh Angul Barbil Patratu Mining (Chhattisgarh) (Odisha) (Odisha) (Jharkhand) CGP 225,000 BF 3.05 MTPA Nm3/Hr DRI 1.32 MTPA BF 4.25 MTPA WRM Capacity in deail 0.60 SMS 3.6MTPA DRI 1.8 MTPA MTPA Plate Mill 1.00 SMS 6 MTPA Pellet Plant Iron Ore MTPA 9 MTPA 10.61 Rail
Slide 13: JSPL Standalone Key Financials
JSPL STANDALONE KEY FINANCIALS (INR Crores) Q1 FY 22 Q2 FY 22 PARAMETER Q2 FY 22 Q2 FY 21 11,473 14,550 Gross Revenue* 14,550 8,667 10,385 13,261 Net Revenue 13,261 7,859 4,524 4,519 EBITDA 4,519 2,435 556 562 Depreciation + Amortization 562 568 444 350 Interest 350 554 3,554 3,626 PBT 3,626 1,325 2
Slide 14: Operational Performance: Steel Production & Sales
OPERATIONAL PERFORMANCE Steel Production & Sales* 2.13 2.07 2.01 1.93 1.93 1.93 1.91 1.87 1.84 1.67 1.67 1.61 1.61 1.57 1.57 1.58 1.54 1.56 1.52 1.51 1.48 1.40 1.34 1.36 1.33 1.32 1.30 1.27 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Sales Produc
Slide 15: Key Customers & Adding...
SIMPLEX ARASTALCTURES 7D aise seaece ® LARSEN & TOUBRO x= vedanta treat about mnagineeing SC vrerent (Q) NALCO A Navratna Company KEY CUSTOMERS & ADDING... IndianOil UReHRRE-LeA9 ‘SFOD Bes Pru Sie eye i BAND & Menai Indiabulls Indiabulls Power Limited npn” STEEL & POWER @ ar ReviANce IMMA seeruurade
Slide 16: Summary of International Operations
SUMMARY OF INTERNATIONAL OPERATIONS MOZAMBIQUE, AFRICA 5 MTPA coal mine in Mozambique’s coal-rich Moatize region SOUTH AFRICA, AFRICA AUSTRALIA JSPL’s Kiepersol Colliery produces Anthracite coal, Wollongong Coal Ltd which sold domestically and internationally. comprises of two coking coal mine
Slide 17: Holding Structure for Global Operations
HOLDING STRUCTURE FOR GLOBAL OPERATIONS Jindal Steel & Power Ltd Listed Operating Entity in India Jindal Steel & Power (Mauritius) Ltd Holding company for overseas business 98.6% 73.9% 97.5% Australia South Africa Mozambique Coking Coal Anthracite Coal Thermal/ Coking Coal
Slide 18: JSPL Consolidated Key Financials
JSPL CONSOLIDATED KEY FINANCIALS (INR Crores) Q1 FY 22 Q2 FY 22 PARAMETER Q2 FY 22 Q2 FY 21 11,698 14,902 Gross Revenue* 14,902 8,957 10,610 13,612 Net Revenue 13,612 8,149 4,539 4,594 EBITDA 4,594 2,395 602 610 Depreciation + Amortization 610 612 561 482 Interest 482 701 3,410 3,507 PBT 3,507 1,228
Slide 19: Next Growth Phase
NEXT GROWTH HIGHLIGHTS INDUSTRY UPDATE COMPANY UPDATE PHASE
Slide 20: JSPL: Strategic Growth Framework
JSPL : Strategic Growth Framework STEEL FOCUS SUSTAINABLE Incremental Capex GROWTH to be spent on core Sustainability of Steel Business operations remains at the heart of all project considerations HIGH RETURN ON EQUITY Strong Free Cash Flow Generation & Faster payback
Slide 21: Capacity Expansion
Capacity Ramp up plan : Steel & Pellets Planned Expansion : Steel capacity up 66% and Pellet by 133% Raigarh Angul Phase I Angul Phase II 15.9 Crude Steel Capacity (MTPA) Angul Phase II Steel capacity (MTPA) Angul Phase II (3 MTPA EAF) (3.3 MTPA BOF) 12.9 6.3 9.6 3.3 8.6 Capacity Expansion 5.0 6.0 6
Slide 22: Angul Phase II: Capex Plan
ANGUL PHASE II : CAPEX PLAN Expansion Capex Capex Breakup Margin Expansion, 4,700 37% 4,300 4,100 Approx. INR 18,000 2,500 Crores 2,400 Volume Expansion, 63% FY22[P] FY23[P] FY24[P] FY25[P] FY26[P] & FY27[P]
Slide 23: Angul Phase-II: Major Projects Timeline
ANGUL PHASE-II : MAJOR PROJECTS TIMELINE Projected FY24 & Expected Indicated Projects Capex FY22 FY23 (INR Cr) Onwards Commissioning Pellet Plant#1: 6MTPA Sept’22 Margin Expansion Pellet Plant#2: 6MTPA Sept’23 Projects 6,600 Slurry Pipeline Sept’23 HSM Phase#1: 3MTPA Feb’23 HSM Phase #2 Sept’23 Expa
Slide 24: Odisha
ODISHA INTEGRATED STEEL PLANT, ANGUL PELLET PLANT, BARBIL
Slide 25: Chhattisgarh & Jharkhand
CHHATTISGARH & JHARKHAND INTEGRATED STEEL PLANT,RAIGARH STEEL FABRICATION PLANT, PUNJIPATRA HEAVY MACHINERY DIVISION, RAIPUR WRM & BRM, PATRATU ,JHARKHAND
Slide 26: Investor Relations contacts
For any information please contact: - Mr. Nishant Baranwal – Head, Investor Relations Tel : +91 11-41462198 Email: - nishant.baranwal@jindalsteel.com Mr. Rajesh Lachhani –GM, Investor Relations Tel: +91-124-6612036 Email: rajesh.lachhani@jindalsteel.com Mr. Gourav Sancheti– DM, Investor Relations Te
Slide 27: Thank You !
To the Taskforce guarding INDIA against the Corona Virus Pandemic Thank You !
Jindal Steel & Power — Q2 FY2022 Earnings Presentation on 6ix