Aditya Birla Real Estate Ltd · NSE:ABREL
Aditya Birla Real Estate — Century Textiles and Industries — Q3 FY22 Earnings Presentation
50 slides from Aditya Birla Real Estate's earnings presentation, Jan 20, 2022
Slide 1: Cover letter to stock exchanges
CENTURY Textiles and Industries Limited REGD. OFFICE : "CENTURY BHAVAN", DR. ANNIE BESANT ROAD, WORLI, MUMBAl-400 030. INDIA. TEL.: +91-22-2495 7000 FAX:+ 91-22-2430 9491, +91-22-2436 1980 E-Mail: ctil.ho@birlacentury.com Website: www.centurytextind.com CIN-L17120MH1897PLC000163 OUR REF.: SH/XII/202
Slide 2: Earnings Presentation – Q3 FY22
Century Textiles and Industries Limited Earnings Presentation – Q3 FY22
Slide 3: Table of Contents
2 TABLE OF CONTENTS Summary Real Estate Pulp and Paper Textiles Financials
Slide 4: Q3 FY22 Key Operational Highlights
3 Q3 FY22 KEY OPERATIONAL HIGHLIGHTS • Capacity utilization for both the manufacturing businesses seen a substantial improvement in Q3 FY22 compared with same quarter last year. • A major milestone attained as we received all approvals for our flagship project – Birla Niyaara at Century Mills, Worli
Slide 5: Company Overview
4 COMPANY OVERVIEW • Incorporated in 1897, Century Textiles and Industries Limited (CTIL) has evolved from a single unit textile mill into a diversified conglomerate under the visionary leadership of Mr. B. K. Birla. • The company’s 123-years-old legacy is built on a steadfast commitment to the deve
Slide 6: Quarterly Consolidated Performance at a Glance
5 QUARTERLY CONSOLIDATED PERFORMANCE AT A GLANCE (RS. IN CRORES) TURNOVER EBITDA & EBITDA MARGINS PAT 1,050 109 758 105 37 14.3% Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 10.0% Q3 FY21 - 12 Q3 FY22 Summary TTM QUARTERLY PERFORMANCE 998 1,050 820 832 14.1% 758 14.3% 13.3% 9.8% 10.0% -- 109 37 -80 -5 -- 117 25
Slide 7: Quarterly Segment Wise Consolidated Performance
6 QUARTERLY SEGMENT WISE CONSOLIDATED PERFORMANCE (RS. IN CRORES) REAL ESTATE PAPER AND PULP TEXTILES 731 263 36 34 22.2% 216 489 8 12.3% 12.4% 3.8% - -35.3% 0.3% -12 60 l ______, 91 Q3 FY21 1 Q3 FY22 10 l - - - Summary Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 - Rental Income REVENUE PIE : Q3 FY21 - - EBITDA
Slide 8: YTD Consolidated Performance
7 YTD CONSOLIDATED PERFORMANCE (RS. IN CRORES) TURNOVER EBITDA & EBITDA MARGINS PAT 2,880 355 70 1,747 205 11.7% 12.3% 9M FY21 l 9M FY22 9M FY21 9M FY22 -10 9M FY21 9M FY22 Summary REAL ESTATE PAPER AND PULP TEXTILES 729 50.0% 108 104 1,993 28.7% 40.0% 30.0% -4.8% 1,208 382 20.0% 31 15.1% 2.6% 11.8%
Slide 9: Real Estate
BlRLA ESTATES Real Estate Over 64 lakh sq. ft. under construction across 5 projects
Slide 10: Executive Summary - Real Estate
9 EXECUTIVE SUMMARY - REAL ESTATE REVENUE (RS. IN CRORES) • The B. K. Birla Group forayed into the real estate sector in 2016 Real Estate under the brand name ‘Birla Estates’. 159 146 142 135 • The company is focused on developing land parcels owned by the Group, as well as growing the business with
Slide 11: Step Towards More Focus on Growing Business
10 STEP TOWARDS MORE FOCUS ON GROWING BUSINESS BIRLA ESTATES Real Estate Strong Vision & Strategy ■ Opportunities -- Pulp & Paper Strengths Leveraging: Encash on: Strong focus on: ■ ' • Rapid urbanization and nuclearization of • Maintaining a capital efficient, asset light • The Birla Brand families
Slide 12: Q3 FY22 Key Operational Highlights – Real Estate
11 Q3 FY22 KEY OPERATIONAL HIGHLIGHTS – REAL ESTATE Real Estate • Launched ‘Birla Tisya’ in Bengaluru with a strong market response. Sold units worth > Rs. 250 Crs in 4 days. ■ - - • Received key approvals - Commencement Pulp & Paper Certificate & RERA approvals for our flagship, Birla Niyaara proje
Slide 13: Market Outlook – Real Estate
12 MARKET OUTLOOK – REAL ESTATE Real Estate • Increasing demand was backed by robust momentum in manufacturing and services sectors. Improved hiring in companies, positive market sentiments due to festive season and continued record-low home loan rates led to the highest quarterly residential sales
Slide 14: Geographical Presence
13 GEOGRAPHICAL PRESENCE Real Estate (C) - Commercial (R) Residential ■ - - Golf Course Extension, Pulp & Paper Gurugram, NCR BIRLA CENTURION (C) BIRLA NAVYA & GROUP HOUSING (R) Worli, Mumbai ■ Kalyan, Maharashtra ' Textiles Whitefield, Bengaluru BIRLA AURORA (C) Magadi Road, Bengaluru Birla Tisya (
Slide 15: Summary of Product Portfolio
14 SUMMARY OF PRODUCT PORTFOLIO Real Estate COMMERCIAL Name of the Project Location Area (Lakh sq. ft) No. of Storeys Annual Leasing Revenues Birla Aurora 2.6 22 Worli Approx. Rs. 125 Cr I Birla Centurion ---~ 3.5 12 ■ - - RESIDENTIAL :--------r-- ::: :i: ::: -::--------------,--- :: --------:--.---
Slide 16: Residential & Commercial Sales Highlights
15 RESIDENTIAL & COMMERCIAL SALES HIGHLIGHTS Real Estate % chg % chg % chg Particulars UOM Q3 FY22 Q3 FY21 Q2 FY22 9M FY22 9M FY21 YoY QoQ YoY ■ - - Commercial Pulp & Paper Leasing Income Rs. Cr. 29 32 -8.0% 31 -4.9% 91 95 -3.8% ■ Average Rent Rs./sq.ft. 149 164 -9.4% 158 -5.8% 154 161 -4.3% ' Reali
Slide 17: Birla Vanya, Kalyan – Project Update
16 BIRLA VANYA, KALYAN – PROJECT UPDATE (LAUNCHED – Q1 FY20) BIRLA ESTATES Real Estate Location Shahad, Kalyan Area 22 acres ■ - Pulp & Paper 13.2 lakh sq. ft. Saleable Area Phase 1 and 2 – 9.9 lakh sq. ft. launched Revenue Potential Rs. 1,134 Crs ■ ' Tower B Tower A Tower G Tower F Residential – 1
Slide 18: Birla Alokya, Bengaluru – Project Update
17 BIRLA ALOKYA, BENGALURU (Outright) - PROJECT UPDATE (LAUNCHED - Q3 FY20) Real Estate Location Soukya Road, Bengaluru ■ - Area 8.1 acres Pulp & Paper Saleable Area 5.47 lakh sq. ft. ■ ' Revenue Potential Rs. 390 Crs Textiles Product Type Residential – 3-Bed and 4-Bed Villaments ■ Cumulative Sales
Slide 19: Birla Navya, Gurugram – Project Update
18 BIRLA NAVYA, GURUGRAM (JV) – PROJECT UPDATE - ~ E,~ E S BIRLA Real Estate ---- Location Sector 63 A, Gurugram, NCR Area 65 acres Pulp & Paper 36.5 lakh sq. ft. Saleable Area* Phase 1 – 5.7 lakh sq. ft. launched Revenue Potential Rs. 4,415 Crs * ■ ' Product Type Residential – 2 BHK, 3 BHK & 4 BHK
Slide 20: Birla Tisya, Bengaluru – Project Update
19 BIRLA TISYA, BENGALURU (JV) – PROJECT UPDATE BIRLA ESTATES Real Estate Location Magadi Road, Bengaluru ■ -- Area 4.8 acres Pulp & Paper 6.5 lakh sq. ft. Saleable Area* Revenue Potential Rs. 622 Crs ■ ' Product Type Residential – 2 BHK, 3 BHK & 4 BHK Textiles Launch Year December 2021 ■ Cumulative
Slide 21: ESG – Real Estate
20 ENVIRONMENT SOCIAL GOVERNANCE (ESG) – REAL ESTATE Real Estate ENVIRONMENT SOCIAL • ESG Roadmap for Birla Estates – Kicked off the Project Capability Building: Campaigns on Several Safety topic likes – BBS, Construction Safety Mgt, P&M Operator, Fire & Road Safety ■ - - • BREEAM precertification f
Slide 22: Pulp & Paper
Pulp & Paper Flag bearer in Paper Industry
Slide 23: Pulp & Paper - Executive Summary
22 PULP & PAPER - EXECUTIVE SUMMARY CENTURY a PuLP PAPER Real Estate • Century Pulp and Paper (CPP) is a producer of excellent quality writing and printing paper, and a leading manufacturer of tissue and board, as well as Rayon Grade Pulp (RGP) products. • Established in 1984, with relentless focus
Slide 24: Step Towards More Focus on Growing Business
23 STEP TOWARDS MORE FOCUS ON GROWING BUSINESS CENTURY a PuLP PAPER Real Estate Strong Vision & Strategy Opportunities Pulp & Paper Strengths • Leveraging: Encash on: Strong focus on: • India’s only integrated Pulp & Paper mill • Growth in tissue paper demand due to providing comprehensive solution
Slide 25: Q3 FY22 Key Operational Highlights – Pulp & Paper
24 Q3 FY22 KEY OPERATIONAL HIGHLIGHTS – PULP & PAPER Real Estate Pulp & Paper • During the quarter, we had lifetime highest ever total production of 1,22,888 MT with an overall capacity utilization at 110%. • Q3-FY22 saw a major impact on operational costs with a sharp increase in raw material price
Slide 26: Market Outlook – Pulp & Paper
25 MARKET OUTLOOK – PULP & PAPER CENTURY a PuLP PAPER Real Estate • Post detection of Omicron variant, short-term market conditions for Paper & paper products’ demand as well as its consumption are facing slowdown. • Writing and Printing Paper demand is facing slow down as Government has not yet cle
Slide 27: Q3 FY22 Production & Sales
26 Q3 FY22 PRODUCTION & SALES CENTURY a PuLP PAPER Real Estate 731 25 1,22,888 1,15,894 97 Pulp & Paper 11,430 4,440 1,11,283 7,830 1,01,967 12,567 96,283 489 13,227 9,000 9,627 4,765 27 6,254 41 316 6,578 ■ ' 44,674 46,100 45,000 41,210 44,374 231 Textiles 293 49,453 54,217 52,127 44,876 ■ 40,566 1
Slide 28: 9M FY22 Production & Sales
27 9M FY22 PRODUCTION & SALES CENTURY a PuLP PAPER Real Estate 1,993 3,59,185 3,33,848 3,32,685 70 Pulp & Paper 35,086 12,749 247 23,490 35,387 35,115 27,000 2,47,390 2,31,348 1,208 21,209 7,597 ■ 44 893 16,645 137,221 ' 135,000 16,538 138,423 107 Textiles 106,928 105,080 552 148,358 151,491 146,398
Slide 29: Macros
28 MACROS CENTURY a PuLP PAPER Real Estate NSR MOVEMENT (INR/TONS) 63,271 58,255 58,850 61,715 YoY QoQ 51,900 52,093 57,812 55,885 22% 8% Pulp & Paper YoY QoQ 47,341 45,183 37% 7% - Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Domestic Export ■ ' OVERALL CONTRIBUTION Textiles 63,051 57,721 58,682 50,816
Slide 30: ESG – Pulp & Paper
29 ENVIRONMENT SOCIAL GOVERNANCE (ESG) – PULP & PAPER Real Estate ENVIRONMENT SOCIAL Pulp & Paper Textiles ► CPP has embarked on a program to use wood bark, earlier ► Repairing, water proofing & painting work done at Govt. Girls High ■ discarded, as fuel in Boilers after being fed to chipper as show
Slide 31: Textiles
Textiles World’s 2nd and India’s 1st LEED V4 certified textile mfg co.
Slide 32: Executive Summary – Century Textiles
31 EXECUTIVE SUMMARY – CENTURY TEXTILES Real Estate • Century Textiles and Industries Limited (CTIL), was incorporated in Mumbai, India, in 1897. A state-of-the-art, vertically integrated plant, Birla Century (A Division of CTIL) was set up at Jhagadia, Bharuch, Gujarat, in the year 2008, using the
Slide 33: Step Towards More Focus on Growing Business
32 STEP TOWARDS MORE FOCUS ON GROWING BUSINESS Real Estate Advantages Growth Drivers Pulp & Paper Strengths ■ • State-of-the-Art Vertically Integrated • US-China trade war has increased demand ' Plant (Fibre to Finishing) • Increased penetration of organised of Indian products in USA retail, better
Slide 34: Q3 FY22 Key Operational Highlights – Textiles
33 Q3 FY22 KEY OPERATIONAL HIGHLIGHTS– TEXTILES Real Estate Pulp & Paper ■ ' Textiles • Apparel demand was good in the domestic as well as international market in Q3-FY22. • China supply disruption affected certain products but with domestic marriage season, the demand picked up faster than expected
Slide 35: Market Outlook - Textiles
34 MARKET OUTLOOK - TEXTILES Real Estate • With new normal, the major concern is raw material price inflation & 3rd wave of Covid. • Stability of raw material prices is expected somewhere in February and accordingly the supply will get streamlined. • Due to the current US sentiments towards China, R
Slide 36: Macros – Q3 FY22
35 MACROS – Q3 FY22 Real Estate CLOTH – CAPACITY UTILISATION NET SALES REALISATIONS OVERALL CONTRIBUTION (RS. PER/MTR) 9,371 -- 88% 96% 8,986 YoY 13% QoQ 1% YoY 15% QoQ 18% Q3 FY22 (RS. PER/MTR) 8,187 274 238 231 (000 MTRS) 166 147 165 II Pulp & Paper PRODUCTION - CLOTH I ll DOMESTIC EXPORT TOTAL NS
Slide 37: Sales – Q3 FY22
36 SALES – Q3 FY22 Real Estate CLOTH BED SHEETS YARN OTHERS NET SALES QUANTITY NET SALES QUANTITY NET SALES QUANTITY 503,749 755 (NO. OF SETS) 9,683 (000 MTRS) 7,534 406,481 553 (TONS) Pulp & Paper Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 ■ ' Textiles NET SALES NET SALES NET SALES NET SALES 1
Slide 38: ESG - Textiles
37 ENVIRONMENT SOCIAL GOVERNANCE (ESG) - TEXTILES Real Estate ENVIRONMENT SOCIAL GOVERNANCE Pulp & Paper Textiles ► Towards sustainable sourcing, we have ► Construction of Training Centre Building at ► We have successfully completed FSLM – taken one more step to strengthen our VGTK, Sewa Rural Jhaga
Slide 39: Financial Summary
Financial Summary 38
Slide 40: Quarterly Financial Performance
39 QUARTERLY FINANCIAL PERFORMANCE Real Estate (RS. IN CRORES) Q3 FY 22 Variance Q on Q Variance Y on Y Particulars Q3 FY 21 Q2 FY 22 Actual Amount % Amount % '' '' ''' ''' ' ' Continuing Operations Sales Textiles 216 261 263 2 1% 47 22% Pulp & Paper 489 686 731 45 7% 242 49% Pulp & Paper Real Estat
Slide 41: Historical Consolidated Financial Performance
40 HISTORICAL CONSOLIDATED FINANCIAL PERFORMANCE Real Estate (RS. IN CRORES) Particulars FY19 FY20 FY21 9M FY22 Continuing Operations Sales Textiles 765 735 582 729 Pulp & Paper 2,643 2,383 1,774 1,993 Pulp & Paper Real Estate 159 146 142 104 Others 66 67 69 54 Total Sales 3,633 3,331 2,567 2,880 '
Slide 42: Cash Flow – Q3 FY22
41 CASH FLOW – Q3 FY22 Real Estate (RS. IN CRORES) Pulp & Birla Grand Particulars Textile Rayon H.O. ·~······ .. . ......... ; ....... . Paper Estates Total EBITDA 10 16 91 (12) 105 MAT Paid (6) (6) Pulp & Paper Rights Issue of Kesoram Industries Limited (6) (6) Collections - Real Estate 69 69 Proje
Slide 43: Cash Flow - Q3 FY22 (INR Crores)
42 CASH FLOW - Q3 FY22 (INR CRORES) Real Estate ■ Increase ■ Decrease ■ Total 69 Pulp & Paper ■ . 105 - - -6 -6 22 Textiles -99 ■ -57 - 8 24 Financials -12 EBITDA Rights Issue MAT Paid Collections Project Dev. Wcap Change Capex Interest Interest (bond) Free Cash Flow (Kesoram)
Slide 44: Cash Flow – 9M FY22
43 CASH FLOW – 9M FY22 Real Estate (RS. IN CRORES) Pulp & Birla Yarn & Grand !'' Particulars Textile Rayon H.O. Sub Total ' Paper Estates Denim Total EBITDA 19 40 301 (5) - 355 11 366 Pulp & Paper MAT Paid (25) (25) (25) Rights Issue of Kesoram Industries Limited (6) (6) (6) Dividend Paid ( Includin
Slide 45: Cash Flow - 9M FY22 (INR Crores)
44 CASH FLOW - 9M FY22 (INR CRORES) Real Estate ■ Increase ■ Decrease ■ Total 193 Pulp & Paper 366 -6 -25 -11 ■ . Textiles -557 - -33 ■ -112 - 24 -198 Financials -37 EBITDA Rights Issue MAT Paid Dividend Collections Project Dev. Wcap Change Capex Interest Interest (bond) Free Cash Flow (Kesoram)
Slide 46: Statement of Outstanding Loan
45 STATEMENT OF OUTSTANDING LOAN Real Estate (INR CRORES) O/s as on O/s as on O/s as on Particulars 30-06-2021 30-09-2021 31-12-2021 Long Term Loans 526 578 525 Average Rate of Interest 6.85% 6.69% 6.96% Pulp & Paper Short Term and Working Capital Loans 372 404 270 Average Rate of Interest 3.60% 3.8
Slide 47: Outstanding Loan
46 OUTSTANDING LOAN Real Estate 1,467 @ 6.19% 1,280 @ 6.46% 1,362 @ 6.21% 85 85 64 ■ BEPL- 7.20% ■ BEPL- 7.20% ■ BEPL- 7.20% 400 Pulp & Paper 400 400 ■ NCD- 7.65% ■ NCD- 7.65% ■ NCD- 7.35% ■ . 404 270 372 Textiles ■ STL- 3.60% ■ STL- 3.94% ■ STL- 3.83% ■ 526 525 578 ■ LTL- 6.96% ■ LTL- 6.85% ■ LTL-
Slide 48: Financial Performance
47 FINANCIAL PERFORMANCE Real Estate REVENUES (RS. IN CRORES) EBITDA (RS. IN CRORES) PAT (RS. IN CRORES) 1,061 499 (RS. IN CRORES) 3,947 3,944 3,423 851 378 2,920 2,616 600 280 Pulp & Paper 355 FY18 FY19 FY20 FY21 9M FY22 FY18 FY19 FY20 285 FY21 9M FY22 FY18 FY19 FY20 - +- -15 FY21 70 9M FY22 ■ . Te
Slide 49: Disclaimer
48 DISCLAIMER Century Textiles and Industries Limited No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinion
Slide 50: Thank You
49 Bringing our century old legacy and expertise into all our businesses while focusing on sustainability, customer centricity, technology and innovation to be future ready Thank You
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