Bcl Industries Ltd · NSE:BCLIND
Bcl Industries — Q3 FY21 Earnings Presentation
29 slides from Bcl Industries's earnings presentation, February 2021
Slide 1: Big Challenges, Bigger Opportunities
Big Challenges, Bigger Opportunities INVESTOR PRESENTATION FEBRUARY 2021
Slide 2: Executive Summary
Executive Summary Company Overview Financial Highlights – FY20 • BCL is a part of the Mittal Group founded in 1976, by Late Shri D. D. Mittal. Total Revenue - INR 9,255 Mn • Under the stewardship of Mr. Rajinder Mittal, the company has now grown into an INR 10,000 Mn business empire. EBITDA - INR 63
Slide 3: Company Overview
Company Overview
Slide 4: Company at A Glance
Company at A Glance • Founded in 1976, BCL Industries Limited Total Revenue* Growth (INR Mn) (BCL) is a part of the Mittal Group, founded by Shri D. D. Mittal. Now under 10,048 the stewardship of Mr. Rajinder Mittal, the company has now grown into an INR 9,255 9,037 10,000 Mn business empire. 8,576
Slide 5: Board of Directors
Board of Directors R.C. Nayyar - Chairman & Independent Director IAS (Retired) • An Indian Administrative Services graduate from 1982 batch and S.N. Goyal - Whole Time Director retired as Additional Chief Secretary, Government of Punjab. He • Post Graduate in Commerce holds a Doctorate in Faculty of
Slide 6: Our Evolution Since Inception
Our Evolution Since Inception 1976-1980 2006-2010 • In 1976, started with a Solvent Extracted Plant and extracting Oil from Rice Bran. • In 2006, the promoters ventured into Distillery-Ethanol Industry production by • Production of Oil commenced in 1977. acquiring a substantial share in Pioneer Indu
Slide 7: Awards
Awards • Hind Gaurav Award 1994 - All India Achievers Conference, New Delhi • State Export Award 1993-1994 - Department of Industries, Punjab • Great Achiever of Industrial Excellent Award-2006 - Council for Economic Growth & Research, New Delhi • B.K. Goenka SEA Award 2006-10 - 4 Consecutive Years
Slide 8: Key Strengths
Key Strengths Four plus decades of The only company End-to-end rich experience, in India and the manufacturing Vertically integrated South Asian region facility from state of art plants that has a forward crushing, refining and landmark and backward to solvent housing projects integrated extraction
Slide 9: Business Overview
—_ isiness Overview.
Slide 10: Distillery
Distillery • The promoters of the company forayed into the business of distillation of alcohol in the year 2006 with a manufacturing plant in Pathankot, Punjab. • The manufacturing facility of the company is a world class integrated distillation plant with a total capacity of 200 KLPD. • The company
Slide 11: Manufacturing Process of Distillery Complex
Manufacturing Process of Distillery Complex Co-generation Plant Process House Distillation Plant Bottling Plant Present Total Capacity – 200 KLPD Capacity Utilization – 93% Production Data 1,02,634 92,056 81,583 73,482 36,935 55,952 28,647 25,950 22,518 8,714 24,332 21,520 65,699 29,775 46,919 39,07
Slide 12: Expansion Plans
Expansion Plans The following are the reasons for choosing West Bengal as an Expansion Destination by BCL: • It was observed that only 23% of the ENA demand is met with the production in the West Bengal State. • West Bengal was dependent only on two Distilleries. • About 30% of ENA manufactured at B
Slide 13: Growth Drivers
Growth Drivers • Benefits of National Policy on Biofuels 2018: Alcohol demand of 6.3 Bn litres expected • Decreasing import dependency to grow at 12% annually. • Cleaner Environment by reducing CO2 emission Alcohol Demand 2018-19 (Bn Litres) • Increasing farmer’s income by MSP Industrial 0.7 • Suppo
Slide 14: Edible Oil and Vanaspati
Edible Oil and Vanaspati • The company is engaged in the manufacturing of Vanaspati, Refined Oils, Expelling of Oils from Seeds, De-oiled cakes and Basmati & Para-boiled Rice. • The company has one of the largest integrated oil complex in North India in Bhatinda. The oil complex consists of Oil Crus
Slide 15: Flagship Brands
Flagship Brands • BCL’s edible oils are sold under various brands namely Homecook, Do Khajoor and Revenue Break-Up 9M-FY21 Murli offering soybean oil, sunflower oil, cottonseed oil, vanaspati ghee, mustard oil and Contract rice bran oil. Brands (Bunge & • The company also does contract manufacturing
Slide 16: Edible Oil Manufacturing
Edible Oil Manufacturing Edible Oil Refinery Capacity: 200 MT/Day Utilization: 71% Chemical refining is done to manufacture refined edible oil, goes through the process of Degumming and neutralisation, Bleaching and Deodorisation. Vanaspati Manufacturing Capacity: 100 MT/Day Utilization: 31% Refined
Slide 17: Edible Oil Manufacturing Facilities
Edible Oil Manufacturing Facilities Solvent Extraction Capacity: 300 MT/Day Utilization: 41% Solvent extraction is achieved through the grinding of the seed or cake, purged or washed with petroleum distillate, which then releases the oil from the seeds. In our unit, we generally extract rice bran oi
Slide 18: Real Estate
Real Estate • Foraying into the business of real estate was part of risk mitigation strategy and broaden the company’s offerings so as to lessen the vagaries and challenges of the other industries the company is engaged in. • The company has two existing completed projects with a very large realizab
Slide 19: Key Operational Highlights
Key Operational Highlights Edible Oil: • The company has experienced an exponential increase in it’s revenue from the edible oil unit due to an increase in demand for the company’s own brands and the global edible oil market’s increase in prices. • The company received positive feedback from its dis
Slide 20: Industry Overview
Industry Overview
Slide 21: Indian Distillery Industry
Indian Distillery Industry ADDRESSING AN UNPRECEDENTED OPPORTUNITY ENA • India is the world’s third largest liquor market with an overall retail market size of $35 billion per annum. • In terms of revenue in the Alcoholic drinks market, India generated US$ 67,661 Mn in 2018. The market is expected t
Slide 22: Indian Edible Oil Industry
Indian Edible Oil Industry Edible oil is sold in India either in Indian Vegetable oil Import & consumer packs (5 lt. and less Consumption (MMT) than 5 lt. pack sizes), bulk packs 27.9 (15 kg/ lt.) or as loose oil in 25.3 26.5 22.9 24.1 tankers or barrels. 17.6 18.6 Due to change in consumer 15.9 16.
Slide 23: Financial Overview
Financial Overview
Slide 24: Quarterly Consolidated Income Statement
Quarterly Consolidated Income Statement Particulars (INR Mn) Q3-FY21 Q3-FY20 Y-o-Y Q2-FY21 Q-o-Q Total Income* 4,015 2,683 49.6% 3,266 22.9% Total Expenses 3,796 2,524 50.4% 3,063 23.9% EBITDA 219 159 37.9% 203 7.9% EBITDA Margins (%) 5.45% 5.93% (48) Bps 6.22% (77) bps Depreciation 32 34 (5.9)% 31
Slide 25: 9 Monthly Consolidated Income Statement
9 Monthly Consolidated Income Statement Particulars (INR Mn) 9M-FY21 9M-FY20 Y-o-Y Total Income* 10,048 6,997 43.6% Total Expenses 9,455 6,502 45.4% EBITDA 593 495 19.80% EBITDA Margins (%) 5.90% 7.07% (117) bps Depreciation 95 101 (5.9)% Finance Cost 111 109 (1.8)% PBT 387 285 35.8% Tax 98 61 60.7%
Slide 26: Historical Consolidated Income Statement
Historical Consolidated Income Statement Particulars (INR Mn) FY18 FY19 FY20 Total Income* 8,576 9,037 9,255 Total Expenses 8,040 8,225 8,623 EBITDA 536 812 632 EBITDA Margins (%) 6.25% 8.99% 6.83% Depreciation 106 108 135 Interest 213 186 148 PBT 217 518 349 Tax 39 105 91 Profit After tax 178 413 2
Slide 27: Consolidated Balance Sheet (Ind-AS)
Consolidated Balance Sheet (Ind-AS) Particulars (INR Mn) FY19 FY20 H1-FY21 Particulars (INR Mn) FY19 FY20 H1-FY21 ASSETS EQUITY AND LIABILITIES Non-Current Assets Equity Property, Plant & Equipment 1,377 1,287 1,240 Share Capital 174 192 242 Capital Work in progress 105 192 203 Right to Use - - - Ot
Slide 28: Capital Market Data
Capital Market Data 20% 10% 0% -10% -20% BCL -30% Sensex -40% -50% -60% -70% Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Price Data (31st December, 2020) Shareholding Pattern (31st December, 2020) Face Value (INR) 10.0 Market Price (INR) 83.6 AIF 1.72% Promote
Slide 29: Disclaimer
Disclaimer 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 opinions are in all events not current after the d