Kuantum Papers Limited · NSE:KUANTUM
Kuantum Papers — Investor Presentation (February 2021)
33 slides from Kuantum Papers's investor presentation, Feb 22, 2021
Slide 1: Exchange filing cover letter under Regulation 30
Kuentum Papers ltd lire PapeT llai:::eTs KPLiSEs/IP 22.02.2021 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Plot No. CII, G Block, Mumbai 400001 Bandra-Kurla Complex Scrip Code: 532937 Bandra (East) Scrip ill: Kl!ANTUM Mumbai 400 051 Trad
Slide 2: Kuantum Papers Ltd Investor Presentation – February 2021
Kuantum Papers Ltd .. Paper natO'TS INVESTOR PRESENTATION – FEBRUARY 2021
Slide 3: Executive Summary
W Executive Summary Kuantum Papers l'w pccer rjcters • Kuantum Papers Ltd., is one of the largest Agro based paper manufacturers in India and is FY20 FINANCIALS committed to manufacturing wood free, high (INR Mn) quality maplitho, creamwove, copier and specialty paper. Revenues • The company has an
Slide 4: Company Overview
Kuantum Papers 7/.. Paper Moters COMPANY OVERVIEW 3
Slide 5: About Kuantum Papers
About Kuantum Papers W Kuantum Papers ... ccoer f10teTS • Incorporated in 1980, Kuantum Papers started its commercial operations in an economically Operational Revenue (INR Mn) backward village of Hoshiarpur, Punjab. • They started their commercial operations with 30 TPD and are currently operating
Slide 6: Board of Directors
Board of Directors Kuantum PapelY lY 1hIt ccoer Flcters Sh. Jagesh Khaitan - Chairman • Sh. Jagesh Khaitan is the Chairman of Kuantum Papers Ltd. He was earlier the Vice Chairman and MD of Amrit Banaspati Co. Ltd. and remained President of Indian Vanaspati Producers Association IVPA. • His entrepren
Slide 7: Key Management Team
Key Management Team W Kuantum Papers ... ccoer f10teTS Roshan Garg - CFO and President (Finance) Sanjay Khosla - Vice President (Marketing) A qualified Chartered Accountant (CA) & Company Secretary (CS) by An MBA in Marketing, he has 25 years of experience in Sales and profession, he has 30 + years
Slide 8: Geographical Presence & Sales Model
Geographical Presence & Sales Model lY Kuantum PapelY 1hIt ccoer Flcters Jammu & Kashmir Punjab 8% Delhi Haryana 37% 11% Assam Uttar Pradesh 2% 12% Rajasthan 4% Order Order based based Manufacturing manufacturing: • The production is entirely order based and manufacturing is undertaken after the com
Slide 9: Company History and Milestones
Company History and Milestones W Kuantum Papers ... ccoer f10teTS • Established • Record breaking with a capacity • PCC Plant in Production & Sales: of 30 TPD with collaboration with exceeded 125,000 MT PM 1&2 • Composite Project Specialty Minerals Inc, • Highest Revenues and with PM 4 -250 TPD, USA
Slide 10: Marquee Clientele
Marquee Clientele lY Kuantum Papers h cccer rjcters ComlinfJ METRD RACHNASAGAR KDKUVO A Walmart ::: .._. Wholesale PRIVATELIMITED --= II .::::;::. -v- S.CHANDO GROUP ilknowled&eCOfporahOn 1=!IIIIlII:t!®t"~IINDIA I™ ~~~ BOOKS MAG C Adding Life to Paper ~ HarperCollins !ll!.uTIl~ TAXMANN® ex ral fiN A
Slide 11: Key Strengths
Key Strengths W Kuantum Papers ... ccoer f10teTS Pan India presence with an extensive network of Cost savings through Project upgradation plan will 90+ dealers lead to improved EBITDA margins to 30%+ Long standing relationship with dealers, many Improved infrastructure of paper machines in associate
Slide 12: Business Overview
Kuantum Papers 1M PopeT MoteTs BUSINESS OVERVIEW 11
Slide 13: Current Manufacturing Facilities
Current Manufacturing Facilities lY Kuantum PapelY 1hIt ccoer Flcters Pulping Facilities Paper Machines Chemical Recovery Plant Power Generation Segment • Total Capacity: 220 TPD • Total capacity: 450 TPD • Total Capacity: 200 Solids • Co-Gen Power Plant: • Agro based pulp: 150 TPD • Machine 1 - 30
Slide 14: Manufacturing Process
Manufacturing Process W Kuantum Papers '''' Paper Moters Chemical Recovery Plant Steam . '. Co-gen Power Caustic Soda plant Recovery Effluent Treatment Agro Pulp Mill Wood Pulp Mill Plant Black Liquor Paper Manufacturing Raw Material Pulp Cooking & Washing Pulp Screening & Cutting PM1, PM2, PM3 Aggr
Slide 15: Raw Material Sourcing
Raw Material Sourcing W Kuantum Papers ... ccoer f10teTS Kuantum has an integrated Pulping facility with separate Agro Pulping and Wood Pulping streets. Currently, we produce 220 MT of Pulp per day for paper manufacturing. Kuantum uses the following agro residues in its Agro Pulping Street (150 TPD)
Slide 16: Technical Collaboration with Tanovis AG
Technical Collaboration with Tanovis AG lY Kuantum PapelY 1hIt ccoer Flcters TaNovls The company has a COLLABORATION with Tanovis AG (formerly Granit Recherché Development SA) FOR THE LIGNIN PRECIPITATION PLANT • Tanovis AG, is a Swiss company with global operations. It is in the business of providi
Slide 17: Technical Collaboration with Specialty Minerals, USA
Technical Collaboration with Specialty Minerals, USA lY Kuantum Papers l'It Paper Fkibe'rs The company has a COLLABORATION with Specialty Minerals Inc. • We have a first-of–its-kind backward integrated PCC (Precipitated Calcium Carbonate) Plant in an Agro based operations in the world, set up in col
Slide 18: Social Farm Forestry Program
W Social Farm Forestry Program Kuantum Papers l'w pccer rjcters • Social farm forestry programs are green sustainable initiatives undertaken by paper companies in order to contribute to the small and marginal farmers of barren, non fertile land, apart from providing a catalyst to deforestation. • Th
Slide 19: Writing and Printing Products
Writing and Printing Products lY Kuantum PapelY 1hIt~I'1,.,rOT'" Agro and Wood based paper plants manufacturing paper using wheat straw, wood chips, sarkanda, bagasse and veneer waste. Different types of paper: Creamwove, Maplitho, Copier, Ledger, Cartridge, Stiffner, Colour, Parchment and Bond. "i
Slide 20: Specialty Papers
Specialty Papers W Kuantum Papers l'>r ccoer f10teTS Category Brand GSM Range Colour Krayo 49-130 Kosmo Color 60-130 Ledger Kreda Ledger 58-90 Kedexa Ledger 58-90 Executive Bond Kuantum Bond 70-100 Color Copier Kaleela 72 Cartridge Kosmo cartridge 60-130 Stiffner Kosmo Stiffner 68-180 Parchment Kosm
Slide 21: Backward Integration & Modernisation Project
Kuantum Papers 7ht PapeT MoteTs BACKWARD INTEGRATION & MODERNISATION PROJECT 20
Slide 22: Project Upgradation Plan
Project Upgradation Plan W Kuantum Papers ... ccoer f10teTS A transformative effort undertaken for up-gradation, replacement and addition of machinery across these 3 units will lead the company to: • Cost reduction leading to better EBITDA margins and profitability • Optimize paper production • Impr
Slide 23: Project Benefits
Project Benefits W Kuantum Papers ... ccoer f10teTS Additional benefits of This improved pulp Caustic Recovery & will enable better Co -Gen power generation, resulting paper quality, which in cost reductions will command a and operating higher Net Realization Increased Optimizing the efficiencies in
Slide 24: Future Growth Strategy
Future Growth Strategy lY Kuantum PapelY 1hIt ccoer Flcters Strengthening of Plant through Project Upgradation across Wood Pulping, CRP & Co-Generation Power plant Focusing on cost optimization and quality enhancement Creating a portfolio of higher proportion of value added specialty products from a
Slide 25: Foray into New Specialty Products
Foray into New Specialty Products l!J Kuantum Papers h ccoer rjccers S No. Product Product Photo Product Description Industries Used in Greaseproof paper is made under hygienic Food Grade conditions from pure wood pulp which gives Food Packaging 1 -OGR excellent grease resistance and oil hold out In
Slide 26: Industry Overview
Kuantum Papers '''' PopeT MoteTS INDUSTRY OVERVIEW 25
Slide 27: Paper Industry
Paper Industry W Kuantum Papers ... ccoer f10teTS • The Indian paper industry accounts for about 4% of the world's production of paper. The estimated turnover of the industry is INR 70,000 Cr (domestic market size of INR 80,000 Cr) and its contribution to Trend in W&P Paper Demand the exchequer is a
Slide 28: Financial Overview
Kuantum Papers '''' PopeT MoteTS FINANCIAL OVERVIEW 27
Slide 29: Income Statement
Income Statement W Kuantum Papers ... ccoer f10teTS Particulars (INR Mn) FY18 FY19 FY20 9M-FY21 Operational Income 7,143 7,935 7,447 2,348 Total Expenses 5,668 6,379 6,262 2,334 EBITDA 1,475 1,556 1,185 14 EBITDA Margins (%) 20.65% 19.61% 15.91% 0.60% Other Income 36 88 88 91 Depreciation 194 251 31
Slide 30: Balance sheet
Balance sheet W Kuantum Papers ... ccoer f10teTS Assets (INR Mn) FY19 FY20 H1-FY21 Equity & Liabilities (INR Mn) FY19 FY20 H1-FY21 Non-current assets Equity Property, plant and equipment 9,638 10,201 10,117 Equity share capital 87 87 87 Capital work-in-progress 541 3,096 3,793 Other equity 7,579 8,2
Slide 31: Financial Highlights
Financial Highlights W Kuantum Papers ... ccoer f10teTS Operational Revenue (INR Mn) EBITDA (INR Mn) & EBITDA Margin (%) PAT (INR Mn) & PAT Margin (%) 593 729 12 779 718 1,475 1,556 35.00% 7,935 7,447 7,143 30.00% 10.21% 9.82% 9.64% 6,427 1,166 1,185 9.23% 7.0 5,258 20.65% 19.61% 25.00% 4.66% 645 18
Slide 32: Capital Market Data
Capital Market Data W Kuantum Papers ... ccoer f10teTS 100% Kuantum Sensex 80% 60% 40% 20% 0% -20% -40% -60% Mar-20 Aug-20 Jul-20 Apr-20 Oct-20 Jun-20 Dec-20 Jan-20 Feb-20 Sep-20 Nov-20 May-20 Price Data (31st December, 2020) INR Shareholding Pattern as on 31st December, 2020 Face Value 1.0 Market P
Slide 33: Disclaimer
Disclaimer W Kuantum Papers ... ccoer f10teTS 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
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