Slide 1: Q4 & FY17 Investor Update Presentation
Q4 & FY17 Investor Update Presentation
Slide 2: HEG Limited – Profile
HEG Limited – Profile HEG Limited is a leading graphite electrode manufacturer & exporter Globally. The company produces two grades of graphite electrodes - Ultra High Power (UHP) & High Power (HP) - used in producing steel through the Electric Arc Furnace (EAF) route. Exports approximately 60
Slide 3: Global Steel Industry
Global Steel Industry World Steel Association (WSA), reported a growth of 5.2 % in world crude steel production to 551 million tons for Jan – Apr’17. Change Growth Areas % ↑ % of world pdn Crude Steel Change 2017 2014 2015 2016 2017 vs.2016 Asia 5.1 69 Production 2016 vs.2015 (Jan – Apr) (Jan - Ap
Slide 4: Indian Steel Industry
Indian Steel Industry Crude steel production was 97.385 (mt), a growth of 8.5% Exports up by 102.1% to 8.244 mt. Imports declined by 36.6% at 7.427 mt India emerged as a net exporter of total finished steel during FY 2016-17 Consumption of total finished steel saw a growth of 3% at 83.93 mt
Slide 5: China's pollution crackdown & Graphite electrodes Scenario
China’s pollution crackdown & Graphite electrodes Scenario Central Government of China, in the beginning of 2017 identified some major industries as Highly Pollutant. It directed Provincial Governments for closure of some identified highly polluting industries. This includes sizable number of In
Slide 6: Financial Snapshot (under Ind.AS)
Financial Snapshot (under Ind.AS) in Rs. Crore (except EPS) Q4 FY17 Q3 FY17 Q4 FY16 FY17 Net Operating Income 267.19 251.25 186.00 896.02 EBITDA* 30.65 30.65 11.04 87.78 EBITDA Margin 11.47% 12.20% 5.94% 9.80% EBIT 12.43 12.33 (9.09) 13.87 EBIT Margin 4.65% 4.91% (4.89)% 1.55% PAT (3.86) (3.38) (27.
Slide 7: Segmental Performance – Graphite Electrodes
Segmental Performance – Graphite Electrodes in Rs. Crore Q4 FY17 Q3 FY17 Q4 FY16 FY17 Net Sales 258.81 242.65 181.20 870.25 Export (% of sales) 62.63% 63.10% 57.19% 60.00% EBITDA Margin 2.15% (0.40%) (7.80)% (1.78)% EBIT Margin (3.50)% (7.05%) (17.58)% (8.71%) Capacity utilisation at around 80% duri
Slide 8: Segmental Performance – Power
Segmental Performance – Power in Rs. Crore Q4 FY17 Q3 FY17 Q4 FY16 FY17 Net Sales 58.42 64.04 43.70 216.93 EBITDA Margin 48.26% 47.72% 54.23% 47.61% EBIT Margin 42.71% 43.07% 46.64% 41.74% Revenue lower in Q4, as hydro facility closes in end Feb 17. EBIDTA margin higher due to higher no. of REC’s so
Slide 9: Future Outlook
Future Outlook Higher production through EAF route envisaged, as the cost balance tilts in favor of EAF over BOF route. Recent Industry consolidation in Graphite Electrode Industry to improve capacity utilization going forward. Electrode sale prices expected to increase with the enhanced capac
Slide 10: Thank You
Thank You Mr. Raju Rustogi – CFO & COO HEG Limited Ph: +91 120 244 4541 Fax: +91 120 254 1575 Email: r.rustogi@lnjbhilwara.com 10