Emami Paper Mills Limited · NSE:EMAMIPAP
Emami Paper Mills — Investor Presentation (August 2017)
31 slides from Emami Paper Mills's investor presentation, August 2017
Slide 1: Corporate Presentation August 2017
Paper Mills Ltd. Corporate Presentation August 2017
Slide 2: Forward-looking statements disclaimer
Some of the statements made in this presentation may look forward looking information that involves number of risks and uncertainties. Such statements are based on certain assumptions, estimates, projections or plans that are inherently subject to significant risks, uncertainties and contingencies t
Slide 3: Emami Group
Emami Group Established in 1974 Leadership positions in major businesses FMCG & Ayurvedic Frank Ross Pharmacy Agro-Tech Paper-Mills Products Pan-India presence Revenues of more than Revenues of nearly Revenues of nearly Revenues of more than INR 25,300 mn INR 69,000 mn INR 11,600 mn INR 4,300m
Slide 4: Industry Overview
Industry Overview Domestic Paper Industry
Slide 5: Industry Overview
Industry Overview India’s paper consumption lower than world average India’s paper demand continues to grow at a steady pace World per capita consumption (Paper + Board) in kgs - 2014 (mn tonnes) 6.3% World average 27 18.2 Africa 8 6.2% India 11 13.4 Indonesia 29 Vietnam 30 9.9 Latin America 47 Thai
Slide 6: Industry Overview: Newsprint
Industry Overview : Newsprint Newsprint market size growing at fairly good pace (INR bn) CAGR – 14.0% 95 98 78 69 58 2010-11 2011-12 2012-13 2013-14 2014-15 However, declining global prices affected domestic market pricing (INR per tonne) Landed cost (canada) Domestic prices Global newsprint deman
Slide 7: Industry Overview: Paper board
Industry Overview : Paper board Paper board market has grown at a steady pace (INR bn) CAGR – 8.0% 204 182 150 160 162 2010-11 2011-12 2012-13 2013-14 2014-15 Expected to grow at a healthy pace in the long run Variety-wise Demand 2014-15 Past 5 year 2019-20P Next 5 year Kraft paper demand expected
Slide 8: Industry Overview: Writing & Printing
Industry Overview : Writing & Printing W&P volume growth expected to increase in next five years (Mn ton) CAGR – 4.1% CAGR – 3.6% 5.04 4.12 3.45 2010-11 2015-16 2020-21 W&P Variety-wise Demand Variety-wise Demand 2015-16 Last 5 year 2020-21P Next 5 year Demand in W&P segment grew on account (mn to
Slide 9: Company Overview
Company Overview Emami Paper Mills Limited
Slide 10: Overview – Emami Paper Mills Ltd
Overview – Emami Paper Mills Ltd Newsprint customers Shareholding Pattern (Jun 2017) Operates through 3 include leading dailies – One of the largest paper The Economic Times divisions manufacturers in India; The Times of India Newsprint - 127,000 TPA Hindustan Times Others 2 manufacturing facilities
Slide 11: Emami Paper Mills – Journey so far
Emami Paper Mills – Journey so far Capacity of Board Plant increased to 180,000 TPA One of the Largest Paper Board Plant of Manufacturer of 132,000 TPA with Commissioning of Power Plant- Newsprint & 10.5 MW power plant commissioned 2017 15MW, DIP-300TPD, Paper Machine- Market Leader in III-250TPD th
Slide 12: Board of Directors
Board of Directors Mr. A. V. Agarwal, Mr. Manish Goenka Mr. P.S. Patwari Mr. MBS Nair, Mrs. Richa Agarwal Executive Chairman Whole Time Director Executive Director & CEO Director (Operations) Director Rich experience across Extensive Business CA with 36 years of Renowned paper technologist Extensive
Slide 13: Senior Management Team
Senior Management Team Total Association Senior Management Role Profile Experience with Emami Mr. S. K. Jain Sr. President 37 yrs 13 yrs Renowned Paper technologist and Project Head President (Finance) & FCA and ACS, Experienced & Qualified commercial Mr. S. K. Khetan 29 yrs 17 yrs CFO head Vice Pre
Slide 14: Business Overview
Business Overview Emami Paper Mills #1 Newsprint #2 Paper Board #3 Writing and Printing • Eco Strong • Cream Wove • Delux Newsprint Variety • Maxofold • Maplitho • Standard Newsprint • Glamkot • Ledger • Economic Times • The Hindu • HUL • Kellogs • Times of India • The Telegraph • Colgate • Dollar •
Slide 15: Geographical Reach
Geographical Reach Combined strength of more Total capacity than 3,300 employees at both 1,000 tpd (950 tpd in Balasore and 50 tpd in Kolkata) locations Newsprint capacity 127,000 TPA Board paper capacity 180,000 TPA Newsprint Capacity – 17,000 TPA Writing & printing capacity 18,000 TPA Captive powe
Slide 16: Paper Board Business
Paper Board Business One of the fastest break-even in the New Generation technology for sector. More than 100% capacity manufacturing high quality utilization with high end products in packaging board required by the the very first year of operation. fastest growing packaging market of FMCG products
Slide 17: New Paper Board Plant at Balasore
New Paper Board Plant at Balasore Raw Materials Warehouse Head Box Packing Line Sheet Cutters Ream & Bundling System Rack Storage System 17 Paper Mills Ltd.
Slide 18: State-of-the-art Equipment Base
State-of-the-art Equipment Base New Board Paper Facility • 4 Forming Layers • Shoe Press • 4 Combi Blade coaters with Infra-Red dryer to produce lowest cost paperboard • 4 Hydraulic Head boxes with top Former and Dilution Control System • Captive Power Generation • New generation effluent treatment
Slide 19: Advantage - Emami Paper Mills Ltd.
Advantage - Emami Paper Mills Ltd. Paper Board • Deep and long term relationships with customers • Long term agreements with suppliers for sourcing pulp • Easy access to key raw material Coal from nearby Talcher Coalfields located 200kms from Balasore facility • Cost effective import of pulp, waste
Slide 20: Capacity Expansion Plans
Capacity Expansion Plans Past Capacity Target Capacity 132,000 180,000 360,000 Paper TPA TPA TPA Board Capex Capex Capex Rs. 6,500 Mn 2016-17 Rs. 500 Mn 2017-18 Rs. 7,500 Mn 2021-22 (Incurred) (Ongoing) (Planned) Past Capacity Target Capacity 18,000 60,000 160,000 Writing & TPA TPA TPA Printing Cape
Slide 21: Financial Overview
Financial Overview Emami Paper Mills Limited
Slide 22: Quarterly Financial Performance
Quarterly Financial Performance (INR mn) Revenue Commissioning of Multi-Layer Paper Board Sales started 3,047 3,009 Coated Board plant at 2,799 2,783 Balasore in March 2016 2,529 resulted in substantial pick- 1,464 1,411 1,305 1,322 1,309 up in revenues 1,206 1,384 1,275 1,270 1,358 1,329 1,431
Slide 23: Summarized Profit & Loss Account
Summarized Profit & Loss Account (INR mn) Particulars FY14 FY15 FY16 FY17 Q1 FY 17 Q1 FY 18 Revenue 5,466 5,210 5,388 11,384 2,529 2,783 Other Income 34 77 64 185 -13 29 Total Income 5,499 5,287 5,452 11,568 2,516 2,812 Cost of materials consumed 3,094 3,210 3,180 7,847 1,731 1,938 Changes in invent
Slide 24: Summarized Balance Sheet
Summarized Balance Sheet (INR mn) Particulars FY14 FY15 FY16 FY17 EQUITY AND LIABILITIES Shareholders’ funds* 3,606 4,319 4,495 4,755 Non-current liabilities Long-term borrowings 3,712 6,544 7,071 6,544 Deferred tax liabilities (net) 404 455 284 355 Other long-term liabilities 5 27 46 49 Long-term p
Slide 25: Summarized Cash Flow Statement
Summarized Cash Flow Statement (INR mn) Particulars FY14 FY15 FY16 FY17 CASH FLOW FROM OPERATING ACTIVITIES Net Profit before tax 232 173 108 330 Depreciation and amortisation expenses 317 266 267 548 Provision for employees benefits 6 12 7 11 Finance Costs 190 151 161 570 Change in Working Capital
Slide 26: Key Ratios
Key Ratios Ratios FY14 FY15 FY16 FY17 Per Share Data (Rs.) Pre‐exceptional EPS 2.6 1.2 3.6 4.3 DPS 0.6 0.6 0.6 1.2 BVPS 51.5 61.3 64.2 68.5 Growth Ratios (%) Revenues 7.2 -4.7 3.4 111.3 EBITDA -1.7 -27.2 -7.9 167.5 Profit before Tax 79.0 -25.4 -37.4 205.2 Profit after Tax 61.1 -34.8 129.8 -7.1 Profi
Slide 27: CSR, Awards & Accolades
CSR, Awards & Accolades Emami Paper Mills Limited
Slide 28: CSR - Improving the quality of life
CSR - Improving the quality of life Eradication of Hunger, Mal-Nutrition & Promoting Education and Touching Lives Promotion of Health and Sanitation Vocational Skills Providing Mobile Health Care services Contribution and continuous support to at door steps in 4 locations catering Remuna College. Fr
Slide 29: Awards & Accolades
Awards & Accolades Greentech CSR Best CSR Activities in Odisha State Odisha State Greentech CSR Greentech Award 2015 Balasore in Balasore Energy Safety Award, 2014 Environmental Mahotsav, Pallishree Conservation Conclave (GOLD Award, 2014 Mela & EXPO Award 2014 CATEGORY) (GOLD CATEGORY) Odisha, 2016
Slide 30: Customer Feedback
Customer Feedback “Emami paper is a forward looking company with a progressive “We are thankful to Emami Paper Mills as attitude to grow their presence and market share in the paperboard they have provided fastest services to our packaging space. orders. We are happy to see their commitment to provi
Slide 31: Thank You
Thank You Investor Relations : emamipaper@emamipaper.in, gsaraf@emamipaper.in 31 Paper Mills Ltd.
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