Godawari Power & Ispat Ltd. · NSE:GPIL
Godawari Power & Ispat — Q3 FY2024 Earnings Presentation
35 slides from Godawari Power & Ispat's earnings presentation, Feb 6, 2024
Slide 1: Exchange filing cover letter for Q3FY24 investor presentation
ELEH=HE qq; q5FT © qa air ullEL OODAWARI POWER & ISPAT REF: GPILINSE & BSE/2024/5347 Date: 06.02.2024 To I. The Listing Department, 2. The corporate Relation Department, The National stock Exchange of lndia Ltd, The BSE Limited, Exchange plaza, Bandra Kurla complex, First Floor, Rotunda Building, Ba
Slide 2: Q3FY24 Investor Presentation
Godawari Power & Ispat Limited Q3FY24 Investor Presentation SCALABILITY. 6th February’2024 RESPONSIBILITY. SUSTAINABLITY. Three words that represent the core of our company
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Godawari Power and Ispat Limited (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, a
Slide 4: Business at a Glance
Business at a Glance Incorporated in 1999 & Backward integrated Large product portfolio Captive Iron Ore Mines and Growing under leadership of with captive iron ore mines & ranging from Iron Ore pellets to manufacturing plants are Mr. B.L. Agarwal, 1st Captive Power Generation Sponge Iron, Steel Bil
Slide 5: Investment Thesis
Investment Thesis 01 02 03 04 Captive Iron ore mines with Unique presence across High Grade Pellets Strong Growth Plan 165MnT Reserves and 35+ steel value chain Manufactures high grade To more than double the years of mine life. Present Iron Ore Mining & pellets which earn premium capacities of iron
Slide 6: Strategic Updates – Q3 FY24
Strategic Updates – Q3 FY24 Received “Consent to Operate” Received “Consent to Operate” Steel Melting Shop at enhanced Sponge Iron Division at enhanced capacity of 525,000MTPA (up from capacity of 594,000MTPA (up from 400,000MTPA) 495,000MTPA) Commencement of Commercial Commissioning and Operations
Slide 7: Q3FY24 Performance Highlights
Q3FY24 Performance Highlights Financial Performance (Consolidated) Operational Performance Revenue (Rs. Cr.) EBITDA (Rs. Cr.) 1463 o Highest ever production of Steel Billets, Ferro Alloys 1309 (GPIL) and Power (GPIL) 331 o Increase in Production Volume of Iron Ore Pellets, 183 Sponge Iron, Steel Bil
Slide 8: 9MFY24 Performance Highlights
9MFY24 Performance Highlights Financial Performance (Consolidated) Operational Performance Revenue (Rs. Cr.) EBITDA (Rs. Cr.) o Highest ever production of Sponge Iron, Steel Billet, 4436 Power (GPIL) 3926 999 o Production of Sponge Iron, Steel Billets, MS 888 Rounds, HB Wires and Ferro Alloys increa
Slide 9: Guidance – Status Check
Guidance – Status Check 9MFY24 Particulars FY24 Guidance % Achieved Performance Iron Ore Mining 2.3MnT 1.7MnT 74% Iron Ore Pellets 2.6MnT 1.8MnT 69% Sponge Iron 0.59MnT* 0.459MnT 78% Steel Billets 0.475MnT* 0.35MnT 74% Ferro Alloys 80,000T 51,003T 63% Rolled Products 0.2MnT 0.18MnT 90% *Guidance for
Slide 10: Ongoing Capex Plan
Ongoing Capex Plan Capex (in Rs. Cr.) Particulars Capacity FY24 ( E ) Already Balance to be Total Current Status incurred incurred Construction activities completed & synchronisation of Plant with Grid permission GPIL – Khairagarh 23 MW 108 94 14 obtained. Expected to be synchronised in Q4 FY 24. Ca
Slide 11: Next Leg of Growth – Capex Plan
Next Leg of Growth – Capex Plan Existing Proposed Capacity Total Capacity Project Capex ( Apprx. In Rs Cr ) Expected Current Capacity Expansion After Particulars Timeline Status ( Mn T) Earlier Revised Expansion Earlier Revised Enhanced Revised Mining Mining Capacity Plan filed and shall be TOR Rece
Slide 12: Captive Mining Provides Competitive Edge
Captive Mining Provides Competitive Edge 7,300 6,800 6,400 6400 6,000 5,500 4,346 4,270 3,500 3,200 3,000 2,750 3,000 2,950 2,800 2700 2800 2,600 2,462 2,310 2,375 2,050 2,181 1,800 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 Q1FY24 Q2FY24 Q3FY24 Market Price of Iron Ore Captive Ore Landed Cost Not
Slide 13: Detailed Production Summary
Detailed Production Summary Description of Goods M.T./ KWH Q3FY24 Q2FY24 QoQ (%) Q3FY23 YoY (%) 9MFY24 9MFY23 YoY (%) FY23 Iron ore Mining M.T.s 565,255 520,636 9% 648,563 -13% 1,658,413 2,025,677 -18% 2,595,953 Iron ore Pellets - GPIL M.T.s 647,000 636,200 2% 642,050 1% 1,807,150 1,954,300 -8% 2,61
Slide 14: Detailed Sales Volume Summary
Detailed Sales Volume Summary Description of Goods M.T./ KWH Q3FY24 Q2FY24 QoQ (%) Q3FY23 YoY (%) 9MFY24 9MFY23 YoY (%) FY23 Iron Ore Pellet - GPIL M.T.s 367,369 432,697 -15% 463,593 -21% 1,097,722 1,406,137 -22% 1,979,415 Sponge Iron M.T.s 12,411 10,859 14% 19,114 -35% 54,837 117,973 -54% 125,575 S
Slide 15: Detailed Realisation Summary
Detailed Realisation Summary (Ex plant realisation excluding export freight and expenses) Description of Goods M.T./ KWH Q3FY24 Q2FY24 QoQ (%) Q3FY23 YoY (%) 9MFY24 9MFY23 YoY (%) FY23 Iron Ore Pellet - GPIL INR/M.T.s 10,505 9,955 6% 8,284 27% 10,205 9,214 11% 9,409 Sponge Iron INR/M.T.s 31,490 30,2
Slide 16: GPIL Consolidated - Profit & Loss
GPIL Consolidated - Profit & Loss All figures in INR Crore Particulars Q3FY24 Q2FY24 QoQ% Q3FY23 YoY% 9MFY24 9MFY23 YoY% FY23 Net Sales 1,309 1,291 1% 1,463 -11% 3,926 4,436 -12% 5,753 Total Expenses 978 930 5% 1,280 -24% 2,926 3,549 -18% 4,589 Other Income 16 23 -32% 36 -56% 58 78 -26% 104 EBIDTA 3
Slide 17: GPIL Standalone Profit and Loss
GPIL Standalone Profit and Loss All figures in INR Crore Particulars Q3FY24 Q2FY24 QoQ% Q3FY23 YoY% 9MFY24 9MFY23 YoY% FY23 Net Sales 1,214 1,218 0% 1,378 -12% 3,639 4,062 -10% 5,285 Total Expenses 890 857 4% 1,191 -25% 2,653 3,202 -17% 4,142 Other Income 21 21 -3% 34 -39% 61 71 -14% 96 EBIDTA 324 3
Slide 18: GPIL – Consolidated Balance Sheet
GPIL – Consolidated Balance Sheet All figures in INR Crore Particulars 30.09.2023 31.03.2023 Particulars 30.09.2023 31.03.2023 ASSETS EQUITY AND LIABILITIES Non Current assets EQUITY (a) Property, Plant and Equipment 1,921 1,965 (a) Equity share capital 62 65 (b) Capital work-in-progress 615 443 (b)
Slide 19: GPIL – Standalone Balance Sheet
GPIL – Standalone Balance Sheet All figures in INR Crore Particulars 30.09.2023 31.03.2023 Particulars 30.09.2023 31.03.2023 ASSETS EQUITY AND LIABILITIES Non Current assets EQUITY (a) Property, Plant and Equipment 1,635 1,674 (a) Equity share capital 66 68 (b) Capital work-in-progress 410 240 (b) O
Slide 20: Strong Net Cash Balance Sheet
Strong Net Cash Balance Sheet Healthy Balance Sheet to support Capex Plans through internal accruals Consolidated Net Debt (Rs Crores) 1,929 1,821 1,604 1,436 720 -565 -791 -768 FY17 FY18 FY19 FY20 FY21 FY22 FY23 9MFY24 Short term borrowings are not included in calculation of Net Debt.
Slide 21: Unique Presence Across Steel Value Chain
Unique Presence Across Steel Value Chain Asset Capacity FY23 Utilization (%) Asset Capacity FY23 Utilization (%) Iron Ore MS 0.4 MT 43% Mining 3.05 MT Rounds 85% Iron Ore 2.7 MT HB 0.10 MT 97% 54% Pellets 92% Wires Sponge Ferro 91,500T 0.5 MT 93% Alloys Iron 99.99% 67% Power Steel (Incl 0.4 MT 75% 2
Slide 22: Large Portfolio of Long-life Assets
Large Portfolio of Long-life Assets Pelletisation Plant Odisha Keonjhar: 0.8 mn MTPA Siltara Integrated Plant Chhattisgarh 3.3 mn MTPA Iron ore beneficiation 2.7 mn MTPA Iron ore pellets 0.5 mn MTPA Sponge iron Bemetara, Chhattisgarh 0.4 mn MTPA Steel billets 52MW HFAL Solar Power Plant 0.2 mn MTPA
Slide 23: Simplified Group Structure
Simplified Group Structure Associates JVs Godawari Power and Ispat Limited 37.85% 33.30% Ardent Steel Private Raipur Infrastructure Limited Company Limited 91.82% 100% 25.93% Hira Ferro Alloys Limited Godawari Energy Limited Chhattisgarh Captive Coal Mining Private 8.29% Limited 35.36% 78.96% 12.53%
Slide 24: Strong focus on Sustainability
Strong focus on Sustainability Strengthening the ESG Framework Aligned with United Nations’ 10 principles for manufacturing responsibility and environmental sustainability Environment Responsibility Social Responsibility Governance Framework o Investing in o Strong community o Strategic Clarity – en
Slide 25: CSR Activities – Serving Society through Industry
CSR Activities – Serving Society through Industry Education , Health & Infrastructure
Slide 26: International & Domestic Tailwinds
International & Domestic Tailwinds International Market o Global iron ore prices surged to $144/t in Jan’2024 up from US$103/t at the start of the year and is currently at $133/t. China's import were strong as this year there were no explicit steel production cuts announced. At the same time, China'
Slide 27: Appendix
GODAWARI POWER & ISPAT APPENDIX Lite eed IL led
Slide 28: Board of Directors
Board of Directors Mr. Shashi Kumar (Chairman & Mr. BL Agarwal (Managing Mr Raj Kamal Bindal (Independent Independent Director) Director) Director) 4+ decades of experience; B.Sc. In 1st generation entrepreneur with MCOM, CA & MBA; 22 years experience Mining Engineering; Advisor to almost 4 decades
Slide 29: Shareholding Pattern on 31 Dec’2023
Shareholding Pattern on 31 Dec’2023 Shareholding Pattern 31st Dec 2023 Particulars No of Shares % of Total Sh. Promoter 8,60,04,908 63.26 36.74% Domestic Institutions 28,36,348 2.09 FPI 73,58,707 5.41 63.26% Non Institution 3,97,45,025 29.24 Total 13,59,44,988 100.00 Promoter Public
Slide 30: Past Operational Performance at a Glance…
Past Operational Performance at a Glance… Trend of Iron Ore Mining (mt) Trend of Pellet Production (mt) 2616500 2595953 1,933,250 2,399,500 2,256,550 1,580,850 1,999,150 1,547,384 1,841,050 2,312,888 1,532,200 1,495,100 1,699,920 1,579,693 1,657,629 902,550 619,620 326,358 1,175,090 693,612 657,328
Slide 31: Past Operational Performance at a Glance (Ctd.)...
Past Operational Performance at a Glance (Ctd.)... Trend of Steel Production (mt) Trend of Silico Manganese (mt) 16492 350,865 325070 16,152 344,610 327,050 13,700 13,772 14,178 204,162 298,418 13,136 188,190 11,116 11,403 227,581 10,537 10,517 197,596 9,434 185,021 177,970 FY 13 FY 14 FY 15 FY 16 F
Slide 32: Past Sales Realisations
Past Sales Realisations Iron ore Pellet Sponge Iron Steel Billets 33,804 12,390 7,798 49,512 10,205 31,746 30,559 28,681 43,427 44,671 18,277 9,017 9,409 8,607 21,830 33,072 33,545 7,872 20,964 31947 6,8097,091 18,934 19,736 20,645 29,493 27,720 28,590 5,365 16,678 16,897 22,689 5,067 13,310 4,360 1
Slide 33: GPIL Consolidated – Historical Profit & Loss
GPIL Consolidated – Historical Profit & Loss All figures in INR Crore Particulars 9MFY24 FY23 FY22 FY21 FY20 FY19 FY18 Net Sales 3,926 5,753 5,399 3,958 3,289 3,322 2,527 Total Expenses 2,926 4,589 3,535 2,821 2,664 2,532 1,931 Other Income 58 104 29 3 5 6 9 EBITDA 999 1,164 1,864 1,137 629 795 606
Slide 34: GPIL Consolidated – Historical Balance Sheet
GPIL Consolidated – Historical Balance Sheet All figures in INR Crore Particulars H1FY24 FY23 FY22 FY21 FY20 FY19 FY18 Net Worth 4,085 3,947 3,442 2,108 1,503 1,336 1,084 Debt Long Term Debt 9 9 10 771 1,465 1,643 1,873 Short Term Debt 81 307 418 125 160 139 134 Other Long Term Liabilities 266 256 1
Slide 35: Thank You
Thank You Investor Relations Contact: Sana Kapoor Go India Advisors sana@GoIndiaAdvisors.com M:+91 81465 50469 Sheetal Khanduja Go India Advisors sheetal@GoIndiaAdvisors.com M:+91 97693 64166 Company Contact: Sanjay Bothra Chief Financial Officer (CFO) sanjay.bothra@hiragroup.com Godawari Power and
Godawari Power & Ispat — Q3 FY2024 Earnings Presentation on 6ix