Balkrishna Industries Limited · NSE:BALKRISIND
Balkrishna Industries — Q2 FY2023 Earnings Presentation
36 slides from Balkrishna Industries's earnings presentation, November 2022
Slide 1: Balkrishna Industries Ltd Investor Presentation
BALKRISHNA INDUSTRIES LTD Investor Presentation November‘22
Slide 2: Safe Harbor
GROWING TOGETHER Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Balkrishna Industries Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or
Slide 3: Growing Together – Years of Growth
BK/T, GROWING TOGETHER WA YEARS OF GROWTH
Slide 4: Performance Snapshot – Q2FY23
Performance Snapshot – Q2FY23 GROWING TOGETHER Sales Volume Revenue EBITDA 78,872 MT Rs 2,806 cr Rs 564 cr EBITDA Margin Net Profit 20.1% Rs. 404 cr Declared 2nd interim Dividend of Rs. 4/- per equity share All Figures on Standalone basis 4
Slide 5: Management Commentary
Management Commentary GROWING TOGETHER Looking at the current geo-political challenges The current situation in Europe continues to be across the globe especially in Europe, which is challenging and thereby may have an effect on our also our biggest market, there are strong performance in H2FY23. he
Slide 6: Capex Status
Capex Status GROWING TOGETHER Brownfield Tire Plant ▪ Commissioned the 50,000 MTPA brownfield tire plant at Bhuj ▪ Expect complete ramp-up in production in H2FY23 at Bhuj ▪ Project Capex Cost - Rs. 800cr ▪ Expect commissioning for 55,000 MTPA Carbon Black capacity along with Power Plant during Decem
Slide 7: Sales Volume Profile – H1FY23
Sales Volume Profile – H1FY23 GROWING TOGETHER In MT 2,88,795 +10% 2,27,131 2,11,261 1,99,213 2,01,760 1,62,025 FY18 FY19 FY20 FY21 FY22 H1FY23 All Figures on Standalone basis 7
Slide 8: Volume Profile
Volume Profile GROWING TOGETHER Segmental Sales Channel Sales Geographical Sales 3.1% 2.6% 10.2% 27.6% 32.9% 19.9% H1FY23 H1FY23 H1FY23 49.6% 64.0% 69.8% 20.3% Agriculture OTR Others Replacement OEM Others Europe Americas India RoW All Figures on Standalone basis 8
Slide 9: Profit & Loss
Profit & Loss GROWING TOGETHER Standalone Particulars (Rs in Cr) Q2FY23 Q2FY22 YoY H1FY23 H1FY22 YoY FY22 Sales (MT) 78,872 72,748 8% 162,025 141,356 15% 288,795 Revenue from Operations 2,704 2,050 5,351 3,863 8,267 Realized Gain on Foreign Exchange 102 30 182 45 152 Total Income 2,806 2,080 35% 5,5
Slide 10: Net Forex Gain/(Loss)
Net Forex Gain/(Loss) GROWING TOGETHER Particulars (Rs in Cr) Q2FY23 Q2FY22 H1FY23 H1FY22 Foreign Exchange Fluctuation on Sales 102 30 182 45 Foreign Exchange Fluctuation on Others 18 15 29 22 Total Realised Gain/(Loss) – A 120 45 211 66 Total Unrealized Gain/(Loss) - B 49 27 75 43 Net Forex Gain/(L
Slide 11: Balance Sheet
Balance Sheet GROWING TOGETHER Particulars (Rs. Cr.) Sep’22 Mar’22 Particulars (Rs. Cr.) Sep’22 Mar’22 ASSETS EQUITY AND LIABILITIES Non-current assets 7,839 7,054 EQUITY 7,630 6,925 Property, Plant and Equipment 4,644 3,906 Equity Share Capital 39 39 Capital work-in-progress 1,281 1,258 Other Equit
Slide 12: Cash Flow
Cash Flow GROWING TOGETHER Particulars (Rs. Cr.) H1FY23 FY22 Operating profit before working capital changes 1,114 2,163 Changes in working capital -483 -825 Cash generated from operations 631 1,339 Direct taxes paid (net of refund) and others -177 -457 Net Cash from Operating Activities 454 881 Net
Slide 13: Resilient Business Model
GROWING TOGETHER Resilient Business Model Gross Cash and Cash equivalents of Rs. 2,078 Cr as on 30th September 2022 Diversified Product Portfolio, spread across Agriculture, Industrial, Construction, Earthmoving, Mining, Port, Lawn and Garden and ATV tires Self Reliant in Carbon Black along with Mul
Slide 14: Strategy at BKT
GROWING TOGETHER Strategy at BKT 14
Slide 15: Our Focus Area
Our Focus Area GROWING TOGETHER Expand reach within existing Sales Expand the product portfolio by adding Reach 100% utilization levels at Bhuj Channels as well increase footprint large sized tires and strengthen Plant in the next few years within replacement segment and OEMs relationship with Custo
Slide 16: To Serve Global OEMs…
To Serve Global OEMs… GROWING TOGETHER The Brand Names and logos mentioned are the property of their respective owners and are used here for identification purposes only 16
Slide 17: With India Production and Global Sales
GROWING TOGETHER With India Production and Global Sales Waluj, Maharashtra Bhiwadi, Rajasthan Chopanki, Rajasthan India Our Manufacturing base Bhuj, Gujarat Mould plant, Dombivali Note – Maps not to scale. All data, information, and maps are provided “as is” without warranty or any representation of
Slide 18: Balkrishna Industries – A Snapshot
Balkrishna Industries – A Snapshot GROWING TOGETHER 01 Leading ‘Off-Highway Tire” Exporter BKT is India’s Leading player in the Global ‘Off Highway Tire (OHT)’ Market Wide and comprehensive product portfolio 02 Deep understanding of OHT market has led to capabilities to manufacture over 3,200 SKUs C
Slide 19: Our Strong Evolution
Our Strong Evolution GROWING TOGETHER 1987 1995 2002 2003 1st Plant in Aurangabad Production of ATV, inaugurated by Started Production of Plant in Bhiwadi, Off-Highway Tires Gardening and our Founder Chairman, Rajasthan earthmoving Tires Late Mr. M P Poddar 2011 2009 2008 2006 2004 Launch of Plant i
Slide 20: Business Practices Driving our Long-Term Sustainability
Business Practices Driving our GROWING TOGETHER Long-Term Sustainability Energy Efficiency Environment Waste Management • To ensure energy efficiency Initiated use of ‘Green • Controlled emissions through electrostatic • Implemented disciplined waste Energy’ – installing 5MW windmills and 2 MW solar
Slide 21: Outcomes of our Sustainability Process
Outcomes of our Sustainability Process GROWING TOGETHER Future Targets Key Performance • Zero Liquid Discharge (ZLD) 1:1 High-yield ratio between material • Green House Gas (GHG) emissions input & output with 99% efficiency leading to minimal process • Waste reduction Proportion of recyclable raw ma
Slide 22: Promoting Education, Health & Rural Development
Promoting Education, Health & Rural GROWING TOGETHER Development Our Endeavour is to improve the lives of children and adults, and our mission is to ensure health with dignity to every underprivileged children and adult 22
Slide 23: BKT – A Strong Global Brand from INDIA
GROWING TOGETHER BKT – A Strong Global Brand from INDIA 23
Slide 24: Strengthening BKT Brand: Americas
GROWING TOGETHER Strengthening BKT Brand : Americas BKT is the Official and Exclusive Tire manufacturer of MONSTER JAM and its fleet of Monster Trucks – Monster Jam is a top sporting event in America 24
Slide 25: Strengthening BKT Brand: Canada
GROWING TOGETHER Strengthening BKT Brand : Canada BKT Continental Cup – Curling: BKT is the Title Sponsor of Continental Cup 25
Slide 26: Strengthening BKT Brand: Spain, Europe
Strengthening BKT Brand: Spain, Europe GROWING TOGETHER BKT is the Official Global Partner for the Spanish Football League “La Liga” 26
Slide 27: Strengthening BKT Brand: Italy, Europe
Strengthening BKT Brand: Italy, Europe GROWING TOGETHER BKT is the Title Sponsor for the ITALIAN SERIE ‘B’ FOOTBALL CHAMPIONSHIP – THE NEWBORN - “SERIE BKT” 27
Slide 28: Strengthening BKT Brand: France, Europe
GROWING TOGETHER Strengthening BKT Brand: France, Europe BKT is the Sponsor for the “LIGUE de Football Professionel (LFP)” in France 28
Slide 29: Strengthening BKT Brand: France, Europe
GROWING TOGETHER Strengthening BKT Brand: France, Europe BKT Is Official Tire Supplier for Rugby World Cup France 2023 29
Slide 30: Rugby Championship
GROWING TOGETHER RUGBY CHAMPIONSHIP BKT is associated with United Rugby Championship 30
Slide 31: Strengthening BKT Brand: Europe
GROWING TOGETHER Strengthening BKT Brand : EUROPE Premium Partner of EUROLEAGUE BASKETBALL 31
Slide 32: Strengthening BKT Brand: Tractor of the Year - Europe
Strengthening BKT Brand : GROWING TOGETHER Tractor of the year (TotY) - EUROPE Team of expert journalists in agricultural mechanization, assign the Tractor of the Year (TotY) award to the ‘Best European Tractor’ 32
Slide 33: Strengthening BKT Brand: Australia
GROWING TOGETHER Strengthening BKT Brand : Australia BKT is the Official “OFF-HIGHWAY TIRE PARTNER” for KFC BIG BASH LEAGUE (THE AUSTRALIAN CRICKET LEAGUE) 33
Slide 34: Strengthening BKT Brand: India
Strengthening BKT Brand : India GROWING TOGETHER Official Partner of Teams in the Cricket T20 League for Season 14 The Brand Names and logos mentioned are the property of their respective owners and are used here for identification purposes only 34
Slide 35: Strengthening BKT Brand: India
Strengthening BKT Brand : India GROWING TOGETHER Ranveer Singh is now the Brand Ambassador of BKT 35
Slide 36: Thank You
Thank You Company Investor Relations Advisor Balkrishna Industries Ltd. Strategic Growth Advisors Pvt. Ltd. CIN - L99999MH1961PLC012185 CIN - U74140MH2010PTC204285 Mr. M S. Bajaj Mr. Shogun Jain Senior President (Commercial) & CFO shogun.jain@sgapl.net msbajaj@bkt-tires.com +91 77383 77756 www.bkt-t
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