Skipper Ltd · NSE:SKIPPER
Skipper — Q1 FY2022 Earnings Presentation
30 slides from Skipper's earnings presentation, Aug 12, 2021
Slide 1: Cover letter to stock exchanges
$KIPPER ----Limited---- Date: 12 August 2021 The Manager The Manager National Stock Exchange of India limited BSE limited Exchange Plaza, s" Floor, Phiroze Jeejeebhoy Towers, Dalal Street Plot No. C-1, Block-G Mumbai- 400 001 Bandra Kurla Complex, Bandra (E) Mumbai- 400 051 NSE Scrip Name- SKIPPER/S
Slide 2: Skipper Limited Investor Presentation Q1FY'22 Results
Q1 PERFORMANCE, 2021 - 22 SKIPPER LIMITED INVESTOR PRESENTATION Q1FY’22 Results 12th August, 2021
Slide 3: Disclaimer
DISCLAIMER This Investor Presentation has been prepared by Skipper Limited for investors, solely for informational purposes. The information contained herein has been prepared to assist prospective investors in making their own evaluation of the Company and does not purport to be all-inclusive or to
Slide 4: Who We Are
WHO WE ARE Company is India’s largest and world's only Integrated T&D company having its own Structure rolling, manufacturing, Tower Load Testing Station & Transmission Line EPC. 3
Slide 5: Product Offerings: Skipper One-Stop Solution Provider
PRODUCT OFFERINGS SKIPPER: ONE -STOP SOLUTION PROVIDER Engineering products Polymer products Infrastructure projects Capacity: 300,000 MTPA Capacity: 51,000 MTPA M I S S•I Transmission ON Line EPC • Power Transmission Tower • UPVC Pipes • Railway Electrification EPC • Power Distribution Poles • CPVC
Slide 6: Q1 FY'22 Performance Update
SKIPPER LIMITED Performance Update Q1 FY’22 Update
Slide 7: Q1 FY'22 Key Performance Highlights
B U S I N E S S U P D AT E Performance Update Q1 Fy’22 – Key Performance Highlights In Q1 Fy’22, business was impacted by second wave of covid-19 pandemic and related challenges; Diversion of Industrial oxygen for medical usage resulted in severe loss of production days. Health and safety of emp
Slide 8: Awards & Approvals
B U S I N E S S U P D AT E Performance Update Awards & Approvals Received European DASt Richtlinie 022 Certificate of Conformity post rigorous audit of our manufacturing and quality processes by IFO Germany, with this certification the company now gets an entry into the highly potential European P
Slide 9: Financial Performance Q1'22
BUSINESS REPORT CARD Financial Performance Q1’ 22 Rs in Mn Sl Profit & Loss Summary Q1 FY’22 Q1 FY’21 Change % 1 Revenues 2,746.4 2,207.1 24.4% 2 Reported EBITDA 167.1 90.5 84.7% EBITDA Margins 6.1% 4.1% 3 (+) Other Income 8.9 3.0 4 (-) Depreciation 119.2 106.3 5 (-) Finance Cost 198.3 173.1 6 Profi
Slide 10: Revenue Performance Highlights Q1 FY'22
REVENUE PEFRORMACE HIGHLIGHTS – Q1 Fy’22 Rs in Mn Rs in Mn Stand Alone - Revenue Segment - Revenue 2,746 24% 2,207 + 29 % 2,048 1,592 + 62 % - 35 % 503 311 196 303 Q1 FY '22 Q1 FY'21 Engg Polymer Infra Q1 Fy'22 Q1 FY'21 • Revenue up by 24 % YoY despite operational constraints in the wake of COVID-19
Slide 11: Q1 FY'22 Revenue Impacted By
PEFRORMACE HIGHLIGHTS Q1’FY 22 Revenue was impacted on account of - The Current year quarter business was severely disrupted due to second wave of Covid-19, which culminated into scaling down of operations post the State lockdown, by way of interruption in production, supply chain disruption, unav
Slide 12: Q1 FY'22 Profitability Margin Impacted By
PEFRORMACE HIGHLIGHTS Q1 Fy’22 Profitability Margin was impacted on account of - Execution miss on account of second wave of Covid ; Supply chain constraint resulted in delay in transmission tower dispatches. Low capacity utilisation and Higher incidence of fixed cost got absorbed on reduced rev
Slide 13: Segment Performance Q1FY'22
SEGMENT REPORT Segment Performance Q1FY’22 Infra Segment Profit & Loss Summary Q1 FY'22 Q1 FY'21 Change % 7% Polymer Net Sales 2,047.5 1,592.5 28.6% Engg 18% Products EBITDA - Operating 111.6 88.8 25.7% % of Sales 5.5% 5.6% Net Sales 503.0 311.3 61.6% PVC EBITDA - Operating 3.8 (20.8) Products % of
Slide 14: Mitigation Strategy: Managing RM Price Volatility
Ma na gi ng RM P ri c e Vo l ati l i ty The company is taking all necessary steps to tackle & neutralise the impact of this temporary RM volatility / Container Freight issues and protect margins - Securing Newer Contracts at elevated price level Mitigation Strategy Considering lack of container avai
Slide 15: The Invisible Positives in the Decline
LOGICAL REASONING THE INVISIBLE POSITIVES IN THE DECLINE 1 Skipper reported consecutive q-o-q growth in order book inflow; Secured orders in 2 Skipper continued to increase its non- India exposure; received first time order and enquiry 3 Only polymer pipe company to successfully implement Theory of
Slide 16: Engineering Products Order Book Composition June 2021
ORDER BOOK PIE Engineering Products – Order Book Composition – June 2021 Total Order Book T&D Order Book Rs 19,400 million Rs 17,480 million Railways Telecom 2% 8% 34% 43% T&D Breakup T&D 90% 23% T&D Telecom Railways Domestic – 61% Export – 39% PGCIL SEB & Others Export 15
Slide 17: Rising Share of Export Inflow
Rising Share of Export Inflow Engineering Products – Order Inflow Composition • New Order Intake of Rs 4,530 million in Q1 FY’22 for engineering products supply from PGCIL, SEB’s & Telecom Players and for various supplies across Asia Pacific , Africa and LATAM markets • T&D Order Book well diversifi
Slide 18: Rising Export Share Inflow
ORDER BOOK PIE Rising Export Share Inflow Qtr Wise – Export Order Inflow Trend Positioned to grow export business to 75% of Engineering revenue in next 2 years Secured new export orders in excess of Rs 2,490 million 2,490 during the quarter and Rs 3,700 million in the past 4 months Made inroads
Slide 19: Strong Bidding Pipeline
Strong Bidding Pipeline Strong Bidding Pipeline of 45,000 Million as on 30th June 2021; International – 32,000 Mn & Domestic - 13,000 Mn • Expecting International Ordering & Execution to gain pace in H1 FY’22; • In advanced Stages of negotiation to secure some good size International contract • Larg
Slide 20: Performance Outlook
Business Outlook PERFORMANCE OUTLOOK Q1 Fy’22 Covid Lockdown impact is more of a Revenue deferment for us rather than revenue loss, None of our projects got cancelled neither faced any significant deferment. Stronger expected execution in both Engineering & Polymer segment going forth coupled wi
Slide 21: FY'22 Business Guidance
Business Guidance FY’22 - Guidance Revenue Guidance - Company expects to clock double digit annual revenue growth in FY’22 on back of strong pending execution of engineering contracts and strong polymer segment performance Order Inflow – Targeting Inflow of Rs 18,000 - 20,000 million in full yea
Slide 22: Shareholding Pattern
Shareholding Pattern Shareholding pattern Major Institutional Shareholders a s o n 3 0 th J u n e 2 1 A s o n 3 0 th J u n e 2 1 Promoters Name % 71.89% Mutual Funds Baillie Gifford - Pacific Horizon Investment 4.49% 0.46% Trust Foreign Ocean Dial Asset Management India (ICGF) 4.36% Portfliio Invest
Slide 23: Future Ready
SKIPPER 0 © GK Le SKIPPER } =] ok R&D Future Ready
Slide 24: Focus on Growing Exports
EXPLORING NEW GEOGRAPHIES FOCUS ON GROWING EXPORTS • Optimistic outlook: Positioned to grow exports to 50% of Engineering revenue in current year (FY’22) and to 75 % in next International certifications 2 years. Certification Country • Opportunity-ready: Certified by prominent international CFE/LAPE
Slide 25: Skipper Clearly Poised to Be in the Winning Spot
LEADERSHIP POSITION S K I P P E R I S C L E A R LY P O I S E D T O B E I N T H E W I N N I N G S P O T I N T H E I N T E R N AT I O N A L T & D S E C T O R • Skipper is the highest accredited manufacturers in India for supplying to global markets • Largest and lowest cost manufacturer out of India a
Slide 26: Telecom Sector: Telecom Tower
TELECOM SECTOR TELECOM TOWER • India needs around 100,000 additional towers to address growth China 1.4 bn 1.94 mn • National Telecom Policy aims to inspire $100 bn investment in Customers Telecom tower five years • India’s 30 per cent broadband penetration leaves large headroom • Sector added 65,00
Slide 27: Leadership Position in the Telecom Sector
LEADERSHIP POSITION S K I P P E R I S C L E A R LY S E T T O B E I N T H E W I N N I N G S P O T IN THE TELECOM SECTOR • Large engineering capacity to support manufacturing of Telecom structures • Proximity to focus Telcos markets - East & North East • Tie up with one of world's leading tower design
Slide 28: Transmission Line Tower Testing Station
T r a n s m i s s i o n L i n e To w e r Te s t i n g S t a t i o n Skipper boasts of India ‘s largest Tower & Monopole Load Testing Station - • All new large T&D projects in domestic markets now comes along with Design and Load testing scope; • Our new R&D centre will give us distinct advantage ove
Slide 29: Skipper Vaccination Drive
S K I P P E R VA C C I N AT I O N D R I V E More than 2,000 + Employees and Workers were Vaccinated 28
Slide 30: For any queries please contact
For any queries please contact: Aditya Dujari (Investor Relations) Skipper Limited 3A, Loudon Street, 1St Floor, Kolkata 700 017 E-Mail: aditya.dujari@skipperlimited.com Tel: + 91 33 2289 2327/5731 Mobile: 9830806906 29