Hariom Pipe Industries Ltd. · NSE:HARIOMPIPE
Hariom Pipe Industries — Investor Presentation (September 2023)
23 slides from Hariom Pipe Industries's investor presentation, September 2023
Slide 1: Hariom Pipe Industries Limited Investor Presentation
HARIOM PIPE INDUSTRIES LIMITED INVESTOR PRESENTATION September 2023
Slide 2: Safe harbour / Disclaimer
Safe harbour / Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by “Hariom Pipe Industries Limited” (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for an
Slide 3: Company Overview
Company Overview f
Slide 4: Vision, Mission and Goal
Vision, Mission and Goal VISION To be a top-notch steel pipe producer, constantly striving for value-added products GOAL To reach Rs 2,500 crore MISSION in Revenue by FY26 To grow, horizontally and without compromising vertically, our product basket on our profitability of quality steel products and
Slide 5: One of the most integrated players of steel pipes and tubes
Products One of the most integrated players of steel pipes and tubes Backward integrated into steel production Forward integration into value-added steel 80% from iron ore and products Share of Value Added scrap Products in Revenue Value added products Recycled Steel MS Billets Hot Rolled Strips MS
Slide 6: An integrated producer of customised steel products
About Hariom An integrated producer of customised steel products One of the most integrated players of steel pipes and tubes Modern facilities driving efficient and sustainable production Stronghold in the South and West India market A customer-centric approach to developing customised solutions Sus
Slide 7: Modern facilities driving efficient and sustainable production
Manufacturing Modern facilities driving efficient and sustainable production Hot Charging in manufacturing substantially 6000 tree reduces carbon emissions plantation and power consumption Harvesting pits save ERP systems for real- rainwater and recharge time order intimation borewells sustainably a
Slide 8: We have built a strong foundation to drive our future growth
Company at a glance We have built a strong foundation to drive our future growth An integrated producer of premium steel products 701,232 MTPA 300,000 MTPA 250+ 1500+ 2 MW Total installed of GP/GC Product Dealer Renewable capacity capacity specification network and power POS Installed Capacity (MTPA
Slide 9: Progressively adding capacity of value-added products
Key milestones Progressively adding capacity of value-added products 2020 2022 Acquisition of Sponge Iron Unit situated at Anantapur, A.P., with a capacity of 36,000 MTPA to achieve cost efficiency and better control of the entire value chain Increased Scaffolding Unit capacity to 5000 MTPA 2019
Slide 10: Modern facilities driving efficient and sustainable production
Manufacturing Modern facilities driving efficient and sustainable production Location Products and Installed Capacity Capacity in FY22, Capacity in FY23, Expected Capacity in Product MTPA MTPA FY24, MTPA M.S. Billets 95,832 1,04,232 1,04,232 HR Strips 84,000 1,24,000 1,24,000 Mahabubnagar, Telangana
Slide 11: Stronghold in the South and West India market
Geographic presence Stronghold in the South and West India market Focus on developing the existing markets Creating new channels in under and non-penetrated geographies Dealer-focused model o Dealers categorisation based on size, business and potential o Dedicated support Orissa o Products sui
Slide 12: A customer-centric approach to developing customised solutions
Clientele A customer-centric approach to developing customised solutions Supplier of choice to marquee clients What do customers want How do we serve New products and competitive pricing Development of new grades and sizes Convenience 1,500 points of sales Technical support Support team for training
Slide 13: Sustained growth and profitability showcases market resilience and adaptability
Performance Sustained growth and profitability showcases market resilience and adaptability Sales (MT) Average Price per MT Blended EBITDA per MT Sales volume growth led 109,085 65,391 8,929 59,010 by capacity increase and 7,585 higher utilisation even 41,841 5,759 during COVID-19 60,740 65,845 35,8
Slide 14: Strong team led by an Independent Board
Leadership team Strong team led by an Independent Board Board of Directors Key Managerial Personnel Pramod Kumar Kapoor Rajender Reddy Gankidi Rupesh Kumar Gupta Chirag Partani Chairman & Independent Director Independent Director Managing Director CS & CCO Rupesh Kumar Gupta Sunita Gupta Shailesh Gu
Slide 15: Growth Drivers
Growth Drivers
Slide 16: India's steel industry shines amidst economic growth and infrastructure investments
Industry India's steel industry shines amidst economic growth and infrastructure investments Drivers of Growing Per Capita Income Growth in Government focus On infrastructure India Steel Market Increasing discretionary spending Steel Industry Growth Demand [in Million Tonnes] Growth 8.2% 7.4%
Slide 17: Forward integration and marketing focus to drive growth
Strategy Forward integration and marketing focus to drive growth Production Ramp Up Capacity Expansion Expanded billets (104,232 MT) and Doubling capacity of Sponge Iron unit HR Strips capacity (124,000 MT) at to 72,000 MT at AP in FY24 Telangana Expanding MS Tubes capacity from Newly acquir
Slide 18: Growth projects driving growth and sustainability
Projects update Growth projects driving growth and sustainability Completed expansion of Pipe Mill from 84,000 MT to 132,000 MT Growth Installed GP Plant with a capacity of 120,000 MT at Projects Mahabubnagar, TS, in June 2023 Expansion of Sponge Iron unit at AP ongoing; expected to be complet
Slide 19: Financial Overview
Financial Overview
Slide 20: Strong performance growth sets the foundation for future
P/L summary Strong performance growth sets the foundation for future Net Revenue (Rs. Crore) EBITDA (Rs. Crore) PAT (Rs. Crore) Margin (%) CAGR: 41% CAGR: 36% CAGR: 53% 644.46 82.74 7.36% 7.19% 5.96% 433.28 58.79 4.95% Volume-led revenue 46.32 254.56 34.98 31.90 growth 161.15 23.92 15.16 7.97 Hi
Slide 21: Strong financial profile
B/S summary Strong financial profile Rs. 130 Crore Particulars (Rs. Crore) FY20 FY21 FY22 FY23 Gross proceeds from IPO in April 2022 Total outside liabilities (ex deferred tax) 89.15 99.37 111.73 329.78 Net Worth 48.30 70.79 101.03 375.17 Ratios (x) Rs. 190 Crore Raised from issue of shares and warr
Slide 22: Investing in our growth
Sources and uses of cash Investing in our growth Sources of Cash, FY23 Uses of Cash, FY23 Rs. Crore Rs. Crore Funds from Increase in Borrowings operations Cash -ST 56 Balance 110 104 Fixed Assets 182 Total Sources Total Uses 487 383 Rs. Crore Rs. Crore Borrowings - LT Advances 93 IPO Working with Ca
Slide 23: Thank You
Thank You Amitabha Bhattacharya HARIOM PIPE INDUSTRIES LIMITED cfo@hariompipes.com
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