Slide 1: Exchange filing cover letter for earnings call presentation
The Corporate Relationship Department, National Stock Exchange of India Limited BSE Limited "Exchange Plaza" 1st Floor , New Trading Ring Rotunda Bandra-Kurla Complex Building, P.J. Towers Bandra (E) Dalai Street, Mumbai 400 051 Mumbai 400 001 Scrip Code- 503806 Scrip Code-SRF SRF/SEC/BSE/NSE 05.02.
Slide 2: SRF Limited Q3 & 9M FY19 Results Presentation
SRF Limited We always find a better way February 05, 2019 Q3 & 9M FY19 Results Presentation
Slide 3: Disclaimer
Disclaimer Certain statements in this document may be forward-looking statements. Such forward- looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, and many other factors that could cause our actual results to differ ma
Slide 4: Contents
Contents Q3 & 9M FY19 Results Overview 04 Q3 & 9M FY19 Segmental Performance 09 Company Overview 24 Outlook 27 3
Slide 5: Q3 & 9M FY19 Results Overview
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Slide 6: Results Overview - Financial Overview
Results Overview - Financial Overview Abridged Statement of Profit & Loss (Rs. crore) Q3 FY19 Q3 FY18 % Y-o-Y 9M FY19 9M FY18 % Y-o-Y Gross Operating Revenue 1,964.0 1,397.1 40.6% 5,620.7 4,072.6 38.0% EBIDTA 336.2 252.5 33.1% 1,013.8 689.4 47.1% EBIDTA Margin (%) 17.1% 18.1% (96 Bps) 18.0% 16.9% 11
Slide 7: Results Overview - Financial Overview: Key Financial Ratios
Results Overview - Financial Overview Key Financial Ratios Particulars FY13 FY14 FY15 FY16 FY17 FY18 EBITDA margin 17.59% 13.59% 20.43% 22.13% 21.42% 17.69% PAT Margin 6.69% 4.04% 8.78% 9.51% 10.87% 8.38% Net Debt to Equity 0.71 1.01 0.99 0.73 0.67 0.82 Net Debt to EBITDA 2.06 3.78 2.82 1.96 2.07 3.
Slide 8: Results Overview - Revenue & EBIT
Results Overview - Revenue & EBIT Revenues (Rs. crore) EBIT (Rs. crore) 702.6 88.1 81.7 76.3 76.6 73.3 547.8 586.0 62.9 452.2 430.2 401.8 129.2 114.0 12.1 12.1 TTB CB PFB Others TTB CB PFB Others Q3 FY19 Q3 FY18 Q3 FY19 Q3 FY18 2,030.3 305.8 1,592.8 1,605.4 241.9 1,376.6 218.3 1,255.6 1,104.8 186.1
Slide 9: Results Overview - Revenue Share
Results Overview - Revenue Share Q3FY19 Q3 FY18 6.6% 27.9% 8.2% 32.3% 35.7% 30.8% 29.8% 28.7% CB PFB 9M FY19 9M FY18 7.1% 8.3% TTB 28.3% 33.8% Others 36.1% 30.8% 28.5% 27.1% CB – Chemicals Business; PFB - Packaging Films Business; TTB – Technical Textiles Business; Others 8
Slide 10: Segmental Performance
Packaging Technical Chemicals Others Films Textiles
Slide 11: Chemicals Business
Ghemicals Business
Slide 12: Chemicals Business - Results Update
Chemicals Business - Results Update % Contribution to % Contribution to (Rs. Crore) Segment Revenues EBIT % EBIT Margins Revenues EBIT Q3 FY19 586.0 29.8% 76.6 13.1% 29.6% Q3 FY18 401.8 28.7% 73.3 18.2% 32.6% % Shift 45.8% 4.6% 9M FY19 1,605.4 28.5% 218.3 13.6% 27.2% 9M FY18 1,104.8 27.1% 177.0 16.0
Slide 13: Chemicals Business - Key Highlights
Chemicals Business - Key Highlights Fluorochemicals Business • The segment reported healthy performance during the quarter on account of steady volumes and realizations for refrigerants – SRF continues to be the largest manufacturer of refrigerants in the country • Business continues to increase its
Slide 14: Chemicals Business - Key Highlights
Chemicals Business - Key Highlights Specialty Chemicals Business • Segment delivered stable performance – Agro-Chemical segment on the path of showcasing healthy recovery; – Pharma segment continues to show positive traction; • Successfully started commercial production at newly commissioned plants,
Slide 15: Chemicals Business - Key Highlights
Chemicals Business - Key Highlights Chemicals Technology Group Chemicals Technology Group (CTG) is actively engaged in the development of new process technologies – Key focus on the niche area of fluorinated molecules Strong internal competencies and capabilities – Equipped with state-of-the-art R&D
Slide 16: Packaging Films Business
acKkaging Films Business
Slide 17: Packaging Films Business - Results Update
Packaging Films Business - Results Update Segment % Contribution % EBIT % Contribution to (Rs. Crore) EBIT Revenues to Revenues Margins EBIT Q3 FY19 702.6 35.7% 88.1 12.5% 34.1% Q3 FY18 430.2 30.8% 62.9 14.6% 28.0% % Shift 63.3% 40.0% 9M FY19 2,030.3 36.1% 305.8 15.1% 38.1% 9M FY18 1,255.6 30.8% 157
Slide 18: Packaging Films Business - Key Highlights
Packaging Films Business - Key Highlights Packaging Films Business • The Company reported strong performance in this segment driven by healthy contribution from new capacities – Margin performance was impacted owing to sharp fall in raw material prices which led to some inventory loss • Growth witne
Slide 19: Technical Textiles Business
Technical Textiles Business 18
Slide 20: Technical Textiles Business - Results Update
Technical Textiles Business - Results Update Segment % Contribution % EBIT % Contribution to (Rs. Crore) EBIT Revenues to Revenues Margins EBIT Q3 FY19 547.8 27.9% 81.7 14.9% 31.6% Q3 FY18 452.2 32.3% 76.3 16.9% 34.0% % Shift 21.1% 7.2% 9M FY19 1,592.8 28.3% 241.9 15.2% 30.2% 9M FY18 1,376.6 33.8% 1
Slide 21: Technical Textiles Business - Key Highlights
Technical Textiles Business - Key Highlights Tyre Cord Fabric (TCF) • SRF continues to maintain its market leadership in NTCF – with strong demand witnessed in Q3FY19 – NTCF facility reached optimal production capacity • The Board approved a proposal to install additional spinning and textile capaci
Slide 22: Others
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Slide 23: Others - Results Update
Others - Results Update Segment % Contribution % EBIT % Contribution to (Rs. Crore) EBIT Revenues to Revenues Margins EBIT Q3 FY19 129.2 6.6% 12.05 9.3% 4.7% Q3 FY18 114.0 8.2% 12.06 10.6% 5.4% % Shift 13.4% -0.1% 9M FY19 396.7 7.1% 36.0 9.1% 4.5% 9M FY18 339.2 8.3% 33.9 10.0% 6.1% % Shift 17.0% 6.4
Slide 24: Others - Key Highlights
Others- Key Highlights Coated Fabrics & Laminated Fabrics • In Coated Fabrics, SRF continues to maintain its domestic market leadership • In Laminated Fabrics, the Company reported consistent sales in hot laminations in Q3FY19 – Successfully commercialized two new products Engineering Plastics • Seg
Slide 25: Company Overview
Slide 26: Overview - Business Profile
Overview - Business Profile Revenue EBIT No. of Plants Chemicals Fluorochemicals Specialty Chemicals • Refrigerants • Organic intermediates for agro & 1,611 269 5 • Pharma propellants pharma • Industrial chemicals Packaging Films for Flexible Packaging Films 1,782 230 5 • Bi-axially Oriented Polyeth
Slide 27: Overview - Growth Levers
Overview Growth Levers Focus on building Nurture innovation leadership businesses through R&D Build and maintain Reposition portfolio market leadership in towards knowledge business segments based products Build a Company known and respected for its R&D capabilities Focus on building knowledge bas
Slide 28: Outlook
Slide 29: Outlook - Chemicals Business
Outlook - Chemicals Business Focus on expanding to new markets / geographies for refrigerants and solvents Integrated capacities to produce a range of current & future HFC’s to cater to customer needs Focus on moving up the value chain through accelerating qualifications for new molecules and active
Slide 30: Outlook - Packaging Films Business
Outlook - Packaging Films Business Overall the global packaging films industry is witnessing improvement in capacity utilization Supply overhang likely to continue in the BOPP segment Focus on increasing pace of R&D efforts, efficient cost structures, enhanced capabilities and value-added products i
Slide 31: Outlook - Technical Textiles Business
Outlook - Technical Textiles Business NTCF is expected to remain a key business in the segment and a generator of steady cash flow Other sub segments of Technical Textiles started to contribute to its performance Improving macroeconomic environment to have a positive impact on belting fabric segment
Slide 32: About Us
About Us Established in 1970, SRF Limited with an annual turnover of ₹5,600 crore (US$ 860 million) is a chemical based multi-business entity engaged in the manufacturing of industrial and specialty intermediates. The company’s diversified business portfolio covers Technical Textiles, Fluorochemical
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