Hindalco Industries Limited · NSE:HINDALCO
Hindalco Industries — Q2 FY21 Earnings Presentation
32 slides from Hindalco Industries's earnings presentation, Nov 10, 2020
Slide 1: Hindalco Industries Limited Q2 FY21 Earnings Presentation
Hindalco Industries Limited Q2 FY21 Earnings Presentation 10th November, 2020
Slide 2: Safe Harbour
SAFE HARBOUR Certain statements in this report may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the company’s operations incl
Slide 3: Table of Content
Table of Content Key Highlights – Q2 FY21 04 • Novelis Economy & Industry Updates – Global & Domestic 07 Business Performance : Operational & Financial – Q2 FY21 vs Q2 FY20 13 - Novelis • Aluminium - Aluminium (India) (India) - Copper - Consolidated Annexures : 29 - Key Financials – Q2 FY21 vs Q2 FY
Slide 4: Business Performance Key Highlights - Q2 FY21
Business Performance Key Highlights - Q2 FY21 Hindalco Industries Limited EXCELLENCE BY DESIGN 4
Slide 5: Key Highlights : Q2 FY21
Key Highlights : Q2 FY21 All time high quarterly shipments of 923 Kt (835Kt), up 11%, due to the acquired business All time high adjusted EBITDA at $455 million ($374 million), up 22%, on the back of higher volumes, strong market demand coupled with good cost control and product mix All time h
Slide 6: Key Highlights : Q2 FY21 ...Contd.
Key Highlights : Q2 FY21 ...Contd. Cathode production reached 73 Kt from 41 Kt in Q1 FY21, after ramp up of operations, post recovery from Q1 disruptions due to Covid Metal Sales at 75 Kt (82 Kt), as the market recovered in Q2 FY21 Copper CC Rods sales at 64 kt (63Kt) , up 2% YoY Highest eve
Slide 7: Economy & Industry Updates Global & Domestic
Economy & Industry Updates Global & Domestic Hindalco Industries Limited EXCELLENCE BY DESIGN 7
Slide 8: Economy Updates
Economy Updates Global GDP Growth (% YoY) India GDP Growth (% YoY) 9.8 10.3 10.1 8.5 5.6 5.4 5.2 6.6 7.4 8.0 8.3 8.3 7.0 4.3 5.5 6.4 3.5 3.5 3.6 3.5 3.4 3.9 3.6 3.9 4.2 3.0 2.9 -0.1 CY07 CY08 CY09 CY10 CY11 CY12 CY14 CY15 CY16 CY17 CY18 CY19 CY13 CY20E CY21E -9.5 -4.4 RBI forecasted the GDP to con
Slide 9: Global Aluminium Industry
Global Aluminium Industry Global Demand & Supply Balance (Mt) Global Price of Aluminium (Cash -$/T) Production Consumption Metal Balance 1,859 47.3 47.9 15.9 16.2 48.5 44.7 16.2 15.7 (1.2) 3.2 (0.3) 0.5 1,793 1,762 1,803 1% 1,752 1,690 1,704 (8)% 1,497 26.4 27.0 27.0 2% 26.9 0.1 (3)% 20.9 20.9 8.9 9
Slide 10: Domestic Aluminium Industry
Domestic Aluminium Industry Domestic Demand (Kt) 996 957 861 888 574 721 25% 583 554 503 512 358 388 414 403 358 376 363 186 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q2 FY21 E Domestic Sales Imports Sharp Recovery is expected in demand by ~25% QoQ in Q2 FY21; Sept 2020 demand at 90% of pre-covid le
Slide 11: Aluminium Flat Rolled Products (FRP) Industry
Aluminium Flat Rolled Products (FRP) Industry The global FRP Demand is expected to decline by ~7% in 2020 (vs 2019) due to the COVID-19 and is expected to bounce back with growth ~8% in 2021 (vs FY20) on account demand recovery and base effect. Beverage Cans Automotive Aerospace • Continued resili
Slide 12: Copper Industry (Global & Domestic)
Copper Industry (Global & Domestic) Global Demand & Supply Balance (in Mt) Domestic Demand (Kt) Production Consumption 195 190 192 17.4 17.3 17.4 16.6 172 89 147 8.6 7.7 92 99 56 10.5 10.3 37 91 5.9 5.8 5.9 5.8 3.5 8.8 8.9 2.8 2.5 40 6.9 7.0 3.4 106 116 110 98 93 2.4 2.4 3.0 3.2 51 YTD YTD Q3 CY19 Q
Slide 13: Business Performance : Q2 FY21
Business Performance : Q2 FY21 Hindalco Industries Limited EXCELLENCE BY DESIGN 13
Slide 14: Novelis
Novelis Hindalco Industries Limited EXCELLENCE BY DESIGN 14
Slide 15: Operational Performance – Novelis
Operational Performance – Novelis Diverse global footprint and product portfolio with strong customer positioning Overall Shipments (KT) provides competitive advantage, as some pandemic uncertainty remains. Record shipments at 923 Kt in Q2FY21 up 11% YoY and 19% sequentially : 1,665 1,697 Can
Slide 16: Financial Performance – Novelis
Financial Performance – Novelis Revenue ($ Billion) Adjusted EBITDA ($ Million) Adjusted EBITDA ($/tonne) 746 5.8 708 493 5.4 448 448 417 455 327 374 2.9 3.0 2.4 253 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Net sales in
Slide 17: Aluminium (India)
Aluminium (India) Hindalco Industries Limited EXCELLENCE BY DESIGN 17
Slide 18: Production – Alumina, Aluminium Metal & Aluminium VAP
Production – Alumina, Aluminium Metal & Aluminium VAP Alumina* (KT) Aluminium Metal (KT) Aluminium VAP# (KT) 160 657 1,353 1,327 598 96 330 81 667 623 705 291 307 62 34 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Utkal Alu
Slide 19: Sales Volume – Aluminium Metal & VAP
Sales Volume – Aluminium Metal & VAP Aluminium Metal Sales in all forms (KT) Aluminium VAP# (KT) 648 155 606 98 328 78 303 303 63 35 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Aluminium Metal Sales were flat QoQ VAP sales were up 81% QoQ in Q2 FY21 with Dom
Slide 20: Financial Performance - Aluminium (India)
Financial Performance - Aluminium (India) Revenue (₹ Crore) EBITDA (₹ Crore) 11,022 1,922 9,232 1,662 5,532 1,066 4,436 4,796 808 856 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Aluminium revenues were up 8% QoQ, with EBITDA at ₹1,066 crore, up 25% QoQ in Q2 F
Slide 21: Copper
Copper Hindalco Industries Limited EXCELLENCE BY DESIGN 21
Slide 22: Production – Copper Metal & VAP
Production – Copper Metal & VAP Cathode (KT) CC Rod (KT) 131 160 114 89 84 65 62 73 41 26 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 CC Rods production more than doubled QoQ Cathode production at 73 Kt, up 76% QoQ at 62Kt in Q2 FY21 with revival in demand in Q2 FY2
Slide 23: Sales Volume – Copper Metal, VAP & DAP
Sales Volume – Copper Metal, VAP & DAP Copper Metal Sales in All Forms (KT) CC Rods (KT) DAP (KT) 164 125 229 133 95 82 63 64 127 75 102 58 83 31 52 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Copper Metal Sales was up by 28% CC
Slide 24: Financial Performance – Copper Business
Financial Performance – Copper Business Revenue (₹ Crore) EBITDA (₹ Crore) 614 9,042 7,805 307 4,449 4,774 245 208 3,031 37 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Q2FY20 Q1FY21 Q2FY21 H1 FY20 H1 FY21 Revenues were up by 58% QoQ in Q2 FY21, on EBITDA bounces back to ₹208 crore in Q2 FY21 account of
Slide 25: Consolidated Financial Performance
Consolidated Financial Performance Hindalco Industries Limited EXCELLENCE BY DESIGN 25
Slide 26: Consolidated Financial Performance
Consolidated Financial Performance Revenue (₹ Crore) Business EBITDA (₹ Crore) 7,474 7,485 59,629 56,520 4,672 31,237 3,743 29,657 25,283 2,813 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 PBT Before Exceptional Items (₹ Crore) Profit After Tax (₹ Crore) 3,732 2,45
Slide 27: Our Focus on
Our Focus on Protecting our people, Stringent Cash Control communities and environment and with business continuity Cost competitiveness Accelerating Value-Accretive Long-term Growth and Well positioned for the Future Strong Liquidity Resilient, Reliable and and Sustainable Balance Sheet Business Mo
Slide 28: Thank You
ADITYA BIRLA HINDALCO Thank You
Slide 29: Annexures
Annexures Hindalco Industries Limited EXCELLENCE BY DESIGN 29
Slide 30: Consolidated – Key Financials
Consolidated – Key Financials Change QoQ Change (₹ Crore) Particulars Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 YoY % Change % YoY % Revenue from Operations 29,657 25,283 31,237 5% 24% 59,629 56,520 -5% Earning Before Interest, Tax, Depreciation & Amortisation (EBITDA) Novelis* 2,629 1,919 3,392 29% 7
Slide 31: Hindalco (India) Business – Key Financials
Hindalco (India) Business – Key Financials (₹ Crore) YOY QoQ YOY Particulars Q2 FY20 Q1 FY21 Q2 FY21 H1 FY20 H1 FY21 Change % Change% Change % Revenue from Operations 9,978 7,464 9,565 -4% 28% 20,056 17,029 -15% Earning Before Interest, Tax, Depreciation & Amortisation (EBITDA) Aluminium 808 856 1,0
Slide 32: For Further Queries Please Contact: Subir Sen, Investor Relations
For Further Queries Please Contact : Subir Sen, Investor Relations Telephone- +91 22 6662 6666 E mail: hilinvestors@adityabirla.com Website: www.hindalco.com Registered Office Ahura Centre, 1st Floor, B Wing Mahakali Caves Road Andheri (East), Mumbai 400 093 Telephone- +91 22 6691 7000 Website: www.