Shree Cement Limited · NSE:SHREECEM
Shree Cement — Investor Presentation (July 2023)
22 slides from Shree Cement's investor presentation, July 2023
Slide 1: Corporate Presentation July 2023
Corporate Presentation July 2023 www.shreecement.com 1
Slide 2: Disclaimer
Disclaimer Statements in this ‘presentation’ describing the Company’s objectives, estimates, expectations or predictions may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Impor
Slide 3: Index
Index Shree Cement at a Glance Business Landscape Strategic Priorities Environment, Social and Governance Performance Review 3
Slide 4: Strategically located closer to key markets
Strategically located closer to key markets Our footprints 29.60 49.90 MTPA Total Cement production Total clinker production capacity in India capacity in India 4 11 Integrated manufacturing Cement Grinding unit locations unit locations 22,100+ 1,210+ Dealers Depots Region-wise capacity (MTPA) Exist
Slide 5: Visionaries at the helm
Visionaries at the helm H. M. Bangur Prashant Bangur Chairman Vice Chairman A Chemical Engineer A post-graduate from the from IIT Bombay Indian School of Business, Hyderabad. Board of Directors Shreekant Somany Nitin Dayalji Desai Sanjiv Krishnaji Shelgikar Independent Director Independent Director
Slide 6: India's accelerated growth momentum
India’s accelerated growth momentum Real GDP Growth (%) GST Collection (₹ in crore) 8.7 • One of the fastest-growing 6.8 6.5 7.2 6.5 200000 major economies in the 3.7 150000 world. FY2023 GDP growth 100000 at 7.2% 50000 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024(E) • Fifth largest econo
Slide 7: Indian Cement industry is the 2nd largest in the world
Indian Cement industry is the 2nd largest in the world India’s Global Rank Region-wise installed capacity as on 31.03.2023 (MTPA) 111 130 82 2nd 2nd North India East India West India Cement Production Cement Consumption 190 83 596 Cement demand-GDP growth trend (Mn Tonnes) Total capacity South India
Slide 8: Secular trends driving construction market
Secular trends driving construction market Cement demand drivers Housing Infrastructure Industrial/commercial 32-34% 26-28% • Solid real estate demand • Strong momentum in urban • Implementation of PLI scheme witnessed across the country infrastructure, Bharatmala and to generate strong capex 2022-2
Slide 9: Our strategic levers to aid in next leg of growth
Our strategic levers to aid in next leg of growth • Usage of Alternative Fuels and Raw Materials • Investment in Renewable Energy • Logistics cost optimization • Digitalization • Branding ST R AT EG I C PR I O R I T I ES 9
Slide 10: Usage of Alternative Fuels and Raw Materials
Usage of Alternative Fuels and Raw Materials • Continually increasing the share of alternative fuels (hazardous waste of various industries such as Pharma, Chemical, Sponge Iron), MSW (Municipal Solid Waste), RDF (Refused Derived Fuel) and Agricultural waste (crop residue) within total fuels consume
Slide 11: Investment in Renewable Energy
Investment in Renewable Energy Total installed power capacity in India as on 31-3-2023: Focused efforts on green energy capacity creation 888.6 MW Segments Capacity (MW) (as on 31-3-2023) Upcoming capacity (MW) WHR 211.5 33.0 Thermal 43% Green Solar 124.1 50.0 57% Wind 50.0 - Total 385.6 83.0 • One
Slide 12: Logistics cost optimization
Logistics cost optimization SCL's plants are at strategic locations having proximity to raw material sources and key service markets with extensive logistics infrastructure Initiatives to further rationalise logistics cost: • To increase cheaper mode of rail transport in overall transportation, deve
Slide 13: Digitalization
Digitalization Manufacturing Logistics and Sales and marketing Simplified operations • Industrial Internet of Things Sourcing • Sales Force Automation Environment Efficient (IIoT) for smart manufacturing sustainability workflows • Enhancing Logistics • Revenue & Margin • 360-degree cyber security In
Slide 14: Branding
Branding Cement and Clinker sales trajectory Focus on branding to bridge gap with (in million tonnes) premium brands and increase realization 36.0 Initiatives taken: 31.9 • Formation of Technical Services teams to increase 27.7 26.8 sales by close interaction with end users 24.9 • Splitting Sales an
Slide 15: Sustaining leadership with strategic expansion projects
Sustaining leadership with strategic expansion projects 49.9 MTPA ~56 MTPA +80 MTPA Philosophy in project execution: Current capacity By calendar year 2024 Target capacity Patience in planning, Impatience in implementation 6.5 MTPA of cement capacity in different phases of implementation Our executi
Slide 16: Sustainable growth – consistently building capability
Sustainable growth – consistently building capability Focus areas Increasing share of Improving energy Emission Water stewardship Quality and green energy efficiency management • Creation of water efficiency • One of the largest • Continuous upgradation • State of art facilities to harvesting struct
Slide 17: Collaborations for a better world
Collaborations for a better world United Nations Global Cement and Other collaborations Framework Convention Concrete Association, • Partnered with Technology and on Climate Change India Action for Rural Advancement (TARA) and IIT Delhi to strengthen • First Indian cement company to • Partnering wit
Slide 18: A decade of consistent value addition
A decade of consistent value addition Cement Production Capacity (MTPA) Revenue (₹ in Crore) EBITDA (₹ in Crore) 46.4 16,837 3,374 1,749 13.5 5,590 FY13 FY23 FY13 FY23 FY13 FY23 CAGR 13.14% CAGR 11.66% CAGR 6.79% Net Worth (at year end) (₹ in Crore) Market Capitalization (at year end) (₹ in Crore) 1
Slide 19: Performance Highlights
Performance Highlights Revenue from Operations EBITDA and EBITDA margin (₹ in Crore) (₹ in Crore) Net Worth (₹ in Crore) 5,000 (%) 50.0% 16,837 4,413 4,500 4,185 45.0% 18,288 14,306 4,000 40.0% 12,689 3,500 3,374 35.0% 17,271 3,000 30.0% 2,500 25.0% 2,000 20.0% 34.8% 15,250 1,500 29.3% 15.0% 1,000 2
Slide 20: P&L Statement
P&L Statement Particulars FY20 FY21 FY22 FY23 Net Revenue from Operations 11,904 12,588 14,306 16,837 Other Income 272 458 537 432 Total EBITDA 3,946 4,413 4,185 3,374 Finance Costs 287 247 218 269 Depreciation & Amortization 1,699 1,140 1,036 1,546 PAT 1,570 2,312 2,377 1,328 Standalone numbers, PE
Slide 21: Balance Sheet
Balance Sheet Particulars FY20 FY21 FY22 FY23 Assets Fixed Assets, CWIP, Right to use, intangible assets 5,281 5,163 6,294 7,653 Financial assets & investment in subsidiaries 6,038 7,401 8,199 8,439 Other non-current assets 1,193 1,276 1,231 1,590 Total Non-Current Assets 12,512 13,839 15,724 17,683
Slide 22: Thank you
Thank you Registered Office Group Corporate Office Corporate Office Mumbai Office Bangur Nagar, 21 Strand Road, 9th Floor, Unit No. 1110A, 11th Floor, Beawar - 305 901, Kolkata - 700 001, DLF Epitome Building, “C” Wing, One BKC Building, Rajasthan. West Bengal. 5, DLF Cyber City, Plot No. C-66, G-Bl