Star Cement Ltd. · NSE:STARCEMENT
Star Cement — Q3 FY24 Earnings Presentation
26 slides from Star Cement's earnings presentation, Mar 16, 2024
Slide 1: Cover letter to stock exchanges for Q3 investor presentation
Date: 16th March, 2024 To To The Listing Department, The Listing Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1, Block-G Phiroze Jeejeebhoy Towers Bandra Kurla complex, Bandra-East Dalal Street Mumbai-400 051 Mumbai-400 001 Stock code: STARCEMENT Stock code: 5405
Slide 2: Investor Presentation – Quarter 3 FY24
STAR CEMENT LIMITED – CREATING A BETTER TOMORROW Investor Presentation – Quarter 3 FY24 NSE Ticker: STARCEMENT | BSE Ticker: 540575 | Bloomberg Ticker: STRCEM:IN Q3 Presentation | DEC 2023 0
Slide 3: Contents
Contents Know us Better: Company Snapshot 2 Cement industry outlook: Poised for 10 strong growth Sustainability & CSR: Integrating as 13 key business principles Leading from the front: Our management team 18 Financial Highlights 21 1
Slide 4: Know Us Better: Company Snapshot
Know Us Better: Company Snapshot 2
Slide 5: Star Cement – Company snapshot
Star Cement – Company snapshot Star Cement Limited is one of the leading names among Eastern India's cement manufacturers. The organisation has created a strong brand recall with its endeavor to maintain superior quality product, comprehensive supply chain eco- system, and unmatched efforts to uplif
Slide 6: Largest cement manufacturer in North-East India
Largest cement manufacturer in North-East India Current capacities Siliguri GU, WB Current capacity– 2MTPA 5.7 MTPA 2.8 MTPA Cement pdn. Clinker pdn. Guwahati GU, Assam capacity capacity Current – 2MTPA Additional – 2 MTPA (commissioned in Mar-24) 51 MW 12.3 MW TPP WHRS Lumshnong Integrated unit, Me
Slide 7: Comprehensive product offerings under the brand
Comprehensive product offerings under the brand Ordinary Portland Portland Pozzolana Anti-Rust Cement Weather Shield Cement (OPC) Cement (PPC) (ARC) Cement (WSC) OPC PPC OPC 43: PPC: ARC: WSC: Suitable for construction Ideal for mass A highlight of Star Star Weather Shield where the grade of concret
Slide 8: A history of excellent execution and sustained expansion
A history of excellent execution and sustained expansion Capacities FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY261 Plan to take cement capacity Clinker capacity 2.8 2.8 2.8 2.8 2.8 6.1 6.1 6.1 to ~10MTPA by FY26. Cement capacity 3.67 5.67 5.67 5.67 5.67 7.67 7.67 9.67 First plant setup Cement and Cement c
Slide 9: Endorsing a better future
Endorsing a better future Annual advertising and Brand Promotion Star Weather Shield Cement, the Maverick Investment (INR Cr.) product from Star Cement 32.89 33.53 29.67 27.97 26.20 21.28 FY19 FY20 FY21 FY22 FY23 YTD In Q3, We continued with the promotion of Star Weather Shield, Q3FY24 the super pre
Slide 10: The technological edge
The technological edge Star link app (11000+ Users): Business WhatsApp: Facilitating loyalty program for Star Cement official business WhatsApp Masons who use Star Cement in number is a medium where all queries faced by customers, channel partners their various projects to earn etc. are resolved wit
Slide 11: Cementing its leadership through sustained performance
Cementing its leadership through sustained performance ❑ Market leadership in North-East with market share of over 23% ❑ Strong dealer and distributor network built over the years, enabling leadership position in Eastern India . Sales volume through the years (lac tons) 18% 28% 4% 6% 21% 13% 6% -8%
Slide 12: Cement Industry Outlook: Poised for strong growth
Cement Industry Outlook: Poised for strong growth 10
Slide 13: India is rising as an economic powerhouse
India is rising as an economic powerhouse S&P India Global Manufacturing PMI • The Manufacturing PMI consistently remained around 57 for the last 8 months. • Manufacturing employment in India increased for the 8th consecutive month. • Favorable manufacturing outlook with strong demand outlook, new c
Slide 14: Demand drivers firmly in place
Demand drivers firmly in place • RBI revises FY24 full year GDP growth estimate from 6.5% to 7%. Macro indicators • India puts up a robust show with a GDP growth of 8.4% in Q3 FY24; Moody upgrades 2024 growth forecast to 6.8% from 6.1%. • Urban housing demand is recovering post FY23 with strong pipe
Slide 15: Sustainability & CSR: Integrating as key business principles
Sustainability & CSR: Integrating as key business principles 13
Slide 16: Social initiatives
Social initiatives • 7 health camps organized; 1500+ beneficiaries free medicine & consultation; 100+ specs Health and • Financial assistance to over 45 elderly and 7 disabled persons. Sanitation • Chakuripara L. P. School toilet/ urinal blocks are being constructed. Waste management Health camps Su
Slide 17: Social initiatives
Social initiatives • School infra development – construction of boundary wall, 25 desks distribution, etc. Education • Participation of >50 women in Financial Literacy Awareness program. • Classroom kits and play kits distributed to 3000 students across 25 schools in Mohitnagar. Kala Mandir Educatio
Slide 18: ESG Update
ESG Update Decoding ESG (Environment, Social and Governance) compliance Environment Social Governance Refers to how an Refers to how Includes corporate organisation businesses impact governance and operates within their stakeholders business integrity. the physical, such as customers, Corporate natu
Slide 19: ESG Goals and Targets
ESG Goals and Targets Modules Target Present Status Captive solar plant - 24MW by FY2025. Group captive 26MW Green energy Green energy share project is in planning stage. (Current ~ 25%) of 55% by FY26. Existing WHRS– 12.3MW; Upcoming – 12MW (New clinker line) Thermal Substitution AFR Feeding system
Slide 20: Leading from the front: Our management team
Management Team Leading from the front: Our management team 18
Slide 21: Directed by a versatile group of promoters & directors
Directed by a versatile group of promoters & directors Mr. Sajjan Bhajanka Mr. Rajendra Chamaria Chairman & Managing Director Vice Chairman & Managing Director Experience: 50 years’ experience in Experience: 36 years’ experience in cement plywood, laminates, ferro alloys and and concrete sleepers' i
Slide 22: Superior governance through a diverse leadership team
Superior governance through a diverse leadership team Mr. Vinit Mr. Manoj Mr. Pradeep Mr. Sundaram Mr. Samar Mr. Kanak Kumar Tiwari Agarwal Purohit Srinivasan Banerjee Kumar Chhangani Chief Executive Chief Financial Chief Operating Chief Manufactg. Chief Human Chief Mineral Officer Officer Officer O
Slide 23: Financial Highlights
Financial Highlights 21
Slide 24: Quarterly highlights that matter
Quarterly highlights that matter Sales Volume - Cement Revenue - cement sales Total EBITDA Profit after tax (PAT) ~6% ~11% ~27% ~39% Lacs tons INR Cr. INR Cr. INR Cr. 9.67 640 153 578 74 9.08 120 53 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 ❑ Cement realizations increased YoY.
Slide 25: Consolidated financial statements
Consolidated financial statements Particulars UoM Q3 FY24 Q3 FY23 FY23 Equity Share Capital INR Cr 40 40 40 Reserves & Surplus INR Cr 2,583 2,279 2,376 Net Worth INR Cr 2,416 Revenue INR Cr 651 617 2,757 EBIDTA INR Cr 153 120 520 PBT INR Cr 113 83 380 Tax Expenses INR Cr 40 30 132 PAT INR Cr 74 53 2
Slide 26: Safe harbour clause
Safe harbour clause The given communication, except for historical information reflect current estimates and views of the management and no representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness, or correctness of such