Ador Welding Limited · NSE:ADOR
Ador Welding — Investor Presentation (June 2018)
23 slides from Ador Welding's investor presentation, Jun 22, 2018
Slide 1: Investor Presentation
Investor Presentation 22nd June 2018 PASSION FOR WELDING
Slide 2: Disclaimer
Marketing Objectives Disclaimer • This Investor Presentation by Ador Welding Ltd. (“Ador / the Company”) is solely for informational purposes. This presentation may not be copied, distributed, redistributed or disseminated, directly or indirectly, in any manner. This presentation does not constitute
Slide 3: Contents
Marketing Objectives Contents • Macro Economic and Business Environment • Shareholding pattern as on 31st March , 2018 • Performance Highlights • Financial Performance • Way Forward
Slide 4: Macro Economic and Business Environment
Promotional Macro Economic Activities and Business Environment • Effects of Demonetization largely absorbed by the economy • GST slowly stabilizing • Pick up in the Capex Cycle visible…CG Cos order book strong • Commercial vehicle sales up 24% in past five months • Central Govt Capex growth 11% YOY
Slide 5: YoY Manufacturing IIP Growth
Promotional Macro Economic Activities and Business Environment YoY Manufacturing IIP Growth % YTD YoY Growth 8% 7% 6% 5% 4% 3% 2% 1% 0% IIP Base 2011-2012 Source: MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION (MOSPI)
Slide 6: YoY Industry Bank Credit Growth
0% 5% 10% 15% 20% 25% 30% 35% 40% -10% -5% Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 Mar-10 Jun-10 Source: http://dbie.rbi.org.in/ Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11 Macro Economic Mar-12 Jun-12 Sep-12 Promotional Dec-12 Mar-13 Jun-13 Sep-13 and Business Dec-13 Mar-14 Activities
Slide 7: Shareholding Pattern (as on 31st March 2018)
Promotional Shareholding Pattern (asActivities on 31th March 2018) 17% 27% 57% Promoter & Non-Institutions Institutions Promoter Group
Slide 8: Performance Highlights
Promotional Performance Activities Highlights Rs. In Cr. Q4 YoY Business Segment F-18 F-17 F-18 F-17 Dom Consumables 91 80 279 261 Dom Eqpt. 23 16 64 57 IBD Consumables 9 8 28 26 IBD Eqpt. 2 1 7 5 WAPS 2 1 4 4 Welding Business 127 106 382 353 PEB 18 54 76 87 TOTAL 145 160 458 440
Slide 9: Performance Highlights: Quarter and Year Comparison
Promotional Performance Activities Highlights Figures- Rs in Crs 160 160 500 Quarter Comparison Year Comparison 458 145 440 450 140 127 400 382 120 353 106 350 100 91 300 279 261 80 80 250 F18 Q4 F-18 200 60 54 F17 Q4 F-17 150 40 100 87 76 23 64 18 57 20 16 9 8 50 28 26 2 1 2 1 75 44 0 0
Slide 10: Financial Overview
Promotional Activities Financial Overview *Net of Excise Rs. In Cr. Q4 YoY Particulars FY-18 FY-17 FY-18* FY -17* Net Sales/Income from Ops 145 159 458 441 Other Income 2 4 10 9.4 Mat Cost 101 122 327 311 EBITDA 19 14 44 40 PBT 15 11 28 28 Exceptional Item - - - - PAT 10 8 19 19 Employee Cost 9 11 3
Slide 11: Segment-wise Profitability
Promotional Segment-wise Activities Profitability *Net of Excise FY18-Q4 Welding (In Rs Crs.) Business PEB Total 127 18 145 Net Sales* Operating Profit 22 0 22 17% 0% 15% PBIDT/Sales* %
Slide 12: New Products Developed
NewPromotional ActivitiesProcess Products Developed/In Sonic Flare System Segmented Air Assisted Flare Flare Gas recovery system Duplex piping spools Champ Pulse 500 Champ MIG 300 High definition CNC plasma & fume OmniMIG 250, Extraction Champ TIG 300SP Striker 400 Tenalloy 15, 90 D3 Red 603 Supabas
Slide 13: Capacity Utilization
Promotional Activities Capacity Utilization Chinchwad Plant Capacity Utilization • Welding Equipment- 24000 Nos/ Year : Presently app 50% is used • PEB—In-house capacity of 1200 MT of CS & 960 and SS Fabrication/Year + EPC Projects : Presently almost 70% is used Consumable Plants Capacity Utilizatio
Slide 14: AWL Market Hold: Distributors and Market Share
Promotional Activities AWL Market Hold Distributors PAN India Common For CON+EQP 217 Equipment 3 Total No. Of Distributors 220 AWL Market Share PRODUCT GRP MRKT SHARE (%) Consumable 14% Equipment 11%
Slide 15: Sector Wise Share Of AWL Consumables Business
Sector WisePromotional Share Of AWLActivities Consumables Business 6% 6% 4% 5% Automobile 15% Heavy Engineering 7% Shipyard Steel Railways 7% Oil & Gas Cement 16% Power Chemical 13% Infrastructure Others 6% 15%
Slide 16: Sector Wise Share Of AWL Equipment Business
Promotional Sector Wise Activities Share Of AWL Equipment Business 4% 5% 3% 11% 8% Automobile Heavy Engineering Shipyard 12% 10% Steel Railways Oil & Gas Cement Power 11% 15% Chemical Others 21%
Slide 17: YoY Improvements
Promotional Activities YoY Improvements • Improvement in Operating Profit by around Rs 5.00 Crs over FY 17 • Manufacturing Expenses down from Rs 4670 per MT in FY17 to Rs 4584 per MT in FY 18 • Selling, General and Admin down from Rs 34.62 Crs in FY17 to Rs 32.25 Crs in FY18
Slide 18: Expectations
PromotionalFrom Expectations Activities FY 18-19 • The IMF has projected a GDP growth of 7.8% for India in FY2018-19 • We will continue our Market share Strategy for achieving growth while recovering margins • Brent Crude Oil prices (affecting the Capex at target IBD markets) has touched the mark of
Slide 19: FY 2018-19
Promotional Activities FY 2018-19
Slide 20: Capex Budget FY-19 Overall
Promotional Capex Activities Budget FY-19- Overall Unit Capex FY-19 (Rs in Lacs) Chinchwad 532 Silvassa 261 New office at Silvassa 175 Raipur 411 Solar plant at Raipur 240 HO 155 IT 275 TDC Equip 39 TDC Cons 32 Total 2119
Slide 21: Strategy For Growth - Consumables
Promotional Strategy Activities For Growth- Consumables • Focus on growing 6013 market and target sale of 1200 MTs to fabricators at Trichi and Coimbatore. Use Satellite plant capacity at Coimbatore to meet this requirement • Target additional qty of 1200 MTs of X plus to O&G sector • Focus on Railw
Slide 22: Strategy For Growth - Equipment
Promotional Strategy Activities For Growth- Equipment • Focus on Infrastructure industry and target sale of additional 700 Rectifiers • Focus on Auto industry and target sale of additional 600 MIG machines • Striker and single phase MIG M/cs are very well accepted in the market • Focus on defense se
Slide 23: Thank You!
Thank You!