Shahmurad Sugar Mills Limited · PSX:SHSML

Shahmurad Sugar Mills — Investor Presentation (February 2024)

38 slides from Shahmurad Sugar Mills's investor presentation, Feb 22, 2024

  1. Slide 1: Shahmurad Sugar Mills Ltd Corporate Briefing 2022-2023

    SHAHMURAD SUGAR MILLS LTD CORPORATE BRIEFING 2022-2023 Dated 22-02-2024

  2. Slide 2: Important Disclaimer

    IMPORTANT DISCLAIMER THIS PRESENTATION IS NOT AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL ANY SECURITIES OR ANY INVESTMENT. This presentation has been prepared Shahmurad Sugar Mills Limited {"Shahmurad Sugar Mills”} solely for information purposes. No representation or warranty express or im

  3. Slide 3: Contents

    Contents 1. Group Profile 2. Company Profile 3. Directors Profile 4. Business Segments 5. Capacity and Production Analysis 6. Analysis of Financial Results 7. Key Financials Indicators 8. Value Additions 9. Shareholders Value 10.Future Outlook 11.Q & A Session 12.Thank You

  4. Slide 4: Group Profile

    Group Profile Al-Noor Group The Al-Noor Group first began trading activities in the late nineteen century in Mauritius. In 1897 sugar manufacturing facilities on a very small scale were opened in Mauritius and thereafter offices in India, Sri Lanka and Burma were established to handle trading of sug

  5. Slide 5: Group Profile

    Group Profile Al-Noor Group In 1984 the Group established Reliance Insurance Company Limited. In 1987 the Al-Noor Medium Density Fiber (MDF) Board Industries (known as Lasani), was established as a unit of Al-Noor Sugar. The unit has since expended in MDF laminates and continues to expand in various

  6. Slide 6: Company Profile

    Company Profile The Company was incorporated in Pakistan under the repealed Companies Act 1913 (now Companies Act, 2017) as a public limited company. Its shares are quoted at the Pakistan Stock Exchange Limited. The Company owns and operates Sugar and Ethanol manufacturing units which are located a

  7. Slide 7: Directors Profile

    Directors Profile Mr. Noor Mohammad Zakaria Mr. Noor Mohammad Zakaria is the Director with over 47 years of diversified Trading and Industrial experience including operations. Mr. Zia Zakaria Mr. Zia Zakaria is the Director with over 28 years of Industrial experience including operations specifically

  8. Slide 8: Directors Profile

    Directors Profile Mr. Asad Ahmed Mohiuddin Mr. Asad Ahmed Mohiuddin completed his Bachelor of Engineering degree from the Florida Institute of Technology in Chemical Engineering in 2011. He returned back to Pakistan and has dedicated his time on material sciences with the Al-Noor MDF Board Division

  9. Slide 9: Directors Profile

    Directors Profile Mr. Sheikh Asim Rafiq Mr. Sheikh Asim Rafiq is a Fellow member of the Institute of Chartered Accountants of Pakistan. He has over 20 years diversified experience in accounting & audits, strategy and financial planning, taxation, software/ERP development and implementation, corporat

  10. Slide 10: Business Segments: Plant Capacity and Production

    Business Segments Sugar Ethanol PLANT CAPACITY AND PRODUCTION Cane Crushing Capacity of 11000 250,000 liters/200 MT M.Tons per day production of Ethanol per day

  11. Slide 11: Sugar and Ethanol Division Production Data

    Sugar Division - Production - Data 2019 2020 2021 2022 2023 Crushing (M.Tons) 500,270 444,430 441,293 601,695 567,913 Sugar Production (M.Tons) 55,425 48,786 47,220 66,683 60,303 Recovery % 11.08 11.00 10.70 11.08 10.60 Ethanol Division - Production - Data 2019 2020 2021 2022 2023 Ethanol Production

  12. Slide 12: Sugar – Crushing Data – M.Tons

    Sugar – Crushing Data – M.Tons 700,000 601,695 600,000 567,913 500,270 500,000 444,430 441,293 400,000 300,000 200,000 100,000 2019 2020 2021 2022 2023

  13. Slide 13: Sugar – Production Data in M.Tons

    Sugar – Production Data in M.Tons 70,000 66,683 60,303 60,000 55,425 50,000 48,786 47,220 40,000 30,000 20,000 10,000 2019 2020 2021 2022 2023

  14. Slide 14: Sugar – Recovery Trend in %

    Sugar – Recovery Trend in % 11.20 11.05 11.08 11.08 11.00 10.90 10.75 10.70 10.60 10.60 10.45 10.30 10.15 10.00 2019 2020 2021 2022 2023

  15. Slide 15: Ethanol – Production Data in M.Tons

    Ethanol – Production Data in M.Tons 80,000 69,752 69,738 70,000 60,000 57,270 50,000 47,608 42,643 40,000 30,000 20,000 10,000 2019 2020 2021 2022 2023

  16. Slide 16: Analysis of Financial Results: Profit or Loss, Horizontal

    Analysis of Financial Results Rupees in millions 2022 2023 STATEMENT OF PROFIT OR LOSS Rs. % Rs. % HORIZONTAL ANALYSIS Turnover 17,806.81 79.24 22,884.47 28.52 Cost of sales (14,355.55) 56.51 (17,246.00) 20.13 Gross Profit 3,451.26 352.86 5,638.47 63.37 Distribution costs (142.09) 227.63 (176.76) 24

  17. Slide 17: Analysis of Financial Results: Profit or Loss, Vertical

    Analysis of Financial Results Rupees in millions STATEMENT OF PROFIT OR LOSS 2022 2023 VERTICAL ANALYSIS Rs. % Rs. % Turnover 17,806.81 100.00 22,884.47 100.00 Cost of sales (14,355.55) (80.62) (17,246.00) (75.36) Gross Profit 3,451.26 19.38 5,638.47 24.64 Distribution costs (142.09) (0.80) (176.76)

  18. Slide 18: Financial Position, Horizontal Analysis: Assets

    Analysis of Financial Results Rupees in STATEMENT OF FINANCIALS POSITION millions HORIZONTAL ANALYSIS 2022 2023 ASSETS Rs. % Rs. % NON CURRENT ASSETS Property, plant and equipment 5,551.15 5.52 10,859.04 95.62 Intangible assets 0.00 0.00 0.00 0.00 Long term investment 1.09 14.20 0.97 (11.33) Long te

  19. Slide 19: Financial Position, Horizontal Analysis: Equity and Liabilities

    Analysis of Financial Results HORIZONTAL ANALYSIS 2022 2023 Rs. % Rs. % EQUITY AND LIABILITIES SHARE CAPITAL AND RESERVES Issued, subscribed and paid up capital 211.19 0.00 211.19 0.00 General reserves 80.00 0.00 80.00 0.00 Shares of associate's unrealised loss on remeasurement of its investments (2

  20. Slide 20: Financial Position, Vertical Analysis: Assets

    Analysis of Financial Results STATEMENT OF FINANCIALS POSITION Rupees in millions VERTICAL ANALYSIS 2022 2023 ASSETS Rs. % Rs. % NON CURRENT ASSETS Property, plant and equipment 5,551.15 42.54 10,859.04 48.05 Intangible assets 0.00 0.00 0.00 0.00 Long term investment 1.09 0.01 0.97 0.00 Long term lo

  21. Slide 21: Financial Position, Vertical Analysis: Equity and Liabilities

    Analysis of Financial Results STATEMENT OF FINANCIALS POSITION Rupees in millions Rupees in millions VERTICAL ANALYSIS 2022 2023 EQUITY AND LIABILITIES Rs. % Rs. % SHARE CAPITAL AND RESERVES Issued, subscribed and paid up capital 211.19 1.62 211.19 0.93 General reserves 80.00 0.61 80.00 0.35 Shares

  22. Slide 22: Key Financial Indicators: Gross and EBITDA Margins

    Key Financials Indicators Gross Profit Margin % Sales 24.64% 21.17% 19.38% 14.28% 7.67% 2019 2020 2021 2022 2023 EBITDA Margin % sales 25.27% 21.72% 14.79% 15.77% 10.27% 2019 2020 2021 2022 2023

  23. Slide 23: Key Financial Indicators: ROE and ROCE

    Key Financials Indicators Return on Equity % (Net) 27.54% 27.45% 27.70% 15.91% 2.91% 2019 2020 2021 2022 2023 Return on capital employed % 35.9% 35.8% 29.8% 21.4% 11.8% 2019 2020 2021 2022 2023

  24. Slide 24: Key Financial Indicators: Current and Debt Equity Ratio

    Key Financials Indicators CURRENT RATIO 1.70 1.58 1.60 1.50 1.40 1.30 1.21 1.20 1.11 1.08 1.10 1.04 1.00 0.90 2019 2020 2021 2022 2023 DEBT EQUITY RATIO 30.00 24.04 25.00 20.00 15.00 10.00 6.42 3.18 3.95 5.00 2.51 0.00 2019 2020 2021 2022 2023

  25. Slide 25: Key Financial Indicators: Debt Equity in %

    Key Financials Indicators Debt Equity in % 100% 90% 80% 70% 4,378 4,779 60% 4,661 6,015 50% 13,819 Equity Debt 40% 30% 20% 1,748 1,504 10% 1,181 936 0% 575 2019 2020 2021 2022 2023

  26. Slide 26: Key Financial Indicators: Asset Turnover Ratios

    Key Financials Indicators FIXED ASSETS TURNOVER RATIO 3.50 3.21 3.25 3.00 2.75 2.50 2.07 2.11 2.25 1.73 1.89 2.00 1.75 1.50 1.25 1.00 0.75 0.50 0.25 2019 2020 2021 2022 2023 ASSETS TURNOVER RATIO 1.50 1.36 1.25 0.99 1.00 1.01 1.00 0.91 0.75 0.50 0.25 2019 2020 2021 2022 2023

  27. Slide 27: Statement of Value Addition

    Value Additions STATEMENT OF VALUE ADDITION Rupees in Millions Rupees in Millions 2023 % 2022 % WEALTH GENERATED Revenue 24,344.69 18,606.01 Expenses 17,162.17 14,620.89 Wealth generated 7,182.52 100.00 3,985.12 100.00 WEALTH DISTRIBUTED To Government Sales Tax, Income Tax, Road Cess, WWF 1,368.76 1

  28. Slide 28: Value Additions - 2023

    Value Additions - 2023 Sales Tax, Income Tax, Road Cess, WWF 1368.76 19% Retained with business Salaries, WPPF, Benefits 3131.091 and others 44% 613.87 8% Finance cost on borrowed funds 1012.86 Shareholders as 14% Dividend 1055.94 15%

  29. Slide 29: Value Additions - 2022

    Value Additions - 2022 Sales Tax, Income Tax, Road Cess, WWF 1063.87 27% Retained with business 1581.72 40% Salaries, WPPF, Benefits and others 428.37 11% Shareholders as Finance cost on Dividend borrowed funds 422.37 488.79 10% 12%

  30. Slide 30: Investor Relations

    Investor Relations Share Regsistrar C & K Management Associates (Pvt.) Ltd 404, Trade Tower, Abdullah Haroon Road, Near Metropole Hotel Karachi 2019 2020 2021 2022 2023 Number of Shares (Issued/ Paid-up) 21118663 21118663 21118663 21118663 21118663 Earning per share 57.08 36.00 6.42 78.17 181.24 Bre

  31. Slide 31: Investors Relations: EPS and Market Value

    Investors Relations Earning per Share Rs. - Basic 181.24 78.17 57.08 36.00 6.42 2019 2020 2021 2022 2023 Market Value of Share as on 30th September Rs. 250 200 200 150 99 107 100 78 78 50 0 2019 2020 2021 2022 2023

  32. Slide 32: Investors Relations: Break-up Value and Market Capitalization

    Investors Relations Break-up value per share-Rupees 400.00 371.81 350.00 300.00 250.00 227.40 200.00 160.49 158.73 150.00 137.40 100.00 50.00 0.00 2019 2020 2021 2022 2023 4,500.00 Market capitalization in millions 4,213.17 4,000.00 3,500.00 3,000.00 2,500.00 2,090.75 2,259.91 2,000.00 1,647.26 1,64

  33. Slide 33: Investors Relations – Shares Price Rs.

    Investors Relations – Shares Price Rs. 250 200 203 200 150 149 143 117 111 107 100 99 102 78 78 73 69 69 72 50 0 2019 2020 2021 2022 2023 Highest Price - Lowest Price Price at 30th September-

  34. Slide 34: Future Outlook: October to December Results

    FUTURE OUTLOOK Rupees in millions STATEMENT OF PROFIT OR LOSS 2022 2023 October to December October to December VERTICAL ANALYSIS Rs. % Rs. % Turnover 4,083.13 100.00 6,993.41 100.00 Cost of sales (3,088.58) (44.16) (5,647.34) (80.75) Gross Profit 994.55 14.22 1,346.07 19.25 Distribution costs (40.3

  35. Slide 35: Future Outlook: December Crushing and Production

    FUTURE OUTLOOK December-23 December-22 Actual Crushing (M.Tons) 174,715 112,131 Sugar Production (M.Tons) 15,815 9,610 Recovery % 10.41 10.22 Ethanol Production (M.Tons) 12,651 15,320

  36. Slide 36: Future Outlook

    FUTURE OUTLOOK The sugar division of the Company produced sugar up to the end of January crushed 463,955 M.Tons (365,846 M.Tons January, 2023) with an average sucrose recovery of 10.73% (10.54% January, 2023) and produced sugar of 48,095 (36,795 M.Tons January, 2023) M.Tons. The ethanol division of

  37. Slide 37: Q & A Session

    Q & A Session

  38. Slide 38: Thank You

    Thank You

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