Slide 1: Cover letter to stock exchanges on Q1 results presentation
________ POLYPLE.'~ August 31,2019 The Manager - Listing Department, The General Manager - Listing Department, National Stock Exchange of India Limited, BSE Limited Exchange Plaza, NSE Building, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Dalal Street, Bandra East, Mumbai- 400 001 Mumbai- 40005
Slide 2: First Quarter FY 2019-20 Financial Results & Summary
First Quarter FY 2019-20 Polyplex Corporation Limited (PCL) Financial Results & Summary August 16th, 2019
Slide 3: Disclaimer
Disclaimer • This presentation may contain forward-looking statements which are based on the Company’s current expectations and estimates about the industry, management’s beliefs and various other assumptions. These forward-looking statements are subject to various risks, uncertainties and other fac
Slide 4: Polyplex at a Glance
Polyplex at a Glance Q1 2019-20 Highlights Business Mix (FY’18-19) ------------------------------------------------------ ----------------------------------------------------- 1,111 Cr +5% YoY Revenue 5% America 19% 26% Europe 241 Cr (22% Margin) +28% YoY Normalized EBITDA India 22% Other Asian coun
Slide 5: Polyplex: A Global Presence
Polyplex: A Global Presence Netherlands Turkey South Korea Japan USA Mexico India China Thailand Malaysia Singapore Indonesia Six Manufacturing Facilities in 5 Countries, Multiple warehouses Group Manufacturing Locations and Liaison Upcoming Manufacturing Location offices around Warehouse the world
Slide 6: Group Structure
Group Structure POLYPLEX GROUP- STRUCTURE Polyplex Corporation Limited PAR LLC (PCL /Polyplex India) (PAR) INDIA: USA Polyplex (Thailand) Public Co. Ltd. (PTL/ Polyplex Thailand) THAILAND: Public/ Institutional Shareholder t som Private Investor Polyplex {Singapore} Pte. Lid. (PSPL/ Polypllex am spo
Slide 7: Group Structure
Group Structure • Polyplex Corporation Limited (PCL) is the Group Holding Company • PCL’s economic interest in the overseas businesses is 51% • PCL listed on BSE/ NSE in India and the Thai subsidiary (PTL) on the Stock Exchange of Thailand (SET) • Shareholding of the Company (as on 30th June 2019) i
Slide 8: Value Chain
Value Chain PET Film is a versatile product with wide & growing range of applications.
Slide 9: Product Applications & Sales Mix
Product Applications & Sales Mix 72% Packaging Sales By Applications 28% Industrial
Slide 10: Capacity
Capacity Base Films (MT) Coated/ Value Added Films PET Film Resin Blown Holography Coated TMP PET Thin PET Thick BOPP CPP Metallized (MT) PP (MT) (Million Sqm) (MT) (Million Sqm) P A R E N 55,000 35,000 34,613 4080 286 83 T 77,600 INDIA 42,000 28,800 10,000 8,845 21,700 985 80,500 THAILAND 58,000 17
Slide 11: Key Differentiators
Key Differentiators •An India headquartered Company with a global manufacturing footprint •Among the top Global Thin PET film producer with a unique business model combining On-shored, Off-shored and Near-shored facilities Geographical •Manufacturing and distribution presence in key regional markets
Slide 12: Key Differentiators
Key Differentiators Stable, Proven •A management team with long experience in the industry and in the Group •A workforce of 2100 + people including 250 professionals (Engineers, etc.) Management Team •Systems created for cross learning, benchmarking and sharing best practices across various units/bu
Slide 13: Global Presence & Portfolio
Global Presence & Portfolio HVA share Operating company-wise breakup of sales Polyplex India 7% 18% 27% Polyplex USA 32% HVAs Polyplex Thailand 68% Essentials Polyplex Europa 23% 26% Other operations (EL, PEBV, PP, PAPL and PTSL) Business segment-wise breakup of sales 4%3% Thin PET film 5% 6% Coated
Slide 14: New Investment - BOPP Line in Indonesia
New Investment - BOPP Line in Indonesia • Scope • 10.4 meter width Capital • 60,000 TPA Capacity Investment - $ 48 million • 5 layer machine with in-line coating • Rationale Completion • Large Global Market - 2.25X of Thin PET Films time – 2 • Attractive Local Market - 4% CAGR years • Import Depende
Slide 15: Q1 2019-20 Performance Snapshot
Q1 2019-20 Performance Snapshot Q1 2019-20 Summary QoQ Growth YoY Growth Sales Volume Flat 5.5% (Plastic Film) 65,505 MT Revenue -3.9% 4.9% 1,111 INR Crores Normalized EBITDA 21.7% 28.1% 241 INR Crores PAT (Before Minorities) -12.9% 33.7% 154 INR Crores EPS 25.33 INR/Share -20.5% 33.0% 2019-20 ROCE
Slide 16: Performance Snapshot
Performance Snapshot * Includes film transferred for Silicon/Extrusion coating but excludes sales of final product from these lines ** Over Raw Material
Slide 17: Performance Snapshot
Performance Snapshot ROCE ROE ROCE (%) = EBIT (before exceptional items) as a % to average capital employed ROE (%) = PAT (before exceptional items) as a % to average equity
Slide 18: Normalized EBITDA
Normalized EBITDA Normalized EBITDA : EBITDA excluding impact of FX gains/ losses on long term loan and other non-operational items. Revenue: Gross sales excl. export incentive.
Slide 19: Group Cash & Debt Position
Group Cash & Debt Position Note: * Polyplex (Asia) Pte. Ltd (Singapore) is 100% owned by Polyplex Corporation Limited
Slide 20: Update on ongoing Investments
Update on ongoing Investments Indonesia : Greenfield Project • Capacity: BOPET Film Plant – 44KTPA, Metallizer – 6KTPA, Resin Plant – 73KTPA • Estimated Start Up Date: Film Plant – September 2019 Metallizer – September 2019 Resin Plant – November 2019 • Project Cost within budget 5% YoY
Slide 21: Update on other ongoing projects
Update on other ongoing projects Metallizer – New Offline Holography - Saracote Line III- New Batch Plant Holography - India Coater - India Thailand - Turkey Turkey Thailand •Capacity – 4,080 •Capacity – •Capacity – •Capacity – 1680 •Capacity – 18,250 •Capacity – 480 TPA Approx. 6000 MT Approx. 50 M
Slide 22: Summary Status - Projects
Summary Status - Projects In addition to the above, normal maintenance Capex is generally in the range of USD 5-6 million.
Slide 23: Industry Outlook – PET film
Industry Outlook – PET film New Capacities Polyplex – Key points • Globally, several new thin Film lines are • Leverage our local presence in various expected to be added in the next two years, geographies – Quick turnaround, urgent increasing the global capacity base by approx. delivery, onshore an
Slide 24: Second Quarter 2019-20 Guidance
Second Quarter 2019-20 Guidance Normalized EBITDA (INR crores) 300 241 250 221 188 191 198 200 150 100 50 - Q1 18-19 Q2 18-19 Q3 18-19 Q4 18-19 Q1 19-20 Q2 2019-20 (Estimate) Higher margins in Q1 due to RM dip, expected to normalize in Q2 The forward-looking statements reflect Polyplex’s expectation
Slide 25: Sustainability & Polyplex
Sustainability & Polyplex Portfolio Operations Collaborations • Minimize product impact • Increase Sustainable Sourcing • Support development and through optimized product • Use recycled material modernization of plastic waste design: • Use biomaterials (MEG) management infrastructure • Down-gauging
Slide 26: Thank You
Thank You