Rain Industries Limited · NSE:RAIN
Rain Industries — Q2 CY20 Earnings Presentation
16 slides from Rain Industries's earnings presentation, Jul 30, 2020
Slide 1: Earnings Presentation – Q2 CY20
RAIN INDUSTRIES LIMITED Earnings Presentation – Q2 CY20 Investor Relations Contact: RAIN is a leading vertically integrated global producer of a diversified portfolio of products that are essential raw materials for staples of everyday life. We operate in three business segments: Carbon, Cement and
Slide 2: Forward-Looking Statement
Forward-Looking Statement This presentation contains forward-looking statements based on management’s current expectations, estimates and projections. All statements that address expectations or projections about the future, including our statements addressing our expectations for segment volumes an
Slide 3: COVID-19 Update
COVID-19 Update • TRIR of 0.21 through June • Deemed an “essential business” in all locations, with no production interruptions across global footprint except in India, where calcination and energy operations were temporarily curtailed during late Q1 and early Q2 • Zero work-related COVID-19 cases d
Slide 4: Performance during June 2020 Quarter
Performance during June’2020 Quarter Financial Highlights • Revenue from Operations was ₹ 23.61 billion and Adjusted EBITDA was ₹ 4.34 billion • Adjusted Net Profit After Tax was ₹ 0.82 billion and Adjusted Earnings Per Share was ₹ 2.44 • Capital expenditure of US$ 96 million during the six-month pe
Slide 5: Product and Market Update
Product and Market Update Carbon volumes (MT 000) and Revenue ($/MT) Advanced Materials Volumes (MT 000) and Revenue ($/MT) 40 1,533 1,580 1,482 1,600 1,411 1,386 450 749 1,400 702 687 670 750 35 400 629 1,138 1,200 350 650 30 1,015 923 900 300 499 472 472 873 1,000 466 550 25 250 450 968 (0.57%) 95
Slide 6: Ongoing Capital Expansions
Ongoing Capital Expansions Hydrogenated Hydrocarbon Resins (HHCR) Plant, Germany • Commercial operations commenced May 18, 2020, and quality of resins produced is within expectations • Approximately 100 samples of advanced resins undergoing quality testing by customers, with first commercial sale an
Slide 7: Consolidated Performance – Q2 CY20
Consolidated Performance – Q2 CY20 (₹ in Billions) Revenue (excluding other operating income) Adjusted EBITDA Highlights in Q2 CY20 • Despite fall in Carbon segment EBITDA margins due to lower volumes and realisations, EBITDA for the quarter improved as a result of appreciation of USD and EURO again
Slide 8: Carbon Business Performance – Q2 CY20
Carbon Business Performance – Q2 CY20 (₹ in Billions) *Includes Energy Revenue Volumes (metric tons in thousands) Revenue (excluding other operating income) Highlights in Q2 CY20 • CPC revenue decreased primarily on account of price decreases due to price pressure across all the regions, coupled wit
Slide 9: Advanced Materials Business Performance – Q2 CY20
Advanced Materials Business Performance – Q2 CY20 (₹ in Billions) Volumes (metric tons in thousands) Revenue (excluding other operating income) Highlights in Q2 CY20 • Revenue decrease primarily driven by lower prices due to fall in related commodity prices and sluggish demand; decrease was further
Slide 10: Cement Performance – Q2 CY20
Cement Performance – Q2 CY20 (₹ in Billions) Volumes (metric tons in thousands) Revenue (excluding other operating income) Highlights in Q2 CY20 • Revenue from Cement business decreased by 30.2% due to lower volumes on account of COVID-19 • Adjusted EBITDA from Cement business in Q2 of 2020 decrease
Slide 11: Consolidated Debt Position
Consolidated Debt Position US$ in Millions Jun 2020 Dec 2019 Highlights in H1 2020 7.25% USD-denominated Senior Secured 550 550 • Capital expenditure of ₹7.11 billion (~US$ 96 Notes (due in April 2025) million) during H1 2020 includes ₹3.48 billion (US$ 47 million) spent on our two major projects –
Slide 12: Appendix
Appendix
Slide 13: Summary of Statement of Operations
Summary of Statement of Operations ₹ in Millions Particulars Q2 2020 Q1 2020 Q2 2019 CY 2019 Net Revenue 23,427 28,816 33,231 122,873 Other Operating Income 182 160 185 735 Revenue from Operations 23,609 28,976 33,416 123,608 Adjusted EBITDA 4,344 5,579 4,509 17,427 Adjusted EBITDA Margin 18.4% 19.3
Slide 14: Reconciliation of EBITDA and PAT for Q2 CY20
Reconciliation of EBITDA and PAT for Q2 CY20 ₹ in Millions Particulars EBITDA PAT A. Reported 3,704 266 B. Adjustments: • Inventory Adjustments due to extraordinary fall in commodity prices 450 383 • Expenses towards strategic projects and other non-recurring items 346 311 • Reversal of reorganisati
Slide 15: RAIN – Key Business Strengths
RAIN – Key Business Strengths • Three business segments (Carbon, Advanced Materials and Cement) • Global presence with 2.1 million tonnes p.a. calcination capacity, 1.0 million tonnes p.a. CPC blending capacity, 1.3 million tonnes p.a. coal tar distillation capacity, 0.7 million tonnes p.a. advanced
Slide 16: Thank You
Thank You R’ iL