Aditya Birla Real Estate Ltd · NSE:ABREL
Aditya Birla Real Estate — Century Textiles and Industries — Investor Presentation (November 2020)
41 slides from Aditya Birla Real Estate's investor presentation, Nov 14, 2020
Slide 1: Cover letter to stock exchanges
CENTURY Textiles and Industries Limited REGD. OFFICE : "CENTURY BHAVAN", DR. ANNIE BESANT ROAD, WORLI, MUMBAI-400 030. INDIA. TEL.: +91-22-2495 7000 FAX: + 91-22-2430 9491, +91-22-2436 1980 E-Mail: ctil.ho@birlacentury.com Website: www.centurytextind.com CIN-L 17120MH1897PLC000163 OUR REF. : SH/XI1I
Slide 2: Investor Presentation – November 2020
Century( Textiles( and(Industries Limited Investor(Presentation(– November(2020
Slide 3: Table of Contents
2 TABLE&OF&CONTENTS Company&Overview Real&Estate Pulp&and&Paper Textiles Financials
Slide 4: Snapshot
3 SNAPSHOT 123+years+old+legacy+built+under+the+leadership+ Largest+manufacturing+facility+for+pulp+and+paper+ of+Mr.+B.+K.+Birla under+one+roof Diversified+conglomerate+with+ World’s+2nd and+India’s+1st LEED+V4+ presence+in+Real+Estate,+Textiles+ certified+textile+manufacturing+company and+Paper+ S
Slide 5: Company Overview
4 COMPANY(OVERVIEW • Incorporated in 1897, Century Textiles and Industries Limited (CTIL) has evolved from a single unit textile mill into a diversified conglomerate under the visionary leadership of Mr. B. K. Birla. • The company’s 123RyearsRold legacy is built on a steadfast commitment to the deve
Slide 6: Board of Directors
5 BOARD&OF&DIRECTORS Mr. Kumar Mangalam Birla – Chairman – Mr. Kumar Mangalam Birla is one of the most renowned and respectable figures in Indian industry. He spearheads the iconic global conglomerate, Aditya Birla Group (ABG). His visionary leadership has, over the years, helped Century Textiles’ t
Slide 7: Key Management Personnel
6 KEYaMANAGEMENTaPERSONNEL Mr. K. T. Jithendran – Chief Executive Officer (CEO), Birla Estates – Mr. K. T. Jithendran has over 26 years of work experience in the realty sector. One of his accomplishments includes taking a startSup company in the real estate sector to become one of the leading player
Slide 8: Our Journey
7 OUR$JOURNEY Demerger$of$the$Cement$ DivisionS$to$be$merged$ A$stateBofBtheBart,$ with$UltraTech 100Bacre$textile$ Diversification$into$ mill$setBup$at$ Launch$of$Birla$Vanya$in$ ‘The$Century$ chemicals Jhagadia in$ Kalyan$and$Birla$Alokya Spinning$&$ Bharuch,$Gujarat$ in$Bengaluru$ Manufacturing$
Slide 9: Real Estate
8 Real%Estate Over%36%lakh%sq.%ft.%under%construction%across%3%projects
Slide 10: Executive Summary – Real Estate
9 EXECUTIVE%SUMMARY%= REAL%ESTATE • The B. K. Birla Group forayed into the real estate sector in 2016 Real%Estate under the brand name ‘Birla Estates’. REVENUE%(RS.%IN%CRORES) • The company is focused on developing land parcels owned by the 159 Group, as well as growing the business with joint devel
Slide 11: Step Towards More Focus on Growing Business
10 STEP%TOWARDS%MORE%FOCUS%ON%GROWING%BUSINESS%% Real%Estate Strong%Vision%&% Strategy Opportunities Pulp%&%Paper Strengths Leveraging%on: Encash%on: Strong%focus%on: • Rapid%urbanization%and% • Maintaining%a%capital%efficient,%asset% • The%Birla%Brand nuclearization of%families% light%model Textile
Slide 12: Awards & Certifications
11 AWARDS%&%CERTIFICATIONS Real%Estate Pulp%&%Paper 2017 2017 2019 2019 Green%Project% Green% Iconic% ACE%Alliance% of%the%Year Building% Marketing% Award%by% National% Project%of%the% 2017 2019 Campaign% SAP% Infrastructure%&% Year Commercial% Innovative% of%the%year Textiles For%customer% Construc
Slide 13: Geographical Presence
12 GEOGRAPHICAL%PRESENCE Real%Estate (C)%1 Commercial (R)%Residential Golf%Course%Extension,% Pulp%&%Paper Gurugram,%NCR BIRLA%CENTURION%(C) BIRLA%NAVYA%&%GROUP% HOUSING%(R) Worli,%Mumbai Kalyan,%Maharashtra Textiles Whitefield,%Bengaluru BIRLA%AURORA%(C) Magadi Road,%Bengaluru MAGADI ROAD%(R) Finan
Slide 14: Summary of Product Portfolio
13 SUMMARY%OF%PRODUCT%PORTFOLIO Real%Estate COMMERCIAL Name of%the%Project Location Area%(Lakh%sq.%ft) No.%of%Storeys Annual%Leasing%Revenues Birla%Aurora 2.6 22 Worli Rs.%125%Cr Birla%Centurion 3.5 13 RESIDENTIAL Pulp%&%Paper Cumulative% Revenue% Project% Area% Saleable%Area% Booking Location Poten
Slide 15: Pulp & Paper
14 Pulp%&%Paper Flag%bearer%in%Paper%Industry
Slide 16: Pulp & Paper – Executive Summary
15 PULP%&%PAPER%= EXECUTIVE%SUMMARY Real%Estate • Century%Pulp%and%Paper%(CPP)%is%a%producer%of%excellent%quality%writing%and%printing%paper,%and%a%leading%manufacturer%of%tissue%and%board,%as% well%as%Rayon%Grade%Pulp%(RGP)%products. • Established%in%1984,%with%relentless%focus%on%quality,%the%comp
Slide 17: Step Towards More Focus on Growing Business
16 STEP%TOWARDS%MORE%FOCUS%ON%GROWING%BUSINESS%% Real%Estate Strong%Vision%&% Strategy Opportunities Pulp%&%Paper Strengths Leveraging%on: Encash%on: Strong%focus%on: • India’s%only%integrated%Pulp &%Paper%mill% • Growth%in%tissue%paper%demand%due%to% providing%comprehensive%solution%from% • Cash Co
Slide 18: Awards & Certifications (Last 5 Years)
17 AWARDS%&%CERTIFICATIONS%(Last%5%Years) Real%Estate Century%Pulp%and% Paper%is%the%holder% of%following% certifications: Pulp%&%Paper ISO%9001 Century Pulp & Paper is proud to be recognized with Our moments of pride in FY19B20 these awards in the field of energy conservation: • The Lalkuan plant w
Slide 19: Geographical Presence
18 GEOGRAPHICAL%PRESENCE Real%Estate Finland Pulp%&%Paper United%Kingdom Canada Poland Ireland Bulgaria CPP%plant,%Lalkua United%States Turkey Greece (Nainital),%Uttarakhand Israel Tunisia Jordan Iran Nepal Saudi% U.A.E. Egypt Arabia Bangladesh Mauritania Oman Honduras Mali Textiles Guatemala Senega
Slide 20: Century Pulp & Paper Mill – Manufacturing Capacities
19 CENTURY%PULP%&%PAPER%MILL%– MANUFACTURING%CAPACITIES • Established in 1984, the manufacturing facility is India’s only integrated Pulp and Paper mill that delivers comprehensive solutions in Real%Estate finest varieties of Writing & Printing Paper, Virgin fiber grade fine tissue, Multilayer Packa
Slide 21: Product Portfolio
20 PRODUCT%PORTFOLIO Real%Estate TISSUE%PAPER%&% RAYON%GRADE%PULP% INDUSTRIAL% PAPER%&% PACKAGING% BOARD Pulp%&%Paper WRITING%&% PRINTING% PAPER% • Century Pulp & Paper range of writing INDUSTRIAL PAPER TISSUE PAPER and printing paper is used to produce a • Century Pulp and Paper manufactures • Set
Slide 22: Key Initiatives Envisaged
21 KEY%INITIATIVES%ENVISAGED Real%Estate Evaporator% Lean%Senior%Leadership%Team PM%3%&%4%Upgradation Workmen%Optimization Fibreline &%Rec%Boiler% Apprentice%appointment CAPACITY% BCTMP Plant% Induct%MT%in%sales%and%train%them%for% RESTRUCTURING EXPANSION New%Recovery%Boiler/Turbine% direct%sales%ra
Slide 23: Energy Management
22 ENERGY%MANAGEMENT Real%Estate Energy%Management Other%Initiatives%for%conservation%of%energy%include: Century Pulp & Paper takes A. CONSERVATION OF ENERGY: every effort to reduce its carbon a) Steps taken on conservation of energy: footprint and impact to the i. Saving of energy usages through: e
Slide 24: Sustainability
23 SUSTAINABILITY Real%Estate CONSERVATION%ACTS Century Pulp & Paper runs a number of forest and water conservation initiatives in line with its corporate philosophy. Forest conservation • Bagasse and recycled waste paper used as a raw material eventually helps in conservation of forests • ECF pulpi
Slide 25: Strategic Performance (2015-2020)
24 STRATEGIC%PERFORMANCE%(2015=2020) Real%Estate HISTORICAL%SALES%VOLUMES%AND% CAPACITY%UTILIZATION%PERCENTAGE REALISATIONS 103% 434,204 100% 397,812 408,320 415,278 380,533 97% 94% Pulp%&%Paper 88% 51,670 52,602 53,838 60,864 57,395 2015=16 2016=17 2017=18 2018=19 2019=20 2015=16 2016=17 2017=18 20
Slide 26: Textiles
25 Textiles World’s(2nd and(India’s(1st LEED(V4(certified(textile(mfg co.
Slide 27: Executive Summary – Century Textiles
26 EXECUTIVE%SUMMARY%– CENTURY%TEXTILES Real%Estate • Century Textiles and Industries Limited (CTIL), was incorporated in Mumbai, India, in 1897. A stateOofOtheOart, vertically integrated plant, Birla Century (A Division of CTIL) was set up at Jhagadia, Bharuch, Gujarat, in the year 2008, using the
Slide 28: Step Towards More Focus on Growing Business
27 STEP%TOWARDS%MORE%FOCUS%ON%GROWING%BUSINESS% Real%Estate Advantages Growth2Drivers Pulp%&%Paper Strengths • State4of4the4Art%%Vertically%Integrated% • US4China%trade%war%has%increased%demand% Plant%(Fibre%to%Finishing) • Increased%penetration%of%organised% of%Indian%products%in%USA retail,%better
Slide 29: Birla Century – Journey of Business Sustainability
28 BIRLA%CENTURY%; JOURNEY%OF%BUSINESS%SUSTAINABILITY Real%Estate Pulp%&%Paper Oeko;Tex%Standard%100 NABL%Accreditation%for%our% STeP– Certification MIG%Tags Testing%Laboratory%of%Birla%% Century% Textiles SA%8000; 2014% LEED%(Leadership%in%Energy%and% BCI%Registered%Member%(Better% Global%Organic%t
Slide 30: Geographical Presence
29 GEOGRAPHICAL%PRESENCE Real%Estate SEGMENT-WISE EXPORTS 13% RTS 6% BRANDS 33% OTC 19% Pulp%&%Paper APPARELS United%Kingdom TRADERS 29% Canada Birla4Century4plant,4 ZONE4WISE Bharuch,4Gujarat United%States EAST 9% Hong%Kong NORTH 28% Bangladesh Philippines Textiles Sri%Lanka WEST 44% SOUTH Malaysia
Slide 31: Integrated Manufacturing Facility & Process
30 INTEGRATED%MANUFACTURING%FACILITY%&%PROCESS Real%Estate • Century Textiles & Industries Limited invested about US$180 million (Rs. 850 Crore) in setting up, a Greenfield project in 6,500+<Tons%of%Yarn Jhagadia, Bharuch, Gujarat known metres of%Fabric% as “BIRLA CENTURY” to manufacture textile pro
Slide 32: Product Portfolio
31 PRODUCT%PORTFOLIO Real%Estate BOTTOM/ SHIRTINGS WEIGHTS BED/ LINEN FINER/ Pulp%&%Paper FABRICS • The company manufactures • Birla Century is one of the • The Birla Century range of Finer • Birla Century offers luxury premium range elite shirting in leading bed and bath linen Fabrics i.e. dress ma
Slide 33: Birla Century, Strategic Performance
32 BIRLA%CENTURY,%STRATEGIC%PERFORMANCE Real%Estate BUSINESS%MIX CAPACITY%UTILIZATION%PERCENTAGE 2% 2% 3% 2% 2% 1% 6% 96% 96% 13% 10% 8% 50% 53% 46% 43% 54% 92% 91% Pulp%&%Paper 90% 47% 42% 46% 38% 30% 2015G16 2016G17 2017G18 2018G19 2019G20 2015G16 2016G17 2017G18 2018G19 2019G20 Bed%Linen Apparel%
Slide 34: Financial Summary
33 Financial'Summary' 33
Slide 35: Profit & Loss – Q2 FY21
34 PROFIT%&%LOSS%– Q2 FY21 Real%Estate (RS.%IN%CRORES) Q2 FY 21 Variance Q on Q Variance Y on Y Particulars Q2 FY 20 Q1 FY 21 Actual Amount % Amount % Continuing Operations Sales Textiles 185 42 125 83 198% -60 -32% Pulp & Paper 615 300 419 119 40% -196 -32% Pulp%&%Paper Real Estate 35 36 35 -1 -3%
Slide 36: Cash Flow – Q2 FY21
35 CASH%FLOW%– Q2 FY21 Real%Estate (RS.%IN%CRORES) Pulp2&2 Birla2 Sub2 Yarn2&2 Grand2 Particulars Textile Rayon H.O. Paper Estates Total Denim Total EBITDA 222222222(15) 2222222213 2222222253 2222222210 22222222225 2222222266 222222222(7) 2222222259 MAT2Paid 2222222L 2222222L Pulp%&%Paper Dividend2P
Slide 37: Capital Employed – As on 30th September 2020
36 CAPITAL%EMPLOYED%– AS%ON%30th SEPTEMBER%2020 Real%Estate (RS.%IN%CRORES) Continued(Operations Particulars Dis(Ops((Y&D) Grand(Total Textiles(Fabrics Rayon Pulp(&(Paper Birla(Estates Total A) Net(Block (((((((((((((((((( 400 (((((((((((((((((( 269 ((((((((((((((( 2,517 ((((((((((((((( 1,233 ((((((
Slide 38: Statement of Outstanding Loan
37 STATEMENT%OF%OUTSTANDING%LOAN Real%Estate (RS.%IN%CRORES) O/S$as$on O/S$as$on O/S$as$on Particulars 3/31/20 6/30/20 9/30/20 Long$Term$Loans 202 465 465 Pulp%&%Paper Average'Rate'of'Interest 7.79% 7.55% 6.85% Short$Term$and$Working$Capital$$Loans 57 586 440 Average'Rate'of'Interest 6.48% 5.28% 4.0
Slide 39: Financial Analysis
38 FINANCIAL%ANALYSIS% Real%Estate REVENUES%(RS.%IN%CRORES) EBITDA%(RS.%IN%CRORES)% PAT%(RS.%IN%CRORES)% 1,061% (RS.%IN%CRORES)% 3,948 3,944 499 3,423 851 378 600 280 Pulp%&%Paper 990 96 B47 FY18 FY19 FY20 H1B FY21 FY18 FY19 FY20 H1B FY21 FY18 FY19 FY20 H1B FY21 Textiles NET%WORTH%(RS.%IN%CRORES)% N
Slide 40: Disclaimer
39 DISCLAIMER Century Textiles and Industries Limited 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 the information or opinions contained in this presentation. Such information and opinion
Slide 41: Thank You
40 Bringing(our(century(old(legacy(and(expertise(into(all(our(businesses(while(focusing(on( sustainability,(customer(centricity,(technology(and(innovation(to(be(future(ready( Thank(You
Century Textiles and Industries — Investor Presentation (November 2020) on 6ix