Hle Glascoat Ltd · NSE:HLEGLAS
Hle Glascoat — Investor Presentation (November 2020)
37 slides from Hle Glascoat's investor presentation, November 2020
Slide 1: Stock exchange filing letter for investor presentation
HLE Qclascoar 05th November'20 The Bombay Stock Exchange Limited ttPJ Towerstt Dalal Street Mumbai - 400 001 Scrip Code: 5222L5 Dear Sir, Subjeet: Investor Presentation for November 2020 Pursuant to Regulations 30(6) of the Securities and Exchange Board of India (Listing Obligations and-Disclosure R
Slide 2: Investor Presentation November 2020
INVESTOR PRESENTATION November 2020 HLE Glascoat Limited (Formerly known as Swiss Glascoat Equipments Ltd.)
Slide 3: Safe Harbor
Safe Harbor This presentation has been prepared by and is the sole responsibility of HLE Glascoat Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or induc
Slide 4: Evolution of the Group
Evolution of the Group From Chemicals to Excellence in Engineering 3
Slide 5: Foundation of Patel Group in 1951
FOUNDATION OF PATEL GROUP in 1951 “ A farmer’s son, who obtained his PhD in Chemical Engineering from Columbia University New York, returned home in the year 1950 to contribute to a newly independent India. ▪ The foundation of Patel Group was laid by late Dr. K. H. Patel in 1951 with – ▪ ” Over the
Slide 6: Evolution from Chemicals to Engineering
Evolution from Chemicals to Engineering 2019 HLE Glascoat 2003 Ltd HL Equipments & 2017 Operations of HLE & 1960 1981 R&D Facility HLE acquires Glascoat Swiss Glascoat are CDCC HL Engineers Engineering business starts HLE expands into Glass Lined consolidated into Turnkey Chemical HLE begins operati
Slide 7: Merger of Leaders: Combined Performance is Greater than Individual
Merger of Leaders: Combined Performance is Greater than Individual In 2017, HLE Engineers Pvt. Ltd. acquired a controlling stake in Swiss Glascoat Equipments Ltd. • Market leader in filtration and drying • In 2019, the businesses of HLE • Second largest manufacturer of glass equipment with over 60%
Slide 8: Industry Reference for Excellence in Engineering
Industry Reference for Excellence in Engineering Market Leader in Filtration & Second Largest manufacturer of Drying Equipment with more than Glass Lined Equipment in India 60% share of the Indian Market. with nearly 30% market share. Customer Acquisition and Technology and Automation Procurement an
Slide 9: Preferred Supplier: Largest Player in Filtration & Drying
Preferred Supplier: Largest Player in Filtration & Drying Largest Technology HLE Glascoat market share Leader Competitor 1 “Preferred Supplier” Competitor 2 Others World’s Largest 0% 20% 40% 60% 80% Manufacturer of ANFDs Filtration & Drying Market Share in India ~400 Filters & Dryers p.a. ~17% CAGR
Slide 10: Preferred Supplier: Glass Lined Equipment
Preferred Supplier: Glass Lined Equipment 2nd Largest Player In Glass Lined Equipment ~30% Market Share In Glass Lined Equipment in India 9
Slide 11: De-risking and Diversification: A Business Imperative
De-risking and Diversification: A Business Imperative Product-wise Revenue Break-up Industry-wise Revenue Break-up ANF GLRs 15% 28% Others Not more than 7% 34% Revenue API & is generated Pharma Speciality 44% from a single Chemicals product 31% GL Tanks ANFD & Others 34% 14% Other Engineering produc
Slide 12: Foundation for Growth
Foundation for Growth Enabling us to adapt to the changing needs of the business 11
Slide 13: Diversified Product Portfolio
Diversified Product Portfolio Filtration Glass Lined Equipment Agitated Nutsche Filters Glass Lined Reactors Agitated Nutsche Filter-Dryers Glass Lined Tanks Kilo-lab Filter-Dryers Glass Lined Heat Exchangers Glass Lined Columns Glass Lined Pipes & Fittings Drying Glass Lined Filters & Dryers Rotary
Slide 14: Capabilities: Filtration, Drying and More
Capabilities: Filtration, Drying and More Continuous Pan Filter Oyster Filter Canada Germany 6m diameter pan for a continuous type 6m Diameter rotating type continuous filter rotating within the tolerance of filter, compliant with ASME, CE and JIS 3mm Standards MOC: Inconel MOC: SS316L High Pressure
Slide 15: Marquee Projects: Glass Lined Equipment
Marquee Projects: Glass Lined Equipment 32KL GMP Reactors 50KL Tank We consistently India India deliver some of the, One of the largest glass lined One of the largest glass lined GMP reactors manufactured vessel supplied in the Indian and sold in the country. market followed by a repeat order. Large
Slide 16: State-of-the-art Manufacturing Facilities
State-of-the-art Manufacturing Facilities MAROLI WORKS ANAND WORKS HL EQUIPMENTS, SILVASSA • 10,000 m2 built-up area with nearly 8,000 m2 • 20,000 m2 floor area covered by 33 EOT cranes. • 4,200 m2 floor area covered by 8 EOT cranes. covered under 26 EOT cranes. • Five state-of-the-art SCADA control
Slide 17: Competitive Edge: Product Engineering
Competitive Edge: Product Engineering “ Pilot Plant and R&D Facility: ▪ The only pilot plant & R&D Facility of its kind among any process equipment manufacturer. Chemical Engineering Solution ▪ Our pilot plant enables our customers to conduct thorough Providers and not just ” trials on out ANFDs and
Slide 18: Competitive Edge: Process Engineering
Competitive Edge: Process Engineering Special Purpose Machines (SPMs) and Tooling ▪ Optimized every step of the fabrication process with SPMs developed and built by our team of process engineers. ▪ Our SPMs dramatically reduce the manhours required for a job and increase process repeatability. At th
Slide 19: Geographical Diversification
Geographical Diversification Strong Domestic Sales Network and Global Footprint Canada Europe Russia Channel Partner Channel Partner Channel Partner Delhi NCR Sales Office USA Ahmedabad Channel Partner Channel Partner Vadodara Thailand Anand Channel Partner Israel Channel Regd. Office Channel Partne
Slide 20: Marquee Client Relationships
Marquee Client Relationships 19
Slide 21: Experienced Management Team
Experienced Management Team Himanshu Patel He is a qualified Electrical Engineer graduating from the University of Bombay in the year 1976 and has more than 45 years of experience in the business of chemicals and engineering. Nilesh Patel He has completed his BSc (Chemistry) from the University of B
Slide 22: Professional Management Team
Professional Management Team Vice President Vice President Vice President Strategic Advisor Engineering Sales & Marketing Operations Total Experience: 30 years+ Total Experience: 32 years+ Total Experience: 20 years+ Total Experience: 17 years+ B.Com, CA B.E Mechanical B Com. PG - IT M.Tech (Mech) A
Slide 23: Robust Systems
Robust Systems 1 01 ASME Accreditation Authorized to use ASME ‘U’, ‘NB’ and ‘R’ Stamps for pressure vessels. 2 CE Compliance 02 Designing and manufacturing in compliance with CE as per Pressure Equipment, ATEX, Machinery, Electromagnetic, Low Voltage and other Directives. 3 03 JIS Compliance Designi
Slide 24: Future Outlook
Future Outlook Responding to the Large Orderbook by ramping up capacities 23
Slide 25: Identified Thrust Areas for Growth
Identified Thrust Areas for Growth Industry Potential Strong Balance Sheet Tailwinds in the various chemical sectors will continue to drive Robust liquidity position with increasing profit margins combined growth. Recent policy changes and need for domestic sourcing with a reducing working capital c
Slide 26: Capacity Ramp-up for future growth
Capacity Ramp-up for future growth Fabrication Shop at Maroli Assembly Shop at Anand Planned addition of new fabrication shop adjacent to The Assembly Shop, currently under commissioning at the existing facility adding roughly 25% more floor Anand, is aimed at enhancing the assembly capacity area fo
Slide 27: Financial Performance
Financial Performance Key Operating Ratios and Financial Statements 26
Slide 28: Q2 & H1 FY21: Key Highlights
Q2 & H1 FY21: Key Highlights Fund raise Capex ▪ Proposed to undertake a fund raise to the tune of Rs. 100 crores through: ▪ The board approved an overall capex of approx. Rs. 20 • Fresh equity shares (Rs. 20 crores) and crores on new manufacturing facility and infrastructure at Silvassa for filtrati
Slide 29: Financial Performance: Q2 FY21 & H1 FY21
Financial Performance: Q2 FY21 & H1 FY21 Revenue from Operations EBITDA* Profit After Tax* -1% +7% +6% 209 206 37 17.3 18.3 35 +4% +15% +23% 122 22 11.7 117 19 9.5 Q2FY20 Q2FY21 H1FY20 H1FY21 Q2FY20 Q2FY21 H1FY20 H1FY21 Q2FY20 Q2FY21 H1FY20 H1FY21 Rs. In Crs. EBITDA Margin (%) Profit After Tax Margi
Slide 30: Segmental Performance: H1 FY21
Segmental Performance: H1 FY21 Filtration, Drying and TOTAL Rs. In Crs. Glass Lined Equipment Chemical Products* Other Equipment Continuing Business +5% 99 106 76 79 176 185 33 Segment Revenue 20 H1 FY20 H1 FY21 H1 FY20 H1 FY21 H1 FY20 H1 FY21 H1 FY20 H1 FY21 +30% 18 13 31 7 14 24 9 Segment Result 4
Slide 31: Performance Highlights
Performance Highlights Result Snapshot (Incl. Chemical Business) Particulars (in Rs. Crs) Q2 FY21 Q2 FY20 Y-o-Y H1 FY21 H1 FY20 Y-o-Y Total Revenues 122.02 117.31 4% 206.17 208.95 -1% EBIT 19.74 17.12 15% 32.85 31.15 5% Profit Before Tax (PBT) 17.03 14.03 21% 27.40 25.11 9% Result Snapshot (Excl. Ch
Slide 32: Profit & Loss: Q2 FY21 & H1 FY21
Profit & Loss: Q2 FY21 & H1 FY21 Particulars (in Rs. Cr) Q2 FY21 Q2 FY20 Y-o-Y H1 FY21 H1 FY20 Y-o-Y Revenue from Contract with Customers 121.51 117.15 205.26 208.52 Other Income 0.51 0.16 0.91 0.43 Total Revenues 122.02 117.31 4% 206.17 208.95 -1% Total Raw Material 60.34 62.63 103.78 106.75 Employ
Slide 33: Balance Sheet as on 30th September 2020
Balance Sheet as on 30th September 2020 Particulars (in Rs. Cr) Sept-20 Mar-20 Particulars (in Rs. Cr) Sept-20 Mar-20 Non-Current Assets Equity Share Capital 12.93 12.93 Property, Plant and Equipment 94.61 89.82 Other Equity 77.28 63.08 Capital Work-in-Progress 6.23 10.01 Non Controlling Interest 1.
Slide 34: Annual: Segmental Performance
Annual: Segmental Performance Filtration, Drying and Other Chemical Products Rs. In Crs Glass Lined Equipment Equipment 199 152 75 185 124 50 Segment Revenue FY2019 FY2020 FY2019 FY2020 FY2019 FY2020 30 19 18 26 Segment Result 12 (EBIT) 5 FY2019 FY2020 FY2019 FY2020 FY2019 FY2020 135 134 136 55 45 S
Slide 35: Operating Cashflows and Returns
Operating Cashflows and Returns Increasing Operating Cash Flows Return on Assets (RoA) Rs. In Crs 49 37.6% 45 34.3%* 20.2% 20.8% 21 11.6% 10 6 FY2017 FY2018 FY2019 FY2020 H1FY21 Mar-17 Mar-18 Mar-19 Mar-20 Sep-20 Return on Equity (RoE) Return on Capital Employed (RoCE) 50.7% 46.7% 43.9% 42.2%* 39.8%
Slide 36: Annual: Profit & Loss Statement
Annual: Profit & Loss Statement Particulars (in Rs. Cr) Mar-20 Mar-19 Revenue from Contract with Customers 426.47 359.36 Other Income 3.34 2.87 Excise Duty 0.00 0.00 Total Revenues 429.81 362.22 Total Raw Material 211.94 196.46 Employee Benefits Expenses 32.45 27.08 Other Expenses 109.18 90.16 EBIDT
Slide 37: Thank You
Thank You @ Company Name: Contact Person: Contact Numbers: Email Address: HLE Glascoat Limited Mr. K.V. Unnikrishnan, CFO +91-2637-270150 investor.relations@glascoat.com (Formerly known as Swiss Glascoat Equipments Ltd.) CIN: L26100GJ1991PLC016173 36