Rain Industries Limited · NSE:RAIN
Rain Industries — Q3 2022 Earnings Presentation
15 slides from Rain Industries's earnings presentation, Nov 3, 2022
Slide 1: Earnings Presentation – Q3 CY22
RAIN INDUSTRIES LIMITED Earnings Presentation – Q3 CY22 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 Advanced Materials. Our Carb
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: Third-Quarter Results: Financial and Business Highlights
Third-Quarter Results Financial Highlights • Revenue from Operations was ₹ 55.77 billion and Adjusted EBITDA was ₹ 9.78 billion • Adjusted Net Profit After Tax was ₹ 4.60 billion and Adjusted Earnings Per Share was ₹ 13.68 • Capex was US$ 70 million for the nine-month period ended September 30, 2022
Slide 4: Aluminium: Production, Price and Inventory Levels
Aluminium: Production, Price and Inventory Levels Primary Aluminium Production Growth in Thousand Metric Tonnes LME AL Inventory (Million MT) vis-à-vis LME AL Quote (000 US$ per MT) Not to Scale 2.50 4.0 2.00 3.5 3.0 LME Quote 1.50 2.5 1.00 2.0 0.50 1.5 - 1.0 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Dec-2
Slide 5: Growing Demand, Increasing Prices and Costs
Growing Demand, Increasing Prices and Costs Carbon Volumes (000 Metric Tonne) and Price ($/MT) Advanced Materials Volumes (000 Metric Tonne) and Price ($/MT) 400 $1,270 $1,337 1,400 $2,013 2,200 65 350 $1,818 $1,863 2,000 1,200 55 $1,633 1,800 300 $936 $1,545 $1,555 $1,745 $815 $863 1,000 $1,471 45
Slide 6: Increased Margin Driven by Price Lag Offset by Lower Volumes
Increased Margin Driven by Price Lag Offset by Lower Volumes (₹ in Billions) Revenue (excluding other operating income) Adjusted EBITDA Highlights in Q3 CY22 • Carbon segment revenue increased, driven by market quotations, increased raw material prices and operating costs offset by lower volumes. •
Slide 7: Carbon: Increase in Revenue Driven by Pricing
Carbon: Increase in Revenue Driven by Pricing (₹ in Billions) *Includes Energy Revenue Volumes (MT in thousands) Revenue (excluding other operating income) Highlights in Q3 CY22 • CPC revenue increased primarily on account of higher prices due to increased raw material prices • Pitch revenue increas
Slide 8: Advanced Materials: Impact of lower volumes and increase in energy costs
Advanced Materials: Impact of lower volumes and increase in energy costs (₹ in Billions) Volumes (MT in thousands) Revenue (excluding other operating income) Highlights in Q3 CY22 • Marginal increase in revenue is primarily the result of higher prices, offset by lower volumes driven by lower demand.
Slide 9: Cement: Higher Revenues Driven by Increased Volumes
Cement: Higher Revenues Driven by Increased Volumes (₹ in Billions) Volumes (MT in thousands) Revenue (excluding other operating income) Highlights in Q3 CY22 • Revenue from Cement business increased by 6.4% due to higher volumes offset by decrease in realisations • Adjusted EBITDA decreased by ₹ 55
Slide 10: Debt Summary
Debt Summary US$ in Millions Sep 2022 Dec 2021 Cash Inflows / Outflows during YTD Sep 2022 7.25% USD-denominated Senior Secured 530# 546 • Operating cash flows includes net working capital Notes (due in April 2025) outflows of ₹ 15.68 billion (compared to outflows of Euro-denominated Senior Secured
Slide 11: Thank You
Thank You RIO
Slide 12: Appendix
Appendix
Slide 13: Summary of Consolidated Income Statement
Summary of Consolidated Income Statement ₹ in Millions Particulars Q3 2022 Q2 2022 Q3 2021 CY 2021 Net Revenue 55,593 55,265 37,914 143,697 Other Operating Income 178 141 576 1,571 Revenue from Operations 55,771 55,406 38,490 145,268 Reported EBITDA 9,661 12,105 6,805 25,291 Adjusted EBITDA 9,782 12
Slide 14: Reconciliation of EBITDA and PAT for Q3 2022
Reconciliation of EBITDA and PAT for Q3 2022 ₹ in Millions Particulars EBITDA PAT A. Reported 9,661 4,033 B. Adjustments: • Expenses towards strategic projects and other non-recurring items 121 121 • Tax impact on above adjustments - (19) • Impairment of dual solvent project - 466 C. Adjusted (A + B
Slide 15: RAIN – Key Business Strengths
RAIN – Key Business Strengths • Three business segments (Carbon, Advanced Materials and Cement) • Global presence with 2.4 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, 0.6 million tonnes p.a. advanced