Steel Authority Of India Limited · NSE:SAIL
Steel Authority Of India — Q2 & H1 FY'24 Earnings Presentation
30 slides from Steel Authority Of India's earnings presentation, Nov 17, 2023
Slide 1: Results Presentation for Q2 & H1 FY'24
STEEL AUTHORITY OF INDIA LIMITED RESULTS PRESENTATION FOR Q2 & H1 FY’24
Slide 2: Snapshot FY'24
SNAPSHOT FY’24 Mining Iron Ore: 16.387 MT Limestone: 0.751 MT Dolomite: 0.255 MT Production Hot Metal: 10.135 MT Crude Steel: 9.470 MT Saleable Steel: 9.167 MT Sales & Marketing Pan-India network of more than 4900 Domestic Sales: 8.475 MT Exports: 0.209 MT distributors and dealers Financials Turnove
Slide 3: Sustainable Operations
STEEL AUTHORITY OF INDIA LIMITED Sustainable Operations
Slide 4: Sustainable Operations
SUSTAINABLE OPERATIONS Waste Application of 4Rs (Reduce, Reuse, Recycle, Recover) Management R&D Project for development of steel slag based cost effective eco-friendly fertilizers for sustainable agriculture and inclusive growth through ICAR-Indian Agricultural Research Institute. Solid Liquid Reso
Slide 5: Securing Future
SECURING FUTURE Water Committed to achievement of long term goal of “Zero Liquid Discharge”. Conservation Actions being taken for treatment and recycling of effluent being discharged through the outfalls at the Plant boundary. Energy Set up 3.5 MW Solar Power Plants/Units at different locations. Ano
Slide 6: Manpower
MANPOWER LABOUR PRODUCTIVITY (tcs/man/year) QUARTERLY 562 ANNUAL 521 571 554 461 482 400 396 389 344 320 FY17 FY18 FY19 FY20 FY21 FY22 FY23 H1 FY24 Q2 FY 23 Q1 FY 24 Q2 FY 24 Improvement of 76% over FY17 MANPOWER Particulars 01.04.2023 01.07.2023 01.10.2023 Manpower on date 59186 58696 57512 Reducti
Slide 7: Touching Lives
TOUCHING LIVES…. Key Activites Basic and specialised healthcare to more than a million lives annually. 3% 9% 21% 2% Drinking Water facility to more than 50 lakh people. 9% More than 80 lakh people connected to mainstream by Total CSR construction of roads spends since Quality education to almost 500
Slide 8: Global Economic & Steel Scenario
STEEL AUTHORITY OF INDIA LIMITED Global Economic & Steel Scenario
Slide 9: World Economic Scenario
WORLD ECONOMIC SCENARIO Growth Rates ( in %) 6.6 6.0 5.2 4.8 4.1 4.5 3.8 4.0 4.0 3.6 3.7 3.5 2.8 3.0 2.9 2.4 2.6 2.2 1.7 1.5 1.4 World Fighting Inflation, Advanced Economies Recovery -2.0 Slowdown in Emerging & Developing Economies Post 1st Advanced Economies -3.1 Phase of and Russia-Ukraine War -4.
Slide 10: World Steel Scenario
WORLD STEEL SCENARIO Crude Steel Production (MT) 1962 1828 1877 1882 1885 1732 1406 1065 1035 1018 995 871 929 899 882 927 867 861 817 795 611 2017 2018 2019 2020 2021 2022 Jan-Sept 2023 World China RoW Steel continued its march post 1st wave of covid with revival of economic activities and infra-sp
Slide 11: World Steel Scenario
WORLD STEEL SCENARIO SOURCE: World Steel Association (WSA) Apparent Steel Consumption (MT) Short Range Outlook, Oct’23: • Global steel demand is expected to increase by 1.8% in 1779 1788 1839 1783 1815 1849 2023 (lower than 2.3% projected in Apr’23) and 1.9% 1638 1714 in 2024 (higher than 1.7% proje
Slide 12: International Price Trends
100 200 300 400 600 500 0 200 400 600 800 1000 0 Apr'22 Apr'22 May'22 May'22 Jun'22 Jun'22 Jul'22 Jul'22 Aug'22 Aug'22 Sept'22 Sept'22 Oct'22 FOB Black Sea Oct'22 Nov'22 Nov'22 HCC Dec'22 Dec'22 Jan'23 Jan'23 Feb'23 Feb'23 PCI FOB China Mar'23 Mar'23 Apr'23 Hot Rolled (USD/t) Apr'23 May'23 May'23 Co
Slide 13: Domestic Economic & Steel Scenario
STEEL AUTHORITY OF INDIA LIMITED Domestic Economic & Steel Scenario
Slide 14: Indian Economic Scenario
INDIAN ECONOMIC SCENARIO GDP Growth % at Constant (2011-12) Prices Quarterly GDP since SOURCE: MOSPI, GOI COVID19 first wave 9.1 21.6 8.2 7.0 7.2 13.1 6.1 9.1 7.8 6.2 4.0 5.2 4.5 6.1 2.5 4.0 0.7 -6.6 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 -23.8 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 15: Indian Economic Scenario
INDIAN ECONOMIC SCENARIO SOURCE: MOSPI, GOI IIP Growth % at Constant (2011-12) Prices Primary Goods Capital Goods Intermediate Goods Infrastructure Goods Consumer Durables Consumer Non-Durables Apr'22 May'22 Jun'22 Jul'22 Aug'22 Sep'22 Oct'22 Nov'22 Dec'22 Jan'23 Feb'23 Mar'23 Apr'23 May'23 Jun'23 J
Slide 16: Indian Steel Scenario
INDIAN STEEL SCENARIO Crude Steel Production (mtpa) 126.3 120.0 110.9 109.1 97.9 103.1 103.5 70.1 61.1 FY'17 FY'18 FY'19 FY'20 FY'21 FY'22 FY'23 Apr-Sept'22 Apr-Sept'23 Finished Steel Consumption (mtpa) 119.9 105.8 98.7 100.2 90.7 94.9 88.7 64.1 55.8 FY'17 FY'18 FY'19 FY'20 FY'21 FY'22 FY'23 Apr-Sep
Slide 17: Domestic Price Trend
Thousands Thousands 0 2 4 6 8 10 12 14 0 10 20 30 40 50 60 70 80 90 Apr'22 Apr'22 May'22 May'22 Jun'22 Jun'22 Jul'22 Jul'22 Aug'22 Aug'22 Sept'22 Sept'22 Oct'22 Oct'22 Nov'22 Nov'22 Dec'22 Pellets 63% Fe, Exw-Raipur Dec'22 Lumps 63% Fe, Odisha Index HRC Ex-Delhi Flats Jan'23 Jan'23 Feb'23 Feb'23 Mar
Slide 18: Operational Performance
STEEL AUTHORITY OF INDIA LIMITED Operational Performance
Slide 19: Production Performance
PRODUCTION PERFORMANCE All figures In Million Tonne 18.3 17.4 16.3 16.2 14.5 15.0 15.2 CRUDE STEEL 4.3 4.7 4.8 PRODUCTION 9.5 Q2 FY23 Q1 FY24 Q2 FY24 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 H1 FY 24 Annual Quarterly 16.9 17.2 SALEABLE 13.9 14.1 15.1 15.1 14.6 4.4 4.8 4.1 STEEL 9.2 PRODUCTION Q2 FY
Slide 20: Production Performance: FY'24 Product Mix
PRODUCTION PERFORMANCE : FY’24 SAIL 14.6% PRODUCT MIX : 51.5% 5 ISPs 33.9% 24.7% 65.1% 10.2% BSP 46.1% 53.9% DSP Flats RSP 100.0% Longs Semis 94.7% 5.3% BSL 71.2% 28.8% ISP
Slide 21: Production Performance: FY'24 By Process
PRODUCTION PERFORMANCE : FY’24 1.3% 0.8% Ingot Route CC Route CRUDE STEEL BOF PRODUCTION EAF BY PROCESS 99.2% 98.7% SALEABLE STEEL Commodity 47.7% PRODUCTION 52.3% BY PROCESS Value Added
Slide 22: Techno-Economic Parameters
TECHNO-ECONOMIC PARAMETERS Coke Rate: kg/thm CDI Rate: kg/thm 473 103 97 456 457 85 453 76 76 70 78 448 445 444 443 60 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 H1 FY FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 H1 24 FY 24 Reduction of 6% over FY17 Increase of 72% over FY17 Specific Energy Consumption
Slide 23: Sales Performance
SALES PERFORMANCE Annual All figures In Million Tonne 16.2 16.2 14.9 14.1 14.1 14.2 13.1 Quarterly 4.8 8.7 4.2 3.9 Q2 FY23 Q1 FY24 Q2 FY24 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 H1 FY 24 Sectoral Breakup CMO Home Sales - Product Mix Plant Sales Galvanized Semis Structurals 2% Products 8% 8% CR Co
Slide 24: Financial Performance
STEEL AUTHORITY OF INDIA LIMITED Financial Performance
Slide 25: Financial Performance
FINANCIAL PERFORMANCE Rs. Crore H1 FY 23 H1 FY 24 Q2 FY 23 Q1 FY 24 Q2 FY 24 (INDAS Compliant figures) Sales Turnover 49923 53653 26080 24093 29560 Total Income 51022 54687 26688 24800 29887 EBITDA 3780 6132 1174 2090 4043 Depreciation 2377 2601 1183 1275 1326 Finance Cost 880 1218 506 613 605 PBT B
Slide 26: Financial Performance: Half Yearly and EBITDA Movement
FINANCIAL PERFORMANCE EBITDA PBT PAT Half Yearly Performance 6132 (Rs. crore) 3780 1898 1390 523 391 H1 FY 23 H1 FY 24 EBITDA Movement (Rs. crore) 6657 1257 286 487 943 7278 6132 3780 EBITDA H1 FY 23 Volume/Mix Raw Material Input Price/Cost Sales Price/NSR Rail Price Impact Others EBITDA H1 FY 24 Us
Slide 27: Financial Performance: Quarterly
FINANCIAL PERFORMANCE Quarterly Performance 4043 (Rs. crore) EBITDA PBT PAT 2090 1696 1174 1241 202 150 -152 -386 Q2 FY 23 Q1 FY 24 Q2 FY 24 EBITDA Quarterly 1733 2624 Movement 1283 1733 149 (Rs. crore) 48 584 77 1522 4043 574 4043 2193 17 2090 1174
Slide 28: Financial Performance: Borrowings and Net Worth
FINANCIAL PERFORMANCE Borrowings (Non Ind AS) Net Worth 35350 52017 52139 52276 53258 29414 43495 25662 25490 13386 Mar'21 Mar'22 Mar'23 Jun'23 Sept'23 Mar'21 Mar'22 Mar'23 Jun'23 Sept'23 Quarterly Interest Debt-equity (times) 0.81 (Non Ind AS) 638 605 540 0.56 517 0.49 0.48 440 0.26 Mar'21 Mar'22 M
Slide 29: Abbreviations used
Abbreviations used • BF Blast Furnace • FOB Freight On Board • SMS Steel Melting Shop • JPC Joint Plant Committee • BOF Basic Oxygen Furnace • Kg/thm Kilo Gram Per Tonne of • THF Twin Hearth Furnace Hot Metal • EAF Electric Arc Furnace • Tpd Tonnes Per Day • BSP Bhilai Steel Plant • MT Million Tonne
Slide 30: Disclaimer
Disclaimer Statements / Data which do not relate to SAIL and are used / made in this presentation are from sources which are considered reliable and Company cannot be held for its authenticity. Further, statements describing the Company’s projections, estimates, expectations are “forward looking sta
Steel Authority of India — Q2 & H1 FY'24 Earnings Presentation on 6ix