Kajaria Ceramics Limited · NSE:KAJARIACER
Kajaria Ceramics — Q2 FY20 Earnings Presentation
34 slides from Kajaria Ceramics's earnings presentation, Oct 23, 2019
Slide 1: Outcome of the Board Meeting cover letter
Kajaria YEARS OF TRANSFORMATION October 23, 2019 BSE Limited The National Stock Exchange of India Ltd. P.J. Towers Exchange Plaza Dalal Street, Fort Sandra Kurla Complex Mumbai - 400 001 Sandra (E) Mumbai - 400 051 Dear Sir/Madam, Re.: Outcome of the Board Meeting and announcements pursuant to the S
Slide 2: Annexure-A: Investment in Kajaria Plywood Private Limited
YEARS OF Kajaria TRANSFORMATION Annexure-A Details regarding investment in Kajaria Plywood Private Limited Sr. Particulars Details No. 1. Name of the target entity, details in brief Kajaria Plywood Private Limited ['KPPL'] such as size, turnover etc. Turnover {Gross) (As on 31 .03.2019): Rs. 1682.28
Slide 3: Annexure-A: Investment details (continued)
YEARS OF TRANSFORMATION Kajaria 8. Cost of acquisition or the price at which Will be decided at the time of the shares are acquired subscription/acquisition, after valuation of KPPL. 9. Percentage of shareholding / control Presently, the Company holds 97.89% equity acquired and/or number of shares s
Slide 4: Independent Auditor's Review Report (Standalone)
Walker Chandiok &.Co LLP Walker Chandiok & Co LLP (Formerly Walker, Chandiok & Co) 6th Floor, Plot No. 19A, Sector 16A, Noida 201301 India T +91 120 710 9001 F +91 120 710 9002 Independent Auditor's Review Report on Standalone Unaudited Quarterly Financial Results and Year to Date Results of the Com
Slide 5: Independent Auditor's Review Report (Standalone, cont'd)
Walker Chandiok &.Co LLP Independent Auditor's Review Report on Standalone Unaudited Quarterly Financial Results and Year to Date Results of Kajaria Ceramics Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (as amended) (cont'd) 4.
Slide 6: Unaudited Standalone Financial Results, Quarter and Half Year
,j' 1.P Kajaria STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2019 (~ in crores, except per share data) Quarter ended Half Year ended Year ended PARTICULARS 30 September 2019 30 June 2019 30 September 2018 30 September 2019 30 September 2018 31
Slide 7: Standalone Statement of Assets and Liabilities
,.'• " Kaj~f:!~ STANDALONE STATEMENT OF ASSETS AND LIABILITIES AS AT 30 SEPTEMBER 2019 1, in crores \ Asat Asat PARTICULARS 30 Sentember 2019 31 March 2019 (Unaudited) (Audited) ASSET'S {1) Non-current assets {a) Property, plant and equipment 681.82 706.81 (bl Capital work-in-progress 2.30 0.49 (c)
Slide 8: Unaudited Standalone Statement of Cash Flows
Kajaria - Unaudited Standalone Statement of Cash Flows (~ in crores) Half year ended Half year ended 30 September 2019 30 September 2018 A. CASH FLOW FROM OPERATING ACTIVITIES Profit before tax 175.40 170.28 Adjusted for: Depreciation and amortisation expenses 39.16 32.09 Interest income (21.25) (13
Slide 9: Notes to Standalone Financial Results
Kajaria Notes: 1 The above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on 23 October 2019 and have undergone 'Limited Review' by the statutory auditors of the Company. 2 The above results have been prepared in a
Slide 10: Independent Auditor's Review Report (Consolidated)
Walker Chandiok &.Co LLP Walker Chandiok & Co LLP (Formerly Walker, Chandiok & Co) 6th Floor, Plot No. 19A, Sector 16A, Noida 201301 India T +91 120 710 9001 F +91 120 710 9002 Independent Auditor's Review Report on Consolidated Unaudited Quarterly Financial Results and Year to Date Results of the C
Slide 11: Independent Auditor's Review Report (Consolidated, cont'd)
Walker Chandiok &..Co LLP Independent Auditor's Review Report on Consolidated Unaudited Quarterly Financial Results and Year to Date Results of Kajaria Ceracmis Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (as amended) (cont'd)
Slide 12: Annexure 1: List of entities included
Walker Chandiok &..Co LLP Independent Auditor's Review Report on Consolidated Unaudited Quarterly Financial Results and Year to Date Results of Kajaria Ceracmis Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (as amended) (cont'd)
Slide 13: Unaudited Consolidated Financial Results, Quarter and Half Year
Kajaria STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2019 (i!' in crores, except per share data) Quarter ended Half Year ended Year ended PARTICULARS 30 September 2019 30 June 2019 30 September 2018 30 September 2019 30 September 2018 31 Marc
Slide 14: Consolidated Statement of Assets and Liabilities
Kaj~r!.~ CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES AS AT 30 SEPTEMBER 2019 ~ in crores As at As at PARTICULARS 30 Seotember 2019 31 March 2019 (Unaudited) (Audited) ASSETS (1) Non-current assets (a) Prnperty, plant and equipment 1,174.91 1,067.11 (b) Capital work-in-progress 6.82 93.39 (c) Ri
Slide 15: Unaudited Consolidated Statement of Cash Flows
Kajaria-_ Unaudited Consolidated Statement of Cash Flows (~ i_rl__ crores} Half year ended Half year ended 30 September 2019 30 September 2018 A. CASH FLOWS FROM OPERATING ACTIVITIES Profit before tax 161 .59 155.39 Adjustments for : Depreciation and amortisation expense 51.97 45.20 Interest income
Slide 16: Consolidated Segment Wise Revenue, Results, Assets and Liabilities
Kajaria UNAUDITED CONSOLIDATED SEGMENT WISE REVENUE. RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2019 ('< in crores,except per share data) Quarter ended Half Year ended Year ended PARTICULARS 30 September 2019 30 June 2019 30 September 2018 30 September 2019 30 S
Slide 17: Notes to Consolidated Financial Results
Kajaria Notes: 1 The above consolidated financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on 23 October 2019 and have undergone 'Limited Review' by the statutory auclitors of the Company. 2 The above results have been
Slide 18: Extract of Unaudited Consolidated Financial Results
Kajaria EXTRACT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2019 (t in crores, except per share data) Quarter ended Half Year ended Quarter ended Sr Particulars 30 September 2019 30 September 2019 30 September 2018 No (Unaudited) (Unaudited) (Unaudite
Slide 19: Additional Disclosure under Regulation 52(4) (Consolidated)
YEARS OF TRANSFORMATION Kajaria ADDITIONAL DISCLOSURE UNDER REGULATION 52 (4) OF THE SEBI (LODR) REGULATIONS. 2015 For the half year ended 30 September, 2019 (consolidated): 1. Credit Rating and Change in Credit rating (if any) : Kept at the same level for both i. Long term and non fund based ii. An
Slide 20: Additional Disclosure under Regulation 52(4) (Standalone)
YEARS OF Kajaria TRANSFORMATION ADDITIONAL DISCLOSURE UNDER REGULATION 52 (4) OF THE SEBI (LODR) REGULATIONS, 2015 For the half year ended 30 September 2019 (Standalone): 1. Credit Rating and Change in Credit rating (if any) : Kept at the same level for both Long term and non fund based And unsecure
Slide 21: Kajaria Ceramics Limited Investor Update – Q2 FY20
KAJARIACERAMICSLIMITED Investor Update – Q2 FY20 October 23, 2019 1/14
Slide 22: Content
Content Chairman’s Message Financial Performance – Q2 FY20 Balance sheet perspective Subsidiaries Income Statement Shareholding Pattern 2/14 Investor Update Q2 FY20
Slide 23: Chairman's Message
Chairman’s Message The quarter was extremely significant as the Government introduced a slew of reforms that promise to uplift the depressed economic sentiment – the most significant move was the corporate tax rate cut which has brought immense cheer to India Inc. While we understand that these meas
Slide 24: Tile Volume Data (consolidated)
Tile Volume Data (consolidated) Production Growth (MSM) - Q2 FY20 Production Growth (MSM) - H1 FY20 20 40 17.47 33.78 16.12 31.76 16 30 5.22 10.21 5.11 9.96 12 20 8 12.25 11.01 23.57 10 21.80 4 0 0 Q2 FY19 Q2 FY20 H1 FY19 H1 FY20 Own Manufacturing Subsidiaries Own Manufacturing Subsidiaries Sales Gr
Slide 25: Revenue Growth - consolidated
Revenue Growth - consolidated Rs. / Crores 900 1600 1414.67 1382.33 15.05 725.31 714.68 1400 3.25 83.15 83.57 3.15 6.99 700 43.48 42.55 1200 165.50 252.03 90.18 125.55 Plywood 1000 Plywood 311.81 500 158.33 Sanitary ware / Faucets 288.94 148.71 Sanitary ware / Faucets Outsourcing (Tiles) 800 Outsour
Slide 26: Profitability - Consolidated
Profitability - Consolidated Rs. / Crores 180 120 110 93.19 144.20 100 140 90 80 70 100 95.77 60 50.20 50 40 60 30 20 10 20 Q2 FY19 Q2 FY20 H1 FY19 H1 FY20 The PAT is higher in Q2 FY20 and H1 FY20 due to revised Income Tax rates and reversal of net deferred tax liability. Refer Slide 12 for detailed
Slide 27: EBITDA / EBITDA Margin (consolidated) – quarterly progression
EBITDA / EBITDA Margin (consolidated) – quarterly progression 125 22% 122.94 120.83 20% 108.91 105.23 105.97 100 18% Rs./ Crores 16% 15.93% 15.02% 15.08% 15.14% 75 14.72% 14% 12% 50 10% Q2 FY19 Q3 FY19 Q4 FY19 Q1 FY20 Q2 FY20 EBITDA (Rs. / Crores) EBITDA Margin (%) 7/14 Investor Update Q2 FY20
Slide 28: Key Ratios (consolidated): Net Debt and Net Debt Equity
Key Ratios (consolidated)*………… Net Debt (Rs. Crore) * Net Debt Equity (X) * 300 0.40 0.30 200 161 0.20 100 88 0.13 0.10 0 0.06 Mar-17 Mar-18 Mar-19 Sep-19 0.00 Mar-17 Mar-18 Mar-19 Sep-19 -100 -0.10 -0.08 -0.08 -132 -135 -200 -0.20 * Net of cash and cash equivalents 8/14 Investor Update Q2 FY20
Slide 29: Key Ratios (consolidated): Working Capital Cycle and ROE
Key Ratios (consolidated) Working Capital Cycle (days) Return on Equity (Avg.) 80 35 64 60 58 60 25 46 23.58 40 18.61 17.83 15 15.49 20 0 5 Mar-17 Mar-18 Mar-19 Sep-19 Mar-17 Mar-18 Mar-19 Sep-19 • Working capital days’ excludes capex creditors and cash & Bank balance. • Working capital days’ as on
Slide 30: Subsidiaries
Subsidiaries A. JAXX VITRIFIED Jaxx Vitrified is based in Morbi (Gujarat). Kajaria has 87.37% stake in the same. Jaxx has combined annual capacity of 10.20 MSM of polished vitrified tiles comprising 2 plants. Jaxx has operated at full capacity during Q2 FY20. B. VENNAR CERAMICS Vennar is based in Vi
Slide 31: Subsidiaries
Subsidiaries D. KAJARIA TILES PRIVATE LIMITED* Kajaria Tiles (a wholly owned subsidiary) has commissioned a manufacturing facility of glazed vitrified tiles with a capacity of 5.00 MSM p.a. in Andhra Pradesh and started commercial production in September 2019. E. KAJARIA BATHWARE (P) LTD. (KBL) Kaja
Slide 32: Income Statement: Financial highlights
Income Statement Financial highlights (Rs / Crores) Q2 FY20 Q2 FY19 Growth H1 FY20 H2 FY19 Growth Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated Net Sales 651.40 714.68 677.49 725.31 -4% -1% 1291.10 1414
Slide 33: Shareholding Pattern
Shareholding Pattern As on 30th Sep. 2019 Equity Shares Outstanding – 158.95 millions Shareholding Public / Others 15.79% NRI's 0.50% Promoters 47.58% FIs /FPIS / Mutual Funds 36.13% 13/14 Investor Update Q2 FY20
Slide 34: About Us
About Us Kajaria Ceramics is the largest manufacturer of ceramic/vitrified tiles in India and the 9th largest in the world. It has an annual capacity of 73.00 mn. sq. meters presently, distributed across eight plants - one in Sikandrabad in Uttar Pradesh, one in Gailpur and one in Malootana in Rajas