Greenply Industries Ltd · NSE:GREENPLY
Greenply Industries — Investor Presentation (July 2010)
29 slides from Greenply Industries's investor presentation, Jul 29, 2010
Slide 1: Analyst Meet Presentation
Analyst Meet Presentation 29th July, 2010
Slide 2: Safe Harbor
Safe Harbor • Neither the information nor any opinion expressed in this presentation constitutes an offer, or invitation to make an offer, or to buy an security issued by the company . This presentation contains predications, estimates or other information regarding the Company’s operations which ar
Slide 3: Presentation Structure
Presentation Structure • Greenply at a Glance • MDF Plant- Uttrakhand • Laminates Plant - HP • Segmental Review • Capacity Review • Financials • Industry Overview • Investment Highlights
Slide 4: Greenply at a Glance
Greenply at a Glance • With the commission of MDF plant, Greenply is the only company in the industry to cater to all the segments of interior infrastructure industry. • Greenply has largest capacity in the Plywood, Laminate, Decorative Veneer and MDF in India. – Plywood - 24.00 mn Sqm – Laminate -
Slide 5: MDF Plant at Uttrakhand
MDF Plant at Uttrakhand • Successfully completed Rs. 250 crore MDF project • Largest MDF Plant in India with a capacity of 1,80,000 cbm/Yr • This plant is based on the latest Continuous Press Technology supplied by world leader M/s Diffienbacher, Germany. Plant can produce MDF in the thickness rangi
Slide 6: MDF Plant at Uttrakhand (cont)
MDF Plant at Uttrakhand( cont) • MDF is easy to use in mechanised environment so the demand from organised furniture industry will boost the MDF growth. • MDF will replace the demand of wood and cheap plywood due to high quality, easy availability and comparable cost. • GIL will be making timber bas
Slide 7: Laminate Plant at HP
Laminate Plant at HP. • Laminate unit with having a capacity of 4.68 million sheets was commissioned in the last financial year with a capital outlay of Rs. 120 crores. This plant has contributed Rs. 49 crores turnover in FY 2010. • The plant will manufacture compact laminates in thickness ranging f
Slide 8: Segmental Review
Segmental Review
Slide 9: Plywood & Allied Products
Plywood & Allied Products Rs. in Crores TURNOVER Q1FY11 Q1FY10 % Change FY10 FY09 % Change Plywood 161.68 96.14 68.17 542.30 443.20 22.36 Others 8.76 18.83 35.32 37.99 Total 170.44 114.97 48.25 577.62 481.19 20.04 Q1FY11 Q1FY10 % Change FY10 FY09 % Change Production (mn.sq.m.) 7.39 5.85 26.32 26.36
Slide 10: Plywood & Allied Products
Plywood & Allied Products • FSC -COC Certified Company has obtained Forest Stewardship Council (FSC) certification for its plywood units at Kolkata, Gujarat & Uttrakhand showcasing the highest social and environmental standards. • Expansion of Rural Network Company has appointed 24 Rural sales distr
Slide 11: Plywood & Allied Products (Contd.)
Plywood & Allied Products (Contd.) • Exports Greenply has started exports of plywood from the FY 2010. We have started export of FSC certified plywood, which is in high demand in Europe and other developed markets. Exports in the FY 2010 was around Rs. 5 crores to nearly 10 countries. • Outsourcing
Slide 12: Laminates & Allied Products
Laminates & Allied Products Rs. in Crores TURNOVER Q1FY11 Q1FY10 % Change FY10 FY09 % Change Laminate 99.83 62.11 60.73 311.73 266.83 16.83 Decorative Veneers 23.70 17.08 38.76 80.98 77.80 4.09 Others 3.26 3.27 9.16 3.59 Total 126.79 82.46 53.76 401.88 348.22 15.41 LAMINATE Q1FY11 Q1FY10 % Change FY
Slide 13: Laminates & Allied Products (Contd.)
Laminates & Allied Products (Contd.) Rs. in Crores DECORATIVE VENEER Q1FY11 Q1FY10 % Change FY10 FY09 % Change Production (mn.sq.m.) 0.32 0.27 18.92 1.19 1.25 (4.80) Sales (mn.sq.m.) 0.33 0.28 17.86 1.22 1.30 (6.15) Capacity Utilisation (%) 31 26 19.23 28 34 (17.65) Average Realisation (Rs. / Sq. Me
Slide 14: Laminates & Allied Products
Laminates & Allied Products Green Design Studio An exclusive retail store that provides a world class shopping experience. The stores are designed like galleries, displaying entire range of laminates, decorative veneers and post forming laminates among others. The company has seven stores and plans
Slide 15: Our Green Credentials
Our Green Credentials • Our initiatives on sustainability goes back till around a decade back, since when we have been working closely with native forest tribal's in dense forests to assist them in providing saplings, and to grow forestry. • We use Bio Mass in our Laminate Plants. • We were the firs
Slide 16: Capacity Utilization: Plywood
Capacity Utilization Plywood 27 115% 110% 25 105% mn.sq.m. 23 96% 95% 21 86% 85% 19 17 75% 15 65% FY08 FY09 FY10 Capacity Production Utilisation Rate
Slide 17: Capacity Utilization: Laminates
Capacity Utilization Laminates(annualised) 11 110% 10 107% 107% 105% 9 mn.sq.m. 8 100% 7 95% 6 5 91% 90% 4 85% 3 2 80% FY08 FY09 FY10 Capacity Production Utilisation Rate
Slide 18: Capacity Utilization: Decorative Veneer
Capacity Utilization Decorative Veneer 5 70% 65% 60% 4 50% mn.sq.m. 3 40% 2 30% 28% 30% 20% 1 10% 0 0% FY08 FY09 FY10 Capacity Production Utilisation Rate
Slide 19: Flagship Brands
Flagship Brands GREEN Wee LAMINATES Grea DECOWOOD calf.
Slide 20: Financial Highlights
Financial Highlights
Slide 21: Highlights – Q1FY11
Highlights – Q1FY11 • Net Sales up by 48% at Rs. 262.07 crores – Plywood & Allied Products : Rs. 150.19 crores, up by 44% – Laminates & Allied Products : Rs. 126.79 crores, up by 52% • EBIDTA (excluding foreign currency gains) up by 10% at Rs. 24.05 crores • EBIDTA Margin stood at 9.18% – Plywood &
Slide 22: Highlights – FY10
Highlights – FY10 • Net Sales up by 20% at Rs. 871.41 crores – Plywood & Allied Products : Rs. 516.62 crores, up by 20% – Laminates & Allied Products : Rs. 354.61 crores, up by 20% • EBIDTA down by 1.37% at Rs. 93.57 crores • EBIDTA Margin stood at 10.74% – Plywood & Allied Products 10.89% – Laminat
Slide 23: Financial Performance
Financial Performance Rs. in Crores Q1FY11 Q1FY10 FY10 FY09 Key Ratios ROCE (%) 13.89 21.40 15.78 18.82 ROE (%) 14.79 22.96 18.32 20.74 Net Debt / Equity (x) 1.58 1.65 1.51 1.43 Inventory Days 79 91 84 84 Receivable Days 66 77 63 68 Payable Days 111 128 115 111 Update on Balance Sheet Particulars FY
Slide 24: Sales Break Up
Sales Break Up FY09 FY10 Deco Deco Veneer Others Veneer Others 8% 1% 10% 5% Lam Ply Lam Ply 33% 56% 32% 55%
Slide 25: Growth Momentum
Growth Momentum Net Sales 100 EBIDTA 1000 CAGR 27% 80 900 CAGR 26% 800 700 60 600 500 40 400 300 200 20 FY06 FY07 FY08 FY09 FY10 FY06 FY07 FY08 FY09 FY10 PAT 45 29.00% CAGR 29% 26.00% 26% 26% 23.00% 24% 35 20.00% 21% 21% 19% 18% 25 17.00% 15% 16% 14.00% 14% 11.00% 15 8.00% 5.00% 5 FY06 FY07 FY08 FY0
Slide 26: Industry Outlook
Industry Outlook • Industry size: Rs. 13000 crore, out of that Rs. 5250 crore is organised • Growth of organised sector is 10-12%, Greenply has been growing at CAGR of 26% • Company’s market share is 35% in plywood segment and 21% in Laminate segment of the organised sector.
Slide 27: Organized vs Unorganized share
Organized vs Unorganized share Rs. in Crores 8000 7000 6000 5000 6240 Unorganised 4000 Organised 3000 1500 0 2000 1000 2200 1560 1500 0 Plywood Laminate MDF & Particle board
Slide 28: Investment Highlights
Investment Highlights • Established brands with strong presence and market share • Further utilisation at new plants would substantially boost revenues and profits in the next 3 years • Existing business is expected to grow at 12-15% • Recovery in residential and commercial property market and overa
Slide 29: Thank You
Thank You
Greenply Industries — Investor Presentation (July 2010) on 6ix