Sarthak Metals Ltd · NSE:SMLT
Sarthak Metals — Investor Presentation (October 2021)
24 slides from Sarthak Metals's investor presentation, October 2021
Slide 1: Investor Presentation
Investor Presentation S A R T H A K M E TA L S L I M I T E D Mode r n m e t allur g ic al solut ions for fine t u nin g st e e l
Slide 2: Inside the Presentation
Inside the Presentation 01 04 ABOUT 02 14 STRATEGIC REVIEW 04 DB GROUP 14 INVESTMENT THESIS 05 SNAPSHOT 15 STRENGTHS AND WEAKNESS 06 MILESTONES 16 BUSINESS CANVAS 07 PRODUCT CATEGORIES 08 INFRASTRUCTURE 09 10 CLIENTS WAREHOUSING CAPABILITIES 03 18 FINANCIAL SUMMARY 18 5 YEAR SUMMARY 11 LEADERSHIP 19
Slide 3: About
ABOUT 04 DB GROUP 05 SNAPSHOT 06 MILESTONES S ART HAK 07 PRODUCT CATEGORIES 08 INFRASTRUCTURE 09 CLIENTS M ET AL S 10 WAREHOUSING CAPABILITIES 11 LEADERSHIP L IM IT ED 12 BOARD OF DIRECTORS
Slide 4: Desraj Bansal Group
Desraj Bansal Group The ~400 crore* Desraj Bansal Group ("DB Group") is a leading business group with interests in the Metals and Energy sector. SARTHAK METALS SARTHAK ENERGY BANSAL DB Group has 5 state-of-the-art fully- LIMITED (P) LIMITED BROTHERS functional manufacturing facilities in Bhilai, Chh
Slide 5: Sarthak Metals Snapshot
Sarthak Metals Snapshot Sarthak Metals Limited ("Sarthak") part of the Desraj Bansal Group is India's leading LEADING ~400 CRORE 10,000 TPA AMONGST THE PART OF THE ~400 CRORE* CAPACITY FOR CORED manufacturer and exporter of Cored LEADING CORED WIRE DB GROUP WIRES Wires and Aluminium Flipping Coils M
Slide 6: Milestones
Milestones 1995 2008 2017 Incorporated in 1995 with an Commenced production of Raised funds through its initial public Cross 200 crores sales benchmark industrial gases unit producing Aluminium flipping coils with its first offer and got listed on BSE SME industrial oxygen and carbon dioxide mill bu
Slide 7: Product Categories
Product Categories Cored Wires Aluminium Flipping Coils • Cored Wires are a product of wire injection technology • Aluminium flipping coils are used in steel manufacturing of steels. They consist of steel tubes (wires) filled with process for de-oxidising of molten steel, and as a various alloys tha
Slide 8: Infrastructure
Infrastructure Capacity Utilization (IN TPA) 1 2 ,0 0 • The Company has two state-of-the-art manufacturing facilities in Bhilai, Chhattisgarh • Strategically located in proximity to many clients 1 0 , 0 • Cumulative ~2,50,000 sq. ft. plot area, with land availability for future expansions 8 ,0 0 • 4
Slide 9: Clients
Clients Domestic Exports SHADEED IRON & STEEL CO. LLC SARTHAK METALS LIMITED | 9
Slide 10: Clients (Contd.)
Clients (Contd.) 20 10 YEAR+ RELATIONSHIPS Customer Profile FABRICATION UNITS 05 5 YEAR+ RELATIONSHIPS STEEL PLANTS 35% TOP 5 CLIENTS SALES CONTRIBUTION ~85% FOUNDRIES REPEAT BUSINESS SARTHAK METALS LIMITED | 10
Slide 11: Warehousing Capabilities
Warehousing Capabilities • Equipped with state-of-the-art warehousing capabilities • Ensuring uninterrupted and reliable supply of metallurgical solution to our clients Cored Wires Aluminium Flipping Coils • 1,500 Sq. Mt. material storage space • 2,800 Sq. Mt. material storage space • Establishing S
Slide 12: Leadership
Leadership Anoop Kumar Bansal Sanjay Shah Mayur Bhatt MANAGING DIRECTOR WHOLE-TIME DIRECTOR WHOLE-TIME DIRECTOR & CEO Mr Bansal has a Bachelors in Commerce degree Mr Shah is a Whole-Time Director and the head of Mr Bhatt is a Whole-Time Director and the Chief from Nagpur, as Managing Director Market
Slide 13: Board of Directors
Board of Directors Mr Sunil Kumar Agarwal Ms Rama Kohli Mr Sunil Dutt Bhatt Mr Dwadasi Venkata Giri CHAIRMAN & NON-EXECUTIVE, NON-EXECUTIVE, INDEPENDENT NON-EXECUTIVE, INDEPENDENT NON-EXECUTIVE, INDEPENDENT NON-INDEPENDENT DIRECTOR WOMAN DIRECTOR DIRECTOR DIRECTOR Mr Agarwal is the Chairman of the M
Slide 14: Strategic Drivers
STRATEGIC DRIVERS 15 INVESTMENT THESIS 16 STRENGTHS AND WEAKNESS 17 BUSINESS CANVAS S ART HAK M ET AL S L T D
Slide 15: Investment Thesis
Investment Thesis Industry tailwinds Expansion – Ramp-up – Cored Export Integration in Healthy financial Aluminum flipping wires opportunities value-chain and performance coils Diversification Indian steel industry The Company is planning Ramping up operations Getting export growth Evaluating opport
Slide 16: Strengths and Weakness
Strengths and Weakness STRENGTHS WEAKNESS • Among the leading players in metallurgical cored wires • Fragmented market • Strategically located facilities • Cyclicality of the steel industry • Strong clientele with India’s leading steel players • Working capital intensive operations • Long standing t
Slide 17: Business Canvas
Business Canvas Key Key Value Customer Customer Partnerships Activities Proposition Relationships Segmentation • Cordial relationships with • Manufacturing • Quality products for • Long standing customer • Steel plants suppliers metallurgical industry as per relations based on trust • Sales & market
Slide 18: Financial Summary
FINANCIAL SUMMARY 19 5-Y SUMMARY 20 P&L SUMMARY 21 BALANCE SHEET SUMMARY 22 CASH FLOW SUMMARY S ART HAK 23 MARKET STATISTICS M ET AL S L T D
Slide 19: 5 Years Summary
5 Years Summary Revenue from Operations Profit After Tax EBITDA & Equity & EBITDA Margins Debt to Equity (₹ IN CRORES) (₹ IN CRORES) (₹ IN CRORES & IN %) 1 8 .0 8 .0 % (₹ IN CRORES & TIMES) 7.0% 0.85 1 6 .0 6 0 0.83 0 .9 6.3% 7 .0 % 6.0% 5.7% 0.71 0 .8 5.2% 1 4 .0 5 0 6 .0 % 0 .7 1 2 .0 5 .0 % 0.58
Slide 20: P&L Summary
P&L Summary PARTICULARS ( ₹ I N C R O R E S ) FY17 FY18 FY19 FY20 FY21 Revenue from Operations 152.18 171.26 189.26 214.17 221.56 Total Income 153.87 172.90 190.83 215.26 222.08 Operating Expenses 143.57 160.95 177.27 202.93 205.96 EBITDA 8.61 10.31 12.00 11.24 15.60 EBITDA % 5.7% 6.0% 6.3% 5.2% 7.0
Slide 21: Balance Sheet Summary
Balance Sheet Summary PARTICULARS ( ₹ I N C R O R E S ) FY17 FY18 FY19 FY20 FY21 Shareholders' Funds 32.68 36.61 42.37 46.17 53.45 Non-Current Liabilities 1.29 2.53 3.25 2.38 7.35 Long Term Borrowings 1.00 2.28 2.75 1.61 6.61 Current Liabilities 28.77 26.00 38.22 27.72 30.64 Short Term Borrowings 26
Slide 22: Cash Flow Summary
Cash Flow Summary PARTICULARS ( ₹ I N C R O R E S ) FY17 FY18 FY19 FY20 FY21 Cash from Operating Activities 4.10 0.04 1.14 17.14 (0.56) Cash from Investing Activities (2.21) (1.52) (6.12) (2.61) (1.32) Cash from Financing Activities 5.50 (5.78) 6.89 (16.79) 4.05 Net Cash Flow 7.39 (7.27) 1.91 (2.26)
Slide 23: Market Statistics
Market Statistics SHAREHOLDING PATTERN Current Market Price ₹72.5 52 Week High/Low ₹84.9 / ₹15.2 26.62% Market Capitalization ₹99.2 in Crore Shares Outstanding 1.37 Crore 73.38% BSE Scrip Code 540393 Promoters Public *Shareholding data as of September 2021 Market price data as of 13th October 2021 S
Slide 24: Get in touch
Get in touch Anirudh Singhal Pratik Jain Sayam Pokharna Sarthak Metals Limited Sarthak Metals Limited The Investment Lab cfo@sarthakmetals.com cs@sarthakmetals.com sayam@theinvestmentlab.in SAFE HARBOR This document which has been prepared by Sarthak Metals Limited (the “Company”, “Sarthak”), have b
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