Slide 1: Ambuja Cement filing cover letter
Ambuja Cement ACL:SEC: 24th July, 2020 Bombay Stock Exchange Limited National Stock Exchange of India Ltd., Phiroz Jeejeebhoy Towers, Plot No.C/1 'G' Block Dalal Street, Mumbai – 400 023 Bandra – Kurla Complex Bandra East, Mumbai 400 051 Deutsche Bank Societe de la Bourse de Luxembourg, Trust Compan
Slide 2: Second quarter and First half of the Year 2020 results
Second quarter and First half of the Year 2020 results 24th© July LafargeHolcim Ltd 2015 2020
Slide 3: Contents
CONTENTS Performance Highlights Performance Analysis Standalone and Consolidated results Products Portfolio Ambuja Cement Foundation – Community outreach measures 2
Slide 4: Q2 2020 Performance Highlights
Q2 2020 PERFORMANCE HIGHLIGHTS Q2 2020 Robust EBITDA margin expansion; up by 380 bps to 27.8% EBITDA of ₹ 595 crore only saw a decline of 15% Profit after tax up by 10% to ₹ 453 crore Net Sales de-grew 26% due to Covid-19 situation Cement realisations were up 2% YoY Total Operating expenses declined
Slide 5: H1 2020 Performance Highlights
H1 2020 PERFORMANCE HIGHLIGHTS H1 2020 EBITDA Margin at 24.4% up by 420 bps EBITDA of ₹ 1198 crore ahead of 2019 by 3% EBITDA PMT increased by 27% to ₹ 1205 Profit after tax at ₹ 852 crore up by 1.6% Net Sales de-grew 15% due to Covid-19 situation Cement realisations up 3.7% YoY Total Operating expe
Slide 6: Contents
CONTENTS Performance Highlights Performance Analysis Standalone and Consolidated results Products Portfolio Ambuja Cement Foundation – Community outreach measures 5
Slide 7: Q2 2020 Performance Analysis
Q2 2020 PERFORMANCE ANALYSIS Sales Volumes and Net Sales Million Tonnes – Cement & Clinker ₹ Cr. -29% -26% 6.54 3,038 2,912 5.87 5.77 2,760 2,556 5.26 2,144 4.19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Sales Volumes Net Sales Volume de-grew 29%, resultant net sales impacted by 26
Slide 8: EBITDA ₹ Cr and EBITDA / Tonne trend
EBITDA ₹ Cr and EBITDA / Tonne trend ₹ Cr. ₹/T 232/t -15% 19% 698 1422 603 595 1190 548 1047 440 837 837 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 EBTDA EBITDA PMT EBITDA/Tonne increased 19% for the quarter i.e. by ₹ 232/t on account of higher realisations coupled with lower raw ma
Slide 9: Key Costs - Power & Fuel and Freight & Forwarding Costs trend
Key Costs - Power & Fuel and Freight & Forwarding Costs trend ₹/T ₹/T 48/t 59/t -5% -5% 1,138 1,261 1,292 1,281 1,287 1,037 1,202 1,023 975 989 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Power & Fuel Freight & Forwarding Power & fuel sees reduction on account of low cost of fuel, Sa
Slide 10: Key Costs - Raw Material Costs and Other Expenses trend
Key Costs - Raw Material Costs and Other Expenses trend ₹/T ₹/T 66/t 133/t -16% 485 -16% 438 1001 401 390 840 862 335 810 677 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Other expense Raw Material Raw Material costs decreased YoY mainly due to reduction in rates of Fly & Gypsum Despi
Slide 11: Total cost sees a reduction of 3% YoY (Q2 20 vs Q2 19)
Total cost sees a reduction of 3% YoY i.e. Q2 20 vs Q2 19 ₹/t -3% Total Cost 3893 3778 Raw Material 401 335 Employee Cost 288 357 1037 Power & Fuel 989 1261 1202 Freight & Forwarding Other Expense 810 677 Purchase of Traded goods 40 112 Change in inventory 57 106 Q2 19 Q2 20 Total Costs saw a declin
Slide 12: Total cost sees a reduction of 1% YoY (H1 20 vs H1 19)
Total cost sees a reduction of 1% YoY i.e. H1 20 vs H1 19 ₹/t -1% Total Cost 3,874 3,826 Raw Material 395 395 Employee Cost 274 323 Power & Fuel 1,075 981 1,286 1,252 Freight & Forwarding Other Expense 791 784 Purchase of Traded goods Change in inventory 26 27 5 86 H1 19 H1 20 Total Costs saw a decl
Slide 13: Contents
CONTENTS Performance Highlights Performance Analysis Standalone and Consolidated results Products Portfolio Ambuja Cement Foundation – Community outreach measures 12
Slide 14: Standalone Results: Apr-June 2020
Standalone Results: Apr-June 2020 EBITDA Margin expanded by 4.2 pp despite volume de-growth by 18.4% Particulars UoM Apr- Apr- ∆ % Jan-Jun Jan-Jun ∆ % Jun Jun 2019 2020 2019 2020 Sales Volume MnT 5.82 4.19 -28.1% 12.19 9.95 -18.4% Price (Cement) ₹/bag 251 257 2.2% 238 247 3.7% Comments Q2’19 vs Q2‘2
Slide 15: Consolidated Results: Apr-Jun 2020
Consolidated Results: Apr-Jun 2020 Particulars UoM Apr-Jun Apr-Jun ∆% Jan-Jun Jan-Jun ∆% 2019 2020 2019 2020 Cement Volume MnT 12.96 8.66 -33.2% 26.80 20.85 -22.2% Sales ₹ Cr 6,920 4,544 -34.3% 13,614 10,673 -21.6% Revenue from operations ₹ Cr 7,074 4,644 -34.3% 13,905 10,894 -21.7% Operating Expens
Slide 16: Contents
CONTENTS Performance Highlights Performance Analysis Standalone and Consolidated results Products Portfolio Ambuja Cement Foundation – Community outreach measures 15
Slide 17: Ambuja Product Portfolio
AMBUJA PRODUCT PROTFOLIO 16 STRENGTH FOR THE CORE Ambuja Cement Fa) 2 t a ef C=] THE SCIENCE < build te = = mae ~ ani — i FY IMP (Instant Mix Proportion): Computer aided mix designs Git ala, i (Sncieeua ad ha Fig pose’ Mab ig OF MAKING is Ambuja Certhed Tecnology Wings the tectnigies wed in highrse
Slide 18: Contents
CONTENTS Performance Highlights Performance Analysis Standalone and Consolidated results Products Portfolio Ambuja Cement Foundation – Community outreach measures 17
Slide 19: Community Outreach through Ambuja Foundation
Community Outreach through Ambuja Foundation Continued Efforts of programs inspite of the lockdown and restrictions(1 of 2) 18
Slide 20: Community Outreach through Ambuja Foundation
Community Outreach through Ambuja Foundation Quick response help communities prepare for COVID (2/2) 19
Slide 21: Disclaimer
DISCLAIMER Cautionary statement regarding forward-looking statements This presentation may contain certain forward-looking statements relating to Ambuja Cements Ltd. (“Ambuja”, or “Company”) and its future business, development and economic performance. These statements include descriptions regardin
Slide 22: Confidential – Not to be distributed
Confidential – Not to be distributed