Agi Greenpac Limited · NSE:AGI
Agi Greenpac — HSIL — Investor Presentation (August 2017)
32 slides from Agi Greenpac's investor presentation, August 2017
Slide 1: HSIL Limited Corporate Presentation August 2017
POWER OF PLATFORMS HSIL Limited Corporate Presentation August 2017 PROFITABLE SCALABLE SUSTAINABLE
Slide 2: Disclaimer
Disclaimer • This presentation is strictly confidential and may not be copied, published, distributed or transmitted. The information in this presentation is being provided by HSIL Limited (also referred to as the ‘Company’). By attending the meeting where this presentation is being made or by readi
Slide 3: Power of Platforms
Power of Platforms • At HSIL Limited, we have transformed our business around distinctive growth platforms • These platforms comprise Building Products, Consumer Products, Packaging Products and Retail Division • We believe that national economic growth will translate fastest into broad-based consum
Slide 4: HSIL. Platforms. Philosophy. Purpose.
HSIL Limited is more than a company. It is a trustmark HSIL. Platforms. Philosophy. Purpose. A trustmark for world-class product quality, availability, accessibility and service Mission: Helping our Core purpose: When consumer buy into HSIL, they get more than a Passionately strive to customers adop
Slide 5: HSIL. This is where we come from
HSIL. This is where we come from • Established in 1960 as Hindusthan Twyfords Ltd. • Recognized by the ‘hindware’ brand name 2016-17 revenue Ownership profile Break up *As on 30th June 2017 • First Indian sanitaryware company featured in ‘Fortune India 500’ 2014 list • Four key verticals: o Building
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Slide 7: HSIL
HISIL
Slide 8: HSIL
HSIL 8
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Slide 10: HSIL strategy in action
HSIL strategy in action We transformed our DNA with the singular objective to enhance value We are pushing every business frontier The objective is to build a stronger company Company with enhanced focus, controls, liquidity, de-risking and sustainability The four pillars of our reinvention Balance
Slide 11: The Power of Intangibles
The Power of Intangibles • The value of brands The value of brands • Specially trained Hindware in-store experts (in • HSIL building business around brands select stores) • Distribution channels • Decades of experience in building brands from • Focused verticals scratch HSIL’s brand building approac
Slide 12: The Power of Intangibles
The Power of Intangibles • The value of brands Distribution channels • Distribution channels • Three distribution channels (sanitaryware/faucets, consumer products and retail) • Focused verticals • Pipes distribution channel (under development): To address hardware distribution • Channels to launch
Slide 13: The Power of Intangibles
The Power of Intangibles • The value of brands HSIL’S OPERATING PLATFORM • Distribution channels Distribution Brands • Focused verticals channels Overview Pricing Better terms Growing Superior cost product power of trade amortisation • Originally sanitaryware and container throughput glass company •
Slide 14: HSIL. Enhancing value for eco-system
HSIL. Enhancing value for eco-system ENHANCING SHAREHOLDER VALUE Pioneer in Focus on Lifestyle- Extensive Indian building Market Pricing enhancing distribution sanitaryware enduring leadership power products network industry brands Building new Asset-light Surplus Debt Profitable Superior terms dist
Slide 15: How we have enhanced value over the years
How we have enhanced value over the years Gross Sales (` in crore) EBITDA (` in crore) EBITDA MARGIN (NET SALES) (` in crore) FY17 2,198.03 FY17 293.85 FY17 14.38 FY16 2,054.90 FY16 337.43 FY16 17.71 FY15 1,965.03 FY15 345.05 FY15 18.95 FY14 1,855.71 FY14 271.12 FY14 15.79 FY13 1,681.89 FY13 264.10
Slide 16: Platforms overview: Building products
Platforms overview: Building products Building Products division. Flagship vertical. 3 sub-segments Sanitaryware Pipes • Pioneering; most trusted; innovative; world-class quality; • Objective: emerge as complete bathroom solutions provider timely service • PVC pipes and fittings market comprises PVC
Slide 17: Product basket
Platforms overview: Building Products Division Product basket Comprehensive Building Products portfolio Pipes and Sanitaryware Faucets Wellness Allied Products fittings Water Closets Showers Bath tubs Concealed CPVC pipes Cisterns Wash Basins Bathroom Shower panels UPVC pipes faucets Seat covers Ped
Slide 18: Manufacturing infrastructure
Platforms overview: Building Products Division Manufacturing infrastructure Manufacturing infrastructure (million pieces per annum) Products Facility Capacity Bahadurgarh (Haryana) 2.0 Sanitaryware Bibinagar (Telangana) 2.2 Kaharani (Rajasthan) 2.5 Faucets Bhiwadi (Rajasthan) 0.5 (temporarily shutdo
Slide 19: Key institutional clients
Platforms overview: Building Products Division Key institutional clients Most of the sales to institutional clients routed through dealers 19
Slide 20: Competitive strengths
Platforms overview: Building Products Division Competitive strengths Experience Capacity Range Reach More than five Among largest One of the One of the and a half sanitaryware widest Building widest decades capacities in Products distribution India offerings (across networks (3,200+ price points) de
Slide 21: Presence across the price spectrum
Platforms overview: Building Products Division Presence across the price spectrum Luxury Super Premium Premium Mass 21
Slide 22: Platforms overview: Consumer products
Platforms overview: Consumer products • Leveraged the Kitchen appliances • Market driven by increasing disposable incomes, low ownership cost and affordability • Demand driven by changing lifestyles, working Hindware brand and population and expanding middle-class • Residential air cooler market gro
Slide 23: Competitive Strengths
Platforms overview: Consumer Products Division Competitive Strengths Recall: Products are marketed under Hindware brand, enjoying brand equity World-class products: The company’s products are sourced from leading global players Pioneering: Launched products around superior technology features Reach:
Slide 24: Platforms overview: Packaging Products
Platforms overview: Packaging Products HSIL packaging Container glass packaging recyclability ensure that PET is considered safe • HSIL, one of the leading container glass for storing water and soft drinks among other products business things manufacturer in India comprises glass • Indian container
Slide 25: Manufacturing infrastructure Key clients
Platforms overview: Packaging Products Division Manufacturing infrastructure Manufacturing Infrastructure Products Facility Capacity Glass containers (tonnes Sanathnagar, Hyderabad, (Telangana) 650* per day) Bhongir (Telangana) 950 PET Bottles (tonnes per Selaqui (Uttarakhand) 2,350 annum) Dharwad (
Slide 26: Competitive strengths
Platforms overview: Packaging Products Division Competitive strengths Experience: Multi-decade presence helps decode emerging trends Sectoral presence: Multi-sector service capability Proximity: Packaging plants proximate to customer filling locations Range: Wide range of products (100+ PET bottles
Slide 27: Platforms overview: Retail
Platforms overview: Retail • HSIL operates 15 large retail stores pan-India • Brand name ‘EVOK – Homes With Soul’ • Stores showcase over 20,000+ world class contemporary products • Products comprise home furniture, soft furnishing, home décor & accessories, modular kitchens and modular wardrobes • E
Slide 28: HSIL. Accreditations & credentials
HSIL. Accreditations & credentials Certifications OHSAS – ISO – ISO – FSSC – ISO – 18001 : 2007 9001 : 2008 14001 : 2004 22000 15378 : 2011 Key Awards 28
Slide 29: Promoters
Promoters Dr. Rajendra Kumar Somany Mr. Sandip Somany Chairman and Managing Director Vice Chairman and Managing Director • Commerce graduate from St. Xavier’s College, Calcutta • Commerce graduate and a diploma holder in Ceramic University Manufacturing Technology from the US • Provides strategic di
Slide 30: Board of Directors
Board of Directors Dr. Rajendra Kumar Somany in the Supreme Court of India, senior partner at Khaitan & Co., Chairman and Managing Director one of the leading law firms in India. President of the Indian Council of Arbitration, New Delhi Mr. Sandip Somany Vice Chairman and Managing Director Dr. Raine
Slide 31: Management Team
Management Team Key Managerial Personnel Mr. Sandeep Sikka Mr. Rakesh Kaul President (CPD) Chief Financial Officer B.Com (Hons), ACA, ICWA with over 22 years of experience in all aspects of finance MFT, MBA, B.Sc. with over 20 years of experience in consumer businesses, media, including raising grow
Slide 32: HSIL LIMITED
HSIL LIMITED Registered Office 2, Red Cross Place, Kolkata - 700 001 Tel: +91 33 22487406/07 E-mail: hsilinvestors@hindware.co.in Corporate Office 301- 302, III Floor, Park Centra, Sector 30, N.H. 8, Gurugram, Haryana 122001 Tel: +91 124 4779200, Fax: +91 124 4292898, +91 124 4292899