Maithan Alloys Ltd. · NSE:MAITHANALL
Maithan Alloys — H1 FY2021 Earnings Presentation
25 slides from Maithan Alloys's earnings presentation, November 2020
Slide 1: Cover letter to stock exchanges
lSO 9001 : 2008 COlrlPAllY Registered Ofiice : ldealCentre,4th Floor , 9, A.J.C. Bose Road, Kotkata - 700 017 T (033) 4063 2393 F (033) 22e0 0383 E offt ce@maithanalloys.com 23'aNovember,2O2O _ Wunrvrar.maithanalloys.com CIN : 127'1 01W81 985PLCO395O3 112j, The Secretary Listing Department The Calcu
Slide 2: Investor Presentation November 2020
Investor Presentation November 2020
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Maithan Alloys Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securi
Slide 4: Vision, Mission, Values
VISION MISSION VALUES To be India’s premiere Alloy Company ▪ Commitment To be India’s premiere Alloy Company that is built on the solid foundation of shareholder trust, customer commitment, ▪ Promising Excellent Shareholder Value ▪ Loyalty employee satisfaction and sustainable communities ▪ Nurturin
Slide 5: Maintaining the Maithan Edge
Maintaining the Maithan Edge
Slide 6: Key Differentiators
Key Differentiators Optimising Facilities Efficiency Strong Credibility Diversified for Maximising Expansion Plans Customer Base Returns International clients across 35 Lowest in the Cost Curve Source raw materials based on Strong credibility in the countries our product mix which largely Organic &
Slide 7: Maithan Edge
Maithan Edge Largest Manufacturer 20 Years Rich Experience Niche Products Robust Balance Sheet Net Cash Company Basket of the most Credit Rating: India’s largest Manganese Two decades of CARE AA Alloy Producer and experience and valuable Techno- CRISIL AA Exporter continuous growth Commercial Produc
Slide 8: Product Offerings
Product Offerings Ferro alloys enhance steel strength, durability, anti-corrosion and anti-stain properties and acts as de-oxidant for Steel Manufacturing Ferro Manganese Ferro Silicon Silicon Manganese • An alloy of iron and manganese • An alloy of iron and silicon • An alloy of silicon and mangane
Slide 9: State of the Art Manufacturing Facilities
State of the Art Manufacturing Facilities Kalyaneshwari Visakhapatnam (SEZ) 48.75 MVA Byrnihat 72.0 MVA 16.5 MVA • Smelters: 2 x 5.0 MVA ; 1 x 6.5 MVA; 1 x 8.25 MVA ; • Smelters: 2 x 8.2 MVA • Smelters: 4 x MVA 18.0 MVA 2 x 12.0 MVA • Products: Ferro Silicon • Products: Ferro Manganese/ Silicon • Pr
Slide 10: Self Sustaining Business Model
Self Sustaining Business Model Input of sized and graded Raw Material We have an ability to generate a Larger Throughput Feed in day bins through conveyors from our manufacturing facilities Automated Batch preparation and Charge into Furnace Reaction in furnace and discharge of Discharge of Ferro Ma
Slide 11: Strong Client Relationships
Strong Client Relationships Association with SAIL and JSL being more than a decade Shift of focus from ‘Stable’ Europe to ‘Growing’ Asia helping in better realizations ~100% of Domestic clients are associated with the Company for over 7 years 75% Repeat Clients Long term relationships with clients o
Slide 12: Asian Economies to drive the Global Steel Demand
Asian Economies to drive the Global Steel Demand Global Steel Demand 2021 Forecast : 1,795.1 Mn T EU USMCA 11.0% 6.7% CIS 5.5% It caters 75% of Global Steel demand Avg. rate of growth is Asia, expected to be in Oceania & Asia Ex-China Growth is the range AFRICA Middle East expected to be ~10.7% ~4%-
Slide 13: Advantage India
Advantage India 100 % FDI allowed in the 2017 Budget outlay of ~ ‘Housing For All’ to drive mining sector & exploration Rs. 4 tn in infrastructure housing demand thereby of metal & non-metal ores to drive domestic steel benefitting steel industry under the Automatic Route consumption Anti-dumping Du
Slide 14: Advantage Maithan
Advantage Maithan Alloy Producers to benefit from NSP 2017 Why Advantage Maithan… Per Capita Capacity (Mn MT) Production (Mn MT) Consumption (kg) Operating Better Product Strong Customer Efficiency Mix Relationships CAGR +6% CAGR +7% CAGR +7% 300 255 158 122 92 61 Gaining Market Share Globally and D
Slide 15: Strong Leadership Team
Strong Leadership Team… Mr. S. C. Agarwalla Mr. Subodh Agarwalla Mr. Sudhanshu Agarwalla Chairman and Managing Director Whole Time Director and CEO President and CFO • 30 years of rich experience in Ferro Alloys industry • B.Tech from IIT BHU and M.B.A. from IIM Bangalore • M.B.A. from XLRI Jamshedp
Slide 16: An Experienced Board
… with an Experienced Board Mr. S. C. Agarwalla Mr. Subodh Agarwalla Mr. Nand Kishore Agarwal Mr. Ashok Bhandari (Chairman and Managing Director) (Whole Time Director and CEO) (Independent Director) (Independent Director) • 30 years of rich experience in Ferro Alloys industry • B.Tech from IIT BHU a
Slide 17: Financials
maithan alloys Itd eee Financials
Slide 18: Maintaining Sustainable Margins
Maintaining Sustainable Margins Manufacturing EBITDA Operating EBIT Manufacturing PBT Manufacturing EBIT 22.5% 22.2% 20.3% 19.1% 20.5% 18.6% 18.4% 19.2% 16.0% 17.3% 18.3% 16.4% 16.1% 13.1% 15.5% 15.4% 12.4% 13.8% Long-term sustainable Manufacturing EBIT margin 12.2% range is ~14% 11.8% 12.0% 9.8% 9.
Slide 19: Doing Profitable Business is the key
Doing Profitable Business is the key… Debt & Current Investments Operating RoCE (%) The Company proposes to incorporate a wholly owned subsidiary to take Higher Return Ratio is because of prudent capital allocation and superlative operating up the announced expansion project, primarily for manganese
Slide 20: Consolidated Financials – Q2 FY21
Consolidated Financials* – Q2 FY21 Particulars (Rs. Crs.) Q2 FY21 Q2 FY20 Q1 FY21 H1 FY21 H1 FY20 Revenue 409 470 266 675 956 Raw Material 213 276 128 341 561 Employee Expenses 10 10 8 18 20 Power 92 94 68 160 189 Other Expenses 23 37 19 43 61 Operating EBITDA 71 53 41 113 125 Depreciation 4 4 4 8 8
Slide 21: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (Rs. Crs.) H1 FY21* FY20* FY19* FY18* FY17* FY16 Revenue (Net of Excise Duty/ GST) 675 1,831 1,988 1,879 1,342 1,151 Raw Material 341 1,067 1,126 970 628 597 Employee Expenses 18 42 44 45 33 23 Power 160 361 373 367 280 315 Other Expenses 43 128 122 1
Slide 22: Consolidated Balance Sheet as on 30th September, 2020
Consolidated Balance Sheet as on 30th September, 2020 Particulars (Rs. Crs.) Sep-20 Mar-20 Particulars (Rs. Crs.) Sep-20 Mar-20 Equity 1,379.9 1,292.8 Non-Current Assets 256.9 264.7 Equity share capital 29.1 29.1 Property, plant and equipment 188.9 194.9 Capital Work-in-Progress 0.0 1.1 Other Equity
Slide 23: Consolidated Cashflow Statement
Consolidated Cashflow Statement Particulars (Rs. Crs.) Sep-20 Sep-19 Net Profit Before Tax 115.6 123.0 Adjustments for: Non Cash Items / Other Investment or Financial Items -9.6 2.3 Operating profit before working capital changes 106.0 125.3 Changes in working capital 98.5 -121.1 Cash generated from
Slide 24: Performance Snapshot
Performance Snapshot Operating Income (Rs. Crs.) EBITDA (Rs. Crs.) EBIT (Rs. Crs.) 988 1,026 201 208 201 962 956 188 903 875 793 169 166 161 159 156 148 675 604 125 117 547 549 108 112 104 100 64 63 50 52 52 38 H1FY16 H2FY16 H1FY17 H2FY17 H1FY18 H2FY18 H1FY19 H2FY19 H1 FY20 H2 FY20 H1 FY21 H1FY16 H2
Slide 25: Thank You
THANK YOU Contact Details: Investor Relations Advisors Company Strategic Growth Advisors Pvt. Ltd. Maithan Alloys Ltd. CIN: U74140MH2010PTC204285 CIN: L27101WB1985PLC039503 Mr. Rahul Agarwal/ Ms. Khushbu Shah Mr. Rajesh K. Shah rahul.agarwal@sgapl.net / khushbu.shah@sgapl.net rajesh@maithanalloys.co