Star Cement Ltd. · NSE:STARCEMENT
Star Cement — Q1 FY2023 Earnings Presentation
29 slides from Star Cement's earnings presentation, June 2022
Slide 1: Creating a Better Tomorrow
CREATING A BETTER TOMORROW STAR CEMENT LIMITED An Integrated Cement Company NSE Ticker: STARCEMENT | BSE Ticker: 540575 | Bloomberg Ticker: STRCEM:IN Q1 Presentation | June 2022
Slide 2: Index
INDEX KNOW US BETTER: CORPORATE OVERVIEW BETTER PROSPECTS & POSSIBILITIES: INDIAN CEMENT INDUSTRY WHAT MAKES US BETTER: STRENGTHS & STRATEGIES PROMISING A BETTER TOMORROW: SUSTAINABILITY NUMBERS THAT SPEAK FOR US: FINANCIAL PERFORMANCE REVIEW 2
Slide 3: Know Us Better: Corporate Overview
KNOW US BETTER CORPORATE OVERVIEW 3
Slide 4: Star Cement at a Glance
STAR CEMENT AT A GLANCE As one of the most renowned and leading names among Eastern India's cement manufacturers, Star Cement enjoys a strong brand recall. The Company caters to significant cement markets across the region and functions across its six manufacturing units spread in the Eastern India
Slide 5: Our Star Products
OUR STAR PRODUCTS ORDINARY PORTLAND PORTLAND POZZOLANA ANTI RUST CEMENT CEMENT (OPC) CEMENT (PPC) (ARC) OPC 43: PPC: ARC: Suitable for construction where the grade Ideal for: A highlight of Star Cement’s of concrete is upto M-30. Mass concreting works innovative product line and a OPC 53: Masonry mo
Slide 6: A Journey That Speaks of Expansion
A JOURNEY THAT SPEAKS OF EXPANSION Our growth is reflected in how our manufacturing capacities have expanded through the years. Here is a year- wise snapshot summarising our progress and additions to our cement and clinker capacities. 0.40 0.60 0.80 2.60 2.80 CLINKER FY 04-05 FY 07-08 FY 10-11 FY 12
Slide 7: Better Prospects & Possibilities: Indian Cement Industry
BETTER PROSPECTS & POSSIBILITIES INDIAN CEMENT INDUSTRY 7 7
Slide 8: Indian Cement Industry's Prominence & Opportunities
INDIAN CEMENT INDUSTRY’S PROMINENCE & OPPORTUNITIES 381 MT (E) CONCENTRATED CEMENT MARKET (%) annual cement The Indian Cement Industry stands second, following China, production in in terms of production on global-scale FY 21-22 in India 195 KG Lesser per capita consumption widens growth prospects f
Slide 9: Burgeoning Eastern India Opportunities
BURGEONING EASTERN INDIA OPPORTUNITIES IN THE EASTERN REGION PER CAPITA CEMENT Cement consumption in the Eastern region (131 Kg) is although lower than the national CONSUMPTION (KGS) average (195 Kg), the market is likely to witness positive change in near future. Thereby, leading to a higher contri
Slide 10: Eastern India Opportunities: Serving a Better Tomorrow
EASTERN INDIA OPPORTUNITIES: SERVING A BETTER TOMORROW NATIONAL HIGHWAY WORKS Ongoing National Highway works of 1,300 km in the state of Assam to further Length: 1,300 km witness a noticeable amount of investment * (Source: https://economictimes.indiatimes.com/news/politics-and-nation/budget-allocat
Slide 11: What Makes Us Better: Strengths & Strategies
WHAT MAKES US BETTER STRENGTHS & STRATEGIES 11 11
Slide 12: Strengthening Our Tomorrow
STRENGTHENING OUR TOMORROW OUR CURRENT MANUFACTURING OUR CURRENT MANUFACTURING UNITS & CAPEX CAPABILITIES PLAN 2.8 MTPA 5.7 MTPA Expanding two grinding units in Assam CLINKER CEMENT 1 grinding unit PRODUCTION PRODUCTION in Siliguri 1 cement manufacturing CAPACITY CAPACITY in Guwahati 4 manufacturing
Slide 13: Branding & Promotion: Endorsing a Better Tomorrow
BRANDING & PROMOTION: ENDORSING A BETTER TOMORROW ANNUAL ADVERTISING & BRAND PROMOTION INVESTMENT AKSHAY KUMAR, AS OUR BRAND AMBASSADOR, BOOSTED OUR BRAND VISIBILITY Advertisement and Branding Expenses (₹ in Cr) 60 51.82 50 40 35.3 29 30 21.9 20 15.23 10 0 FY 19 FY 20 FY 21 FY 22 Q1, FY 23 ₹ 15.23 C
Slide 14: Advancing with Technology
ADVANCING WITH TECHNOLOGY STAR LOTUS APP (6000+ DIGITAL DISPLAYS: USERS): Impacting our in-store branding to Assisting contractors with classification, enhance brand information and visibility site verification, gift distribution, and along with timely updates on relevant journey, for bettering thei
Slide 15: Wider Reach for a Better Tomorrow
WIDER REACH FOR A BETTER TOMORROW STRONG SUPPLY CHAIN & DISTRIBUTION NETWORK We emphasize on strengthening being among the first one to identify the disparity in demand and supply forces, through a strong supply chain & distribution network DISTRIBUTION NETWORK SPREAD EASY AVAILABILITY OF RAW MATERI
Slide 16: Wider Reach for a Better Tomorrow
WIDER REACH FOR A BETTER TOMORROW IMPROVING RAIL TRANSPORT CONNECTIVITY: Railway siding at our Siliguri Plant was completed DISTRIBUTION NETWORK SPREAD through Public - Private partnership Mode. The new ACROSS 10 STATES, siding will further enhance Supply Chain capability of LEADING TO AN EDGE OVER
Slide 17: The Star Shines Bright and Strong
THE STAR SHINES BRIGHT AND STRONG • Enjoys a leadership position in the North East with market share of more than 23% • Gradually increasing share in the Eastern region through concerted efforts DISTRIBUTION NETWORK SPREAD • Strong dealer and distributor network built over the years, steering year-o
Slide 18: Promising a Better Tomorrow: ESG
PROMISING A BETTER TOMORROW ENVIRONMENT, SOCIAL & GOVERNANCE 18
Slide 19: Being Responsible Today for a Better Tomorrow: Environment
BEING RESPONSIBLE TODAY FOR A BETTER TOMORROW: ENVIRONMENT Lowering CO2 Footprint Reducing Energy Consumption Reducing Carbon Emission EDUCATION Developed green belt in the surrounding areas Replaced 400W HPSV flood light fitting with AFR (Bamboo chips) & Biomass used to of our plant with evergreen
Slide 20: CSR – Assam & Meghalaya Donation to CM Relief Fund
CSR – ASSAM & MEGHALAYA DONATION TO CM RELIEF FUND Assam & Meghalaya CM’s Relief Fund Star Cement has donated Rs 1 Crore to the Chief Minister’s Relief EDUCATION Fund to aid the ongoing flood relief measures in Assam. And also initiated a distribution drive of food and other essential materials in v
Slide 21: CSR – Assam, Meghalaya & West Bengal
CSR – ASSAM, MEGHALAYA & WEST BENGAL HEALTH & SANITATION LIVELIHOOD DEVELOPMENT ❖ WASTE MANAGEMENT PROJECT: Collection of garbage from Lumshnong, ❖ STAR USHA TAILORING CENTRE: Regular classes for Star USHA Tailoring School Tongseng and Umsahi village is going on as per schedule. are going on,16 trai
Slide 22: CSR – Assam, Meghalaya & West Bengal
CSR – ASSAM, MEGHALAYA & WEST BENGAL EDUCATION RURAL DEVELOPMNENT ❖ SCHOLARSHIP PROGRAMME: 240 out of 309 students appeared in Star ❖ STAR ROSHNI: The Installation of solar street lights at Lumshnong & Installation Scholarship exam on 21st June at Star Public School. The result will be declared on o
Slide 23: Good Governance Promising a Better Tomorrow
GOOD GOVERNANCE PROMISING A BETTER TOMORROW Our Promoters Team Mr. Sajjan Bhajanka Mr. Rajendra Chamaria Mr. Sanjay Agarwal Chairman & Managing Director Vice Chairman & Managing Director Managing Director Experience: 50 years’ experience Experience: 36 years’ experience in Experience: 36 years’ indu
Slide 24: Good Governance Promising a Better Tomorrow (Contd.)
GOOD GOVERNANCE PROMISING A BETTER TOMORROW (Contd.) Our Management Team Mr. Pankaj Kejriwal Mr. Manoj Agarwal Mr. Jyoti S. Agarwal Chief Operating Officer Chief Financial Officer Chief Marketing Officer Qualification: Chemical Engineer Qualification: Associate Chartered Qualification: M.Com Experie
Slide 25: Numbers That Speak for Us
NUMBERS THAT SPEAK FOR US FINANCIAL HIGHLIGHTS 25 25
Slide 26: Highlights That Matter: Consolidated Financial Highlights
HIGHLIGHTS THAT MATTER: CONSOLIDATED FINANCIAL HIGHLIGHTS (₹ in Crs) Particulars Q1 FY-23 Q1 FY-22 Q4 FY-22 FY-22 Equity Share Capital 40 41 40 40 Reserves & Surplus 2196 2101 2128 2128 Net Worth 2236 2142 2168 2168 Net Operating Revenue 666 511 749 2222 EBIDTA 138 101 123 379 PBT 105 74 85 244 Tax
Slide 27: Highlights That Matter: Quarterly Financial Highlights
HIGHLIGHTS THAT MATTER: QUARTERLY FINANCIAL HIGHLIGHTS EBIDTA (Rs in Crs) Sales Volume (MTPA) 138 0.98 37% 29% 101 0.76 Q1 FY-23 Q1 FY-22 Q1 FY-23 Q1 FY-22 Net Operating Revenue (Rs in Crs) EPS (Rs) 666 30% 511 1.67 1% 1.65 Q1 FY-23 Q1 FY-22 Q1 FY-23 Q1 FY-22 27
Slide 28: Safe Harbour
SAFE HARBOUR This quarterly investor presentation has been prepared by Star Cement Limited (‘Star Cement’) and does not constitute a prospectus or placement memorandum or an offer to acquire any securities. This presentation or any other documentation or information (or any part thereof) delivered o
Slide 29: Thank You
THANK YOU Mr. Manoj Agarwal Corporate Office ‘Century House’, 2nd Floor investors@starcement.co.in P-15/1, Taratala Rd, 2nd Floor, CPT www.starcement.co.in Colony Taratala, Kolkata, West Bengal 700 088 29