Prakash Industries Limited · NSE:PRAKASH
Prakash Industries — Q3 FY2018 Earnings Presentation
23 slides from Prakash Industries's earnings presentation, February 2018
Slide 1: Q3 & 9M FY18 Result Presentation
Prakash Industries Limited People... Prosperity... Progress Q3 & 9M FY18 Result Presentation
Slide 2: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Prakash Industries Limited (the “Company”) solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall n
Slide 3: Agenda
Agenda 01 Result Highlights 02 Company Overview 3
Slide 4: Result Highlights
Result Highlights 4
Slide 5: Robust Performance
Robust Performance Revenue (Rs. Cr) EBITDA (Rs. Cr) PAT (Rs. Cr) 726 EBITDA EBITDA Margin (%) PAT PAT Margin (%) 160 152 25. 0% 120 16. 0% 101 140 124 20. 0% 100 14. 0% 650 648 120 109 20.9% 13.9% 12. 0% 19.1% 80 65 628 100 15. 0% 59 10. 0% 80 68 15.1% 60 10.0% 8.0 % 60 10. 0% 40 34 8.2% 6.0 % 40 9.
Slide 6: Financial Highlights – Q3FY18
Financial Highlights – Q3FY18 Revenue (Rs. Cr) EBITDA (Rs. Cr) PAT (Rs. Cr) +460% YoY +55% YoY +143% YoY 726 152 101 469 63 17 Q3FY17* Q3FY18 Q3FY17 Q3FY18 Q3FY17 Q3FY18 * Revenue for Q3FY17 adjusted as per GST 6
Slide 7: Financial Highlights – 9MFY18
Financial Highlights – 9MFY18 Revenue (Rs. Cr) EBITDA (Rs. Cr) PAT (Rs. Cr) +401% YoY +22% YoY +119% YoY 234 386 2,096 1,716 176 47 9MFY17 9MFY18 9MFY17 9MFY18 9MFY17 9MFY18 7
Slide 8: Business Updates
Business Updates Sales Realisation at all time high • During Q3FY18, Domestic steel and ferro alloys prices witnessed a steep rise of more than 20% Growth in Sales Volumes • During Q3FY18, Sales volume of semi-finished & finished steel products recorded a growth of over 39% YoY • During Q3FY18, Sale
Slide 9: Debt Updates
Debt Updates Next Phase of Growth in Steel • Plans to expand its 1.2 Mn tonnes p.a. integrated steel plant capacity to 3 Mn tonnes p.a. at its existing location in Champa, Chhattisgarh over the next 5 years in a phased manner Reduction of Debt • Reduced its Debt by around Rs. 160 Crores during 9MFY1
Slide 10: Profitability Highlights
Profitability Highlights Rs. in Cr Q3FY18 Q3FY17 YoY 9MFY18 9MFY17 YoY FY17 Revenues 726 521 39% 2,096 1,716 22% 2,415 Other Income 2 1 8 2 3 Total Income 727 521 40% 2,105 1,718 22% 2,418 Raw Material 448 308 1,280 1,062 1,482 Employee Expenses 49 37 139 112 155 Other Operating Expenses 79 114 300
Slide 11: Balance Sheet Highlights
Balance Sheet Highlights Rs. Crore Sep-17 Mar-17 Rs. Crore Sep-17 Mar-17 Shareholder’s Funds 2,398 2,221 Non-current assets 3,114 3,093 Share capital 153 139 Fixed assets 2,840 2,771 Other Equity 2,245 2,082 Non Current Tax Asset 3 3 Other non-current assets 272 319 Non-current liabilities 607 694 C
Slide 12: Company at Glance
Company at Glance 12
Slide 13: Company Overview
Company Overview One of the Largest Integrated Steel Manufacturers in India Strategically located plants in Chhattisgarh, one of the major coal and Iron ore belts Captive Iron ore mines in Odisha & Chhattisgarh; Step towards Backward integration 230MW captive power plant at its integrated steel plan
Slide 14: Diversified Business Segments
Diversified Business Segments Steel Power PVC Pipes 14
Slide 15: Integrated Steel Business
Integrated Steel Business 01 Fully Integrated steel plant at Chhattisgarh 02 Produces steel through coal based Sponge Iron Route ; Technical collaboration with Lugri GmbH, Germany Secured Supply of Key Raw material – (i) Iron Ore through allotted mines in the state of 03 Chhattisgarh & Odisha (ii) C
Slide 16: Steel Business – Product Offerings
Steel Business – Product Offerings Wire Rods HB Wire Structural Steel TMT bars Ferro Alloy 16
Slide 17: Power Business
Power Business Operating 230 MW captive power at its Integrated Steel Plant Power generated partly by harnessing waste gases emanating from Sponge Iron process and partly through Thermal route Newly commenced Fifth Sponge Iron Rotary Kiln generating additional 15MW power 17
Slide 18: Key Growth Drivers – Steel & Power Business
Key Growth Drivers – Steel & Power Business National Steel Policy 2017 Focus on Affordable Housing & Infrastructure Build a globally competitive industry with a crude steel Emphasis on Housing for All by 2022 by the Government capacity of 300 MT by 2030-31 Aim to build 50 million new low-cost houses
Slide 19: Rigid PVC Pipes Business
Rigid PVC Pipes Business Plant Strategically located in Uttrakhand; with current capacity of 55,000 MTPA Strong Brand presence in the states of UP, Uttrakhand, Delhi, Haryana & Punjab Witnessing Revenue Growth of 16% CAGR in last 5 years Operating profit margin growth at 26% CAGR since last 5 years
Slide 20: Rigid PVC Pipes – Product Portfolio
Rigid PVC Pipes – Product Portfolio UPVC Pipes Column Pipes SWR Pipes UPVC Fittings Plumbing Pipes Casing Pipes
Slide 21: Key Growth Drivers – PVC Pipes Business
Key Growth Drivers – PVC Pipes Business Government thrust on Agriculture & Infrastructure Swachh Bharat Abhiyan “Affordable Housing” and “Housing for All” Higher Union Budget allocation for Irrigation sector GST to give edge to the organised players over unorganised sector 21
Slide 22: Capacity Expansion Update
Capacity Expansion Update Existing Product Location Future Capacity Total Capacity Time Line Capacity Integrated Steel Raipur, Finished Steel 1.1 Mn Tons - 1.1 Mn Tons - Chhattisgarh Champa, Sponge Iron 1.0 Mn Tons 0.20 Mn Tons 1.2 Mn Tons Sep, 2018 Chhattisgarh Champa, Steel Billets 1.1 Mn Tons - 1
Slide 23: Thank You
Thank You For more information visit: www.prakash.com 23