Slide 1: Balkrishna Industries Ltd Investor Presentation - August 2020
BALKRISHNA INDUSTRIES LTD Investor Presentation - August 2020
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Balkrishna Industries 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
Slide 3: Q1FY21 Performance Snapshot
Q1FY21 Performance Snapshot Sales Volumes Revenue 38,096 MT Rs. 942 Cr for for Q1FY21 Q1FY21 EBITDA PAT Rs. 251 Cr EBITDA in Q1FY21 Rs. 122 Cr for with margin of Q1FY21 with a 26.7% margin of 12.9% Board of Directors have declared an Interim Dividend of Rs. 3 per equity share All figures on Standalo
Slide 4: Management Commentary
Management Commentary Inspite of the impact of Covid-19, our Q1FY21 has been a good quarter for us. The pick- 01 up in sales volumes in May and June led to a total sales volume of 38,096 MT in Q1FY21. The monthly run rate is gaining momentum and is very visible in July and August The demand is stron
Slide 5: Operating with increased Safety Measures
Operating with increased Safety Measures Employee Safety ✓ Encouraging employees to adopt to general principles of social distancing, health and safety of self and society at large ✓ Launched interactive sessions for the wellbeing of employees Liquidity Management ✓ Financial prudence ✓ Each Cost Li
Slide 6: Sales Volume Profile
Sales Volume Profile In MT 8.01% 211,261 Lockdown 199,213 Impact 172,419 148,244 201,760 38,096 FY16 FY17 FY18 FY19 FY20 Q1FY21 Despite low production and Sales Volume in April 2020, we remain confident to achieve similar Sales volumes in FY21 as we achieved in FY20 6
Slide 7: Resilient Business Model
Resilient Business Model Long Term Debt Free with Cash and Cash equivalents of Rs. 1,175 crs as 30th June 2020 Diversified Product Portfolio, Self Reliant in Carbon Black spread across Agriculture, along with Multiple sourcing Industrial, Construction arrangements for other Raw and mining tires Mate
Slide 8: Profit & Loss
Profit & Loss Standalone Particulars (Rs.Cr) Q1FY21 Q1FY20 FY20 FY19 Sales (MT) 38,096 51,304 201,760 211,261 Revenue from Operations 929 1,193 4,782 5,245 Realized Gain on Foreign Exchange 13 24 115 91 Total Income 942 1,217 4,898 5,335 Raw Material 420 552 2,078 2,501 (Increase) / Decrease in Stoc
Slide 9: Other Income and Net Forex Gain/(Loss)
Other Income and Net Forex Gain/(Loss) Standalone Particulars (Rs. Cr) Q1FY21 Q1FY20 FY20 FY19 Exchange Difference Gain (Realized) 21 28 132 118 Exchange Difference Gain (Un-Realized) -29 14 -0 10 Others 41 29 117 86 Total Other Income 33 72 249 214 Standalone Particulars (Rs. Cr) Q1FY21 Q1FY20 FY20
Slide 10: Balance Sheet
Balance Sheet Particulars (Rs. Cr.) Mar’20 Mar’19 Particulars (Rs. Cr.) Mar’20 Mar’19 ASSETS EQUITY AND LIABILITIES Non-current assets 4,854 3,994 EQUITY 5,028 4,679 Property, Plant and Equipment 3,189 2,707 Equity Share Capital 39 39 Capital work-in-progress 586 585 Other Equity 4,989 4,640 Investm
Slide 11: Strong Balance Sheet performance in FY18 to FY20… Future Ready
Strong Balance Sheet performance in FY18 to FY20… Future Ready Cash Accruals of Rs. Long Term Debt Free 3,500cr FY18 Capex Spends to the tune of to Distributed over Rs. 800cr Rs.2,000cr from Internal Accruals FY20 Dividends Balance Sheet Repaid Debt undertaken Cash and Cash equivalents for Capex in
Slide 12: BKT 2.0: Continuing the next Phase of Growth
BKT 2.0: Continuing the next Phase of Growth 01 02 01 Replacement of Waluj Plant Capex at Bhuj Plant New state of the art fully Upscaling to large sized All integrated facility at a steel radial OTR Tires by capex of approximately investing in new capacity of Rs. 500 crores to replace a 5,000 MT p.a
Slide 13: Strategy at BKT
BK /T GROWING TOGETHER Strategy at BKT Tae | ‘9 GROWING TOGETHER 13
Slide 14: Our Focus Area
Our Focus Area Market Reach Expand reach within existing Sales Channels as well increase footprint within replacement segment and OEMs 01 Penetrate Americas Increase share of business in USA markets by increasing 02 supplies from India Product portfolio expansion 03 Expand the product portfolio by a
Slide 15: 'Atmanirbhar' BKT – Our Pledge
‘Atmanirbhar’ BKT – Our Pledge We pledge to fulfil the vision of self-reliance by continuing to manufacture in India for domestic consumption and global markets Our focus will be on improving our product portfolio, sustaining the consistent product quality and efficient service levels, thus enhancin
Slide 16: To Serve Global OEMs…
To Serve Global OEMs… The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only 16
Slide 17: With India Production and Global Sales
With India Production and Global Sales Waluj, Maharashtra Bhiwadi, Rajasthan Chopanki, Rajasthan Our plants India – Our Bhuj, Gujarat Manufacturing base Mould plant, Dombivali 17
Slide 18: Balkrishna Industries – A Snapshot
Balkrishna Industries – A Snapshot Leading ‘Off-Highway Tire” Exporter BKT is India’s Leading player in the Global ‘Off Highway Tire (OHT)’ Market Wide and comprehensive product portfolio Deep understanding of OHT market has led to capabilities to manufacture over 2,700 SKU Capacities Achievable cap
Slide 19: Our Strong Evolution
Our Strong Evolution Self Reliant on Carbon 2019 Started Manufacturing for 2020 Black with the large size 51” diameter tires completion of Phase 2 at at Bhuj Bhuj in Gujarat Plant in Crosses Rs. Started 2018 2015 Announced 2009 2006 Chopanki, 1,000 cr Greenfield Plant in Bhuj, Capex at Waluj Rajasth
Slide 20: Awards and Accolades
Awards and Accolades BKT Earthmax SR 45 M has been awarded the best BKT received award from John Deere OTR tire at Hevea Awards for the Tyre Industry, Enterprise Supply Management for achieving 2019 at Motortec Automechanika, Spain Excellence (Partner Level Performance) 20
Slide 21: Application of our Tires
Application of our Tires Agriculture Tires Cotton Pick Harvester Tractor Vineyard Tractor Pivot Irrigator Industrial Tires Loader Telehandler Mobile Crane OTR Tires Load Haul Dump Underground Mining Container Handler 21
Slide 22: BKT – A Strong Indian Brand
BKT – A Strong Indian Brand 22
Slide 23: Strengthening BKT Brand: USA
Strengthening BKT Brand : USA BKT is the Official and Exclusive Tire manufacturer of MONSTER JAM and its fleet of Monster Trucks – Monster Jam is a top sporting event in America 23
Slide 24: Strengthening BKT Brand: Canada
Strengthening BKT Brand : Canada BKT Continental Cup – Curling: BKT is the Title Sponsor of Continental Cup 24
Slide 25: Strengthening BKT Brand: Italy, Europe
Strengthening BKT Brand : Italy, Europe BKT is the new Title Sponsor for the ITALIAN SERIE ‘B’ FOOTBALL CHAMPIONSHIP – THE NEWBORN - “SERIE BKT” 25
Slide 26: Strengthening BKT Brand: Spain, Europe
Strengthening BKT Brand : Spain, Europe BKT is the New Official Global Partner for the Spanish Football League “La Liga” 26
Slide 27: Strengthening BKT Brand: France, Europe
Strengthening BKT Brand : France, Europe BKT is the New TITLE Sponsor for the FRENCH Football League “COUPE DE LA LIGUE BKT” 27
Slide 28: Strengthening BKT Brand: Australia
Strengthening BKT Brand : Australia BKT is the Official “OFF-HIGHWAY TIRE PARTNER” for KFC BIG BASH LEAGUE (THE AUSTRALIAN CRICKET LEAGUE) 28
Slide 29: Strengthening BKT Brand: India
Strengthening BKT Brand : India Supporting Kabbadi by becoming the official Tire Partner for 8 marquee Teams in Pro Kabbadi League 29
Slide 30: Strengthening BKT Brand: India
Strengthening BKT Brand : India OFF-HIGHWAY TIRE PARTNER FOR THE ‘TAMIL NADU PREMIER LEAGUE’ (TNPL) FOR T-20 CRICKET 30
Slide 31: Strengthening BKT Brand: Sunny Deol our Brand Ambassador
Strengthening BKT Brand : Sunny Deol our Brand Ambassador Popular Bollywood Icon Sunny Deol is the Brand Ambassador of BKT 31
Slide 32: Acting Together… Doing our Part
Acting Together… Doing our Part Protecting Supporting Supporting Employees Communities Medical staff 60,000+ food grains packages At plants which would suffice a family of 4 55,000+ personal Standard Operating for 15 days distributed in various protection equipment Procedures (SOP) regions of India
Slide 33: BKT stands for… Growing Together
BKT stands for… Growing Together CSR Film: BKT supports Society in its bid to fight Covid-19 33
Slide 34: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : Balkrishna Industries Ltd. Strategic Growth Advisors Pvt. Ltd. CIN - L99999MH1961PLC012185 CIN - U74140MH2010PTC204285 Mr. B K Bansal, Director - Finance Mr. Shogun Jain / Ms. Payal Dave bkbansal@bkt-tires.com shogun.ja