Dcm Shriram Limited · NSE:DCMSHRIRAM
Dcm Shriram — Q3 FY20 Earnings Presentation
29 slides from Dcm Shriram's earnings presentation, Jan 27, 2020
Slide 1: Exchange filing cover letter
BSE Limited National Stock Exchange of India Ltd., Phiroze JeeJeeBhoy Towers, “Exchange Plaza”, Dalal Street, 5th Floor, Plot No. C-1, G Block, Mumbai - 400 001 Bandra-Kurla Complex, Bandra (E) Mumbai – 400 051 SCRIP CODE : 523367 SCRIP CODE : DCMSHRIRAM Kind Attn: Department of Corporate Communicat
Slide 2: Q3 & 9M FY20 - Results Presentation
DCM Shriram Ltd. Q3 & 9M FY20 - Results Presentation January 27, 2020 1
Slide 3: Safe Harbour
Safe Harbour Certain statements in this document may be forward-looking. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results t
Slide 4: Table of Content
Table of Content Title Slide No. Q3 FY20 Key Highlights 4 Returns & Leverage 5 Financial Snapshot 6 Segment Performance 7 9M FY20 Key Highlights 8 Financial Snapshot 9 Segment Performance 10 Management’s Message 11 Segmental Details Chloro-Vinyl Businesses 13-18 Sugar 19-21 Agri Input Businesses 22-
Slide 5: Q3 FY20 - Key Highlights
Q3 FY20 - Key Highlights 1. Net Revenues at Rs 2,195 crores up 4%: i. Overall Sugar revenues at Rs 762 crores up 23% YoY (Rs 144 crores) led by: a. Higher distillery revenues by ~Rs 18 crores. b. Higher sugar exports contributing to an increase of ~Rs 171 crores. c. Domestic sugar revenues down by ~
Slide 6: Q3 FY20 - Returns & Leverage
Q3 FY20 - Returns & Leverage PBDIT to Net Sales Net Debt/ EBITDA 18.7% 1.00 20.0% 0.87 16.9% 0.90 18.0% 16.0% 14.7% 0.80 0.68 0.70 14.0% 0.70 12.0% 0.60 10.0% 0.50 8.0% 0.40 6.0% 0.30 4.0% 0.20 2.0% 0.10 0.0% - FY19 Q3 FY19 Q3 FY20 FY19 Q3 FY19 Q3 FY20 ROCE Capital Employed (excluding CWIP) 35.0% 5,
Slide 7: Q3 FY20 - Financial Snapshot
Q3 FY20 - Financial Snapshot Revenue (Net) PBDIT Depreciation 2,195 357 323 2,115 56 40 Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Finance Cost PBIT PAT 317 267 226 38 175 19 Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Note: All figures in Rs. crores Net revenue includes operating income DC
Slide 8: Q3 FY20 - Segment Performance
Q3 FY20 - Segment Performance Rs crs Revenues PBIT PBIT Margins % YoY % YoY % Segments Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Q3 FY19 Q3 FY20 Change Change Chemicals 504.8 392.3 (22.3) 235.1 104.5 (55.5) 46.6 26.6 Plastics 155.7 146.6 (5.8) 16.8 27.1 61.8 10.8 18.5 Sugar 618.5 762.2 23.2 42.5 96.7 127.5 6.
Slide 9: 9M FY20 - Key Highlights
9M FY20 - Key Highlights 1. Net Revenues at Rs 5,850 crores down 1% YoY : i. Chemicals revenues at Rs 1,371 crores down 1% YoY. ECU prices down 19.0% YoY. Volumes up 18.9% YoY. ii. Overall Sugar revenues at Rs 1,683 down 2% YoY crores: Exports revenues higher by ~Rs 187 crores. Distillery contri
Slide 10: 9M FY20 - Financial Snapshot
9M FY20 - Financial Snapshot Revenue (Net) PBDIT Depreciation 5,883 5,850 1,017 940 159 114 9M FY19 9M FY20 9M FY19 9M FY20 9M FY19 9M FY20 Finance Cost PBIT PAT 904 781 613 515 117 95 9M FY19 9M FY20 9M FY19 9M FY20 9M FY19 9M FY20 Note: All figures in Rs. crores Net revenue includes operating inco
Slide 11: 9M FY20 - Segment Performance
9M FY20 - Segment Performance Rs crs Revenues PBIT PBIT Margins % YoY % YoY % Segments 9M FY19 9M FY20 9M FY19 9M FY20 9M FY19 9M FY20 Change Change Chemicals 1,390.7 1,370.8 (1.4) 666.1 494.2 (25.8) 47.9 36.0 Plastics 435.9 423.1 (2.9) 56.5 76.8 35.9 13.0 18.1 Sugar 1,715.6 1,683.2 (1.9) 127.2 196.
Slide 12: Management's Message
Management’s Message Commenting on the performance for the quarter and nine months ending December 2019, in a joint statement, Mr. Ajay Shriram, Chairman & Senior Managing Director, and Mr. Vikram Shriram, Vice Chairman & Managing Director, said: “The company achieved satisfactory operational perfor
Slide 13: Segmental Details
Segmental Details • Caustic Soda (1,845 TPD) • Aluminum Chloride (60 TPD) Chloro-Vinyl Businesses • PVC Resins (220 TPD) • Calcium carbide (112,000 TPA) • Agri- Businesses o Sugar (38,000 TCD) o Co-Gen (155 MW) Agri o Distillery (350 KLD) Businesses o Shriram Farm Solutions o Bioseeds o Fertilizers
Slide 14: Chloro Vinyl Business
Chloro Vinyl Business Revenues PBIT Cap. Employed Particulars (Rs. Cr.) (Rs. Cr.) (Rs. Cr.) Q3 FY20 539.0 131.6 1,520.4 Q3 FY19 660.6 251.9 1,274.9 % Shift (18.4) (47.7) 19.3 9M FY20 1,793.9 570.9 1,520.4 9M FY19 1,826.7 722.6 1,274.9 % Shift (1.8) (21.0) 19.3 The Chloro-Vinyl business of the Compan
Slide 15: Chemicals
Chemicals Operational Financial ECU Caustic Sales Revenues PBIT PBIT Margin Particulars Realisations (MT) (Rs Cr.) (Rs. Cr.) % (Rs./MT) Q3 FY20 134,020 23,954 392.3 104.5 26.6 Q3 FY19 120,443 36,967 504.8 235.1 46.6 % Shift 11.3 (35.2) (22.3) (55.5) (42.8) 9M FY20 405,687 28,689 1,370.8 494.2 36.0 9
Slide 16: Chemicals
Chemicals The total capacity in the country went up by 10% in FY19 and is expected to go up further by ~7.5% in FY20. The total imports of caustic in the country during 9M FY'20 have gone up by 7% i.e. to 2.31 lac MT vs Industry 2.16 lac MT for 9M FY19. Overview Exports for 9M FY20 at 1.10 lac
Slide 17: Chemicals
Chemicals 9M FY20 Net revenues marginally down 1% YoY at Rs 1,371 crores. Volumes up 19% due to new capacities addition. ECU prices down 19% YoY on account of softer caustic (liquid) and Performance chlorine prices. Caustic Flakes premium also lower in current period vs same period last year. Ov
Slide 18: Plastics
Plastics Operational Financial PVC XWR Carbide Carbide XWR PVC Sales Revenues PBIT PBIT Margin Particulars Realisations Sales Realisations (MT) (Rs Cr.) (Rs. Cr.) % (Rs./MT) (MT) (Rs./MT) Q3 FY20 15,396 71,800 5,657 52,804 146.6 27.1 18.5 Q3 FY19 15,410 75,859 6,515 52,530 155.7 16.8 10.8 % Shift (0
Slide 19: Plastics
Plastics 80,000 Import PVC and DCM PVC Prices 1,050 78,000 1,000 78,077 77,943 1,000 76,000 76,200 953 75,486 950 961 USD 74,000 914 936 INR 900 71,679 900 73,918 869 72,000 900 906 865 850 70,000 856 69,828 68,000 69,028 800 DCM Realizations PVC (Rs / MT) (LHS) PVC Import Prices - CFR SEA ($ / MT)
Slide 20: Sugar
Sugar Financial Season Updates Cap. Crushing started in 1st week of November, 2019. Revenues PBIT PBIT Employed Operations are stable. Particulars (Rs. Cr.) (Rs. Cr.) Margin % (Rs. Cr.) Both the distilleries (including 200 KLD new distillery at Ajbapur) operating on B-Heavy Q3 FY20 762.2 96.7 12.7 2
Slide 21: Sugar
Sugar Operational Sugar Distillery Distillery Sugar Sugar Sales Power Distillery (Domestic) Power Sales Realizations Realizations Particulars Production (Domestic) Realizations Sales* Realizations (Lac Units) - B Heavy - C Heavy (Lac Qtls) (Lac Qtls) (Rs/ unit) (Lac Ltrs) (Rs/Qtl) (Rs/ Ltrs) (Rs/ Lt
Slide 22: Sugar Segment
Sugar Segment Q3 FY20 Overall sugar revenues up 23% YoY at Rs 762 crores led by higher sugar and distillery revenues. a. Higher distillery revenues by ~Rs 18 crores. b. Higher sugar exports contributing to an increase of ~Rs 171 crores. c. Domestic sugar revenues down by ~Rs 33 crores. Overall
Slide 23: Shriram Farm Solutions
Shriram Farm Solutions Revenues PBIT PBIT Cap. Employed Particulars (Rs. Cr.) (Rs. Cr.) Margin % (Rs. Cr.) Q3 FY20 331.4 62.8 18.9 159.8 Q3 FY19 275.8 44.0 16.0 262.2 % Shift 20.2 42.7 (39.1) (39.1) 9M FY20 687.8 75.7 11.0 159.8 9M FY19 644.1 55.2 8.6 262.2 % Shift 6.8 37.3 (39.1) (39.1) The product
Slide 24: Bioseed
Bioseed Revenues (Rs. Cr.) Cap. PBIT Particulars PBIT Margin % Employed India International Total (Rs. Cr.) (Rs. Cr.) Q3 FY20 57.3 25.3 82.6 (9.4) (11.3) 496.1 Q3 FY19 37.9 25.4 63.3 (14.4) (22.7) 467.9 % Shift 51.2 (0.1) 30.6 - - 6.0 9M FY20 293.8 76.7 370.5 25.7 6.9 496.1 9M FY19 358.3 69.6 427.9
Slide 25: Fertilizers (Urea)
Fertilizers (Urea) Operational Financial Cap. Sales Realisations Revenues PBIT Particulars PBIT Margin % Employed (MT) (Rs./MT) (Rs. Cr.) (Rs. Cr.) (Rs. Cr.) Q3 FY20 108,642 24,126 274.4 13.8 5.0 489.7 Q3 FY19 106,274 26,771 299.0 24.0 8.0 484.4 % Shift 2.2 (9.9) (8.2) (42.6) (37.4) 1.1 9M FY20 281,
Slide 26: Other Businesses
Other Businesses The ‘Others’ Segment in the financial results, includes Cement, Fenesta Building Systems and Hariyali Kisaan Bazaar. Revenues under ‘Others’ stood at Rs 215 crores in Q3 FY20 from Rs. 210 crores in Q3 FY19. PBIT for the quarter stood . at Rs. 8 crores vis-à-vis Rs. 5 crores in Q3 FY
Slide 27: Fenesta Building Systems
Fenesta Building Systems Operational Financial Order Book (Rs Cr.) Revenues PBIT PBIT Margin Particulars Retail Projects Total Total (Rs Cr.) (Rs Cr.) % Q3 FY20 79.0 29.6 108.6 107.3 13.5 12.6 Q3 FY19 76.7 32.1 108.8 97.0 12.0 12.3 % Shift 3.1 (8.0) (0.2) 10.6 12.7 1.9 9M FY20 244.7 86.8 331.6 334.3
Slide 28: Cement
Cement Operational Financial Sales Realisations Revenues PBIT PBIT Particulars (MT) (Rs./MT) (Rs. Cr.) (Rs. Cr.) Margin % Q3 FY20 104,369 3,525 44.6 (5.3) (11.9) Q3 FY19 109,099 3,128 42.3 (6.4) (15.2) % Shift (4.3) 12.7 5.3 - - 9M FY20 307,401 3,543 132.3 1.9 1.4 9M FY19 325,247 3,039 124.3 (5.8) (
Slide 29: About Us & Investor Contacts
About Us & Investor Contacts DCM Shriram Ltd. is an integrated business entity, with extensive and growing presence across the entire Agri value chain and Chloro-Vinyl industry. The Company has added innovative value- added businesses in these domains primarily Bioseed and Fenesta. Access to captive