Dcm Shriram Limited · NSE:DCMSHRIRAM
Dcm Shriram — Q3 FY15 Earnings Presentation
27 slides from Dcm Shriram's earnings presentation, January 2015
Slide 1: DCM Shriram Ltd. Q3 & 9M FY15 Results Presentation
DCM Shriram Ltd. Q3 & 9M FY15 - Results Presentation 1
Slide 2: Safe Harbour
Safe Harbour Certain statements in this document may be forward-looking statements. 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 actua
Slide 3: Table of Content
Table of Content Title Slide No. Q3 FY15 Key Highlights 4 Q3 FY15 Financial Snapshot 5 Q3 FY15 Segment Performance 6 9M FY15 Key Highlights 7 9M FY15 Financial Snapshot 8 9M FY15 Segment Performance 9 Q3 FY15 - Performance Overview & Outlook 10-12 Management’s Message 13 Agri Input Businesses 15-18
Slide 4: Q3 FY15 – Key Highlights
Q3 FY15 – Key Highlights 1. Net Revenues at Rs. 1,197.1 crore vis-à-vis Rs. 1,452.2 crore in Q3 FY14 primarily due to lower volumes in Sugar and Bulk Fertilisers 2. PBDIT stood at Rs. 54.5 crore vis-à-vis Rs. 112.2 crore last year: a. Sharp decline in realisations in the Chloro-Vinyl businesses b. L
Slide 5: Q3 FY15 – Financial Snapshot
Q3 FY15 – Financial Snapshot Revenues EBITDA Depreciation 1,452 112 1,197 55 35 27 Q3 FY14 Q3 FY15 Q3 FY14 Q3 FY15 Q3 FY14 Q3 FY15 Finance Costs PBIT PAT 78 44 32 28 27 26 Q3 FY14 Q3 FY15 Q3 FY14 Q3 FY15 Q3 FY14 Q3 FY15 All figures in Rs. Crore DCM Shriram Ltd. – Q3 & 9M FY15 Results Presentation 5
Slide 6: Q3 FY15 - Segment Performance
Q3 FY15 - Segment Performance Rs. crore Revenues PBIT PBIT Margins % Segments Q3 FY14 Q3 FY15 % Q3 FY14 Q3 FY15 % Q3 FY14 Q3 FY15 Agri Input 580.2 522.6 (9.9) 12.6 6.2 (50.6) 2.2 1.2 - Fertilisers 169.7 211.5 24.6 5.2 18.2 250.9 3.1 8.6 - Shriram Farm Soln. 343.0 281.6 (17.9) 18.2 22.7 25.1 5.3 8.1
Slide 7: 9M FY15 – Key Highlights
9M FY15 – Key Highlights 1. Net Revenues at Rs. 4,329.9 crore vis-à-vis Rs. 4,703.0 crore in 9M FY14 primarily due to lower volumes in Sugar and Bulk Fertilisers 2. PBDIT stood at Rs. 417.2 crore vis-à-vis Rs. 396.5 crore last year: a. Bioseed witnessed overall 29% increase in earnings, led by robus
Slide 8: 9M FY15 – Financial Snapshot
9M FY15 – Financial Snapshot Revenues EBITDA Depreciation 4,703 4,330 417 396 104 84 9M FY14 9M FY15 9M FY14 9M FY15 9M FY14 9M FY15 Finance Costs PBIT PAT 121 334 251 84 160 293 9M FY14 9M FY15 9M FY14 9M FY15 9M FY14 9M FY15 All figures in Rs. Crore DCM Shriram Ltd. – Q3 & 9M FY15 Results Presenta
Slide 9: 9M FY15 - Segment Performance
9M FY15 - Segment Performance Rs. crore Revenues PBIT PBIT Margins % Segments 9M FY14 9M FY15 % 9M FY14 9M FY15 % 9M FY14 9M FY15 Agri Input 2,312.6 2,217.7 (4.1) 114.3 148.9 30.2 4.9 6.7 - Fertilisers 458.6 556.1 21.3 15.0 35.0 133.8 3.3 6.3 - Shriram Farm Soln. 1,466.4 1,169.1 (20.3) 66.0 70.8 7.3
Slide 10: Q3 FY15 - Performance Overview & Outlook
Q3 FY15 - Performance Overview & Outlook Operating performance stable Revenue higher on account of increase in gas prices, volumes were also up marginally Improved profitability on account of energy savings and increase in reimbursement towards conversion costs by Rs. 500/MT under NPS III w.e.
Slide 11: Q3 FY15 - Performance Overview & Outlook
Q3 FY15 - Performance Overview & Outlook Lower sales to farmers in international operations led to sales returns and inventory write offs Lower sales led to lower profits and inventory write offs in International business, reflecting longer than expected time being taken to stabilise Robust pe
Slide 12: Q3 FY15 - Performance Overview & Outlook
Q3 FY15 - Performance Overview & Outlook Chlor- Alkali and PVC (Vinyl) prices have declined significantly in Q3 over Q2 FY15, putting pressure on margins There has been marginal reduction in input costs with decline in Salt prices and imported Coal prices Chloro-Vinyl Outlook The prices after
Slide 13: Management’s Message
Management’s Message Commenting on the performance for the quarter, in a joint statement, Mr. Ajay Shriram, Chairman & Senior Managing Director, and Mr. Vikram Shriram, Vice Chairman & Managing Director, said: “The Company witnessed a challenging operating environment in Q3 FY15 with sharp reduction
Slide 14: Segmental Overview
Segmental Overview • Agri- Inputs o Fertilisers Agri Businesses o Shriram Farm Solutions o Bioseeds • Sugar • Chlor – Alkali • PVC Resins Chloro-Vinyl Businesses • Calcium carbide • Power • Fenesta Building Systems Other Businesses • Cement • Polymer Compounds • Hariyali Kisaan Bazaar DCM Shriram Lt
Slide 15: Agri- Input Businesses
Agri- Input Businesses The Agri input business contributed to 44% of the total quarterly revenues of the Company. The Company continues to focus on these businesses given the huge opportunity in this area where the Company can capitalize on its long standing understanding of varied Agri businesses a
Slide 16: Fertilisers (Urea)
Fertilisers (Urea) Operational Financial Sales Realisations Revenues PBIT Particulars (MT) (Rs./MT) (Rs. cr.) (Rs. cr.) Q3 FY15 104,110 20,087 211.5 18.1 Q3 FY14 99,985 16,967 169.7 5.2 % Shift 4.1 18.4 24.6 248.2 9M FY15 305,553 18,104 556.1 35.2 9M FY14 302,569 15,132 458.6 15.0 % Shift 1.0 19.6 2
Slide 17: Shriram Farm Solutions
Shriram Farm Solutions Particulars Revenues (Rs. cr.) PBIT (Rs. cr.) Q3 FY15 281.6 22.7 Q3 FY14 343.0 18.2 % Shift (17.9) 25.1 9M FY15 1,169.1 70.8 9M FY14 1,466.4 66.0 % Shift (20.3) 7.3 The portfolio comprises Value-added products such as Seeds, Pesticides, Soluble Fertiliser, Micro-nutrients etc.
Slide 18: Bioseed
Bioseed Particulars Revenues (Rs. cr.) PBIT (Rs. cr.) Q3 FY15 29.5 (34.7) Q3 FY14 67.4 (10.8) % Shift (56.2) -- 9M FY15 492.5 42.9 9M FY14 387.6 33.4 % Shift 27.1 28.7 Bioseed business is intensely research based and is diversified across key crops (Cotton, Corn, Paddy, Bajra and Vegetables). India
Slide 19: Sugar
Sugar Operational Financial Realisations Revenues PBIT Particulars Sales (Lac Qtl) (Rs./Qtl) (Rs. cr.) (Rs. cr.) Q3 FY15 4.8 2,887 169.6 (21.0) Q3 FY14 10.3 2,948 337.9 (30.0) % Shift (53.6) (2.1) (49.8) -- 9M FY15 20.3 3,100 710.3 (12.5) 9M FY14 31.1 3,053 1,054.6 (55.5) % Shift (34.8) 1.5 (32.6) -
Slide 20: Hariyali Kisaan Bazaar
Hariyali Kisaan Bazaar Particulars Revenues (Rs. cr.) PBIT (Rs. cr.) Q3 FY15 119.9 3.2 Q3 FY14 112.1 1.7 % Shift 7.0 82.2 9M FY15 368.2 3.9 9M FY14 327.6 2.7 % Shift 12.4 44.0 Performance Revenues only from fuel sales Overview Sale of properties progressing slowly, expected to take about 2-3 yea
Slide 21: Chloro Vinyl Business
Chloro Vinyl Business Particulars Revenues (Rs. cr.) PBIT (Rs. cr.) Q3 FY15 293.7 60.0 Q3 FY14 330.5 110.8 % Shift (11.1) (45.8) 9M FY15 934.0 244.9 9M FY14 901.6 276.8 % Shift 3.6 (11.5) The Chloro-Vinyl business of the Company has highly integrated operations with multiple revenue streams and 145M
Slide 22: Chlor-Alkali
Chlor-Alkali Operational Financial Sales Realisations Revenues PBIT Particulars (MT) (Rs./MT) (Rs. cr.) (Rs. cr.) Q3 FY15 66,898 21,573 161.5 33.3 Q3 FY14 65,688 26,440 190.0 68.4 % Shift 1.8 (18.4) (15.0) (51.4) 9M FY15 193,078 24,069 511.4 131.8 9M FY14 191,456 24,532 512.2 164.7 % Shift 0.8 (1.9)
Slide 23: Plastics
Plastics Operational Financial PVC XWR Carbide Carbide XWR PVC Sales Revenues PBIT Particulars Realisations Sales Realisations (MT) (Rs. cr.) (Rs. cr.) (Rs./MT) (MT) (Rs./MT) Q3 FY15 15,789 65,221 5,438 43,408 132.2 26.7 Q3 FY14 14,872 70,905 6,790 42,911 140.5 42.4 % Shift 6.2 (8.0) (19.9) 1.2 (5.9
Slide 24: Cement
Cement Operational Financial Sales Realisations Revenues PBIT Particulars (MT) (Rs./MT) (Rs. cr.) (Rs. cr.) Q3 FY15 90,658 2,708 31.2 (6.8) Q3 FY14 87,669 2,596 30.5 (4.7) % Shift 3.4 4.3 2.3 -- 9M FY15 285,218 2,939 102.9 (4.0) 9M FY14 258,441 2,715 89.6 (3.5) % Shift 10.4 8.2 14.9 -- The Cement bu
Slide 25: Other Businesses
Other Businesses DCM Shriram’s other operations, reported as ‘Others’ in the financial results, include its businesses of Polymer Compounding (now under JV) and Fenesta Building Systems. Till last year it included the Textile operations also which has been sold in June 14. Revenues under ‘Others’ st
Slide 26: Fenesta Building Systems
Fenesta Building Systems Order Book Sales Qty Revenues Particulars (Rs Cr) (nos.) (Rs. cr.) Q3 FY15 60.5 28,396 48.2 Q3 FY14 49.8 36,774 42.6 % Shift 21.6 (22.8) 13.2 9M FY15 157.3 86,079 133.3 9M FY14 150.1 113,691 127.1 % Shift 4.8 (24.3) 4.9 Fenesta a pan India brand has become synonymous with UP
Slide 27: 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. With a large base