Emmbi Industries Limited · NSE:EMMBI
Emmbi Industries — Q2 FY2017 Earnings Presentation
33 slides from Emmbi Industries's earnings presentation, November 2016
Slide 1: Prosperity, All Around
Prosperity, All Around Emmbi Industries Limited Investor Presentation Q2, FY 2016-2017
Slide 2: Disclaimer
Disclaimer This is not an investment recommendation, and this presentation contains forward-looking statements, identified by words such as ‘plans’, ‘expects’, ‘will’, ‘anticipates’, ‘believes’, ‘intends’, ‘projects’, ‘estimates’ and so on. All statements that address expectations or projections abo
Slide 3: Contents
Contents 1. Specialty Polymer Processing – an industry of the future 2. Emmbi’s Growth Mantra: Innovation & Need Identification 3. Emmbi’s Products and Services 4. A Performance Update 5. Looking Ahead
Slide 4: Specialty Polymers – An industry of the future
1. Specialty Polymers – An industry of the future
Slide 5: Exponential Growth, Globally
Exponential Growth, Globally A NEW AGE MATERIAL The completely man-made nature of polymers makes innovation and creation of new materials virtually limitless. Production of Polymers (million TPA) 540 NEW APPLICATIONS Advances in material technology are creating new applications for polymers, 365 fur
Slide 6: New Horizons for Polymer Products General Applications
New Horizons for Polymer Products General Applications POLYMERS ARE REPLACING OTHER MATERIALS IN A NUMBER OF APPLICATIONS CONVENTIONAL APPLICATION MODERN APPLICATION (NON POLYMER BASED ) (POLYMER BASED ) Jute Bags PP Bags Glass Bottles PET Bottles Glass Microwave Utensils Plastic Microwa
Slide 7: New Horizons for Polymer Products Emmbi Specific Applications
New Horizons for Polymer Products Emmbi Specific Applications MODERN APPLICATION (POLYMER BASED ) CONVENTIONAL APPLICATION 1. PP Bags (NON POLYMER BASED ) 1. Jute Bags 2. Woven Polymer Canal Liners 2. Concrete Canal Liners 3. Woven Polymer Flexi Tank 3. Concrete / Metal Water 4. Woven PP Water Sludg
Slide 8: More Headroom, in India
More Headroom, in India INDIA LAGS THE WORLD IN POLYMER CONSUMPTION 109 India’s consumption of polymers is still a third of the global average. Per Capita Consumption of Polymers (Kgs.) URBANIZATION TO DRIVE CONSUMPTION 45 As the country urbanizes and grows economically, we see a significant uptick
Slide 9: Our Growth mantra
2. Our Growth mantra Innovation and need identification
Slide 10: Our philosophy
Our philosophy At Emmbi, what drives us is a desire to brighten our world in every way – for our employees, our customers, investors and our communities. Our philosophy is embedded in our corporate symbol, that we call “The Whizz” Blue The colour of loyalty and stability. At Emmbi, this also represe
Slide 11: Leading the change
Leading the change • Focus on R&D A separate R&D Center with a dedicated 34-member team gives innovation and new product development the focus that it deserves • Multicultural Presence Our global footprint and open culture fosters active sharing and cross-pollination of ideas • Development Pipeline
Slide 12: Brightening lives over 50 countries worldwide
Slide 13: Q2 FY-17: Highlights
Q2 FY-17: Highlights Focus on water conservation continues In Q2, our focus on water conservation sharpened even more. We feel pride in the fact that our products helped create a “man made” storage for 47.74 crore liters of water in the states of Maharashtra and Rajasthan!
Slide 14: Q2 FY-17: Highlights
Q2 FY-17: Highlights Hon’ble Revenue Minister of Rajasthan, Amra Ramji Visited at Emmbi stand in Gram Rajasthan exhibition in Jaipur
Slide 15: Q2 FY-17: Highlights
Q2 FY-17: Highlights We continued with our efforts to transform into a B2C company from a predominantly B2B play. Our products were received positively at the recently concluded Gram Rajasthan exhibition in Jaipur
Slide 16: Q2 FY-17: Highlights Infrastructural progress
Q2 FY-17: Highlights Infrastructural progress Date: 12/11/2016 Date: 12/11/2016 New Factory building under construction - Project of Newly Acquired building under modification - Project “Positive Pressure Integrated Clean Room for FIBC for “Water Conservation & Agri Product Division” Manufacturing”
Slide 17: In sum
In sum 1. Our focus on R&D, multi-cultural presence, development pipeline and proactive innovation keep us ahead of the competition in an otherwise undifferentiated market 2. Value addition and need identification have helped us expand globally, mitigating a single-market risk 3. In the quarter gone
Slide 18: Integrated, industry-leading products and services
3. Integrated, industry-leading products and services What we make, and where it is applied
Slide 19: Our business
Our business MIDDLE EAST 6% EUROPE 31% THE UK 12% Water Conservation 16% Agri Products AFRICA 3% Specialty Export Packaging Domestic 5% 36% 48% 52% Advance OCEANIA Composites 13% 45% AMERICAS 33% BUSINESS SPLIT AS OF 30th Sept 2016 EXPORT :GEOGRAPHIC SPREAD BUSINESS BY PRODUCT VERTICALS
Slide 20: Water Conservation (1/2)
Water Conservation (1/2) Canal Liners , Pond Liners , Check Dams , Flexi Tank. STRONG PRODUCT SUITE Water Conservation 16% Canal Liner Check Dam Pond Liner Collapsible Pipe
Slide 21: Water Conservation (2/2)
Water Conservation (2/2) Water Conservation – Canal Liners , Pond Liners , Check Dams , Flexi Tank. STRONG PRODUCT SUITE Water Conservation 16% Canal Liner 1000 Ltr Flexi Tank 500 Liter Standing Tank Open Flexi Tank
Slide 22: Advanced Composites
Advanced Composites UN FIBCs, Anti Carcinogenic Packaging , Anti-Corrosive VCI Material, Water Sludge STRONG PRODUCT SUITE Separator, Fall Arrest, Geo Cell. Nuclear Power Plant Waste Disposal UN Certified FIBC Application of UN Certified FIBC Advance Composites 45% Anti Carcinogenic Application of A
Slide 23: Advanced Composites
Advanced Composites UN FIBCs, Anti Carcinogenic Packaging , Anti-Corrosive VCI Material, Water Sludge STRONG PRODUCT SUITE Separator, Fall Arrest, Geo Cell. Nuclear Power Plant Waste Disposal Anti-Corrosive VCI Application for Anti-Corrosive VCI Nuclear Power Plant Material Material Waste Disposal A
Slide 24: Specialty Packaging
Specialty Packaging General Purpose FIBC, Baffle Bag, and FIBC of Different Shape Container Liner, PWS STRONG PRODUCT SUITE & Films. Specialty Packaging 36% Construction FIBC Application for Construction FIBC Paper Substitute Bag Packaging Barrier Films
Slide 25: Specialty Packaging
Specialty Packaging General Purpose FIBC, Baffle Bag, and FIBC of Different Shape Container Liner, PWS STRONG PRODUCT SUITE & Films. Specialty Packaging 36% “Form Stable” Conductive Application for Form Stable Conductive Liquid & Solid Container Liner Application for Liquid & Solid Container Liner
Slide 26: Agri Products
Agri Products Crop Covers, Silage Incubator , Mulch Films, Shade Nets. STRONG PRODUCT SUITE Agri Products 3% Mulch Film Shade Net Silage Incubator Crop Cover
Slide 27: Financial Update
4. Financial Update A summary of our performance
Slide 28: Sustained Growth
Sustained Growth (₹ 2012 2013 2014 2015 2016 Q1 Q2 Millions) 2016- 2017 2016- 2017 Since its inception, Emmbi has shown Revenues 1049.44 1474.72 1680.32 1929.10 2176.66 560.52 596.56 consistent growth in all financial EBIDTA 99.47 126.09 154.17 202.26 269.64 69.71 73.31 parameters. PAT 33.09 32.42 4
Slide 29: Revenue breakdown
Revenue breakdown 55.00 % 47.75% 45.00 % 42.95 % 43.00 % 40.50 % Speciality Packaging 38.50% 35.50 % 35.50 % 34.00 % Advance Composite 32.00.% 30.00% Water Conservation 22.50 % Agri Products 20.00 % 17.00 % 15.75 % 14.50 % 9.50 % 7.00 % 5.00 % 4.00 % 2.25 % 2.80 % 0.00 % 2014 2015 2016 2017 2018 201
Slide 30: Profitable Growth
Profitable Growth 1. A shift in the product mix, towards high margin contributors 2. Improvement in capacity utilization to 89 % for H-1 (up from 83% in the previous year), leading to better operational metrics 3. Reduction in interest costs through a more efficient application of funds 4. Ability t
Slide 31: Looking ahead
5. Looking ahead Growth drivers for the next four years
Slide 32: Avenues for Growth
Avenues for Growth Advance Composites 1. Food & Pharma Bulk Packaging Food-grade FIBCs 2. Pneumatic Human Safety Fall Arrest Systems & Dunnage systems 3. E-commerce Tamper Evident Multi trip packaging 4. Infrastructure Road & Roofing Underlayment, Fire Retardant Scaffolding Water Conservation 1. Ret
Slide 33: Thank you
Thank you Emmbi Investor Services: info@emmbi.com