Slide 1: Earnings Presentation – Q3 2024
RAIN INDUSTRIES LIMITED Earnings Presentation – Q3 2024 RAIN is a leading vertically integrated global producer of a diversified portfolio of products that are essential raw materials for staples of everyday life. We operate in three business segments: Carbon, Cement and Advanced Materials. Our Carb
Slide 2: Forward-Looking Statement
Forward-Looking Statement This presentation contains forward-looking statements based on management’s current expectations, estimates and projections. All statements that address expectations or projections about the future, including our statements addressing our expectations for segment volumes an
Slide 3: Key Highlights – Q3 2024
Key Highlights – Q3 2024 • Revenue from Operations - ₹39.34 billion • Adjusted EBITDA - ₹2.92 billion • Adjusted Net Loss After Tax - ₹1.66 billion • Adjusted Loss per share - ₹4.94 • Capital expenditure of US$ 55 million for the nine-months period ended September 30, 2024 • Liquidity of US$ 469 mil
Slide 4: Aluminium Market Update
Aluminium Market Update Primary Aluminium Production Growth in Thousand Tonnes Not to Scale 28,754 29,121 29,942 30,991 40,145 41,194 42,915 42,987 2022 2023 China ROW 2024 (F) 2025 (F) LME AL Inventory (Million MT) vis-à-vis LME AL Quote (000 US$ per MT) LME AL Inventory (Million MT) vis-à-vis LME
Slide 5: Price Trend of Key Products and European Natural Gas
Price Trend of Key Products and European Natural Gas Not to Scale 1,473 1,338 1,239 1,135 1,026 984 972 996 899 803 791 864 Prices have fallen 706 709 675 700 635 663 625 compared to Q2 2024 626 592 700 552 647 529 568 455 498 480 450 415 420 445 Mar-22 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Sep-23 Dec-
Slide 6: Revenue by End Industry – LTM September 2024
Revenue by End Industry – LTM September 2024 Markets We Serve TiO2 Petroleum Rubber 2% Energy 3% 3% 2% Coatings 3% Others 16% Wood preservation 6% Specialty chemicals 2% Aluminum Automotive Carbon black 9% Graphite 3% Chemicals and Advanced Graphite Materials Aluminium Construction 42% 9% Aluminium
Slide 7: Consolidated Revenue and EBITDA Q3-2024
Consolidated Revenue and EBITDA Q3-2024 (₹ B ) ₹ 1. 3 ₹ 39.06 -₹ 1.58 ₹ 0.13 ₹ 0.66 ₹ 3.76 -₹ 0.52 ₹ 2.92 -₹ 0.12 -₹ 0.20 Revenue (excluding other operating income) Adjusted EBITDA Note: Charts not to scale 7
Slide 8: Carbon: Revenue and EBITDA
Carbon: Revenue and EBITDA Q3 CY24 Q2 CY24 Q3 CY23 CY23 Q3 2024 Vs Q3 2023 • Revenue decrease driven by 132.97 2,315 17.57 o Reduced average realisations across all major products due to declining market quotations o Offset by higher volumes from calcination business in India pursuant to CAQM order
Slide 9: Advanced Materials: Revenue and EBITDA
Advanced Materials: Revenue and EBITDA Q3 CY24 Q2 CY24 1.51 Q3 CY23 CY23 Q3 2024 Vs Q3 2023 254 • Revenue decrease driven by 32.32 o Lower average prices due to fall in commodity prices 1.05 o Offset by increase in volumes driven by higher throughput from HHCR plant • EBITDA marginally declined due
Slide 10: Cement: Revenue and EBITDA
Cement: Revenue and EBITDA Q3 CY24 Q2 CY24 Q3 CY23 CY23 3,238 Q3 2024 Vs Q3 2023 15.23 • Revenue decrease driven by o Fall in realisations o Lower volumes due to extended monsoon in key markets 1.06 • EBITDA declined due to o Lower realisations o Marginal increase in operating costs 749 751 3.46 664
Slide 11: Debt Summary
Debt Summary US$ in Millions Sep 2024 Dec 2023 Cash Inflows / Outflows during 9M 2024 USD-denominated Senior Secured Notes 50 50 • Operating cash flows includes net working capital (due in April 2025) release of ₹8.41 billion (compared to inflows USD-denominated Senior Secured Notes of ₹15.96 billio
Slide 12: Outlook
Outlook • Margin pressures expected to ease: While we anticipate continued margin pressure through the end of 2024, we project improvement starting in the first half of 2025, driven by strategic initiatives and market recovery. • CAQM order boosts Indian import capacity: The CAQM order granting reli
Slide 13: Thank You
Thank You RIO
Slide 14: Appendix
Appendix
Slide 15: Summary of Consolidated Statement of Profit and Loss
Summary of Consolidated Statement of Profit and Loss ₹ Particulars Q3 2024 Q2 2024 Q3 2023 CY 2023 Net Revenue 39,060 40,558 41,431 180,518 Other Operating Income 283 384 172 897 Revenue from Operations 39,343 40,942 41,603 181,415 Reported EBITDA 2,746 4,011 3,827 17,374 Adjusted EBITDA 2,918 4,903
Slide 16: Reconciliation of EBITDA and PAT
Reconciliation of EBITDA and PAT ₹ Particulars Q3-2024 EBITDA PAT A. Reported 2,746 (1,791) B. Adjustments/Exceptional items: • Insurance claims related to prior periods (503) (503) • Expenses towards non-recurring items 123 123 • Prior period expenses due to regulatory changes 75 75 • Foreign excha
Slide 17: RAIN – Key Business Strengths
RAIN – Key Business Strengths • Three business segments (Carbon, Advanced Materials and Cement) • Global presence with 2.4 million tonnes p.a. calcination capacity, 1.0 million tonnes p.a. CPC blending capacity, 1.3 million tonnes p.a. coal tar distillation capacity, 0.4 million tonnes p.a. advanced