Slide 1: Exchange filing cover letter
2nd August 2023 BSE Limited National Stock Exchange of India Limited Listing Operations Listing Department, Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalai Street, Bandra Kurla Complex, Bandra (E), Mumbai - 400 001 Mumbai - 400 051 Maharashtra, India Maharashtra, India BSE Script Code: 532864 NSE S
Slide 2: Investor Presentation August 2023
Investor Presentation August 2023 B S E : 5 3 2 8 6 4 | N S E : N E L C AS T | I S I N : I N E 1 8 9 I 0 1 0 2 4 www.nelcast.com ©2022 – All Rights Reserved | www.nelcast.com 1
Slide 3: Q1 FY24 Highlights
Q1 FY24 Highlights Profit & Loss Highlights 03 Key Developments & Outlook 04 ©2022 – All Rights Reserved | www.nelcast.com 2
Slide 4: Profit & Loss Highlights
Profit & Loss Highlights Consolidated (in INR Cr.) Q1FY24 Q1FY23 YoY % Q4FY23 QoQ % Total Revenue 296.4 299.6 (1.1) % 315.2 (6.0) % REVENUE EBITDA 23.0 23.3 (1.5) % 20.8 10.2% ₹296 CR YoY degrowth was due to slowdown in tractor EBITDA Margin % 7.8% 7.9% (5) bps 6.7% 119 bps segment. EBITDA/kg 11.7 1
Slide 5: Key Developments & Outlook
Key Developments & Outlook PARTICULARS CURRENT (Q1 FY24) OUTLOOK (FY24 & FY25) We foresee better performance in H2 FY24 compared to H1, driven by Revenues saw a marginal degrowth due to slowdown in tractor segment, Overall Performance strong demand in commercial vehicle and exports. Therefore, we ex
Slide 6: Company Overview
Company Overview Company at a Glance 06 Key Products 07 Manufacturing Process & the Nelcast Advantage 08 Our Well-Equipped Plants 09 Our Journey 10 ©2022 – All Rights Reserved | www.nelcast.com 5
Slide 7: Company at a glance
Company at a glance Where do we stand today? Commercial Vehicles LARGEST TOP 10 PRODUCER PRODUCER Nelcast Limited is a leading producer of Ductile of Grey Iron Iron Castings Castings of Ductile & Grey Iron Castings in India with an installed capacity of 160,000 Metric Tons/Year. Passenger Tractors V
Slide 8: Key Products
Key Products Commercial Vehicles Tractors Off Highway Equipment Railways Passenger Vehicles Forward Differential Carrier Transmission Housing Trumpet Axle Housing Brake Disc Friction Ring Differential Carrier Rear Differential Carrier Rear Axle Housing Monolithic Axle Housing Bogie Suspension Bracke
Slide 9: Manufacturing Process & the Nelcast Advantage
Manufacturing Process & the Nelcast Advantage Silica Sand Tool Design Core Making Resin Machining In-house Engineering team designs Automated Core Sand Mixers In-House facilities and partnerships tooling with CAD/CAM software Automated Core Machines with top Machining Vendors Silica Sand Bentonite C
Slide 10: Our Well-Equipped Plants
Our Well-Equipped Plants Gudur Ponneri Pedapariya I N S T AL L E D C AP AC I T Y I N S T AL L E D C AP AC I T Y I N S T AL L E D C AP AC I T Y 60,000 Metric Tons per Year 40,000 Metric Tons per Year 60,000 Metric Tons per Year MOULDING LINES MOULDING LINES MOULDING LINES ▪ Line 1: DISA Flex 70 with
Slide 11: Our Journey
Our Journey Commencement of Commencement of Commencement of Start of Production at the Nelcast Private Limited exports to the US exports to Europe exports to Thailand Pedapariya (AP) plant with Crossed the Rs.300 was established by P. fourth High Pressure Crores mark in exports Radhakrishna Reddy wi
Slide 12: Why Nelcast?
Why Nelcast? Diversified customer base with strong relationships 13 Strategic Location 14 Strong Business Foundation 15 Strong Export Growth Potential 16 Large Market Opportunity 17 Led by an Experienced Board 18 Focused on a Sustainable Future 19 ©2022 – All Rights Reserved | www.nelcast.com 11
Slide 13: Our Strengths
Our Strengths 1 2 3 Diversified Customer base with strong Strategic Strategic Business relationships Location Foundation 4 5 6 Strong Export Large Market Led by an Growth Potential Opportunity Experienced Board ©2022 – All Rights Reserved | www.nelcast.com 12
Slide 14: Diversified Customer Base with Strong Relationships
1 Diversified Customer Base with Strong Relationships ▪ Customers in Commercial Vehicle, Top OEM Customers Awards Tractor, Off-Highway Equipment, Railways and Passenger Vehicles ▪ Has a distinguished customer base of more than 40 customers that includes OEMs and Tier 1 companies ▪ Serves as a strate
Slide 15: Strategic Location
2 Strategic Location ▪ Plants are in close proximity (37-140 KM) to Chennai, a major manufacturing hub for automotive companies forms both a key customer base for Nelcast and a reliable source of steel scrap, a crucial raw material P L AN T I ▪ All 3 plants are within 15-110KM of Gudur India’s large
Slide 16: Strong Business Foundation
3 Strong Business Foundation Cash & Cash equivalents (in Rs. Cr.) 104.8 ▪ Received an investment grade rating for short term (A1) and long term (A) fund from ICRA on the back of adequate liquidity, strong relationship with major OEMs and a diversified clientele ▪ Installed Capacity has been created
Slide 17: Strong Export Growth Potential
4 Strong Export Growth Potential ▪ India is being viewed as a key cog in the global automotive supply chain and sourcing machined castings from India is now becoming an attractive option for global customers. ▪ Nelcast is among only a few companies in the industry capable of meeting the requirements
Slide 18: Large Market Opportunity
5 Large Market Opportunity Indian Tractor Industry Indian M&HCV Industry Industry volumes touched all-time high in FY2023; Domestic M&HCV sales to grow at a CAGR of 22% expected to remain stable between 2020-2025; expected to touch over 600,000 units 7 1000 945 6.1 899 842 6 CAGR (2020-25): Sale uni
Slide 19: Led by an Experienced Board
6 Led by an Experienced Board D. Sesha Reddy P. Deepak P. Divya R. Sridharan A. Balasubramanian Maheswari Mohan Chairman Managing Director Director Director Director Director ▪ Chairman of Dodla ▪ MBA from Kellogg ▪ MS in Network ▪ Graduate from Madras ▪ Bachelors degree in ▪ Post Graduate in M.A Di
Slide 20: Focussed on a Sustainable Future
Focussed on a Sustainable Future ▪ Renewable energy: About 60% of the power requirement ▪ Blood donation camps is met through renewable sources ▪ Providing medical support ▪ Plantation of trees Protecting the Giving back to to hospitals Environment the Community ▪ Core sand reclamation ▪ Supporting
Slide 21: Annual Financials
Annual Financials Profit & Loss Highlights 21 Balance Sheet Highlights 22 ©2022 – All Rights Reserved | www.nelcast.com 20
Slide 22: Profit & Loss Highlights
Profit & Loss Highlights Consolidated (in INR Cr.) FY19 FY20 FY21 FY22 FY23 Revenue from Operations 856.27 566.76 614.97 927.34 1,263.97 Total Income 862.21 580.35 619.85 936.74 1,280.12 Total Expenses 804.49 549.55 607.56 917.69 1,239.80 EBITDA 81.82 61.86 51.27 67.49 95.51 D&A 17.47 18.53 21.74 22
Slide 23: Balance Sheet Highlights
Balance Sheet Highlights Consolidated (in INR Cr.) FY19 FY20 FY21 FY22 FY23 Total non-current assets 430.65 474.03 474.28 483.96 488.10 Inventories 141.59 128.14 118.41 158.73 158.19 Trade receivables 121.17 112.62 164.19 240.35 255.92 Cash & cash equivalents 58.65 48.0 65.04 61.39 104.80 Total curr
Slide 24: Thank You
Thank You For further details please contact: S.K. Sivakumar Sonia Keswani/Vikash Verma Corporate Office 159, TTK Road, Alwarpet, Chennai - 600 018 Nelcast Limited Ernst & Young LLP www.nelcast.com 📞: +91 44 2498 4111 📞: +91 8017393854 📧: nelcast@nelcast.com 📧: sonia.keswani@in.ey.com 📧…