Acc Limited · NSE:ACC
Acc — Q3 2019 Earnings Presentation
19 slides from Acc's earnings presentation, Oct 15, 2019
Slide 1: Investor Presentation: Q3'19 Results
Investor Presentation: Q3’19 Results Oct 15, 2019 Stock code: BSE: 500410 | NSE: ACC | Reuters: ACC.NS | Bloomberg: ACC:IN
Slide 2: ACC Network
ACC Network ACC Investor Presentation , Oct 15, 2019 © ACC Limited 2
Slide 3: Contents
Contents Cement Industry Performance Highlights Performance Analysis ACC Investor Presentation , Oct 15, 2019 © ACC Limited 33
Slide 4: Cement Industry Update
Cement Industry Update 4
Slide 5: Cement Sector
Cement Sector Government to Pan-India spend Rs. 25 Economic slowdown cement Lakh Crore on key deterrent for demand infrastructural housing demand declined during development in growth Q3’19 rural areas across country Funding challenges, Government’s release Stronger government regulatory and land of
Slide 6: Performance Highlights Q3'19
Performance Highlights Q3’19 6
Slide 7: Performance highlights – Q3'19
Performance highlights – Q3’19 Cement Volume RMX Volume Net Sales 6.4 mt 0.81 Mio m3 Rs 3,464 Cr -1.6% YoY + 11% YoY + 3% YoY Op. EBITDA PBT PAT EPS Rs 557 Cr Rs 443 Cr Rs 303 Cr Rs 16/share + 26% YoY + 44% YoY + 45% YoY + 45% YoY Cement lower due to weak demand; Consistent positive financial perfor
Slide 8: Financial result – Consolidated
Financial result – Consolidated Change Change YTD YTD Particulars UoM Q3'18 Q3'19 Sep'18 Sep'19 vs PY vs PY Net Sales Rs Cr 3,364 3,464 3% 10,689 11,373 6% Op. EBITDA Rs Cr 444# 557 26% 1,560# 1,872 20% Margin % 13.2 16.1 2.9 pp 14.6 16.5 1.9 pp Profit Before Tax (PBT) Rs Cr 308# 443 44% 1,167# 1,63
Slide 9: Performance Analysis
: = \ = : ~ io cms Vina . ” ae se Performance Analysis —~t. ; 2 “ans =
Slide 10: Sales Volume
Sales Volume Cement Volume (Mio t) RMX Volume (Lakh m3) -1.6% +11.0% 6.54 6.44 0.73 0.81 Q3’18 Q3’19 Q3’18 Q3’19 +1.1% +13.7% 20.90 21.13 2.29 2.61 YTD Sep’18 YTD Sep’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY • Cement volume growth declined year-on-year due to weak demand; • Premium products volum
Slide 11: Net Sales
Net Sales Rs Cr +3% +6% 3,364 3,464 10,689 11,373 Q3’18 Q3’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY • Net Sales improved by optimising market & product mix • Cement realisation improved year on year ACC Investor Presentation , Oct 15, 2019 © ACC Limited 11
Slide 12: Cost of Materials Consumed
Cost of Materials Consumed Rs/t Cement -12% -6% 617 607 544 569 Q3’18 Q3’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY • Continuous product portfolio optimisation to control cost • Material source-mix optimised through supply chain efficiency improvement • Lower cost of raw materials ACC Investor Pres
Slide 13: Power & Fuel
Power & Fuel Rs/t Cement +9% +6% 1,211 1,062 1,125 1,110 Q3’18 Q3’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY • Cost increase partly mitigated through fuel source mix optimization • Electrical energy consumption improved • Alternative fuels utilisation enhanced 13 ACC Investor Presentation , Oct 15,
Slide 14: Freight & Forwarding
Freight & Forwarding Rs/t Cement +3% +1% 1,383 1,423 1,378 1,392 Q3’18 Q3’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY Freight vs Diesel • Cost increase due to higher handling and warehouse cost Diesel Price (index) Freight cost (index) • Focus on improvement in logistics efficiency levers helped con
Slide 15: Other expenses
Other expenses Rs/t Cement -6% -4% 921 868 854 822 Q3’18 Q3’19 YTD Sep’18 YTD Sep’19 Q3 Performance YoY • Cost below previous year • Reduction in packing material on account of re-negotiation and PP granule price reduction • Fixed cost and Sales & General Administration cost lower than previous year
Slide 16: Awards & Accolades: Q3
Awards & Accolades: Q3 ACC won Confederation of Indian Industry’s (CII) highest recognition for its Climate Action Programme (CAP) - “CAP 2.0° Resilient award for Energy, Mining & Heavy Manufacturing Sector”. ACC also achieved the distinction of being the only Indian company to realise the 'resilien
Slide 17: Awards & Accolades: Q3
Awards & Accolades: Q3 ACC Jamul Cement Plant wins CII National ACC TRUST’s Rural Sports Initiatives in Kymore, Award in the categories ‘National Energy Leader’ won the CSR Journal Excellence Award and ‘Energy Efficient Unit’ ACC TRUST received the Asian level CSR Excellence Award (Gold Category) un
Slide 18: Thank You
THANK YOU ACC Investor Presentation , Oct 15, 2019 © ACC Limited 18
Slide 19: Disclaimer
Disclaimer Cautionary statement regarding forward looking statements This presentation may contain certain forward-looking statements relating to the Company’s future business, developments and economic performance Such statements may be subject to a number of risks, uncertainties and other importan