Shaily Engineering Plastics Limited · NSE:SHAILY

Shaily Engineering Plastics — H1 FY2020 Earnings Presentation

27 slides from Shaily Engineering Plastics's earnings presentation, Nov 14, 2019

  1. Slide 1: Q2 & H1FY20 Investor Presentation

    Q2 & H1FY20 Investor Presentation Thursday, 14th November 2019

  2. Slide 2: Overview

    A SHAILY © Overview

  3. Slide 3: Safe Harbor

    Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Shaily Engineering Plastics Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe f

  4. Slide 4: Shaily at a Glance

    Shaily at a Glance 5 REVENUE 100+ Injection Facilities in 5 Years CAGR Moulding Gujarat 17% Machines EBITDA PAT 1,100+ 5 Years 5 Years CAGR Employees CAGR 18% 10% 4

  5. Slide 5: Project Management

    Project Management Management Development • Key account • Conceptualization • Supply chain • Program management Development • Continuous improvement Quality & Risk Management Validation Manufacturing Assessment • Precision injection molding Validation • Cleanroom manufacturing • Pilot testing • Inno

  6. Slide 6: Expansion Plans

    Expansion Plans Acquisition of Land & Arranging of Long Term Debt Financing Acquisition of Land ▪ Purchased land admeasuring 17 acres at Halol for future expansion requirements ▪ Land Transferred process complete ▪ Construction of Plant at Halol underway Long Term Debt Financing ▪ Arranged for Rs. 1

  7. Slide 7: Our Performance

    Our Performance

  8. Slide 8: Business Updates

    Business Updates New business under negotiation with a 1 large MNC in personal care segment Additional business confirmed from an 2 automotive customer for Rod Confirmation of Business for Bottles & 3 Caps received from a Japanese entity 8

  9. Slide 9: Operating Performance in H1 FY20

    Operating Performance in H1 FY20 168.2 Crores 39.5% 28.6 Crores Revenue Gross Margin EBITDA 17.0% 10.4 Crores 0.6x EBITDA Margin PAT NET Debt: Equity 9 Figures are rounded off

  10. Slide 10: Key Financial Highlights – Q2FY20

    Key Financial Highlights – Q2FY20 (Rs. Cr.) Revenue^ Gross Margin % (Rs. Cr.) EBITDA 86.4 87.6 39.7 39.3 15.5 15.2 80.6 37.5 13.4 Q2FY19 Q1FY20 Q2FY20 Q2FY19 Q1FY20 Q2FY20 Q2FY19 Q1FY20 Q2FY20 (Rs. Cr.) PAT (Rs. Cr.) Cash PAT # EBITDA Margin % 17.9 17.3 5.8 5.6 10.2 16.6 9.2 8.9 4.7 Q2FY19 Q1FY20 Q2

  11. Slide 11: Machine Utilization – Across Plants

    Machine Utilization – Across Plants Machine Utilization (%) Revenue (Rs. In Crs) 69 86 88 66 81 59 Q2FY19 Q1FY20 Q2FY20 Q2FY19 Q1FY20 Q2FY20 Figures are rounded off 11

  12. Slide 12: Volume of Polymers Processed

    Volume of Polymers Processed 3,431 3,378 6,978 6,427 3,049 Q2FY19 Q1FY20 Q2FY20 H1FY19 H1FY20 Volume in Tons Figures are rounded off 12

  13. Slide 13: Operational Trends

    Operational Trends Machine Utilization (%) 82 71 74 70 72 72 69 71 67 63 62 66 59 Q2FY17 Q3FY17 Q4FY17 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Q1FY20 Q2FY20 Volumes of Polymers Processed (MT) 3,647 3,547 3,431 3,374 3,376 3,318 3,378 2,961 3,049 2,771 2,642 2,320 2,432 Q2FY17 Q3FY17

  14. Slide 14: Revenue Analysis - Domestic Vs. Exports

    Revenue Analysis - Domestic Vs. Exports H1FY19 H1FY20 Sales Sales 26% 31% 69% 74% Foreign Domestic Foreign Domestic 14 Figures are rounded off

  15. Slide 15: Income Statement

    Income Statement Particulars (Rs. Cr.) Q2FY20 Q2FY19 YoY % Q1FY20 QoQ % H1FY20 H1FY19 YoY % Revenue 87.6 86.4 1.4% 80.6 8.7% 168.2 175.4 -4.1% Raw Material 53.1 54.0 48.6 101.7 109.9 Employee Expenses 6.4 5.9 6.1 12.5 12.7 Other Expenses* 13.7 11.8 12.6 26.2 24.5 Other Income 0.8 0.7 0.1 0.9 1.1 EBI

  16. Slide 16: Balance Sheet

    Balance Sheet Particulars in (Rs. Cr.) Sep 19 Mar 19 Particulars (Rs. Cr.) Sep 19 Mar 19 Assets Equity & Liabilities Non-current Assets 185.4 175.3 Equity 146.3 136.1 Fixed Assets 8.3 Share Capital 8.3 Property Plant & Equipment 145.2 144.0 Other Equity 137.9 127.8 Capital WIP 8.0 2.7 Non-Current Li

  17. Slide 17: Cash Flow Statement

    Cash Flow Statement Particulars (Rs. Cr.) H1 FY20 H1 FY19 PBT 14.5 18.3 Adjustments 11.5 7.5 Operating profit before working capital changes 25.9 25.8 Changes in working capital 18.2 24.3 Cash generated from operations 44.2 50.1 Direct taxes paid (net of refund) (4.6) (6.7) Net Cash from Operating A

  18. Slide 18: Delivering Profitable Growth

    Delivering PROFITABLE GROWTH Revenue (Rs. In Crs) EBITDA (Rs. In Crs) +17% +18% 318 338 55 54 42 44 • Revenue growth has 226 246 180 168 28 29 been aided by growth in business across verticals; have added new SKUs in Home FY15 FY16 FY17* FY18* FY19* H1FY20 FY15 FY16 FY17* FY18* FY19* H1FY20 Furnishi

  19. Slide 19: Margin Profile

    MARGIN Profile 18.5% 17.4% 17.0% 17.9% 16.1% • Better Product mix and economies of scale on 15.6% account of raw materials have led to improvement 10.8% in margin profile from 9.5% 9.4% FY15 to FY18 8.9% 8.3% 8.6% 7.2% 6.9% 7.5% • FY19 margin was profile 6.5% 5.7% 6.2% impacted on account of labor s

  20. Slide 20: Historical Income Statement as per I-GAAP

    Historical Income Statement as per I-GAAP Particulars in Rs. Crs. FY17 FY16 FY15 FY14 FY13 Total Revenue# 252.6 231.2 185.4 155.1 125.7 Raw Material 151.1 137.3 113.4 86.6 69.0 Employee Expenses 26.6 23.4 19.5 16.0 13.1 Excise Duty 6.2 5.6 5.7 4.3 2.9 Other Expenses 27.5 25.9 20.3 24.0 23.7 Other In

  21. Slide 21: Historical Balance Sheet as per I-GAAP

    Historical Balance Sheet as per I-GAAP Rs. Crs. FY17 FY16 FY15 FY14 FY13 Rs. Crs. FY17 FY16 FY15 FY14 FY13 Shareholder’s Fund 105.6 89.8 78.3 42.6 36.0 Non-current assets 107.3 102.5 87.0 58.0 50 Share capital 8.3 8.3 8.3 7.3 7.3 Fixed assets 97.7 97.7 77.6 49.8 45.2 Reserves & Surplus 97.3 81.4 70.

  22. Slide 22: Disciplined Use of Capital

    DISCIPLINED use of Capital ROCE (%) ROE (%) 20.2 19.2 19.6 17.7 17.3 16.6 16.9 16.8 15.0 14.2 14.2 13.4 FY15 FY16 FY17* FY18* FY19* H1FY20*# FY15 FY16 FY17* FY18* FY19* H1FY20*# *As per IndAS # On Annualised basis 22

  23. Slide 23: Growth Along With Low Leverage

    Growth Along With Low Leverage Total Debt : Equity (x) Long Term Debt : Equity (x) Total Debt : EBITDA (x) 1.1 0.4 3.0 0.3 0.9 0.9 0.3 0.3 2.2 0.7 1.9 0.6 0.6 1.6 1.6 0.2 0.2 1.6 FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20*# • The growth

  24. Slide 24: Strong Focus on Improving Our Key Metrics

    Strong Focus on Improving Our Key Metrics Fixed Asset Turnover (X) FCFF to EBITDA (%) 3.0 92 87 88 2.5 80 76 73 2.3 2.3 2.3 2.3 FY15 FY16 FY17* FY18* FY19* H1FY20*# FY15 FY16 FY17* FY18* FY19* H1FY20*# • The Fixed Asset Turnover has been inching up despite continuous capex (barring FY19) on back of

  25. Slide 25: Credit Rating

    Credit Rating Rationale for Upgrade Credit Rating Upgraded: From CARE BBB+/Positive to CARE A-; Stable for Long-term Customer Bank Facilities New Clients Relationship Strong Vast Management performance Experience From CARE A2 to CARE A2+ for Short-term Bank Facilities Long and established track reco

  26. Slide 26: Contact

    Contact Company Investor Relations Advisors Company : Investor Relations Advisors : Shaily Engineering Plastics Ltd. Strategic Growth Advisors Pvt. Ltd. CIN – L51900GJ1980PLC065554 CIN - U74140MH2010PTC204285 Mr. Sanjay Shah, Chief Strategy Officer Mr. Shogun Jain/Mr. Pratik R. Shah [email protected]

  27. Slide 27: Thank you

    Thank you

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