Finolex Industries Limited · NSE:FINPIPE
Finolex Industries — Investor Presentation (May 2013)
35 slides from Finolex Industries's investor presentation, May 2013
Slide 1: Corporate Presentation
Finolex gets people together Corporate Presentation May 2013 1
Slide 2: Finolex Group – The Evolution
Finolex gets people together Finolex Group – The Evolution Finolex group was founded by Chhabria brothers in 1958. Current group turnover exceeds over Rs.50bn spread across its various entities Over the years Finolex has emerged as a very powerful brand synonymous with top quality products.
Slide 3: Finolex Group
Finolex gets people together Finolex Group Finolex Finolex Industries Cables Ltd Limited Finolex Finolex Plasson J-Powers Industries Finolex Systems Ltd. Group Pvt. Ltd. 3
Slide 4: Finolex Industries Limited Snapshot
Finolex gets people together Finolex Industries Limited SNAPSHOT Largest PVC pipe manufacturer in India Pipe processing capacity of more than 2 Lakh MT annually spread across multi locations. Market leader in most of its product categories Market presence for more than 3 decades since its in
Slide 5: FIL - Business Divisions
Finolex gets people together FIL - Business Divisions PVC Pipes & Fittings Finolex Industries Limited Power PVC Resin 5
Slide 6: FIL – Strengths & USP
Finolex gets people together FIL – Strengths & USP Only PVC pipe manufacturer in India with a fully backward integrated plant Complete control on availability of consistent quality raw material Self sufficient on • Main raw material • Adequate land for any future expansion • Self sufficient on
Slide 7: Senior Management Team
Finolex gets people together Finolex Industries SENIOR MANAGEMENT TEAM P. Subramaniam – Asst. MD & CFO Prakash P Chhabria S.S. Dhanorkar Executive Chairman Managing Director S. S. Math – Director (Operations) 7
Slide 8: Manufacturing Facility – Virtual Tour
Finolex gets people together Manufacturing Facility – Virtual Tour PVC Plant -Ratnagiri Water Reservoir - Ratnagiri Power Plant VCM Plant Ariel-View – Jetty Cryogenic Jetty 8 Coal Jetty Thorli Dam PVC Pipe Plant - Gujarat
Slide 9: PVC: Major Usage Areas Globally
Finolex gets people together PVC: Major Usage Areas Globally Total Water Management Pipes & Fittings More Crop per Drop Construction Construction Profiles Increase in Fabrication Facilities Green Building Concept Calendering Floorings Wall Coverings Wire and Rural Electrification program Industrial
Slide 10: PVC Pipes & Fittings Division
Finolex gets people together PVC Pipes & Fittings Division 10
Slide 11: PVC Pipes & Fittings Division
Finolex gets people together PVC Pipes & Fittings Division HIGHLIGHTS The largest PVC pipe manufacturer in India It offers a wide range of PVC pipes & fittings, for diverse applications in – • Agriculture, • Housing, • Building & Construction, • Telecom Industry Pipe processing capacity exceed
Slide 12: PVC Pipes & Fittings Division
Finolex gets people together PVC Pipes & Fittings Division HIGHLIGHTS Strong pan India distribution network ensures large number of satisfied customers First Indian pipe manufacturer to be awarded the IS/ISO 9001:2008 Only pipe manufacturer in India with control on quality parameters from raw
Slide 13: PVC Pipes – Segmental usage in India
Finolex gets people together PVC Pipes – Segmental usage in India 13 Source – Industry Estimates
Slide 14: PVC Pipes & Fittings – Our Reach
Finolex gets people together PVC Pipes & Fittings – Our Reach Pan India distribution network & reach Strong sales & marketing team spread Our across various states Pan-India Distribution base of more than 500 direct dealers network More than 15000 reach points through its 1500 strong sub-dea
Slide 15: PVC Pipes – Our Range
Finolex gets people together PVC Pipes – Our Range Agriculture Segment • Irrigation • Drip irrigation • Casing pipes Water Management Segment • Drinking water transportation pipes Construction Segment • Sanitation & Sewage pipes • Plumbing Pipes • Borewell pipes Telecom Ducting Segment 15
Slide 16: Agriculture Segment
Finolex gets people together Agriculture Segment GROWTH DRIVERS Government focus is on Rural water management Irrigation schemes of water to drive growth 12th Plan envisages investment of approx. Rs.2.3 trillion (USD 43bn) for water management Irrigation sector allocation to be approx. Rs.5
Slide 17: Construction Segment
Finolex gets people together Construction Segment Sewage Pipes • Urbanisation driving demand for larger and cost effective sewage lines. • Cast iron pipes being replaced by a cheaper and efficient option. • Original & replacement demand fuelling growth Plumbing Pipes • Galvanized pipes are being
Slide 18: Building & Construction Sector
Finolex gets people together Building & Construction Sector Housing shortage in urban area is ~ 22 million units. Govt. is targeting to build ~ 2 million units /year One unit in urban area consumes ~ 200 Kg of PVC products like pipes, flooring, door & windows etc. Housing shortage in rural a
Slide 19: PVC Resin Division
Finolex gets people together PVC Resin Division 19
Slide 20: PVC Resin Division
Finolex gets people together PVC Resin Division HIGHLIGHTS State of the art PVC Resin plant was set up near Ratnagiri on the west coast of Maharashtra in 1994 Today FIL is the 2nd largest producer of PVC resin in India Strategic location - supported by strong Infrastructure with captive power
Slide 21: India PVC Consumption: through the decade
Finolex gets people together India PVC Consumption: through the decade PVC Consumption in India 2416* 2500 2220* 2000 1500 KTPA 1000 500 0 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 Demand growing at double digit rate as compared t
Slide 22: PVC highlights 2012-13
Finolex gets people together PVC highlights 2012-13 Global • Capacity 53.9 MMT 6% • Addition 3.0 MMT (80% in China) • Demand 37.5 MMT 1.9% Domestic Industry • Capacity 1.3 MMT • Industry Growth 12 % • Consumption 2.22 MMT • Imports 1 MMT (0.2 MMT) Imports Domination to Continue. 22
Slide 23: Sector wise growth – 2012-13
Finolex gets people together Sector wise growth – 2012-13 Sectors Volume in KTA Growth % over 2011-12 Sector Share Pipes & Fittings 1640 14% 74% Calendars 190 13% 9% Films & Sheets 120 10% 5% Wire & Cable 120 6% 5% Profiles 75 25% 3% Others 75 5% 3% Total 2220 12% 100% Pipes continue to dominate the
Slide 24: India: 2015/2020 Demand Vs Supply
Finolex gets people together India: 2015/2020 Demand Vs Supply KT 6000 Capacity Imports Indian Suppliers 5000 4000 3000 2283 2000 1060 638 1000 299 4 1550 1550 1234 671 865 0 2000 2005 2010 2015 2020 24 Source – Industry estimates
Slide 25: PVC Sector wise Usage
Finolex gets people together PVC Sector wise Usage 3% 2% 1% 1% 3% 3% 4% 5% Bottles Floorings Others 2% 3% 8% 8% Wire & Cables Pipes & 8% Fittings 43% 70% Profiles 19% Films & Sheets 17% Pipes Calendering W&C Films Compound Fittings Profiles Footwear Sheets Others Indian Scenario Global Scenario 25 S
Slide 26: PVC Resin - Conclusion
Finolex gets people together PVC Resin - Conclusion India continue to remain deficient in PVC resin Demand for PVC to grow at double digit No visible new capacities in the near future in India Most of the incremental PVC demand to be met by Imports Feedstock surplus globally to stabilise r
Slide 27: Power Division
Finolex gets people together Power Division 27
Slide 28: Power Division
Finolex gets people together Power Division HIGHLIGHTS Operational thermal power plant – fully commissioned since May 2010 Located at Ratnagiri, Maharashtra Total generation capacity - 43 MW Plant based on imported coal – coal transported through conveyer to plant straight from Its own coal
Slide 29: Financial Overview
Finolex gets people together Financial Overview 29
Slide 30: Financial Highlights – Balance Sheet
Finolex gets people together Financial Highlights – Balance Sheet Particulars 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 Share Capital 1239.9 1240.0 1240.1 1240.1 1240.4 1240.9 1240.9 Reserves & Surplus 4046.7 4300.0 3759.5 4636.7 4962.7 5380.2 5970.8 Net Worth 5286.6 5540.0 4999.6 5876
Slide 31: Financial Highlights – Income Statement
Finolex gets people together Financial Highlights – Income Statement Particulars 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 Total Operational Income 10271.3 13948.5 14929.2 14549.3 19777.3 20997.8 21448.2 Total Expenses (Excl.Finance Cost) 901.5 1245.8 14829.7 12306.6 17580.4 18830.2 19
Slide 32: Financial Highlights - Quarterly
Finolex gets people together Financial Highlights - Quarterly Q4 Q3 Q2 Q1 Particulars (All values in Rs.mn) 31/03/2013 31/03/2012 31/12/2012 31/12/2011 30/09/2012 30/09/2011 30/06/2012 30/06/2011 Total Operational Income 6295.9 5930.1 6144.5 5687.0 3809.3 4317.2 5198.5 5609.5 Total Expenses (excl. f
Slide 33: Financial Highlights – Segment wise
Finolex gets people together Financial Highlights – Segment wise Particulars Q4 Q3 Q2 Q1 Segment Revenues 31/03/2013 31/03/2012 31/12/2012 31/12/2011 30/09/2012 30/09/2011 30/06/2012 30/06/2011 Total Revenues 9243.2 7882.4 8580.2 7858.4 6238.1 6191.3 7425.2 6808.1 PVC 4555.1 3970.4 4406.0 4315.2 277
Slide 34: Contact Details
Finolex gets people together Contact Details Corporate Office Finolex Industries Limited , D-1/10, M.I.D.C., Chinchwad Pune 411019, Tel.+91-20-27408200. 34
Slide 35: Thank You
Finolex gets people together Thank You 35
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