Ncl Industries Ltd · NSE:NCLIND
Ncl Industries — Investor Presentation (June 2023)
36 slides from Ncl Industries's investor presentation, June 2023
Slide 1: NCL Industries Limited Corporate Presentation
NCL Industries Limited Corporate Presentation
Slide 2: Disclaimer
Disclaimer xx The material in this presentation has been prepared by NCL Industries Limited (NCL) and is general background information about NCL’s activities current as at the date of this presentation. This information is given in summary form and does not purport to be complete. Information in th
Slide 3: Table of Contents
Table of Contents Section 1 NCL Industries Limited - Corporate Profile 4 Section II Key Business Highlights 21 Section III Historical Financial Performance 32 3
Slide 4: NCL Industries Limited – Corporate Profile
xx NCL Industries Limited – Corporate Profile 4
Slide 5: NCL Industries - Corporate Profile
NCL Industries - Corporate Profile Incorporated in 1979, NCL Industries Limited (“NCL”) operates in Cement, Cement Particle Board, Ready-mix Concrete, Prefab Shelters and Energy businesses NCL began the journey with an initial capacity of 0.07 MT, has increased its capacity by 39x to 2.7 MT (inc
Slide 6: NCL Growth Over Years
NCL Industries – Corporate Profile Key Milestones TPD 200 600 900 1,800 4,800 8,000 Clinker Capacity 1984 1989 2003 2008 2010 2017 YEAR 2017 • Crossed INR 1,000 Cr in Gross Sales • Expanded clinker capacity to 2.6 MPA & cement capacity to 2.7 MTPA • Commissioned the 3rd CBPB Plant of 30,000 2011 TPA
Slide 7: Divisional Overview
NCL Industries – Corporate Profile Divisional Overview Cement Ready Mix Concrete Cement Particle Board Prefab Houses Hydel Power Flag ship division End to end service Panels manufactured Pioneers in Prefab • Division established for Products: OPC, PPC, 53- provided starting from with techn
Slide 8: Nagarjuna Cement – Overview
NCL Industries – Corporate Profile Nagarjuna Cement – Overview Fully automated integrated 2.6 MTPA clinker unit in Simhapuri, Telangana State of Art Plants Grinding units of ~ 1.7 MTPA & 1.0 MTPA respectively at Simhapuri, Telangana and Kondapalli, AP Ordinary Portland Cement (OPC) and Pozzola
Slide 9: Nagarjuna Cement - Facilities at a Glance
NCL Industries – Corporate Profile Nagarjuna Cement - Facilities at a Glance Integrated Cement Plant at Simhapuri, Telangana Telangana Cement Plant Cement Factory Automation & Control Telangana Cement Plant Andhra Cement Plant Equipment RMC Factory 9
Slide 10: Nagarjuna Ready Mix Concrete (RMC) – Overview
NCL Industries – Corporate Profile Nagarjuna Ready Mix Concrete (RMC) – Overview Superior RMC output resulting from use of high-quality 53 grade Nagarjuna OPC Nagarjuna RMC - Plants equipped with twin shaft concrete mixers to ensure homogenous mix Quality Product Absolute control over size, sh
Slide 11: Bison Panel - Cement Bonded Particle Board (CBPB): Overview
NCL Industries – Corporate Profile Bison Panel - Cement Bonded Particle Board (CBPB): Overview Offers cement bonded particle board (CBPB) under the brand “Bison Panel” (62% cement,28% wood & 10% “German water & chemicals); which combines the strength of cement and easy workability of wood Technolo
Slide 12: Bison Panel - CBPB Product Applications at a Glance
NCL Industries – Corporate Profile Bison Panel - Cement Bonded Particle Board (CBPB) - Product Applications at a Glance Partitions / Cabins False Ceiling Cubicles Security Cabins Kitchen Cabinets Doors Panels Kitchens Dressing Rooms Cupboards Conference Rooms Exterior Cladding 12
Slide 13: Energy Division – Overview
NCL Industries – Corporate Profile Energy Division – Overview NCL’s energy division was established with an objective to monetize renewable and eco-friendly sources of energy About the Division Division currently operates two mini hydel-power plants in Andhra Pradesh and Karnataka Srisailam po
Slide 14: Divisional Asset Overview
NCL Industries – Corporate Profile Divisional Asset Overview Facility Clinker Cement RMC Plant Simhapuri, Suryapet, Telangana 2.60 1.70 Hyderabad (2 Batching Plants) Kondapalli – Krishna, AP - 1.00 Visakhapatnam (1 Plant) Total Capacity 2.60 2.70 Total Facility Capacity in MW Facility Capacity in MT
Slide 15: Group & Associate Companies
NCL Industries – Corporate Profile Group & Associate Companies NCL Alltek & Seccolor Limited Engaged in manufacturing building materials Altek division: manufactures plasters, paints & putties. Seccolor division: manufactures cold roll-formed, pre-painted steel profiles to make doors & windows
Slide 16: Professional & Experienced Management
NCL Industries – Corporate Profile Professional & Experienced Management Over 35 years experience, second generation entrepreneur. He was appointed as Managing Director in 1995 and has played a key role in Mr K. Ravi steering the company to its present status Managing Director Qualification: Ele
Slide 17: Strong Board Cont’d…
NCL Industries – Corporate Profile Strong Board Cont’d… He has been associated with the Board since 1982 and elected as Chairman in 2008. He has vast experience in the textile industry. He is Mr R. Anand also the Chairman of Eastern Engineering Co (Bombay) Pvt Ltd, and Director in Nova Silk Pvt Lt
Slide 18: Strong Board
NCL Industries – Corporate Profile Strong Board Over 35 years experience in capital and financial markets of India Has been a member of BSE over 14 years Mr Kamlesh Suresh Gandhi Ramped up CIFCO, Centrum Capital Ltd & Religare Capital Markets Ltd. Independent Director Was on the Board of Ass
Slide 19: Awards & Accolades
NCL Industries – Corporate Profile Awards & Accolades “2nd Fastest Growing “ENTREPRENEUR OF THE “BEST WORKER’S Cement Company in small YEAR - MD, NCL, 2012” WELFARE, 1989 & 2011” Category, 2016“ by Hyderabad Management by Indian Cement Review FAPCCI Award Association Awards “BEST PERFORMING “RANKED
Slide 20: Shareholding Structure
NCL Industries – Corporate Profile Shareholding Structure Shareholding Pattern (As on September 2017) Select Investors SN Shareholders % Holding 1 HSBC Asset Management India 2.00 2 Reliance Capital Trustee Co Ltd 1.33 Public Bodies Corporate 42.30% Promoters, 49.35% 1 CD Equifinance Pvt Ltd 1.31 Ca
Slide 21: NCL Industries Limited – Key Business Highlights
xx NCL Industries Limited – Key Business Highlights 21
Slide 22: MBL’s Positioning
MBL’s Positioning NCL Industries Limited – Key Business Highlights Strong Track Record of Financial Performance Consistent Revenue Growth & Improving Profitability NCD Financing: Ensuring future growth not constraint Strategic Expansion - Well timed & Executed Industry shifting to an up-cycle back o
Slide 23: A Strong Track Record of Financial Performance
A Strong Track Record of Financial Performance “Consistent Revenue Growth and Improving Profitability” Consistent Revenue Growth Growing Revenues Slowdown Period Sector Revival Revenue (INR Cr) 1,165.4 994.3 Crossed the coveted INR 759.1 791.6 1,000 cr mark 630.1 607.1 561.5 424.6 339.1 275.0 195.5
Slide 24: NCD Finance: pre-emptive move to ensure future growth
A Strong Track Record of Financial Performance “NCD Finance: pre-emptive move by management to ensure future growth is not constraint” Cement Sector Upcycle (FY16 & beyond) CDR Restrictions Removed No restrictions on capex or funding Raised NCDs* Free to pursue opportunities by enter Pre-empted
Slide 25: Industry shifting to an up-cycle on back of Infrastructure growth
B Strategic Expansion - Well timed & Executed “Industry shifting to an up-cycle on back of Infrastructure growth … Impact of various sectors on Pan India cement demand Infrastructure growth key contributor for cement demand Up Cycle Up Cycle 40% 10.8% 7.2% 16% Down Cycle 15% Down Cycle 5.7% 4.8% Urb
Slide 26: Leading demand revival in South
B Strategic Expansion - Well timed & Executed …leading demand revival in South – Players with well timed expansion to benefit the most” Cement Demand Growth (CAGR) Operating Rates (South) 180 165 75% 162 North East Central West South 152 155 160 143 148 69% 70% 137 141 133 134 62% 65% 140 59% 60% 65
Slide 27: Uniquely positioned to benefit from cement up-cycle
B Strategic Expansion - Well timed & Executed “Uniquely positioned to benefit from cement up-cycle” Cement Division’s Revenue EBITDA per Tonne NSR per Tonne* INR Cr INR per Tonne INR per Tonne 1,004 769 4,343 4,295 3,987 839 3,466 3,437 593 646 478 431 520 476 17 FY13 FY14 FY15 FY16 FY17 FY13 FY14 F
Slide 28: Improving contribution across segments
C Successful Diversification Across Business Segment “Improving contribution across segments” Gross Revenue Split (FY13) Gross Revenue Split (FY17) Prefab RMC Energy Prefab Energy Structures 5% 0% Structures RMC 1% CBPB 1% 0% 4% 9% FY13 Gross CBPB FY17 Gross Revenue: 12% Revenue: INR 630cr INR 1165c
Slide 29: Cement Bonded Particle Board Industry – the rising star
C Successful Diversification Across Business Segment “Cement Bonded Particle Board Industry – the rising star” Indian Boards & Panel Industry Others (MDP, Gypsum Boards etc) 39% Indian boards and panel industry is dominated by wood based products like plywood, MDP, particle boards and gypsum board
Slide 30: CBPB Division: higher growth, margins & returns
C Successful Diversification Across Business Segment “CBPB Division: higher growth, margins & returns” Capacity Utilization (%) Revenue / EBIT Profile ROA Profile 102% 100% 96% 43.6% 23.2% 22.0% 60,000 60,000 60,000 60,000 60,000 120 16.3% 25.0% 32.6% 100 28.8% 88% 15.2% 15.6% 20.0% 23.6% 85% 80 22.
Slide 31: Professional Management – Strong Execution Track Record
D Professional Management “Strong Execution Track Record” Professional Management with over 3 decades of experience & in- Proven track record of setting-up depth understanding of market Brownfield / Greenfield plants and customer behaviour Mr K. Ravi Managing Director Mr K. Gautam Mr S. Narayanan Mr
Slide 32: NCL Industries Limited – Financial Summary
xx NCL Industries Limited – Financial Summary 32
Slide 33: Financial Performance – Improvement across operational & financial parameters
NCL Industries Financial Performance – Improvement across operational & financial parameters Net Revenue Capacity & Capacity Utilization INR Cr 767.3 78% 1.95 1.95 1.95 1.95 662.7 1.95 55% 66% 533.9 51% 47% 421.1 408.7 FY13 FY14 FY15 FY16 FY17 FY13 FY14 FY15 FY16 FY17 Capacity (MTPA) Utilisation (%)
Slide 34: Financial Summary – Q1 FY18 Performance
NCL Industries Financial Summary – Q1 FY18 Performance Net Revenue EBITDA PAT INR Cr 39.9 16.3 196.6 INR Cr INR Cr 8.3% 24.9 20.3% 5.5% 14.9% 9.1 166.8 Q1 FY17 Q1 FY18 Q1 FY17 Q1 FY18 Q1 FY17 Q1 FY18 EBITDA Margin (%) PAT Margin (%) Segmental Revenue Segmental EBIT INR Cr 11.7 INR Cr 0.3 Revenues
Slide 35: Summary Financial Highlights
NCL Industries Summary Financial Highlights Income Statement Balance Sheet Particulars (INR Cr) FY15 FY16 FY17 Q1 FY18 Particulars (INR Cr) FY15 FY16 FY17 Net Sales 533.9 660.8 765.5 196.6 Equity Share Capital 34.9 36.7 36.7 Other Income 4.9 3.2 3.6 1.4 Reserves 113.7 160.1 203.8 Total Income 538.8
Slide 36: Thank You
xx Thank You 36