Graphite India Limited

rs,

mited The Corporate Relationship Department 1st Floor, New Trading Ring, Rotunda Bldg., P.J.Towers, Dalal Street, Mumbai 400 001. Scrip Code - 509488 The Manager Listing Department National Sto

Rs. 701 Crore

________________________ 14 2 Executive Summary Q3 FY2023 Financial Performance o Net Sales of Rs. 701 Crores, a decrease of 20% y-o- o Net Sales of Rs. 669 Crores, a decrease of 20% y-o- y and 15% q-o-q y

20%

2 Executive Summary Q3 FY2023 Financial Performance o Net Sales of Rs. 701 Crores, a decrease of 20% y-o- o Net Sales of Rs. 669 Crores, a decrease of 20% y-o- y and 15% q-o-q y and 7% q-o-q Q3 FY

Rs. 669 Crore

FY2023 Financial Performance o Net Sales of Rs. 701 Crores, a decrease of 20% y-o- o Net Sales of Rs. 669 Crores, a decrease of 20% y-o- y and 15% q-o-q y and 7% q-o-q Q3 FY2023 Profit and Loss (Consolidated

15%

s. 701 Crores, a decrease of 20% y-o- o Net Sales of Rs. 669 Crores, a decrease of 20% y-o- y and 15% q-o-q y and 7% q-o-q Q3 FY2023 Profit and Loss (Consolidated) o EBITDA of Rs. 105 Crores as com

7%

decrease of 20% y-o- o Net Sales of Rs. 669 Crores, a decrease of 20% y-o- y and 15% q-o-q y and 7% q-o-q Q3 FY2023 Profit and Loss (Consolidated) o EBITDA of Rs. 105 Crores as compared to Rs. 203

Rs. 105 Crore

f 20% y-o- y and 15% q-o-q y and 7% q-o-q Q3 FY2023 Profit and Loss (Consolidated) o EBITDA of Rs. 105 Crores as compared to Rs. 203 Crores in Q3 FY22 (1) o Net Profit of Rs. 53 Crores as compared to Rs. 1

Rs. 203 Crore

and 7% q-o-q Q3 FY2023 Profit and Loss (Consolidated) o EBITDA of Rs. 105 Crores as compared to Rs. 203 Crores in Q3 FY22 (1) o Net Profit of Rs. 53 Crores as compared to Rs. 132 Crores in Q3 FY22 o EPS of

Rs. 53 Crore

idated) o EBITDA of Rs. 105 Crores as compared to Rs. 203 Crores in Q3 FY22 (1) o Net Profit of Rs. 53 Crores as compared to Rs. 132 Crores in Q3 FY22 o EPS of Rs. 2.66 per share Q3 FY2023 Profit and Los

Rs. 132 Crore

Crores as compared to Rs. 203 Crores in Q3 FY22 (1) o Net Profit of Rs. 53 Crores as compared to Rs. 132 Crores in Q3 FY22 o EPS of Rs. 2.66 per share Q3 FY2023 Profit and Loss (Standalone) o EBITDA of Rs.

Rs. 2.66

in Q3 FY22 (1) o Net Profit of Rs. 53 Crores as compared to Rs. 132 Crores in Q3 FY22 o EPS of Rs. 2.66 per share Q3 FY2023 Profit and Loss (Standalone) o EBITDA of Rs. 134 Crores as compared to Rs. 2

Rs. 134 Crore

ores in Q3 FY22 o EPS of Rs. 2.66 per share Q3 FY2023 Profit and Loss (Standalone) o EBITDA of Rs. 134 Crores as compared to Rs. 218 Crores in Q3 FY22 o Net Profit of Rs. 92 Crores as compared to Rs. 155

“Steel remains a critical raw material in various sectors and will benefit from the Indian government's increase in capital expenditure to Rs 10 Lakh Crores in the next fiscal year.”

Notes

4

Note

2

Note

1. EBITDA excludes an exceptional item, an additional expense of Rs. 8 Crores which was incurred for the closure of the German electrode production during Q3 FY23 3 Chairman’s Message K K Bangur Chairman “During the quarter, Graphite India reported consolidated Net Sales of Rs. 701 Crores, a decline of 20% y-o-y. EBITDA, before a one time charge of Rs. 8 Crores, was Rs. 105 Crores and Net Profit was Rs. 53 Crores. On a standalone basis, the company delivered Net Sales of Rs. 669 Crores, EBITDA of Rs. 134 Crores and Net Profit of 92 Crores From a manufacturing perspective, the consolidated capacity utilization during the quarter was 42% as compared to 56% in Q2 FY2023. The reduced production was caused by the closure of our German electrode plant and the downturn in the global economy. The company has a consolidated Net Cash position of Rs. 2,031 Crores at the end of December 2022. Total world crude steel production was 1,878.5 Mt in 2022, a 4.2% decrease compared to 2021. In developed

Note

1) Source: World Steel Association, the figures are estimates that may be revised with next month’s production update. Above data represents Total 64 Countries as per WSA which accounts for 98% of total world crude steel production 2) Source: PR News Wire 6 Graphite Electrode Industry ▪ The growing demand for infrastructure and consumer goods has driven the growth of steel production. Additionally, the trend towards urbanization has further boosted the steel demand. However, fluctuations in the global economy and trade tensions can impact the steel demand ▪ The demand for graphite electrodes and realisations are expected to remain volatile in the near term while cost inflation may further squeeze margins ▪ In 2021, China approved the construction of 43 new EAFs with a total crude steel capacity of 29 million Mt/year through capacity swaps, while in 2020, only about 10 million Mt/year of new EAFs received construction approvals ▪ The allocation of Rs 10 Lakh Crores towards capital expen

Notes

1. 2. 3. EBITDA excludes an exceptional item of Rs. 45 Crores and Rs. 8 Crores which was incurred for the closure of the German electrode production during Q2 FY23 and Q3 FY23 respectively EBITDA includes Other Income All margins calculated as a percentage of Net Sales (excluding Other Income) 8 Standalone Financial Performance (Rs. Crore) FY2023 FY2022 Growth (%) FY2023 Growth (%) FY2023 FY2022 Growth (%) Comments Q3 y-o-y Q2 q-o-q Nine Months Ended y-o-y Net Sales (Excluding Other Income) Other Income Total Income EBITDA / (Loss) Margin (%) Interest Depreciation 669 39 708 134 20% 2 10 835 61 896 218 26% 2 11 (20)% (36)% (21)% (39)% nm (9)% 719 104 823 207 29% 2 11 (7)% 2,186 2,032 8% (63)% (14)% (35)% nm (9)% 126 2,312 205 2,237 438 20% 6 32 622 31% 3 34 (39%) 3% (30%) 100% (6%) Y-o-Y Sales growth was driven primarily driven by improved realizations Q-o-Q Sales decrease was due to decrease in volumes and slight decrease in realisations Profit / (Loss) Before Tax 122 205 (40)% 194 (3

Notes

1. 2. EBITDA includes Other Income All margins calculated as a percentage of Net Sales (excluding Other Income) 9 Quarter Performance Trends Consolidated Net Sales Standalone Net Sales 880 825 701 835 719 669 Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23 Consolidated Operating Profit / (Loss) Standalone Operating Profit / (Loss) 203 23% 168 20% 97 14% 218 26% 207 29% 134 20% Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23

Notes

1. 2. Operating Profit / (Loss) is including Other Income All numbers in Crores unless specifically mentioned 10 Quarter Performance Trends Consolidated Net Profit / (Loss) Standalone Net Profit / (Loss) 132 15% 92 11% 53 8% 155 19% 139 19% 92 14% Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23 Consolidated Capacity Utilization Standalone Capacity Utilization 90% 99% 56% 42% 64% 49% Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23 Note: All numbers in Crores unless specifically mentioned 11 Leverage Profile Significant financial flexibility available for future organic and inorganic growth Consolidated Leverage Profile Standalone Leverage Profile (Rs. Crore) Dec- 22 Sept- 22 June- 22 Mar- 22 Dec- 21 (Rs. Crore) Dec- 22 Sept- 22 June- 22 Mar- 22 Dec- 21 Cash & Cash Equivalents1 2,376 2,527 2,667 2,774 2,785 Cash & Cash Equivalents1 2,085 2,234 2,474 2,482 2,468 Total Debt (345) (415) (464) (428) (333) Total Debt (221) (264) (356) (343) (249) Net Cash 2,031 2,112 2,203 2,346 2,452 Net Cash 1,864 1,97

Notes

1. Cash and cash equivalents include investments 12 Quarterly Segment Performance Consolidated Segment Performance Standalone Segment Performance Q3 y-o-y Q2 q-o-q Q3 y-o-y Q2 q-o-q (Rs. Crore) FY2023 FY2022 (Rs. Crore) FY2023 FY2022 Graphite and Carbon Others Less: Inter Segment Sales Segment Revenue Graphite and Carbon Others Profit / (Loss) before tax and interest Finance Cost Unallocated Income / (expense) Profit / (Loss) Before Tax (Before Exceptional Items and Associates) Share of Profit/Loss of an Associate Exceptional Items Profit / (Loss) Before Tax 650 51 * 701 71 7 78 (3) 14 89 - (8) 81 Growth (%) (21)% (9)% - (20)% (42)% (42)% (42)% (50)% (74)% FY2023 734 92 (1) 825 89 36 125 (4) 73 Growth (%) (11)% (45)% nm (15)% (20)% (81)% (38)% (25)% (81)% 824 56 * 880 123 12 135 (2) 54 187 (52)% 194 (54)% (3) - 184 nm nm (56)% - (45) 149 nm (82)% (46)% Graphite and Carbon Others Less: Inter Segment Sales Segment Revenue Graphite and Carbon Others Profit / (Loss) before tax and interest