Steelcast Limited has informed the Exchange about Investor Presentation
AC/2079
23.05.2023
The Secretary, BSE Limited, Phiroze Jeejeebhoy Towers, Dalal Street, MUMBAI - 400 001
National Stock Exchange of India Limited, Exchange Plaza, 5th Floor, Plot No.C/1, G Block, Bandra-Kurla Complex, Bandra (E), Mumbai - 400 051
Scrip Code: 513517
Scrip Symbol: STEELCAS
Dear Sir/Madam,
Subject:
Submission of Investor Presentation under Regulation 30 of the SEBI (Listing obligations and Disclosure Requirements) Regulations, 2015.
In accordance with Regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find the Investor Presentation for the Quarter and year ended 31st March, 2023 (Q4 & FY23) as an attachment. This is for the general information of the investors and public at large. This Investor Presentation may also be accessed on the website of the company at www.steelcast.net
We request you to take the same on record and disseminate on your respective websites.
Thanking you,
For STEELCAST LIMITED,
(Umesh V Bhatt) COMPANY SECRETARY
L:\AC\2079\COMPLIANCES\SECRETARIAL\NSE and BSE Announcements\Presentation\2023.05.24\Covering Letter.docx
Investor Presentation – Q4 & FY23
Safe Harbor
This presentation has been prepared by and is the sole responsibility of Steelcast Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing
restrictions.
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securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment thereof. In particular, this
presentation is not intended to be a prospectus or offer document under the applicable laws of any jurisdiction, including India. No representation or warranty, express or implied, is made as
to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are
in all events not current after the date of this presentation. There is no obligation to update, modify or amend this communication or to otherwise notify the recipient if the information,
opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.
Certain statements contained in this presentation that are not statements of historical fact constitute “forward-looking statements.” You can generally identify forward-looking statements by
terminology such as “aim”, “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “intend”, “may”, “objective”, “goal”, “plan”, “potential”, “project”, “pursue”, “shall”, “should”, “will”,
“would”, or other words or phrases of similar import. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the
Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking
statements or other projections. Important factors that could cause actual results, performance or achievements to differ materially include, among others: (a) our ability to successfully
implement our strategy, (b) our growth and expansion plans, (c) changes in regulatory norms applicable to the Company, (d) technological changes, (e) investment income, (f) cash flow
projections, and (g) other risks.
This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. The Company may
alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such change or changes.
2
Q4 & FY23 Financial Performance
3
Q4 & FY23 Performance Highlights
Q4 FY23 (Y-o-Y)
FY23 (Y-o-Y)
Highlights
Revenue 120.3 Crs
29.3 %
Revenue 476.8 Crs
57.9 %
The Revenue from Operations saw an increase of 58% on a Y-o-Y basis. The higher demand of casting in global and domestic market led to better volumes
EBITDA 31.0 Crs
76.4 %
EBITDA 114.0 Crs
79.0 %
PAT 19.5 Crs
102.9 %
PAT 70.5 Crs
112.0 %
The EBITDA margins for FY23 stood at 23.9 %, which is an increase of 282 basis points on a Y-o-Y basis
The company has reported a PAT of Rs 70 crores, an increase of 112 % on a Y-o-Y basis with an increased PAT margin of 14.8 %
Company has commissioned its 5 MW Solar Power Plant for captive use effective from 30th March,2023. Hybrid power plant likely to be commissioned on or before 30th June, 2023.
4
Q4FY23 Consolidated Key Highlights
Revenue (Rs. in Crs)
EBIDTA (Rs. in Crs)
PAT (Rs. in Crs)
29%
120.3
93.0
76%
31.0
103%
19.5
17.6
9.6
Q4FY22
Q4FY23
Q4FY22
Q4FY23
Q4FY22
Q4FY23
5
FY23 Consolidated Key Highlights
Revenue (Rs. in Crs)
EBIDTA (Rs. in Crs)
PAT (Rs. in Crs)
58%
476.8
+79%
114.0
112%
70.5
302.0
63.7
33.2
FY22
FY23
FY22
FY23
FY22
FY23
Y-o-Y
Y-o-Y
Y-o-Y
6
Geographical Revenue growth (Y-o-Y)
Exports
+400 bps
60.0%
56.0%
Domestic
-400 bps
44.0%
40.0%
FY22
FY23
Y-o-Y
FY22
FY23
Y-o-Y
7
Revenue Breakup (FY23)
Segment-wise Revenue (%)
Geography-wise Revenue (%)
Total revenue Rs. 476.8 Cr
100.0%
OEM Sales
40.0%
Total revenue Rs. 476.8 Cr
60.0%
Domestic Exports
8
Quarterly Profit & Loss Statement
Particulars (Rs.Crs )
Revenue from Operations
Cost of Materials consumed
Changes in Inventories of finished goods & work in progress
Manufacturing Expense
Power, Fuel & Water Charges
Consumption of Stores & Spares
Total Raw Material
Value Addition
Employee Expenses
Other Expenses
EBITDA
EBITDA %
Depreciation and Amortisation Expense
Finance Costs
Other Income
PBT
PBT Margin
Exceptional items
Tax Expenses
PAT
PAT %
EPS (₹)
Q4 FY23
Q4 FY22
120.3
29.4
0.5
12.1
15.9
18.4
76.2
44.1
9.9
3.2
31.0
93.0
26.8
-2.7
11.5
15.0
14.1
64.7
28.3
7.6
3.1
17.6
25.7%
18.9%
4.4
0.4
0.1
26.2
21.8%
0.0
6.7
19.5
16.2%
9.6
4.3
0.4
0.1
13.0
14.0%
0.0
3.4
9.6
10.4%
4.8
Y-o-Y
29.0%
Q3FY23
119.7
Q-o-Q
0.5%
33.9
-1.9
10.9
16.8
15.2
74.9
44.8
9.4
4.8
30.7
25.6%
4.4
0.5
0.1
25.8
21.5%
0.0
6.5
19.3
16.1%
9.5
55.9%
76.4%
101.6%
102.9%
-1.6%
1.0%
1.8%
1.4%
FY23
476.8
121.4
11.9
45.3
65.2
64.9
308.6
168.2
37.0
17.2
114.0
23.9%
18.1
2.4
1.1
94.5
19.8%
0.0
24.0
70.5
14.8%
34.8
FY22
302.0
95.0
-26.9
34.4
49.5
48.5
200.5
101.6
28.4
9.5
63.7
21.1%
17.7
1.6
0.3
44.7
14.8%
0.0
11.5
33.3
11.0%
16.4
Y-o-Y
57.9%
65.6%
79.0%
111.3%
112.0%
9
Profit & Loss Statement
Particulars (Rs.Crs )
Revenue from Operations
Cost of Materials consumed
Changes in Inventories of finished goods & work in progress
Total Raw Material
Value Addition
Employee Expenses
Other Expenses
EBITDA
EBITDA %
Other Income
Depreciation
EBIT
Finance Cost
Profit Before Tax
Tax
Profit After Tax
PAT Margin (%)
EPS (As per Profit after Tax)
FY23
FY22
FY21
476.8
121.4
11.9
133.2
343.6
37.0
192.6
114.0
302.0
95.0
-26.9
68.0
234.0
28.4
142.0
63.7
157.7
36.3
-2.3
34.0
123.7
19.9
72.4
31.4
FY20
200.6
46.3
0.4
46.7
153.9
22.8
93.8
37.3
23.9%
21.1%
19.9%
18.6%
1.1
18.1
96.9
2.4
94.5
24.0
70.5
14.8%
34.8
0.3
17.7
46.3
1.6
44.7
11.5
33.3
11.0%
16.4
1.5
13.8
19.1
3.6
15.5
3.6
11.9
7.5%
5.9
0.5
16.0
21.8
4.7
17.1
9.1
8.0
4.0%
3.9
FY19
317.9
73.7
14.3
88.0
229.9
25.8
145.4
58.7
18.5%
1.4
15.7
44.4
9.4
35.0
10.1
24.9
7.8%
12.3
10
Balance Sheet – Assets (1/2)
Assets (Rs.Crs )
Non – Current Assets
Property, plant and equipment
Capital work-in-progress
Intangible Assets
Financial Assets
(i) Investments
(ii) Loans
(iii) Other Financial Assets
Non-Current Tax Assets
Other Non - Current Assets
Total Non – Current Assets
Current Assets
Inventories
Financial Assets
Investments
(i) Trade Receivables
(ii) Cash and cash equivalents
(iii) Bank balances other than (ii) above
(iv) Loans
(v) Other Financial Assets
Other Current Assets
Income Tax Assets (Net)
Total Current Assets
Total Assets
Mar-23
Mar-22
Mar-21
Mar-20
Mar-19
141.5
108.7
0.1
0.4
4.5
0.5
0.0
0.0
10.2
157.3
50.9
5.0
77.5
0.3
3.2
1.5
0.0
9.4
-
147.7
305.0
5.0
0.7
0.1
0.0
0.0
0.0
11.0
125.5
61.6
0.0
75.2
0.1
2.0
0.4
0.0
11.5
150.6
276.0
97.1
0.8
1.1
0.1
0.0
0.0
0.0
10.4
109.6
25.6
0.0
51.4
0.1
1.4
0.1
0.0
4.1
82.7
192.3
105.1
114.5
0.0
1.7
0.1
0.1
0.0
1.9
10.1
119.0
23.0
0.0
28.3
0.3
1.4
15.1
0.2
9.9
78.3
197.3
0.4
2.3
0.1
0.2
0.0
1.2
4.7
123.4
24.0
0.0
56.6
3.6
2.8
0.1
0.1
11.6
98.8
222.2
11
Balance Sheet – Liabilities (1/2)
Liabilities (Rs.Crs )
Equity
Equity Share Capital
Other Equity
Total Equity
Liabilities
Non-Current Liabilities
Financial Liabilities
(1) Borrowings
Provisions
Deferred Tax Liabilities, (net)
Other Non Current Liabilities
Total Non – Current Liabilities
Current Liabilities
Financial Liabilities
(i) Borrowings
(ii) Trade Payables
Total outstanding dues of creditors other than micro enterprises & small enterprises
(iii) Other Financial Liabilities
Provisions
Other Current Liabilities
Total Current Liabilities
Total Equity and Liabilities
Mar-23
Mar-22
Mar-21
Mar-20
Mar-19
10.1
205.1
215.2
0.0
1.3
6.9
0.0
8.2
10.1
146.4
156.6
0.0
1.1
6.7
0.0
7.8
10.1
118.7
128.8
8.8
1.3
8.4
2.0
20.5
10.1
107.8
117.9
12.5
1.1
10.2
4.6
28.3
10.1
104.8
115.0
27.6
1.0
4.2
4.5
37.2
23.6
62.8
14.3
17.2
24.5
41.1
14.4
1.1
1.3
81.6
305.0
35.7
10.7
1.1
1.4
111.7
276.0
14.0
7.9
0.9
5.8
43.0
192.3
10.4
19.8
0.9
2.6
51.1
197.3
16.2
21.8
0.7
6.8
70.0
222.2
12
Cash Flow Statement
Cash Flow Statement (Rs. Crs )
FY23
FY22
FY21
FY20
FY19
Profit before Tax
Adjustment for Non-Operating Items
Operating Profit before Working Capital Changes
Changes in Working Capital
Cash Generated from Operations
Less: Direct Taxes paid
Net Cash from Operating Activities
Cash Flow from Investing Activities
Cash Flow from Financing Activities
Net increase/ (decrease) in Cash & Cash equivalent
Cash and Cash equivalents at the beginning of the year
Effect of exchange rate changes on Cash & Cash Equivalent
Cash and cash equivalents at the end of the year
94.5
-19.4
114.0
17.4
131.3
-23.7
107.7
-54.2
-53.3
0.1
0.1
0.0
0.3
44.7
18.7
63.4
-50.6
12.9
13.0
-0.1
-32.7
32.8
0.1
0.1
0.0
0.1
15.6
16.2
31.8
0.9
32.8
3.5
29.3
-3.5
-13.8
12.0
-16.9
0.0
-4.9
17.0
20.4
37.4
6.7
44.1
9.7
34.4
-5.8
-24.6
4.0
-20.9
0.0
-16.9
19.0
22.1
41.1
-26.5
14.6
1.5
13.2
-12.9
-21.6
-21.3
-48.6
0.0
-70.0
13
Balance Sheet Ratios
Long term Debt (Rs. Crs.)
Short term Debt (Rs. Crs)
Debt to Equity
28
63.0
0.45
0.40
13
9
25.0
17.0
14.0
23.6
0.25
0.18
0.10
Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Mar-19
Mar-20
Mar-21
Mar-22
Mar-23
0
0
RoCE
RoE
Working Capital (in Days)
42.3%
37.9%
147
143
26.6%
28.4%
21.7%
23.3%
14.7%
13.2%
6.8%
9.8%
74
74
83
Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
14
Company Overview
15
Diversified Business Model catering to Varied OEMs in Different Industries
Existing Segments*
Earth Moving Industry
Mining
Mineral Processing Industry
Electro Locomotive
Steel Plants
Cement
Construction
* Business done is with all OEMs
16
Diversified Business Model catering to Varied OEMs in Different Industries Continued (Future Growth Drivers)
Foray into New Segments*
Railways
Ground Engaging Tools (GETs)
Defence
* Business done is with all OEMs
17
Presence across the Globe
USA
Mexico
Denmark
Germany
Poland
Slovakia
South Korea
China
Japan
India - Headquartered
Thailand
Singapore
Brazil
Australia
Export Presence
“Two-Star Export House Status holder”
Expected to increase the presence in 15+ countries in the next 1 to 2 years
Disclaimer: Map not to scale. All data, information and maps are provided “as is” without warranty or any representation of accuracy, timeliness or completeness
18
Experienced Board of Directors
Mr. Chetan M. Tamboli, Managing Director & CEO
• Aged 63 years, a third-generation entrepreneur, is a commerce graduate armed with an MBA Finance from USA
• Serving as a CEO since 2003 with total experience of more than 32 years. Looks after strategy, policy making and overall management
• Served as the Chairman Board of Governors, Government Engineering College, Bhavnagar, Gujarat since 2014
Mr. Rushil C Tamboli (Whole Time Director)
• Aged 33 years, is an Engineering graduate with Industrial Engineering (I.E.)
• Heading various departments and contributed to improve fuel efficiency of heat treatment
operations, developing new parts, achieving improvement in Man hours per ton
Mr. Hemant D Dholakia (Independent Non- Executive Director)
• Aged 58 years, he has completed his master’s degree in Marketing and Finance from
University of Scranton, USA and has experience in manufacturing industries more than 38 Years. He is the Managing Director at Goran Pharma Pvt. Ltd.
• Director at Hansrx Pvt. Ltd. & Partner at Parag Perfumes, Sihor, Bhavnagar, Gujarat
Mrs. Vidhi S Merchant (Non-Executive Non-Independent Director)
• Aged 31 years, is a Master of Arts & Master of Education (Psychology)
• Heading Human Resource department of the Company
• She is having experience as career counselor in India and overseas and is involved in various
Corporate Social Responsibility (CSR) activities
Mr. Apurva R Shah (Independent Non- Executive Director)
• Aged 53 years, he has received his undergraduate degree from London School of Economics
and Political Sciences and has an experience of more than 15 years.
• He is an Independent Director at GRP Limited, Acrysil Limited, Florican Chemicals and
Resins Private Limited
Mrs. Aarushi M Ganatra (Independent Non-Executive Director)
Mr. T Kumar (Permanent Invitee )
• Aged 64 years, is a graduate in Commerce
• She also heads a consultancy firm to advise in business, finance & investments
• Has worked for over 3 decades at various levels in the field of Statutory audits, internal
audits and human resource training.
• Aged 82 years, is a B. Tech graduate (IIT, Kharagpur) armed with M.E. (Foundry) (IISc, Bangaluru). He is a permanent Invitee to the Board and its committee meetings since September 2018 with total experience of about 50 years in the Company.
• He also served as CFO
19
19
Experienced Board of Directors Continued…
Mr. Harsh R Gandhi (Independent Non-Executive Director)
• Aged 45 years, is a Bachelor of Science in Management and Owner President
Management from Harvard Business School
• Joint Managing Director, GRP Limited, Mumbai manufacturing sustainable materials, focused on using end of life tyre & plastic waste to make raw materials for automotive, electrical, transportation.
Mr. Rajiv D Gandhi (Independent Non-Executive Director)
• Aged 60 years, is a Commerce Graduate from Bombay University and first generation
entrepreneur.
• He is CEO and Managing Director of Hester Biosciences Ltd., Asia’s largest single
location animal vaccine and health products manufacturing company.
Mr. Ashutosh H Shukla (Executive Director)
Mr. Subhash R Sharma (Executive Director)
•
•
Aged 60 years, is a is Mechanical Engineer from M S University and Post Graduate Diploma in Business Administration.
Has been with STEELCAST since 1997 and presently looking after complete operations of all the Plants apart from looking after HR.
• Aged 56 years, he is a Master of Commerce and a member of the Institute of Cost
Accountants of India (ICAI), formerly known as ICWAI..
•
Has been with STEELCAST since 2016 and looking after all the support services besides discharging duties as CFO. He is presently pursuing Company Secretaryship course
20
20
Future Strategy
21
Rationalization Measures
Initiated a rationalization plan since last 2 years
01
02
03
04
05
Company has set up 5 MW Solar Power Plant in Gujarat region for captive consumption which will bring savings in excess of Rs 4 cr.
Hybrid power plant to be commissioned on or before 30th June, 2023. Savings in power cost will be realised from June/July 2023 with annual savings in excess of Rs 6 crores.
Both these plants will meet around 80% of the total power requirement at present capacity utilization and balance 20% will be met through the state electricity board.
Reduction in throughput time for processing of castings – thus unlocking of capital from working capital needs
As a result of our continuous efforts to be a one stop solution for our customers, 70% of our turnover is in the form of machined castings.
22
THANK YOU
Company:
CIN: L27310GJ1972PLC002033
Name: Mr. Subhash Sharma, CFO
Email ID: ss@steelcast.net
Investor Relations Advisors:
Mr. Ronak Jain +91 9820950544 ronak.jain@linkintime.co.in
Mr. Rajesh Agrawal +91 9967491495 rajesh.agrawal@linkintime.co.in
23