Apar Industries Limited
5,923words
6turns
0analyst exchanges
0executives
Key numbers — 40 extracted
rs,
98.4%
48.7%
INR 7,013.05 crore
INR 4,656
69 crore
49%
INR 3,263.45 crore
40%
55%
100%
1%
Guidance — 3 items
Key Products and Facilities
opening
“Mobility) SECTOR OPPORTUNITY APAR ADVANTAGE o Infrastructure investments in Indian railways, Metros and High-speed rail to grow exponentially o India's domestic market for electric vehicles (EVs) is expected to grow at a CAGR of 49% between 2022 and 2030 o India had 5,254 public electric vehicle (EV) charging stations, to cater to a total of 20.65 lakh EVs 1 o These are all highly cable intensive expansions.”
Key Products and Facilities
opening
“Commissioned Wind-Solar hybrid (3.30 MW wind-turbine and 2.80 MWp of solar energy) project in partnership with a leading supplier.”
Key Products and Facilities
opening
“This project is expected save 10,000 tCO2e GHG emission per year.”
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Risks & concerns — 4 flagged
Leadership : > 70 Strong : 61-70 Adequate : 46-60 Below average : 30-45 Weak : < 30 APAR is at the upper end of ‘Adequate’ level APAR was ranked 148th amongst top 586 companies APAR + 22 Companies, Score = 59 147 Companies, Score > 59 416 Companies, Score < 59 In ‘Industrial’ segment, there were 42 companies, and APAR was ranked no.
— Scoring band
o Customers preferring parties they can depend upon including ability to have a risk management framework.
— Our Values
o Tight audit requirements, documentation & transparency making some of the weak players ineligible.
— Our Values
Forex & Interest rate Risk Management: o Defined methodologies to hedge forex based on natural hedges and forward covers.
— Metal Hedging Risk Management
Speaking time
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Opening remarks
Key Highlights
FY23 revenue of INR 7,013.05 crore o Largest Player in India in terms of sales of conductors in FY23 o Technology tie-ups with a US based company for ACCC2 conductors o Supplies to global turnkey operators and utilities o Products include 765 KV conductors, Copper conductor for Railways, Optical Ground Wire (OPGW) & CTC for transformer industry o Facilities at Jharsuguda and Lapanga in Odisha, Silvasa in Gujarat 1 In terms of Sales of Conductors in FY23 2 Aluminium Conductor Composite Core Corporate Presentation – October 2023 7 Specialty Oils & Lubricants – India’s Largest Private Sector Manufacturer 1 Transformer oil White oils Industrial & process oils Industrial & auto lubricants Petroleum jelly POWEROIL TO NE premium
Key Products and Facilities
FY23 revenue of INR 4,656. 69 crore o India's largest private sector manufacturer of specialty oils in terms of manufacturing capacity o Wide range of products in the Specialty Oils Segment o Over 49% Transformer Oil sold to overseas markets in FY23 o Al-Hamriyah, Sharjah plant. Proximity to customers in Middle East & East Africa o Product range includes Transformer oils for upto 800KV voltage class, among others o Licensing agreement for auto lubes with a European Company o R&D facility at Rabale 1 In terms of Manufacturing Capacity Corporate Presentation – October 2023 8 Cables – One of the Key Players in Domestic Renewable Segment Power cables House wire & cable Elastomeric cables E-beam irradiated cables OFC Speciality hybrid cables
Key Products and Facilities
FY23 revenue of INR 3,263.45 crore o One of the key supplier to Vande Bharat Trains o Launched E-beam facility o Supplier to nuclear power, defence and railways o Range of products include high-voltage power cables, medium-voltage & low- voltage XLPE cables, elastomeric cables, fibre optic cables and speciality cables o Greenfield Khatalwada plant for E-beam Elastomeric Cables, OFC Cables, others o HT expansion in Umbergaon and LT consolidation in Khatalwada o New product - MVCC and specialised wiring harness launched Corporate Presentation – October 2023 9 Introducing Telecom Solutions – Our newest vertical Diversified Telecom Solutions as a separate a business vertical to bring more focus and garner maximum growth potential: Product Portfolio o OFC solutions o LAN & 5G solutions o Convergence solutions o Network services o Serving current & new customers globally Focus Areas o Converged networks o Data centres o Rural Connectivity o 5G,IOT & M2M Solutions Provider o Introduced range
Scoring band
Leadership : > 70 Strong : 61-70 Adequate : 46-60 Below average : 30-45 Weak : < 30 APAR is at the upper end of ‘Adequate’ level APAR was ranked 148th amongst top 586 companies APAR + 22 Companies, Score = 59 147 Companies, Score > 59 416 Companies, Score < 59 In ‘Industrial’ segment, there were 42 companies, and APAR was ranked no. 3 Corporate Presentation – October 2023 31 Thank You ANNEXURES Mission, Vision and Values Our Mission (Why we exist): Infrastructure, To design & manufacture Building Blocks for Transportation & Energy that contribute Telecommunication Sectors meaningfully to make this world a more energy efficient, environmentally sustainable and safer place. Our Vision (Where are we going): in the Energy To be a Global Leader Infrastructure, & Telecommunication Sectors by providing the for our best solutions & value creation stakeholders. Transportation
Our Values
A P A R I A N Innovation Go beyond obvious solutions Driven Proactively strive for better outcomes Entrepreneur Empowered to take ownership Accountability Responsible for sustainable growth Leadership Inspire to lead the innovation curve Corporate Presentation – October 2023 34 What has played well for us Premiumisation o Shift from conventional conductors to High efficiency conductors. Premium products in Indian market and standard products in premium market leading to optimized margins o EPC turnkey solutions for reconductoring High transmission low sag conductors o Improving mix of naphthenic and special grades of oil leading to higher margins o Increase in mix of elastomeric and special application cables used in varied industries viz., Solar, Wind, Shipping, Mining, Defence, Railways etc. Globalisation o Expanding into global markets with exports contributing 48.7% of topline in FY 23 across all divisions both individually and collectively o Synergy across divisions for common cus
Metal Hedging Risk Management
o Well-established principles for hedging of Aluminium and Copper. o Prompt hedging of metals based on pricing formula. o Process ensures gain/loss of metals is appropriately passed on to customers. Forex & Interest rate Risk Management: o Defined methodologies to hedge forex based on natural hedges and forward covers. o Tight monitoring on working capital to minimise interest outgo. o Forex related costs & working capital interest forms an integral part of customer pricing ensuring complete costs pass through Corporate Presentation – October 2023 39 Environment: Carbon Footprint Our organisational boundary covers all our manufacturing plants, offices, go-downs, and all such emission sources under our operational control. Our manufacturing plants in India Gujarat : Khatalwada & Umbergam Maharashtra : Rabale Orissa : Jharsuguda & Lapanga (Sambalpur) Dadra and Nagar Haveli : Silvassa & Athola Our manufacturing plant in UAE Sharjah : Hamriyah Operational Boundary Scope-1: Direct emissions
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