SATIANSE13 August 2019

Satia Industries Limited has informed the Exchange regarding Investor Presentation

Satia Industries Limited

An ISO 9001,

14001

& OHSAS

18001

company

Manufacturer

of Quality

15

1848

Writing, Printing & Speciality [BJre?

I ?

MARK

ECO

with

Paper

e

SATIA INDUSTRIES

LIMITED

The Manager Listing Department, Bombay Stock Exchange Ltd Floor

25, Phiroze

Jeejeebhoy Tower

Dalal

Street, Mumbai-400001

Stock Code:

539201

Date:12/08/2019

The Manager Listing Department, National

Stock Exchange of

India

Limited

Bandra-Kurla

Complex, Bandra

East

Mumbai-400051

Symbol: SATIA

Dear Sir/ Madam,

Sub:

Submission

of Analyst

I Investor

Presentation

Pursuant

to Regulation 30(6) read with

Part A of Schedule

III of the

and Disclosure

Requirements) Regulations, 2015, please find

enclosed

made

First

to Analyst ended

quarter

/

Investor

to

discuss

the

Financial

performance

June 30, 2019. We

are

enclosing herewith

copy

Thanking you Yours

faithfully, Industries

For Satia

Limited

SEBI

(Listing Obligation being presentation the the Company of updated Presentation.

for

of

11:J???

Rakesh

kumar

Dhuria

Company Secretary

...

..

.

Registered Office & Mill : VillageRupana, Sri Muktsar Sahib-152 032, Punjab, India. Ph.: 262001, 262215, 263585

Fax : 01633-263499

email: satiapaper@gmail.com

Branch

Branch:

Branch

: 613-615, Naurang House, 21, K.G. Marg, Con naught Place, New Delhi-110001 S.C.O. No. 90 • 92, Sector : 304, Navjeeva.nComplex, 29, Station Road, Jaipur-302006, Rajasthan Ph.

8 • C, Madhya Marg, Chandigarh -160018

Ph.: 23710351/52/53

Fax : 23718191

e-mail

: satiapaper@rediffmail.com

Ph.: 0172-2780022/23,4618377 Fax: 0172-4648600, satiaindustriesltd@gmail.com : satiapaper.jpr@gmail.com Fax : 0141-23744_33e-mail

: 2371055, 2379554

SIL - 004221

SATIA INDUSTRIES LIMITED

EARNINGS PRESENTATION Q1-FY20

SATIA INDUSTRIES 1,00 & OHSAS A

SO 900

,

LIMITED COMPANY

18001

1

Executive Summary

Company Overview

Key Clientele

• Incorporated in 1980, Satia Industries Limited (SIL), is one of the biggest and completely integrated Wood and Agro based paper manufacturers. • SIL’s products are extensively used in the printing of books, directories, envelopes, diaries, calendars, computer stationery, annual manufacture copy reports, etc.

around

• SIL has long standing relationship with State Text book Corporations 40% of and revenue from these organisations. • The remaining revenue attributes to the Public and Sector Companies.

Private

comes

Manufacturing and Distribution Network:

FY19 Financial Snapshot

• Manufacturing plant based out of Muktsar with capacity to manufacture over 1,25,000 MT per annum. • Completely integrated manufacturing operations with 3 paper machines, 100% in- house power generation and effluent treatment. • Strong Distribution Network: 70 dealers and 3 branch offices.

Operational Revenue INR 7,384 Mn

EBITDA INR 1,641 Mn

EBITDA Margin 22.22%

PAT INR 878 Mn

PAT Margin 11.89%

ROE 29%

ROCE 26%

2

About The Company

• Incorporated in 1980 by Dr. Ajay Satia, Satia Industries Limited (SIL) started its commercial

production of printing and writing paper at Muktsar, Punjab in 1984.

• SIL is one of the biggest Wood and Agro based paper plants in India manufacturing paper

using wood chips, veneer waste, wheat straw, sarkanda, etc.

• The Company has a fully integrated manufacturing facility, which includes paper machines,

pulping machinery, chemical recovery plant and power generation plant.

• Fully integrated production facility gives superior advantage in terms of cost efficiency and environmental compliance, ultimately leading to superior margin profile compared to peers.

• With a view to improve the quality of pulp and also to save on cooking chemicals, a

Continuous Digester has been installed by the Company.

• The product profile includes Super Snow White, Snow White, Photocopier paper, Map litho, Colored paper, Ledger paper, Cartridge paper, Duplicating, bond paper - with and without watermarks and Chromo (Art) paper from GSM range 42 to 200 GSM.

• Satia Industries Limited market its product through dealer network located all over India

and through Branches at Jaipur, Delhi & Chandigarh.

Operational Revenue (INR Mn) & EBITDA Margin (%)

7,384

6,421

5,708

4,336

12%

16%

19%

22%

21%

2,245

FY16

FY17

FY18

FY19 Q1 - FY20

Revenue (INR Mn)

EBITDA Margins %

Raw Materials Used of Total Volumes

Waste Paper Based 5%

Wood Based 30%

Agro Based 65%

3

Q1-FY20 Financial Overview

SATIA INDUSTRIES 1,00 & OHSAS A

SO 900

,

LIMITED COMPANY

18001

4

Q1-FY20 Financial & Operational Highlights

Operational Revenue

EBITDA

EBITDA Margin

Net Profit

PAT Margin

Diluted EPS

Q1-FY20 Financial Highlights

INR 2,245 Mn

INR 478 Mn

21.29%

INR 264 Mn

11.76%

INR 26.45 per share

Operational Highlights •

SIL has clocked the highest quarterly sales in its history, of 34,827 MT in Q1-FY20 as compared to 31,307 MT in Q4- FY19 representing a volume increase of 11%.

SIL secured two major orders in Q1-FY20 from:

1. Maharashtra State Board of Techniqual Education for 12,000 MT 2.

Assam State Textbook Corporation for 12,500 MT

Since the company generates REC certificates, it encashed around INR 3.48 Cr of REC certificate in the current quarter as compared to generating INR 6.06 Cr in FY19.

5

Quarterly Financial Trends

Operational Revenue (INR Mn)

2,245

1,801

1,985

EBITDA (INR Mn) EBITDA Margin (%)

452

22.8%

348

19.3%

478

30.00%

25.00%

21.3%

20.00%

15.00%

10.00%

PAT (INR Mn) PAT Margin (%) 285

264

187

10.4%

18.00%

16.00%

14.00%

14.4%

11.8%

12.00%

10.00%

8.00%

6.00%

4.00%

2.00%

0.00%

Q1-FY19

Q4-FY19

Q1-FY20

Q1- FY19

Q4- FY19

Q1-FY20

Q1-FY19

Q4-FY19

Q1-FY20

Interest Coverage Ratio

11.2

7.5

8.8

Gearing Ratio

0.8

0.7

0.7

Gross Current Assets Days

75

79

80

Q1 -FY19

Q4 -FY19

Q1-FY20

Q1 -FY19

Q4 -FY19

Q1 -FY20

Q1-FY19

Q4-FY19

Q1-FY20

6

Q1-FY20 Income Statement

PARTICULARS (INR Mn)

Operational Income

Total Expenses

EBITDA

EBITDA Margin

Other Income

Depreciation

Finance Cost

PBT

Tax

Profit After Tax

PAT Margin

Other Comprehensive Income

Total Comprehensive Income

Diluted EPS (INR ) (Not Annualised)

Q1-FY20

Q1-FY19

2,245

1,767

478

1,801

1,453

348

21.29%

19.32%

50

131

60

337

73

264

57

111

54

240

53

187

Y-O-Y

24.7%

21.6%

37.4%

197 bps

(12.3)%

18.0%

11.1%

40.4%

37.7%

41.2%

Q4-FY19

1,985

1,533

452

Q-o-Q

13.1%

15.3%

5.8%

22.77%

(148) bps

27

128

43

308

23

285

85.2%

2.3%

39.5%

9.4%

217.4%

(7.4)%

11.76%

10.38%

138 bps

14.36%

(260) bps

1

265

26.45

(2)

185

18.74

NA

43.2%

41.1%

8

293

28.50

(87.5)%

(9.6)%

(7.2)%

7

?SATIAINDUSTRIESLIMITED ?A

$09001,

S 18001 CO 1PANY

OHS

1400

Historical Financial Overview

8

Income Statement

PARTICULARS (INR Mn)

Operational Revenue

Total Expenses

EBITDA

EBITDA Margin

Other Income

Depreciation

Finance Cost

Extraordinary Items

PBT

Tax

Profit After Tax

PAT Margin

Other Comprehensive Income

Total Comprehensive Income

EPS (INR per share)

*As per IND-AS

FY16

4,336

3,801

535

FY17*

FY18*

5,708

4,799

909

6,421

5,203

1,218

FY19*

7,384

5,743

1,641

Q1 – FY20

2,245

1,767

478

12.34%

15.93%

18.97%

22.22%

21.29%

165

332

251

(16)

101

(30)

131

211

400

245

-

475

20

455

303

451

237

-

833

146

687

145

477

208

-

1,101

223

878

50

131

60

-

337

73

264

3.02%

7.98%

10.70%

11.89%

11.76%

-

131

13.12

(2)

453

45.55

(8)

679

68.67

2

880

87.77

1

265

26.45

9

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