Sanghi Industries Limited has informed the Exchange about Investor Presentation

24th June, 2021

The Assistant Vice-President The National Stock Exchange of India Ltd Exchange Plaza, 5th Floor, Plot No.C/1, G Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051

The General Manager BSE Ltd Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001

Dear Sir,

Sub : Regulation 30 of SEBI (LODR) Regulations, 2015 – Corporate Presentation

Pursuant to provisions of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing herewith Corporate Presentation. The same is also available on the website of the Company i.e. www.sanghicement.com

.

Please take the same on your record.

Thanking you, Yours faithfully, For Sanghi Industries Ltd

Anil Agrawal Company Secretary

Growth while Focused on Sustainability

Production Efficiency

Supply Chain Efficiency

• Large Capacity base is available to manage

short term production disturbances

• Ability to continue supplies despite

external factors

• Focused market approach

• Gradual volume growth without disrupting

price or margins

• Optimize market practices via transparency

• Newer units allow for improving production

and vigilance

cost

• Lower maintenance costs

• Benefits of Economies of Scale

• Improve supply chain via technology and

improved systems

• Benefit of

lower

cost and faster

fulfilment

Lower Cost

Predictable Profit

Reduced Volatility

Continuous Volume Growth

Poised to Participate in Future Growth

Industrial & commercial, 20-22%

Cement Demand

Non-trade sales 50-52%

Trade sales 48-50%

Urban Housing, 32-34%

21-22 MT

Infrastructure, 28-30%

Rural Housing, 16-18%

• Gujarat has consistently showcased strong macro economic indicators

• GSDP – 12% CAGR from FY14- FY19* • Debt/GSDP -16*

• One of the Highest FDI receiving state at Rs. 43,000 cr in FY 19*. This is 8x more than

Karnataka State

•

In last 3 years. Gujarat garnered 735 new major industries. Out of 2574 in India. • 51% share of new IEM in India

*Industry Sources and Crisil

Cement Demand in Gujarat

28.5

5.3%

21.5

23.5

4.7%

30.0

25.0

20.0

15.0

10.0

5.0

0.0

FY20

FY22 (Proj.) FY26 (Proj.)

MnT

Avg. Growth p.a

Source : external

6%

5%

4%

3%

2%

1%

0%

Grow Faster than Industry

• Better Market Practices to drive

long term growth

• Garner larger share of Incremental

demand

• Maintain profit margins despite

volume growth

• Sharp focus on improving both

quality of sales

• Integrated approach -

customer satisfaction, dealer

network profitability, sales

team management and supply

chain

• Technology intervention to drive

process improvements

Cement Demand in Gujarat – Key Highlights

Infrastructure

• Expected to Grow at 5-6% ~ 6-8 MMTPA* • Delhi Mumbai Freight Corridor, Smart cities, Rajkot, Surat Airport • High Speed Rail, Ahmedabad Metro (6.5km operational)

• State capital outlay of Gujarat rose by 2.4%. • ~962 kms of NHAI projects constructed during FY16-20 • Porbandar – Dwarka (118 km), Vadodra- Mumbai, Kodinar – Bhavnagar Highway (130 km)

Roads

• Demand of 12-15 MMTPA; Expected to grow at 3-5% • Weak real estate demand and high share of concrete houses limited demand growth • Healthy Demand from Rural housing is expected due to good rainfall and high disposal income in

Housing

Rural India

• Industrial GVA of Gujarat grew at 12.4% over past five years (2014-19) • While the services GVA of the state grew at 8.5% over past five years (2014-19) • Expected Demand of 5-6%. ~ 4-6 MMTPA.

Industrial & commercial

Source : external *Includes Roads Demand

Expanding Presence in Western India

FY-21 Geographical Distribution

FY-23P Geographical Distribution

18%

30%

82%

70%

Gujarat

Non-Gujarat

Gujarat

Outside Gujarat

Wide market reach due to shipping infrastructure

• Western India markets of Mumbai and Cochin at sustainable margins

• 3 Bulk Cement Terminals at Navlakhi (Gujarat), Dharamtar (Mumbai) and Kochi enables

competitive cost of delivery and timely fulfilment of orders

• Secondary Markets of Rajasthan and MP can be accessed during low demand cycles

MMR Region ~ 7-8 MMTPA

Ambuja, 21%

ACC , 21%

Vicat, 6%

Sanghi, 1%

Others, 21%

UT , 30%

Source: Primary sourcing, CRISIL Research

10.0

8.0

6.0

4.0

2.0

0.0

6.8

7.4% 7.3

9.5 7.8%

8%

6%

4%

2%

0%

FY21 (Est.) FY22 (Proj.) FY26 (Proj.)

MnT

Avg. Growth p.a

Clinker Trading Opportunities

Africa

23

30

MMT

15

Sri Lanka

Bangladesh

3.6

4.7

2.9

16

21

18.6

2015

2017

2019

2015

2017

2019

2015

2017

2019

Source: Global Cement

Clinker Consumption Regions

• Clinker to Tanzania, Kenya, Ivory Coast is

possible due to high number of stand alone

Grinding units

• Sri Lanka is the 4th largest country importing

clinker. ~ India is a natural supplier of choice

• Bangladesh is one of

the largest clinker

importer in the world. ~ 20 million imports

Source : external

Sanghi - Supplier of Choice

• One of

the lowest cost producers with

access to captive port

• Close proximity to largest demand centers in

the world

• India is a member of SAARC

• Long and Deep relationships with largest

customers

. d e v r e s e r s t h g i r

l l

A

. d t L

I

L I S R C 7 1 0 2 ©

Key Financial Indicators

Performance

FY19

FY20

FY21

Rs. Crore

Sales Volume (MMTPA )

Net Income

EBIDTA

EBIDTA % to Net Income

EBIDTA per tonne

PBT

Tax Credit derecognised

PAT

2.67

1088

181

17%

678

52

-

52

1.97

900

205

23%

1043

65

-

65

2.15

948

249

26%

1158

112

34

78

Lowest Cost Producer in the industry

13

Sanghi Industries – Senior Management

PHOT O

 Mr. Ravi Sanghi - Chairman and Managing Director of the Company, is a first generation entrepreneur and the visionary behind the establishment of one of the world's largest integrated single-stream cement plant in Kutch, leading it since its conception to completion. He has vast experience in conceptualizing and directing projects across diverse industries and magnitudes.

 Mr. Aditya Sanghi - Whole Time Director, holds a Masters Degree in Industrial Engineering from Rochester Institute, USA and has worked with leading American companies. He has rich experience in management of the clinker and cement operations, and the establishment of CPP. He successfully implemented many best manufacturing practices and executed diverse projects for the company. He expertly guides the production, project and corporate strategy.

 Mr. Alok Sanghi - Whole Time Director, has studied Finance and Management from Kelley School of

Business, Indiana University, Bloomington, USA. He has worked with leading financial services companies. He has been instrumental in successfully launching the company's products in domestic and international markets. He possesses acumen in corporate, commercial, shipping and marketing strategies.

 Mrs. Bina Engineer - Whole Time Director, is a qualified Chartered Accountant having rich and wide-range experience of more than two decades in the areas of Project and Corporate finance. She has been conferred “Best CA CFO Award – Woman 2016” by Institute of Chartered Accountants of India, Roll of Honours CFO 100 2018 and Best Woman CFO Award 2018 by Yes Bank Business World

 Mr. N. B. Gohil - Whole Time Director, has more than 37 years of rich industrial experience in various

activities pertaining to Thermal Power Plants. He specializes in Pollution Control Norms, Factory Regulations and other administrative matters.

Disclaimer

This presentation does not constitute or form or deem to constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities of Sanghi Industries Limited (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 therefore. This presentation and its contents are not and should not be construed to be an offer document or prospectus.

This presentation contains statements that constitute forward-looking statements. These statements include descriptions regarding the intent, belief or current expectations of the Company, its directors and officers with respect to the results of operations and financial condition of the Company. These statements can be recognized by the use of words such as “expects” “plans” “will” “estimates” or other words of similar meaning, and speak only as of the date of this presentation. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those in such forward-looking statements as a result of various factors and assumptions which the Company believes to be reasonable in light of its operating experience in recent years. The Company does not undertake to revise any forward-looking statement that may be made from time to time by or on behalf of the Company.

The information contained in this presentation has not been independently verified. No representation, warranty, guarantee or undertaking, express or implied, is or will be made as to, and no reliance should be placed on, the accuracy, completeness or fairness of the information, opinions etc. contained in this presentation. Potential investors must make their own assessment of the relevance, accuracy and adequacy of the information contained in this presentation and must make such independent investigation as they may consider necessary or appropriate for such purpose. Any opinions expressed in this presentation are subject to change without notice. None of the Company, its representatives, its advisors, its subsidiaries, its associates, the placement agents, promoters or any other persons that may participate in any offering of any securities of the Company shall have any responsibility or liability whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith.

This presentation is not for publication or distribution or release in any country where such distribution may lead to a breach of any law or regulatory requirement. The information contained herein does not constitute or form part of an offer or solicitation of an offer to purchase or subscribe for securities for sale. The distribution of this presentation in certain jurisdictions may be restricted by law and persons into whose possession this presentation comes should inform themselves about and observe any such restrictions.