SURYAROSNINSE31 July 2021

Surya Roshni Limited has informed the Exchange about Investor Presentation

Surya Roshni Limited

An IS/ISO 9001, An IS/ISO 14001 & IS: 18001 Company

SURYA ROSHNI LIMITED

CIN - L31501HR1973PLC007S43 2nd Floor, Padma Tower-1, Rajendra Place, New Delhi-110 008 Ph.: +91-11-25810093-96, 47108000 Fax : +91-11-25789560 E-mail : cs@surya.in Website : www.surya.co.in

SRL/21-22/53 Joly 31, 2021

The Secretary The Stock Exchange, Mumbai New Trading Ring, 14th Floor, Rotunda Building, P.J.Towers, Dalal Street, Fort, MUMBAI - 400 001 Scrip Code: 500336

The Manager (Listing Department) The National stock Exchange of India Ltd Exchange Plaza, 5th floor Plot No. C/1 , G Block Bandra Kurla Complex, Bandra (E) Mumbai - 400 051 NSE Symbol: SURY AROSNI

INVESTOR PRESENTATION

Dear Sir,

In terms of Regulation 30 read with Para A of Schedule TTl and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed copy of the "Investor Presentation - July, 2021 ". Copy of the same is also being uploaded on the website of the Company at, http://www.surya.co.in

Kindly take the same in your records.

Thanking you,

Yours faithfully For Surya Roshni Limited

~~ BBSINGAL - - Sr. V.P & COMPANY SECRETARY

Enclosed: as above.

Surya Roshni Limited

.......Seeking Opportunities by Value-Creation

Investor Presentation – July 2021

Safe Harbour

This presentation and the accompanying slides (the “Presentation”), which have been prepared by Surya Roshni Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company.

This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded.

This presentation contains certain forward looking statements concerning the Company’s future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forward looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, competition (both domestic and international), economic growth in India and abroad, ability to attract and retain highly skilled professionals, time and cost over runs on contracts, our ability to manage our international operations, government policies and actions regulations, interest and other fiscal costs generally prevailing in the economy. The Company does not undertake to make any announcement in case any of these forward looking statements become materially incorrect in future or update any forward looking statements made from time to time by or on behalf of the Company.

Index

The Company's Promoter & Executive Chairman, Shri Jai Prakash Agarwal, was conferred with Padma Shri Award for his distinguished services in the field of Trade and Industry by the Government of India

Quarterly Financial Updates

Company Highlights .

Lighting & Consumer Durables

Steel Pipes & Strips

Financial Highlights

Quarterly Financial Updates

Q1 Results Highlights of the Company

Revenue: +64% (YoY)

EBITDA: +112% (YoY)

Cash Profit: +221% (YoY)

In Rs Crs

1,453

887

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

EBITDA Margins improved by 144 bps to 6.41% in Q1 FY22 from 4.96% in Q1 FY21

Finance Cost reduction by 17% in Q1FY22 to Rs. 17 crores as compared to Rs. 20 crores in Q1FY21

Reported PBT of Rs. 51 crores in Q1 FY22 as compared to Rs. 3 crores in Q1 FY21

Reported PAT for Q1 FY22 Rs. 37 crores as compared to Rs. 2 crores in corresponding Q1 FY21

Diluted EPS of Rs. 6.86 for Q1 FY22 as compared to Rs. 0.41 in Q1 FY21

Continuous reduction in debt (prepayment of term loans of Rs. 102 crores during Q1 FY22) led to further improving in Debt to Equity Ratio to 0.51

Working Capital days improved to 73 days as on 30th June 2021 from 123 days as on 30th June 2020

Results Highlights - Lighting & Consumer Durables

Revenue: +14% (YoY)

EBITDA: +31% (YoY)

Cash Profit: +84% (YoY)

215

186

Margin

7.6% 16

6.7%

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

Revenue growth driven by 51% growth in Consumer Lighting – B2C

•

LED lighting grew by 29% whereas Conventional lighting de-grew by 14%

EBITDA Margins improved to 7.6% in Q1 FY22 from 6.7% in Q1 FY21 Registered PBT growth of 483% in Q1 FY22 to Rs. 8 crores from Rs. 1.4 crores in Q1 FY21

Registered PAT of Rs. 6 crores in Q1 FY22 as compared to Rs. 1.2 crores in Q1 FY21

Continuous price hikes to mitigate raw material cost pressure

Compression on Profitability on account of under-utilization of plants in Q1 due to COVID-19 Smart Lighting, Professional and Monumental lighting are well accepted. Company receiving regular orders Few projects completed during the quarter are Sangam International Cricket Ground - Bhilwara, Cricket Stadium – Hyderabad, Bhandari Bridge façade, Amritsar, NHAI – Vadodara Mumbai Expressway Working Capital days improved to 113 days as on 30th June 2021 from 208 days as on 30th June 2020

Highlights - Steel Pipes and Strips

Revenue: +77% (YoY)

1,239

702

EBITDA: +143% (YoY)

EBITDA / MT

5,033

2,463

Cash Profit: +289% (YoY)

In Rs Crs In Rs Crs

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

Q1 FY21

Q1 FY22

Volume growth of 22% in Q1 FY22 on YoY basis

Ever Highest EBITDA/MT at Rs 5,033 as against Rs 2,463 in Q1 FY21 and Rs. 4,251 achieved in Q4 FY21

• Timely commissioning of 3LPE coated facility leading to robust orders execution resulted in API Coated Pipes registering strong growth of 112% • International prices higher as compared to domestic prices resulting in export growth (value and volume growth of 109% and 36% respectively) • Higher contribution from API Coated Pipes, Exports and GI Pipes led to highest ever EBITDA / MT

Reported PBT of Rs. 43 crores in Q1 FY22 compared to Rs. 2 crores in Q1 FY21

Reported PAT of Rs. 31 crores in Q1 FY22 as compared to Rs. 1 crore in Q1 FY21

Strong orderbook of Rs. 847 crore in hand for API coated pipes as on 30th June ‘21 with order inflow aggregating to Rs. 614 crores during Q1 FY22

Working Capital days improved to 66 days as on 30th June 2021 from 101 days as on 30th June 2020

About Surya Roshni

A Strong Foundation

1973 Established Steel Pipe manufacturing unit at Bahadurgarh. More than 4 decades of Brand Equity

GI Pipes manufacturer in India

Rs 5,561 crores

Sales as on March 31, 2021

ERW Pipes exporter (50+ countries)

Lighting company in India

21,000+/250+

Pan India dealers / distributors for steel tubes and strips

2,50,000+/2,500

Countrywide retailers / dealers for Lighting and Consumer Durables

Credit Rating

Long Term “A+” Short Term “A1+” (top notch) CP “A1+” (top notch)

Professional Management Team

Mr. Jai Prakash Agarwal Promoter and Executive Chairman Mr. Agarwal is the driving force behind creating Surya as one of the most reputed, trusted and successful company. He has been honored with highly prestigious Padma Shri Award by Govt. of India.

Mr. Raju Bista Managing Director Mr. Bista is a young and dynamic leader. His discipline, dedication, visionary power and relentless efforts provides new dimensions and directions that have helped in achieving new heights. He is also been the immediate past President of ELCOMA.

Mr. R.N. Maloo Executive Director - Corporate Affairs & Group CFO Mr. Maloo is a qualified CA with over 3 decades of experience in corporate affairs, finance, commercial and taxation. He has held CFO positions in multiple renowned companies and was also in CA in Practice as Partner in renowned CA Firm M/s Kalani & Co, Jaipur.

Mr. Tarun Baldua Executive Director & CEO - Steel Pipe & Strips Mr. Baldua is a qualified CA with over 3 decades of experience in Commercial , operational and administrative roles across several Businesses. He is also the Vice President of Indian Pipe Manufacturers Association (IPMA).

Mr. Nirupam Sahay Executive Director & CEO - Lighting & Consumer Durables Mr. Sahay is an MBA from NMIMS Mumbai and AMP from Wharton, with an illustrious career spanning over 27 years. He has served as Global Business leader – Consumer Lamps in Philips Lighting and before that as President and CEO, Philips Lighting Indian Subcontinent. He is also ex-President of ELCOMA.

Strong Core Values

Customer Satisfaction

Customers – The Guiding Stars for Future Endeavors and Improvement

CORE VALUES

Surya Parivar

Principle-centric, close-knit family, trust, mutual respect and team spirit

Integrity

Moral Principles, undivided spirit. reflects in personal lives, financial transactions and business deals

Driving Profitable growth on 6 P’s principles

Social Responsibility Eco-Friendly products, optimized resources to conserve the environment

Professionalism

Promotional Activities

Performance Evaluation

Payback on Capex

Product Development

Productivity and Perfection

Transformation Journey

Greater Degree of Professionalism • Inducted Professional CFO and CEOs • Diversified the Board of Directors • ESOPs to < 225 Key Executive and Employees

Sound Financials with Substantial Debt Reduction • Debt/Equity Ratio at 0.51 times as on 30th June 2021 • PAT grew by 3 times in last 5 years • Top Notch Credit Rating (A1+) for short term facilities

Lighting and Consumer Durables

Steel Pipes and Strips

Shift from Conventional to Modern LED Lighting • Established R&D center (SITC) for LED & Smart lightings • Successfully Replaced CFL with LED Lights • Leadership in LED lighting / Façade Lighting • Smart lighting systems and Monumental lighting

Established Surya in Consumer Durables • Leveraging Surya Brand to venture into FMEG • High growth with geographical expansion and adding new products • Transition to FMEG with higher ROCE

Strengthening of Brand, Distribution and Channels • Strengthening of Distributors across Rural, Tier II and Metro cities • Converted EESL sales to Trade sales • Continuous reduction in warranty cost • Appointed Ogilvy & Mather as creative agency for Brand Building

Strategic CAPEX leading to higher ROCE • Leveraging existing infrastructure resulted in improving Asset Utilization • Capacity enhancement at Gwalior and Anjar plant • Established Hindupur plant in South and expansions thereof • Started own 3 LPE Coated API pipes unit at Anjar and further expansion

Thrust • Thrust on high margin Galvinized Pipes, exports and 3LPE coated API

pipes resulting in continuous increase in EBITDA/Tonne

• Saving in logistics cost due to decentralized production base • Setting-up DFT based Large Dia section pipe mill

Rationalization of Overheads • Driving cost efficiencies – Manpower, Power consumption, Stores etc. • Substantial reduction of finance cost (3.25% to 1.25% of Turnover) • Captive Solar Power Generation • Efficient Working Capital Management increasing ROCE / ROE

Strategically Located Facilities

Bahadurgarh, Haryana

R&D Centre STIC, Noida

Kashipur, Uttarakhand

Gwalior, Madhya Pradesh

Anjar, Gujarat

Units

Kashipur, Uttarakhand

Gwalior, Madhya Pradesh

Surya Technology & Innovation Centre (STIC), Noida, UP (R&D Centre)

Lighting Plants

Established

Products

Capacity

1984

1992

2012

LED lights & filaments and MCPCBs & Drivers

LED lights, GLS, Caps, MCPCBs, Drivers, etc

In house development of LED Lighting products.

• 90 Million LED Bulbs

• 3.6 Million Street Lights

• 10 Million Tube Light

• 200 Million GLS

Steel Pipes and Strips Plant

Steel Plants

Established

Products

Capacity

Hindupur, Andhra Pradesh

Lighting Plant

Steel Pipe Facilities

Branches

Bahadurgah, Haryana

Gwalior, Madhya Pradesh

Anjar, Gujarat

Hindupur, Andhra Pradesh

1973

2010

2017

ERW Pipes (GI, Black and Section), CR Strips, API Pipes

ERW Pipes (GI, Black and Section)

ERW Pipes (GI, Black and Section), Spiral, API Coated Pipes

ERW Pipes (GI, Black and Section)

Maps not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness

• ERW Pipes – 9,25,000 MT (incl.

GI – 3,60,000MT)

• Spiral Pipes – 2,00,000 MT • CR Strips – 1,15,000 MT • 3 LPE Coated (API Pipes)

• External – 27,50,000 sq mtr • Internal – 11,00,000 sq mtr • Under Installation; DFT based large Dia section pipe capacity

• 72,000 MT

Lighting & Consumer Durables Driving Strong Performance

Enhancing Brand Visibility

Glimpse of Recently completed projects

Façade lighting of Bhuteshwar Temple

Kedarnath Temple

Ahmedabad Railway Station

BKC Connector Bridge

Ahmedabad Railway Station

Glimpse of Products Range

Evolving Product Portfolio

LED-Trade LED- EESL CFL

Conventional Consumer Durables PVC

14%

12%

2016

43%

24%

18%

23%

2021

53%

0% 1%

Traditional Products

New Age Products

• Conventional Lighting and CFL contributed the

majority of the revenue in FY16

• LED lights replacing conventional lights

• Backward Integration with Glass Furnace

• Transformed the product portfolio to pre-

dominantly LED lighting and Consumer Durables

• High growth across Consumer Lighting, Professional

Lighting & Consumer Durables

• Smart Lighting, LED Downlighters and Street Lights

Distribution Strength – PAN India Reach

North 32%

West 25%

East 11%

South 32%

Revenue Split Q1 FY22

LED 56%

PVC 6%

Consumer Durables 17%

Conventional 21%

Metro Cities 18%

By Product

By Population

Rural 57%

Tier II 25%

#1 - States such as AP, Telangana, MP, Chhattisgarh, UP and Jharkhand #2 in Karnataka, Delhi, Maharashtra, Bihar, Rajasthan and Uttarakhand, among others Strong Rural distribution network; over 2,50,000 Retail Outlets pan India

Secondary Network of 300+ RTF & 2,000+ DSPs support primary network and promotes effective communication with the market, engagement activities with electricians and architects.

Complete product range, strong R&D and quality management teams

Decentralized branch / depot network system - quick logistical movements, prompt delivery, customer feedback and satisfaction.

Maps not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness

Strong Transition towards FMEG…

Sr. No

Product Name

Sales

EBITDA

Sales

EBITDA

Sales

EBITDA

Sales

EBITDA

Sales

EBITDA

FY15-16

FY 16-17

FY 18-19

FY 19-20

FY 20-21

LED- Trade

LED-EESL

Total LED (1 + 2)

12%

19%

CFL (Peak Sale Rs. 374 Cr.)

24%

Conventional

Consumer Durables

42%

14%

20%

16%

11%

12%

24%

11%

35%

10%

35%

19%

18%

12%

16%

10%

38%

21%

60%

22%

17%

14%

11%

13%

49%

56%

22%

21%

Grand Total (1 to 5)

100%

12%

100%

11%

100%

10%

100%

11%

53%

54%

23%

12%

11%

12%

100%

10%

Quarterly EBITDA Margin

Q4 FY21: 11.38%

Q1 FY19: 8.60%

Q1 FY20: 6.70%

Q1 FY22: 7.64%

Our Production Facilities and R&D

Kashipur Lighting Unit - Established in 1984

• Manufactures LED lights (Lamps, Street Lights, Downlighters and Battens) & Filaments and

MCPCBs & Drivers

Gwalior Lighting Unit - Established in 1992

• Manufactures LED lights (Lamps, Street-lights, Decorative lighting) and Conventional lights (GLS,

FTL), Caps, MCPCBs, Drivers

Surya Technology & Innovation Centre (STIC) at Nodia - Established in 2012 •

Approved by DSIR and NABL, with a focus on in-house development of LED Lighting products

Positive Trends

LED Lighting continues to grow, given the opportunity in replacement of conventional lamps and fixtures, as well as new points

LED pricing is on an increasing trend, replacement percentage reduction will help in improving profitability

Reduced imports from China of finished LED lighting, favorable for domestic branded LED manufacturers

With 100 Smart Cities underway, India is moving towards futuristic Smart Lighting

PLI for LEDs will encourage local manufacturing of components thus reducing the dependence on imported components

The ‘Make In India’ drive creating strong opportunities for branded players

Proposed PLI Scheme for Manufacturing of ‘Components for LED Lighting’

Objective

• To boost manufacturing of ‘Components for LED Lightings’ India to reduce dependency on imports of

components to create ourselves as Champions

Target Segments

• For manufacturing of Components of LED Lighting Products ( i.e. LED Drivers, Mechanicals, Housing, Packaging, Modules, Wire Wound Inductors etc.) under Large Investment Category

Quantum of Incentives

• 4% to 6% on incremental sales over the base year for a period of five years subsequent to

the base year with one year of gestation period

Fulfilling Investment Criteria

• By investing cumulative incremental minimum Investment in P&M of Rs. 25 crores • Incremental Sales over the base year of Rs. 450 crores

Eligibility Threshold Criteria

• Brown field investment at existing plants on eligible components • Meeting the pre-qualification criteria as per the scheme guidelines

Benefits to Surya

• Leverage own manufacturing of LED products • Increase the level of backward integration as well as increase the OEM opportunities

Surya Roshni will participate under the ‘Large Investment’ category for manufacturing of components of LED lighting

Value accretive strategies and outcomes

Establishment of the R&D Centre

Helps drive growth in the LED business, aligning portfolio with market opportunities

Leveraged existing distribution and retailer network leading to additional revenue stream

Growth of Consumer Durables (Fans and Appliances)

Channel financing

Helped dealers and deleveraged the Company

Market mapping and Sales Force Automation

GTM Approach

• Strong focus on quality systems & processes and continuous improvement • Strong New Product introduction processes in place

Strengthening the Brand

Quality focus & Product Development

• Signed Ogilvy as our Creative Agency • Significantly increasing our Advertising and Promotion spends

Market Growth Strategy

Goals and Aspirations

Where to Play

Strengthen #2 position in Domestic Lighting further, drive high growth in Consumer Durables and launch new businesses

▪ Leadership in LED across Consumer and

Professional segments

▪ Win in the Consumer market

▪ Be the last man standing in Conventional

Lighting, gain market share in LED and grow 3x in Consumer Durables

▪ Win in the Professional market

▪ Focus on Infrastructure, Industry segments,

Façade and Solar products

Solutions and Offerings:

▪ Drive energy efficient LED solutions

▪

Consolidate leadership in Conventional

Establish and grow Smart Lighting

▪ Grow Fans, Kitchen Appliances and Domestic

Appliances

Channels, Segments and Geographies: ▪ Maintain strong position in the Trade retail channel ▪ Maintain strong position in Semi-urban and rural

▪

India Strengthen Metros (Consumer Lighting & Durables) and South (Consumer Durables) Professional: Strengthen Infrastructure & Industry segments, grow Façade and Solar products

▪ Aggressive approach in OEM businesses

Product Growth Strategy

Drive LED Leadership • Leadership across Consumer and Professional segments

• Grow Smart Lighting

Grow Consumer Durables

• Grow Fans and

Appliances multifold

Win in Conventional • Consolidate leadership

in GLS, FTL and Components

• Remain the last man

standing

▪ Focus on Brand Building, Marketing, Advertising and

Promotion to drive preference and conversion

▪ Driving Customer Satisfaction through Quality products

▪ Continue to leverage Innovation and Development

capabilities at Noida Technology and Innovation Center

▪ Continue to leverage own Plants

▪ Deploy workforce appropriate to business opportunity

▪ Further strengthen systems and processes to improve

efficiency and productivity

PVC Pipes – Offering Sizeable Business Opportunities

Growth Drivers

Government initiatives such as Housing for All by 2022, ‘Nal se Jal’ by 2024, Project AMRUT and Swachh Bharat Mission

Demand outlook for non-agricultural pipes appears to be good as the major urban real estate markets show signs of a sustained recovery

The sector is expected to see an average Annual growth of 10%

Application Housing, irrigation, infrastructure, drainage and chemical transportation, among others

Operational Performance 13% revenue growth in FY21, Rs. 64 Cr as compared to Rs. 57 Cr in FY20

Market Research Sizeable business opportunity with Strong Branding of ‘Prakash Surya’ and Distribution Network

Capacity Expansion Reached capacity of 8,200 MTPA with expansion of 3,000 MTPA to expand beyond North India

Lighting & Consumer Durables Yearly Financial Performance

In Rs Crs

Revenue

Cash Profit

PAT

1,240

115

1 1 3 1

2 8 2 1

3 8 3 1

3 5 5 1

8 4 2 1

119 101 112 121

FY16 FY17 FY18 FY19 FY20 FY21

Capital Employed

Networth

Debt

490

367

696 725 730 887 682

347 394 408 481 317

349 331 322 406 365

FY16 FY17 FY18 FY19 FY20 FY21

123

Steel Pipes & Strips Strong Market Leadership

Steel Pipes and Strips Product Highlights

Galvanised (GI)

35%

Black

23%

Hollow Section

19%

API Coated Pipes

12%

CR Strips

11%

• Agriculture • Casing and tubing • Hot and Water Pipe • Green Houses • Fire Fighting • Street Light Poles • GP Pipes • Solar Panels • Spur Pipelines

• Construction Works • Fabrication • Powder Coating • Sign Boards • Industrial Application • Scaffoldings • Poles & Towers • Industrial Sheds • Irrigation

• Engineering & Architectural

• Structures Airport, Metros, Railways infrastructure

• Urban Development • Electrical Poles/Telecom

Towers

• Solar Structure

• Oil & Gas Pipelines • Oil Well Casing • Plant Piping • Water Pipelines • Industrial water • Chilled water • Cross Country Pipelines • CGD Pipelines

• Auto Components • Motor Stamping • Furniture & Fittings • Domestic Appliances • Drums and Barrels • Cycle Rims • Umbrella Tubes, Ribs • Engineering Applications

Key Sectors

Agriculture Fire Fighting

Housing

Infrastructure

Railways

Smart City

City Gas

Transition Towards Higher Margin Products….

FY15-16

FY 16-17

FY 18-19

FY 19-20

FY 20-21

CAGR

Sr. No

Product Name

Share*

EBITDA^

Share*

EBITDA^

Share*

EBITDA^

Share*

EBITDA^

Share*

EBITDA^

GI Pipe

Round Pipe

Section Pipe

25%

32%

19%

3,490

1,744

1,535

API Coated Pipe

CR Strips

24%

1,655

37%

24%

13%

17%

4,620

2,144

1,888

2,894

1,899

30%

27%

20%

13%

4,557

2,205

1,871

4,310

1,958

35%

24%

19%

11%

4,534

2,023

1,670

7,143

1,586

35%

23%

19%

12%

11%

Total

100%

2,115

100%

3,061

100%

3,010

100%

3,256

100%

4,602

2,216

1,843

7,630

1,693

3,525

Qty

21%

12%

11%

-3%

10%

Quarterly EBITDA per MT

Q4 FY21: Rs. 4,251

Q1 FY20: Rs. 2,857

Q1 FY21: Rs. 3,246

Q1 FY22: Rs. 5,033

•

The company started decentralization of production facilities from North and made investments in setting up of Hindupur (AP) unit, 3LPE Coated API pipes unit at Anjar (Gujarat) and also expanded capacities at existing units. This resulted into higher Capital employed and have now started generating Cashflow from FY21 The share of GI Pipe, Exports and 3 LPE Coated API pipe consistently resulting into higher EBITDA / MT

Note:-EBIDTA / MT (in Rs.) of Fresh Qty. ^ - EBITDA / MT * - Volume Share

Strategically Located Manufacturing Plants

Bahadurgarh (Haryana)

Anjar (Gujarat)

Gwalior (Madhya Pradesh)

Hindupur (Andhra Pradesh)

• Established in 1973 • Location

• Spread over 53 acres • Proximity to Bahadurgarh

Metro Station

• Within KMP Express

Highway

• Manufacturing Capabilities • ERW pipe (GI, Black,

Section),

• API Pipes for CGD • Cold Rolled (CR) Strips

• Established in 2010 • Location

• Spread over 96 Acres,

proximity to Mundra Port, giving strategic advantage in exports and imports • Manufacturing Capabilities

• ERW and Spiral Pipes, 3LPE,

API Coated Pipes

• Commercial Production of

expanded 3 LPE coated facility started from 31st March 2021

• Established in 2010 • Location

• Spread over 51 acres, centrally located, serving UP, Rajasthan, MP and Chhattisgarh markets

• Manufacturing Capabilities

• Thrust on ERW section pipes • Setting up DFT based large dia

section pipe mill (300x300 mm) to operate in 2021 • Eligible for state industrial incentives up to 2025

• Established in 2017 • Location

• Proximity to the premium

market of South India – Savings in logistic cost and lower cost of production

• Manufacturing Capabilities

• State-of-the-art facility with

capacity of 200,000 MT P.A. of ERW pipes (GI, Black, Section and GP Pipes)

• 3rd Galvanized plant started in

March 2021

3LPE Coating Plant – Driving Growth…

Accreditations • •

Accreditations from all major PMC like EIL, Mecon, Tractebel, Worly Pearson etc. Certifications of ISO 9001, 14001 & 18001

Application & Benefits •

Transportation of Petroleum & Natural Gas, City Gas and Bulk Water Transportation mainly in River connectivity Construction of new pipelines, replacement of ageing pipelines, urbanization and Infrastructure Development Provides Strength and Durability

•

Order Book •

API coated pipes order of above Rs. 847 crores in hand as on 30th June 2021

Expansion •

Commercial production of 2nd line 3LPE coating manufacturing facility commenced from March 31, 2021 (9,00,000 Sq Mtr)

Enhanced coating capacity resulting into cost efficiencies and improved margins through utilization of existing offline Spiral Pipe capacities

Leveraging Strong Brand and Distribution Network

Selling under ‘Prakash Surya’ Brand across India via established Dealer and Distributor network.

Strong brand leadership, historical presence, channel reach across India with strong presence in Tier II and Rural India, relationship build over decades

Participation in events, dealer meets to engage channel partners.

Extensive advertising and Coverage through Print and Electronic Media.

Advertisement in Local print, Media and Hoardings

The International Tube and Pipe Trade Fair, Germany

TV Advertisement for Prakash Surya Steel Pipes

Seeking Market Potential Opportunities

Robust Demand

Rising Investment

Supportive FDI Guidelines

Governments Initiative

Water •

•

• •

Oil and Gas • •

‘Har Ghar Nal se Jal’ mission aims to provide safe and adequate drinking water to 150 million households (approx. 0.5 million villages) Interlinking projects across 60 rivers through reservoirs and canals, will lead to an increase in irrigation land by about 15% Impetus on water conservation across 256 districts through rain-water harvesting, renovation of water bodies, reuse and recharge structures, watershed development.

Demand for primary energy in India is expected to 3x by 2035 to 1,516 million tonnes of oil India has a target of raising the share of natural gas in its energy basket from 6.3 per cent now to 15 per cent by 2030 Foreign Investors will have opportunities to invest in project worth US$ 300 billion. The National Gas Pipeline network expected to increase from the current 18,000 km to 34,500 km over the next 5-7 years.

City Gas Distribution •

The PNGRB is likely to come out with the eleventh round of CGD bidding within the next six months, which will cover over 300 districts and may have an estimated investment of Rs 1.2 lakh crore

• Government has planned investments worth USD 60 billion for developing natural gas supply and

distribution infrastructure across the country

Value accretive strategies and outcomes

Hindupur Facility at Andhra Pradesh

3LPE coating facility at Anjar

Alignment of production capacities

Savings in logistics cost, increase in market share, economies of scale and reduced dependency on the Bahadurgarh unit

Higher capacity utilization of Spiral & API pipes, savings in logistics & coating charges, increase in exports of GI & value-added pipes, generating higher margins

Ready to leverage emerging demands from Government’s thrust on Oil & Gas, CGD, ‘Nal se Jal’ and ‘Make in India’.

Increasing share of value-added pipes

Cost rationalization

Increasing engagement and publicity

Thrust on GI, API, Exports and other value- added pipes, leading to higher EBITDA

Reducing overheads, improving efficiencies and asset utilization

Improving Brand visibility through advertisements spent and Dealer Engagement

Supplying Products to Renowned Projects Abroad

Dubai EXPO 2021

Qatar FIFA 2022

Largest exporter of ERW Pipes and ERW Galvanized Steel Pipes (GI) from India

Exports to over 50 countries including Middle East, Australia, Europe, USA, Canada, Mexico, Ghana, Nigeria, among others.

China + 1 strategy to further boost demand

Export of Q1FY22 increased by 109%

Steel Pipes & Strips Yearly Financial Performance

In Rs Crs

Revenue

Cash Profit

PAT

4,328

199

4 5 6 1

5 0 6 2

5 5 5 3

7 2 4 4

5 3 2 4

100

131

140

171

FY16 FY17 FY18 FY19 FY20 FY21

-7

FY16 FY17 FY18 FY19 FY20 FY21

Capital Employed

Networth

Debt

1,594

1,000

594

0 9 8

6 9 2 1

4 1 4 1

7 5 4 1

8 4 6 1

344

557

639

671

922

546

739

775

786

726

FY16 FY17 FY18 FY19 FY20 FY21

The revenue of FY21 was impacted due to outbreak of COVID 19 pandemic and consequent lockdown at the beginning of the year. However, with unlocking, volumes started regaining and profitability improved substantially.

Steel Pipes & Strips Operational Performance

Total QTY Vs Fresh QTY (in Lac MT)

Fixed Asset/ Turnover (in Times)

8.12

8.44

7.70

7.39

6.15

4.28

3.96

5.74

6.89

7.49

7.84

7.25

FY16

FY17

FY18

FY19

FY20

FY21

EBITDA/ MT (In Rs.)

3,525

5.28

2.41

2.97

4.10

4.98

4.96

FY16

FY17

FY18

FY19

FY20

FY21

Increasing volume of other units (excl. Bahadurgarh unit)

71%

5 1 1 2

6 7 0 3

1 5 0 3

8 2 0 3

4 6 2 3

30%

49%

63%

68%

70%

FY16

FY17

FY18

FY19

FY20

FY21

FY16

FY17

FY18

FY19

FY20

FY21

Clients and Customers

40 40

Financial Highlights

Annual Financial Performance

In Rs Crs

Revenue

PAT

Debt to Equity

5,561

158

4 6 9 2

4 8 8 3

1 3 9 4

5 7 9 5

1 7 4 5

3 6

6 8

8 0 1

1 2 1

3 0 1

FY16 FY17 FY18 FY19 FY20 FY21

0.52

9 2 1

3 1 1

5 0 1

3 0 1

8 8 0

FY16 FY17 FY18 FY19 FY20 FY21

Capital Employed

ROCE

ROE

Debt

Netwoth 2,144

2,344 2,329

2,084

12.7%

12.1%

2,021 0 7 0 1

1 5 9

1,586

5 9 8

1 9 6

7 9 0 1

7 4 0 1

2 9 1 1

2 5 1 1

0 9 0 1

9 3 2 1

7 1 7

7 6 3 1

FY16 FY17 FY18 FY19 FY20 FY21

% 6 1 1

% 8 2 1

% 5 2 1

% 8 2 1

% 8 0 1

% 6 9

% 5 0 1

% 8 0 1

% 0 1 1

% 6 8

FY16 FY17 FY18 FY19 FY20 FY21

The Revenue of FY21 was impacted due to the outbreak of COVID 19 pandemic and consequent lockdown at the start of the year on easing out the restrictions demand arise from the semi-urban and rural areas and both businesses posted strong recovery

Income Statement – Q1 and Annual

Particulars (Rs. Crores) Total Revenue from Operations Cost of Material Consumed Purchase of Stock In Trade Changes in Inventories Total Raw Material Gross Profit Gross Profit (%) Employee Expenses Other Expenses Other Income EBITDA EBITDA(%) Depreciation EBIT EBIT(%) Finance Cost Profit Before Tax Tax Profit After Tax Profit After Tax(%) Other Comprehensive Income PAT After OCI

Q1 FY22 1,453 1,206 42 -107 1,141 313 21.5% 80 141 1 93 6.4% 25 68 4.7% 17 51 14 37 2.6% 0 37

Q1FY21 887 580 26 94 701 187 21.0% 68 76 1 44 5.0% 21 23 2.6% 20 3 1 2 0.3% 0 2

FY21 5,561 4,062 265 16 4,343 1,218 21.9% 307 532 5 384 6.9% 103 281 5.1% 70 211 53 158 2.8% 1 159

FY20 5,471 4,069 263 -96 4,235 1,236 22.6% 304 578 3 357 6.5% 103 254 4.6% 114 140 37 103 1.9% -2 100

YoY 1.7%

7.4%

51.1%

54.4%

Consolidated Balance Sheet

EQUITY AND LIABILITIES (Rs. Crores) (I) EQUITY (a) Equity Share capital (b) Other equity Sub Total (I) (II) LIABILITIES (1) Non-Current Liabilities (a) Financial Liabilities (b) Term Borrowings (c) Other Financial Liabilities

(d) Provisions (e) Deferred Tax Liabilities (Net)

Sub Total (II) (III) Current Liabilities (a) Financial liabilities (b) Working Capital Borrowings (c) Trade Payables (d) Other Financial Liabilities (e) Other current liabilities (f) Provisions & Current Tax Liabilities Sub Total (III) Total Equity & Liabilities (I+II+III)

Mar-21 Mar-20

ASSETS (Rs. Crores)

Mar-21 Mar-20

54 1,314 1,368

54 1,185 1,239

172 12 60 64

270 11 58 61

308

400

493 481 187 51 54 1,266 2,942

762 295 182 32 61 1,332 2,971

(I) NON-CURRENT ASSETS

(a) Property, plant & equipment

1,015

1,049

(b) Capital work-in-progress

(d) Right to Use Asset

Financial Assets

Other Financial Assets

Other Non - current assets

Sub Total (I)

(II) CURRENT ASSETS

(a) Inventories

Financial Assets

(b) Trade receivables

(d) Other Financial Assets

(f) Current Tax Assets

(g) Other current assets

Sub Total (II)

Total Assets (I+II)

1,103

1,130

869

918

756

696

156

180

1,839

1,841

2,942

2,971

Cash Flow Statement

Particulars (Rs. Crores)

Profit before tax

Depreciation and Interest

Operating Profit Before Working Capital Changes

Change in Working Capital

Cash generated from operations

Income taxes paid

Net cash inflow from operating activities (A)

Net cash inflow/(outflow) from investing activities (B)

Net cash outflow from Operating & Investing activities (C=A+B)

Cashflow used in financing activities, payment of interest, dividend and others (D)

(Decrease) / Increase in Net Debt (E) = C-D

Full Year ended 31-Mar-21

Full Year ended 31-Mar-20

Full Year ended 31-Mar-19

212

173

385

210

595

(54)

541

(66)

475

(101)

(374)

140

210

350

(35)

315

(39)

276

(48)

228

(127)

(101)

172

204

376

(221)

155

(35)

120

(105)

(131)

116

Reduction in Overall Net Working Capital

Inventory Days

Debtors Days

Net Working Days

Q4 FY20 Q2 FY21 Q3 FY21 Q4 FY21

CSR Initiatives…

Naturopathy and yoga

Personality Development

Our dedicated CSR arm Surya Foundation, discharges responsibilities in the fields of health, skill development and education.

Company

Investor Relations Advisors

CIN: L31501HR1973PLC007543

CIN : U74140MH2010PTC204285

Mr. Tarun Goel +91 9810248348 Email: tarungoel@surya.in

Mr. Jigar Kavaiya / Mr. Chinmay Madgulkar +91 99206 02034 / +91 9860088296 jigar.kavaiya@sgapl.net / chinmay.m@sgapl.net

www.surya.co.in

www.sgapl.net

Thank You

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