COMMERCIAL SYN BAGS LIMITED 9M 9M / / Q3 3 - FY FY20 20 Earn - PowerPoint PPT Presentation

COMMERCIAL SYN BAGS LIMITED 9M 9M / / Q3 3 - FY FY20 20 Earn arnin ings Presentation

EXECUTIVE SUMMARY Manufacturing Company Overview Revenue Mix Fin Financia ial l Hig Highlights and Distribution Network (FY19) (FY • • • Commercial Syn Bags Limited FIBC (Flexible Intermediate Bulk The company’s manufacturing units (COMSYN), one of the oldest players Container) constitutes 70% of the are located at Pithampur near in the packaging industry, revenue and is mainly used for bulk Indore, India. INR 2,067 Mn manufactures bulk flexible packaging in chemicals, agriculture, OP. • The company produces 5 – 6 Mn Big up 28.4% YoY packaging products and industrial food, cement, construction REVENUE Bags annually. 5 Year CAGR traps and covers. industries, etc. 16.6% • The company have a strong clientele • • It mainly caters to the B2B segment Other products include Tarpaulin, across all the 6 continents. and its products cater to various BOPP Bags, Woven Sacks/Bags, PP industries like bulk packaging, Fabric, Garden Bags, Waste Bags, INR 253 Mn agriculture, chemical, cement, food, Box Bag, Ground covers, Pond Liners, construction, etc. Mulch Films, Spiral Tubing and Vermi up 68.7% YoY ₹ EBITDA Beds. 5 Year CAGR • The company offers a huge product 16.6% portfolio and a wide range within each product category to best suit their client needs. INR 110 Mn MTPA up 77.4% YoY EXPORTS TO EMPLOYEES ₹ PAT 5 Year CAGR 22.8% TARPAULIN Over 25 countries 17,000 Over 1,900 2

9M/Q3 - FY20 HIGHLIGHTS 3

Key Financials Q3 Q3-FY FY20 Fi Fina nancia ial Per erfor ormance: 9M-FY 9M FY20 Fi Fina nancia ial Per erfor ormance • • Ope Operatio ional l Inc ncome: INR 493 Mn Ope Operatio ional l Inc ncome: INR 1,444 Mn • • EBITDA: INR 65 Mn EBIT EBIT EBITDA: INR 181 Mn • • EBITDA Mar EBIT Margin in: : 13.18 % EBIT EBITDA Mar Margin in: : 12.53% • • Ne Net Profi ofit: INR 35 Mn Ne Net Profi ofit: INR 87 Mn • • PAT Mar Margi gin: 7.10% PAT Mar Margi gin: 6.02% • • Di Dilu luted EP EPS : INR 2.96 Dilu Di luted EP EPS : INR 7.37 4

Operational Highlights Q3 Q3-FY FY20 Ope Operatio ional l Per erformance: • Despite the overall economic slowdown, our performance was relatively stable with similar numbers in our customer base. • Our capacity utilisation for Q3-FY20 has remained at ~90%. • The reason for decline in the turnover for this quarter was primarily because of decrease in polymer prices which had to be passed on to the customers. • EBITDA margins have improved mainly because of rationalisation of employee cost and other expenses. • Net Profit margins have also improved reflecting the tax benefits received for the SEZ unit and other deductions under Income Tax. 5

Q3-FY20 INCOME STATEMENT PAR ARTICULARS (I (INR R Mn) n) Q3 Q3-FY20 Q3 Q3-FY19 Y-o-Y Q2 Q2-FY20 Q-o-Q Ope perational Revenue 493 493 540 540 (8 (8.7)% .7)% 542 542 (9 (9.0)% .0)% Total Expenses 428 469 (8.7)% 481 (11.0)% EBI EBITDA 65 65 71 71 (8.5)% (8.5)% 61 61 6.6% 6.6% EBITDA Mar EBI argi gins s (% (%) 13 13.18 .18% 13 13.15 .15% 3 Bps 3 11.25 11 .25% 193 19 3 Bps Other Income 4 (1) NA 3 33.3% Depreciation 17 14 21.4% 17 NA Finance Cost 12 12 NA 12 NA PBT 40 40 44 44 (9.1)% (9.1)% 35 35 14 14.3% .3% Tax 5 6 (16.7)% 6 (16.7)% PAT 35 35 38 38 (7.9)% (7.9)% 29 29 20.7% 20 .7% PAT Margins (% (%) 7.10 7.10% 7.04 7.04% 6 6 Bps 5.35 5.35% 17 175 5 Bps Diluted EPS (INR) 2.96 3.24 (8.6)% 2.47 19.8% 6

9M-FY20 INCOME STATEMENT PAR ARTICULARS (I (INR R Mn) n) 9M 9M-FY FY20 9M-FY 9M FY19 Y-o-Y Ope perational Revenue 1,44 ,444 1,51 ,518 (4.9)% (4 .9)% Total Expenses 1,263 1,327 (4.8)% EBI EBITDA 181 181 191 191 (5.2)% (5.2)% EBI EBITDA Margins (% (%) 12 12.53 .53% 12.58 12 .58% (5) Bps (5) Other Income 12 1 NA Depreciation 51 43 18.6% Finance Cost 35 36 (2.8)% PBT 107 107 113 113 (5.3)% (5 .3)% Tax 20 27 NA PAT 87 87 86 86 1.2% 1.2% PAT Margins (% (%) 6.02 6.02% 5.67% 5.67 35 Bps 35 Diluted EPS (INR) 7.37 7.25 1.7% 7

INCOME STATEMENT PAR ARTICULARS (I (INR R Mn) n) FY17 FY17 FY18 FY18 FY19 FY19 9M-FY 9M FY20 Ope perational Revenue 1,19 1,190 1,61 1,610 2,06 2,067 1,44 1,444 Total Expenses 1,073 1,460 1,814 1,263 EBITDA EBI 117 117 150 150 253 253 181 181 EBI EBITDA Margins (% (%) 9.83% 9.83 9.32% 9.32 12 12.24 .24% 12 12.53 .53% Other Income 20 6 11 12 Depreciation 36 40 62 51 Finance Cost 25 26 56 35 PBT 76 76 90 90 146 146 107 107 Tax 23 28 36 20 PAT 53 53 62 62 110 110 87 87 PAT Marg argins s (% (%) 4.45 4.45% 3.84 3.84% 5.32 5.32% 6.02 6.02% Other Comprehensive Income - - 2 - Tot otal Comprehensi sive Inc ncome 53 53 62 62 112 112 87 87 Diluted EPS (INR) 4.87 5.21 9.30 7.37 8

BALANCE SHEET PARTICULARS S (INR Mn) FY1 Y18 FY1 Y19 H1 H1-FY20 PARTICULARS S (INR Mn) FY1 Y18 FY1 Y19 H1-FY20 H1 EQUITIES S & & LI LIABILITIES ASSE SETS Shareholder Funds No Non-current Assets (A) Share Capital 118 118 118 (A) Fixed Assets (B) Reserves & Surplus 361 468 509 (i) Tangible assets 315 595 602 (C) Share application money pending allotment - - - (ii) Capital work-in-progress 157 17 44 No Non-current Liab Liabili ilitie ies (B) Long-term loans and advances 12 32 32 (A) Long-term Borrowings 148 205 241 (C) Other Non-Current Assets - 4 44 (B) Other Financial Liabilities - 11 10 (C) Deferred Tax Liabilities (Net) 29 31 31 (D) Long-term provisions - - - Current t Assets Current t Liab Liabili ilitie ies (A) Inventories 205 192 323 (A) Short term Borrowings 222 287 321 (B) Trade Receivables 231 360 294 (B) Trade Payables 98 147 136 (C) Cash & Cash Equivalents 54 34 58 (C) Other Financial Liabilities - 75 102 (D) Other Current Liabilities 130 11 36 (D) Short-term loans & advances 142 72 76 (E) Short-term provisions 13 14 8 (E) Other Current Assets 3 61 39 GRA RAND TOTAL - EQUITIES S & & LI LIABILITES 1, 1,11 119 1, 1,36 367 1, 1,51 512 GRA RAND TOTAL – ASSE SETS 1, 1,11 119 1,36 1, 367 1,51 1, 512 9

GROWTH IN NUMBERS PAT (INR MN) & PAT MARGIN (%) DEBT TO EQUITY (x) REVENUE (INR MN) & EBITDA MARGIN (%) 0.9 12.24% 5.32% 2500 14.00% 120 6.00% 0.8 4.45% 9.83% 12.00% 100 0.7 9.32% 5.00% 2000 3.84% 2,067 0.6 10.00% 80 4.00% 1500 0.5 1,610 8.00% 60 3.00% 0.4 6.00% 1000 1,190 0.3 40 2.00% 4.00% 0.2 500 20 1.00% 0.6 0.8 0.8 0.1 53 62 110 2.00% 0.0 - 0.00% 0 0.00% FY17 FY18 FY19 FY17 FY18 FY19 FY17 FY18 FY19 Debt to Equity Revenue EBITDA Margin PAT (INR Mn) PAT Margin (%) WORKING CAPITAL CYCLE BOOK VALUE PER SHARE (INR) NET WORTH (INR Mn) AND EPS (INR) 120 104 60.0 9.3 700 10 87 9 100 50.0 600 76 5.21 8 103 500 4.87 80 7 40.0 6 400 77 60 30.0 5 300 60 4 40 20.0 3 200 2 20 10.0 100 414 479 586 35.0 40.5 49.6 1 - 0 - 0.0 FY17 FY18 FY19 FY17 FY18 FY19 FY17 FY18 FY19 Working Capital Days Inventory Days Net Worth (INR Mn) EPS Book Value per Share 10

CAPITAL MARKET INFORMATION Share Price Data as on 31 st December, 2019 80% 70% 60% 50% 40% 30% 20% 10% 0% -10% Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Comsyn Sensex Share Holding Pattern as on 31 st December 2019 Price Data as on 31 st December, 2019 INR Face Vaue 10.00 Promoters CMP 49.3 56.05% 52 Week H/L 67.05/ 31.50 Market Cap (INR Mn) 582.6 Public No. of Share outstanding (Mn) 11.8 43.95% 1 Year Avg. Trading Volume ('000) 7.28 11