Title Slide No Performance Highlights 4 Managements Message 5 - - PowerPoint PPT Presentation

title slide no
SMART_READER_LITE
LIVE PREVIEW

Title Slide No Performance Highlights 4 Managements Message 5 - - PowerPoint PPT Presentation

Title Slide No Performance Highlights 4 Managements Message 5 Company Highlights 6 Sector Perspectives 7 Financial Overview 8 Segmental Overview 9 2 Sugarcane crushing capacity at 79,000 TCD, Distillery and Co-generation Large


slide-1
SLIDE 1
slide-2
SLIDE 2

Title Slide No

Performance Highlights 4 Management’s Message 5 Company Highlights 6 Sector Perspectives 7 Financial Overview 8 Segmental Overview 9

2

slide-3
SLIDE 3

Large Capacities Focus on Value Maximization Management expertize Operational efficiencies Healthy Balance sheet

Sugarcane crushing capacity at 79,000 TCD, Distillery and Co-generation

  • perations of 320 KLPD and 148.2 MW (Saleable) respectively

One of the pioneers of Integrated Business Model in India that stabilizes revenue streams along with providing a hedge against the sugar cycle Strong management team with years of sugar industry experience Latest technology implemented to achieve highest operational results and leverage inter-plant synergies to maximize by-product utilization Debt-equity ratio stood at 0.45 as on June 30, 2014

3

slide-4
SLIDE 4

 Net Revenue grew by 18% to ` 8,043.6 million as compared to ` 6,816.2 million in Q1FY2014  EBITDA stood at ` 466.4 million as compared to ` 489.4 million in Q1 FY2014  Net Profit stood at ` (39.6) million as compared to ` (97.7) million in Q1 FY2014  EPS at ` (0.16) per share as compared to (0.40) in Q1 FY2014

Q1 FY2015 highlights v/s Q1 FY2014

4

slide-5
SLIDE 5

Commenting on the performance for Q1 FY2015, Mr. Vivek Saraogi, Managing Director, Balrampur Chini Mills Limited (BCML), said:

“The entire sugar industry in Uttar Pradesh has been under tremendous pressure as sugar operations have been unviable after making losses for multiple years in a row. Similarly, the Company’s sugar segment performance continues to be adversely affected owing to unreasonably high sugar cane prices as compared to the sugar

  • realizations. We remain hopeful that the Uttar Pradesh state government will address industry concerns by

achieving a long-term solution for cane pricing which is comparable to other key sugar producing states such as Maharashtra and Karnataka.”

5

slide-6
SLIDE 6

 BCML crushed 7.82 crore quintals of sugarcane in the current sugar season, as compared to 8.63 crore quintals in the sugar season 2013-14  Sugar production for the season stood at 76.53 lakh quintals as compared to 82.33 lakh quintals in previous sugar season  Recovery enhanced to 9.78% as compared to 9.54 % in the previous sugar season  In Q1FY2015, Distillery and Co-generation segments contributed positively to overall performance, enabling the Company to benefit from an integrated business model  As on 30 June 2014, the Company’s Long Term Debt stood at ` 534 crores  Working Capital borrowings as on 30 June 2014 stood at ` 899 crores  Long-term Net Debt-Equity ratio at 0.45 on 30 June 2014

6

slide-7
SLIDE 7

 According to ISMA, the country’s sugar production is estimated at 24.7 million tonnes in the ensuing sugar season, as compared to 24.3 million production in the previous season  In Maharashtra, cane acreage is estimated to be ~13% higher over previous season  Sugarcane acreage in U.P. is expected to be lower by 9%, leading to lower sugar production  Sugarcane arrears in Uttar Pradesh are estimated at ~ ` 5,000 crore  Huge differential between sugarcane price and sugar realizations has deteriorated the financial health of the sugar industry leading to cane arrears  Maharashtra formally adopted the linkage and set up Sugarcane Control Board for computation of sugarcane price (applicable from sugar season 2014-15)  Maharashtra contributes 35.3% of the national sugar output, followed by Uttar Pradesh (23.7%)

7

slide-8
SLIDE 8

Statement of Profit & Loss

(` million) Q1 FY15 Q1 FY14 % Q-o-Q Growth Net Operating Revenue 8,043.6 6,816.2 18.01% EBITDA 466.4 489.4

  • 4.70%

EBITDA Margin (%) 5.80% 7.18%

  • Depreciation

218.7 265.8

  • 17.72%

Interest 314.2 400.4

  • 21.53%

Profit Before Tax (39.6) (97.7)

  • Profit After Tax

(39.6) (97.7)

  • Profit After Tax Margin (%)
  • 0.49%
  • 1.43%
  • Diluted EPS (`)

(0.16) (0.40)

  • 8
slide-9
SLIDE 9

(` million) Segment Revenues % contribution to Revenues PBIT % contribution to PBIT Q1 FY2015 6,819.8 80.09% (601.3)

  • Q1 FY2014

5,787.4 79.24% (412.6)

  • % Shift

17.84%

Revenues in the sugar segment was higher in Q1FY15 as compared to the same quarter previous year owing to higher sales volumes  During the quarter, sugar sales stood at 20.18 lakh quintals as compared to 17.14 lakh quintals in Q1FY14  Profitability was impacted due to subdued realizations as compared to input costs, incurred naked costs

  • wing to a non-productive quarter, and inventory write downs

 Realizations for the Q1FY15 stood at ` 31.70 per kg as compared to ` 31.90 per kg in Q1FY14

9

slide-10
SLIDE 10

846.28 810.52 772.80 67.70 77.32 200 400 600 800 1000 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Cane Crushed (Lakh Quintals) 80.71 77.18 75.52 6.78 7.78 20 40 60 80 100 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Production (Lakh Quintals)

9.54 9.52 9.77 10.01 10.06 9.00 9.20 9.40 9.60 9.80 10.00 10.20 FY 2012 FY 2013 FY 2014 Q1 FY2014Q1 FY2015

Recovery (%)

28.74 33.01 30.44 31.90 31.70 26.00 27.00 28.00 29.00 30.00 31.00 32.00 33.00 34.00 FY 2012 FY 2013 FY 2014 Q1 FY2014Q1 FY2015

  • Avg. Realization – Free Sugar (` per kg)

10

slide-11
SLIDE 11

 Healthy overall performance registered by the distillery division on account of higher sales volumes  RS and ENA sales volumes for Q1FY15 stood at 12,771 KL as against 18,725 KL in Q1FY14  Average realizations for RS and ENA for the quarter stood at ` 35.17 per BL versus ` 29.52 per BL in Q1FY14  Ethanol sales stood at 6,404 KL in Q1FY15 as compared to 145 KL in Q1FY14  Production increased by 11% to 28,430 KL in Q1FY15 owing to higher molasses availability

11

(` million) Segment Revenues % contribution to Revenues PBIT % contribution to PBIT Q1 FY2015 693.2 8.14% 363.9

  • Q1 FY2014

563.3 7.71% 272.0

  • % Shift

23.06%

  • 33.79%
slide-12
SLIDE 12

55,785 67,666 77,950 25,615 28,430

  • 20,000

40,000 60,000 80,000 100,000 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Production (KL)

54,717 66,217 74,080 18,870 19,175

  • 10,000

20,000 30,000 40,000 50,000 60,000 70,000 80,000 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Total Sales (KL)

26.70 28.00 32.62 29.56 35.26 0.00 5.00 10.00 15.00 20.00 25.00 30.00 35.00 40.00 FY 2012 FY 2013 FY 2014 Q1 FY2014Q1 FY2015

Blended Realizations (` (` per BL) 16,531 18,543 19,066 3,510 9,313

  • 5,000

10,000 15,000 20,000 25,000

FY 2012 FY 2013 FY 2014 Q1 FY2014Q1 FY2015

Ethanol production (KL)

12

slide-13
SLIDE 13

 Co-generation segment registered stable sales and production volumes during the quarter  This segment reported 2017 lakh units of sales in Q1FY15 as compared 1944 lakh units in Q1FY14  During the quarter under review, income from Renewable Energy Certificate (REC) sales stood at ` 20.44 million  The Company’s expects upward revision in Co-generation realizations for units sold to Uttar Pradesh Power Corporation Limited (UPPCL)  Revised rates to be applicable from April 1st, 2014

13

(` million) Segment Revenues % contribution to Revenues PBIT % contribution to PBIT Q1 FY2015 985.8 11.58% 561.4

  • Q1 FY2014

939.3 12.86% 563.7

  • % Shift

4.95%

  • 0.41%
slide-14
SLIDE 14

7,393 7,489 7,505 2,373 2,410

  • 1,000

2,000 3,000 4,000 5,000 6,000 7,000 8,000 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Total Power Generation (Lakh units)

4,676 5,386 5,474 1,944 2,017

  • 1,000

2,000 3,000 4,000 5,000 6,000 FY 2012 FY 2013 FY 2014 Q1 FY2014 Q1 FY2015

Power sales from Bagasse (Lakh units)

4.02 4.05 4.17 4.29 4.30 3.80 3.90 4.00 4.10 4.20 4.30 4.40 FY 2012 FY 2013 FY 2014 Q1 FY2014Q1 FY2015

Realization from Bagasse Based Sales(` per unit)

14

slide-15
SLIDE 15

About Balrampur Chini Mills Limited

Balrampur Chini Mills Limited (BCML) is one of the largest integrated sugar companies in India. The allied businesses of the Company comprise distillery operations, cogeneration of power and manufacturing of

  • rganic manure. The Company presently has eleven sugar factories located in Uttar Pradesh (India)

having an aggregate sugarcane crushing capacity of 79,000 TCD, distillery and co-generation operations

  • f 320 KLPD and 148.2 MW (Saleable) respectively.

BCML is one of the most efficient integrated sugar producers in the country. The Company has grown its capacity by well-planned capacity expansion projects and the acquisition of existing companies over recent years. For further information contact: Kishor Shah / Pramod Patwari Balrampur Chini Mills Limited Registered Office: FMC Fortuna, 2nd Floor, 234/3A, A. J. C. Bose Road, Kolkata 700020. CIN : L15421WB1975PLC030118 Tel : +91 33 2287 4749 Fax : +91 33 2289 2633 Website : www.chini.com Email : kishor.shah@bcml.in pramod.patwari@bcml.in Anoop Poojari / Karl Kolah CDR India Tel: +91 22 6645 1211 / 1220 Fax: +91 22 6645 1213 Email: anoop@cdr-india.com / karl@cdr-india.com