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Apar Industries Ltd Earnings Release 2023
61163_rns_2023-01-31_d9fe589b-da87-4125-8fa5-5f68c1eb3881.pdf
Earnings Release
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SEC/3101/2023 January 31, 2023
| BSE Ltd. |
|---|
| Corporate Relationship Department, |
| 27th Floor, Phiroze Jeejeebhoy Towers, |
| Dalal Street, |
| Fort, |
| Mumbai -400 001. |
| Scrip Code : 532259 |
| Kind Attn. : Corporate Relationship Dept. |
Sub. : Investor Update / Earnings Call Q3_FY23
Ref.: Regulation 30 and all other applicable regulations, if any, of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended from time to time.
______________________________________________________________________
Dear Sir,
We are sending herewith an Investor Update / Earnings Call for the Third Quarter and
Nine Months period ended December 31, 2022 of the Current Financial Year 2022-23 for the information of members and investors under the above regulations.
Thanking you,
Yours Faithfully, For APAR Industries Limited (Sanjaya Kunder) Company Secretary A RAJU KUNDER Digitally signed by SANJAYA RAJU KUNDER DN: c=IN, o=PERSONAL, title=7428, pseudonym=9fdeb5687d624d869f090b 9361568600, 2.5.4.20=e1e7d44fe70d01431f3f8f9fbc5 d579df83d4f144d97b964a056b828176 242b3, postalCode=400083, st=Maharashtra, serialNumber=0cc5c938eb4e54110332 d07255e723e3bd1a6849c5d87c4f34e5 bec3533aa715, cn=SANJAYA RAJU KUNDER Date: 2023.01.31 14:51:38 +05'30'
Encl. : As Above
EARNINGS CALL UPDATE
January 2023
Q3 FY23: Volume-led strong growth across divisions; Profitability at 3x v/s LY
9M FY23: Historically high revenue, margins and profitability over 2x v/s LY
- volume o PAT was up 127% YoY to reach INR 395 crores with 3.8% margin versus 2.8% in 9MFY22
3
- o New order inflow of INR 1,993 crore, up 6% YoY o Robust order book at INR 4,885 crore with 44% share from premium products
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
4
Conductors: 9M FY23 highlights
5
- o New order inflow of INR 5,478 crore, up 27% YoY o Robust order book at INR 4,885 crore with 44% share from premium products
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
6
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
Lubricants : Q3 FY23 highlights
8
Earnings Call update – January 2023 Note: Above numbers are given only for analytical purpose. These numbers are already included in Slide 47 in Specialty Oils & Lubricants performance
Lubricants : 9M FY23 highlights
9
Earnings Call update – January 2023 Note: Above numbers are given only for analytical purpose. These numbers are already included in Slide 48 in Specialty Oils & Lubricants performance
Cables : Q3 FY23 highlights
10
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
Cables : 9M FY23 highlights
11
*After adjusting open period forex, before
Earnings Call update – January 2023 unallocable expenditure (net of income) ** After adjusting finance cost net of income, before unallocable expenditure (net of forex cost)
Division-wise EBITDA to PAT 9M FY23
Earnings Call update – January 2023 Particulars Oil Conductor Cable Others Total EBITDA pre-open period forex (Note 1) 202 434 233 6 875 Open period forex (Note 2) 18 15 5 0 38 EBIDTA post open period forex 184 419 227 5 837 Finance cost (ex open period forex) net of Interest income 48 106 29 0 184 Unallocable forex loss (Note 3) 3 3 5 - 11 EBDTA 133 310 193 5 642 Unallocable expenses, net of unallocable other income 13 12 13 - 39 Depreciation 20 30 26 1 77 PBT 100 268 154 5 526 Tax 22 68 40 1 131 PAT 78 200 114 3 395 EPS YTD 20 52 30 1 103 o (1) Profit before tax + Depreciation + Finance cost – Interest income + Unallocable expense net of unallocable other income
Notes:-
o (2) Included in the finance cost in the published results
o (3) Included in the unallocable expenditure as per the published result
FY 2022: Consolidated Profit & Loss Statement
| Particulars | FY22 | FY21 | % ChgYoY |
|---|---|---|---|
| Gross sales | 9,290.6 | 6,359.5 | 46% |
| Other Operating Income | 29.4 | 28.5 | 3% |
| Total Operating Income | 9,320.1 | 6,388.0 | 46% |
| Total Expenditure | 8,772.1 | 5,968.9 | 47% |
| Cost of Raw Materials | 7,207.8 | 4,800.1 | 50% |
| Employees Cost | 172.5 | 160.4 | 8% |
| Other Expenditure | 1,391.8 | 1,008.4 | 38% |
| Profit from operations before other income, finance costsand depreciation | 547.9 | 419.1 | 31% |
| Other Income | 32.5 | 18.6 | 75% |
| EBITDA | 580.4 | 437.7 | 33% |
| Depreciation | 97.8 | 93.4 | 5% |
| EBIT | 482.6 | 344.3 | 40% |
| Interest & Finance charges | 140.6 | 136.0 | 3% |
| PBT | 342.0 | 208.3 | 64% |
| Tax Expense | 85.3 | 47.8 | 78% |
| Net Profit | 256.8 | 160.5 | 60% |
amounts in INR crore
FY 2022: Consolidated Segment Analysis
| FY 2022: Consolidated Segment Analysis | |||
|---|---|---|---|
| Segment 2 | FY22 | FY21 | % ChgYoY |
| Revenue | |||
| Conductors | 4,203.9 | 2,908.0 | 44.6% |
| Transformer & Specialty Oils | 3560.4 | 2,363.8 | 50.6% |
| Power & Telecom Cables | 1993.7 | 1,269.5 | 57.0% |
| Others/Unallocated | 56.8 | 42.9 | 32.4% |
| Total | 9814.7 | 6584.2 | 49.1% |
| Less: Inter -Segment Revenue | 494.8 | 196.3 | 152.1% |
| Revenue from Operations | 9319.9 | 6388.0 | 46.0% |
| Segment contribution-as % to total revenue | FY22 | FY21 | |
| Conductors | 42.8% | 44.2% | |
| Segment contribution-as % to total revenue | FY22 | FY21 | |
|---|---|---|---|
| Conductors | 42.8% | 44.2% | |
| Transformer & Specialty Oils | 36.3% | 35.9% | |
| 20.3% | 19.3% |
amounts in INR crore
Earnings Call update – January 2023
FY 2022: Consolidated Segment Analysis
| Segment | FY22 | FY21 | % ChgYoY |
|---|---|---|---|
| Segment Results before Interest and Tax | |||
| Conductors | 162.8 | 68.0 | 139.4% |
| Transformer & Specialty Oils | 268.4 | 266.3 | 0.1% |
| Power and Telecom Cables | 79.8 | 32.8 | 143.3% |
| Others/Unallocated | 3.7 | 3.5 | 5.7% |
| Total | 514.6 | 370.6 | 38.9% |
| Less : Finance costs (net) | 140.6 | 136.0 | 3.4% |
| Less : Unallocableexpenditure net of income | 32.1 | 26.3 | 22.1% |
| Profit before Tax | 341.9 | 208.3 | 64.2% |
| Segment Results –% to Segment Revenue | |||
| Conductors | 3.9% | 2.3% | |
| Transformer & Specialty Oils | 7.5% | 11.3% | |
| Power and Telecom Cables | 4.0% | 2.6% | |
| Total | 5.2% | 5.6% |
amounts in INR crore
FY22: Financials
| FY22: Financials | ||
|---|---|---|
| Key Ratios | FY22 | FY21 |
| EBITDA Margin | 6.1% | 6.6% |
| Net Margin | 2.8% | 2.5% |
| Total Expenditure/ Total Net Operating Income | 94.1% | 93.4% |
| Raw Material Cost/ Total Net Operating Income | 77.3% | 75.1% |
| Staff Cost/ Total Net Operating Income | 1.8% | 2.5% |
| Other Expenditure/ Total Net Operating Income | 14.9% | 15.8% |
| Capital Employed | 31-Mar-22 | 31-Mar-21 |
| Conductors | 681.7 | 506.0 |
| Capital Employed | 31-Mar-22 | 31-Mar-21 |
|---|---|---|
| Conductors | 681.7 | 506.0 |
| Transformer and Speciality Oils | 655.3 | 582.6 |
| Power/Telecom Cable | 581.2 | 439.3 |
| Others | 102.2 | 156.0 |
| Total | 2,020.4 | 1683.9 |
Q3 FY23: Consolidated Profit & Loss Statement
Earnings Call update – January 2023 Particulars Q3 FY23 Q3 FY22 % Chg YoY Q2 FY23 % Chg QoQ Gross sales 3,916.9 2,221.3 76.3% 3,215.8 21.8% Other Operating Income 25.5 7.6 237.1% 19.1 33.4% Total Operating Income 3,942.4 2,228.8 76.9% 3,234.9 21.9% Total Expenditure 3,595.7 2,113.1 70.2% 3,009.0 19.5% Cost of Raw Materials 2,937.7 1,727.1 70.1% 2,451.7 19.8% Employees Cost 51.5 44.3 16.4% 50.7 1.6% Other Expenditure 606.5 341.7 77.5% 506.6 19.7% Profit from operations before other income, finance costs and exceptional items 346.7 115.8 199.5% 225.9 53.5% Other Income 3.2 8.6 (63.0%) 12.2 (73.8%) EBITDA 349.9 124.4 181.3% 238.1 46.9% Depreciation 26.1 24.9 4.8% 26.1 (0.1%) EBIT 323.8 99.5 225.5% 212.0 52.7% Interest & Finance charges 94.0 25.6 266.9% 71.1 32.2% PBT 229.8 73.9 211.1% 140.9 63.1% Tax Expense 59.8 19.0 214.7% 38.3 55.9% Net Profit 170.0 54.9 209.9% 102.6 65.8%
amounts in INR crore
Q3 FY23: Consolidated Segment Analysis
Segments Q3 FY23 Q3 FY22 % Chg YoY Q2 FY23 % Chg QoQ Revenue Conductors 1,911.5 940.4 103.3% 1,438.90 32.8% Transformer & Specialty Oils 1,245.0 905.3 37.5% 1,175.80 5.9% Power & Telecom Cables 921.1 486.2 89.5% 761.60 20.9% Others/Unallocated 23.3 14.4 62.1% 23.50 (0.8%) Total 4,100.9 2,346.3 74.8% 3,399.8 20.6% Less: Inter - Segment Revenue 158.6 117.4 35.1% 164.90 (3.8%) Revenue from Operations 3,942.4 2,228.8 76.9% 3,234.9 21.9% Segment contribution- as % to total revenue Q3 FY23 Q3 FY22 Q2 FY23
| 3,234.921.9% | 76.9%Q2FY23 | 2,228.8 | 3,942.4 | Revenue from Operations |
|---|---|---|---|---|
| Q3FY22 | Q3FY23 | Segment contribution-as % to total revenue | ||
| 42.3% | 40.1% | 46.6% | Conductors | |
| 34.6% | 38.6% | 30.4% | Transformer & Specialty Oils | |
| 22.4% | 20.7% | 22.5% | Power and Telecom Cables | |
| January 2023 | Earnings Call update – | amounts inINRcrore | ||
Q3 FY23: Consolidated Segment Analysis
Earnings Call update – January 2023 19 Segment Q3 FY23 Q3 FY22 % Chg YoY Q2 FY23 % Chg QoQ Segment Results before Interest and Tax Conductors 216.8 36.2 498.3% 113.3 91.31% Transformer & Specialty Oils 20.7 63.2 (67.2%) 51.6 (59.83%) Power and Telecom Cables 101.4 7.9 1,180.8% 63.8 59.00% Others/Unallocated 3.1 0.9 234.4% 1.2 161.67% Total 342.1 108.3 215.8% 230 48.72% Less : Finance costs (net) 94.0 25.6 266.9% 71.1 32.15% Less : Unallocable expenditure net of income 18.3 8.8 107.0% 17.9 2.18% Profit before Tax 229.8 73.9 211.1% 140.9 63.10% Segment Results – % to Segment Revenue Conductors 11.3% 3.9% 7.9% Transformer & Specialty Oils 1.7% 7.0% 4.4% Power and Telecom Cables 11.0% 1.6% 8.4% Total 8.3% 4.6% 6.8%
20
Q3 FY23: Financials
| Q3 FY23: FinancialsKey Ratios | Q3 FY23 | Q3 FY22 | Q2FY23 |
|---|---|---|---|
| EBITDA Margin | 8.9% | 5.6% | 7.4% |
| Net Margin | 4.3% | 2.5% | 3.2% |
| Total Expenditure/ Total Net Operating Income | 91.2% | 94.8% | 93.0% |
| Raw Material Cost/ Total Net Operating Income | 74.5% | 77.5% | 75.8% |
| Staff Cost/ Total Net Operating Income | 1.3% | 2.0% | 1.6% |
| Other Expenditure/ Total Net Operating Income | 15.4% | 15.3% | 15.7% |
| Capital Employed | Q3 FY23 | Q3 FY22 | Q2FY23 |
| Conductors | 1,091.9 | 294.5 | 688.0 |
| Conductors | 1,091.9 | 294.5 | 688.0 |
|---|---|---|---|
| Transformer and Speciality Oils | 567.2 | 648.7 | 693.8 |
| Power/Telecom Cable | 701.9 | 520.0 | 687.7 |
| Others | 26.2 | 375.7 | 58.7 |
| Total | 2,387.2 | 1,838.8 | 2,128.1 |
| amounts inINRcrore | Earnings Call update – |
9M FY23: Consolidated Profit & Loss Statement
| Particulars | 9MFY23 | 9MFY22 | % ChgYoY |
|---|---|---|---|
| Gross sales | 10,216.1 | 6,286.7 | 62.50% |
| Other Operating Income | 54.4 | 20.8 | 161.32% |
| Total Operating Income | 10,270.5 | 6,307.5 | 62.83% |
| Total Expenditure | 9,460.5 | 5,935.0 | 59.40% |
| Cost of Raw Materials | 7,726.8 | 4,863.6 | 58.87% |
| Employees Cost | 150.5 | 128.8 | 16.87% |
| Other Expenditure | 1,583.2 | 942.7 | 67.95% |
| Profit from operations before other income, finance costsand depreciation | 809.9 | 372.5 | 117.42% |
| Other Income | 19.9 | 25.4 | (21.65%) |
| EBITDA | 829.8 | 397.9 | 108.54% |
| Depreciation | 77.1 | 73.0 | 5.62% |
| EBIT | 752.8 | 324.9 | 131.68% |
| Interest & Finance charges | 226.4 | 94.9 | 138.68% |
| PBT | 526.4 | 230.1 | 128.80% |
| Tax Expense | 131.4 | 56.0 | 134.30% |
| Net Profit | 395.0 | 174.1 | 127.03% |
amounts in INR crore
9M FY23: Consolidated Segment Analysis
| 9M FY23: Consolidated Segment AnalysisSegment9MFY239MFY22% ChgYoY |
|---|
| Revenue |
| Conductors4,898.72,700.581.40% |
| Transformer & Specialty Oils3,488.82,632.332.54% |
| Power & Telecom Cables2,320.51,311.176.99% |
| Others/Unallocated70.341.071.43% |
| Total Revenue10,778.26,684.861.23% |
| Less: Inter -Segment Revenue507.7377.334.56% |
| Revenue from Operations10,270.56,307.562.83% |
| Segment contribution-as % to total revenue9MFY239MFY22 |
| Conductors45.4%40.4% |
| Revenue from Operations | 10,270.5 | 6,307.5 | 62.83% |
|---|---|---|---|
| Segment contribution-as % to total revenue | 9MFY23 | 9MFY22 | |
| Conductors | 45.4% | 40.4% | |
| Transformer & Specialty Oils | 32.4% | 39.4% | |
| 21.5% | 19.6% |
amounts in INR crore
Earnings Call update – January 2023
9M FY23: Consolidated Segment Analysis
| Segment | 9MFY23 | 9MFY22 | % ChgYoY |
|---|---|---|---|
| Segment Results before Interest and Tax | |||
| Conductors | 407.4 | 105.5 | 286.4% |
| Transformer & Specialty Oils | 184.8 | 203.5 | (9.2%) |
| Power and Telecom Cables | 209.7 | 37.4 | 460.9% |
| Others/Unallocated | 5.0 | 2.5 | 104.1% |
| Total | 806.9 | 348.8 | 131.3% |
| Less : Finance costs (net) | 226.4 | 94.9 | 138.7% |
| Less : Unallocable expenditure net of income | 54.1 | 23.9 | 126.4% |
| Profit before Tax | 526.4 | 230.1 | 128.8% |
| Segment Results –% to Segment Revenue | |||
| Conductors | 8.3% | 3.9% | |
| Transformer & Specialty Oils | 5.3% | 7.7% | |
| Power and Telecom Cables | 9.0% | 2.9% | |
| Total | 7.5% | 5.2% |
amounts in INR crore
| 9MFY23: Financials | ||
|---|---|---|
| Key Ratios | 9MFY23 | 9MFY22 |
| EBITDA Margin | 8.1% | 6.3% |
| Net Margin | 3.9% | 2.8% |
| Total Expenditure/ Total Net Operating Income | 92.1% | 94.1% |
| Raw Material Cost/ Total Net Operating Income | 75.2% | 77.1% |
| Staff Cost/ Total Net Operating Income | 1.5% | 2.0% |
| Other Expenditure/ Total Net Operating Income | 15.4% | 14.9% |
| Capital Employed | 9MFY23 | 9MFY22 |
| Conductors | 1,091.9 | 294.5 |
| Conductors | 1,091.9 | 294.5 |
|---|---|---|
| Transformer and Speciality Oils | 567.2 | 648.7 |
| Power/Telecom Cable | 701.9 | 520.0 |
| Others | 26.2 | 375.7 |
| Total | 2,387.2 | 1,838.8 |
Mr. Sanjaya Kunder
Contact No : +91 22 67800400
E-mail – [email protected] Add: APAR house, Bldg no. 4 & 5, Corporate Park, V.N. Purav marg, Chembur Mumbai- 400 071. India
Mr. Ambesh Tiwari / Mr. Mohit Joshi Contact No : +91 84248 93404 / +91 99302 06777 E-mail – [email protected]/ [email protected] #215, Shiv Shakti Industrial Estate, 2Nd Floor, J R Boricha Marg, Lower Parel, Mumbai - 400011