MSTC Limited — Earnings Release 2021

Sep 4, 2020

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MSTC/CS/SE/174

4[th] September, 2020

1. The Dy.Manager (Listing) BSE Limited PhirozeJeejeebhoy Towers, Dalal Street, Mumbai 400 023. (Scrip Code: 542597)

2. The Manager, Listing Department National Stock Exchange of India Limited Exchange Plaza, BandraKurla Complex Bandra (E), Mumbai 400 051 (Scrip Code: MSTCLTD)

Dear Sir/Madam

Sub: Presentation of Results for Quarter Ended 30[th] June, 2020 with the lnvestors/ Analyst

In continuation of our Letter no. MSTC/CS/SE/173 dated 3[rd] September, 2020 on the Standalone and Consolidated Financial Results for the quarter ended 30[th] June, 2020 enclosed please find a copy of presentation in relation to conference call with the investors / Analysts which will be held on Friday, 4[th] September, 2020 at 4:00 P.M IST, intimation of which has already been communicated to the stock Exchanges.

This is for your information and records.

Thanking you,

AJAY Digitally signed by AJAY KUMAR KUMAR RAI Date: 2020.09.04 RAI 15:01:59 +05'30'

Yours faithfully, For MSTC Limited

(Ajay Kumar Rai) Company Secretary & Compliance Officer

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September 04, 2020

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Earnings Release Q1 2020-21

MSTC Limited

Disclaimer

Thispresentationandtheaccompanyingslides(the“Presentation”),whichhavebeenpreparedby MSTCLimited(the“Company”),havebeenpreparedsolelyforinformationpurposes anddonotconstituteanyoffer,recommendationorinvitationtopurchaseorsubscribeforanysecurities,andshallnotformthebasisorbereliedoninconnectionwithanycontractor bindingcommitment what soever.Nooffering of securities of theCompany willbe madeexceptbymeansof astatutory offeringdocument containingdetailedinformation 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, expressorimplied,whatsoever,andnoreliance shallbe placedon,the truth, accuracy, completeness, fairnessandreasonableness of the contents of this Presentation. This Presentation may not beallinclusiveandmaynot contain allof theinformation thatyou may consider material. Any liabilityin respect of thecontents of, or any omission from, this Presentation is expresslyexcluded.CertainmattersdiscussedinthisPresentationmaycontainstatementsregardingtheCompany’smarketopportunityandbusinessprospectsthatareindividuallyand collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptionsthataredifficulttopredict.Theserisksanduncertaintiesinclude,butarenotlimitedto,theperformanceoftheIndianeconomyandoftheeconomiesofvariousinternational markets, the performance of the industry inIndiaandworld-wide, competition,the company’s ability tosuccessfully implement its strategy,the Company’s future levels of growth and expansion,technologicalimplementation,changesandadvancements,changesinrevenue,incomeorcashflows,theCompany’smarketpreferencesanditsexposuretomarketrisks,as wellasotherrisks.

TheCompany’sactualresults,levelsofactivity,performanceorachievementscoulddiffermateriallyandadverselyfromresultsexpressedinorimpliedbythisPresentation.TheCompany assumesnoobligationtoupdateanyforward-lookinginformationcontainedinthisPresentation.Anyforward-lookingstatementsandprojectionsmadebythirdpartiesincludedinthis PresentationarenotadoptedbytheCompanyandtheCompanyisnotresponsibleforsuchthirdpartystatementsandprojections.

MSTC Limited

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Key Highlights

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MSTC Limited
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Key Highlights

Operational Performance (Standalone)

During the Q1 2020-21, the Company crossed INR 57.43 bn in terms of value of goods transacted through its marketing and e-commerce verticals which is 73.23 % decline over the value of goods traded in Q1 2019-20.

Financial Performance (Consolidated)

• Revenues of INR 1017.93 mn in Q1 2020-21 vis-à-vis revenues of INR 4854.14 mn in Q1 2019-20; decline of 79.03%, largely driven by 96.68 % degrowth in marketing business.

 PBT of INR 4.58 mn in Q1 2020-21 vis-à-vis INR 453.54 mn in Q1 2019-20.

Business update

• COVID 19 pandemic and lockdown protocols have led to severe disruptions during the quarter. Being an E commerce service provider, on infrastructure and facility front MSTC was ready to provide the services. However, at recipient end there were disruptions, affecting both the turnover and the profit during the reporting period. Therefore, the performance of the Company for this quarter is not comparable with corresponding period or any period of previous year.

• The scarp auctions were not much during the period which forms substantial part of our revenue .However

• there were auctions for Coal , Timber & Iron Ore etc. but the volumes were quite less.

• MSTC has taken up the auctions for Molasses for sugar units in Andhra Pradesh.

MSTC Limited

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	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.
	Total Revenue 341.70 3999.95 -91.46%
	Marketing 116.20 3495.76 -96.68%
	E-commerce 224.65 503.32 -55.37%
	Others 0.85 0.87 -2.04%
Standalone Financials Highlights –Q1 2020-21
	EBITDA(pre-provisioning)1 83.36 475.65 -82.47%
	Provisions and write-offs_(net of provisions written-back)_ 25.83 0.00
	Profit before Tax 27.23 387.18 -92.97%
	Profit after Tax 2.53 251.93 -99.00%
	EPS (in INR) 0.04 3.58 -99.00%
	Cash Profit2 35.63 255.74 -86.07%
	MSTC Limited 5 1. EBITDA (pre-provisioning) refers to EBITDA less provisions for the period 2. Cash Profit is computed as EBITDA less expenses made towards Interest and Tax
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	Particulars (INR mn) Q1 2020-21 Q1 2019-20 YoY % chg.	Particulars (INR mn) Q1 2020-21 Q1 2019-20 YoY % chg.
	Total value of goods traded through MSTC eco- system (INR bn) 57.43 214.53 -73.23%
	Total Revenue 341.70 3999.95 -91.46%
	Revenue – E-commerce 224.65 503.32 -55.37%
	E-Auction/E-Sale 181.87 396.15 -54.09%
Standalone Financials Segment Reporting -Q1 2020-21
	E-Procurement 16.5 46.2 -64.29%
	Other Income 26.28 60.97 -56.91%
	Revenue – Marketing 116.20 3495.76 -96.68%
	Total Expenses 314.47 3612.77 -91.30%
	Profit Before Tax 27.23 387.18 -92.97%
	Profit After Tax 2.53 251.93 -99.00%
	MSTC Limited 6
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	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.	Particulars (INR mn, unless stated) Q1 2020-21 Q1 2019-20 YoY % chg.
	Total Revenue 1043.69 4915.43 -78.77%
	Marketing 116.20 3495.76 -96.68%
	E-commerce 224.55 503.30 -55.39%
	Scrap recovery and allied jobs 702.09 915.50 -23.31%
	Others 0.85 0.87 -2.04%
Consolidated Financials Highlights –Q1 2020-21
	EBITDA(pre-provisioning)1 118.63 577.73 -79.47%
	Provisions and write-offs_(net of provisions written-back)_ 40.54 0.00
	Profit before Tax 4.58 453.54 -98.99%
	Profit after Tax -27.69 290.77
	EPS (in INR) -0.39 4.13
	Cash Profit2 60.78 329.28 -81.54%
	MSTC Limited 7 1. EBITDA (pre-provisioning) refers to EBITDA less provisions for the period 2. Cash Profit is computed as EBITDA less expenses made towards Interest and Tax
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Summary financials

MSTC Limited

Summary P&L Statement

Particulars (INR mn)	Standalone Consolidated
	Q1 2020-21 Q1 2019-20 % change Q1 2020-21 Q1 2019-20 % change
Revenue from operations	335.78 3960.38 -91.52% 1017.93 4854.14 -79.03%
Other Income	5.92 39.57 -85.04% 25.76 61.29 -57.97%
Total Revenue	341.70 3999.95 -91.46% 1043.69 4915.43 -78.77%
Expenses
Purchases of Stock-in-Trade/Operational Consumables & Spares	0.00 3300.62 -100.00% 61.62 3410.38 -98.19%
Employee benefit expense	172.71 168.10 2.74% 415.74 438.07 -5.10%
Finance costs	23.03 84.66 -72.79% 25.58 85.68 -70.15%
Depreciation and amortisation expense	7.27 3.81 90.81% 47.93 38.51 24.47%
Provisions and write-offs	25.83 0.00 40.54 0.00
Other expenses	85.63 55.58 54.06% 439.39 476.84 -7.85%
Total Expenses	314.47 3612.77 -91.30% 1030.80 4449.48 -76.83%
Share of profit/(loss) of Joint Ventures	(8.31) (12.41) -33.04%
Profit/(Loss) before tax	27.23 387.18 -92.97% 4.58 453.54 -98.99%
Tax expense	24.70 135.25 -81.74% 32.27 162.77 -80.18%
Profit/(Loss) for the period	2.53 251.93 -99.00% (27.69) 290.77

MSTC Limited

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MSTC Limited

Thank You

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Subrata Sarkar +91-033-2281-3088 www.mstcindia.co.in

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MSTC Limited
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