KAJARIA CERAMICS LIMITED · Kajaria Floera (a wholly owned subsidiary) is putting up a...

May 10, 2019

KAJARIA CERAMICS LIMITED

Investor Update –Q4FY19 / FY19

1/14

Investor Update Q4 FY19 / FY19

Content

Chairman’sMessage

Financial Performance – Q4FY 19 / FY19

Balance sheet perspective

Joint Venture / Subsidiaries

Income Statement

Shareholding Pattern

2/14

Chairman’sMessage

Calendar 2019 started on a satisfying note as sales volumes maintained a steady

growth.

In Q4 FY19, Sales volumes increased by 11% over the corresponding quarter in

the previous year and revenue increased by 9% over the same period. And

despite, competitive pressure and high fuel cost, Net profit for the quarter

remained almost same to the corresponding quarter in the previous year.

From a financial year perspective, while growth was healthy considering the

gloom prevailing in the real estate sector. But profits and profitability dipped

marginally owing to cost escalation.

I am optimistic about our future because of strict implementation of E-way bill pan-

India. Moreover, tile manufacturers in Gujarat, using coal gasifier are under stress

owing to the recent ban on coal gasification mandating them to switch to natural

gas as the fuel source. This would lead to enhanced compliance resulting in

increase in cost, stability in prices which in turn will narrow down the gap with

national brands.

3/14


Tile VolumeData (consolidated)

Production Growth (MSM) - Q4 FY19

Sales Growth (MSM) –Q4FY19

4/14

Production Growth (MSM) - FY19

Sales Growth (MSM) - FY19

10.77 11.35

5.455.89

16.2217.24

0

5

10

15

20

Q4 FY18 Q4 FY19

Own Manufacturing JVs

40.95 46.00

19.4321.33

60.3867.33

0

20

40

60

80

FY18 FY19

Own Manufacturing JVs

11.30 11.49

5.41 6.24

3.534.78

20.24

22.51

0

5

10

15

20

25

Q4 FY18 Q4 FY19

Own Manufacturing JVs Outsource

39.77 44.35

18.8221.27

13.37

14.6871.96

80.30

0

20

40

60

80

FY18 FY19Own Manufacturing JVs Outsource


RevenueGrowth - consolidated

Rs. / Crores

Refer Slide 12 for detailed IncomeStatement 5/14

424.05 418.98

175.09 198.51

103.13137.69

47.77

52.82-

7.31750.04

815.31

0

200

400

600

800

Q4 FY18 Q4 FY19

Plywood

Sanitary ware / Faucets

Outsourcing (Tiles)

JVs (Tiles)

Own Manufacturing(Tiles)

1525.881653.61

661.42

684.24

384.19

416.69

139.11

184.84-

16.822710.60

2956.20

0

500

1000

1500

2000

2500

3000

FY18 FY19

Plywood

Sanitary ware / Faucets

Outsourcing (Tiles)

JVs (Tiles)

Own Manufacturing(Tiles)


Profitability - Consolidated

Rs. / Crores

Refer Slide 12 for detailed IncomeStatement6/14

234.96226.57

20

60

100

140

180

220

260

FY18 FY19

65.97 66.00

0

25

50

75

Q4 FY18 Q4 FY19


EBITDA / EBITDA Margin (consolidated) –quarterlyprogressionR

s./C

rore

s

7/14

120.07

96.81

108.91

120.83 122.94

16.01%

14.73%15.02%

15.93%

15.08%

10%

12%

14%

16%

18%

20%

22%

0

20

40

60

80

100

120

140

Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY19

EBITDA (Rs. / Crores) EBITDA Margin (%)


Key Ratios(consolidated)*…………

* Net of cash and cash equivalents

Net Debt Equity(X) *Net Debt (Rs.Crore) *

8/14

0.26

0.13

0.06

-0.08-0.10

0.00

0.10

0.20

0.30

Mar-16 Mar-17 Mar-18 Mar-19

272

161

88

-132-150

-100

-50

0

50

100

150

200

250

300



Key Ratios(consolidated)

# Working capital days’ excludes capex creditors and cash & Bank balance and not comparable with previous periods due to GST.

Return on Equity (Avg.)

## ROE as on 31st Mar. 19 taken at averageofnetworthas on 31st Mar 19 & 31st Mar.18 and on FY19 PAT.

Working Capital Cycle (days)

9/14

26.51

23.58

18.61

15.49

0

10

20

30

40


4446

6058

0

20

40

60

80



A. JAXX VITRIFIED

Jaxx Vitrified is based in Morbi (Gujarat). Kajaria has 82% stake in the same.

Jaxx has combined annual capacity of 10.20 MSM of polished vitrified tiles

comprising 2 plants. Jaxx has operated at full capacity during FY 2018-19.

B. VENNAR CERAMICS

Vennar is based in Vijayawada (Andhra Pradesh). Kajaria has 51% stake in the

same. Vennar has annual capacity of 2.90 MSM of high end ceramic wall tiles.

Vennar has operated at full capacity during FY 2018-19.

C. COSA CERAMICS

Cosa is based in Morbi (Gujarat). Kajaria has 51% stake in the same. Cosa has

annual capacity of 5.70 MSM of polished vitrified tiles. Cosa has operated at full

capacity during FY 2018-19.

10/14

Joint Ventures / Subsidiaries


Joint Ventures / Subsidiaries

D. KAJARIA FLOERA CERAMICS

Kajaria Floera (a wholly owned subsidiary) is putting up a manufacturing facility of

.glazed vitrified tiles with a capacity of 5.00 MSM p.a. in Andhra Pradesh. The Plant is

.expected to be commissioned in August 2019.

E. KAJARIA BATHWARE (P) LTD. (KBL)

Kajaria Bathware is a subsidiary of Kajaria Ceramics Ltd, in which Kajaria owns 85% and

Aravali Investment Holdings, Mauritius, a wholly-owned subsidiary of WestBridge

……..Crossover Fund, LLC owns 15% stake.

a) Sanitaryware: The Sanitaryware plant is situated in Morbi (Gujarat) having

production capacity of 6.00 lac pcs p.a. The plant is nearing optimum capacity

utilization. The unit is in the process to expand further by 1.50 lac pcs p.a.,

which is expected to be completed in August 2019.

b) Faucet: This facility is situated at Gailpur (Rajasthan) having 1.00 million

pcs p.a. The plant has operated at 65% capacity in FY19 and expected to

attain a 90% capacity utilization in FY20.

11/14


IncomeStatement

Financial highlights (Rs / Crores)

12/14

Q4 FY19 Q4 FY18 Growth FY19 FY18 Growth

Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated Standalone Consolidated

Net Sales 734.27 815.31 701.36 750.04 5% 9% 2726.07 2956.20 2580.68 2710.60 6% 9%

EBITDA 109.01 122.94 106.37 120.07 2% 2% 400.36 449.49 427.89 456.36 -6% -2%

EBITDA MARGIN 14.85% 15.08% 15.17% 16.01% 14.69% 15.20% 16.58% 16.84%

Depreciation 15.52 21.68 16.15 22.86 -4% -5% 63.45 89.06 61.76 88.53 3% 1%

Other Income 10.92 6.53 8.91 5.14 23% 27% 34.81 18.03 23.51 10.84 48% 66%

Interest 0.23 3.27 0.84 4.69 -73% -30% 3.39 15.59 4.48 24.10 -24% -35%

Exceptional Items - loss (gain) 1.43 -4.78 4.84 3.61 -0.75

Profit Before Tax 104.18 103.09 98.29 97.66 6% 6% 373.11 358.03 381.55 355.32 -2% 1%

Tax Expense 35.86 36.23 32.61 28.03 10% 29% 127.21 129.28 129.23 126.72 -2% 2%

Minority Interest 0.86 3.66 2.18 -6.36

Profit After Tax 68.32 66.00 65.68 65.97 4% - 245.90 226.57 252.32 234.96 -3% -4%

Cash Profit 83.84 87.68 81.83 88.83 2% -1% 309.35 315.63 314.08 323.49 -2% -2%

Equity Share Capital 15.90 15.90 15.90 15.90 15.90 15.90 15.90 15.90

EPS (Basic) (Rs.) 4.30 4.15 4.13 4.15 4% - 15.47 14.25 15.88 14.78 -3% -4%


Shareholding Pattern

As on 31st Mar. 2019

Equity Shares Outstanding– 158.95millions

13/14

47.58%

36.15%

0.52%

15.75%

Shareholding

Promoters

Public / OthersNRI's

FIs /FPIS / Mutual Funds


AboutUs

Kajaria Ceramics is the largest manufacturer of ceramic/vitrified tiles in India and

the 9th largest in the world. It has an annual capacity of 68.00 mn. sq. meters

presently, distributed across seven plants - one in Sikandrabad (UP), one in

Gailpur (Rajasthan), One in Malutana (Rajasthan), three in Morbi (Gujarat) and

one in Vijaywada(AP).

For further information, please visit www.kajariaceramics.comor contact:

Mr. SanjeevAgarwal, C FO Mrs. Pallavi Bhalla, DGM Investor Relations

+91 11 26946409 (Board), +91 11 26946409 (Board),

+91 11 41064110 (Direct) +91 11 40946552 (Direct)

Email: [email protected] Email: [email protected]

Disclaimer: Certain Statements in this document may be forward-looking within the meaning of applicable laws and regulations. And

actual results might differ substantially from those expressed or implied. Such statements are subject to certain risks and uncertainties

like regulatory changes, local political or economic developments, technological risks, and many other factors could cause our actual

results to differ. Kajaria Ceramics Limited will not be in any way responsible for any action taken basedon such statements.

14/14

http://www.kajariaceramics.com/

mailto:[email protected]

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