Grasim Industries Limited Investor Presentation - September 2001
Presentation Structure! Grasim's Business Profile " Cement " VSF " Sponge Iron " Textiles! Divisional Overview! Restructuring Efforts! Financial Highlights! Q1FY02 Performance Review (Annexure) 2
Business Profile! Balanced business-mix over 80% revenue from core businesses of Cement and Viscose Staple Fibre! Cement business, after 3 years of investment phase and restructuring, is on the threshold of profitable growth! Share of Cement business is set to rise with incremental new investment only in cement! VSF is a secure and stable business with strong cash flows.! Strong cash flows and low gearing to support cement growth strategy 3
Business Mix Sponge Iron 9% Others 5% Sponge Iron 8% Others 8% VSF, Pulp & Chemical 33% Cement 47% Textiles 6% Cement 39% Textiles 6% VSF, Pulp & Chemical 39% Q1FY02 (Rs. 1,176 Crs.) FY 2001 (Rs. 4,822 Crs.) 4
PBIDT Mix Others Others Sponge Iron 1% 9% Sponge Iron 3% VSF, Pulp & VSF, Pulp & 9% Chemical Chemical 56% 31% Cement 60% Textiles -1% Cement 34% Textiles (-) 2% Q1FY02 (Rs.248 Crs.) FY 2001 (Rs. 912 Crs.) 5
Cement a growth area for Grasim 100% 80% 60% 40% 20% 0% 12 9 10 9 9 11 19 22 25 Revenue Mix 4 3 6 9 12 10 9 12 8 7 8 5 7 6 10 8 9 23 29 37 38 47 56 57 48 46 42 39 39 33 FY95 FY96 FY97 FY98 FY99 FY00 FY01 Q1FY02 6 VSF Cement Sponge Iron Textiles Others Cement will be a key driver of growth in future 6
Business Overview 7
Cement 8
Grasim s Cement Business! Amongst three largest producers in India " 10.36 Mn TPA existing capacity across 5 locations " 2.2 Mn TPA additional grinding facilities at split locations (by Dec. 01) " 1.14 Mn M 3 RMC plants (6 Nos.) and 0.65 Mn Ton Bulk Terminal " Captive power plant at all locations, meeting entire requirements " Four strong national brands - Birla Tristar, Birla Super, Birla Ready Mix and Birla White; Two strong regional brands - Rajashree and Vikram! Excellent market position " Dominant player in key consuming states of Maharashtra, Karnataka, Rajasthan, Western M.P., Western U.P. and Haryana " Domestic market share exceeds 10% #North(12%), East(8%),West(11%) and South(9%)! Largest producer of white cement in India with capacity of 400,000 TPA (55% market share), 6th largest in the World 9
Industry Outlook Positive 1970-71 1980-81 1990-91 2000-01 2010-11(F) Annual Production Volume in Mn. MT 14.22 18.66 48.90 93.52 200(E) Per Capita Consumption (Kgs.) 22 28 54 87 153(E) Source : NCAER Study! Cement consumption to more than double in next 10 years " 6% GDP growth to drive 7-8% annual growth in demand " Per capita consumption is lower than many developing countries - India (87Kgs) Vs. China (400 Kgs) and Brazil (250 Kgs) 10
Industry Outlook Positive (Contd..)! Demand growth will be accelerated by : "Strong growth in housing sector # Rural demand to pickup with normal monsoon # Fiscal incentives for private housing to continue # Changing preference towards nuclear families # Impending recovery and pickup in industrial activity to boost urban demand "Renewed focus on infrastructure sector by the Government # Thrust on road sector re-iterated in the Union Budget. Plan outlay up 93% to Rs.8,730 Crs. # Golden Quadrilateral - 6000 Kms Road Project; to be completed by Year 03 # North-South and East-West Corridor Project - 7000 Kms of expressway underway- To be completed by Year 07 # Construction of Flyovers, expressways and concretisation of roads by State Governments to augment further consumption 11
Long term supply pressures to ease! Cement production exploded after decontrol " 50 Mn MT added in last 10 years " Sharp rise in capacity coupled with sluggish growth in demand resulted in domestic surplus and pricing pressures! Capacity additions to slow down " Stringent financing environment (e.g. Lender s policy shift in project finance) " Sales Tax incentives phased out " Additional 12 Mn Greenfield capacity likely in next three years " Significant addition to Greenfield capacities unlikely, as same unviable at current prices " Capacity addition may be by way of de-bottlenecking, brown field expansion and higher proportion of blended cement! Demand supply balance likely within next 3 years 12
Short term surplus to continue! Demand growth to recover in second half of FY 02 on the back of good Monsoon in almost all key cement consuming states and infrastructure spending! Supply pressures to continue " Present capacity utilisation offers room for increased supplies " On-going de-bottlenecking to add fresh capacities " Progressive shift towards blended products to increase latent capacity with existing producers! Capacity utilisation expected to grow gradually with pick-up in demand 13
Price outlook remains firm! Prices recovered during 2HFY01! Significant downside in cement prices unlikely " Economic compulsion #Substantial cost increase in last 3 years " Stressed gearing of large players " Valuations of recent acquisitions assume higher price levels " Producers wanting to exit cement business keen on keeping cement prices at remunerative level! Industry consolidation process to contribute positively " Around 30 Mn MT capacities up for sale! Historically no major imports. Imports not viable even at current prices 14
Going Forward! Key Challenges " Greater competition among majors " Focus on improving market position " Retention of market share " Cost Control! Strategies to overcome challenges " Maintain market position " Capital and manpower productivity " Maintaining competitive cost structure 15
Strategy : Market Position! Focus on identified core markets (North, Western corridor and South)! Strengthen brands to ensure regional dominance! Improve realisation thru " Change in product mix " Change in market mix # Better penetration into new markets of South and North # Grinding unit at Bhatinda underway # Improve presence in profitable retail segment! Value added products will be a focus area! Selective acquisitions, to benefit from industry consolidation " Strong cash flows to fuel cement growth initiatives 16
Strategy :Capital and Manpower Productivity! Capacity expansion from 9.10 Mn. MT to 10.36 Mn. MT achieved without major capex.! Cost effective expansion of capacities " Adding 2.8 Mn MT in next 15 months through change in product mix and de-bottlenecking " Capital cost per ton to reduce from Rs.1800 to Rs.1600! Capex plans to enhance returns! Employee productivity is focus area " Rationalisation of labour force 17
Strategy : Cost Control 97-98 98-99 99-00 00-01 Power (KWH / MT) 100 95 90 90 Fuel (KCal/Kg) 751 735 728 720 Freight Distance (Kms) 551 539 490 465! Further reduction in energy costs " Increase proportion of thermal power " Reduce unit energy consumption further " Change in fuel mix - increase use of petcoke! Reduce distribution costs " Better logistics management " Leverage advantages of new plant in South " Set up grinding facilities close to profitable markets! Amalgamated Dharani Cements Ltd. will result in annual saving of Rs.14 crores. 18
Viscose Staple Fibre 19
VSF - Another Key Business for Grasim! Largest domestic producer with strong competitive advantage " 3 fibre plants with 2,20,000 TPA installed capacity! Market leader with over 90% domestic share! Amongst lowest cost producers in the World! Fully integrated operations " Caustic Soda and Power requirements met fully from captive sources " 50% of pulp requirement met from captive sources! Strong in-house R&D facilities 20
VSF Industry Profile! Two producers with a production capacity of 277000 MT " FY 01 Grasim s production - 218847 MT " FY 01 Other Producer - 17326 MT! Cellulosic fibre and filament segment is around 15% of total man made fibre segment! VSF constitutes 6% of overall textile fibre segment! Over last decade domestic demand has risen 4% annually Year 1980 1990 1999 2000 2001 Demand (MT) 84474 147655 178180 202036 236173 CAGR Over 80 6% Over 90 2% Over 99 13% Over 00 17% CAGR over 1990-4%! On the other hand global demand has been declining (from 1.9 Mn. ton in 1990 to 1.7 Mn. ton in 2000) 21
VSF to Remain Stable Performer Outlook! Recent fall in volumes due to down-turn in textile industry and low yarn demand " VSF yarn prices in European and Asian markets declined from its peak of US$ 2.27/kg in May 00 to US$ 1.90/kg in June 01. Exports from India declined from 2800 MT per month in March 01 to 1150 MT per month in June 01 " Export realisation lower due to weakening of Euro " Increased competition due to fall in value of Indonesian Rupiah by 9% in Q1 FY01 " Falling demand is partly attributable to increased price disparity with PSF. Price differential widened from Rs.18/kg in FY01 to Rs.24/kg in Q1 FY02! Demand expected to pick-up in the second half " Indonesian Rupiah as well as Euro has gained part of lost ground, enhancing competitive strength of domestic yarn exporters. " Declining pulp prices has helped correction in VSF prices #Pulp prices showing a declining trend at US$ 525/MT, from the peak level of 750/MT in Q4FY01 22
VSF to Remain Stable Performer Outlook (contd..)! Operating profit expected to improve in second half " Operating profit will get support from lower pulp prices. " Closure of non-viable Mavoor operation to add Rs.27 Crs. per annum to bottom line! Towards ensuring long term growth, Grasim will focus on enlarging use of VSF through " Positioning VSF at the high end of the market as the Fibre for Feel, Comfort and Fashion " Branding Birla Viscose to create awareness in the value chain and promote VSF as an Eco-friendly Fibre. " Product and application development " Strategic alliance with trend - setters for new applications 23
Fibre - Turnover volume and Realisation Trend Turnover Realisation Turnover (MT) 55000 50000 45000 40000 35000 30000 25000 46048 44682 44100 44978 43755 42663 68358 67380 66963 38039 66650 37013 65067 65608 65565 53308 52081 52889 73511 49429 48228 47512 46194 47024 72590 69660 68472 39011 66650 66048 65356 63697 64279 62795 Q1 98 Q2 98 Q3 98 Q4 98 Q1 99 Q2 99 Q3 99 Q4 99 Q1 00 Q2 00 Q3 00 Q4 00 Q1 01 Q2 01 Q3 01 Q4 01 Q1 02 75000 74000 73000 72000 71000 70000 69000 68000 67000 66000 65000 64000 63000 62000 Realisation (Rs/PMT) 24
VSF and Pulp prices Trend 75000 70000 900 800 VSF Pulp Rs./MT 65000 700 CIF US $/MT 60000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY 00 FY 01 FY 02 600 25
Grasim Share in World VSF Market 14 % Share 12 10 8 6 4 9.3 4.1 9.0 3.7 10.8 3.4 10.2 3.4 11.5 3.4 Grasim share in World Cellulosic Industry VSF Share in world textile 2 0 1996 1997 1998 1999 2000 26
Other Businesses!Sponge Iron!Textiles 27
Sponge Iron! Overview " Largest merchant producer in India #Market share exceeds 35% #Installed capacity of 900,000TPA (Gas Based) " Enjoys strong competitive advantage,hyl Technology enables- #Flexibility to produce both HBI and DRI #Dual feedstock facility (Natural Gas & Naphtha)! Outlook " Global scrap prices to remain stable at current levels " Domestic realisation may come under pressure due to return of major players into merchant supply market " Natural gas supply to remain a constraint #Any abnormal increase in Natural gas price could adversely impact profitability and margin " Grasim will focus on #Asset sweating (No major new capex) #Leveraging strategic advantages of location and product flexibility #Ongoing cost reduction measures 28
Textiles! Overview " 222 looms and 43,500 spindles " Two strong brands Grasim and Graviera! Outlook remains challenging " Fabric volumes and prices to remain under pressure # Over capacity, commoditisation of suiting fabrics market and gradual shift towards ready-to-wear products # Price competition from unorganised sector and cheaper imports " Grasim to focus on # Improve market share and strengthen distribution network # Move up the value chain to ensure higher realisation and overcome competition # Improve efficiencies including downsizing of weaving section and rightsizing of work force $ No of hands reduced in Q1 FY02-111 Nos. $ No. of hands reduced in FY2001-423 Nos. 29
Restructuring Efforts 30
Debt Restructuring! Restructuring of high cost debt " Swapped high cost debt of Rs.327 crores with lower coupon debt, in FY00 " Coupon reduced on Rs.27 crores debt in FY00 " Coupon reset on debt worth Rs.331 crores in FY01 " Prepayment of high cost debt of Rs.41 crores in FY01! WAC of long term debts going down successively " 13.8% in FY99 to 8.4% by FY03 31
Business Restructuring! Dharani Cement Ltd., a wholly owned subsidiary, merged effective 1 st Nov 2000! Software Business Hived-off into a wholly owned subsidiary effective 1 st February 2001! Closure of Mavoor Fibre and Plup Plants -Effective 1st July 01 " One time extraordinary loss in annual accounts for FY02 " Retrenchment compensation of Rs. 58 Crores " Estimated loss on realisation/ valuation of fixed assets retired from active use - Rs. 19 Crs. " No. of employee strength to go down by 2300 - about 11% of total employee strength of the Company " Annual savings of Rs.27 Crs. in recurring expenditure (employee cost and fixed overheads) from July 01 onwards 32
Capex Plan FY02 Amount To be Spent in FY02 FY03 Rs. Crores Completion Schedule!Expenditure : A New Projects : - Cement Grinding Unit at Bhatinda (1 Mn MT) (Total Cost Rs.83 Crs.) - - Ready Mix Concrete 3 Plants (745,200 M 3 ) (Total Cost Rs.28 Crs.) Cement Capacity Expansion - Debottlenecking/Blending * 59 * 15 82 59 15 42 -- -- 40 Q3 FY02 Q2 FY02 Q2 FY03 - Power Plants (Cement units) - AC 23 MW -South 12.5 MW Sub Total (A) 92 46 294 50 23 189 42 23 105 Q3 FY03 Q3 FY03 * Net of amount spent till FY 01 33
Capex Plan FY02 (Contd..) Amount B Normal Modernisation : -VSF 60 53 -Cement 178 153 -Others!Financing : Sub Total (B) Total (A + B) 54 292 586 Rs. Crores To be spent in FY02 FY03 30 236 425 7 20 17 44 149 Debt (Already raised) Internal Accruals/New Debts Total 160 265 425 -- 149 149 34
Financial Highlights FY99 FY01 35
Profitability FY99 FY01 Gross Turnover Net Turnover PBIDT PBIDT Margin Interest PBDT Depreciation PAT (before deferred tax) ** EPS CEPS DPS Interest Cover After current & deferred tax PAT ** EPS Rs. Crs. Rs. Crs. Rs. Crs. % Rs. Crs. Rs. Crs. Rs. Crs. Rs. Crs. Rs. Rs. Rs. Ratio Rs. Crs. Rs. FY99 4,325 3,757 678 18.1 292 386 210 164 19.6 44.7 6.75 2.3 105 12.5 FY00 4,982 4,273 756 17.7 256 500 237 233 25.4 51.3 7.0 2.9 150 16.3 FY01 5,582 4,822 912 18.9 239 673 252 378 41.2 68.7 8.0 3.7 348 37.9 * For the period * * After employee separation cost 36
Financial Snapshot (FY99 FY01) FY99 FY99(R)* FY00 FY00(R)* FY01 FY01(R)* Gross Block Rs.Crs. 4,937 4,937 5,206 5,206 5,312 5,312 Net Block Rs.Crs. 3,354 3,354 3,401 3,401 3,303 3,303 Equity Rs.Crs. 91.7 91.7 91.7 91.7 91.7 91.7 Net Worth Rs.Crs. 2,616 2,142 2,777 2,220 3,075 2,488 Avg.Capital Employed Rs.Crs. 4,572 4,128 4,759 4,244 4,815 4,243 Debt : Equity ** Ratio 0.93 1.13 0.82 1.02 0.62 0.76 Book Value Rs. 285 234 303 242 335 271 ROCE (PBIT basis) % 10.1 11.2 10.5 11.8 13.8 15.7 RONW % 6.6 5.1 8.6 6.9 12.9 14.8 * Restate for deferred tax liability ** Both Long Term and Short Term debts considered in debts 37
To Sum Up! Focus " Deliver enhanced value to shareholders on a sustained basis " Value creation and not asset creation alone! Strategy " Focus on core businesses VSF and Cement " No unrelated diversification / Investments " Improve asset utilisation through market expansion and better penetration " Improve margins through better efficiency and stringent cost control Cement will be driver of growth going forward 38
Plant Locations Bhatinda(G) Noida Gurgaon Jodhpur % T Bhiwani Shambhupura Bharuch F Jawad F C % T Gwalior F P C T Fibre plants Pulp plants Chemical plant Textiles units Grey cement plants / Grinding Units (G) Nagda Raigarh S Hotgi(G) Malkhed Raipur Hyderabad B White cement plant Ready-mix Concrete plant Bulk Cement Terminal Bangalore Harihar B F P F Chennai Reddipalayam S Sponge Iron plant P Not to scale Mavoor 39
Thank You
Annexure Results Q1/FY2002 41
Financial Performance Q1FY02 Net Turnover & Operating Income Other Income PBIDT Interest and Finance Charges Gross Profit Depreciation PBT(before ESC & E.O. items) Profit on transfer of Undertaking Employee Separation Cost (ESC) Provision for Current Tax Provision for Deferred Tax Profit after Current & Deferred Tax EPS for the period (Rs.) EPS(Restate for Deferred Tax) (Rs.) Q1FY02 1,184.2 14.5 247.7 47.5 200.2 62.6 137.6-2.4 23.0 10.0 102.2 11.2 11.2 * Restate for deferred tax liability # Not provided, Q1FY01 Rs.4.7 Crs. and FY01 Rs.30.3 Crs. Q1FY01 1,195.9 12.3 188.4 61.3 127.1 62.3 64.8-1.4 4.0 # 59.4 6.5 * 6.0 Rs. Crores % Chg. FY01 (1) 4,839.8 18 89.7 31 911.5 (22) 238.8 58 672.7 1 251.9 112 420.8 - (18.4) 71 11.3 475 50.0 - # 72 377.9 72 41.2 87 * 37.9 42
Performance Highlights Q1FY02! Excellent performance due to improved scenario of Cement, AND despite poor off take of VSF and curtailed operations of Chemical division! Turnover marginally down due to lower volume of VSF, curtailed operation of Chemical division and planned reduction of trading activity! Operating profits higher at Rs.248 crores (up 31%), Operating margins higher at 21% (corresponding quarter 16%)! Declining trend in interest charges continues; down by 22%! Net profit before extraordinary items and deferred tax liability increased by 88%, despite higher current tax 43
Performance Highlights Q1FY02 (Contd..)! Deferred Tax Liability " Provision of Rs. 10 Crs. in Q1FY02 made as per AS-22 " Liability for corresponding Q1FY01 would have been Rs.4.7 Crs. " Provision for liability for the past year upto FY01 estimated at Rs. 587 Crs. which, as per AS requirements, will be met out of accumulated Revenue Reserve " The deferred tax liability has arisen substantially on account of the timing difference between the Depreciation admissible under Income-tax Laws and Accounting Depreciation. " Having regard to the normal capital expenditure plans of the Company in the future years, the timing difference is not expected to be reversed. No cash outflow therefore expected to materialise towards such liability in foreseeable future. 44
45 Divisional Turnover - Q1FY02 1,349 1,176 55 101 77 556 28 528 387 44 343 32 311 Amount Q1FY02 100 5 9 6 47 2 45 33 4 29 3 26 Share % 100 8 9 7 37 2 35 39 5 34 3 31 Share % 1,378 1,190 91 106 81 440 27 413 472 61 411 41 370 Amount Q1FY01 5,582 Total Gross Turnover 100 4,822 Total Net Turnover 8 390 Others 8 401 Sponge Iron 6 306 Textiles 39 1,852 3 133 White 36 1,719 Grey CEMENT 39 1,873 5 245 Chemical 34 1,628 3 158 Pulp 31 1,470 VSF FIBRE Share % Amount FY01 Net Turnover Rs. Crores
Divisional Quarterly Turnover Trend 1400 1200 1000 800 600 400 1192 1184 1185 92 93 102 106 100 97 81 85 72 440 426 457 1263 101 98 69 530 1176 54 101 77 556 Others Sponge Iron Textile Cement Fibre / Chemical 200 473 480 457 465 387 0 Q1 FY01 Q2 FY01 Q3 FY01 Q4 FY01 Q1 FY02 Net Turnover (Rs. Crs.) 46
Divisional Quarterly PBIDT Trend 300 270 240 210 180 150 120 90 60 30 188 6 17 37 133 219 226 2 7 25 20 56 140 81 121 261 23 141 111 248 3 21 148 78 Others Sponge Iron Textile Cement Fibre/ Chemical 0-30 -5-4 -4-11 -2-3 Q1 FY01 Q2 FY01 Q3 FY01 Q4 FY01 Q1 FY02 PBIDT (Rs. Crs.) 47
Viscose Staple Fibre Q1FY02 Q1FY01 % Chg. FY01 Capacity TPA 220,775 220,775 220,775 Production MT 32,757 52,395 (37) 218,847 Sales Volumes MT 39,011 53,308 (27) 203,854 Net Turnover Rs.Crs. 311 370 (16) 1,470 Avg. Realisation Rs./MT 72,590 66,048 10 69,733 PBIDT Margin * % 22 31 29 * Before employees separation cost 48
Viscose Staple Fibre (Contd..) Highlights! Capacity utilisation down at 59% due to closure of Nagda Plant for part of the current quarter! Plant operations resumed June 01 end! Sales volumes down 27 %, at 39,011 MT due to adverse market conditions (lower demand)! Realisation up 10% from Rs.66/Kg to Rs.72.5/Kg! Operating margin down from 31% to 22% " Spread of fixed overheads on lower volume " Higher input cost (Pulp cost up 11%,Caustic Soda cost up 42%) 49
Cement Grey Cement Capacity Production Sales Volumes Net Turnover Avg Realisation White Cement Capacity Production Sales Volumes Net Turnover Avg Realisation PBIDT Margin Mn. MT Mn. MT Mn. MT Rs. Crs. Rs./MT TPA MT MT Rs. Crs. Rs./MT % Q1FY02 * 10.36 2.57 2.55 528 2,046 400,000 54,211 53,502 28 5,251 27 Q1FY01 9.10 2.46 2.47 413 1,646 360,000 53,173 52,765 27 5,110 8 % Chg. 4 3 28 24 2 1 4 3 FY01 ** 9.86 9.10 9.16 1,719 1,894 ** 400,000 251,594 251,291 133 5,268 17 * Capacity increased by 0.5 Mn.MT in June 01 ** Capacity as on 31.03.01 50
Cement (Contd..) Highlights! Capacity utilisation at 99%! Sales volume grew by 3% " Sales volumes up in South 22% and East 9%; but down in West 6% and North 2% #Better penetration into new Southern market! Average realisation up by 24% at Rs.2,046/MT reflecting better price environment prevailing across regions! Operating margin improved substantially from 8% to 27% 51
Textiles Q1FY02 Q1FY01 % Chg. FY01 Divisional Revenue Rs.Crs. 77 81 (5) 306 PBIDT Margin* % (2) (6) (7) * Before employees separation cost Highlights! Divisional performance remained subdued! Fabrics (64% of revenue) remained under pressure " Sluggish market condition " Intense price competition and inflow of spurious materials " Increased cheap imports! Operating margins remain negative due to higher promotional charges, sharp rise in input costs (fibre, yarn, power & fuel and labour) and lower volumes of synthetic & worsted yarn 52
Sponge Iron Q1FY02 Q1FY01 % Chg. FY01 Capacity TPA 900,000 900,000 900,000 Production TPA 166,493 174,312 (4) 663,998 Sales Volumes MT 165,217 180,489 (8) 673,852 Net Turnover Rs. Crs. 101 106 (4) 401 Avg Realisation Rs./MT 5,907 5,631 5 5,733 PBIDT Margin % 21 16 21 53
Sponge Iron (Contd..) Highlights! Capacity utilisation marginally down from 77% to 74% " Continued restricted Natural Gas supplies from GAIL " Use of Naptha discontinued since July 00 due to prohibitive costs! Sales volumes lower by 8%! Average realisation up by 5% " Improved demand " Reduced competition in the domestic market! Operating margin improved from 16% to 21%! Operating profit up 23% despite lower volume 54
Caustic Soda Capacity Production Net Turnover Avg Realisation Net Turnover PBIDT Margin MT MT MT Rs./MT Rs. Crs. % Q1FY02 160,600 21,950 20,588 15,139 44 18 Q1FY01 160,600 32,893 34,607 10,265 61 28 % Chg. (33) (41) 47 (27) FY01 160,600 131,253 133,450 11,085 245 32 Highlights! Capacity utilisation scaled down to 55% due to water shortage! Realisation improved in line with improved market conditions! Margin down at 18% mainly due to spread of fixed overheads on lower volumes Operating profit down 54% from Rs.17 Crs. in Q1FY01 to Rs.8 Crs. in Q1FY02 due to the same reason! Performance expected to be better in remaining quarters! Contribution from ancillary products down due to lower realisation Q1FY02 Q1FY01 %Chg. Chlorine Realisation (Rs./MT) 2,780 4,993 (44) Hcl Realisation (Rs./MT) 697 4,119 (83) 55
Production Data (MT) Q1FY02 Q1FY01 FY01 Capacity TPA Production % Capacity TPA Production % Capacity TPA Production % VSF * 220,775 32,757 59 220,775 52,395 95 220,775 218,847 99 Pulp 58,000 18,267 126 58,000 18,143 125 58,000 69,729 120 Chemical 160,600 21,950 55 160,600 32,893 82 1,60,600 131,253 82 Grey Cement ** $ 10.36 2.57 99 9.10 2.46 108 # 9.86 9.10 100 White Cement 400,000 54,211 54 360,000 53,173 59 # 4,00,000 251,594 70 Sponge Iron 900,000 1,66,493 74 900,000 174,312 77 900,000 663,998 74 * Excluding installed capacity of Fibre (26,000TPA) and Pulp (72,000 TPA) at Mavoor, closed since May 99. * * Grey Cement numbers are in Mn. MT. # Capacity as on 31-03-01 $ Capacity increased by 0.5 Mn. MT in June01 56
Divisional Turnover Qty & Realisation Quantity (MT) Realisation (Rs. /MT) Product Q1 FY02 Q1 FY01 FY01 Q1 FY02 Q1 FY01 FY01 VSF * 39,011 53,308 203,854 72,590 66,048 69,733 Pulp * 13,419 18,405 70,148 23,914 22,450 22,500 Chemical 20,588 34,607 133,450 15,139 10,265 11,085 Grey Cement** 2.55 2.47 9.16 2,046 1,646 1,894 White Cement 53,502 52,765 251,291 5,251 5,110 5,268 Sponge Iron 165,217 180,489 673,852 5,907 5,631 5,733 * Excluding installed capacity of Fibre (26,000 TPA) and Pulp (72,000 TPA) at Mavoor, closed since May 99. ** Grey Cement numbers are in Mn. MT. 57