#1HIL TOGETHER, WE BUILD. Date: January 27, 2022 CK BIRLA GROUP To The Department of Corporate Services -CRD Bombay Stock Exchange Ltd P.J.Towers, Dalal Street MUMBAI 400 001 - Scrip Code: 509675 Dear Sir/Madam, To National Stock Exchange of India Limited 5th Floor, Exchange Plaza Bandra (E), MUMBAI 400 051 Scrip Symbol: HIL Sub: Investors' presentation for the quarter and nine months ended December 31, 2021 Ref: Intimation under Regulation 30 of SEBI (LODR) Regulations, 2015 Pursuant to Regulation 30 of SEBI (Listing Obligation and Disclosure Requirement), Regulation 2015 (the "Regulation"), kindly find enclosed Investors' Presentation for the quarter and nine months ended December 31, 2021. You are requested to kindly take the same on record and acknowledge the receipt. Thanking You for HIL LIMITED шпокои Mahesh Thakar Company Secretary & Head of Legal. Encl: As above HIL MITED 280009 Office Premises Nos. 1 & 2, L7 Floor, SLN Terminus, Sy. No. 133, Beside Botanical Garden, Gachibowli, Hyderabad - 500032, Telangana State, India CIN: L74999TG1955PLC000656 | Ph: +91 40 68249000 | Email: [email protected] | Website: www.hii.in#2142 1.& BIRLA BIRLA HIL BIR H + GIRLA, MIL ++ BIRLA HIL (CK BIRLA COUR BIRLA HIL CK BIRLA GROUP BIRLA HIL PUTTY Bring colours to life lis (CK BIRLA CROUP BIRLA HIL CK BIRLA GROUP BIRLA HIL การ BIRLA HIL m) HIL HİL TOGETHER, WE BUILD. Financial Results Presentation Q3 & 9M FY2022 3rd YEAR IN A ROW Great Place To WorkⓇ Certified APR 2021-MAR 2022 INDIA#3HIL TOGETHER, WE BUILD. Disclaimer Cautionary statement regarding forward-looking statements This presentation may contain certain forward-looking statements relating to HIL Ltd. ("HIL”, or “Company”) and its future business, development and economic performance. These statements include descriptions regarding the intent, belief or current expectations of the Company, its subsidiaries and associates and their respective directors and officers with respect to the results of operations and financial condition of the Company, subsidiary or associate, as the case may be. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to (I) competitive pressures; (2) legislative and regulatory developments; (3) global, macroeconomic and political trends; (4) fluctuations in currency exchange rates and general financial market conditions; (5) delay or inability in obtaining approvals from authorities; (6) technical developments; (7) litigation; (8) adverse publicity and news coverage, which could cause actual development and results to differ materially from the statements made in this presentation. Company assumes no obligation to update or alter forward-looking statements whether as a result of new information, future events or otherwise. Any forward-looking statements and projections made by third parties included in this presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections. 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, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this presentation. This presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this presentation is expressly excluded. This presentation and its contents are confidential and should not be distributed, published or reproduced, in whole or in part, or disclosed by recipients directly or indirectly to any other person. (CK BIRLA GROUP 2#4CK Birla Group - 160+ Years of Rich Legacy Over US$2.4 billion Conglomerate Over 25,000 Employees Focus on Long-term Values, Trust-based Present across Five Continents Numerous Patents & Awards Relationships & Philanthropy HIL TOGETHER, WE BUILD. (CK BIRLA GROUP 3#5Vision and Mission Vision Mission HIL TOGETHER, WE BUILD. "To be a leading, global, innovative, and eco-friendly, building and infrastructure solutions company and create sustainable value for our stakeholders" To deliver a diversified portfolio of eco-friendly products and solutions fueled by innovation To build a strong corporate brand present across all continents To digitalize processes end-to- end for business excellence A diverse workplace that is a preferred employer .....while continuing to meet our highest standards of, quality corporate social responsibility, safety, health and environment. (CK BIRLA GROUP 4#6Value, Vision and Lineage Mr. CK Birla: Business must be conducted with highest standards of excellence, values, respect for the environment and human health. Business is the means to develop a better society and provide care to all. HIL will play its role in the infrastructure and construction sectors as a leader, shaping the future of this industry with practices and products that are eco-friendly and technologically advanced Integrity Respect HIL TOGETHER, WE BUILD. Accounta bility Our Values Teamwork Innovation Excellence (CK BIRLA GROUP 5#7HIL's Agenda Established brands • Committed dealership • Momentum in margins through sustainable efficiencies • Great Place to Work with diverse and competent workforce Pedigree Opportunity Maintaining Leadership • Innovation • Develop adjacent complementarities • Diverse and sustainable portfolio • Harness existing core strengths • Drive organic expansion Augment non- roofing portfolio • Launch research based green solutions Defined by strong value- system and parentage HIL TOGETHER, WE BUILD. Steered by experienced Management Underlined by advanced research and commercialization capabilities Strengths Driven by portfolio of high-quality leadership brands Complemented by wide distribution reach for products/solutions Supported by world class manufacturing set up CK BIRLA GROUP 6#875 Years Journey of HIL 1975 Established the R&D Centre at Hyderabad 1946 Incorporation of the Company 1997-99 Commenced production of Commissioned AC sheet plants at Hyderabad and Faridabad 1949-66 Aerocon panels in Faridabad Commenced production of Aerocon blocks at Chennai HIL TOGETHER, WE BUILD. 2013 Changed the name of the company to 'HIL Ltd' Commencement of Production of PVC Pipes at Faridabad 2015 AAC block plant commissioned in Jhajjar 2018 Commencement of Production of CPVC & UPVC Pipes and fittings at Golan Acquisition of PARADOR "Luxury flooring concepts" Company located at Germany Associated with Chennai Super Kings as Brand Ambassador 2020 Sale of 'HYSIL' business to Calderys India Refractories Ltd. Commercialization of new Putty Plant at Golan HIL listed in Stock Exchange 1988 Set-up Windmills as source of Green Energy 2011 Commencement of Production of PVC Pipes at Thimmapur 2014 Commencement of Production of Dry Mix at Jhajjar 2016 Fortune India 500 Company Expansion of production capacity of CPVC, UPVC and SWR Pipes at Thimmapur and Faridabad Awarded Great Place to Work 2019 Awarded Great Place to work for 3rd Consecutive year Commercialization of Charminar Fortune and production of Birla Aerocon Flat Board at Faridabad 2021 (CK BIRLA GROUP 7#9Brand and Product Overview CHARMINAR Most Trusted Roofing Solution CHARMINAR Fortune Non-Asbestos Cement Roofing Sheets HIL BIRLA AEROCON BIRLA HIL BUILDING SOLUTIONS Application & area elent BIRLA AEROCON •C Pa AAC BLOCKS *Bests Light Weight AAC Blocks -corded by Perendeels & 11. Il HIL BIRLA F £99 BIRLA H BIRLA HIL BIRLA HIL - PUTTY Bring colours to life on your walls HIL TOGETHER, WE BUILD. PARADOR PAI " Fibre Cement Sheets "Charminar +" Coloured Fibre Cement Sheets Next Gen Non-asbestos Corrugated Roofing Sheets Dry Wall: ☐ " Solid Wall Panels C- Boards Flex-O-Boards SmartBond Designer Board Wet Wall " AAC Blocks Block Jointing Mortar Pipes & Fittings: UPCV Pipes and Fitting " CPVC Pipes and Fitting SWR Pipes and Fitting Column Pipes Pressure Pipes Wall Putty New Products Water Tanks Engineered Wood Flooring " Laminate Flooring " Gypsum Plaster " Resilient Flooring " Primers & Stainers Water proofing Solutions Tile Adhesives о LVT о ModularOne о SPC Skirting, Wall & Ceiling Panel and Accessories (CK BIRLA GROUP 8#10Geographical Presence Key competitive advantage . 22 Manufacturing facilities in India, I in Germany and I in Austria Building the nation through high quality, cost effective products • 40 Sales depots . 3 sales offices 2,500 loyal stockiest/distributors • 6,000+ sub-dealers · • Deeper market penetration - Rural Retail network and real estate markets - Urban & Semi-urban Green building products • Low cost, high strength & best quality roofing products Manufacturing Units Charminar AC Sheet Charminar Fortune Birla Aerocon Panel Birla Aerocon AAC Blocks Birla HIL Putty Birla HIL Pipes Birla Aerocon Dry Mix Birla Aerocon Fibre Boards PARADOR Flooring • Presence in 80+ countries Germany Austria Gujarat Haryana India Uttar Pradesh A Maharashtra Telangan Jharkhand Orissa Andhra Pradesh Tamil Nadu HIL TOGETHER, WE BUILD. (CK BIRLA GROUP 9#11Manufacturing Prowess Roofing Solution Building Solution Polymer Solution BIRLA AEROCON ARMOUR 220R World-class facilities. End-to-end connected shopfloors HIL TOGETHER, WE BUILD. Flooring Solution (CK BIRLA GROUP 10#12Awards Won (CK BIRLA GROUP HIL TOGETHER, WE BUILD DRIVEN BY VALUES LEADING WITH EXCELLENCE HIL has boon contarred with India's Most Ethical Companies Awards in the Construction & Building Materials category Customers' Trust & Product Excellence Pays Off! Ро Birla HIL Pipes has been recognized amongst Best Brands Building Materials and Fittings by Economic Times 2021 ICO NIC 2021 0 A WA RD S INNOVATIVE INTERIOR selection THE ECONOMIC TIMES 12 LEADERS AWARDS HIL TOGETHER, WE BUILD. THE ECONOMIC TIMES MOST PROMISING BUSINESS LEADERS OF ASIA INSPIRING CED Leaders Awards 2020 (Virtual) For Arhivim Mr. Dhirup Roy Choudhary (Managing Director and CEO of MIL Limited) Chief Executive Officer (CEO) of the Year Building Materials Products NEW DELHI 2020-21 Bizox Media Network Pvt. Ltd. India's Most Ethical Company' Award for the 'Ethical Company in Construction & Building Materials' category. Best brand in Building Materials & Fittings industry - The Economic Times Iconic Awards Innovative Interior - 2021 Most Promising Business Leaders of Asia, 2021 - The Economic Times Most Inspiring CEO 2021 - The Economic Times CEO of the year - (Bizox Media) 2020 SELECTED INDIA Consumer & industry Validated 2021 い MUSE DESIGN AWARDS FORTUNE THE NEXT 509 GERMAN INNO VATION AWARD 20 Superbrands (India) of the year 2021 HIL has been enjoying the Superbrand status for the past 4 consecutive years Muse Design Award for One Ground Edition Fortune The Next 500 German Innovation Award reddot winner 2021 "One Ground Design Edition" in the category Product Design 2021 (CK BIRLA GROUP ||#13Best Workplaces in Manufacturing Brand of the year - CEO magazine - Iconic Awards For Innovative Interior Parador 2021 German Design Award Winner 2021 Award Won Top Challenger Award 2020 Best Information Security Project” & “Best Modern Technology Infrastructure Project" Highest innovative strength - Parador WELT Magazine Germany's Most Popular Provider - Life & Living - Parador - ntv and the German Institute for Service Quality HIL TOGETHER, WE BUILD. CK BIRLA GROUP 12#14HIL TOGETHER, WE BUILD. Quarterly Discussion (CK BIRLA GROUP 13#15Highlights of Standalone 9MFY22 Performance Q3 Q2 QI Revenue (Rs. crore) EBITDA (Rs. crore) 1,478 251 450 61 190 1,114 1,023 57 58 392 288 136 422 24 PBT (Rs. crore) 208 45 137 44 41 PAT (Rs. crore) HIL TOGETHER, WE BUILD. 156 34 102 33 30 292 348 60 62 60 40 742 76 4 43 33 20 133 119 28 605 443 72 74 374 52 52 53 38 30 89 68 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 All numbers are exclusive of discontinued operations of Thermal Insulation business (CK BIRLA GROUP 14#16Highlights of Consolidated 9MFY22 Performance Revenue (Rs. crore) EBITDA (Rs. crore) 326 2,571 312 Q3 Q2 QI 2,200 821 1,910 803 583 85 55 107 201 47 766 99 99 575 704 58 68 PBT (Rs. crore) PAT (Rs. crore) HIL TOGETHER, WE BUILD. 230 160 211 152 55 34 73 36 53 26 100 66 22 12 71 63 25 174 984 752 693 96 107 76 49 9 139 30 37 32 50 50 100 (CK BIRLA GROUP 15 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 9M FY20 9M FY21 9M FY22 All numbers are exclusive of discontinued operations of Thermal Insulation business#17Key Segment Performance 9M Revenue Growth میدا ༣། 9M PBT HIL TOGETHER, WE BUILD. 803 187 Roofing Solution 21% 20% 664 156 285 16 Building Solution 57% 267% 181 4 1,095 79 Flooring Solution 1% -67% 1,089 26 384 30 Polymer Solution 46% 80% 263 17 Note: all figures in Rs. Crore Progressively advancing towards "One-Stop" Global Building Material & Solution provider (CK BIRLA GROUP 16#18Financial Statements - P&L HIL TOGETHER, WE BUILD. In Rs. Crore Standalone Consolidated Particular Q3 FY22 Q3 FY21 Y-o-Y Q3 FY22 Q3 FY21 Y-o-Y Total Income 464 400 16% 834 809 3% Total Expenditure 403 343 18% 749 702 7% EBITDA 61 57 8% 85 107 -20% Margins (%) 13% 14% -105 bps 10% 13% -297 bps PBT 45 41 10% 55 73 -25% Margins (%) 10% 10% -54 bps 7% 9% -251bps PAT 34 30 11% 34 53 -35% Margins (%) EPS 7% 45.20 8% -32 bps 4% 6% -240 bps 40.69 45.49 70.11 Raw material prices remain inflated but strong focus on cost control measures coupled with price increase help to counter impact Agile model and dedicated teams continue to help overcome challenges Continue to maintain emphasis on enhancing the health of the balance sheet and cash flows All numbers are exclusive of discontinued operations of Thermal Insulation business (CK BIRLA GROUP 17#19Financial Statements - Balance Sheet HIL TOGETHER, WE BUILD. In Rs. Crore Standalone Consolidated Particular 31.12.2021 31.03.2021 31.12.2020 31.12.2021 31.03.2021 31.12.2020 A) Equity & Liabilities Shareholder's funds 1,016 876 847 1,131 995 961 Non-current liabilities 70 128 173 321 422 509 Current liabilities 408 397 376 678 696 656 Total Equity & Liabilities 1,494 1,401 1,396 2,130 2,113 2,126 B) Assets Non-current assets Current assets Total Assets 1,011 1,003 1,013 1,213 1,226 1,250 483 398 383 917 887 876 1,494 1,401 1,396 2,130 2,113 2,126 Net worth increased to Rs. I, 131 crore as on Dec 31, 2021 from Rs.995 crore as on Mar 31, 2021 Total Debt decreased by Rs. 135 crore during 9M Total Debt to Equity at 0.24 as on Dec 31, 2021 vs. 0.41 as on Mar 31, 2021 Continue to prioritize balance sheet health (CK BIRLA GROUP 18#20HIL ESG Transformation Journey Become a leading global, innovative and eco-friendly building and infrastructure solutions company and create sustainable value for all stakeholders • • External Recognition HIL on route to obtain green certifications & ESG Ratings from MSCI, DJSI, Sustainalytics Sustainability Strategy and Report ESG strategy & short & long term roadmap for goals and targets underway. Inaugural sustainability report in progress • • Global disclosures HIL will align with global ESG reporting disclosures such as SBTI, TCFD, CDP, IR HIL TOGETHER, WE BUILD. ESG Governance Structure Corporate Social Responsibility and Sustainability committee, ESG steering committee & ESG working group for holistic ESG oversight across our value chain Materiality Assessment Materiality assessment conducted to identify issues that are significant to stakeholders & business Maturity Assessment Maturity assessment performed to determine current state scenario, identify and prioritize areas of intervention (CK BIRLA GROUP 19#21GPTW Certified Company - 3rd Consecutive year Great INDIA'S BEST Place LEADERS To WorkⓇ IN TIMES OF CRISIS 2021 Recognized for exemplary leadership through the covid 19 pandemic & for sustaining a High-Trust High-Performance Culture™ in the organization during this challenging time.. Large Employers Best Companies To Work For Great Place To INDIA Work 2021 THE ECONOMIC TIMES HIL TOGETHER, WE BUILD. Recognized as "India's Best Companies to Work For 2021", Ranked at 55 Best Workplaces™ in Manufacturing Great Place To WorkⓇ INDIA 2021 Recognized as Top 30 of India's best workplaces in Manufacturing 2021 MENT COMMITM A Great Place To WorkⓇ TO BEIN Valid till Jul 2022 RUM GREAT PLACE TO Certified 3rd year in a row with satisfaction score at 86 (from 82 in 2020) Best Workplaces TM in Cement and Building Materials Industry Great Place To WorkⓇ INDIA 2021 Recognized as Best Workplaces in Cement and Building Materials Industry 2021 (CK BIRLA GROUP 20#22Outlook HIL TOGETHER, WE BUILD. Investment in creating opportunities for growth in AAC Blocks, Panels and Boards by way of capacity expansion Focus on driving non-roofing portfolio comprising Building, Polymer & Flooring Solutions Growth from leadership roofing business through optimised distribution and stronger marketing Build a sustainable distribution network by establishing Sales Joint Ventures / subsidiaries in selected markets A €) ....Steadily progressing towards $1 billion vision Established advanced research based non-asbestos roofing solutions to focus on institutional & MNC customers in India and overseas market Evaluation of launch of adjacent products and inorganic avenues in order to augment existing business mix. (CK BIRLA GROUP 21#23Message from Managing Director & CEO HIL TOGETHER, WE BUILD. "We have successfully grown through the first nine months of FY22. While the supply-side issues continues to provide huge headwind, we have escalated our sales across verticals to drive our growth. We also continue to produce innovative ways to overcome the challenges faced. The Roofing Solutions business continues to deliver a strong performance, with robust volumes. As testimony to the salience of our brand, despite increasing input costs, we continue to further improve our market share. Moreover, Fortune, which continues to garner customer appreciation, is well poised for growth, supported by its superior quality. The Building Solutions business has done well despite raw material pressures. HIL has robustly expanded sales across regions, and this instils us with the confidence of regaining lost margins. The capacity expansion in the East will significantly contribute to growth in the business. The Polymer Solutions business saw a challenging quarter owing to the volatility of cPVC and PVC resin prices and supply-side constraints in the market. We strongly pushed sales in the piping business to benefit from strong volumes and pricing. We are driving growth in the business on the back of new SKUs, improving quality, increasing manufacturing efficiency and increasing influencer activity. The Flooring Solutions business, housed in Parador in continuing to face severe headwinds owing to raw material costs. The teams effort made in the last two quarters has ensured availability of materials to a great extent. This has enabled Dhirup Roy Choudhary expansion of sales in European countries and we are confident to witness Q-o-Q improvement, matching our aggressive aspirations of this business. Though the availability issues of HDF and MDF are resolved to some extent, the prices are still at the highest level. We expect the prices may come down in a phased manner from next financial year. We continue persistently on our goal to achieve I billion US$ and transform HIL 2.0 in to a successful “one-stop building material solutions" conglomerate. We are firing all cylinders and constantly optimizing our portfolio and pricing to match the needs of the market. Our robust cost control measures are helping us sustain profitability despite input costs being inflated. Our teams are constantly working on improving our offerings and overcoming all the challenges we face. We have immense confidence in the entire team at HIL and will certainly meet all our goals." (CK BIRLA GROUP 22#24Contact Us HIL TOGETHER, WE BUILD. About Us: Founded in 1946 and having completed 75 glorious years HIL Limited is an integral part of a burgeoning marketplace. It is the flagship company of the C K Birla Group, which is a growing US$2.4 billion conglomerate with diversified interests. With over 25,000 employees, 41 manufacturing facilities and numerous patents and awards, the Group's businesses operate in five continents. Today, HIL is the acknowledged leader in the Building Material space in India. HIL has been honored with the title of "Asia's Most Trusted Building Material Company for last 2 consecutive years by IBC INFOMEDIA. HIL also holds two consumer SuperBrand title and ranks amongst the top 20% of all other SuperBrands across all categories in India. HIL manufactures a comprehensive range of products. Its Charminar brand is an established market leader in roofing solutions. Birla Aerocon, provides Green Building Solutions that includes Dry Walling, Wet Walling and Plumbing solution. Parador, the category leader in design & innovations, covers wooden flooring solutions. These are easy to install, energy efficient along with being superior in quality. HIL's strength lies in its state-of-the-art manufacturing facilities, an unmatched distribution network and diligent customer care. HIL exports its products and machinery worldwide. The company is committed to support and provide environment- friendly products by following green and safe practices. With reference to the health surveillance records of our employees, HIL can safely claim that our AC sheets do not pose a health hazard to its workers, people who live under them, and the general population at large. In its quest for excellence, HIL has developed a world-class R&D facility with a team of highly qualified and dedicated professionals to develop and refresh technologies and processes continuously redefining industry standards leading to solutions that are enriched, cost-effective and environmentally friendly. HIL has surged ahead with a deep commitment to re-greening the world: it has adopted a unique "five- way green" philosophy to ensure that our products and processes are environmentally friendly from end-to-end. Over 30% of our energy needs are met from renewable sources. The company sources green raw materials with a low carbon footprint and processes them using green manufacturing that produces least effluents, byproducts and emissions. Finally, our end products are green, recyclable and have minimal environmental impact. HIL is truly dedicated to providing smart choices that ensure environmentally sustainable Solutions. With HIL we can explore a world of possibilities in building our dreams for a greener and safer tomorrow. Additional information on the Company is available at the following link; http://www.hil.in Ajay Kapadia Vice President - Finance & Accounts HIL Limited Tel: +91 40 68249121 Siddharth Rangnekar/Karl Kolah CDR India Tel: +91 22 6645 1209/1220 Email: [email protected] [email protected] Email: [email protected] (CK BIRLA GROUP 23