#1MMP Industries Limited B-24, MIDC, Hingna Road, Nagpur-440016 CIN L32300MH1973PLC030813 Tel : (07104) 668000, Email [email protected] Web : www.mmpil.com TM MMP Monday, 31st July 2023 The Manager, Listing Department, National Stock Exchange of India Limited “Exchange Plaza”, C - 1, Block G, Bandra Kurla Complex, Bandra(East), Mumbai-400051 MH IN Sub: Investors Presentation for the Audited Financial Results of the Company for the Quarter (Q-1)/FY23-24 ended 31st March, 2024. Ref: NSE Script Code - MMP Dear Sir/Madam, With reference to the captioned subject, kindly find enclose Investor Presentation for the Audited Financial Results of the Company for the Quarter (Q-1)/FY23-24 ended 31st March 2024. The aforesaid presentation is also made available on the Company's website www.mmpil.com. Kindly disseminate the same on website. Sincerely, For MMP Industries Limited ARUN Digitally signed by ARUN RAGHUVIRRAJ RAGHUVIRRA BHANDARI J BHANDARI Date: 2023.07.31 12:03:30+05'30' Arun Raghuvirraj Bhandari Chairman & Managing Director Regd. Office: 211Shrimohini, 345 Kingsway, Nagpur-440001, India. Tel: (0712) 2533585 Works: Village Maregaon, Post: Shahpur, Dist. Bhandara-441906, India. Tel: (07184) 282620 Works: Plot No. D-15/2 & D-16, MIDC, Umred-441203, Dist-Nagpur, India. Tel: 7066012324 Certified for: ISO 9001:2015, ISO 45001:2018, 1SO 14001:2015 1#2Leadership & Excellence In Aluminium INVESTOR PRESENTATION July 2023 PRINT the ultimate printing press 3 12 uw MMP TM#31 2 Agenda About MMP Industries Business/Industry Overview 3 Financial Overview 4 Investment Rationale © 2023 MP Industries Limited, All Rights Reserved. MMP TM#4MMP About MMP Industries Limited (MMPIL) TM 3#5| MMPIL At A Glance 遇 正 MMP Leading manufacturer of aluminium powders, aluminium foils and aluminium conductors/cables for various industries like Explosives, Concrete Blocks, Pesticides, Master Batches, Pharmaceuticals, Food packaging and Power Transmission etc. Association with Global Industry leader "Toyo Aluminium K.K. Japan" would help in moving up the value chain alongside technological support Pioneer in AAC Block segment in construction industry with an extensive range of aluminium powders Large customer base in diversified industries with strong customer retention and sizeable market share across all segments Large presence in the Domestic Market across all segments. Exports to countries in Europe and Africa. Diversified into aluminium foils in 2021 and already recognized as a preferred vendor to the quality sensitive pharma sector. © 2023 MMP Industries Limited, All Rights Reserved. 4#6| Valuable Partners © 2023 MMP Industries Limited, All Rights Reserved. MMP MMPIL Promoter Holding: 74.48% | Public Holding: 25.52% STAR CIRCLIPS MMP STAR CIRCLIPS & ENGINEERING LTD. MMPIL Holding: 26.06% | Promoter Holding: 73.94% ☐ Largest manufacturer of Circlips, retaining rings and carbon steel fasteners in India Portfolio of 800+ products supplied to the Global Automobile industry Toyal TOYAL MMP INDIA PVT. LTD. TOYAL MMP INDIA PVT LTD. MMPIL Holding: 26.0% | Toyo Holding: 74.0% Partnership with Toyo Aluminium K.K. of Japan for aluminium pastes business Manufactures high grade specialty aluminium pastes used in automobile, decorative, inks and paint industry 5#7| Leadership Team MMP Mr. ARUN BHANDARI Managing Director Mr. Arun Bhandari, aged 66 years, is a B. Tech in Chemical Engineering from Institute of Technology, Banaras Hindu University, Varanasi with extensive industrial projects, operations, and management experience. Mr. Bhandari started his career as a GET at Shri Ram Chemical Industries, Kota in the year 1977. Under his management MMPIL has created its niche and become one of the most reputed aluminium powders/ foils player in the country. in Mr. MAYANK BHANDARI Director Mr. Mayank Bhandari, aged 37 years, is son of Promoter Shri Arun Bhandari. He completed his high school education from United World College of South East Asia, International Baccalaureate Diploma 1999-2002. He completed his "Bachelors Engineering" with Business Management, from the University of Birmingham 2002-2005 and did his M. Sc. Engineering Business Management from University of Warwick in 2006. He has grown up the ladder in the business and his management portfolio includes Marketing/Labour Administration & Operations Mrs. SAKSHI BHANDARI Member of Promoter Group Mrs. Sakshi Bhandari, aged 36 years, is wife of Mr. Mayank Bhandari. She completed her high school education from Mahindra United World College of India in 2003 with the International Baccalaureate Diploma. She then completed her integrated undergraduate and postgraduate "Masters in Engineering" in "Manufacturing Engineering & Management" from University of Warwick in 2007.She is a quality assurance specialist trained in the Japanese school of TPM. © 2023 MMP Industries Limited, All Rights Reserved. 6#8| Milestones 1981 Technical know- how agreement with AVL Belgium First atomizer commissioned ISO 9001 certification 1983 1990 1993 1996 2000 MMP Sales cooperation with AVL (Belgium) for various grades of flake aluminium powders for AAC application Setting up of the Aluminium Conductor Division. Joint venture Agreement with Toyo Aluminium KK, Japan for specialty pastes Migrated to Main Board to NSE Received significant approvals from Big Pharma Companies in the Aluminium Foil business 2004 2010 Commenceme nt of operations (Unit I) for Flake Acquired INDAL paste plant for paste production Additional Two Atomisers Commissioned Commencement of operations (Unit II) for flake aluminium powders Aluminium powders © 2023 MMP Industries Limited, All Rights Reserved. 2011 2014 2016 2018 2020 2021 2022 2023 OHSAS 18001 & ISO 14001 Certification Listed on NSE EMERGE (IPO) Commenced the commercial production and operations of Aluminium Foil Order from Aurobindo Pharma and Sun Pharmaceutical Industries Wins First Commercial 7#9Manufacturing Units 3 manufacturing facilities located near Nagpur, Maharashtra 3 Unit I- Maregaon, Dist. Bhandara (aluminum powders and aluminum conductors / cables) Unit II - Hingna, Nagpur (aluminum powders) Unit III - Umred, Dist. Nagpur (aluminium powders and foils) Company owns 100 acres land bank out of which currently 40 acres is utilized, and balance is for future activities. Plant is ISO 9001:2015, ISO 14001:2015 and ISO 45001 : 2018 (IMS) Certified © 2023 MMP Industries Limited, All Rights Reserved. Powders MMP Capacity (MTPA) Division Installed FY23 Upcoming FY24 Total Atomised 12,000 12,000 Pyro & Flakes 11,000 1,500* 12,500 Leafing 300 300 Foils Rolling Mill Section 3,600 4,800# 8,400 Conversion Section 3,600 3,600 Conductors/Cables 7,200 7,200 *Expected to be Commissioned in Q2 FY24 #Expected in Q2 FY24.Project underway Strategic location in Central India with proximity to the manufacturing hub for all the key end user industry segments 00 8#10Product Portfolio ALUMINIUM POWDERS ALUMINIUM FOILS ALUMINIUM CONDUCTORS/CABLES MMP CAPACITY: 22,000 MTPA Revenue Share: 71%* CAPACITY: 5,000 MTPA Revenue Share: 21%* CAPACITY: 7,200 MTPA Revenue Share: 7* End Grade wise User Revenue Share Explosives/Mining 34% 四 HOME FOILS/CONTAINERS Concrete/AAC Blocks 31% Alphos/Pesticides 14 % PHARMACEUTICALS Pyro/Fireworks 3% Leafing Powder / Master 4 % Batch FOOD PACKAGING Atomized 14 % Powder/Diverse Note: *FY23 © 2023 MMP Industries Limited, All Rights Reserved. OTHERS Revenue Share: 1% 9#11Marquee Customers - Powders THERMIT CIAN OROMANCE SCO S SOLAR UltraTech CEMENT The Engineer's Choice HIL TOGETHER, WE BUILD. BIG BLOC CONSTRUCTION LIMITED UPL sh Shree Cement 母 Sandhya Group PHOSPHORUS CHEMISTRY IK LAKSHMI CEMENT Ltd. biltech™ magicrete magic behind happy homes Toyal Toyal Group © 2023 MMP Industries Limited, All Rights Reserved. Sumitomo Chemical AVLMOWDERS شركة الصناعات الوطنية NATIONAL INDUSTRIES COMPANY MMP 10#12Marquee Customers - (Foils) LOZEN PHARMA Innovating Confectionery for Healthcare HETERO HEALTHCARE M Anglo-French torrent Drugs & Industries Ltd. Pajanta pharma limited INTAS PHARMA madras pharma MMP T अयं मे विश्व भेषज Tablets (India) Limited Caplin Point Laboratories Limited Imagine. Innovate MICRO LABS MICRO LABS LIMITED 8 Marksans Pharma Ltd. alchem AUROBINDO © 2023 MMP Industries Limited, All Rights Reserved. Strides of More Than 100 Years, Haffkine Service to Mankind exemed pharmaceuticals SUN PHARMA 11#13TM MMP Business & Industry Overview 12#14| Aluminium Powders MM® Alumnium Powders Segment Set up its first capacity in 1983 for aluminium powders in technical collaboration with a Belgium company Ets. Andre Van Lerberghe (now called AVL Metal Powders) End User Industry ▸ EXPLOSIVE INDUSTRY It is a sensitizer in the production of explosives and provides the energy for explosion and blasting power Aluminium Pyrotechnic & Flake powder capacity has grown from 300 MTPA in 1983 to 11,000 MTPA over the period. In addition, Atomized powder capacity is 12,000 MTPA (captive use 8000-9000 MTPA) CONSTRUCTION (AAC BLOCK) ☐ Aluminium is used as an aeration agent in AAC production worldwide Quality of aluminium powders plays a vital role in AAC density and compressive strength Quality of MMP's aluminium powders is very well recognized in the AAC industry Large corporate customers like Siporex, Magicrete, HIL, Ultra Tech Cement, BILT etc. Aluminium powders (pyrotechnic flake and atomized) are used in many industrial sectors like Infrastructure, construction (via AAC blocks) and mining (via slurry explosives), Agriculture (via pesticides), Defence (via ammunition) etc. ம் 凹 ALPHOS Aluminium phosphide (Alphos) is a fumigant pesticide and aluminium powder is a major constituent in this product MMPIL is the market leader supplying 80% requirement of Top 4 Alphos manufacturers © 2023 MMP Industries Limited, All Rights Reserved. 13#15| Aluminium Foils Alumnium Foils Segment Integrated foil project for making bare foil, converted foil (coated, laminated, printed) Building designed to enable doubling of capacities of all sections with moderate incremental investment in machinery only JA Approved Vendor to major Pharma Companies © 2023 MMP Industries Limited, All Rights Reserved. 0000 100001 ( End User Industry MMP PHARMACEUTICALS Plain and printed blister & strip packaging in the pharma industry FOOD PACKAGING Chocolates and household edibles HOME FOILS/ CONTAINERS Kitchen foil, casseroles etc. 14#16| Aluminium Conductors / Cables © 2023 MMP Industries Limited, All Rights Reserved. TOOOOT MMPIL offers transmission and distribution conductors that are used for overhead transmission of power Considering growing demand Company has set-up a forward integration capacity of Aerial Bunch Cables TOTAL INSTALLED CAPACITY 7200 MTPA MMP 15#17Financial Overview MMP TM 16#18Management Commentary "MMP Industries is pleased to announce its financial results and healthy performance for the quarter ending June 2023. Despite facing a series of challenging market conditions, and 20% fall in aluminium prices compared to Q1 FY 2023, the company has reported its highest ever quantum sales in its history. EBITDA and PAT grew by 63% and 71% respectively due to volume growth in powders and conductors/ cables. The overall performance was primarily driven by good growth in Aluminium Powder, mainly explosives and AAC block applications. Conductors/ Cables also witnessed a sharp increase due to new projects approved by the government and market opening up after almost three years. While the Foil division faced certain headwinds due to an overall low demand and intense competition from China imports after withdrawal of anti-dumping duties. We remain optimistic about the future and are committed to driving sustainable growth." © 2023 MMP Industries Limited, All Rights Reserved. MMP 17#19| Quarterly Financial Highlights ■ Revenue (Mn.) 1,483 1,516 72 Q1 FY23 Q1 FY24 EBITDA (*Mn.) 117 01 FY23 Q1 FY24 Total Revenue was ₹1,516 mn for Q1 FY24 compared to ₹1,483 mn in Q1 FY23, an increase of 2% EBITDA stood at #117 mn for Q1 FY24 compared to *72 mn during Q1 FY23, an increase of 63% EBITDA Margin at 7.7% for Q1 FY24 compared to 4.9% in Q1 FY23, an increase of 286 bps PAT stood at *80 mn for Q1 FY24 compared to ₹47 mn in Q1 FY23, an increase of 71% © 2023 MMP Industries Limited, All Rights Reserved. 47 PAT (Mn.) MMP 80 80 Q1 FY23 Q1 FY24 18#20Quarterly Segmental Performance Revenue Highlights Aluminium Powders (*Mn.) 1,081 MMP Aluminium Foils (*Mn.) ALUMINIUM Conductors(mn.) 225 1,030 313 253 82 Q1 FY23 Q1 FY24 01 FY23 Q1 FY24 ■ Aluminium powder revenue at *1,030 mn for Q1 FY24 compared to 1,081 mn for Q1 FY23 Aluminium foils revenue at *253 mn for Q1 FY24 compared to #313 mn for Q1 FY23 Aluminium conductors revenue at 225 mn for Q1 FY24 compared to *82 mn for Q1 FY23 © 2023 MMP Industries Limited, All Rights Reserved. Q1 FY23 Q1 FY24 19#21|| Consolidated Income Statement MMP Particulars (Mn) Q1FY24 Q4FY23 Q1FY23 FY23 FY22 Total Income 1,516 1,436 1,483 5,389 4,487 Total Expenses 1,399 1,325 1,411 5,030 4,064 EBITDA 117 111 72 359 424 EBITDA Margin (%) 8% 8% 5% 7% 9% Finance Cost (Net) 12 12 9 45 36 Depreciation 18 17 17 68 63 PBT 102 82 45 246 324 Share of Profit / (Loss) of 15 8 5 28 46 Associates Tax 22 21 4 60 80 PAT 80 69 47 214 290 PAT Margins (%) 5% 5% 3% 4% 6% © 2023 MMP Industries Limited, All Rights Reserved. 20 20#22Consolidated Balance Sheet Particulars (Mn) ASSETS Non-Current Assets Property, Plants and Equipments Intangible Assets MMP FY23 FY22 Particulars (Mn) FY23 FY22 EQUITY AND LIABILITIES Shareholder's funds 1595 1,465 Share Capital 4 7 Reserves and Surplus 146 38 Total equity 254 254 2317 2,126 2571 2,380 Capital Works in Progress Financial Assets -Investments -Other Financial Assets 323 289 Non-current liabilities 77 83 Financial Liabilities Other Non-Current Assets 38 98 -Borrowings -Long-Term Financial Liabilities Long Term Provisions Deferred Tax Liabilities (Net) 67 68 2 4 25 26 85 60 15 11 194 169 Other Non Current Liabilities Total Non-Current Assets 2183 1,980 Current Assets Total Non-current liabilities Current liabilities Inventories Financial Assets 862 769 Financial Liabilities -Borrowings 509 453 -Trade Receivables -Cash and Cash Equivalents -Other Balances with Banks -Other Financial Assets Other Current Assets 446 518 -Trade Payables 176 213 20 2 -Other Financial Liabilities 95 97 0 0 Other Current Liabilities 24 25 5 10 Short Term Provisions 11 10 51 72 Current Tax Liabilities (Net) 3 Current Tax Assets (Net) Total Current Assets 13 0 1397 1,372 Total Current liabilities 815 802 TOTAL ASSETS © 2023 MMP Industries Limited, All Rights Reserved. 3580 3,351 TOTAL LIABILITIES 3580 3,351 21#23Investment Rationale MM- TM 22#24| Investment Rationale R MMP ☑ = ·S. The internally funded project of new rolling mill will more than double the capacity and also add new light gauge manufacturing possibilities, which will widen our product basket where the margins are higher. The Company has planned further capacity expansion of 1500 MTPA for pyro and flake powders in Umred through internal accruals. Star Circlips & Engineering continues to sustain momentum in growth after the COVID-19 Pandemic. Revenue and Margin growth are likely to be sustained/improved in the coming years due to robust demand in the export and domestic markets. Strong financial track record and stability with almost zero debt in the books. © 2023 MMP Industries Limited, All Rights Reserved. Large Customer base in diversified industries with strong customer retention, generous market share and tremendous goodwill for brand MMP. 23#25MMP Thank you TM (10 For further information, contact: Sharad Khandelwal CFO, MMP Industries Ltd E: [email protected] Siddesh Chawan Ernst & Young LLP, Investor Relations E: [email protected] 24