Glass market in india 2014 sample

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Glass Market – India August 2014


Executive Summary Market

EXIM

Drivers & Challenges

Technology Trends

• The Indian glass market is currently valued at INR x1 bn and is expected to reach INR x2 bn in 2018 • The Indian container glass market is valued at INR y1 bn and is expected to reach INR y2 bn in 2018 • The Indian flat glass market is expected to reach a1 lakh tonne by 2014 growing at a rate of b1% • India exhibits a low glass consumption in comparison to other countries • India has a strong position in container glass market wherein export exceeds import • In container glass articles for conveyance and packaging registers the highest export as well as import Drivers – Growing use in packaging industry – Qualitative aspect – Growth in real estate sector – Growth in automobile sector – Growing preference for value added glass – Glass widely used in solar products – Glass used for energy conservation – Cost advantage

Challenges – Rise in price of soda ash – Growing alternatives of glass – Reusable nature of glass – Competition from Chinese products

• Blow and Blow • Press and Blow

Major Players

Competition

Public Companies

Company A

Company B

Company C

Private Companies

Company D

Company E

Company F

GLASS MARKET IN INDIA 2014.PPT

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•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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Economic Indicators (1/3) GDP at Factor Cost: Quarterly INR tn c4

15 14

d1 c1

d2

13

b1

b2

12

a1

a2

c2

c3

b4

b3

a4

a3

11 Q1

Q2 2010-11

Q3 2011-12

2012-13

Q4

2013-14

Inflation Rate: Monthly %

2 1

r p

s q

0 -1 t

-2 Jul 2013 - Aug 2013

Aug 2013 - Sep 2013

Sep 2013 - Oct 2013

GLASS MARKET IN INDIA 2014.PPT

Oct 2013 - Nov 2013

Nov 2013 - Dec 2013

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Glass as a product has several uses but it is used the most in the construction and packaging industry Container glass forms the largest segment in the glass industry due to a strong demand from the end user segment followed by flat glass and other glass segments Float Glass

SAMPLE

• Float glass was the biggest innovation that revolutionized the glass industry • With the invention of float glass process, glass application expanded and currently dominates the construction, automotive and mirror industries • Further processing of float glass leads to various other types of glass such as  Sheet  Patterned  Wired

GLASS

Container Glass

• Packaging industry is highly influenced by the container glass • Even though there are several other packaging alternatives, container glass is preferred as it is healthy, hygienic and eco-friendly • Sectors demanding container glass include beer and spirits segment, food and beverages industry, pharma industry as well as cosmetics and perfumery

Other Glass • It includes the optical glass and fibre glass • Optical glass have wide application in lens used in eyeglasses, microscopes, telescopes, camera and many instruments for factories and laboratories • Fibre glass is used in making glass yarn, tape, cloth and mats along with electrical insulation, chemical filtration, cutlery and firefighters' suits GLASS MARKET IN INDIA 2014.PPT

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The Indian glass market is progressing at a steady rate due to its wide applications across sectors Market Overview: India

Market Size and Growth (Value wise)

• Glass market in India will show a healthy growth rate amidst a strong GDP performance • The growth rate of Indian markets is more than global growth rate as the associated glass using sectors is witnessing a robust growth • However, per capita consumption of glass is much less than other developed countries which outlines the growth potential of glass sector in India • Flat glass is exhibiting tremendous growth potential in India which is attracting existing container glass manufacturers as well as new players

Per Capita Consumption – Comparison (2013)

INR bn t X% s r

a1

a3

a2

a4

q p 2013

2014e

2015e

2016e

2017e

2018e

Market- Segmentation (2013)

kg

Segment 1

t

a6

a5

a2

Segment 2

Segment 3

b2

s r q

a3

b1

a1

b3

p India

USA

Other Developed Countries GLASS MARKET IN INDIA 2014.PPT

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Stupendous growth of the container glass market is primarily driving the glass market in India Market Overview: Container Glass

Market Size and Growth (value wise) INR bn

• Container glass forms the largest market segment in the overall glass market • Indian packaging industry has been growing, aided by a number of factors

t X% s

 Increasing urbanization and rise in the middle class population is increasing the demand for packaged products

r

a2

a4

a6

q

• Container glass market is capital intensive which is an entry barrier for new players to enter the market • Container glass packaging solutions can undergo multiple cycles of reuse

p 2013

Growth in Production

2014e

2015e

2016e

2017e

2018e

Per Capita Consumption

TPD

kg

t s r

a1

a3

a5

a1

a2

a3

a4

a5

a6

t s r

q

q

p

p 20--

20--

20--

20--

20--

20--

a1

20--

GLASS MARKET IN INDIA 2014.PPT

a2

20--

a3

20--

a4

20--

a5

20--

a6

20-7


The growth in glass market is being fostered by the growth of the flat glass market Market Overview: Flat Glass

Market Size and Growth (Value wise)

• Flat glass is produced by float process and is processed further to add certain qualities and specifications • Flat glass helps in reducing greenhouse gas emissions as well as helps in energy conservation via its architectural glass products • This market has benefited from the booming automotive industry • Rise in demand for architectural glass in the following years is expected to boost the market

INR bn t

X% s r

a1

a2

a3

a4

p 2013

2014e

2015e

2016e

Float Glass : Domestic Sales

TPD

TPD

s r

a1

a2

a3

a4

a5

a6

s r q

p

p 20--

20--

20--

20--

20--

2017e

t

q

20--

a6

q

Growth in Production t

a5

a1

20--

GLASS MARKET IN INDIA 2014.PPT

a2

20--

a3

20--

a4

20--

a5

20--

2018e

a6

20-8


•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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Container glass makes a valuable contribution to export earnings with maximum contribution by packaging articles Export Import: Container Glass

EXIM Snapshot

• India has an impressive performance in export of container glass products • It has persistently enjoyed a positive net trade value of an average of INR 4.7 bn over the past four years • Glass articles used for conveyance and packaging comprise the highest valued segment in import as well as export

Export

INR bn v u

Net Trade

INR bn

n4

n3

n2

n1

f e

t s r q p

d e1 m1

e4

e3

e2

20--

Container Glass Export Components- 2014

Import

m3

m2

c m4

b a

20--

20-2013

20-2014

Container Glass Import Components- 2014

x4 x3 x5 x2

x4 x3 x5 x2

x1

x1

Note: Following HS Codes were used: 70101000; 70109000; 70179020; 70179030; 70179090 GLASS MARKET IN INDIA 2014.PPT

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•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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Drivers & Challenges- Summary Drivers Growing use in packaging industry Growth in real estate sector

Challenges

Better packaging quality

Rise in price of soda ash

Growth in automobile sector

Growing alternatives of glass

Growing preference for value added glass

Competition from Chinese products

Glass is widely used in solar products

Reusable nature of glass

Glass used for energy conservation Cost advantage

GLASS MARKET IN INDIA 2014.PPT

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•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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Technology Trends – Summary

Blow and Blow

Press and Blow

GLASS MARKET IN INDIA 2014.PPT

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•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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Trends – Summary Demand for value-added products is growing for basic glass

Key Trends Investment and capacity expansion

Decorative glasses with digital print technology

GLASS MARKET IN INDIA 2014.PPT

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•Macroeconomic Indicators •Introduction •Market Overview  Container Glass

-Green Potential  Flat Glass

-Emerging Types of Flat Glass •Export Import •Distribution Channel •Drivers & Challenges • Trends  Technology Trends  Key Trends

•Competitive Landscape •Strategic Recommendation •Appendix GLASS MARKET IN INDIA 2014.PPT

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SAMPLE

Porter’s Five Forces Analysis

Impact x Threat of New Entrants

Impact x

Bargaining Power of Suppliers

Impact x

Competitive Rivalry

Impact x

Bargaining Power of Buyers

Impact x

Threat of Substitutes

*Note: BEP (Break-even point) GLASS MARKET IN INDIA 2014.PPT

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SAMPLE

Competitive Benchmarking (2/5)

Key Ratios of Top 3 Companies – Operational Basis (FY 2013) (1/3) Operating Margin

%

Net Margin

40 30

a1 b1

20 10

a2

b2

a3

b3

0 Company A

Company B

Company C

• Company A recorded operating margin of x1%, higher than that of Company B which recorded operating margin of y2% but lower than that of Company C which recorded operating margin of z3% • Net margin for Company A , Company B and Company C are a1%, b2% and c3% respectively, wherein Company A has the highest net margin among these three companies

GLASS MARKET IN INDIA 2014.PPT

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Public: Domestic Company – Company 1 (1/5)

SAMPLE

Company Information

Offices and Centres – India

Corporate Address Tel No. Fax No. Website Year of Incorporation Ticker Symbol Stock Exchange

Mumbai

Head Office

Products and Services Category

Products/Services

Key People Name

Designation

Person 1

MD and Executive Director

Person 2

VC and VC of Share Transfer Committee

Person 3

Director

Person 4

Director

GLASS MARKET IN INDIA 2014.PPT

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Public: Domestic Company – Company 1 (2/5)

SAMPLE Key Ratios

Financial Snapshot Total Income

d

z1

s

a3

a1

r

c b

a4

a2

e

Particulars

Net Profit/Loss

z2

z3

z4

q

a

p 2010

2011

2012

2013

Financial Summary • The company earned a net profit of INR x1 mn in FY 2013, as compared to net profit of INR x2 mn in FY 2012 • The company reported total income of INR y1 mn in FY 2013, registering an increase of y2% over FY 2012 • The company earned an operating margin of z1% in FY 2013, an increase of z2percentage points over FY 2012 • The company reported debt to equity ratio of a1 in FY 2013, an increase of a3% over FY 2012

2013

2012

2011

2010

Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets

Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)

Liquidity Ratios Current Ratio Cash Ratio

Leverage Ratios Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio

Key Financial Performance Indicators Indicators

y-o-y change (2013-12)

Value (20/03/2014)

Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved

GLASS MARKET IN INDIA 2014.PPT

Decline

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Public: Domestic Company – Company 1 (3/5)

SAMPLE

Key Business Segments Segment 1

C%

a1%

B%

b1%

Key Geographic Segments

Segment 2

b2%

Region 1

b3%

b4%

A%

Region 2

C%

x1%

B%

y1%

x2%

x3%

x4%

2010

2011

2012

2013

A% 2010

2011

2012

2013

Business Highlights Description

News

Overview

• The company has operations in Country A, Country B and Country C that offers treatment for acute and chronic diseases in primary, secondary and tertiary care sectors

• Specializes in 50 specialties comprising cardiac sciences, oncology, radiology and imaging, Services

gastroenterology, neurosciences, orthopedics, critical care services and in minimally invasive surgeries and transplantation

• Operates retail pharmacy outlets all across the country

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Public: Domestic Company – Company 1 – SWOT Analysis (5/5)

SAMPLE S

W

O

T

GLASS MARKET IN INDIA 2014.PPT

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Private: Domestic Company – Company 2 (1/5)

SAMPLE

Company Information

Offices and Centres – India

Corporate Address

Tel No. Fax No. Website Year of Incorporation

Mumbai

Head Office

Products and Services Category

Products/Services

Key People Ready Meals

Name

Designation

Person 1

Director

Person 2

Director

Person 3

Director

Person 4

Director

Instant Mixes

Others

GLASS MARKET IN INDIA 2014.PPT

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Private: Domestic Company – Company 2 (2/5)

SAMPLE

Shareholders of the Company

Name

Ownership Structure

No. of Shares held

Segment Segment

Segment

19.0%

23.6%

GLASS MARKET IN INDIA 2014.PPT

57.4%

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Private: Domestic Company – Company 2 (3/5)

SAMPLE

Financial Snapshot Total Income

Key Ratios

a3

t

Particulars

Net Profit/Loss

f e

s a1

d

r q

b1

b2

b3

b4

c b

p

a 2008

2009

2010

2013

2012

2011

2010

Profitability Ratios

a4

a2

y-o-y change (2013-12)

2011

Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets

Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)

Financial Summary • The company earned a net profit of INR x1 mn in FY 2011, as compared to net profit of INR x2 mn in FY 2010

Liquidity Ratios

• The company reported total income of INR x3 mn in FY 2011, registering an increase of x4% over FY 2010

Leverage Ratios

• The company earned an operating margin of x5% in FY 2011, an increase of x6 percentage points over FY 2010 • The company reported debt to equity ratio of x7 in FY 2011, a decrease of x8% over FY 2010

Current Ratio Cash Ratio Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio

Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved

GLASS MARKET IN INDIA 2014.PPT

Decline

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Private: Domestic Company – Company 2 (3/5) Business Highlights Description

SAMPLE News

• Company 2 has hospital network in Country A, Country B and Country C and is primarily headquartered in Overview

Country D • Presently located in 10 cities in India having hospitals in Region 1, Region 2 and Region 3

Facilities

• Has core specialties in heart care, brain and spine, bone and joint and minimal access surgery • Provides advanced medical diagnostics and treatment with personal care

Recognitions

• Obtained NABH accreditation within one and a half years of beginning operation in India • Hospital A, Region 1, Hospital B, Region 2 has been NABH accredited

GLASS MARKET IN INDIA 2014.PPT

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Private: Domestic Company – Company 2– SWOT Analysis (5/5)

SAMPLE S

W

O

T

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