Nitco Q3 Release

1
Investor Update
Nitco Limited
April June 2008
July 26, 2008
2
Index
Financial Review
1.
Product Wise Performance
2.
Operational Highlights
3.
4.
Financial Statements
3
Strong Quarterly Growth Trend Continues
Performance Review Q1 FY09 Vs. Q1 FY08
31
31
Gross Sales
EBITDA

• Gross Sales up 30.85 from Rs 1,322.81mn to Rs
  1730.89 mn driven by growth across key product
  segments
• Vitrified tiles up 21 to Rs 922.59mn
• Ceramic tiles up 11.21 to Rs 387.07mn
• Marble up 21.84 to Rs 206.41mn
• Cement sales was Rs193.26 mn
• Ceramic Tile Capacity is being fully utilized.
  The Ceramic tiles expansion is at full swing and
  expected to complete by end of Q2FY09 which will
  start showing results in sales and profit in
  subsequent period.
• EBITDA up 31.33 from Rs 170.36mn to Rs 223.74mn.
• Despite cost pressures, EBITDA margins in the
  Tiles business improved from 14.62 to 15.82
  due to increase in selling prices and change in
  product mix
• EBIDTA margin for Cement business was
  4.37.(cement business started from Q4FY08 hence
  no corresponding results
• PAT down by 27.24 from Rs 110.94mn to Rs
  80.72mn
• Due to forex loss of Rs. 41.47mn in Q1FY09 as
  against forex gain of Rs.32.09mn in Q1 FY08. The
  company has significant exposure in USD due to
  outsourcing of Vitrified Tiles from China.. The
  loss was on account of reinstatement of foreign
  currency exposure at the exchange rate prevailing
  as on 30th June 2008 of 1USD Rs. 43.03
  (Corresponding as on 30th June 2007 was 1USD Rs.
  40.74 and 31st March 2008 was I USD Rs. 40.06).
• Increase in provision for Tax by Rs. 20.92 mn on
  account on increase in provision for Deferred
  Tax.

4
With a diversified product mix
Product mix
Q1 FY08
Q1 FY09
53
58
3
11
1
13
12
26
22
FY 2007
FY 2008
5
2
54
51
3
2
16
20
22
25
Vitrified
Ceramic
Marble
Mosaic
Others
Cement
Derisked business model through focus on all
major categories of flooring
5
Steps driving future growth

• Retail Foray to drive higher margin
• LE Studio LE Studios in 12 major cities
• LE Studio Express 43 franchisee studios are
  under implementation in tier 1and tier 2 cities
  across the country
• -- 100 to be opened in FY-
  08-09
• Real Estate Development to unlock the value of
  land assets
• Construction has commenced on Thane IT Park I
  II (Biz Park) expected to be completed in next 12
  months
• Construction of a premium residential building at
  Worli (Mumbai) has commenced.
• Capacity expansion in full swing
• The 10,000 sq. mt. capacity expansion project of
  the ceramic tile plant at Alibaug, Maharashtra is
  on schedule for start-up by the end of Q2FY09.
• The state -of-the-art plant for processing
  imported marble at Silvassa, is expected to go on
  stream by end of Q1FY10
• Anti Dumping Duty

6
Financial Statements Income Statement
(In Rs Mn)
Based on Weighted Average Number of
Shares Notes 1) Consumption of Raw material is
higher by 36 as compared to sales increase of
32 on account of cement business where the
margins are lower as compared to tiles business.
2) Power Fuel figures are after netting of
power generated through wind mill of Rs 21.70mn
and Rs.44.76mn for the quarter ended 31 March
2008 and year ended 31 March 2008 respectively
(Corresponding quarter in Previous Year -
Rs.17.77mn for the year ended 31 March 2007 -
Rs.44.21mn
7
Financial Statements Ratio Analysis
8
Shareholding Structure as on 30th June 2008
No. of shares outstanding 32.12mn
9
About Nitco Ltd Nitco Limited (Formerly known
as Nitco Tiles Ltd.) (Nitco) is a complete
flooring solution provider. The company product
category includes ceramic floor tiles, vitrified
tiles, paving tiles, mosaic tiles and imported
marble. It caters to both institutional and
retail clients through its large scale network of
550 direct dealers and over 5,000 retail outlets
spread over India. The key institutional clients
include Hiranandanis, Rahejas, Pantaloon
Retail, Godrej Properties, Oberoi Construction,
Keystone, Piramals, Nirmal Lifestyle, Shrusti,
Runwal, RNA, several large corporates, banks and
financial institutions etc.. For further
information please visit www.nitcotiles.com
Forward Looking Statement Certain statements
in this document with words or phrases such as
will, should, etc., and similar expressions
or variation of these expressions or those
concerning our future prospects are forward
looking statements. Actual results may differ
materially from those suggested by the forward
looking statements due to a number of risks or
uncertainties associated with the expectations.
These risks and uncertainties include, but are
not limited to, our ability to successfully
implement our strategy and changes in government
policies. The company may, from time to time,
make additional written and oral forward looking
statements, including statements contained in the
companys filings with the stock exchanges and
our reports to shareholders. The company does not
undertake to update any forward-looking
statements that may be made from time to time by
or on behalf of the company.
10
Contact Us
For any Investor Relations queries please
contact
Jogendra Sethi Nitco Ltd Email
jogendrasethi_at_nitcotiles.com Tel. No.
91-22-66164555