KAJARIA CERAMICS

Production and Consumption trend of ceramic tiles in world

Production trend of top 10 countries in world

Key Points:
World ceramic tile production decreased from 13,157 million sq.mt. (2018) to
12,673 million sq.mt. (2019). Prediction of further 8.5% decline in ceramic tile
production in far 2020 due to multiple lockdowns in countries because of Covid-
19.
Though India’s production surged from 1145 million sq.mt (2018) to 1266 million
sq.mt (2019) i.e., 10.56%, it couldn’t eclipse the sharp plunge in production
capacity in China (8.7% decline from CY 2018 to CY 2019), further resulting in
decrease in global ceramic tile production (-8.5%, from 2018 to 2019).
World exports surged from 2018 to 2019 by 31 million sq.mt to reach 2,837
million sq.mt. (+1.1%). The above figure is a combined result of contraction in
Chinese exports (continuing downward trend for six consecutive years), down by
75 million sq.mt. to reach 779 million sq.mt., and growth in nearly all other major
exporting countries, particularly India (showing upward momentum from three
consecutive years) with an increase of 86 million sq.mt. to reach 360 million
sq.mt.
India has become 3rd largest exporter of ceramic tiles after Spain and
China. The contraction in Chinese exports and ballooned Indian exports indicates
that Indian products are impelled as an alternative to Chinese products, in USA
and elsewhere.
 Future Prospects of 2020: China declared 5.8% decline in production in the
first half of 2020, and predicts less than 10% in ceramic tiles production at
year end. Turkey is bullish with the production capacity, while countries like
Brazil, Vietnam, Mexico and Spain are sceptical of their production capacity,
estimates decline between 10-20%.

Consumption trend of top 10 countries in world

Key Points:
World ceramic tile production decreased from 12,902 million sq.mt. (2018) to
12,375 million sq.mt. (2019).
India is 3rd largest consumer of ceramic tiles in world, after China and Brazil.
While China sees a decline in consumption of roughly 8.6%, from 4840 million
sq.mt. (2018) to 4424 million sq.mt (2019), contrarily India’s consumption market
has surged 4%, from 750 million sq.mt. (2018) to 780 million sq.mt. (2019).

Indian Tile Industry

Industry Size is estimated to be INR 28,500 crore (net sales), as of 2019. Out
of this, domestic consumption roughly accounts for INR 21,000 crore and
exports accounts for INR 7500 crore.
Tile Industry has been growing with an approximate 8-9% CAGR (Compound
annual growth rate) except it has de-grown marginally in FY2018 and FY2019.
 National Brands Turnover (In crore) as of
31.03.2020

Kajaria Ceramics 2808

Somany Ceramics 1610

Asian Granito 1225

Nitco Tiles 461

Orient Bell Ceramics 492

Company Information (Kajaria Ceramics)

o Largest manufacturer of ceramic tiles (earthen clay) / vitrified tiles (mixture of
silica and clay: gives glossy look) in India.
o 8th Largest manufacturer of Ceramic/Vitrified tiles in world.

o Annual aggregate capacity of 70.40 mn. sq. meters, distributed across eight
plants - Sikandrabad in Uttar Pradesh, Gailpur & Malootana in Rajasthan,
Vijayawada & Srikalahasti in Andhra Pradesh and three plants in Gujarat.
o Offers more than 2800 options in ceramic wall & floor tiles, vitrified tiles,
designer tiles and much more. Offers wide range of colours and textures to
complement bathrooms, living rooms, corridors, study rooms & kitchen.

o Exports tiles to more than 35 countries.

Experience centres* across India

*Experience centres is a place to present a company to the customers. Customers are taken on a customer
journey through the solutions, products and services.

Kajaria manages a cohort of 1500 Operative Dealers all over India.

Manufacturing category

1. Glazed Vitrified Tiles

2. Polished Vitrified Tiles

3. Ceramic Tiles

Products
Diversification

1.Bathware
Kajaria Bathware is a subsidiary of Kajaria Ceramics Ltd. With 85% stake, and
remaining 15% stake is owned by Aravali Investment Holdings, Mauritius.

Maintains presence in:

 Sanitaryware: Production facility in Morbi (Gujrat). Production capacity: 0.75

million pcs per annum.
 Faucet: Production facility in Gailpur (Rajasthan). Production capacity: 1 million
pcs per annum

2. Plywood

FYI: Plywood, MDF, Hardboard or HDF, Blockboard, and others, are different types of
engineered woods available in the market, which are extensively preferred over solid wood or
natural wood for making furniture.

Kajaria Plywood Pvt. Ltd. is another subsidiary of Kajaria Ceramics Pvt. Ltd, offering
wood panel products under the name of Kajaria PLY.

Maintains presence in:

 Plywood:
* Plywood is an engineered wood made by gluing several layers of veneer in different directions. These
veneers are obtained from logs of wood which are peeled into thin layers of sheets.

Uses glued core protection technology in Boiling Water Proof Grade (BWP) or BWP
grade plywood and Moisture Resistant (MR) or MR grade plywood.
 PARAMETER MOISTURE RESISTANT BOILING WATERPROOF   
PLYWOOD (MR) PLYWOOD (BWP)

Water Resistance Can resist normal levels of Shows high resistance to

water and moisture but is not water and is considered to be
waterproof. completely waterproof.

Strength Strong, durable, and long- Strongest plywood in the

lasting. market.

Termite Resistance High resistance to borer & High resistance to borer &
termites. termites.

Applications Making of beds, sofas, Furniture for kitchen and

tables, chairs, wardrobes, TV bathroom areas without the
table units, and more. fear of damage from water.

 Blockboard:

Kajaria manufactures products engineered with pinewood construction and hardwood

veneers with glued core protection technology in Boiling Water Proof Grade (BWP) or
BWP grade plywood and Moisture Resistant (MR) or MR grade plywood.

 FlushDoor:

Kajaria manufactures products available in Pinewood and Hardboard construction.

Shareholding Pattern
  Equity Shares Outstanding: 159.08 million

Production Trend (million sq.mt)

*All figures in crores.
Sales Trend (million sq.mt)
*All figures in crores.

Revenue Trend
*All figures in crores.
Profit After Tax (PAT) Results
*All figures in crores.

Balance Sheet (Quarterly and Yearly Comparison) *All figures in crores.