BIGBLOC Construction Ltd

- The company is planning to raise funds for upcoming expansions. - Fundraising will be through both equity and debt. - Currently, for the joint venture, no debt has been availed yet; CAPEX of around Rs. 11-12 crores has been incurred. - For the Wada plant CAPEX, some has been done from the company's end, with bank finance proposals submitted and expected sanction within a month. - The company is comfortable with a debt-equity ratio of up to 1.3 to 1.5 to fund upcoming CAPEX. - Promoters have chosen to forgo dividend rights to support growth and expansion plans, indicating commitment toward funding requirements.

- The company is undertaking a replacement of 5 out of 6 autoclaves at the Umargaon plant with an estimated cost of Rs. 4-5 crores planned for the ongoing quarter. - Construction activities for Phase 2 at the Wada plant are set to commence shortly, with the plant expected to ramp up capacities. - A joint venture facility, SIAM Cement-BigBloc Construction Technologies Pvt. Ltd., is under construction, targeting commercial production within 6-8 months. - Planned capacity expansions include increasing installed capacity from 8 lakh cubic meters to around 13 lakh cubic meters in 6-8 months, followed by an additional 10 lakh cubic meters in North and South India, aiming for over 2 million cubic meters in 2-3 years. - Total capital expenditure for the JV so far is around Rs. 11-12 crores without availed debt yet. - Fundraising for upcoming expansions will be through a mix of equity and debt, with debt-equity ratio planned up to 1.3-1.5 for CAPEX funding.

- BigBloc expects robust demand for AAC blocks over the next 3-5 years, with AAC currently constituting about 10% of the overall volume market and growing. - The company aims to expand capacities from 800,000 cubic meters to about 1.3 million cubic meters in the next 6-8 months. - Further capacity addition of around 1 million cubic meters is planned in North and South India within 2-3 years, aiming for over 2 million cubic meters total capacity. - Topline revenue target is set between Rs. 400 crores to Rs. 500 crores by the end of FY25 or FY26. - Volume growth for FY24 is expected at 20%-25% with revenue growth around 25%. - Wada plant capacity utilization is projected to reach ~80% by Q3 and Q4 FY24. - The company is scaling up to become the largest AAC manufacturer in India by FY24, with plans for a Pan-India brand presence.

- BigBloc aims for significant capacity expansion, targeting around 2 million+ cubic meters in 2-3 years (Page 8). - Revenue target is Rs. 400-500 crores by FY25/FY26 (Page 8). - The AAC blocks market is growing at a 20%+ CAGR, with company projections to reach Rs. 500-600 crores in turnover in 5 years (Page 12). - Expected volume and revenue growth for FY24 is approximately 20-25% (Page 5). - EBITDA margins are stable around 24-25%, considered healthy by management (Page 11). - Management is focusing on EBITDA over net profit margin due to CAPEX and other financial factors (Page 11). - Debt-equity ratio can comfortably rise to 1.3-1.5 to fund expansions (Page 11). - Carbon credits are expected to generate revenue of roughly $800,000 annually, incorporated within regular revenue streams (Page 17). - Utilization rates of new plants expected to ramp up to 80-90% within 6 months, supporting operating leverage (Page 14).

- The current order book size is approximately 8 to 10 days of orders. - The order book value is estimated around Rs. 7 crores to Rs. 8 crores. - The industry typically maintains a short order book due to the bulky nature of the product. - Small and unorganized builders place orders as per immediate material requirements. - Customers usually order to receive deliveries within 3 to 5 days. - The company does not expect a long order book given the industry's working model.