Upl Limited · NSE:UPL
Upl — Investor Day (May 2023)
68 slides from Upl's investor day presentation, May 8, 2023
Slide 1: Exchange filing cover letter
8th May 2023 BSE Limited National Stock Exchange of India Ltd. Mumbai Mumbai SCRIP CODE – 512070 SYMBOL: UPL Sub.: Investor presentation Dear Sir/ Madam, Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing the investor presentat
Slide 2: Capital Markets Day 2023
CAPITAL MARKETS DAY 2023 May 2023
Slide 3: Safe Harbor Statement
Safe Harbor Statement This document contains certain forward-looking statements with respect to the financial condition, results of operations and business of UPL Limited (UPL) and certain of the plans and objectives of UPL with respect to these items. Examples of forward-looking statements include
Slide 4: UPL Group FY23 Key Performance Highlights
UPL Group FY23 Key Performance Highlights Jai Shroff, Chairman and Group CEO 3
Slide 5: Resilient Performance
Resilient Performance Revenue Growth EBITDA Growth Net Debt (US$ Bn) ROCE FY23 Actuals INR 536Bn INR 112Bn US$ 2.06Bn 15.3% FY23 Guidance +12-15% +15-18% US$ 2 Bn 17-17.5% Achievement +16% +10% US$ 440 Mn (30 bps) vs LY Reduction Firm prices drove double- Subdued profitability in Gross Debt reduced
Slide 6: Unlocking Value & Unleashing Growth
Unlocking Value & Unleashing Growth Platforms International Crop India Crop Global Seeds Manufacturing & Protection Platform Protection Platform Platform Specialty Chemicals UPL Corporation UPL Sustainable Agri Advanta UPL Ltd. Ltd., Cayman Solutions Ltd. Enterprises Ltd. 78% 91% 87% 100% UPL Ltd. H
Slide 7: Highly Experienced and Independent Board across Platforms
Highly Experienced and Independent Board across Platforms Platforms International Crop India Crop Global Seeds Manufacturing & Protection Platform Protection Platform Platform Specialty Chemicals UPL Corporation UPL Sustainable Agri Advanta UPL Ltd. Ltd., Cayman Solutions Ltd. Enterprises Ltd. Numbe
Slide 8: Driving Accelerated Growth with Focus on Shareholder Value Creation
Driving Accelerated Growth with Focus on Shareholder Value Creation Faster Growth across platforms, with flexibility to pursue independent growth strategies 1 3 Driving Next Strengthening Cash Phase of Enhance Profitability Shareholder Flow Generation Value Creation and ROCE 2 7 7
Slide 9: UPL Transforming Agriculture to Address Climate Change
UPL Transforming Agriculture to Address Climate Change Key Sustainable Farm Practices Target Improved Water BioSolutions Management ▪ To reduce CO2 and equivalent emissions by 1GT by 2040 through: ✓ Reduction at UPL’s own manufacturing and its supply chain Crop Rotation Cover Crops ✓ Sustainable pro
Slide 10: UPL Commits to Emission and Water Targets
UPL Commits to Emission and Water Targets UPL targets to Approved by SBTi in line reduce Scope 1& 2 with below 2°C global emissions by ~ 63%1 by temperature rise FY35 vs FY20. trajectory. UPL Endorses UN Global UPL is one of first three global companies Compact CEO Water to partner with WBCSD and co
Slide 11: UPL Group FY23 Financial Performance
UPL Group FY23 Financial Performance Anand Vora, Global CFO 10
Slide 12: Q4FY23 Challenging Market Conditions Weighed on Profitability
Q4FY23 | Challenging Market Conditions Weighed on Profitability All Figures In ₹ crore Particulars Q4FY23 Q4FY22 Change % Revenue Variance – Q4FY23 vs Q4FY22 Revenue 16,569 15,860 4% 6% Contribution Profit 5,703 6,236 -9% 1% Contribution Margin % 34.4% 39.3% -489 bps Fixed Overheads 2,670 2,644 1% E
Slide 13: FY23 Resilient Operational Performance
FY23 | Resilient Operational Performance All Figures In ₹ crore Particulars FY23 FY22 Change % Revenue Variance – FY23 vs FY22 Revenue 53,576 46,240 16% 5% Contribution Profit 21,593 19,002 14% 10% Contribution Margin % 40.3% 41.1% -79 bps Fixed Overheads 10,415 8,837 18% 0.2% EBITDA 11,178 10,165 1
Slide 14: FY23 Working Capital Analysis
FY23 Working Capital Analysis | Lower Receivable and Inventory Days improved WC Cycle by 5 days FY23: 13,985 Cr FY23: 14,970 Cr FY23: 19,565 Cr FY23: 9,390 Cr FY22: 13,078 Cr FY22: 14,287 Cr FY22: 18,733 Cr FY22: 8,632 Cr 149 133 114 104 102 95 64 69 Inventory Receivables Payables Net Working Capita
Slide 15: Reduced Gross Debt and Net Debt; FCF grew 131%
Reduced Gross Debt by US$ 617 Mn and Net Debt by US$ 440 Mn, FCF post Capex and Working Capital grew by 131% in FY23 Net Debt Position - FY23 Free Cash Flow Generated in FY23 All figures are in INR Crore All figures are in INR Crore and US$ Mn Particulars FY23 FY22 Change +11% vs LY 758 473 22,999 2
Slide 16: Continued Focus on Shareholder Value
Continued Focus on Shareholder Value Revenue (In ₹ Bn) EBITDA (In ₹ Bn) and EBITDA Margin (%) EBITDA Margin % 20% 20% 21% 22% 21% 536 462 387 102 112 358 86 316 75 63 FY19 * FY20 FY21 FY22 FY23 FY19 * FY20 FY21 FY22 FY23 Delivered Consistent and Healthy Growth in Operating Profitability Gross Debt a
Slide 17: Low Risk Debt Profile
Low Risk Debt Profile Breakdown of $2.8 Bn Gross Debt Debt by Security (%) Debt by Fixed/Floating Rate (%) As of March 31, 2023 As of March 31, 2023 0.4% Unsecured Floating 27% Average cost of debt Secured Fixed is 6% 73% 99.6% Debt by Maturity (%) Debt by Currency (%) As of March 31, 2023 As of Mar
Slide 18: Global Crop Protection (ex. India) FY23 Performance Overview
Global Crop Protection (ex. India) FY23 Performance Overview Mike Frank, CEO – UPL Corporation Ltd.
Slide 19: Q4 Revenue growth despite rapid post patent price decline
Q4 | Revenue growth despite rapid post patent price decline in an unusual quarter Particulars (in INR B) Q4 FY23A Q4 FY22A B/(W) LY Revenue (In ₹ Bn) Revenue 137 132 4% Contribution Margin % 29.9% 36.5% -660bps 6% Fixed overheads 17 18 6% 1% EBITDA 24 30 -20% EBITDA % 17.7% 23.1% -530bps -3% Volume
Slide 20: Q4 Crop Protection By Regions
Q4 Crop Protection By Regions | Revenue growth across regions except NAM due to rapid decline of post patent product prices (INR B) Q4FY22 Q4FY23 NAM: (13%) Europe: 7% 31.9 27.6 26.3 24.5 Rest of World: 8% • Rapid decline in glufosinate • Growth, despite macro- 18.5 19.9 prices economic challenges,
Slide 21: FY23 Strong revenue growth, moderate EBITDA increase
FY23 | Strong revenue growth, moderate EBITDA increase due to challenges in Q4 Particulars (in INR B) FY23 FY22 B/(W) LY Revenue (In ₹ Bn) FY23 growth% Revenue 420 363 16% LATAM 22% Contribution Margin % 35.1% 36.3% -120bps 2% 6% NAM 12% Fixed overheads 65 56 -16% EUROPE 7% 12% EBITDA 83 76 9% ROW 1
Slide 22: Blockbuster new launches in FY23
Blockbuster new launches in FY23; expected to continue momentum in FY24 >2% ~14% ~66% Crop protection FY23 sales Differentiated/ Sustainable FY23 revenue innovation revenue share Feroce® Evolution® Shenzi® Portfolio and composition Insecticide Fungicide | MMX platform Insecticide Pain point and Long
Slide 23: Differentiated & Sustainable Portfolio Grew 12% in FY23
Differentiated & Sustainable Portfolio Grew 12% in FY23, Led by Volumes Portfolio Revenue (in ₹ Bn) and Share (%) Revenue share% 9M Q4 FY22 FY23 . . 25% Post Patent 208 3% >16% 71% 72% portfolio 167 92 95 FY23 growth FY22 FY23 FY22 FY23 100 . . 80 Differentiated/ 60 16% 7% ~12% 29% 28% Sustainable p
Slide 24: FY23 Key Highlights
FY23 Key Highlights +16% H1 FY23 • Leveraged pricing for business FY23 • Strong performance of new Agile business model to rapidly Revenue Growth quality, margin improvement, products; on path to become and higher cash generation blockbusters adapt to Strong growth • Improved Receivable and changing
Slide 25: Global Crop Protection (ex. India) FY24 Outlook
Global Crop Protection (ex. India) FY24 Outlook Mike Frank, CEO – UPL Corporation Ltd. 24
Slide 26: Multi-pronged Approach to Support Growth
Multi-pronged Approach to Support Growth Product Impactful launches Better value capture Select Force®, Shenzi®, through improved Innovation Nimaxxa® margins New products vol. ramp up Targeted promotion Replacing existing Accelerated growth of Feroce®, Evolution®, Preview®, programs for potential pr
Slide 27: Medium-term Growth Strategy – Unique Growth Accelerators
Medium-term Growth Strategy – Advantage Through Unique Growth Accelerators Robust R&D capabilities and Large near-term post- Generating, protecting infrastructure: 30 R&D patent opportunity, strong value through IP: 1,850+ facilities (incl. 1 OpenAg new product pipeline of granted patents, 4,000+ Fa
Slide 28: Crop Protection + NPP BioSolutions Pipeline
Crop Protection + NPP BioSolutions Pipeline Focus on delivering Superior Differentiated and Sustainable Solutions to Drive Higher Margins Peak Pipeline Composition Peak Pipeline Value (PPV) and other Pipeline Metrics >$ 8.5Bn + 16% $ 2.5Bn 22% Risk Adjusted Peak Sales2 Increase in PPV Risk Adjusted
Slide 29: Robust R&D Pipeline (1/2)
Robust R&D Pipeline (1/2) New Products on Key Crops Offering Type Key regions Soybean Corn Sugarcane Cotton Others Weed management Preview® 2-way herbicide – pre-emergent NAM ✔ Building foundation for 2027 through strong Kashmere® 3-way herbicide LATAM ✔ product launches Triskele® 3-way herbicide LA
Slide 30: Robust R&D Pipeline (2/2)
Robust R&D Pipeline (2/2) New Products on Key Crops Offering Type Key regions Soybean Corn Sugarcane Cotton Others Carbon and Bio-nutrients Nitrogen Fixing Improve N Fixation, positive carbon ✔ ✔ ✔ footprint Submicron N Reduce traditional N, positive carbon ✔ ✔ ✔ footprint Phosphorous Phosphorous ef
Slide 31: Leadership in Post-Patent AIs, Expanding Portfolio
Leadership in Post-Patent AIs, Expanding Portfolio Focusing On Innovation and Differentiation Innovation Rate* Sales by Category FY23 FY27 24% 30 28% 14% 50% 50% 72% FY23 FY27 FY23 FY27 *Innovation rate is defined as the % of total sales from Post Patent Differentiated/ Sustainable products launched
Slide 32: Go-to-Market Strategy – Multi-pronged Approach
Go-to-Market Strategy – Adopting a Multi-pronged Approach to Drive Holistic Growth Geographical • Farmer outreach through national distributors tie-ups/ acquisitions • Retailer collaboration to improve shelf visibility, POS conversions, bulk engagement (Midwest, NAM for corn/ expansion soybean) • Ex
Slide 33: Leading Company in the Fast-Growing BioSolutions Market
Leading Company in the Fast-Growing BioSolutions Market BioSolutions Overview Fast-growing frontier in global Ambition to grow faster agchem space; to grow +11% than market in next 5 years CAGR1 in FY22-FY27 US$409Mn Key Growth Driver Strategy Portfolio strategy Go To Market strategy Expansion, prom
Slide 34: UPL Corporation Ltd.: FY24 Outlook
UPL Corporation Ltd.: FY24 Outlook 4 - 8% Headwinds Pricing challenges Challenges in volume Product bans in in post patent growth due to excess south Europe Revenue Growth products supply from China 6 - 10% Tailwinds Strong farm gate Increased demand for Continued ramp-up of demand biosolutions new,
Slide 35: Key Takeaways
Key Takeaways • On path to growth in FY24 • Long Term Revenue Growth Ambition of 7-10% p.a. • Achieve 50%+ revenues from high margin differentiated and sustainable solutions by FY27, and accelerate growth in select countries, crops and segments ➢ Deliver our R&D pipeline ➢ Accelerated growth of NPP
Slide 36: UPL Sustainable Agri Solutions (UPL SAS) Business Overview
UPL Sustainable Agri Solutions (UPL SAS) Business Overview, FY23 Performance and Growth Strategy Ashish Dobhal, India Head
Slide 37: UPL SAS - Transforming Indian Agriculture
UPL SAS - Transforming Indian Agriculture Innovative Crop Highly Our Focus: Protection Solutions Penetrated Offering a broad portfolio of innovative Package Pan-India agriculture solutions • Wide Portfolio of Market through products and Crop Protection Presence services across the Chemicals, crop li
Slide 38: Broad Portfolio of Crop Protection, Crop Establishment and Post Harvest Solutions
Broad Portfolio of Crop Protection, Crop Establishment and Post Harvest Solutions FY23 Revenue Mix – by Solution Type FY23 Revenue Mix – by Super Category Differentiated & Post Harvest, 4% Solutions added in Sustainable Solutions, 35% Crop Establishment, 4% last few years; scaling-up Sustainable Sol
Slide 39: Highly Penetrated Pan-India Market Presence
Highly Penetrated Pan-India Market Presence 2 Superior Multi-Channel Serving Extensive Distribution Infrastructure Customer Base Go-to-Market Brands 600 25,000+ Unimarts Dealers 72 Depots in 42 300,000+ Indirect Retailers Locations 5,000+ 340+ Feet on Ground B2B Clients Served >90% Coverage across I
Slide 40: Nurture AgTech Platform – Empowering Farmers and Retailers
‘Nurture’ AgTech Platform – Empowering Farmers and Retailers ‘AgTech platform’ offering farmers easy booking of agri services on ‘Nurture’ app. ‘Ag Input E-commerce marketplace’ directly connecting Serving ~3 Mn farmers across India retailers to manufacturers Key Service Offerings Key Metrics 85,000
Slide 41: UPL SAS Crop Protection: Strong Growth over FY20-23
UPL SAS Crop Protection: Strong Growth in Revenue and EBITDA over FY20-23 Revenue (In ₹ Cr) 4,326 Delivered superior sales 3,915 growth - significantly 3,197 2,629 outperformed the market which grew by 11% CAGR^ FY20 FY21 FY22 FY23 EBITDA (In ₹ Cr) and EBITDA Margin % 1200.0 EBITDA 17% 14% 19% 17% 1
Slide 42: UPL SAS Crop Protection - Q4FY23 and FY23 Highlights
UPL SAS Crop Protection - Q4FY23 and Full-year FY23 Performance Highlights Q4FY23 vs Q4FY22 In INR Cr. FY23 vs FY22 In INR Cr. Particulars Q4FY23 Q4FY22 YoY% Particulars FY23 FY22 YoY% Revenue 1,062 916 16% Revenue 4,326 3,915 10% Contribution Profit 279 226 26% Contribution Profit 1,226 1,049 17% C
Slide 43: UPL SAS - FY24 Outlook
UPL SAS - FY24 Outlook Crop Protection 12-16% 14-18% ‘Nurture’ Platform (Only): Revenue Growth EBITDA Growth Outlook Launch of new products such as Full-year contribution from recent Reduce EBITDA level loss by 50% in Sperto, Fascinate flash, Larviron launches including Tridium, Apache FY24 with val
Slide 44: Advanta Enterprises Business Overview
Advanta Enterprises Business Overview, FY23 Performance and Growth Strategy Bhupen Dubey, CEO
Slide 45: Advanta - Key Strengths
Advanta - Key Strengths Superior Product Portfolio backed Superior Innovation Capabilities by Proprietary Technology • Smart R&D: Leveraging presence across ‘lab-to- field’ value-chain to launch superior hybrid seeds • Focused player operating primarily in conventional markets • Robust Infra: 60+ Ye
Slide 46: Widely Recognized Brands Associated with High Performance
Widely Recognized Brands Associated with High Performance Key Crop Specific Brands Key Technology Brands Crop FY23 Revenue Key Brands World’s first imidazoline Share* (%) herbicide tolerant technology for Sorghum Field Corn 45% Helps overcome early-stage growth challenges driving superior yields in
Slide 47: Superior Product Portfolio backed by Proprietary Technology (1/2)
Superior Product Portfolio backed by Proprietary Technology – (1/2) Our Highly Successful Field Crop Portfolio with Strong Growth Potential Tropical Corn (Conventional) Sorghum Sunflower Description Description Description • Position in major markets: #1 in LAN1, • Leadership position in major • #2
Slide 48: Superior Product Portfolio backed by Proprietary Technology (2/2)
Superior Product Portfolio backed by Proprietary Technology – (2/2) Our Highly Successful Vegetable Portfolio with Strong Growth Potential in Tropical Environments Okra Hot chillies Sweet Corn Description Description Description • #1 in Okra globally with multi-virus • Fast market penetration in hig
Slide 49: Superior Innovation Capabilities
Superior Innovation Capabilities World-Class R&D Infrastructure and Capabilities Smart R&D – ‘Geared to Address Farmer Pain-points Effectively’ 45% 32 70+ Commercial Breeding Focus • Breeding goals based on market trends and farmer pain-points Years of Experience R&D Facilities across Scientists wit
Slide 50: Strong Presence, Production & Distribution Capabilities
Strong Presence, Production & Distribution Capabilities Diversified Production & Sourcing Base: Diversified ~30 production sites (both proprietary and tolling) in 24 countries Global Presence Marketing operations in 80+ countries with a commercial presence in over 35 countries employing a team of 1,
Slide 51: Robust Financial Performance Track Record
Robust Financial Performance Track Record Over FY20-FY23, Revenue and EBITDA grew at a healthy pace of ~21% and ~31% CAGR Revenue (In ₹ Crore) EBITDA (In ₹ Crore) and EBITDA Margin (%) EBITDA Margin % 20% 24% 25% 26% 3,558 2,832 921 2,331 698 2,015 568 411 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 Key
Slide 52: Q4FY23 Financial Highlights
Q4FY23 Financial Highlights – Healthy Revenue Growth Despite Headwinds In INR Crore +12% Revenue Growth vs LY -5% EBITDA Change vs LY Particulars Q4FY23 Q4FY22 YoY% • Price: +10%, Volume: -4%, FX: +6% • Higher fixed overheads and R&D Revenue 849 759 12% costs as % of sales (36% in Q4FY23 • Higher vo
Slide 53: FY23 Financial Highlights
FY23 Financial Highlights – Strong All-round Operational Performance In INR Crore +26% Revenue Growth vs LY +29% EBITDA Growth vs LY Particulars FY23 FY22 YoY% • Price: +10%, Volume: +11%, FX: +5% • Improvement in contribution margins driven by overall higher Revenue 3,558 2,832 26% • Strong tractio
Slide 54: Advanta Enterprises - FY24 Outlook
Advanta Enterprises - FY24 Outlook 11-15% 14-18% Revenue Growth EBITDA Growth Tropical Yellow Field Corn growth Grain Sorghum growth driven by Vegetable & Fresh Corn expansion driven by market share Brazil and North America ramp-up expansion into tropical gain in India and Indonesia leveraging on Ig
Slide 55: Manufacturing and Specialty Chemicals Business Overview
Manufacturing and Specialty Chemicals Business Overview and Growth Strategy Raj Tiwari, Chief Supply Chain Officer
Slide 56: India Specialty Chemicals Market Expected to Grow at 11% CAGR
India Specialty Chemicals Market1 Expected to Grow at 11% CAGR over 2020-25 India Specialty Chemicals Market Size (INR Bn)1 India Specialty Chemicals Market to Grow Fastest1 148 11.2% 87 7.0% 53 4.0% 3.0% 2.5% 2.5% 1.5% 2015 2020 2025 India China MEA LATAM N. America Europe Japan Key Growth Drivers
Slide 57: UPL Uniquely Positioned in Specialty Chemical Market
UPL is Uniquely Positioned to Capitalise on Opportunity in Specialty Chemical Market #1 specialty chemicals Immense opportunities to company in India with expand external B2B revenue of over manufacturing collaborations INR 15,000 crore1 and entering new chemistries Vertically-integrated UPL manufac
Slide 58: Business Overview – Specialty Chemicals Manufacturing Platform
Business Overview – Specialty Chemicals Manufacturing Platform Revenue (In ₹ Crore) Manufactures and Supplies chemicals to Major Chemistries: supplies chemicals to 600+ external B2B Grignard Reaction, UPL Group Companies clients (~15% of Nitration, (UPL Corporation and platform revenue) Phosphorus a
Slide 59: Specialty Chemicals Manufacturing – FY24 Outlook
Specialty Chemicals Manufacturing – FY24 Outlook 10-14% 12-16% Revenue Growth EBITDA Growth Entering into new Chemistries Expand capacities of existing molecules Enter into more external B2B Cater to expanding captive demand collaborations from UPL Group Companies 58
Slide 60: Occupational Health and Safety
Occupational Health and Safety Committed to “Zero Harm” Strengthened Personal and Hazardous Chemical Strengthened Global Process Safety Incidents (no.) Process Safety Management Management and Warehouse 15 and Enhancing Safety Incident Learnings Assessment Program Culture 5 • Risk mitigation of crit
Slide 61: Reducing Environment Footprint in Manufacturing
Industry leading performance on reducing Environment Footprint in Manufacturing • Carbon emission targets CO2 Emission (Kg/MT) Water Consumption (KL/MT) Waste Generation (Kg/MT) approved by SBTi, target 1600 reduction of 63.12% per 1500 ton of production by 1400 1,337 8.69 3,538 FY2035 (vs. FY2020)
Slide 62: UPL Group FY24 Outlook
UPL Group FY24 Outlook Anand Vora, Global CFO 61
Slide 63: UPL Group: FY24 Outlook
UPL Group: FY24 Outlook +6-10% +8-12% +125-175 bps Revenue Growth EBITDA Growth ROCE UPL Corporation: UPL SAS: 4-8% growth in revenue and 6-10% 12-16% revenue growth and 14-18% growth in EBITDA growth in EBITDA Advanta Enterprises: Specialty Chemicals Manufacturing: 11-15% growth in revenue and 14-
Slide 64: Annexure
Annexure 1. Opening Statements 63
Slide 65: UPL Corporation Ltd.: Healthy Growth in Revenue and EBITDA over FY20-23
UPL Corporation Ltd.: Delivered Healthy Growth in Revenue and EBITDA over FY20-23 Revenue* (In INR Bn) 420 363 283 304 FY20 FY21 FY22 FY23 EBITDA* (In INR Bn) and EBITDA Margin % EBITDA 20% 20% 21% 21% Margin % 110 83 76 65 57 10 FY20 FY21 FY22 FY23 Note: Financials pertain to UPL Corporation Ltd.,
Slide 66: Q4 & FY23 Net Finance Cost Breakdown
Q4 & FY23 Net Finance Cost Breakdown ₹ crore Particulars Q4FY23 Q4FY22 Change FY23 FY22 Change Interest on Borrowings 370 162 128% 1,278 685 87% Interest on Leases & Others 393 346 13% 1,105 749 47% Other Financial Charges 49 31 58% 166 171 -3% NPV – Interest & Finance 155 89 74% 602 340 77% Interes
Slide 67: Balance Sheet: FY23
Balance Sheet: FY23 ₹ crore Particulars YTD Mar’23 YTD Mar'22 Particulars YTD Mar’23 YTD Mar’22 Equity Share Capital 150 153 Fixed Assets Tangible Assets 9,361 8,470 Perpetual bonds 2,986 2,986 Intangible Assets 11,366 11,068 Retained earnings 26,813 21,522 Right of use assets1 906 792 Total Equity
Slide 68: GHG Emission Targets Approved by SBTi and Targets Committed to WBCSD
GHG Emission Targets Approved by SBTi and Targets Committed to WBCSD for elimination of wastewater pollution GHG emission targets approved by SBTi Targets for elimination of wastewater pollution by 2030 ▪ Reduce scope 1 and scope 2 GHG emission by 63.12 % per ▪ 20% of total water usage at own manufa