Epigral Ltd · NSE:EPIGRAL
Epigral — Meghmani Finechem — Q4 FY2023 Earnings Presentation
18 slides from Epigral's earnings presentation, Apr 25, 2023
Slide 1: Exchange filing cover letter for Q4 & FY2023 investor presentation
25th April, 2023 To, National Stock Exchange of India Limited BSE Limited “Exchange Plaza”, Floor- 25, P J Tower, Bandra-Kurla Complex, Dalal Street, Bandra (East) Mumbai 400 051 Mumbai 400 001 SYMBOL:- MFL Scrip Code: 543332 Dear Sir, Sub.: Investors Presentation for Audited Financial Results - Q4
Slide 2: Meghmani Finechem Limited Q4 & FY23 Earnings Presentation
Meghmani Finechem Limited Q4 & FY23 Earnings Presentation 25th April, 2023
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Meghmani Finechem Limited (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities and shall
Slide 4: Company Overview
Company Overview Founded: 30% 22% 2007 5 Year Revenue CAGR (FY23) 5 Year EBITDA CAGR (FY23) Employees: 900+ 0.8x 32% Net Debt to Equity (FY23) ROCE (FY23) Capacity: Chlor-Alkali# – 421 KTPA 5,000 Derivatives# – 190 KTPA Revenue from operations (₹ Cr) 2,188 Certified: Responsible Care Certificate 1,5
Slide 5: FY23 - Key Highlights
FY23 - Key Highlights FY23 Operational Highlights: o Volume growth of 9%, partially led by new product CPVC Resin and Epichlorohydrin and partially by growth in volume of Caustic Soda and Hydrogen Peroxide o Capacity utilization of Hydrogen Peroxide reached 93% and CMS reached 104% o Realization - C
Slide 6: Q4FY23 - Key Highlights
Q4FY23 - Key Highlights Q4FY23 Operational Highlights (YoY) : o Volume growth of 15% YoY (13% QoQ) – Led by new product CPVC Resin and Epichlorohydrin contributed and growth in volume of Caustic Soda and Hydrogen Peroxide o Capacity utilization of Hydrogen Peroxide reached 98% and CMS reached 102% o
Slide 7: FY23 – Key strategic updates
FY23 – Key strategic updates o Following expansion projects are moving as per schedule Strategic Update o CPVC Resin – Additional capacity of 45,000 TPA, expected to get commission by Q4FY24 o Chlorotoluene & its value chain, expected to get commission by Q4FY24 o R&D centre near Ahmedabad, expected
Slide 8: CMD Message
CMD Message “FY 2022-23 was a very exciting year, despite business undergoing through lot of volatility. Realizations were at their peak at the start of the year and dropped sharply by the end of the year. Our strategy to diversify in high value new products and continuous expansion has brought us v
Slide 9: FY23 Financial Highlights
FY23 Financial Highlights 3,200 1,200 800 Revenue 0.5 EBITDA 40% PAT 20% 2,700 700 1,000 33% 35% 16% 16% 31% 2,188 0.4 600 2,200 30% 15% 800 689 25% 500 1,700 1,551 0.3 600 509 20% 400 353 10% 1,200 0.2 15% 300 253 400 700 10% 200 5% 0.1 200 5% 100 200 - 0% - 0% -300 FY22 FY23 0 FY22 FY23 FY22 FY23
Slide 10: Key ratios as on 31st March 2023
Key ratios as on 31st March 2023 ROCE (%) ROE (%) Net Debt/EBITDA (x) 32% 40% 29% 36% 2.1 1.9 16% 1.3 16% FY21 FY22 FY23 FY21 FY22 FY23 FY21 FY22 FY23 TTM EBIT, PAT and EBITDA are considered for above ratios o ROCE and ROE improved to 32% and 40% respectively on account of higher realization and vol
Slide 11: Q4FY23 Financial Highlights
Q4FY23 Financial Highlights 1,000 Revenue YoY Growth: 13% 300 EBITDA YoY Growth: -12% 45% 170 PAT YoY Growth: -22% 900 40% 150 20% 0.5 20% 250 800 35% 130 31% 700 0.4 35% 28% 14% 200 175 30% 110 99 14% 15% 600 538 562 167 499 155 25% 90 500 0.3 150 77 77 20% 70 400 10% 0.2 100 15% 300 50 10% 200 50
Slide 12: Revenue Transition towards Derivatives & Specialty Chemicals
Revenue Transition towards Derivatives & Specialty Chemicals 81% 75% 79% 70% 71% 69% 62% 38% 31% 30% 29% 25% 19% 21% Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 FY22 FY23 - Chlor-Alkali - Derivatives & Specialty Chemical segment o Revenue contribution from Derivatives and Specialty chemical Segment increased
Slide 13: Project Update as on 31st March 2023
Project Update as on 31st March 2023 Expected % of project Capex Spends - ₹ Cr Product Capacity Commissioning completed Date Commissioned Epichlorohydrin 50 KTPA Q1FY23 1st June 2022 Commissioned CPVC Resin 30 KTPA Q2FY23 18th July 2022 Caustic Soda Commissioned 456 106 KTPA Q2FY23 416 with CPP 30th
Slide 14: Focused on ESG
Focused on ESG ENVIRONMENT o Focused on using best technology to manage critical resources, to moderate the consumption of energy and natural resources and drive operations efficiently o Focus is to manufacture more from less, basis for environment responsibility o Entered in JV to set up 18.34 MW W
Slide 15: Income Statement
Income Statement Particulars (₹ Cr) Q4FY22 Q4FY23 % Change FY22 FY23 % Change Revenue from Operations 499 562 13% 1,551 2,188 41% Gross Profit* 244 224 -8% 716 951 33% Gross Margin (%) 49% 40% 46% 43% Operating EBITDA 175 155 -12% 509 689 35% EBITDA Margin (%) 35% 28% 33% 31% Depreciation 21 30 43%
Slide 16: Historic Income Statement
Historic Income Statement Particulars (₹ Cr) FY18 FY19 FY20 FY21 FY22 FY23 Total Revenue 602 720 613 831 1,555 2,196 Gross Profit* 335 431 300 407 716 951 Gross Margin (%) 56% 61% 49% 49% 46% 43% EBITDA 255 312 194 261 510 689 EBITDA Margin (%) 43% 44% 32% 32% 33% 31% Depreciation 55 54 44 74 86 109
Slide 17: Historic Balance Sheet
Historic Balance Sheet Assets (₹ Cr) FY21 FY22 FY23 Liabilities (₹ Cr) FY21 FY22 FY23 Fixed Assets 1,228 1,657 1,962 Share Capital 42 42 42 Financial Assets 10 8 28 Reserves & Surplus 643 684 1,028 Other Non-current Assets 29 11 23 Long-Term Borrowings 340 557 396 Inventories 54 154 212 Redeemable P
Slide 18: About Us & Investor Contact
About Us & Investor Contact Meghmani Finechem Limited (“MFL”), incorporated in 2007, is a leading integrated manufacturer of chemicals in India. The company has state of the art manufacturing facilities in Gujarat, Dahej – a leading PCPIR region in the For further information country. MFL’s Dahej fa