Aarti Industries Ltd · NSE:AARTIIND
Aarti Industries — Q3 FY23 Earnings Presentation
22 slides from Aarti Industries's earnings presentation, Feb 5, 2023
Slide 1: Cover letter to stock exchanges
February 5, 2023 To, To, Listing/Compliance Department Listing/Compliance Department BSE LTD. National Stock Exchange of Phiroze Jeejeebhoy Towers, India Limited Dalal Street, “Exchange Plaza”, Plot No. C/1, Mumbai – 400 001. G Block Bandra-Kurla Complex, Bandra (E), Mumbai – 400 051. CODE : 524208
Slide 2: Q3 FY23 Results Presentation
Focused Ready Q3 FY23 Results Presentation
Slide 3: Disclaimer
Disclaimer AARTI INDUSTRIES LIMITED may, from time to time, make written and oral forward looking statements, in addition to statements contained in the company's filings with BSE Limited [BSE] and National Stock Exchange of India Limited [NSE], and our reports to shareholders. The company does not
Slide 4: Agenda
Agenda 01 02 03 Company Q3 FY23 Growth Overview Financial Opportunity Results & Strategy 3
Slide 5: Vision, Mission and Values
Vision, Mission and Values OUR VISION OUR VALUES To emerge as a ‘Global partner of choice’ for leading consume Excellence of specialty chemicals and We continuously intermediates raise the bar of our performance to delight our Integrity stakeholders We practice highest ethical Care and moral Our com
Slide 6: About Aarti Industries (AIL)
About Aarti Industries (AIL) Overview Leading Speciality Chemicals company in Benzene based derivatives with integrated operations and high level of cost optimization 100+ 1,100+ 60+ 15 Key value chains include Nitro Chloro Benzenes (NCBs), Di-Chloro Benzenes Products Domestic & Global Exporting
Slide 7: Key Strengths
Key Strengths Global Player in Benzene based Well placed to benefit from Strong Focus on R&D and Derivatives with Integrated Operations Industry Tailwinds Process Innovation Top 3 Top 2 Alternate to China & Europe 50+ Fully Backward Integrated In Chlorination and In Hydrogenation Products in R&D pip
Slide 8: Industries Served and Customer Profile
Industries Served and Customer Profile Key end user industries Key Customers Polymer and additives; agrochemicals and intermediates; dyes, pigments, paints, and printing inks; pharma intermediates, fuel additives, rubber chemicals, resins, etc. Industries Served Essentials (Agro, Pharma, FMCG) 50% 5
Slide 9: Robust R&D expertise
Robust R&D expertise 2 250+ 7 INR 100+ crore 50+ State-of-the-art R&D Engineers & scientists Patents filed R&D Spends in FY22; up Planned product centres across Maharashtra from Rs. 22 crore in FY17 introductions from R&D & Gujarat 18,000 sq. ft. 65+ Fully Digitised Paperless Focus on: Laboratory wi
Slide 10: Agenda
Agenda 01 02 03 Company Q3 FY23 Growth Overview Financial Opportunity Results & Strategy 9
Slide 11: Q3 & 9M FY23 – Financial Snapshot
Q3 & 9M FY23 – Financial Snapshot Q3 FY23 vs INR 1,854 12% INR 289 26% INR 160 8% INR 137 crore crore crore crore Q3 FY22 (excl PAT) Revenues Revenues EBITDA Profit Before Tax Profit After Tax INR 5,456 19% INR 837 INR 476 INR 397 crore 17% 5% 9M FY23 vs crore crore crore 9M FY22 (excl PAT) Revenues
Slide 12: Key Milestones/ Updates in Q3 FY23
Key Milestones/ Updates in Q3 FY23 INR 270+ cr. • Consistent EBIDTA growth, despite global challenges INR 289 cr. and uncertain environment. EBIDTA CAPEX entailed • Signed a binding term-sheet with Deepak Fertilisers for 20-year Nitric Acid offtake and supply arrangement valued at over Rs. 8,000 cro
Slide 13: Performance Overview – Q3 FY23
Performance Overview – Q3 FY23 Revenues of Rs. 1,854 crore; increase EBITDA of Rs. 289 crore; increase of PAT of Rs. 137 crore of 12% over previous year 26% over previous year • Revenue grew on Y-o-Y basis on account of inflated RM prices, utility costs, freight costs, etc. On Q-o-Q despite some cor
Slide 14: Historic partnership with Deepak Fertilisers for Nitric Acid supply
Historic partnership with Deepak Fertilisers (DFPCL) for Nitric Acid supply Signed a binding term-sheet for Nitric Acid offtake and supply Eliminates the need DFPCL will supply to invest into Nitric Acid at formula- arrangement backward integration driven international prices from 1st April, valued
Slide 15: Chairman’s Message
Chairman’s Message Commenting on the performance for Q3 FY23, Mr. Rajendra Gogri – Chairman & MD at Aarti Industries Limited said: “We have demonstrated sustained performance build-up during the period under review, with strong gains in both topline and profitability metrices despite softness in dem
Slide 16: Q3 & 9M FY23 – Consolidated Profit & Loss
Q3 & 9M FY23 – Consolidated Profit & Loss Particulars (Rs. Crore) Q3 FY23 Q3 FY22 Y-o-Y (%) Q2 FY23 Q-o-Q (%) 9M FY23 9M FY22 Y-o-Y (%) Gross Income from Operations 1,854 1,657 11.9% 1,847 0.3% 5,456 4,597 18.7% Exports 888 640 38.8% 927 -4.2% 2,593 1,774 46.2% % of Total Income 47.9% 38.6% 50.3% 47
Slide 17: Q3 FY23 Highlights (Consolidated)
Q3 FY23 Highlights (Consolidated) Revenues EBITDA 12% 26% 2,288 890 1,657 1,847 1,854 228 267 289 Q3 FY22 Q3 FY22 Q2 FY23 Q3 FY23 Q3 FY22 Q3 FY22 Q2 FY23 Q3 FY23 (With (Without (With (Without termination termination Termination Termination income) income) income) income) Profit Before Tax Profit Aft
Slide 18: Agenda
Agenda 01 02 03 Company Q3 FY23 Growth Overview Financial Opportunity Results & Strategy 17
Slide 19: Future Growth Projects: FY23-24 (Driven by R&D & Innovation)
Future Growth Projects: FY23-24 (Driven by R&D & Innovation) Introducing Chloro ● Adding new chemistries and Value Toulenes Value added products Chain: (Range of products) o 40+ products for Chemicals ● EBITDA margin ~ 25% - 30% Setting up Newer range of ● CAPEX of about: Universal Value Added Multi
Slide 20: Major Projects: FY19 – H1 FY25
Major Projects: FY19 – H1 FY25 Operationalised by 9M FY23 To be Completed by Sept 24 Set up New Research & Operationalized Phase 1 Unit at Dahej Technology Centre at Navi SEZ for agrochemical intermediates & NCB Capacity Expansion at Vapi Mumbai Speciality Chemical Specialty Chemicals Blocks at vari
Slide 21: About Us
About Us Aarti Industries Limited (AIL) is one of the most competitive benzene-based speciality chemical companies in the world. AIL is a rare instance of a global speciality chemicals For further information please log on to company that combines process chemistry competence (recipe focus) with sca
Slide 22: Thank You
@ AARTI INDUSTRIES Growth Focused. UO Ready. Thank You