India Glycols Limited · NSE:INDIAGLYCO
India Glycols — Q3 FY22 Earnings Presentation
43 slides from India Glycols's earnings presentation, Feb 15, 2022
Slide 1: Regulation 30 cover letter to stock exchanges
0 ~ cE.RTt,i;-;. .<...<,,) ('"1',,_ ~ '6 t \\?~y) ISO 9001 INDIA GLYCOLS LIMITED·· ISO 14001 ; ISO 45001 ; ISO 50001 Plot No. 2-8, Sector -126, NOIDA-201304, Distt. Gautam Budh Nagar, Uttar Pradesh, Tel.: +91 120 6860000, 3090100, 3090200 Fax : +91 120 3090111, 3090211 E-mail : iglho@indiaglycols.co
Slide 2: India Glycols Limited Investor Presentation Q3 & 9M FY22
India Glycols Limited Investor Presentation Q3 & 9M FY22
Slide 3: Safe Harbour Statement
Safe Harbour Statement This presentation may contain statements which reflect the management’s current views and estimates and could be construed as forward-looking statements. These statements are based on certain assumptions and expectations of future events. The company cannot guarantee that thes
Slide 4: Note on JV Transaction
Note on JV Transaction The Board of Directors of the parent Company at their meeting held on 24th June, 2020 had considered and approved transfer of parent Company’s BioEO (Speciality Chemicals) Business to a wholly-owned subsidiary, which was further approved by the members of the parent Company at
Slide 5: Q3 & 9M FY22 Performance
re INDIA GLYCOLS LIMITED
Slide 6: Performance Overview, Highlights, Feedstock Trends, Financials
Performance Overview Highlights Feedstock Trends Financials .
Slide 7: Performance Overview – Q3FY22 vs Q3FY21
Performance Overview – Q3FY22 vs Q3FY21 Gross Turnover Net Turnover EBIDTA 1,760 Cr 795 Cr 62 Cr + 4% - 11 % - 36 % EBIDTA Margin PAT 24 Cr 7.74% + 20% Growth momentum continued despite the following factors • EOD business transfer to JV • Shutdown in December • Unprecedented escalations in feedstoc
Slide 8: Performance Overview – Q3FY22 vs Q3FY21 – Continued Business
Performance Overview – Q3FY22 vs Q3FY21 – Continued Business Gross Turnover Net Turnover EBIDTA 1,760 Cr 795 Cr 62 Cr +7% +12% -11% EBIDTA Margin PAT 7.74% 24 Cr + 34% Excellent performance for continued businesses • EO Sales now part of IGL sales • EODs and formulated products part of the JV sales
Slide 9: Performance Overview – 9MFY22 vs 9MFY21
Performance Overview – 9MFY22 vs 9MFY21 Gross Turnover Net Turnover EBIDTA 5,321 Cr 2,440 Cr 214 Cr + 25% + 21% -11% PAT EBIDTA Margin 273 Cr * 8.77% + 350% Resilient performance for first 9 months on the back of good bounce back in BSPC and good growth in PS and despite shutdown and unprecedented e
Slide 10: Performance Overview – 9MFY22 vs 9MFY21 – Continued Business
Performance Overview – 9MFY22 vs 9MFY21- Continued Business Gross Turnover Net Turnover EBIDTA 5,107 Cr 2,226 Cr 192Cr + 34% + 42% + 3% PAT EBIDTA Margin 263 Cr * 8.63% 489% Company did well for the first 9 months of FY22 on the back of good volume trajectory across its business verticals. Feedstock
Slide 11: Performance Overview - Highlights
Performance Overview - Highlights • Plant Shutdown and Catalyst Changeover completed in December Bio-based • Unprecedented escalation in Feedstock and Energy prices putting substantial Specialties pressure on margins & Performance Chemicals • Grain based bio-ethanol projects in progress – expected c
Slide 12: Feedstock Factors and Trends
Feedstock Factors and Trends Global Energy Crisis Demand Surge Bio-based Coal Shortage Ingredients Climatic Changes Sustainability & Green transition Commodity Prices India Glycols Limited, Investor Presentation December 2021
Slide 13: Feedstock Trends
Feedstock Trends 250 200 150 100 50 0 Steel Coal Ethanol Acetic A Dec-21 Dec-22
Slide 14: Trends – Bioethanol and Corn
Trends – Bioethanol and Corn Manuf. Imported Ethanol Corn • Prices increased sharply from mid 2021 from $ 1.4 /gallon to $ 3.2 /gallon in Nov 2021 • Prices and forecasts in near term continue to hold strong • IGL landed prices have been significantly lower than spot prices due to contracts and plann
Slide 15: Bioethanol Scenario
Bioethanol Scenario US in the largest producer and consumer US & Brazil produce 84% of global ethanol Nearly 70% of BE export is from the US Nearly all US BE is corn based 51% of US exports are to Canada, Brazil and India
Slide 16: Bio-ethanol Scenario
Bio-ethanol Scenario • Softening from peak but prices still holding strong, expected to be supported for near term Crude Price • Fears that Ukraine invasion could curb exports – one of the largest exporters of wheat and corn Corn, Soy, Sugar, Palm Oil, Canola • Rising Crude prices means increased bl
Slide 17: Financial Summary
Financial Summary Particulars (In INR Cr) Q3FY22 Q3FY21 Y-o-Y (%) 9MFY22 9MFY21 Y-o-Y (%) Revenue from operations (net of excise) 795 712 11.7% 2,226 1,565 42.2% • Bounce back in Other Income 7 1 380.8% 17 5 226.3% BSPC both in sales Total Income 802 713 12.5% 2,243 1,570 42.8% Cost of Material Cons
Slide 18: Segment-wise Net Revenue
Segment-wise Net Revenue Q3FY22 Q3FY21 4% 6% 22% 23% 71% 74% Bio-based Specialities and Performance Chemicals Potable Spirits 9MFY22 9MFY21 5% 7% Ennature Biopharma 23% 28% 65% 72% India Glycols Limited, Investor Presentation December 2021
Slide 19: Segment Performance & Key Ratios
Segment Performance & Key Ratios (In INR Crs) Q3FY22 Q3FY21 % Change 9MFY22 9MFY21 % YoY Bio-based Specialities and Performance Chemicals Net Revenue 587 505 16% 1,597 1,012 58% EBIT 24 10 136% 77 20 280% % margin 4.2% 2.0% 211bps 4.8% 2.0% 282bps Potable Spirits Net Revenue 175 163 8% 510 440 16% E
Slide 20: Company Overview
re INDIA GLYCOLS LIMITED
Slide 21: IGL at a glance
IGL at a glance Diversified portfolio with synergies – Bio-based Specialties, Bio-Polymers, Plant Global customer base and partnerships based APIs & Nutraceuticals, Potable with reputed global companies Spirits, Gases, Bio Fuels, CarbonSmart range First company in the world to use innovative green t
Slide 22: Portfolio: Sustainable bio-based ingredients based on green technologies
Portfolio: Sustainable bio-based ingredients based on green technologies Bio-Based Specialities Potable Spirits Nutraceuticals IGL Green JV Unique strength in Bio Ethanol, IMFL, Branded Country Liquor, ENA Expertise in green extraction - Returns through 49% in JV Glycols, EO, Ethers-multi feedstock
Slide 23: Our History in Major Milestones
Our History in Major Milestones 1988 1994 1996 2001 2004 2006 2008 2010 2015 2020 2021 First EO Formulation Guar Gum 1 ENA Glycol E 2 MEG Dehradun Guar Gum Sanitizers JV Distillery Purification Sulphation Glycol E 1 Textile 600 TPD Ennature PO Clariant Guar Gum 1 1 3 5 6 8 10 13 14 16 18 19 1988 199
Slide 24: Catering to diverse end markets
Catering to diverse end markets • Glycols are used for the manufacture of polyester yarn, fibre, film and resin and as an automobile coolant • Bio-glycols cater to the beverage and food industry's packaging requirement of PET bottles and polyester film • Ethyl / Butyl glycol ethers and its acetates,
Slide 25: IGL entered into a 49:51 JV with Clariant…
IGL entered into a 49:51 JV with Clariant… • IGL carved out its Bio-EO based ethoxylates Promoters Public and derivatives business to a subsidiary 61.01% 1 38.99% 1 ‘Clariant IGL Specialty Chemicals Pvt. Ltd’. & 1 - Shareholding as on 30th June 2021 inducted Clariant as 51% JV partner • Both compani
Slide 26: … JV to become one of the leaders in bio-based ethoxylates and derivatives
… JV to become one of the leaders in bio-based ethoxylates and derivatives By combining production and distribution capacity, the joint venture is expected to become a leading supplier of renewable materials to the rapidly growing consumer care market in India and neighbouring countries Production f
Slide 27: A value-generating combination with Clariant
A value-generating combination with Clariant Chairman, Mr U.S. Bhartia’s thoughts on the • The JV combines IGL’s renewable bio-ethylene oxide derivatives business, deal: which includes a multipurpose production facility including an alkoxylation plant located in Kashipur, Uttarakhand, with Clariant’
Slide 28: Operations – key locations
Operations – key locations Kashipur Dehradun Noida HO Gorakhpur India Glycols Limited, Investor Presentation December 2021
Slide 29: Leveraging synergies to create value–integrated manufacturing for bio-based products
Leveraging synergies to create value–integrated manufacturing for bio-based products Power O2, N2, Ar ENA Liquor Sanitizers IGD Alcohol Grain Ind Gr. CO2 Distillery O2 ASU EO-CO2 mix Bio- Bio- Green Bio- Molasses Distillery Ethylene Bio-E O EODs Performance Ethanol Chemicals CarbonSmart- Ethylene CS
Slide 30: Manufacturing Capabilities
Manufacturing Capabilities Kashipur Site Gorakhpur Site 300-acre state of art integrated manufacturing complex 56-acre state of art distillation and bottling complex located in Uttarakhand, India Fermentation Fermentation Ethanol Distillation Ethanol Distillation Ethanol Extra Purification Ethanol E
Slide 31: R&D: Creating value through New Product Development; focus on Green Chemistry
R&D: Creating value through New Product Development; focus on Green Chemistry • R&D focuses on NPD, designing products for the future • DSIR Recognized R&D - Dehradun and Kashipur • Green Chemistry, renewable resources stat-of-art of Processes & Performance-Oriented products: o Green Solvents for In
Slide 32: Market-led innovations in product, process and application technologies
Market-led innovations in product, process and application technologies • Continuously working for: • Maintaining novelty, uniqueness and Technical edge of products • Value creation through Novel approaches of manoeuvring different Chemistries • Value addition through structure activity correlation
Slide 33: Growth drivers
Growth drivers • High prospects of growth of industry sectors being serviced by IGL – Personal Care, Automotive, Packaging, Beverages, Oil & Gas, Home Care, Pharma, Nutraceuticals etc, Textiles – most expected to grow at near double digit or more • Increasing consumer awareness and demand for sustai
Slide 34: 5-year Financial Trajectory
5-year Financial Trajectory In INR Cr unless specified Gross Revenue Net Revenue EBITDA 3,356 3,470 436 6,058 2,948 403 5,951 3,028 359 5,117 335 2,473 3,583 4,155 243 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 EBITDA Margin (%) PAT Cash Profit 13.0% 256 238 233 11.6%
Slide 35: 5-year Key Ratios
5-year Key Ratios Ratios 2017 2018 2019 2020 2021 Asset Turn Over Ratio 1.07 1.24 1.38 1.48 1.49 Current Ratio 0.63 0.71 0.88 0.87 1.00 Quick Ratio 0.34 0.43 0.48 0.51 0.58 Debt to Equity Ratio 1.07 0.75 0.77 0.70 0.76 Interest Coverage Ratio 2.00 2.85 3.22 2.95 3.21 Capital Employed Turnover Ratio
Slide 36: Sustainability, ESG
Sustainability, ESG Environment Stewardship • World’s first company to produce Bio-Based EO and its derivatives • Largest producer of Bio-based EO and its derivatives • Next Generation CarbonSmart products from emissions (fossil carbon) - collaboration with LanzaTech & consumer majors like UL and Lu
Slide 37: Sustainability, ESG
Sustainability, ESG Management & Ethical System Certifications – sustaining for over a decade 1. ISO 9001:2015 Quality Management 2. ISO 14001: 2015 Environmental Management 3. ISO 45001 : 2018 Occupational Health & Safety Management 4. ISO 50001:2018 Energy Management 5. SA 8000: 2014 Social Accoun
Slide 38: Business Structure, Holdings
Business Structure, Holdings • Kashipur Holdings Limited, the Promoter, holds 38.14% shareholding of Holding India Glycols Limited Company • Promoter/Promoter Group holds 61.01% shareholding • Shakumbari Sugar and Allied Industries Limited Indian • IGL Finance Limited subsidiaries • IGL Chemicals an
Slide 39: Board of Directors
Board of Directors Executive Directors Non-Executive Directors Non-Independent Director: Mr. U. S. Bhartia, Chairman & Managing Director Mrs. Jayshree Bhartia Independent Directors: Mr. Pradip Kumar Khaitan Ms. Pragya Bhartia Barwale Mr. Ravi Jhunjhunwala Mr. Jitender Balakrishnan Mr. Jagmohan N. Ke
Slide 40: Leadership team
Leadership team Mr. Rupark Mr. Anand Prof. Dr. R.K. Mr. Sanjeev Mr. S.K. Shukla, Mr. Ankur Jain, Mr. Shrinivas Sarswat, Singhal, Khandal, Gurwara, Dusi, Head – Liquor Head (Legal) & Chief Executive Chief Financial President - R&D President Business Company Chief Human Officer Officer and Business Ma
Slide 41: Shareholding pattern: as on 31st December 2021
Shareholding pattern: as on 31st December 2021 Others, Shareholder Information as on 31st December 2021 Individual 1.23% Public Shareholding, BSE Ticker 500201 25.41% NSE Symbol INDIAGLYCO FPIs/FIIs/NRI Market Cap (in ₹ Cr) 2,812 s/OCBs, 3.28% % Free-Float 38.99% Free-Float Market Cap (in INR Cr) 1,
Slide 42: India Glycols Limited contact details
India Glycols Limited CIN: L24111UR1983PLC009097 Ankur Jain Company Secretary & Compliance Officer Head office 2B, Sector-126, Noida Gautam Budh Nagar Uttar Pradesh 201304 Tel: +91-120-6860000, 3090100, 3090200 Fax: +91-120-3090111 Email: investor.relations@indiaglycols.com
Slide 43: Thank you
is] INDIA GLYCOLS LIMITED YL Thank you