Vishnu Chemicals Limited · NSE:VISHNU
Vishnu Chemicals — Q1 FY2024 Earnings Presentation
28 slides from Vishnu Chemicals's earnings presentation, Aug 14, 2023
Slide 1: Regulation 30 filing letter to stock exchanges
14th August, 2023 VCL/SE/72/2023-24 To To BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra-Kurla Complex Dalal Street, Mumbai – 400 001 Bandra (East), Mumbai 400 051 Scrip Code: 516072 Symbol: VISHNU Through: BSE Listing Centre Through: NEAPS Sub
Slide 2: Q1FY24 Investor Presentation
WHERE PERSEVERANCE AND COMMITMENT COME TOGETHER Q1FY24 Investor Presentation
Slide 3: Disclaimer
Disclaimer This presentation has been prepared for general information purposes in respect of Vishnu Chemicals Limited (“Company”) This presentation includes certain industry data and projections that have been obtained from industry publications and together with its subsidiaries, associates and jo
Slide 4: About Us
About Us
Slide 5: Our Identity
Our Identity Established track record of over 30 years. Principled leadership. Manufacturing is our focus. Scale & Technology of our company is not easy to replicate. Complex manufacturing creates multiple entry barriers in this industry. Differentiated asset. A strong asset and it implies that we w
Slide 6: World class manufacturing | Continuous improvement driving efficiency
World class manufacturing | Continuous improvement driving efficiency IMPLEMENTED CONSISTENT PROCESS & AUTOMATED COMPLEX TECHNOLOGY PRODUCT INNOVATION MANUFACTURING FACILITIES DEDICATED FACILITIES FOR SUCCESSFULLY AT SCALE. THROUGH TEAM OF PhDS, WITH FOCUS ON CHROMIUM & BARIUM. CHEMICAL & MECHANICAL
Slide 7: Industry Drivers for Chromium & Barium Chemicals
Industry Drivers for Chromium & Barium Chemicals DEMOGRAPHY PREMIUMISATION PERFORMANCE Trends Trends Trends • Expanding middle class • Premium is not just about price. It is the promise of • Rise in manufacturing. exceptional quality and experience. Bridging the gap between luxury and mass market. L
Slide 8: Dedicated Management and Board of Directors
Dedicated Management and Board of Directors The Board and leadership at Vishnu conduct itself with integrity and honesty, setting the tone for an ethical organisational culture. Mrs. Ch. Manjula Non-Executive Director Add Name Mr. Tirthankar Mitra Independent Director Mr. Chetan Navinchandra Shah Ad
Slide 9: Serving global diversified clientele from India
Serving global diversified clientele from India EUROPE USA 3 ASIA BHILAI 2 1 AFRICA HYDERABAD LATIN VIZAG 4 AMERICA OCEANCIA SRIKALAHASTI EXPORT TO 40+ countries 8
Slide 10: Continuous focus on waste minimisation & research
Continuous focus on waste minimisation & research Competent Research Team Philosophy of Recycle and Reuse. • Innovation led company with a team of PhDs, Approval for to use residue in the chemical and mechanical engineers. cement manufacturing processes. • Track record of succeeding in complex CO2 r
Slide 11: Business Overview
Business Overview
Slide 12: Chromium Chemicals: Largest integrated manufacturer in India
Chromium Chemicals: Largest integrated manufacturer in India Key Product Sodium Dichromate (SDC) Basic Chrome Sulphate, Chrome Oxide Green, Chromic Acid, Potassium Dichromate, White Derivative products Sodium Sulphate Industry Overview 1.5 million TPA is the global demand for Chromium chemicals.
Slide 13: Chromium Chemicals Highlights
Chromium Chemicals Highlights Largest integrated manufacturer of chromium chemicals in • Vishnu is the largest integrated producers of Chromium & India. Barium Chemicals in India. • Leading producers globally. Better product mix to drive volumes. • Largest exporters from India. • China is not a
Slide 14: Chromium Chemicals: Key changes over the years
Chromium Chemicals: Key changes over the years EARLIER NOW 1. CONCENTRATED PRODUCT PORTFOLIO. 1. PIVOTED TO FLEXIBLE PRODUCT MIX. 2. 100% RAW MATERIALS PROCURED TILL FY21. 2. ONE OF ITS KIND PROCESS IMPROVEMENT RESULTING IN LOWER EXTERNAL PROCUREMENT OF A KEY RAW MATERIAL. 3. LOW CAPACITY UTILISATIO
Slide 15: Barium Chemicals: Largest producer in India
Barium Chemicals: Largest producer in India Key Product Barium Carbonate 1.7 million TPA is the global demand for key barium chemicals. Industry Overview Peers: India, Belgium, China. Applications • Ceramics, tiles, glazes, paint, battery, bricks, caustic soda industry, speciality glass. Manufac
Slide 16: Barium diversification in Q2FY24: Precipitated Barium Sulphate
Barium diversification in Q2FY24: Precipitated Barium Sulphate • Brownfield expansion completed in Q2FY24. Spacing of pigments, Glossy effect • Technical product. • Import substitute. • Installed Capacity: 30,000 TPA • Fast growing demand in applications such as Paints & Powder Coating, Battery appl
Slide 17: Barium Chemical Highlights
Barium Chemical Highlights Largest organised manufacturer in India. Market by Value Volumes 2022 2028 CAGR Turned around ailing business segment post acquisition in In USD Mn (In `000 Tons) $ Mn $ Mn 2015. Barium Carbonate 1,043 503 712 6.0% Precipitated Barium Strategic plant location with cl
Slide 18: Barium Chemicals: Key changes over the years
Barium Chemicals: Key changes over the years NOW EARLIER 1. TURNED AROUND POST ACQUISITION AND HAS 1. LOSS MAKING PRIOR TO ACQUISITION IN 2015. BEEN A PROFIT MAKING COMPANY SINCE FY17. 2. LOW CAPACITY UTILISATION OF 58% BETWEEN 2. AVERAGE CAPACITY UTILISATION SINCE FY20 IS FY16-FY19. ~75%. 3. SINGLE
Slide 19: Q1FY24 Highlights
Q1FY24 Highlights
Slide 20: Stable Margin Profile
Stable Margin Profile Consolidated Gross Margin Consolidated EBITDA Margin Consolidated PAT Margin 46.3% 17.6% 9.4% +372 +85 +3 Basis points Basis points Basis points YoY YoY YoY Gross Margin FY19 FY20 FY21 FY22 FY23 Q1FY24 STANDALONE 42% 41% 44% 43% 45% 47% CONSOLIDATED 43% 43% 45% 45% 46% 46% Em
Slide 21: Consolidated Financial Highlights
Consolidated Financial Highlights (₹ in crs) Total Income EBITDA PAT 16.8% 17.6% 9.4% 9.4% -16% -12% -16% 361 61 34 303 53 29 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Particulars in ₹ cr Q1FY24 Q1FY23 Y-o-Y Q4FY23 Q-o-Q FY23 Total Income 303 361 -16% 339 -11% 1406 EBITDA 53 61 -12% 64 -17% 245 EBIT
Slide 22: Standalone Financial Highlights
Standalone Financial Highlights (₹ in crs) Total Income EBITDA PAT 16.9% 17.7% 9.6% 10.1% -18% -14% -13% 306 52 29 45 25 252 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Particulars in ₹ cr Q1FY24 Q1FY23 Y-o-Y Q4FY23 Q-o-Q FY23 Total Income 252 306 -18% 301 -16% 1237 EBITDA 45 52 -14% 60 -25% 223 EBITD
Slide 23: Key Highlights
Key Highlights Consolidated Highlights Barium Chemistry Highlights • Q1 has been a very good quarter if we factor-in the • Highest ever quarterly production (in tonnage) achieved. maintenance in Chromium Chemicals and integration of new • EBITDA Margin in Barium at 17.1%, highest in last six quarter
Slide 24: Summing up
Summing up Despite global volatility and inflationary pressures across markets, the company was able to cater to healthy demand. The company has a strong foundation in place to serve its customers and we are enhancing our ability to capitalise on latest trends. The company is in a phase to make the
Slide 25: Financial Overview & Shareholder's Information
Financial Overview & Shareholder’s Information
Slide 26: Consolidated Key Metrics
Consolidated Key Metrics (₹ in crs) Total Income EBITDA & EBITDA Margin PAT & PAT Margin 1406 13.23% 12.67% 11.78% 15.02% 17.44% 3.15% 3.26% 5.06% 7.57% 9.71% 300 245 137 160 1075 250 140 120 772 161 200 681 682 81 100 150 102 80 86 80 60 100 34 24 22 40 50 20 0 0 FY19 FY20 FY21 FY22 FY23 FY19 FY20
Slide 27: Shareholder's Information
Shareholder’s Information Stock Information (as on 14th Aug 2023) (As on 30th June 2023) Market Capitalization (₹ in crs) 2,079.18 Shareholding Pattern (%) Shares Outstanding (In crs) 6.55 Symbol (BSE) / (NSE) 516072 / VISHNU 24.54% Consistent Dividend Track Record Year Dividend (%) Face Value Divid
Slide 28: Thank You
THANK YOU CONTACT US: Mr. Hanumant Bhansali Vishnu Chemicals Limited investors@vishnuchemicals.com