Slide 1: Leading the Pack - Filing letter to stock exchanges
-- -- •epl LEADING THE PACK 12 November 2020 l Corporate Service Department j The Listing Department j BSE Limited ! National Stock Exchange of India Ltd l 25 th Floor, Phiroze Jeejeebhoy Towers, / Exchange Plaza, Plot no. C/1, G Block, / Dalal Street, Mumbai 400 001 I Bandra-Kurla Complex, BarJdra
Slide 2: Q2 FY21 Earnings Presentation
LEADING THE PACK EPL LIMITED (Formerly known as Essel Propack Limited) Q2 FY21 Earnings Presentation
Slide 3: Safe Harbour
EPL Limited Q2FY21 Earnings Presentation LEADING THE PACK Safe Harbour Certain statements in this presentation concerning our future growth prospects are forward-looking statements. The Company cautions that, by their nature, forward-looking statements involve risks and uncertainties that could caus
Slide 4: EPL 2.0
EPL 2.0 Continued Commitment to the Mission 3
Slide 5: Recap: EPL 2.0 - Executive Summary
EPL Limited Q2FY21 Earnings Presentation Recap: EPL 2.0 - Executive Summary 1 With Blackstone as the new controlling shareholder, our mission is to deliver: “Capital Efficient, Consistent Earnings Growth” 2 Strengthened management team, Board, and advisor network • Sudhanshu Vats (ex-Viacom18, Unile
Slide 6: We are now EPL
EPL Limited Q2FY21 Earnings Presentation We are now EPL A new name: EPL • A simple, crisp and global name that is an effortless shorthand for clients, even as it is our vehicle for a new purpose-driven journey ahead. A new vision: • The EPL brand vision reflects a transition from ‘high to higher’ an
Slide 7: Acquisition of Creative Stylo Packs - Overview
EPL Limited Q2FY21 Earnings Presentation Acquisition of Creative Stylo Packs (Creative) - Overview Founded in 2012 by two young entrepreneurs Bhavik Shah and Darshan Shah. Marquee Clientele FY20 Revenue of INR 1,031 mn and Adjusted EBITDA of INR 305 mn (29.6% margin). A manufacturing facility
Slide 8: Transaction - Overview
EPL Limited Q2FY21 Earnings Presentation Transaction - Overview Enterprise Value: INR 2,539 mn Deal structure: • Purchase of 72.5% stake through cash • Purchase of balance 27.5% stake through issuance of EPL shares to Creative founders pursuant to merger1 of Creative into EPL Creative founders
Slide 9: Strategic Rationale
EPL Limited Q2FY21 Earnings Presentation Strategic Rationale Creative will be highly accretive acquisition for EPL across dimensions Revenue Growth EBITDA Margin Operational Accretive Accretive Improvements 8.3% 6.2% 29.6% 20.3% INR 35 mm Creative FY18-20 EPL FY18-20 Creative FY20 Adjusted EPL FY20
Slide 10: H1FY21 Consolidated Financial Highlights
EPL Limited Q2FY21 Earnings Presentation H1FY21 Consolidated Financial Highlights: Reported Y-o-Y Revenue growth of 11.1% and EBITDA growth of 20.1%. (INR million) Revenue from Operations EBITDA and EBITDA Margins EBIT and EBIT Margins 19.2% 20.7% 10.8% 13.1% 15,118 3,136 1,979 13,603 2,611 1,467 11
Slide 11: EPL 2.0 Mission: Capital Efficient, Consistent Earnings Growth
EPL Limited Q2FY21 Earnings Presentation EPL 2.0 Mission: Capital Efficient, Consistent Earnings Growth (INR million) H1FY20 H1FY21 Growth Revenue 15,118 11.1% 13,604 Growth1 Adjusted EBITDA 23.0% 2,639 3,245 Adjusted EPS (INR) 2.98 4.24 42.2% As of September’19 As of September’20 ROCE2 21.4% 506 bp
Slide 12: Q2FY21 Consolidated Financial Highlights
EPL Limited Q2FY21 Earnings Presentation Q2FY21 Consolidated Financial Highlights: Reported Y-o-Y Revenue growth of 5.4% and EBITDA growth of 9.5%. (INR million) Revenue from Operations EBITDA and EBITDA Margins EBIT and EBIT Margins 7,703 20.9% 21.7% 13.0% 14.2% 7,305 5.4% 1,670 1,525 9.5% 949 1,09
Slide 13: EPL 2.0 Mission: Capital Efficient, Consistent Earnings Growth
EPL Limited Q2FY21 Earnings Presentation EPL 2.0 Mission: Capital Efficient, Consistent Earnings Growth (INR million) Q2FY20 Q2FY21 Growth Revenue 7,305 7,703 5.4% Growth1 Adjusted EBITDA 1,553 1,739 11.9% Adjusted EPS (INR) 2.08 2.31 11.0% As of September’19 As of September’20 ROCE2 21.4% 506 bps 1
Slide 14: EPL Worked Proactively to Minimize Covid-19 Impact
EPL Limited Q2FY21 Earnings Presentation EPL Worked Proactively with All Stakeholders to Ensure Business Continuity and Minimize Covid-19 Impact Supply Proactively worked with regulatory authorities and customers to classify EPL in the Supply All 20 plants Enablement operational “essential service
Slide 15: Strong Traction in Hand Sanitizer/Hygiene Products Globally
EPL Limited Q2FY21 Earnings Presentation Strong Traction in Hand Sanitizer/Hygiene Products Globally: EPL has Emerged as the Leading Supplier for Key Brands Market-first product in India and several geographies Laminate Helped over 50 brands globally go to market with and Supply hand sanitizer p
Slide 16: Renewed Focus on Capital Efficiency Leading to Reduction in Net Debt
EPL Limited Q2FY21 Earnings Presentation Renewed Focus on Capital Efficiency Leading to Reduction in Net Debt 3,040 Prudent Capex Spend.. 2,305 1,405 1,286 644 FY17 FY18 FY19 FY20 H1FY21 Capital Expenditure (INR million) ..Leading to Reduction in 7,035 5,636 4,998 Net Debt 2,760 2,332 FY17 FY18 FY19
Slide 17: Continued Focus on Fundamental Levers – Q2FY21
EPL Limited Q2FY21 Earnings Presentation Continued Focus on Fundamental Levers – Q2FY21 • Accelerated growth in Personal Care • Continued leadership in Oral Care • Improved Performance in Europe • Industry leadership in eco-friendly solutions 16
Slide 18: Personal Care Growth Driver for EPL
EPL Limited Q2FY21 Earnings Presentation Personal Care has grown at a 16% CAGR Over the Last Nine Years and Continues to be the Major Growth Driver for EPL in H1FY21 Personal Care Revenue (INR million) 11,206 8,254 6,377 Growth 11.1 % Y-o-Y 2,980 Sub-categories FY11 FY15 FY20 H1FY21 Face Care Hair C
Slide 19: Personal Care Contribution stood at 47% in H1FY21
EPL Limited Q2FY21 Earnings Presentation Personal Care Contribution stood at 47% in H1FY21 Personal Care Contribution to Tube Revenue 47% 45% 43% 41% FY18 FY19 FY20 H1FY21 Continued focus on increase in Personal care share helped by increased demand of Hygiene Products. 18
Slide 20: Continued Growth in Personal Care (1/2)
EPL Limited Q2FY21 Earnings Presentation Continued Growth in Personal Care (1/2) (INR million) AMESA EAP -1.0% CAGR Growth 51.9% Y-o-Y Growth -13.3% Y-o-Y 3,917 3,821 3,839 1,784 1,158 1,611 1,698 1,302 FY18 FY19 FY20 H1FY21 FY18 FY19 FY20 H1FY21 Highlights Highlights Personal Care contribution de
Slide 21: Continued Growth in Personal Care (2/2)
EPL Limited Q2FY21 Earnings Presentation Continued Growth in Personal Care (2/2) (INR million) Americas Europe Growth 20.9% Y-o-Y Growth 5.5% Y-o-Y 896 1,277 1,496 801 2,950 3,572 4,180 2,502 FY18 FY19 FY20 H1FY21 FY18 FY19 FY20 H1FY21 Highlights Highlights Personal Care contribution increased to
Slide 22: Continued Focus on Fundamental Levers – Q2FY21
EPL Limited Q2FY21 Earnings Presentation Continued Focus on Fundamental Levers – Q2FY21 • Accelerated growth in Personal Care • Continued leadership in Oral Care • Improved Performance in Europe • Industry leadership in eco-friendly solutions 21
Slide 23: Global Leadership in Oral Care
EPL Limited Q2FY21 Earnings Presentation EPL has Established Global Leadership in Oral Care with the Segment Demonstrating Steady Long-Term Revenue Growth at a CAGR of 10.1% Oral Care Revenue (INR million) 10.1% CAGR 12,748 13,809 Growth 8.4 % 11,764 Y-o-Y 9,203 7,301 5,823 FY11 FY13 FY15 FY17 FY20
Slide 24: Continued Focus on Fundamental Levers – Q2FY21
EPL Limited Q2FY21 Earnings Presentation Continued Focus on Fundamental Levers – Q2FY21 • Accelerated growth in Personal Care • Continued leadership in Oral Care • Improved Performance in Europe • Industry leadership in eco-friendly solutions 23
Slide 25: Continued Growth Momentum in Europe
EPL Limited Q2FY21 Earnings Presentation Continued Growth Momentum in Europe across Oral and Personal Care Categories Europe Revenue (INR million) 8,000 6,771 5,852 6,000 5,096 Growth Y-o-Y 3,916 4,000 20% Total 14% Oral Care 2,000 61% 62% 64% 67% 21% Personal Care 0 FY18 FY19 FY20 H1FY21 Personal C
Slide 26: Strong EBITDA Growth and Margin Improvement in Europe
EPL Limited Q2FY21 Earnings Presentation Leading to Strong EBITDA Growth and Margin Improvement Europe EBITDA (INR million) 1,000 12.8% 14.8% 15.0% 800 10.3% 866 10.0% 600 10.0% 603 579 400 511 Growth 48.8% 5.0% Y-o-Y 200 0 0.0% FY18 FY19 FY20 H1FY21 EBITDA Margin Key elements to profit growth Impac
Slide 27: Continued Focus on Fundamental Levers – Q2FY21
EPL Limited Q2FY21 Earnings Presentation Continued Focus on Fundamental Levers – Q2FY21 • Accelerated growth in Personal Care • Continued leadership in Oral Care • Improved Performance in Europe • Industry leadership in eco-friendly solutions 26
Slide 28: Sustainability: an Intrinsic Value at EPL
EPL Limited Q2FY21 Earnings Presentation Sustainability: an Intrinsic Value at EPL PLATINA FAMILY PCR TUBE GREEN MAPLE LEAF TM ORGANIC GREEN PCR ETAIN MAPLE LEAF TM Light weight, Eco-friendly, PCR Laminate Tube Eco-friendly, code 2 50%bio-polymers from PCR Extruded Tube fully recyclable, code 2 full
Slide 29: Strong Traction of EPL's Sustainable Offerings
EPL Limited Q2FY21 Earnings Presentation Strong Traction and Acceptability of EPL’s Sustainable Offerings by Leading Global Customers Enabled leading Oral Care Player Ship EPL’s Sustainable Laminates Platina Laminate is Now Ready for World’s First Recyclable Tube Being Commercialized Globally Cosmet
Slide 30: Corporate Social Responsibility
EPL Limited Q2FY21 Earnings Presentation Corporate Social Responsibility Focus area: Our Vision: Greening Lives EPL’s Strategy will focus on Sustainability and Sustainable Green communities: Development. It will be built around four pillars of Facilitating Working on Waste management programs in com
Slide 31: Appendix
EPL Limited Q2FY21 Earnings Presentation Appendix 30
Slide 32: H1FY21: Adjusted EBITDA and Adjusted PAT
EPL Limited Q2FY21 Earnings Presentation H1FY21: Adjusted EBITDA grew 23.0% Y-o-Y & Adjusted PAT grew 43.0% Y-o-Y (INR million) Adjustments EBITDA PAT1 Reported H1FY21 numbers 3,136 1,275 • China Tax refund - -25 • TSA2 related expenses +80 +60 • ESOP related cost +29 +29 Adjusted H1FY21 numbers 324
Slide 33: Q2FY21: Adjusted EBITDA and Adjusted PAT
EPL Limited Q2FY21 Earnings Presentation Q2FY21: Adjusted EBITDA grew 11.9% Y-o-Y & Adjusted PAT grew 11.6% Y-o-Y (INR million) Adjustments EBITDA PAT1 Reported Q2FY21 numbers 1,670 670 • TSA2 related expenses +40 +30 • ESOP related cost +29 +29 Adjusted Q2FY21 numbers 1,739 729 Reported Q2FY20 numb
Slide 34: Q2FY21 Regional Performance – 1/2
EPL Limited Q2FY21 Earnings Presentation Q2FY21 Regional Performance – 1/2 Revenue Split % EBIT Split % Europe, Europe, 14% 24% AMESA, 33% AMESA, 35% Americas, 14% Americas , 19% EAP, 24% EAP, 36% • The quarterly revenue grew by 5.4% Y-o-Y and by 3.9% sequentially. • EAP and AMESA contributed 36% an
Slide 35: Q2FY21 Regional Performance – 2/2
EPL Limited Q2FY21 Earnings Presentation Q2FY21 Regional Performance – 2/2 (INR million) Revenue YoY Growth EBITDA1 Margin AMESA1 2,590 6.5% 663 25.6% EAP 1,908 9.1% 509 26.7% Americas 1,528 -7.3% 256 16.8% Europe 1,939 11.4% 281 14.5% (1) AMESA EBITDA is adjusted for INR 40 mn of TSA related expens
Slide 36: Q2FY21 Performance – AMESA and EAP
EPL Limited Q2FY21 Earnings Presentation Q2FY21 Performance – AMESA and EAP (INR million) AMESA1 Particulars Q2FY21 Q2FY20 % change Revenue 2,590 2,433 6.5% EBITDA 663 539 23.0% EBITDA % 25.6% 22.2% EBIT 424 286 48.3% EBIT % 16.4% 11.8% EAP Particulars Q2FY21 Q2FY20 % change Revenue 1,908 1,749 9.1%
Slide 37: Q2FY21 Performance – Americas and Europe
EPL Limited Q2FY21 Earnings Presentation Q2FY21 Performance – Americas and Europe (INR million) Americas Particulars Q2FY21 Q2FY20 % change Revenue 1,528 1,648 -7.3% EBITDA 256 335 -23.6% EBITDA % 16.8% 20.3% EBIT 155 245 -36.7% EBIT % 10.1% 14.9% Europe Particulars Q2FY21 Q2FY20 % change Revenue 1,
Slide 38: About EPL
EPL Limited Q2FY21 Earnings Presentation About EPL (Formerly known as Essel Propack Limited) 37
Slide 39: EPL: Company Overview
EPL Limited Q2FY21 Earnings Presentation EPL: Company Overview Largest Global Leader in Growing Strong laminated tubes Oral Care emergence in relationships manufacturer Personal Care with marquee FMCG customers ~8 bn Tubes #1 Globally 45% 20+ years contribution Best in class Best in class Global Foo
Slide 40: EPL Caters to Marquee Customers Across Trillion Dollar Categories
EPL Limited Q2FY21 Earnings Presentation EPL Caters to Marquee Customers Across Trillion Dollar Categories Tube revenue split (H1FY21) Personal Care, 47% 5% 12% Others Pharma 30% 53% Beauty Oral & Care Cosme tics 39 39
Slide 41: About EPL
EPL Limited Q2FY21 Earnings Presentation About EPL EPL is the largest global specialty packaging company, manufacturing laminated plastic tubes catering to the FMCG and Pharma space. Employing over 3,366 people representing over 25 different nationalities, EPL functions in ten countries through 20 s
Slide 42: Thank you
Thank you /esselofficial /company/essel-propack-limited /essel_propack EPL LIMITED (Formerly known as Essel Propack Limited) Top Floor, Times Tower, Kamala City Senapati Bapat Marg, Lower Parel Mumbai - 400 013, India