Jubilant Ingrevia Ltd. · NSE:JUBLINGREA
Jubilant Ingrevia — Edelweiss Theme Day e-Conference 2021
55 slides from Jubilant Ingrevia's conference presentation, Jun 29, 2021
Slide 1: Intimation of Investor/Analyst Meetings
June 29, 2021 BSE Limited National Stock Exchange of India Limited P. J. Towers Exchange Plaza Dalal Street, Bandra Kurla Complex Mumbai - 400 001 Bandra (E), Mumbai - 400 051 Dear Sirs, Sub.: Intimation of Investor/ Analyst Meetings Pursuant to the provisions of Regulation 30 of the Securities and
Slide 2: Investors participating in the e-Conference
The following investors shall be participating in the e-Conference: 1. Valentis Advisors 2. BOI AXA Investment Managers 3. Green Portfolio 4. Cogito Advisors 5. Svan Investments 6. Resurgence Capital 7. Acuitas Capital 8. SKS - Insync Capital 9. Carnelian Asset Management 10. P&Y Trust 11. Lucky Inv
Slide 3: Investor Presentation June 2021
Investor Presentation June 2021
Slide 4: Disclaimer
Disclaimer Disclaimer Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential product characteristics and uses, product sales potential and tar
Slide 5: Demerger Rationale- Explained
Demerger Rationale- Explained Effective 1st February 2021, Life Science Ingredients business of Jubilant Life Sciences demerged to Jubilant Ingrevia Limited. • Demerger will facilitate in creating a simple structure with two separate pure-play entities Simplified Corporate Structure • Greater operat
Slide 6: Pre-Demerger Org Structure
Pre-Demerger | Organisation & Business Structure Pre-Demerger Org Structure Life Science Jubilant Life Sciences Limited Ingredients Business (Listed on NSE & BSE) At holding Company Level Jubilant Pharma Limited Jubilant Biosys Limited Jubilant Therapeutics Limited Jubilant Life Sciences Limited (JL
Slide 7: Post-Demerger Org Structure
Post-Demerger | Organisation & Business Structure Jubilant Ingrevia Limited Jubilant Pharmova Limited Jubilant Life Post-Demerger Org Structure Sciences Limited renamed as Carved out Life Science Jubilant Pharmova 100% Ingredients business to be housed Limited on Feb 1, in a separate entity named Ju
Slide 8: Jubilant Ingrevia: Business Segments & Integrated Operations
Jubilant Ingrevia: Business Segments & Integrated Operations Speciality Nutrition & Health Life Science Chemicals Solutions Chemicals 32% of sales 18% of sales 50% of sales Speciality Nutrition & Health Life Science Ingredients Ingredients Ingredients Animal Nutrition & Speciality Ethanol Fine Chemi
Slide 9: Financial Highlights (Pro-forma): Improvement in all Key Financial Parameters
Financial Highlights (Pro-forma2) : Improvement in all Key Financial Parameters ₹ 1,078 Cr. ₹ 203 Cr. 18.8% ₹ 95 Cr. 8.8% ₹ 6.0 Sales EBITDA EBITDA (%) PAT PAT (%) EPS Financial Highlights 31% YoY 101% YoY 652 bps 98% YoY 298 bps 98% YoY Q4’FY21 ₹ 823 Cr. ₹ 101 Cr. 12.3% ₹ 48 Cr. 5.9% ₹ 3.0 Sales-Q4
Slide 10: Glorious Four Decades of Growth
Glorious Four Decades of Growth 2019: Started new Acetic Anhydride plant, Bharuch SEZ, GJ (50 KTA) 10+ years experience 2018: Started Agro Intermediate plant (800 TPA), Bharuch SEZ in Vitamin B3, 2017: Certified for Responsible Care (RC) Demerger into Our Journey 20+ years in Vitamin 2015: Commissio
Slide 11: Strong Presence in Industry Value Chain
Strong Presence in Industry Value Chain CDMO Services Commercial Scale Clinical Phase Manufacturing Intermediates / Discovery Process Development API Formulation Phase I / II / III Custom Manufacturing • Route Design, Process • Phase III: 4 Intermediates for Anti-Viral Jubilant Ingrevia’ s familiari
Slide 12: Presence in Large & Growing Markets
1 Presence in Large & Growing Markets1 Global API Global CDMO Market Global CDMO – By Region Global Speciality Chemicals (2020E) US$ Bn. 5.8% CAGR US$ Bn. US$ Bn. 6.4% CAGR 9.1% CAGR 187 248 180 279 Others 857 1168 11-15% Speciality 2020 E 2020 E 2025 P 2020 E 2025 P India 2025 P Chemicals 7-8% Indi
Slide 13: Jubilant Ingrevia: Key Highlights & Differentiators
Jubilant Ingrevia: Key Highlights & Differentiators 1 Leading Market Positions Across Business Lines, with High Barriers to entry 2 Diverse & De-risked Business Model State-of-the-art Research Development & Technology (RDT) with Strong 3 Product Pipeline Global Competitive Edge through Integrated Op
Slide 14: Leading Market Positions Across Business Lines, with High Entry Barriers
1 Leading Market Positions Across Business Lines, with High Entry Barriers Highlights Entry Barriers Portfolio of ~70 products Globally lowest cost producer of Pyridine – Beta & all Amongst top 2 in Pyridine - Beta globally value added products Speciality #1 in 11 Pyridine Derivatives global
Slide 15: Diverse & De-risked Business Model
2A Diverse & De-risked Business Model De-risked business model benefits from its diversified product offerings, product sourcing capabilities as well as a broad customer base with a world class manufacturing and global marketing footprint Presence across geographic locations enables us to serve
Slide 16: Diverse Applications
2B Diverse Applications Pharmaceuticals Nutrition APIs Animal Nutrition Human Nutrition Nutraceuticals Energy Drinks Premixes Agrochemicals Consumer Herbicides, Insecticides, Fungicides Industrial Cosmetics Anti-microbial Mouthwashes Paints Print & Packaging Fuel Blending Solvent 14
Slide 17: Strong Product Pipeline
3 State-of-the-art Research Development & Technology (RDT) with Strong Product Pipeline Key Highlights 90 highly qualified scientists (~20 PhDs) 3 RDT centers in Noida, Gajraula and Bharuch Dedicated Project Management team to address enquiries, with a customer centric approach 35 Key techno
Slide 18: Global Competitive Edge through Integrated Operations
4a Global Competitive Edge through Integrated Operations with Best in Class Manufacturing Integrated Operations… Supported by Five Manufacturing Sites Vertical integration across the value chain enables cost Select Certifications Gajraula Bharuch Nira Samlaya Ambernath competitive advantage Responsi
Slide 19: Manufacturing Capabilities & Operational Excellence
4b Manufacturing Capabilities & Operational Excellence World Class GMP facility Temperature, Humidity & Differential Pressure Controlled Areas ISO-8 (Class 100,000) clean rooms for Speciality Chemicals, CDMO and Nutrition & Health ingredients Powder Processing Area with quarantine Clean Rooms
Slide 20: Sustainable Operations
5a Strict Adherence to Compliance with Environmentally Responsible and Sustainable Operations Compliance Tracking of 3,800+ compliance items under various legislations ‘EY’ Conformity tool: Web-based automated compliance management system Real Time MIS, Review & Reporting: by the Senior Manage
Slide 21: Business Excellence
5b Business Excellence We create a culture of excellence to enhance Process, People & System capabilities Our Design Excellence Operational Excellence Customer Excellence Approach Quality by Design (QbD) Lean Management & Six Sigma Stage Gate deployment & • Strengthen development capability by • Rem
Slide 22: Focus on Digital Transformation to Enhance Business Performance
6 Focus on Digital Transformation to Enhance Business Performance Digital transformation journey started in 2018 with an objective to improve Operational efficiency improvements, Business & Supply chain processes improvement and enhancing customer experience and engagement Every project we consi
Slide 23: Highly Qualified, Experienced and Dedicated Management Team
7 Highly Qualified, Experienced and Dedicated Management Team Shyam S Bhartia Hari S Bhartia Chairman Co-Chairman 42 years of industry 40 years of industry experience experience Rajesh Srivastava Anant Pande Prakash Bisht Anil Khubchandani Chief Executive Officer & President & President & President
Slide 24: Global Trends
Global Trends 1. Global customers continue to explore possibilities of shifting their sourcing from higher cost countries to India, to remain competitive. 2. Customers are looking for diversifying their supply chain from China to have a reliable alternate second source. They find India as most poten
Slide 25: Growth Drivers for Investment Decisions
Jubilant Ingrevia - Growth Drivers for Investment Decisions Customer Demand Geographic Strong Customer Forward Integration Expansion Relationship Growing customer Continuously move- Deep and long Geographical demand up the value chain in standing relationship expansion of market existing pro
Slide 26: Speciality Chemicals
Ww INGREVIA _— Speciality Chemicals
Slide 27: Speciality Chemicals - Industry Overview
Speciality Chemicals - Industry Overview Global Market Size: Speciality Chemicals1 India Market Size: Speciality Chemicals1 US$ 857 Bn CAGR 6.4% US$ 1168 Bn US$ 36 Bn CAGR 12.4% US$ 64 Bn (2020 E) (2025 P) (2020 E) (2025 P) 4% Global Share Key Trends Global Market - By Segment1 (2020) Agrochemical
Slide 28: Speciality Chemicals - Business Overview
Speciality Chemicals - Business Overview Overview Globally we have the largest range of products in Pyridines, Picolines & It’s derivatives (~70 products) Globally amongst top 2 in Pyridine-Beta, Globally #1 in 11 Pyridine Derivatives We are the largest in revenue from Pyridine, Picolines & It
Slide 29: CDMO - Customized Solutions for Pharma and Agro Industry
CDMO - Customized Solutions for Pharma and Agro Industry To be the Partner of Choice for our customer by building innovative, knowledge based solutions through Speed, Vision efficiency, open communication & respect for intellectual property, society & environment Process Development Clinical Phase M
Slide 30: Speciality Chemicals – Applications
Speciality Chemicals – Applications Select Products Application Lutidines & Collidines Pharma: Esomeprazole, Lansoprazole and other prazoles (anti-Ulcer), Etoricoxib (anti-inflammatory) Pharma: Dabigatran (anti-coagulant / blood thinner), Pirfenidone (Idiopathic pulmonary fibrosis), Risperidone (ant
Slide 31: Speciality Chemicals - Growth Strategy Going Forward
Speciality Chemicals - Growth Strategy Going Forward Growth Driver/ Opportunity Proposed Investment Forward integration of our Ketene capability and growing Invest in new facility for launch of 6 Diketene derivatives. demand of Diketene derivatives Subsequently, add 8 value-added Diketene deriva
Slide 32: Nutrition & Health Solutions
Nutrition & Health Solutions 30
Slide 33: Nutrition & Health Solutions - Industry Overview (Vitamin B3)
Nutrition & Health Solutions - Industry Overview (Vitamin B3) Global Market Size: Vitamin B31 Global Market of Vitamin B3- By Region2 (2020E) CAGR 2.5% 4% 5% 388 Americas 380 Europe 16% (US$Mn) 372 34% 365 China 358 351 SE & FE Asia 17% RoW India FY 20 E FY 21 P FY 22 P FY 23 P FY 24 P FY 25 P 24% K
Slide 34: Nutrition & Health Solutions - Business Overview
Nutrition & Health Solutions - Business Overview Overview Globally #1 producer of Niacinamide and amongst Global top 2 manufacturers of Vitamin B3 India’s largest manufacturer of Vitamin B4 (Choline Chloride) Providing nutrition solutions by offering 34 products (~18 branded speciality product
Slide 35: Applications of Vitamin B3
Nutrition & Health Solutions – Applications of Vitamin B3 Hair Care Cosmetics Animal Feed Pet Food Nutraceuticals Feed Grade Pharma Grade Cosmetic Grade Food Fortification Weight Supplements Energy Drinks Breakfast Cereal Food Grade 33
Slide 36: Animal Nutrition & Health Solution - Key Offerings
Animal Nutrition & Health Solution - Key Offerings Animal Nutrition & Health Solutions Poultry Dairy Aqua Liver Protection Solutions Milk Enhancer Solutions Gut Health Solutions Better Meat Quality Anti-Stress Solutions Feed Efficiency Solutions Anti-Stress Solutions Milk Quality Solutions Transitio
Slide 37: Human Nutrition & Health Solutions - Key Offerings
Human Nutrition & Health Solutions - Key Offerings Human Nutrition & Health Solutions Premix Ingredients Antioxidants We have a strategic partner to offer high quality nutrient premixes & blends Nutritional Premixes: Imported & contract manufactured portfolio Ingredients: Imported & Traded Portf
Slide 38: Nutrition & Health Solutions - Growth Strategy Going Forward
Nutrition & Health Solutions - Growth Strategy Going Forward Growth Driver/ Opportunity Proposed Investment Expand Vitamin B3 capacity by ~20% from current 13,000 We are the lowest cost producer and fully backward MT/ Year and launch various value-added grades of integrated Vitamin B3 Expandin
Slide 39: Life Science Chemicals
ww JUBILANT INGREVIA Life Science Chemicals
Slide 40: Life Science Chemicals - Industry Overview
Life Science Chemicals - Industry Overview Global Merchant Market Size: Acetic Anhydride2 Global Market Size: Ethyl Acetate3 CAGR 4.5% CAGR 3.6% 772 4318 4513 744 3955 4133 3622 3785 718 (US$Mn) (US$Mn) 693 669 645 FY 20 E FY 21 P FY 22 P FY 23 P FY 24 P FY 25 P FY 19 FY 20 P FY 21 P FY 22 P FY 23 P
Slide 41: Life Science Chemicals - Business Overview
Life Science Chemicals - Business Overview Overview Globally among top 2 manufacturers of Acetic Anhydride and Propionic Anhydride in merchant market Domestic market leader in Acetic Anhydride and Ethyl Acetate since last 4 decades World’s largest manufacturer of Bio-Acetaldehyde Among leadi
Slide 42: Life Science Chemicals – Applications
Life Science Chemicals – Applications Pharmaceuticals Artificial Sweeteners Flexible Packaging Modified Starch Vitamins Polyimide Films Cellulose Acetate Aromatics and Fragrances Triacetin Paints & Coatings Wood Acetylation Polyacetal Spandex 40
Slide 43: Life Science Chemicals - Growth Strategy Going Forward
Life Science Chemicals - Growth Strategy Going Forward Growth Driver/ Opportunity Proposed Investment Growing demand Invest in another Acetic Anhydride facility to increase No new facility globally capacity by ~35% and further strengthen global Customers are exploring to shift from high cost
Slide 44: Financials
ww JUBILANT INGREVIA Financials
Slide 45: Financial Performance – Historical (Pro-forma)
Financial Performance – Historical (Pro-forma2) Revenue from Operations EBITDA 13% 18% 3,179 3,491 627 48% 50% (Rs Crore) (Rs Crore) 17% 18% 409 35% 32% FY20 FY21 FY20 9M'FY21 Specialty Chemicals Nutrition & Health Solutions Life Science Chemicals Margin % Speciality Chemicals and Nutrition and He
Slide 46: Debt Profile – Declining Leverage
Debt Profile – Declining Leverage (Pro-forma2) Leverage Net Debt to EBITDA Net Debt to Equity Consistent reduction in Net Debt to EBITDA 2.5 (Rs Crore) 1,295 ( x. Times ) ( x. Times ) 0.22 1,025 548 0.7 431 FY20 FY21 FY20 FY21 FY21 Gross Debt Net Debt Net Debt/EBITDA Net Debt/Equity Significant de
Slide 47: Balance Sheet – Key Parameters/Ratios
Balance Sheet – Key Parameters/Ratios (Pro-Forma2) Return On Capital Employed (RoCE) Return on Equity Asset / Turnover and Return On Asset (RoA) 1.8x 2.0x 20.2% 16.4% (%age) 9.4% (%age) 12.0% 6.6% FY20 FY21 FY21 FY20 FY21 ROCE % Return on Equity Asset / Turnover ROA % Net Working Capital Operating C
Slide 48: FY21 Financial Highlights (Pro-forma)
Jubilant Ingrevia Limited – FY21 Financial Highlights (Pro-forma2) Particulars1 FY20 FY21 YoY (%) • Revenue grew by 10% on YoY basis, driven by growth in volume Revenue Speciality Chemicals 1,104 1,124 2% and pricing together. Nutrition & Health Solutions 537 630 17% • Speciality Chemicals revenue g
Slide 49: Business outlook
Business outlook Demand scenario in all our business segments continue to be strong Given the strong demand and new customer acquisitions, we believe COVID-19 is not likely to have a material impact on our overall performance, provided the pandemic situation does not materially deteriorate going
Slide 50: Appendix
ww JUBILANT INGREVIA —_ Appendix 48
Slide 51: Pro-Forma Income Statement Consolidated – Q4 FY21
Pro-Forma Income Statement Consolidated – Q4’FY21 (1 month of discontinued operation of LSI segment of Jubilant Pharmova Limited and 2 months of Jubilant Ingrevia Limited ) 1 Month 2 Month Particulars Q4 FY20 Q4 FY21 YoY (%) Q4FY21 Q4FY21 Revenue from operations a) Sales/Income from operations 810 3
Slide 52: Pro-Forma Income Statement Consolidated – FY21
Pro-Forma Income Statement Consolidated – FY21 (10 months discontinued operation of LSI segment of Jubilant Pharmova Limited and 2 months Jubilant Ingrevia Limited ) 1 10M'FY21 2M'FY21 Particulars FY20 FY21 YoY (%) Apr'20 to Jan'21 Feb'21 to Mar'21 Revenue from operations a) Sales/Income from operat
Slide 53: Combined Income Statement – Q4 & FY21 (Pro-Forma)
Combined Income Statement – Q4 & FY21 (Pro-Forma2) Particulars1 Q4'FY20 Q4'FY21 YoY (%) FY20 FY21 YoY (%) Total Revenue from Operations 823 1,078 31% 3,179 3,491 10% Speciality Chemicals 282 329 17% 1,104 1,124 2% Nutrition & Health Solutions 163 199 22% 537 630 17% Life Science Chemicals 377 549 46
Slide 54: Our Vision, Values, Promise and Philosophy
Our Vision, Values, Promise and Philosophy OUR PHILOSOPHY Caring Sharing Growing 52
Slide 55: For More Information
For More Information For Investors: Hemant Bakhru | Pavleen Taneja Siddharth Rangnekar Ph: +91 120 436 1002| 21 CDR India E-mail: hemant.bakhru@jubl.com Ph: +91 22 6645 1209 pavleen.taneja@jubl.com E-mail: siddharth@cdr-india.com For Media: Sudhakar Safaya Clayton Dsouza Ph: +91 120 436 1034 Madison
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