Ddev Plastiks Industries Limited · NSE:DDEVPLSTIK
Ddev Plastiks Industries — Q2 FY2025 Earnings Presentation
38 slides from Ddev Plastiks Industries's earnings presentation, November 2024
Slide 1: Earning Presentation 2QFY25
Leading Manufacturer Of Compounds Earning Presentation 2QFY25 Visit Our Website www.ddevgroup.in
Slide 2: Disclaimer
Disclaimer This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Ddev Plastiks Industries Ltd.'s (“Ddev Plastiks” or the Company) future b
Slide 3: About Us
About Us 4-8
Slide 4: Ddev Plastiks: India's Largest Manufacturer of Polymer Compounds
Ddev Plastiks : India’s Largest Manufacturer of Polymer Compounds o 4 Decade of Operations – current capacity 2,33,400 MTPA (as of Sept, 2024). 1HFY25 Financial Performance o 5 manufacturing units with state-of-the art machinery, infrastructure, equipment, and R&D facilities. Rs.1,206 cr 19% o Diver
Slide 5: 1HFY25 Management Commentary
1HFY25 Management Commentary Commenting on the Performance, Narrindra Suranna, Chairman and Managing Director said: “I am pleased to announce that Ddev Plastiks had a better performance in 1HFY25.Our Revenue stood at INR1,206cr, we achieved an EBITDA of INR 133cr, with a double-digit EBITDA margin o
Slide 6: Our Business Model
Our Business Model • PVC Resin • Polymer Heating Sourcing of raw materials Mixing Compounding Process Grafting in case of XLPE Pelletizing Wire and Cable Compounds, White Good Engineering Plastics, Engineering Compounds, Packaging Compounds , Footwear Compounds
Slide 7: Key USP's
Key USP’s 01 02 03 Operating in five high growth Diversified Revenue Structure; Multi-location setup minimizing categories. Leading supplier of cable transportation costs. compounds in India 04 05 06 Strong R&D Infrastructure. Customisation of products with Highly competitive globally. 200+SKU’s. 7
Slide 8: Operating in 5 High Growth Categories with 200+SKU's
Operating in 5 High Growth Categories with 200+SKU’s Antifab/Filled Halogen Free Flame Sioplas/XLPE Engineering Plastic Compounds/Master PVC Compounds Retardant Batches • Compounds/Semicons Global leader in XLPE and Compounds (HFFR) • Widely used in packaging • Niche product with high EHV compounds
Slide 9: Largest Supplier of Cable Compounds in India
Largest Supplier of Cable Compounds in India Revenue by Geography (INR Cr) Revenue distribution by sector (%) Overseas 23% Others Packaging 9% INR 3% 1,20 6 Revenue India Distribution 77% according to Sales 1HFY25 top three sectors Revenue by Product Category (INR Cr) Wires and Others Cable Poly Vin
Slide 10: Investment Thesis
Investment Thesis 12-23
Slide 11: Renewables has emerged as the new unprecedented catalyst
Renewables has emerged as the new unprecedented catalyst Polymer compounding is a preferred material to electrical industry due to properties such as electrical insulation, corrosion inhibition, excellent heat resistance, high tensile and durability and low density. 50% Indian Cable and Wire 817 GW
Slide 12: Sectoral Tailwinds to support growth
Sectoral Tailwinds to support growth Demand Global Polymer Compounding Market Growth (in USD bn) Government Polices • National Infrastructure • Urbanization Pipeline • Changing consumer • Har Ghar Bijlee behavior 115 • Capex cycle uptick • Increasing per capita income • Electrification • Premiumizat
Slide 13: Strategically located manufacturing capabilities
Strategically located manufacturing capabilities Installed Name of the Plant Products manufactured Capacity (MTPA) Anti fibrillation Compound 12,000 Dhulagarh – West Bengal Sioplas & Semicon 15,000 PVC Compound 6,000 PVC Compounds Cables 38,000 Dadra and Silvasa - Dadra Plant 1 2 Nagar Haveli HFFR 5
Slide 14: Profit 6x in 5 years: Focus on High Margin Products
Profit 6x in 5 years: Focus on High Margin Products Net Revenue (INR Cr) EBITDA (Rs Cr) & EBITDA Margin % ~4,500-5,000 CAGR 282 CAGR 9% 36% 12% 11% 186 2,504 128 2,227 133 2,000 7% 1,711 1,534 6% 1,206 82 5% 74 5% FY20 FY21 FY22 FY23 FY24 1HFY25 FY30 FY20 FY21 FY22 FY23 FY24 1HFY25 EBITDA EBITDA Mar
Slide 15: Focus on shareholder value creation
Focus on shareholder value creation Margins (%) PAT (INR cr) and EPS (INR per share) 182 20% 19% 14% 13% 13% 13% 12% 104 11% 87 7% 6% 7% 55 5% 5% 7% 4% 27 21 2% 17.56 2% 1% 11.07 2.93 5.82 8.42 2.25 FY20 FY21 FY22 FY23 FY24 1HFY25 FY20 FY21 FY22 FY23 FY24 1HFY25 Gross Margin EBITDA Margin PAT Margin
Slide 16: Strong Balance Sheet to support future growth
Strong Balance Sheet to support future growth Net-worth (INR cr) Leverage Ratios 737 1.3 1.2 660 494 0.7 392 316 337 0.3 0.3 0.2 0.2 0.1 0.0 0.0 -0.1 FY 20 FY 21 FY 22 FY 23 FY 240.0 1H FY25 FY20 FY21 FY22 FY23 FY24 1H FY25 Net Debt / Equity Net Debt / EBITDA • Strong Balance to support capex plans
Slide 17: Strategic Priorities
Strategic Priorities 1. 2. 3. 4. Strong focus on new Maximizing Operating Market Penetration product development Leverage Stakeholder value creation • Improve presence in • Pioneering Product • Capacity and domestic and Launches on the back Capability • Profitable growth and overseas markets. of str
Slide 18: Pioneering Product Launches Powered by Extensive R&D
Pioneering Product Launches Powered by Extensive R&D • Started manufacturing of Anti • Received Third Party Track (Track Resistant) approval for India’s • Started Compound suitable for 36 KV. first locally produced • R&D on • Next focus going manufacturing It will find big demand in years Water Tree
Slide 19: Enhancing Profitability Through Better Realizations
Enhancing Profitability Through Better Realizations Significant Growth: EBITDA Per Ton Increased by 3x in the Last 5 Years Revenue Per Ton EBITDA Per Ton *In Rs *In Rs 16,909 15,267 173,887 13,891 159,044 12,897 145,830 134,254 130,156 122,947 123,628 9,134 5,910 5,995 FY 20 FY 21 FY 22 FY 23 FY 24
Slide 20: Annual Operational Performance
Annual Operational Performance Particulars FY21 FY22 FY23 1HFY24 FY24 1HFY25 Antifab Installed Capacity 50,000 36,000 36,000 36,000 20,500 20,500 % Utilization 55% 96% 76% 69% 111% 90% PVC Compounds 44,000 44,000 44,000 44,000 44,000 44,000 % Utilization 54% 42% 48% 57% 57% 60% Sioplas/XLPE/Semicons
Slide 21: Quarterly Operational Performance Trend
Quarterly Operational Performance Trend FYE March, 2QFY24 1QFY25 2QFY25 Antifab Installed Capacity 36,000 20,500 20,500 % Utilization 71% 85% 95% PVC Compounds Installed Capacity 44,000 44,000 44,000 % Utilization 62% 63% 57% Sioplas/XLPE/Semicons Capacity 1,42,500 1,61,500 1,61,500 % Utilization 83
Slide 22: Expanding XLPE Capacity: A Strategic Choice
Expanding XLPE Capacity: A Strategic Choice Enhanced Safety and Temperature Mechanical Strength Chemical Resistance Accuracy Resistance ❑ XLPE cables offer superior ❑ They are highly resistant to ❑ XLPE cables possess ❑ They exhibit excellent electrical insulation, temperature fluctuations, strong m
Slide 23: Penetrating in India and overseas markets
Penetrating in India and overseas markets Geographical revenue structure (INR cr) Leading supplier across sectors 1823 1187 1063 968 927 905 787 Power Oil & Gas Construction Non Metal 671 608 349 267 279 FY20 FY21 FY22 FY23 FY24 1HFY25 Revenue from International Business Revenue from Domestic Busine
Slide 24: Key Priorities: Our Focus Areas
Key Priorities: Our Focus Areas ⮚ R&D on producing PV compounds of 132kv. Moving up the value chain ⮚ Going upto 220kv in the future. Volume Growth ⮚ Awaiting UL approval for direct exports to Americas. Margin Entering new geographies ⮚ Tapping newer geographies. Expansion ⮚ Increasing the HFFR capa
Slide 25: Financials
Financials 25-28
Slide 26: 2QFY25 Key Result Highlights
2QFY25 Key Result Highlights Revenue (INR Cr) EBITDA (INR Cr) -10% 3% YoY YoY 642 • In the fiscal, we experienced strong 68 demand from the Cables segment, and our ongoing efforts to shift the 580 66 product mix towards niche and high- voltage products led to better growth in volumes led by demand f
Slide 27: 2Q & 1HFY25 Financial Performance
2Q & 1HFY25 Financial Performance Particulars (INR in Cr) 2QFY25 2QFY24 YoY(%) 1QFY25 QoQ(%) 1HFY25 1HFY24 YoY(%) Revenue from Operations 580 642 -10% 625 -7% 1,206 1,280 -6% EBITDA 68 66 3% 65 5% 133 127 4% EBITDA Margin % 12% 10% 148bps 18% 138bps 11% 10% 108bps Depreciation 4 3 9% 3 4% 7 6 7% Ear
Slide 28: Historical Income Statement
Historical Income Statement Particulars (INR in Cr) FY 21 FY 22 FY 23 FY24 1H FY25 Revenue from Operations 1,534 2,227 2,504 2,431 1,206 Gross Profit 199 291 355 475 226 EBITDA 74 128 186 282 133 EBITDA Margin % 5% 6% 7% 12% 11% Depreciation 11 12 12 14 7 Earnings Before Interest & Tax 64 116 174 26
Slide 29: Historical Balance Sheet
Historical Balance Sheet Particulars (INR in Cr) FY 22 FY 23 FY24 1HFY25 Particulars (INR in Cr) FY 22 FY 23 FY24 1HFY25 (a) Equity Share Capital 9 9 10 10 Non-Current Assets (b) Other Equity 382 485 650 726 Tangible Assets 206 225 231 237 Total Equity 392 494 660 737 Other Intangible Assets 0 0 0 0
Slide 30: Annexures
Annexures 30-36
Slide 31: Major Milestones Achieved
Major Milestones Achieved • Demerger of the two businesses and listing post Demrger. • Set up of Engineering• Started manufacturing of Anti Plastic Compounding Track (Track Resistant) unit at Daman Compound suitable for 36 Started new factory • Started manufacture KV. It will find big demand in year
Slide 32: Experienced Board of Directors
Experienced Board of Directors Mr. Narrindra Suranna Mr. Ddev Surana Chairman & Managing Director Whole Time Director and CEO • Associated with Company since inception. • Dynamic business leader and key driving force of Wide experience in Plastic Industry, Company Company. has reached its present he
Slide 33: Leadership Team
Leadership Team Mr. Arihant Bothra Ms. Tanvi Goenka Chief Financial Officer Company Secretary • He is an Associate member of Institute of • She is a graduate in commerce and has received her Chartered Accountants of India and an IIM membership of Institute of Company Secretaries of Calcutta Alumni.
Slide 34: Accreditations and Industry Recognition
Accreditations and Industry Recognition ISO Certificates KEMA Approval CPRI Approval CACT Approval VDE Approval XLPE ROHS TESTS POWERGRID Approval UL Approval PVC ROHS REACH TESTS ERDA 01 www.ddevgroup.in | 34
Slide 35: Sustainability at the Core
Sustainability at the Core Distributed balanced nutrition food to Undertaken the CSR Initiative of providing Planted over 500 trees School Students at Surangi Nutrition Supplement to TB patients in at manufacturing units and schools Govt. High School Surangi Village. Installed 1MW Solar Power Panels
Slide 36: Diversified Customers - Domestic
Diversified Customers - Domestic Top clientele constitutes of prominent domestic and global companies Well established relationships with renowned clientele provide stability to revenues and drive business going forward 01 36
Slide 37: Diversified Customers - Exports
Diversified Customers - Exports 37
Slide 38: For further information, please get in touch with
For further information, please get in touch with Saloni Ajmera Tanvi Goenka, CS Go India Advisors Ddev Plastiks Industries Ltd Tel: +91-99305 77801 Email: tanvi.goenka@ddevgroup.in Email: saloni@goindiaadvisors.com Sheetal Khanduja Go India Advisors Arihant Bothra, CFO Tel: +91-97693 64166 Ddev Pla
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