Privi Speciality Chemicals Limited · NSE:PRIVISCL
Privi Speciality Chemicals — FY2024 Earnings Presentation
44 slides from Privi Speciality Chemicals's earnings presentation, May 2, 2024
Slide 1: Cover letter to BSE and NSE
4. May 02,2024 The Manager (CRD) The Manager - Listing Department The BSE Limited National Stock Exchange of lndia Ltd Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no.C/t, G Block, Dalal Street, Fort, Bandra-Kurla Complex, Bandra (East) Mumbai- 400001 Mumbai - 400 051 Scrip Code: 530117 Symbol: P
Slide 2: Privi Speciality Chemicals Limited Investor Presentation – May 2024
Privi Speciality Chemicals Limited Investor Presentation – May 2024
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Privi Speciality Chemicals Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe fo
Slide 4: We Touch Your Lives Everyday
We Touch Your Lives Everyday
Slide 5: About Us
About Us 1982 Incorporated in 3+ decades of experience in Aroma Chemicals 70+ Products Manufacturing 7 Facilities Presence across Formidable Strength In Pine Chemistry 30+ countries Production India's leading 48,000+ Capacity (TPA) manufacturer, supplier & exporter of Aroma & Backward Integrated wit
Slide 6: Received Ecovadis Gold in March 2024
Received Ecovadis Gold in March 2024 Privi achieves Gold in Ecovadis and are now amongst the top 5% companies of the World Climate Action • Received B- in climate action which has improved from C last year. • It is better than the Asia average & Global average of C but slightly lower than the chemic
Slide 7: Our Journey
Our Journey • Demerged from • Longer term Fairchem contracts – • Launched Speciality Galaxmusk, Givaudan SA, P&G, Henkel • Name change to Camphor & • Private Equity • Indirectly listed as Prionyl • Privi Organics Ltd • Turnover crossed investment by subsidiary of Privi Speciality • Started commercia
Slide 8: Core Values | Vision | Mission
Core Values | Vision | Mission Our Core Values Vision Mission To emerge as a leading Sustainable Global To be a leader in the local aroma chemicals manufacturer of Aroma Chemicals Privi industry and keep on innovating to • Safety intends to become the leading aroma become the most sustainable suppli
Slide 9: Key Facts & Figures
Key Facts & Figures Key Aroma Chemicals Segments Reaction Capabilities Infrastructure Capabilities End Application o Pinene o Hydrogenation o Plant Area: 162,841 sq. m o Perfume o Phenol o Condensation o Production capacity: 48,000+ MTPA o After Shave o Citral o Grignard reactions o Backward Integra
Slide 10: Key Product Offerings
Key Product Offerings 70+ Products across Multiple Categories of Aroma Chemicals Pinene Citral Musk & Speciality Phenol Value Added • Dihydromyrcenol • Cyclocitral • Galaxmusk • Ortho Tertiary Butyl • 1, 8 Cineol • Amber Fleur • Citronellal • Prionyl Cyclo Hexyl Acetate • 1,4 Cineol • Terpineol • Ci
Slide 11: With wide applications across F&F & FMCG Industries
With wide applications across F&F & FMCG Industries Fragrance Home Care Personal Care Others • Fine Fragrance • Soaps • Shampoos • Antiseptic Liquids • Perfume • Floor Cleaner • Conditioners • Health Care \ • Candles • Detergent • Lipsticks • Pharmaceuticals • Air Fresheners • Hand Wash • Creams & L
Slide 12: Diversified Customer Base
Diversified Customer Base Preferred World’s 15 largest fragrance companies World’s 6 largest Supplier to which control nearly 80% of the global fragrance market FMCG companies International Fragrance Companies Indian Fragrance Companies FMCG & Other MNCs Note: The Brand Names mentioned are the prope
Slide 13: Diversified Geographic Presence
Diversified Geographic Presence Presence across 30+ Countries Domestic Export Mix Domestic 30% FY24 70% Export Geographical Presence 2 Rest of the World 18% India 30% 201 Manufacturing Location 3 Stocking Points 7 Distribution Points Asia (excluding India) 7% • Singapore • Mexico FY24 • India • Maha
Slide 14: State Of Art Manufacturing Facilities
State Of Art Manufacturing Facilities Location Mahad, Maharashtra Jhagadia, Gujarat Production Capacity No. of Units 6 1 48,000+ MTPA • Amber Fleur • OTBCHA • Dihydromyrcenol Employee strength • PTBCHA 1,000+ people • Camphor • Galaxmusk • Prionyl Strategically Located • Citral • Florovane Major Pro
Slide 15: Strong Focus on Research & Development
Strong Focus on Research & Development 2 R&D Mahad & Nerul, R&D team strength including Innovations & centers Maharashtra 89 scientist, microbiologist & chemistry professionals New Developments New Products Developed R&D working system is designed with an Synthetic Organic Research lab and Pilot pla
Slide 16: Proven Credentials
Proven Credentials EcoVadis • Awarded a ‘Gold’ medal in recognition of sustainability achievement in 2024. Assessment • The majority of manufacturing facilities are ISO, Kosher and Halal certified. • EU REACH: Registered 28 products under EU REACH Regulation • Turkey REACH : Pre-registered 26 produc
Slide 17: Sustainability Supply Chain Certifications
Sustainability Supply Chain Certifications 01 03 05 Together for Carbon Disclosure Project Sedex Sustainability (TFS) (CDP) TFS is a joint initiative of chemical Have active membership of Sedex which is The company is actively disclosing companies for sustainable supply world's leading online platfo
Slide 18: Re – Earth
Re – Earth Committed to use solar energy for 25% of total power requirement, this project is being implemented with utmost priority United Nations Sustainable Initiatives taken over the Years on Sustainability Development Goals Till 2008 Conventional Effluent treatment 2008-11 Effluent reduction at
Slide 19: Responsible Corporate
Responsible Corporate ▪ Facilitating education of school children from underprivileged families. ▪ Distribution of stationery, syllabus books, and learning materials. Education ▪ Enhancing scholastic performance ▪ Setting up toy libraries in Balwadi. ▪ Enriched education through multimedia and mobil
Slide 20: Value Proposition
Value Proposition 1 2 3 Unique Competitive Position Diversified Product & Client Mix Moving Up the Value Chain 4 5 Building Capacity PRIGIV – a JV with Givaudan SA to Shape the Future 6 7 8 Fostering Growth High Entry Barriers Driven By Strong Human Assets from New Products 9 10 Backed by Healthy Su
Slide 21: 1. Unique Competitive Position
1. Unique Competitive Position India’s Largest Manufacturer & Exporter Diversified Product Portfolio of aroma chemicals with a market leading share of the company has gradually expanded the product >20% in ten products globally, contributing 80% of its portfolio to a range of over 70 products revenu
Slide 22: 2. Diversified Product and Client Mix
2. Diversified Product and Client Mix Revenue Breakup Volume Breakup 1,752 35,268 1,608 3% 2% 2% 7% 30,178 29,432 14% Value Added 1,404 9% 2% 27,639 1,324 1,277 4% 7% 16% Value Added 25,671 3% Phenol 0% 8% 14% 16% 2% 12% 6% 3% 7% 11% Phenol 0% 3% 16% 6% 10% 11% 13% 6% 5% Musk & Speciality 12% 8% 10%
Slide 23: 3. Moving up the Value Chain
3. Moving up the Value Chain Revenue Mix FY20 FY24 Value Add & Exclusive 0.2 % 3.2 % Musk & Speciality 6.0 % 15.9 % 11.6 % 11.2 % Citral Based 75.7 % 62.3 % Pinene Based 6.5 % 7.4 % Phenol Based Transformation towards High Value Products *On Consolidated basis 22
Slide 24: 4. PRIGIV - a JV with Givaudan SA for a Strategic Partnership
4. PRIGIV- a JV with Givaudan SA for a Strategic Partnership India's leading manufacturer of A Swiss multinational manufacturer Project Details of flavours, fragrances and active aroma and fragrance chemicals cosmetic ingredients • Signed a JV to set up new greenfield production Privi Speciality Che
Slide 25: 5. Building Capacity to Shape the Future
5. Building Capacity to Shape the Future Revenue Visibility Aroma Chemical Segments FY21 FY22 FY23 FY24 FY25e FY26e Pinene ✓ ✓ ✓ ✓ ✓ ✓ Phenol ✓ ✓ ✓ ✓ ✓ ✓ Value Add Products ✓ ✓ ✓ ✓ ✓ ✓ Citral ✓ ✓ ✓ ✓ ✓ ✓ Speciality ✓ ✓ ✓ ✓ ✓ ✓ Galaxmusk (Speciality) ✓ ✓ ✓ Camphor (Pinene) ✓ ✓ ✓ Prionyl (speciality)
Slide 26: 6. Fostering Growth from New Products
6. Fostering Growth from New Products • Galaxmusk and its variants are sold to all our existing customers and is used in the perfumery blend used in soaps, detergents, perfumes and other personal care products. Successful Launch of New Products • Camphor is predominantly sold in Indian markets and m
Slide 27: 7. High Entry Barriers
7. High Entry Barriers Aroma Chemicals is a Niche Chemicals and require extensive technical know-how 1 2 3 It is used as a Lifestyle Product Capex Intensive Industry Complex Chemistry Fragrance products varies from individual’s High startup cost, stringent regulations and The involvement of complex
Slide 28: 8. Driven by Strong Human Assets
8. Driven by Strong Human Assets • Across all functions, company is headed & Employee governed by professionals having more than 20 years of experience and requisite qualification in Association An Ethos driven by 1,000+ Unmatched Human Assets their domain expertise with Privi • Entire team continue
Slide 29: 9. With Eminent Board of Directors
9. With Eminent Board of Directors Mr. Mahesh P Babani Mr. D.B. Rao Chairman & Managing Director Executive Director • A Commerce Graduate with an operational and managerial • A postgraduate in Engineering with over 33 years experience of over 30 years experience • Has been on the Board of Directors
Slide 30: 10. Backed by Healthy Growth in Industry
10. Backed by Healthy Growth in Industry Global Aroma Chemicals Market size was valued at Global Flavors & Fragrance (F&F) USD 5.35 Billion in 2023 and is projected to reach Demand Drivers Market Size is about USD 30.4 Billion USD 9.20 Billion by 2030 Growing trend in personal care $9.20 and cosmeti
Slide 31: Embracing Opportunities
Embracing Opportunities Industry Tailwinds India’s Chemicals Industry Our Edge • Stringent measures & Environment Norms across China & Europe leading to capacity closures and partial shutdowns • Supply-chain disruptions leading to preference for alternate supplier • Higher opportunity due to increas
Slide 32: Q4 & FY24 Performance Highlights
Q4 & FY24 Performance Highlights 31
Slide 33: CMD's Commentary
CMD’s Commentary In FY24, Privi’s performance improved substantially with EBIDTA of Rs. 355 crores, a growth of 71% on YoY basis and Net Profit after tax of Rs. 95 crores showing a remarkable turnaround as compared to last year. The turnaround in the Company performance is based on 28% growth in vol
Slide 34: Q4 & FY24 Performance Highlights
Q4 & FY24 Performance Highlights Revenue (Rs. In Cr) EBITDA (Rs. In Cr) & EBITDA Margin (%) PAT (Rs. In Cr) & PAT Margin (%) 8.8% 20.0% -3.7% 6.5% Margin 492 402 99 32 35 Q4 FY23 Q4 FY24 Q4 FY23 Q4 FY24 -15 Q4 FY23 Q4 FY24 12.7% 20.0% 1.3% 5.4% Margin 1,779 1,629 355 96 207 21 FY23 FY24 FY23 FY24 FY
Slide 35: Consolidated Profit & Loss Statements
Consolidated Profit & Loss Statements Particulars (Rs. Crores) Q4FY23 Q4FY24 YoY FY23 FY24 YoY Revenue from Operations 398.7 484.3 1,607.8 1,752.2 Other Income 3.2 7.6 21.4 26.3 Total Income 401.9 491.9 22.4% 1,629.2 1,778.5 9.2% Cost of materials consumed 243.5 275.4 961.0 1,009.4 Employee Expenses
Slide 36: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (Rs. Crores) Mar-23 Mar-24 Liabilities (Rs. Crores) Mar-23 Mar-24 Non Current assets Equity Property, Plant and Equipment 952.3 968.9 Equity Share capital 39.1 39.1 Capital work-in-progress 94.6 88.7 Other Equity 790.0 885.3 Intangible Assets 10.7 55.6 Non-Controlli
Slide 37: Consolidated Cash flow Statement
Consolidated Cash flow Statement Particulars (Rs. Crores) Mar-23 Mar-24 Net Profit Before Tax 31.0 129.9 Adjustments for: Non -Cash Items / Other Investment or Financial Items 185.3 209.8 Operating profit before working capital changes 216.4 339.7 Changes in working capital -153.7 40.7 Cash generate
Slide 38: Historical Financial Highlights
Historical Financial Highlights
Slide 39: Consolidated Profit & Loss Account
Consolidated Profit & Loss Account Particulars (Rs. Crores) FY20 FY21 FY22 FY23 FY24 Revenue from Operations 1,324.1 1,276.6 1,403.7 1,607.8 1,752.2 Other Income 26.4 20.0 32.4 21.4 26.3 Total Income 1,350.5 1,296.5 1,436.1 1,629.2 1,778.5 Cost of materials consumed 803.1 751.1 831.0 961.0 1,009.4 E
Slide 40: Consolidated Balance Sheet - Assets
Consolidated Balance Sheet - Assets Assets (Rs. Crores) Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Non Current assets Property, Plant and Equipment 559.1 560.1 645.2 952.3 968.9 Capital work-in-progress 30.3 174.4 363.6 94.6 88.7 Intangible Assets 7.0 7.1 5.5 10.7 55.6 Intangible Assets under development 0.
Slide 41: Consolidated Balance Sheet - Liabilities
Consolidated Balance Sheet - Liabilities Liabilities (Rs. Crores) Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Equity Equity Share capital 39.1 39.1 39.1 39.1 39.1 Other Equity 573.0 683.5 773.2 790.0 885.3 Non-Controlling Interest 0.0 0.0 7.4 6.4 16.7 Total Equity 612.1 722.5 819.6 835.5 941.1 Financial liab
Slide 42: Consolidated Financial Highlights
Consolidated Financial Highlights Revenue (Rs. In Cr) EBITDA (Rs. In Cr) PAT (Rs. In Cr) 18.0% 17.5% 15.8% 12.7% 20.0% 10.8% 9.0% 6.8% 1.3% 5.4% Margin 1,779 1,629 1,350 1,436 355 1,297 146 244 228 226 117 207 97 95 21 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Debt (
Slide 43: Way Forward
Way Forward Production Ramp-up Continuous Product 1 4 of newly installed facilities Developments Progressing 2 Improving Product Mix & 5 Strengthening Balance Sheet Towards Operational Efficiencies Sustainable Growth Fresh Capex for launching 3 Increasing Global Footprint 6 New Products and Enhancin
Slide 44: Thank You
Thank You Company: Privi Speciality Chemicals Ltd. CIN – L15140MH1985PLC286828 Mr. Narayan S. Iyer – Chief Financial Officer Email – investors@privi.co.in www.privi.com Investor Relations Advisor : Strategic Growth Advisors Pvt. Ltd. CIN - U74140MH2010PTC204285 Mr. Shrikant Sangani / Ms. Shaily Patw
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