Bodal Chemicals Limited · NSE:BODALCHEM
Bodal Chemicals — Investor Presentation (June 2021)
44 slides from Bodal Chemicals's investor presentation, Jun 25, 2021
Slide 1: Bodal Chemicals Ltd. exchange submission letter
Bodal Chemicals Ltd. COLOURS, INTEGRATION, INNOVATION, By online submission Sec/20-21/25 Date: 25-06-2021 To, To, The General Manager, The General Manager, Department of Corporate Services, National Stock Exchange of India Ltd. BSE Limited, Exchange Plaza, 1st Floor, New Trading Ring, Plot no. C/1,
Slide 2: Bodal Chemicals Limited Investor Presentation – June 2021
Bodal Chemicals Limited Investor Presentation – June 2021
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Bodal Chemicals Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: Company Overview
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Slide 5: A Leading Chemical Manufacturer
A Leading Chemical Manufacturer 3 10 Rs. 12,424 Mn Decade Old organization Manufacturing Facilities FY21 Consolidated Revenue 12% 11% Basic Chemicals Dye Intermediates 70+ 10 7 Domestic + 3 Overseas Depots 36% 41% Dyestuffs Distributors Across India Others 7% Domestc Export 11% S. America 200+ 600+
Slide 6: Company Evolution
Company Evolution 1989 1993 - 1994 1997-2004 2006-2010 ▪ Incorporated as JK ▪ Acquired Unit II & Unit III ▪ 1997-Acquired two Units ▪ 2006-Listed on BSE via reverse merger Pharma at Unit II-A ▪ Name changed to Bodal ▪ 2004 -Acquired Unit I & with Dintex Dye Chem (Unit I) Chemicals Pvt. Ltd. Forward
Slide 7: Geographical Footprint
Geographical Footprint ~33% of Total Revenue is exported to over 45 countries across the world Revenue Breakup Domestic Export North America 100% 100% 100% 100% 11% Europe 29% 69% 56% 59% 67% Asia 53% 31% 44% 41% 33% FY18 FY19 FY20 FY21 Export Breakup (FY21) South America 7% 11.0% 7.0% Asia North Am
Slide 8: Long Standing Clientele
Long Standing Clientele Basic Chemicals Dye Intermediates Dyestuffs 600+ 70+ 45+ Countries Customers Distributors Across India Global Presence 7
Slide 9: Experienced Board & Management Team
Experienced Board & Management Team Mr. Suresh J. Patel Mr. Bhavin S. Patel Mr. Ankit S. Patel Mr. Mayur Padhya Chairman & MD Executive Director Executive Director Chief Financial Officer Experience : 30 years Experience : 17 years Experience : 13 years Experience : 25 years Background : Background
Slide 10: Awards & Certifications
Awards & Certifications Awards Certificates 2005-06 2016-17 ▪ BCL has ISO 9001:2015 and ISO 14001:2015 certifications ▪ Received the prestigious Chemexcil Gold Award for ▪ Highest Self Manufacturing Turnover for Domestic and for their production of Dye intermediates & Dyestuffs. outstanding performa
Slide 11: Product Overview
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Slide 12: Diversified Product Portfolio
Diversified Product Portfolio Existing Products New Products Addition Basic Chemicals Dye Intermediates Dyestuffs Benzene Derivatives Sulphuric Acid Chlor Alkali ▪ Sulphuric Acid ▪ Vinyl Sulphone & ▪ Reactive Dyes ▪ MCB ▪ Caustic soda ▪ Sulphuric Acid ▪ Chlorosulphonic Acid Derivatives ▪ Acid Dyes ▪
Slide 13: Manufacturing Value Chain
Manufacturing Value Chain Input Materials Basic Chemicals Dye Intermediates Dyestuffs Trion Chemicals End Use Industry Water Vinyl Sulphone + Derivatives Reactive Dyes Textiles Para Nitro Aniline Ice H Acid Beta Naphthol Steam DASA Sulphuric Acid Power Acid Dyes Leather FC Acid Sulphur Chloro Sulpho
Slide 14: Manufacturing Facilities
Manufacturing Facilities Total 10 10 Depots In-house R&D Lab Total Employees Manufacturing Facilities (Exclusive Distribution Warehouse) ▪ 3 – Ahmedabad, Gujarat ▪ 1 - Ahmedabad, Gujarat ▪ Domestic 1,560+ ▪ 7 - India ▪ 4 - Vadodara, Gujarat ▪ 2 - Vadodara, Gujarat ▪ Contract Labours ~1,500 ▪ 1 - Chi
Slide 15: Our Subsidiaries
Our Subsidiaries Company FY21 Location Stake Details Name Revenue S P S Processors Private H-Acid - 3,000 MTPA | Limited (SPS) Uttar Pradesh, India 70% Rs 993 mn Vinyl Sulphone - 6,000 MTPA (expected to commercialized from Q2 FY22) Bodal Chemicals Trading Private Limited Gujarat, India 100% Rs 142 m
Slide 16: Key Growth Drivers
Key Growth Drivers Dyestuff Expansion TCCA Division Vinyl Sulphone at SPS Turkish entity Sener Boya Acquired 100% stake in Trion Additional Vinyl Sulphone Acquired ~ 80% stake to Capacity expansion of Chemicals and amalgamated Dyestuffs by 18,000 MTPA will plant of 6,000 MTPA capacity strengthen the
Slide 17: Our Key Strengths
Our Key Strengths 3 Decades of Presence ✓ Home grown player with deep understanding of Indian & Integrated Business Model global chemical market ✓ Integrated business model leading to cost competitiveness and protection against commodity cycle In house R&D Facilities ✓ Well- equipped production faci
Slide 18: India’s Edge In The Global Chemical Market
India’s Edge In The Global Chemical Market Indian Chemical Industry Megatrend Industry (USD bn) ~9% ~11% Structural Shift China +1 Unorganized players in the Dye Intermediates India is emerging as the next alternative 300 and Dyestuffs Industry has been declining supplier for the global market 276 1
Slide 19: Next Level of Growth
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Slide 20: Capex To Drive Next Level Of Growth
Capex To Drive Next Level Of Growth Capacity Addition (MTPA): Total Capex: Revenue Expected: Commercialisation ~Rs 6,700 mn ~Rs 8,500 mn P.A Expected by Q3FY23 Benzene Downstream ~78,960 Chlor Alkali Products including Sulphuric Acid ~3,40,000 Caustic Soda ~99,000 Greenfield Saykha Total Project Cos
Slide 21: Moving Up The Value Chain With Newer Chemistries
Moving Up The Value Chain With Newer Chemistries Sulphur Chain Benzene Chain Chlor Alkali Chain Chlorine Oleum 23% - 65% PNA PNCB Salt & Water Electrolysis Caustic Soda Solution (Power) 2,4 DNCB MPDSA Sulphur Sulphuric Acid Liquid SO3 ONCB Benzene MCB Hydrogen MNCB Sulphuric Acid Captive Consumption
Slide 22: Capex To Be Completed in FY23
Capex To Be Completed in FY23 Revenue Visibility Chemical Segments FY21 FY22 FY23 FY24 Basic Chemicals 11.0% ✓ ✓ ✓ Dye Intermediates 41.0% ✓ ✓ ✓ Dyestuffs 36.0% ✓ ✓ ✓ Trichloroisocyanuric Acid (TCCA) 0.4% ✓ ✓ ✓ Caustic Soda - ✓^ ✓^ ✓ Sulphuric Acid & Derivatives (New additional capacity) - - ✓* ✓ Be
Slide 23: Responsible Corporate Citizen
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Slide 24: Environmentally Compliant
Environmentally Compliant Common Treated Effluent Zero Discharge Effluent Spray Effluent Effluent Multiple Effect Solid Waste Discharge Access Plant Location Site (Solid+ Dryer Plant Treatment Plant Treatment Plant, Evaporator Incinerator Plant VECL Cala Liquid+Air) (ESDP) (at GIDC) (MEEP) Lit./Day
Slide 25: Pollution Control Systems
Pollution Control Systems ▪ Treats low load waste water ▪ Clarification ▪ Compliant with GPCB, CPCB norms ▪ Bio- degradation by AIS Effluent Treatment Plant (ETP) ▪ Capacity 500,000 liters / day ▪ Tertiary Poly system ▪ Chemical oxidation ▪ Online monitoring system ▪ Flocculation ▪ Installed world’s
Slide 26: Responding To Critical Issue
Responding To Critical Issue ▪ High costs involved in complying with environmental regulations Moreover, the rising industrial water and power rates are a concern. Key Challenges ▪ Scarcity of water can lead to insufficient supply affecting our production needs. ▪ The Chemical Industry is energy and
Slide 27: CSR Activities
CSR Activities Key Focus Areas ▪ Eradicating hunger, poverty and malnutrition ▪ Promoting healthcare and sanitation including contribution to the Swach Bharat Kosh ▪ Promoting education and enhancement of rural infrastructure ▪ Ensuring environmental sustainability ▪ Providing funds for construction
Slide 28: Way Forward
Way Forward Lower cost of production Capacity Rampup Economies of scale New Client Penetration Long term relationship with customers Ongoing Internal Efficiency Superior quality Our Edge Rigorous Integration 3+ decades of experience New Greenfield Expansion Client Diversification More B2C Approach I
Slide 29: Consolidated Financial Highlights: Q4 & FY21
Consolidated Financial Highlights: Q4 & FY21
Slide 30: Business Highlights
Business Highlights • Company has suffered significant loss of business in the Q1FY21 due to countrywide lockdown. Despite pandemic hit quarter in H1, we were able to recover and registered a healthy business for the full financial year. For FY21, Total income on consolidated basis stood at Rs 12,42
Slide 31: Q4 & FY21 Financial Highlights
Q4 & FY21 Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 11.8% 10.6% 7.0% 5.0% Margin +16% +6% -16% 4,326 460 258 3,722 436 217 Q4FY20 Q4FY21 Q4FY20 Q4FY21 Q4FY20 Q4FY21 10.8% 8.4% 6.3% 3.2% -10% -31% -54% 13,852 1,481 860 12,424 1,025 398 FY20 FY21 FY20 FY21 FY20 FY21 R
Slide 32: Financial Highlights
Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 14,369 13,852 2,366 2,495 1,329 1,413 12,449 12,424 2,039 1,219 11,517 1,481 860 1,025 398 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 EBITDA Margin (%) PAT Margin (%) 18.3% 10.4% 10.7% 17.0% 1
Slide 33: Subsidiaries Performance
Subsidiaries Performance Q4 FY21 Performance Particulars (Rs. In Mn) SPS BCTPL Sener Bodal (China) Total Income 293.0 31.0 165.0 39.0 EBITDA 20.0 -0.1 -60.0 2.0 PAT -5.0 -0.1 -91.0 1.0 FY21 Performance Particulars (Rs. In Mn) SPS BCTPL Sener Bodal (China) Total Income 993.0 142.0 792.0 161.0 EBITDA
Slide 34: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (Rs. In Mn) Q4 FY21 Q4 FY20 Y-o-Y Q3 FY21 Q-o-Q FY21 FY20 Y-o-Y Revenue from Operation 4,327.3 3,684.7 3,661.5 12,264.3 13,748.2 Other Income -1.3 36.9 70.1 159.3 104.0 Total Income 4,326.0 3,721.6 16.2% 3,731.6 15.9% 12,423.7 13,852.2 -10.3% Raw Mate
Slide 35: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (In Mn) Mar-21 Mar-20 Particulars (In Mn) Mar-21 Mar-20 ASSETS Equity & Liabilities Non-current assets 8,768.5 7,127.1 Equity 9,799.1 9,378.6 Property, Plant and Equipment 7,799.9 6,376.4 Equity Share capital 244.7 244.7 Capital Work-In-Progress 4.1 7.7 Other e
Slide 36: Key Ratios
Key Ratios Debt/ Equity (x) Return on Equity(%) Trending lower due to increasing 0.45 35.6% capital expenditure 0.41 17.5% 17.0% 0.17 0.19 0.12 9.2% 8.2% FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Return on Capital Employed (%) Net Working Capital Days Trending lower due to increasing capital
Slide 37: Standalone Financial Highlights: Q4 & FY21
Standalone Financial Highlights: Q4 & FY21
Slide 38: Segmental Performance
Segmental Performance Basic Chemical (Rs. In Mn) Dyestuffs (Rs. In Mn) Dye Intermediate (Rs. In Mn) 1,282 1,269 5,324 4,618 4,590 Revenue Breakup 3,993 396 1,623 333 1,344 1,309 1,390 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 Q4FY20 Q4FY21 FY20 FY21 Basic Chemicals (MT) Dye Intermediate(In MT)
Slide 39: Segmental Performance
Segmental Performance Basic Chemical Dyestuffs Dye Intermediates Total Revenue (Rs in mn) Revenue Breakup 1,601 5,324 6,544 13,940 4,808 5,895 12,377 11,477 1,282 1,269 3,993 11,329 1,149 3,533 4,618 4,589 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 Basic Chemical
Slide 40: Q4 & FY21 Financial Highlights
Q4 & FY21 Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 12.9% 12.5% 8.2% 7.5% Margin +22% +19% +12% 4,085 509 304 3,351 428 271 Q4FY20 Q4FY21 Q4FY20 Q4FY21 Q4FY20 Q4FY21 12.0% 8.9% 7.4% 4.3% -7% -31% -46% 12,377 1,463 901 11,477 1,009 483 FY20 FY21 FY20 FY21 FY20 FY21 R
Slide 41: Our Performance Highlights
Our Performance Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 13,940 2,477 1,441 12,377 2,311 1,329 1,275 11,926 11,329 11,477 2,085 1,463 901 1,009 483 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 EBITDA Margin (%) PAT Margin (%) 18.7% 17.5% 11.2% 1
Slide 42: Standalone Profit & Loss Statement
Standalone Profit & Loss Statement Particulars (Rs. In Mn) Q4 FY21 Q4 FY20 Y-o-Y Q3 FY21 Q-o-Q FY21 FY20 Y-o-Y Revenue from Operation 4,060.4 3,315.8 3,307.0 11,297.3 12,236.0 Other Income 24.7 34.9 47.0 180.0 141.0 Total Income 4,085.0 3,350.6 21.9% 3,354.0 21.8% 11,477.3 12,377.0 -7.3% Raw Materia
Slide 43: Standalone Balance Sheet
Standalone Balance Sheet Particulars (In Mn) Mar-21 Mar-20 Particulars (In Mn) Mar-21 Mar-20 ASSETS Equity & Liabilities Non-current assets 9,741.6 7,927.0 Equity 9,865.3 9,369.1 Property, Plant and Equipment 7,491.0 6,097.8 Equity Share capital 244.7 244.7 Capital Work-In-Progress 44.9 8.1 Right of
Slide 44: Thank You
Thank You Contact Information Company: Investor Relation Advisors: Bodal Chemicals Ltd. Strategic Growth Advisors Pvt. Ltd. CIN – : L24110GJ1986PLC009003 CIN - U74140MH2010PTC204285 Mr. Mayur Padhya Mr. Shrikant Sangani / Ms. Pankti Majithia Chief Financial Officer Email - shrikant.sangani@sgapl.net