India Glycols Limited · NSE:INDIAGLYCO
India Glycols — Q1 FY23 Earnings Presentation
33 slides from India Glycols's earnings presentation, Aug 12, 2022
Slide 1: Exchange filing cover letter - Investor Presentation
0 _...!> cE.RTtp;. ~- ('"1 t; ;;..; ~ 0 \~~y) ISO 9001 INDIA GLYCOLS LIMITED ISO 14001 ; ISO 45001 ; ISO 50001 Plot No. 2-B , Sector -126, NOIDA-201304, Distt. Gautam Budh Nagar, Uttar Pradesh, Tel. : +91 120 6860000, 3090100, 3090200 Fax: +91 120 3090111, 3090211 E-mail: iglho@indiaglycols.com, Web
Slide 2: Investor Presentation Q1FY23
Investor Presentation Q1FY23
Slide 3: Safe Harbour Statement
Safe Harbour Statement This presentation and the following discussion may contain “forward looking statements” by India Glycols Limited (“IGL” or the company) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operations, f
Slide 4: Q1FY23 Performance
Q1FY23 Performance INDIA GLYCOLS LIMITED
Slide 5: Performance Overview – Q1FY23 vs Q1FY22
Performance Overview – Q1FY23 vs Q1FY22 Gross Turnover Net Turnover 1,868 Cr 808 Cr 0.1% 6.6% EBITDA EBIDTA Margin 69 Cr 11.9% 8.4% • Significant revenue growth registered in all the 3 divisions • Impact of EOD business transferred to JV • Continued Feedstock, Energy and Freight headwinds 4
Slide 6: Highlights – Q1FY23
Highlights – Q1FY23 Update on Revenue • Strong Sales growth in all three segments on like to like basis • Excellent revenue growth in Nicotine (4 X) • Market share and leadership position maintained in Thiocolchicoside • JV performance has been in line with expectations Update on Raw material and ot
Slide 7: Commodity Prices Trends
Commodity Prices Trends Indexed as per the prices in April 2022 109% 59% 32% 58% Coal Ethanol Mild Steel Acetic Acid 159 209 149 152 136 132 100 137 122 177 113 118 108 79 155 100 74 100 124 109 55 100 48 42 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Q1-2022 Q2-2022 Q1-2021 Q2-2021 Q3-2021 Q4-2021 Q1-2022 Q2-2
Slide 8: Ethanol Price Trends
Ethanol Price Trends 69.6 • US Ethanol production 66.8 impacted by Gas prices 65.0 • Wheat and Corn prices surged 58.6 due to Russian Invasion 52.4 52.9 49.4 50.7 • Continued focus on blending 45.5 in several countries 42.7 39.4 • Expectation of global slow down 33.2 • Demand for Industrial Ethanol
Slide 9: Freight Trends
Freight Trends Logistics per container have started to normalize 46.1 47.3 36.9 25.9 25.6 25.6 25.9 9.3 6.3 7.1 7.4 6.3 7.0 6.4 4.9 6.4 7.4 6.6 6.6 4.0 4.5 5.1 3.8 4.8 3.7 3.2 2.1 4.1 3.4 2.3 3.6 2.7 2.8 2.5 1.9 1.6 2.0 1.7 1.1 0.6 1.5 1.5 0.7 0.6 0.9 0.6 0.9 0.6 1.7 2.5 1.5 0.5 0.9 1.3 1.2 1.0 0.8
Slide 10: Business Segment Highlights
Business Segment Highlights Bio-based Specialities and Potable Spirits Ennature Biopharma Performance Chemicals Top Line growth of ~ 20% YoY Healthy sales growth of 36% + YoY Sales grew by 28 % + YoY Pressure on margins due to the sharp Margins impacted due to sharp escalation Margins were maintaine
Slide 11: Challenging Operating Environment
Challenging Operating Environment High degree of uncertainty in the macros economic environment, demand growth has been slow in end markets Unprecedented increase in input costs faced by industry, our suppliers, customers o Sharp increase in feedstock prices e.g. Ethanol Input Cost War o Drastic
Slide 12: Financial Summary - Consolidated
Financial Summary - Consolidated Particulars (In INR Cr) Q1FY23 Q1FY22 Y-o-Y (%) Q4FY22 Q-o-Q (%) Revenue from operations (net of excise) 808 651 24.2% 642 25.8% Other Income 6 1 363.9% 5 28.5% Total Income 814 652 24.9% 647 25.8% Cost of Material Consumed 531 453 17.3% 362 46.4% % of Sales 65.2% 69
Slide 13: Segment Performance - Consolidated
Segment Performance - Consolidated (In INR Cr) Q1FY23 Q1FY22 % YoY Q4FY22 % QoQ Bio-based Specialities and Performance Chemicals (BSPC) Net Revenue 549 457 20.0% 429 27.8% 7% 7% EBIT 24 20 22.1% 43 (44.8%) % margin 4.4% 4.3% 8 bps 10.1% (574 bps) 23% 25% Potable Spirits (PS) 68% 70% Net Revenue 205
Slide 14: Company Overview
Company Overview INDIA GLYCOLS LIMITED
Slide 15: IGL at a Glance
IGL at a Glance Go Green Diversified product portfolio Global Standards with inherent synergies Compliance with stringent global 1st in the world to use Innovative Green Technologies to manufacture Bio-based Specialties, Bio-Polymers, standards of plant operations, bio-based ethylene oxide & Potable
Slide 16: Key Milestones
Key Milestones New Grain based Ethanol plants started trail production Gorakhpur Glycol E 2 Distillery CL Textile Formulation JV Sulphation Clariant Thiocolchicoside First Bio-polymers MEG Dehradun US Nicotine Distillery EO Purification Green Solvents ENA 600 TPD Ennature Subsidiary Expansion 1988 1
Slide 17: Portfolio Leading in Bio-based Ingredients and Performance Chemicals
Portfolio Leading in Bio-based Ingredients and Performance Chemicals Bio-based Specialities Segments And Performance Potable Spirits (PS) Ennature Biopharma Chemicals (BSPC) Revenue Mix Net revenue share : 68% Net revenue share : 25% Net revenue share : 7% (Consol. Q1FY23) 1. Bio-based Glycols (MEG,
Slide 18: JV with Clariant: Leaders in bio-based ethoxylates and derivatives
JV with Clariant: Leaders in in bio-based ethoxylates and derivatives Promoters Public 1 - Shareholding Combining production and distribution capacity, as 61.01% 1 38.99% 1 on 30th June 2021 the joint venture is expected to become a leading supplier of renewable materials to the rapidly growing FY20
Slide 19: Leveraging synergies to create value–integrated manufacturing
Leveraging synergies to create value–integrated manufacturing for bio-based products Potable Spirit Grain ENA Power Alcohol IGD O2, N2, Ar Brands Ind Gr. CO2 Distillery O2 ASU EO-CO2 mix Business transferred to JV with Clariant Green Molasses Distillery Bio-Ethanol Bio-Ethylene Bio- EO Bio-EODs Perf
Slide 20: Manufacturing Capabilities
Manufacturing Capabilities Kashipur Gorakhpur Dehradun 56-acre state of art distillation 300-acre state of art integrated manufacturing complex 160,000 sq. feet state of art facility and bottling complex Grain based Ethanol with 180 KLPD Grain based Ethanol with 110 High Purity Extraction Fermentati
Slide 21: R&D: Creating value through New Product Development
R&D: Creating value through New Product Development; focus on Green Chemistry 1 Focus on NPD, designing products for the future in collaboration with our reputed customers 2 DSIR Recognized R&D at Dehradun and Kashipur 3 Exploiting available feed stocks of Bio-Alcohol, Smart Alcohol, Ethylene Oxide,
Slide 22: Business Segments
Business Segments
Slide 23: Bio-based Specialities and Performance Chemicals (BSPC)
Bio-based Specialities and Performance Chemicals (BSPC) First in the world to manufacture ethylene oxide and glycols from bio-based feedstocks e.g. Molasses, Grain Largest manufacturer of Bio-based glycols and Bio-based Ethylene Oxide made from renewable feedstock i.e. Molasses Products for a
Slide 24: Potable Spirits
Potable Spirits License for operations and sale of Country Liquor in the States of Uttar Pradesh and Uttarakhand. Also operates and sells Indian Made Foreign Liquor (“IMFL”) from its own unit and few tie-up units Company brands are available in the states of Uttarakhand, Uttar Pradesh, Delhi and
Slide 25: Ennature Biopharma
Ennature Biopharma Operates in the space of Nutraceuticals, Phytochemicals & health supplement ingredients. One of the leaders in Complex phytochemicals chemistry in India Global leader in Thiocolchicoside, a highly potent muscle relaxant API Advanced production capabilities, including organic
Slide 26: IGL - Catering to diverse end markets
IGL - Catering to diverse end markets • Glycols are used for the manufacture of polyester yarn, fibre, film and resin and as an automobile coolant • Bio-glycols cater to the beverage and food industry's packaging requirement of PET bottles and polyester film • Ethyl / Butyl glycol ethers and its ace
Slide 27: Growth Drivers
Growth Drivers High prospects of growth of industry sectors being serviced by IGL – Personal Care, Automotive, Packaging, Beverages, Oil & Gas, Home Care, Pharma, Nutraceuticals etc, Textiles – most expected to grow at near double digit or more Increasing consumer awareness and demand for sustai
Slide 28: Yearly financial Performance
Yearly financial Performance
Slide 29: 3-year Financial Trajectory - Consolidated
3-year Financial Trajectory - Consolidated In INR Cr Net Revenue (Excl. Discontinued Biz.) EBITDA (Excl. Discontinued Biz.) PAT (Excl. Discontinued Biz.) 330 2,744 2,890 288 283 277 2,332 109 75 FY2020 FY2021 FY2022 FY2020 FY2021 FY2022 FY2020 FY2021 FY2022 EBITDA (Incl. Discontinued Biz.) PAT (Incl
Slide 30: 3-year Financial Trajectory - Consolidated
3-year Financial Trajectory - Consolidated EBITDA Margin (%) (Excl. Discontinued Biz.) Net Margin (%) (Excl. Discontinued Biz.) RoE (%) 11.4% 12.1% 10.5% 19.2% 9.6% 4.7% 11.1% 11.3% 2.7% FY2020 FY2021 FY2022 FY2020 FY2021 FY2022 FY2020 FY2021 FY2022 EBITDA Margin (%) (Incl. Discontinued Biz.) PAT Ma
Slide 31: Sustainability, ESG and Certifications
Sustainability, ECG and Certifications
Slide 32: Sustainability, ESG
Sustainability, ESG Environment Stewardship • World’s first and largest producer of Bio-Based EO and its derivatives • Next Generation CarbonSmart products from emissions (fossil carbon) - collaboration with Transparent Accountable LanzaTech & consumer majors like Unilever and Lululemon • Environmen
Slide 33: Thank you
India Glycols Limited CIN: L24111UR1983PLC009097 EY LLP Ankur Jain Neha S Shroff Company Secretary & Compliance Officer neha.shroff@in.ey.com Rohit Anand Head office rohit.anand4@in.ey.com 2B, Sector-126, Noida Gautam Budh Nagar Uttar Pradesh 201304 Tel: +91-120-6860000, 3090100, 3090200 Fax: +91-12