Race Eco Chain Ltd. · NSE:RACE
Race Eco Chain — Q2 FY25 Earnings Presentation
28 slides from Race Eco Chain's earnings presentation, Nov 21, 2024
Slide 1: Corrigendum to Letter Dated 18th November 2024
Dated: 21st November, 2024 Bombay Stock Exchange Limited National Stock Exchange Limited Department of Corporate Services, Listing Department Phiroze Jeejee Bhoy Towers, Exchange Plaza,C-1, Block-G, Dalat Street, Mumbai-400001 Bandra-Kurla Complex, Mumbai 400051 Scrip Code: 537785 Symbol: RACE Subje
Slide 2: Earnings Presentation Q2 FY25
Earnings Presentation Q2 FY25
Slide 3: Initiatives taken to waste industry
Initiatives taken to waste industry PAN India Network Washing Plants Community Engagement A comprehensive network for Setting up washing plants across Hosted India’s first Talent recognition Waste Suppliers ensuring India focusing on B2B (Bottle to events for Waste Supplier code named efficient wast
Slide 4: Q2FY25: Performance Highlights (QoQ)
Q2FY25 : Performance Highlights (Standalone) (QoQ) ~31,422 MT SNAPSHOTS Operating Revenue EBITDA PAT ₹ 106.29 crore ₹ 1.86 crore ₹ 4.05 crore This is the quantum of waste (in tonnes) that we aggregated during Q2FY25. India generates more than 62mn 23% QoQ 31% QoQ 10x QoQ tons of municipal solid wast
Slide 5: Q2FY25: Performance Highlights (YoY)
Q2FY25 : Performance Highlights (Standalone) (YoY) ~31,422 MT SNAPSHOTS Operating Revenue EBITDA PAT ₹ 106.29 crore ₹ 1.86 crore ₹ 4.05 crore This is the quantum of waste (in tonnes) that we aggregated during Q2FY25. India generates more than 62mn 35% YoY 46% YoY 13x YoY tons of municipal solid wast
Slide 6: India Plastic Waste: Industry
Q1FY25 India Plastic Waste: Industry Performance Highlights Indian Plastic waste Recycling Market size (Mn Tonnes) (STANDALONE) 23.7 10.8 2023E 2029F India’s plastic waste recycling market size is estimated to be Favourable Regulations 10.8 Million Tons in 2023. Going forward, the market is expected
Slide 7: Q2FY25: Plastic Packaging Waste Business Highlights (QoQ)
Q2FY25: Plastic Packaging Waste Business Highlights (STANDALONE) (QoQ) SNAPSHOTS Revenue Market Share* ~23,668 MT (PET Waste) ₹100.30 crore 11.81% EBIT This is the quantum of plastic waste (in tonnes) that we 27% QoQ ₹1.87 14 bpscrore QoQ aggregated during Q2FY25. 1.86% EBIT Margin Registering a gro
Slide 8: Q2FY25: Plastic Packaging Waste Business Highlights (YoY)
Q2FY25: Plastic Packaging Waste Business Highlights (STANDALONE) (YoY) SNAPSHOTS Revenue ~23,668 MT ₹100.30 crore EBIT This is the quantum of plastic waste (in tonnes) that we 51% YoY ₹1.87 crore aggregated during Q2FY25. 1.86% EBIT Margin Registering a growth of 35% YoY Plastic Waste Aggregated (MT
Slide 9: India Biofuel Industry
India Biofuel Industry 1.7 4.0 7% According to research report published by “Transparency Market research”, the Indian biomass industry was valued around US $ 1.7 Mandatory 5% Bn in 2019 & is expected to grow @ CAGR of 8% to reach US$ 4 bn Biomass co-firing Indian Biomass Rate for Thermal by 2030. M
Slide 10: Q2FY25: Biofuel Business Highlights (QoQ)
Q2FY25: Biofuel Business Highlights (Standalone) (QoQ) SNAPSHOTS ~7,754 MT Revenue EBIT Biofuel Aggregated (MT) 12,000 ₹5.46 crore ₹0.06 crore 10,000 9,581 7,754 8,000 This is the quantum of 1.16% EBIT Margin 6,000 Biomass (in tonnes) that we 4,000 aggregated during Q2FY25. 2,000 20% QoQ 3 bps QoQ 0
Slide 11: Q2FY25: Biofuel Business Highlights (YoY)
Q2FY25: Biofuel Business Highlights (Standalone) (YoY) SNAPSHOTS ~7,754 MT Revenue EBIT Biofuel Aggregated (MT) 14,893 ₹5.46 crore ₹0.06 crore 16,000 14,000 12,000 This is the quantum of 1.16% EBIT Margin 10,000 8,000 7,754 Biomass (in tonnes) that we 6,000 4,000 aggregated during Q2FY25. 55% YoY 2,
Slide 12: Our Major Biofuel Clients
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Slide 13: Standalone Income Statement
Standalone Income Statement Particulars Q2FY25 Q2FY24 Q1FY25 H1FY25 H1FY24 Income Statement INR Cr Revenue from Operations 106.29 78.88 86.17 192.46 189.63 Operating Costs 104.43 77.61 84.75 189.18 186.42 Operating Profit (EBITDA) 1.86 1.27 1.42 3.28 3.21 Other Income 4.39 0.06 0.15 4.54 0.09 Financ
Slide 14: Consolidated Income Statement
Consolidated Income Statement Particulars Q2FY25 Q2FY24 Q1FY25 H1FY25 H1FY24 Income Statement INR Cr Revenue from Operations 106.29 78.88 86.44 192.73 189.63 Operating Costs 104.43 77.72 85.05 189.48 186.53 Operating Profit (EBITDA) 1.86 1.16 1.40 3.25 3.10 Other Income 4.39 0.06 0.15 4.54 0.09 Fina
Slide 15: Standalone Balance Sheet
Particulars INR Cr H1FY24 FY24 Standalone Balance Sheet Standalone Balance Sheet Share Holder's Funds Net Worth 72.88 22.23 Non-Current Liabilities Long term Borrowings 0.00 0.00 Other Non-current Liabilities 1.02 0.14 Current Liabilities Short Term Borrowings 21.55 36.84 Trade Payables 11.97 12.87
Slide 16: Consolidated Balance Sheet
Consolidated Particulars INR Cr H1FY24 FY24 Balance Standalone Balance Sheet Sheet Share Holder's Funds Net Worth 72.88 22.24 Non-Current Liabilities Long term Borrowings 0.00 5.24 Other Non-current Liabilities 1.02 0.12 Current Liabilities Short Term Borrowings 21.55 37.27 Trade Payables 11.97 16.7
Slide 17: Performance Review
Performance Review Segment Performance: Segment Performance: Key Highlights Plastic Division Biofuel Division • Standalone PAT reached ₹4.05 crore, marking a 13x increase YoY • Core operations maintained stability, aligned with Revenue Impact The EBITA Margin for Plastic Packaging Waste Division dec
Slide 18: The Way Ahead for RACE: Demerger
The Way Ahead for RACE: DEMERGER To make operations more focused and making capital allocation more efficient, The Board of the company has proposed the demerger of existing business segments of RACE into three entities: Proposed Demerger of Business Segments Plastic Biomass Recycled packaging Briqu
Slide 19: Preferred Choice of Leading Recyclers
Preferred Choice of Leading Recyclers Strategic Recycler Partnerships + + RACE + Rudra Ecovation Ltd. RACE + Ganesha Ecosphere Ltd (India’s Only Integrated recycler recycling (Ganesha is India’s Largest PET recycler with total installed capacity of 8.8 Million PET Bottle Daily) ~2.0 lac TPA) Setting
Slide 20: The Way Ahead for RACE: Inorganic Growth
The Way Ahead for RACE: Inorganic Growth Announcement Race to Invest in Silverline for Strategic Expansion Race is excited to announce its strategic investment in Silverline, a leading supplier of recyclable materials in Tamil Nadu. This strategic investment aligns with our long-term vision to stren
Slide 21: Bridging the Sustainability Gap: Organizing the Unorganized
Bridging the Sustainability Gap: Organizing the Unorganized Current Challenge: The majority of India's recycled waste is managed by the informal sector, often lacking adherence to health, safety, and governance standards. Regulatory Shift: SEBI's mandates are driving India towards ESG compliance, wi
Slide 22: Opportunities & Challenges
Race at the forefront for upcoming Opportunities & Challenges Growing demand for ESG EPR norms require 1/3rd of Technology will play a OPPORTUNITY Bottle to Bottle Manufacturing. complaint and organized recycled material to be huge role in organizing Waste Supply Chain used for packaging material th
Slide 23: Our Business Model
Our Business Model Race Operating Process Suppliers Collection of waste Transfer of waste to Material Seggerated Using by RACE Material Recovery Facility state of the art Technology Our Business Segments Plastic Aggregating & supplying the plastic packaging packaging waste to the recyclers through o
Slide 24: Our Strategic Pillars of Excellence
Our Strategic Pillars of Excellence ESG Focused Organizing the Unorganized Voluntary adoption to SEBI’s BRSR Suppliers’ Due Diligence End to End Digitization Certifications Traceability initiative via RACE App Innovation & Technology 22
Slide 25: Progressing towards digitization via RACE APP
Progressing towards digitization via RACE APP • Our company is strongly committed to enhancing its technological capabilities. • Further, in alignment with our vision to optimize the overall efficiency and digitize the existing value chain, our organization has developed the "RACE App“ currently ava
Slide 26: Race Ecochain Joins Indo-Thai Dialogue on Circular Economy
Announcement Race Ecochain Ltd. Joins Indo-Thai Dialogue on Circular Economy. Our Managing Director, Mr. Sunil Kumar Malik, was invited as a delegate to the recent Indo-Thai Collaboration event organized in Bangkok. This gathering brought together sustainability pioneers from across Asia, aiming to
Slide 27: Our Progress towards ESG Journey
Our Progress towards ESG Journey “Progress Towards Business Sustainability” Voluntary filing of SEBI BRSR: Our Undergoing ESG assessment, our company has recently Here are some of our ongoing company has voluntarily adopted received a score of 58 out of 100 based on CareEdge initiatives aimed at est
Slide 28: Thank You
Thank You www.raceecochain.com