Engro Fertilizers Ltd. · PSX:EFERT
Engro Fertilizers — Q1 2024 Earnings Presentation
15 slides from Engro Fertilizers's earnings presentation, 2024
Slide 1: Agenda
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Agenda 1 EFERT Highlights Industry & EFERT Business 2 Performance 3 Contributions & Challenges 4 Way Forward 5 Q&A Session www.engro.com
Slide 2: 1. EFERT Highlights
Q3 2023 Engro Briefing– Security Analyst Briefing Q1 2024 Analyst Limited Fertilizers 1. EFERT Highlights www.engro.com
Slide 3: Financial Highlights
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Financial Highlights YTD Revenue Profitability EPS Financial Highlights PKR 73.8 bn PKR 10.8 Bn PKR 8.08 /share 68% vs SPLY 144% vs SPLY vs. 3.50 SPLY EFERT has announced an interim dividend of PKR 8.1/share for Q1 2024, compared to PKR 3
Slide 4: Key levers for higher profitability vs SPLY
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Key levers for higher profitability vs SPLY 84% 47% (63%) DAP Zabardast Urea Lower Finance Cost Volume Growth Volume Growth (PKR 160Mn vs PKR 435Mn SPLY) (83KT vs 45KT in SPLY) (140KT vs 81KT in SPLY) www.engro.com 4
Slide 5: Urea Production & Sales Q1 FY 2024
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Urea Production & Sales Q1 FY 2024 UREA – Q1 PRODUCTION' KT UREA – Q1 SALES' KT Highest Ever Q1 Production 605 KT 605 601 549 551 548 577 572 568 523 171 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 www.engro.com 5
Slide 6: 2. Industry & EFERT Business Performance
Q3 2023 Engro Briefing– Security Analyst Briefing Q1 2024 Analyst Limited Fertilizers 2. Industry & EFERT Business Performance www.engro.com
Slide 7: Urea Industry & Market Share Q1 FY 2024
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Urea Industry & Market Share Q1 FY 2024 Urea Industry Sales (KT) Urea Market Share (%) 13% 12% 5% 8% 13% 1,824 44% 40% 1,620 34% 30% Q1 2023 Q1 2024 Q1 2023 Q1 2024 EFERT FFC Fatima Agri-tech NFML Urea industry has grown by 13% vs SPLY Ur
Slide 8: DAP Industry & Market Share Q1 FY 2024
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 DAP Industry & Market Share Q1 FY 2024 DAP Industry Sales DAP Market Share (%) 7% 2% 4% 10% 283 65% 237 64% 29% 19% Q1 2023 Q1 2024 Urea Demand FY OL Q1 2023 Q1 2024 EFERT FFC Fatima Private DAP industry has grown by 19% vs SPLY DAP marke
Slide 9: 3. Contributions & Challenges
Q3 2023 Engro Briefing– Security Analyst Briefing Q1 2024 Analyst Limited Fertilizers 3.Contributions & Challenges www.engro.com
Slide 10: Contributing to the Nation
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Contributing to the Nation 1. Imported Urea purchase from the Government 2. Contribution to the National Exchequer • Urea shortage forced the Government to import • The Company contributed ~PKR 10.9Bn* towards ~220 KT. the National Excheq
Slide 11: Fertilizer Sector - shielding farmers from higher costs of International Urea
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Fertilizer Sector - shielding farmers from higher costs of International Urea Urea Prices - Local & International Even after a 10,000 substantial movement in landed equivalent prices, local urea is significantly cheaper 7,909 8,000 7,246
Slide 12: Gas Pricing Update
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Gas Pricing Update The Government has increased gas price for some Fertilizer players, including Engro Fertilizers, from PKR 580/MMBtu to PKR 1,597/MMBtu. Gas price increase is only for 40% represents major players, 60% of the sector. Rem
Slide 13: 4. Way Forward
Q3 2023 Engro Briefing– Security Analyst Briefing Q1 2024 Analyst Limited Fertilizers 4. Way Forward www.engro.com
Slide 14: Way Forward
Engro Fertilizers Limited – Security Analyst Briefing Q1 2024 Way Forward Pressure Enhancement Facility EnVen Turn Around (In progress) • Commenced on April 22, 2024, and is expected to • USD 300Mn CAPEX by the fertilizer industry to continue till June 14, 2024. enhance gas pressure from Mari field,
Slide 15: Q&A Session
Session