E.i.d.-parry (india) Limited · NSE:EIDPARRY
E.i.d.-parry (india) — Investor Presentation (December 2023)
40 slides from E.i.d.-parry (india)'s investor presentation, December 2023
Slide 1: E.I.D Parry (India) Ltd. Investor presentation – Dec'23
E.I.D Parry (India) Ltd. Investor presentation – Dec’23 1
Slide 2: Safe Harbour
E.I.D. Parry (India) Ltd.- Safe Harbour Certain statements made in this document may constitute forward-looking statements. These forward- looking statements are based on the currently held beliefs and assumptions of the management of the Company, which are expressed in good faith and, in their opin
Slide 3: Murugappa Group
Murugappa Group 122 USD 9B USD 37B* FY23 Consolidated Group Market Years Turnover (USD bn.) cap. (USD bn) 29 10 Countries 40 Businesses Listed entities 100+ Manufacturing 20mn+ 73,000 locations Farmers Work-force *Group Market Cap as on 1st Nov’23 3 3
Slide 4: About us
E.I.D. Parry (India) Ltd.- About us Employees Legacy 2500+ 235+ years Market Cap.* Sugar mills Rs.9,500Cr. 6 Revenue# Distilleries Rs.5,617Cr. 5 *Market cap. as on 20th Nov; #FY23 consolidated revenue excl. Coromandel 4
Slide 5: Capacities
E.I.D. Parry (India) Ltd.- Capacities Expansion Location Sugar Power Distillery underway Nellikuppam- TN 7500 TCD 25 MW 75 klpd 45 klpd Pugalur- TN 4800 TCD 22 MW Sivaganga- TN 64 klpd Sankili- AP 5000 TCD 16 MW 168 klpd Haliyal- KA 12000 TCD 49 MW 50 klpd 120 klpd Bagalkot- KA 6000 TCD 16 MW 60 klp
Slide 6: Industry Analysis
Ps Industry Analysis
Slide 7: Global Sugar Balance & Prices
Global Sugar Balance & Prices Global sugar balance for 22-23 is at a surplus of 1.95 MMTRV against previously estimated surplus of 1MMTRV, majorly due to increased production estimates from central-south Brazil, Turkey, Ukraine & to some extent from Kenya. For 23-24 as well, there is a significant
Slide 8: Indian Sugar Balance
Indian Sugar Balance Opening Stock Season Production Domestic Consumption Exports Closing Stock Sugar Year - 1st Oct (LMT) (LMT) (LMT) (LMT) (LMT) 2017-18 39 327 254 5 107 2018-19 107 332 255 38 146 2019-20 146 274 253 60 108 2020-21 108 312 266 72 82 2021-22 82 357 273 110 55 2022-23 55 328 275 60
Slide 9: Key Policies- GoI
Key Policies- GoI SY 2021-22 SY 2022-23 Key Policies SY 2023-24 31 31 MSP- (INR/kg of sugar) 31 2900 for 3050 for 3150 for 10.00% 10.25% FRP- (INR/MT of cane) 10.25% recovery recovery recovery Release quota for Domestic Yes Yes Yes Sales 11 MMT 6MMT Sugar Exports Restricted (OGL) In March 2020, Ni
Slide 10: Sugar Strategies
murugappa Sugar Strategies
Slide 11: Key sugar strategies adopted
Key sugar strategies adopted Increase Cane Volume Maximize Sugar Realisation Value-added products in Retail & Grow the cane volumes and improve the Institutions, to realise better Premium varietal mix in command areas Grow the packaged retail business through distribution & brand building Rati
Slide 12: Sugar Strategy- 1. Increase Cane Volume
Sugar Strategy- 1. Increase Cane Volume Cane Crushed [LMT] & Recovery % Current Year performance 50.21 51.81 11.00% 39.69 10.50% Cane 36.72 37.18 36.72 10.6% Gross 10.6% FY Crushed 10.1% 10.3% 27 25 10.00% recovery % 10.0% 10.0% (LMT) 18 19 9.50% 20 20 5 5 4 5 9.00% H1 FY 23 11.07 8.98% 5 5 18 23 8.
Slide 13: Sugar Strategy- 2. Maximize realisation from sugar
Sugar Strategy- 2. Maximize realisation from sugar Sugar Domestic Sales Mix (%) 5% 10% 18% 21% 22% 25% 27% 28% 37% 48% Retail and institutional saliency is 42% 59% 50% 49% 50% 47% consistently going-up 58% 42% 37% 23% 28% 24% 25% 25% FY18 FY19 FY20 FY21 FY22 FY'23 H1'23 H1'24 Trade Institutional R
Slide 14: Sugar Strategy- 2. Maximize realisation from sugar
Sugar Strategy- 2. Maximize realisation from sugar EID RETAIL PRODUCT SUITE Superior Health Benefit Parrys Jaggery Natural Brown Low GI - Sugar Rs.120/Kg Premium Imagery Jaggery - Superfine Amrit – Rs. Rs. 110/Kg Premium Imagery Step up to PPRS Superfine - 100/Kg branded white Convert sugar PPRS – R
Slide 15: Sugar Strategy- 2. Maximize realisation from sugar
Sugar Strategy- 2. Maximize realisation from sugar Portfolio Buildup Distribution Growth Focus in South India Build portfolio of Next gen sweetener Consolidate in Metro, Class1 and Class 2 products to towns Straddle across price points Focus on Modern Trade and Self-service Meet Consumer
Slide 16: Retail packs placement in Modern Trade outlets
Retail packs placement in Modern Trade outlets
Slide 17: Retail packs placement in Modern Trade outlets
Retail packs placement in Modern Trade outlets
Slide 18: Sugar Strategy- 2. Maximize realisation from sugar
Sugar Strategy- 2. Maximize realisation from sugar Retail Sales [MT] Retail vs Trade Price (INR/Kg) 120000 80 70 39.94 1,00,419 60 35.24 35.94 36.84 36.73 100000 50 34 40 30 80000 36.04 32.71 33.08 33.18 20 29.47 32.59 72077 10 59643 0 60000 53688 FY18 FY19 FY20 FY21 FY22 FY23 Trade Price Retail Rea
Slide 19: Sugar Strategy- 3. Maximize EBP Opportunity
Sugar Strategy- 3. Maximize EBP Opportunity Distillery sales mix 609 LL 662 LL 627 LL 594 LL 1,044 LL Current Year performance 847 LL FY ENA Ethanol Total 26% 23% 31% 32% H1 FY 23 162 282 444 56% 62% (LL) H1 FY 24 262 376 638 (LL) Ethanol volumes being maximized to 74% 77% 69% 68% capitalize on th
Slide 20: Sugar Strategy- 4. Rationalize Fixed cost
Sugar Strategy- 4. Rationalize Fixed cost (INR/MT of Cane crush) Better efficiencies and volumes help rationalize the Fixed cost per MT of cane crush 769 732 695 663 629 537 FY'18 FY'19 FY'20 FY'21 FY'22 FY'23 FY18 FY19 FY20 FY21 FY22 FY23 Cane Crushed (LMT) 36.72 37.18 36.72 36.69 50.21 51.81 20
Slide 21: Company Performance
COMPANY PERFORMANCE 21
Slide 22: Sugar division sales- Sugar & Power
Sugar division sales- Sugar & Power Sugar Sales (LMT) & Avg Realization (INR/Kg) 4.94 5.19 Current Year performance 4.04 4.00 3.84 3.72 Sugar Avg. 35.97 FY Sales realisation (LMT) (INR/kg) 36.82 34.50 34.10 33.19 H1 FY 23 2.61 35.56 31.03 H1 FY 24 2.48 37.00 FY'18 FY'19 FY'20 FY'21 FY'22 FY'23 Total
Slide 23: Sugar division sales- Distillery
Sugar division sales- Distillery Distillery Sales [LL] & Avg Realization [INR/Ltr] Current Year performance Avg. Distillery 1054 FY Realisation sales (LL) (INR/L) 847 H1 FY 23 444 58.11 662 609 627 594 H1 FY 24 638 60.84 59.70 60.39 57.10 55.65 49.06 46.12 FY'18 FY'19 FY'20 FY'21 FY'22 FY'23 Sales A
Slide 24: 5 Year Standalone performance
5 Year Standalone performance EID Financial Performance FY’19 FY’20 FY’21 FY’22 FY’23 H1 FY’23 H1 FY’24 INR in Cr Revenue from Operations 1,845 1,875 2,024 2,489 2,895 1,363 1,424 EBIDTA 414 235 1,271 478 416 181 116 FY’19 PBIT includes PBIT (before exceptional) 57 116 436 372 392 68 45 • Sale Bio P
Slide 25: Standalone Debt Position
Standalone Debt Position Standalone debt position (INR Cr) 1200 Finance Cost * (INR Cr) 1,018 1,035 1000 Long term loan is for 160 136 832 expansion projects 140 113 113 800 432 492 120 93 375 555 100 600 508 80 60 46 400 355 36 586 353 40 543 200 457 105 20 200 4 155 0 101 0 FY'18 FY'19 FY'20 FY'21
Slide 26: Consolidated Nutra Performance
Consolidated Nutra Performance
Slide 27: Nutraceuticals- Product Mix
Nutraceuticals- Product Mix Nutraceuticals Product-mix (INR Cr) 300 250 128 200 114 143 75 67 97 150 80 100 74 111 117 96 65 83 53 50 28 69 28 44 51 30 27 30 35 21 0 FY18 FY19 FY20 FY21 FY22 FY23 H1'23 H1'24 Greens Joint Health Prostrate Health 28
Slide 28: Nutraceuticals- Initiatives
Nutraceuticals- Initiatives Saw Palmetto Saw Palmetto Growth Significant Market share - growth through New Benefit Spirulina 10% growth in FY’23 in the Segment – Hair Wellness • Consolidation of Market core saw palmetto B2B Position in USA– Sales 150 mt vertical (Sales INR 143 Crs) • Market developm
Slide 29: Consolidated Nutraceuticals Performance
Consolidated Nutraceuticals Performance Revenue from operations (INR Crore) Current Year performance 300 277 254 259 FY Revenue from 250 PBIT 216 210 210 INR Cr operation 200 150 H1 FY 23 137 (7) 100 H1 FY 24 102 9 50 0 FY18 FY19 FY20 FY21 FY22 FY23 40 PBIT (INR Crore) Losses in 22-23 - Due to imp
Slide 30: Sugar Refinery: Sweeter up the value chain
Sugar Refinery Sweeter up the value chain Adding value & volume to manage restricted spread environments, increase profitability and create premium customer segments 31
Slide 31: Refinery - Business Profile
Refinery - Business Profile Customers Overview Capacity: 9.50 LMT FY 23 Sales: 7.20 LMT FY23 Revenue: INR 2870 Crore Refinery Business Profile Certifications Suppliers Raw Sugar: Ex Brazil/India Coal: Ex Indonesia 32
Slide 32: Global sugar consumption grows; white premiums up
Global Sugar consumption continues to grow, Supply Deficit likely in near term, White premiums are up consequently.. Raw Sugar Prices c/lb Highest in 12 years Raw 39 Source: Reuters White Premium Trends (USD/MT) Target 130 • El Nino weather conditions have reduced crop 127 Market 120 110 & sugar pro
Slide 33: Refinery- Performance- Current year
Refinery- Performance- Current year Parameter H1 FY’23 H1 FY’24 Production (LMT) 3.22 3.80 Parameter H1 FY’23 H1 FY’24 Sales (LMT) 3.50 3.99 Spread USD/MT 42 48 Revenue from operation ($M) 171 230 Sales (LMT) 3.50 3.99 EBITDA ($M) (9.2) (0.9) Container Sales % 2 20 EBIT ($M) (10.9) (7.2) PBT ($M) (1
Slide 34: Consolidated Financial Performance
Consolidated Financial Performance 39
Slide 35: Consolidated Financials (excluding Coromandel International Ltd.)
Consolidated Financials (excluding Coromandel International Ltd.) EID Financial Performance FY’20 FY’21 FY’22 FY’23 H1 FY’23 H1 FY’24 INR in Cr Revenue from Operations 3,996 4,383 4,412 5,617 2,627 3,405 EBIDTA 307 1,259 517 368 46 107 PBIT (before exceptional items) 145 301 370 128 -87 14 PBIT 145
Slide 36: Consolidated external Borrowings
Consolidated external Borrowings (excluding Coromandel International) Segment (INR Cr) FY’18 FY’19 FY’20 FY’21 FY’22 FY’23 Sugar 128 157 287 486 104 508 Refinery 717 1,311 1,187 203 647 614 Nutra 23 46 68 68 70 65 Others 873 655 731 39 - - Total 1,741 2,169 2,273 796 821 1,187 Segment (INR Cr) H1 FY
Slide 37: Consolidated ROCE
Consolidated ROCE (excluding Coromandel International) FY 19-20 FY 20-21 FY 21-22 FY 22-23 Capital Capital Capital Capital ROCE ROCE ROCE ROCE Employed Employed Employed Employed (%) (%) (%) (%) (INR Cr) (INR Cr) (INR Cr) (INR Cr) Sugar 1456 1% 1593 5% 1425 8% 2001 9% Refinery 1133 4% 332 (30%) 511
Slide 38: Summary
Summary Better sweating of assets and Building a platform for maximize operating Consumer Product efficiencies Group (CPG) Cost Efficient refinery Operations Distillery Capacity- Significant investment to capitalize on EBP Better cash flow Higher mix of retail & management- Help insti sales with lai
Slide 39: Glossary
Glossary ACRONYMS AP Andhra Pradesh MMT Million Metric Tonne CoP Cost of Production Mn Million Cr Crore MSP Minimum Selling Price EBIT Earnings Before Interest & Tax MT Metric Tonne Earnings Before Interest, Tax & EBITDA MW Mega Watt Depreciation EBP Ethanol Blending Program PAT Profit After Tax FCF
Slide 40: Thank You
Thank You Corporate Office: For Investor relations Contact: 234 NSC Bose Road, biswamohanrath@parry.murugappa.com Chennai-01 45
E.I.D.-Parry (India) — Investor Presentation (December 2023) on 6ix