Punjab Chemicals & Crop Protection Ltd. · NSE:PUNJABCHEM
Punjab Chemicals & Crop Protection — Q3 FY23 Earnings Presentation
27 slides from Punjab Chemicals & Crop Protection's earnings presentation, Jan 24, 2023
Slide 1: Exchange filing cover letter for investor presentation
PUNJAB CHEMICALS AND CROP PROTECTION LTD: CIN NO. L24231PB1975P1.C047063 Regd. Office & Works Milestone-18, Ambala-Kalka Road, Village & P.O. Bhankharpur, Derabassi, Distt SAS Nagar, Mohali (Punjab)-140201, INDIA Tele; 01762-280086, 522250, Fax: 01762-280070, B-mail: info@punjabchemicals.com, Websit
Slide 2: Q3 & 9M FY23 Result Presentation
Q3 & 9M FY23 RESULT PRESENTATION January 2023
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Punjab Chemicals & Crop Protection Ltd (the “Company’), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscrib
Slide 4: Table of Contents
1. Q3 & 9M FY23 Result Highlights 2. Company Overview 3. Business Strategy & TABLE OF CONTENTS Investment Rationale 4. Agrochemicals Industry Overview 5. Performance Track Record
Slide 5: Q3 & 9M FY23 Result Highlights
Q3 & 9M FY23 RESULT HIGHLIGHTS 4
Slide 6: Result Highlights
Result Highlights Management Commentary ▪ Gross margin continues to be impacted by rising raw material costs Q3 FY23 Revenue Q3 FY23 EBITDA ₹ 35 cr, ▪ Pricing pressure in certain markets led to ₹ 261 cr, EBITDA Margin 13.4% discounted sales which also had a bearing up 2.1% YoY on gross margin ▪ High
Slide 7: Q3 FY23 Financial Performance
Q3 FY23 Financial Performance YoY Comparison (In ₹ cr, except margin) REVENUE GEOGRAPHICAL SPLIT +2.1% 261 255 Domestic 120 105 255 261 International 135 156 Q3 FY22 Q3 FY23 Q3 FY22 Q3 FY23 EBITDA & EBITDA MARGIN PAT & PAT MARGIN 14.4% 13.4% 8.6% 7.7% 37 35 22 20 Q3 FY22 Q3 FY23 Q3 FY22 Q3 FY23
Slide 8: 9M FY23 Financial Performance
9M FY23 Financial Performance YoY Comparison (In ₹ cr, except margin) REVENUE GEOGRAPHICAL SPLIT 811 +20.2% 675 340 Domestic 332 811 675 471 International 343 9M FY22 9M FY23 9M FY22 9M FY23 PAT & PAT MARGIN EBITDA & EBITDA MARGIN 9.5% 7.1% 15.6% 12.5% 106 101 64 58 9M FY22 9M FY23 9M FY22 9M FY23
Slide 9: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (Rs.Crs) Q3 FY23 Q3 FY22 Y-o-Y Q2 FY23 Q-o-Q 9M FY23 9M FY22 Y-o-Y Revenue from Operations 260.5 255.0 2.1% 278.6 -6.5% 811.2 674.8 20.2% Cost of Material Consumed 174.8 164.3 164.7 533.4 429.6 Purchases of stock in trade 1.0 1.8 1.2 3.1 3.6 Change in
Slide 10: Company Overview
180 9004-2015 & 180 140012015 Certified Company COMPANY OVERVIEW
Slide 11: Our Company
Our Company Established in 1975 as Punjab United Pesticides & Chemical Limited (PUPCL), the company has now evolved into Punjab Our Vision Chemicals and Crop Protection Limited. We are an agrochemicals company with a rich history of over three decades with state of To become a major Indian player in
Slide 12: Evolution of Punjab Chemicals
Evolution of Punjab Chemicals Started in 1975 as a small company Gained Manufacturing expertise & Strategic shift in business model to to cater to the Domestic needs of diversified into Pharmaceuticals, focus on the growing opportunity in basic chemicals like Oxalic Acid & Intermediates, Industrial
Slide 13: Our Global Clientele
Our Global Clientele Target regions for next leg of growth: Latin America, South Asia, European Union
Slide 14: Manufacturing Facility - Derabassi
Manufacturing Facility - Derabassi Location Derabassi Established 1975 Area 24.1 acres Manpower 751 Capacity Utilisation (9M FY23) 81% Molecules: Metamitron, Metconazole, Diflufinican, Oxalic Acid, Benzoic Acid, Ethofumesate Annual Production (MT) & Capacity Utilisation (%) 82% 73% 80% 85% 81% 23,79
Slide 15: Manufacturing Facility - Lalru
Manufacturing Facility - Lalru Location Lalru Established 2003 Area 23.5 acres Manpower 456 Capacity Utilisation (9M FY23) 58% • Molecules: Albendazole, Ketosulphone, Drotavarin, Etoricoxib, Aminoacetonitrile • 6 acres available for future expansion • Capacity added in FY21: 3,000 MT Annual Producti
Slide 16: Leadership Team: Board of Directors
Leadership Team: Board of Directors Mr. Mukesh D. Patel , Chairman Mr. Shalil Shroff , Managing Director • Graduate in Chemical Engineering, experience in finance and • Management Diploma from University of Deopage (USA) Corporate management for more than 43 years • Joined in 1992 and Managing Direc
Slide 17: Leadership Team: Key Management Team
Leadership Team: Key Management Team Mr. Avtar Singh, Non-Executive Director Mr S.S. TIWARI, Non-Independent Director • BSc. – Punjab University; associated with the company for 40 years, • MSc, Diploma in Mgmt. • He is joint MD in Transpek Industry Limited and is on the Board of • 39 years associat
Slide 18: Business Strategy
PUNJAB CHEMICALS ¥ AND CROP PROTECTION LID. 180 004-2015 & 180 140012015 Certified Company
Slide 19: Business Model
Business Model • Target ₹ 50-100 cr revenue per • Offer attractive and cost- product effective solution • Target clients - Global • Long term engagement favorable Agrochemical leaders for both parties • Mid-sized companies with specific • Faster turnaround requirement Identify Niche Partner for Prod
Slide 20: Investment Rationale
Investment Rationale Low Cost Developed an efficient cost competitive process over the last Operator decade and are maximising export potential Availability of technically trained manpower , Manufacturing and extra production capacity to fulfil incremental demands R&D Capability Historical associati
Slide 21: Agrochemicals Industry Overview
AGROCHEMICALS INDUSTRY OVERVIEW 20
Slide 22: Indian Agrochemicals Industry
Indian Agrochemicals Industry India is the 4th largest producer and a net exporter of agrochemicals and has emerged as the 13th largest exporter of pesticides globally Outlook of pesticides production for technical grade (‘000 tonnes) * # * Segments 2021-22 2026-27P CAGR Insecticides 109 ~134 4%-4.5
Slide 23: Industry Opportunity
Industry Opportunity Anticipated Growth Expertise Anticipated Growth 2018 → 2025 Opportunity size Opportunity size Capitalising on Opportunity 2018 → 2025 Required/ WIP* ➢ Integrated Pest $ 32 bil → $ 49 bil Biologicals $2.8 bil → $7.1 bil Improvements in formulation, ease of use, Management (IPM) C
Slide 24: Performance Track Record
PERFORMANCE TRACK RECORD 23
Slide 25: Performance Track Record
Performance Track Record Revenue (₹ cr) EBITDA (₹ cr) PAT (₹ cr) 84 +17.1% 933 140 +35.4% +48.4% 643 678 96 49 550 496 66 42 42 17 17 11 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Revenue Split (₹ cr) EBITDA Margin (%) PAT Margin (%) Domestic Export 933 15.0 14.1 8.9
Slide 26: Performance Track Record
Performance Track Record Capital Structure (₹ cr) Working Capital Analysis (₹ cr) D/E 1.4x 1.0x 0.9x 0.6x 0.4x 32 45 44 31 36 87 80 95 85 82 68 81 91 88 101 226 -85 -103 -100 -102 -131 145 91 98 74 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Debt Equity Receivable Days Inventory Days Payable D
Slide 27: Thank You
Mr. Nachiket Kale Dr. S. Sriram nachiket.kale@linkintime.co.in Chief Financial Officer +91 99209 40808 investorhelp@punjabchemicals.com Mr. Bhavya Shah bhavya.shah@linkintime.co.in +91 80827 48577 THANK YOU LinkedIn Website
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