Chembond Chemicals Limited · NSE:CHEMBONDCH
Chembond Chemicals — Investor Presentation (June 2016)
46 slides from Chembond Chemicals's investor presentation, June 2016
Slide 1: Chembond Chemicals Limited
Chembond Chemicals Limited About us and our activities June 2016
Slide 2: Welcome
Welcome • Chembond Chemicals Limited is in its 42nd year of operations • Consistent performer; dividend paying since inception • Pan-India manufacturing, sales and service footprint • R&D and Head Office in Navi Mumbai, Maharashtra • Diversified specialty performance chemicals portfolio
Slide 3: Core segments we operate in
• Core segments we operate in: - Water - Animal Nutrition - Construction - Coatings and Adhesives • Family driven, professionally managed agile organization • Senior leadership and field team work along with customers • Fair risk appetite as new business lines are evaluated and incubated continuousl
Slide 4: Slides following this would walk you through
• Slides following this would walk you through: • Water treatment chemicals business • Animal health and nutrition business • Construction chemicals business • Industrial technologies business • Financial performance
Slide 5: Water Treatment
Water Treatment Chembond Chemicals Limited June 2016
Slide 6: Water
Water • Water is extensively used by industries • Different areas / applications of water: • Raw Water, Boiler Water, Cooling Water, Waste Water, RO membrane • Raw water quality and availability varies across the country / world • Treatment of raw water for any further use thus becomes critical • In
Slide 7: What We Do
What We Do • Specialty Water Treatment chemicals • Raw water treatment coagulants • Boiler water treatment formulations • Cooling water treatment products • Waste water treatment flocculants • Reverse Osmosis (RO) membrane treatment chemicals • Water treatment equipment • Filtration systems for susp
Slide 8: With you for your water treatment needs
Slide 9: Application Areas
Application Areas LEerrvon
Slide 10: Complete Water Treatment solutions
Complete Water Treatment solutions Chembond Clean Water Technologies Ltd Chembond Solenis Water Technologies Ltd Complete Bio- Water Equipment remediation Chemicals Treatment solutions
Slide 11: Superior Performance = Customer Satisfaction
Superior Performance = Customer Satisfaction Superior Technical Products Monitoring Perform- Services ance
Slide 12: Customer Segments
Customer Segments Petro- Cement Fertilizer Pulp & Paper chemical Commercial & Institutional Refining Steel Speciality Pharma, Food & Textiles & Dyeing Chemicals Power Beverage, Dairy
Slide 13: Our Silver Bullets
Our Silver Bullets • Integrated solutions – equipment, bio-remediation and chemicals • Trained, Empowered and Dedicated services team • Pioneer in India for leading edge technology introductions: • Glassy Zinc Polyphosphate corrosion inhibitor • Chlorine Dioxide based oxidizing biocide • Multicompon
Slide 14: Recent Introductions
Recent Introductions f-
Slide 15: Animal Health & Nutrition
Animal Health & Nutrition Chembond Chemicals Limited June 2016
Slide 16: About
About • Chembond entered this segment in 2010 • Produce nutritional supplements for animal health industry • Catering mainly to the poultry industry; launch of products for dairy segment in 2016 • Exclusive agreement with Premex, USA for some products • Presence across India with manufacturing and s
Slide 17: Livestock in India
Livestock in India 1st in Milk Production 128 Mn Ton 3rd in Egg Production 2nd in freshwater aquaculture 63 Billion Per Capita/Year Chicken – 2.5 kg, Eggs – 56, 4th in Broiler Production – Milk – 291 gm 2808 Mn/2012 Self sufficient in most feed ingredients
Slide 18: Indian Market by Segment
Indian Market by Segment BioSecurity Products 29% Therapeutic 41% Feed Additives 30% Market Size (2014) - Rs. 4,200 cr Est. in 2018 – Rs. 6,000 cr
Slide 19: Indian Market by Species
Indian Market by Species 5% 3% 2% Cattle 40% 50% Poultry Pets Aqua Others
Slide 20: Product Range
Product Range Enzymes, Probiotics, α D3 and other Vitamin Prebiotics Concentrates, Premixes Disinfectants, Minerals, incl. Water Purification, Chelated Minerals Sanitizers products that enhance nutrition, reduce waste, improve mortality rates
Slide 21: Construction Chemicals
Construction Chemicals Chembond Chemicals Limited June 2016
Slide 22: Construction
Construction • Largest segment in the economy • Different segments: • Infrastructure, Industrial, Residential, Repairs and Renovation • Cement and aggregate quality, seasonal changes, geography and project requirements are dominant factors • Quality control is crucial but least paid attention to • P
Slide 23: What We Do
What We Do • Chemicals for a wide range of applications • Admixtures for concrete modification • Waterproofing solutions for under-construction and built-up structures • Polysulphide, PU and Acrylic based sealants • Floor treatment and repair • Cementitious and epoxy based concrete repair mortars •
Slide 24: Balancing Expectations with Factors
Balancing Expectations with Factors Factors Expectations Input Quality Adaptability Climate Cost Standards Performance Location Logistics Localize and Adapt!
Slide 25: Customer Segments - Infrastructure
Customer Segments - Infrastructure Industrial & Roads Bridges Engineering Metro Ports & Jetties Industrial Rail Dams Airports
Slide 26: Slide 26
Slide 27: Customer Segments - Other
Customer Segments - Other Applicators Builders Contractors Industrial Influencers Distributors
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Slide 29: Advantage Chembond
Advantage Chembond + Multi location manufacturing and logistics + Localization and refinement ability + Better than industry product margins + Regular new product introductions + Maintaining differentiation in a competitive and fragmented market
Slide 30: Industrial Technologies
Industrial Technologies Chembond Chemicals Limited June 2016
Slide 31: About Industrial Technologies
About Industrial Technologies • Products for use by industry, • by OEM’s – application on parts to improve quality, reduce costs, & improve productivity • for maintenance, repair, and overhaul (MRO) of equipment and machinery • Chembond, by way of its history in metal treatment, has strong relations
Slide 32: The Industrial Technologies division manufactures and supplies a wide range of products
The Industrial Technologies division manufactures and supplies a wide range of products… epoxy, pu, & other performance resin based coatings High Performance Coatings for corrosion protection and industrial / commercial floor coatings thread lockers, retaining compounds, thread sealants, Adhesives &
Slide 33: High Performance Coatings
High Performance Coatings for Corrosion Protection \ 5 a 5
Slide 34: Industrial Coatings
Industrial Coatings • Waterborne and solvent based coatings for industrial parts like engines, chassis, structures, transformers, automobile parts, agricultural equipment, construction equipment, and many more applications • Leaders in water based paints in India, which eliminate solvent emissions t
Slide 35: Adhesives & Sealants
Adhesives & Sealants i? * wiloractit THREADLOCKER EDU SEER] OUTIt
Slide 36: Financial Information
Financial Information Chembond Chemicals Limited June 2016
Slide 37: Net Sales
Net Sales Rs. In Lacs Standalone- CAGR- 11.1% Standalone Consolidated Consolidated- CAGR- 9.9% 29,432 26,232 26,941 26,341 22,845 20,761 21,429 21,435 20,132 17,505 17,447 14,218 15,197 13,132 13,224 10,316 11,092 11,442 9,552 7,421 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 201
Slide 38: Product Margin %
Product Margin % Standalone Consolidated 38.84 38.22 36.65 36.12 36.99 35.52 35.29 35.07 32.51 31.22 18.78 17.94 17.02 17.54 18.20 17.89 15.83 16.45 16.75 16.41 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16
Slide 39: EBITDA
EBITDA Rs. In Lacs Standalone- CAGR- 8.9% Standalone Consolidated Consolidated- CAGR- 9.4% 2,975 2,713 2,801 2,609 2,288 2,203 1,751 1,660 1,413 1,150 1,185 1,177 1,123 997 907 893 774 788 660 483 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15
Slide 40: PBT
PBT Rs. In Lacs Standalone Consolidated 2,478 2,233 2,035 2,008 1,536 1,577 1,519 1,257 1,322 1,015 816 801 581 641 647 574 555 414 419 411 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15
Slide 41: Debt/ Equity Ratio
Debt/ Equity Ratio Standalone Consolidated 0.53 0.50 0.51 0.51 0.36 0.42 0.34 0.23 0.04 0.05 2011-12 2012-13 2013-14 2014-15 2015-16
Slide 42: Fixed Assets - Gross
Fixed Assets - Gross Rs. In Lacs Standalone Consolidated 6,884 7,142 6,804 6,013 5,226 3,928 4,206 3,135 5,345 4,903 5,025 4,301 1,991 3,633 2,362 2,588 2,730 1,371 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16
Slide 43: 5 Year Financial Performance - Standalone
5 Year Financial Performance - Standalone Highlights 2015-16 2014-15 2013-14 2012-13 2011-12 Rs. In Lacs Operating Result Revenue From Operations 21,564 21,675 20,356 17,690 15,369 Other Income 3,459 330 288 424 399 Finance Cost 119 274 304 292 238 Depreciation 269 276 192 182 139 PBT 18,567 574 411
Slide 44: 5 Year Financial Performance - Consolidated
5 Year Financial Performance - Consolidated Highlights 2015-16 2014-15 2013-14 2012-13 2011-12 Rs. In Lacs Operating Result Revenue From Operations 27,105 30,023 27,446 26,606 23,128 Other Income 3,321 138 121 121 139 Finance Cost 181 361 403 452 364 Depreciation 355 432 281 259 210 PBT 19,484 2,008
Slide 45: 5 Year Returns
5 Year Returns Tue, 28 Jun 2016 x CHEMBOND CHEM | sensex BSE BSE 26,524.55 (43.43%) 446.40 (10.10%) jul 11 Jan 2 jul 12 Jan 13 Jul 13 jan 14 jul 14 Jan 15 jul ts Jan 16 1D 1W 1M 3M 6M 1Y 2Y B@ MAX chembond
Slide 46: Contact Us
Contact Us Chembond Chemicals Limited Chembond Centre EL-71 Mahape MIDC Navi Mumbai 400710. INDIA www.chembondindia.com T: +91 22 39213000 - 04 F: +91 22 27681294 E: cs@chembondindia.com
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