Slide 1: Stock exchange cover letter on financial results presentation
16th June, 2022 Ref. No.: AIL/SE/05/2022-23 To, BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra Kurla Complex, Bandra (E), Mumbai-400001, MH. Mumbai-400051, MH. Scrip Code: 543534 Symbol: AETHER Dear Madam / Sir, Sub.: Presen
Slide 2: Q4 / FY22 Presentation
Q4 / FY22 Presentation 16 June, 2022
Slide 3: Agenda
01 02 03 About Financial Key Aether. Summary. Investment Highlights. Agenda 04 05 Future Annexure. Expansions.
Slide 4: About Aether
About Aether.
Slide 5: Core Competencies 8x8
Core Competencies Chemistry Sweet Spot Technology Grignard's and Organolithiations Continuous Reaction Ethylene Oxide Chemistry Batch Reaction - Tandem Grignard / Ethylene Oxide High Pressure Reaction Isobutylene Chemistry Chemistry Technology Fixed Bed Reaction Hydrogenation Cryogenic Reaction - As
Slide 6: Product Selection
Sweet Spot Product Selection Core competencies of chemistry, technology and systems No active manufacturer in India, made for 1st time in India Minimum 4 step sequences of manufacturing and infrastructure oriented Generate adequate revenue at maturity Market leading position at product maturity Prod
Slide 7: Key Pillars
Key Pillars • Bachelor of Chemical Engineering • Bachelor of Chemical Technology - ICT from Institute of Chemical (UDCT, 2005), PhD in Organic Technology (UDCT, 1974) Chemistry from Michigan State • Distinguished Alumni Award by University (USA, 2010) UDCT (2010) • Prior to Aether, project leader in
Slide 8: Experienced board
Experienced board Kamalvijay Tulsian Jeevan Lal Nagori Leja Hattiangadi Dr. Amol Kulkarni Chairman, Non-Executive Non-Executive Independent Non-Executive Independent Non-Executive Independent Director Director Director Director Decades of experience in Experience 34 years in Decades of experience in
Slide 9: SMP AND KMP
SMP AND KMP • Bachelor’s Science (Purdue Univ. • Diploma Physics and Doctorate of USA) and PhD Organic Chemistry Natural Sciences (PhD), Univ. (Univ. Wisconsin, USA) Hannover (Germany) • > 30 years at The Dow Chemical • Decades of experience in Chemical Company (and subsidiaries) at Industry various
Slide 10: Research & Development
Research & Development R&D has been critical to success and a differentiating factor vis-à-vis competitors Experts at helm of R&D / CRAMS Consistently rising R&D expenditure MARCH-21 MARCH-22 7% 6.6% 130 164 4.3% Highly qualified employees, Highly qualified employees, 4.0% including including 2.6% (
Slide 11: Evolution
Evolution Phase 1 Phase 2 Phase 3 Concept to Create Concept to Build Build to Scale 2013 – 2016 2017 – 2021 2022 onwards • Incorporation of Company • Streamlined manufacturing for 22 products • Already initiated construction of 3rd • Vision to create niche in global chemical • Revenue grew from INR
Slide 12: Financial Summary
Financial Summary.
Slide 13: Business Segments
Business Segments 67 % 8 % 24 % Large Contract Research Contract / Scale and Manufacturing Exclusive Manufacturing Services - CRAMS Manufacturing Advanced intermediates and speciality Contract research, scale-up services, Manufacture under contractual chemicals with application across the technology
Slide 14: Aether Today
Aether Today Gross Revenue ( INR MM ) CAGR 52.9% 24.7% Agro 5,970 Pharma 4,538 3,038 59.5% By Application 4.2% Material Science 2,033 4.8% Photography 1,092 3.3% Coatings 3.5% Others FY18 FY19 FY20 FY21 FY22 EBITDA % 29.3% 29.3% FY22 Large scale 24.4% 24.3% 25.3% manufacturing Domestic 21.7% 35.3% 6
Slide 15: Key Performance Highlights
Key Performance Highlights ( INR MM ) Y-o-Y Q-o-Q 31.6% 26.8% 5,970 1,477 4,538 1,164 50.8% 16.4% 53.2% 13.8% 1,751 423 1,161 1,089 363 260 711 229 FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 • Revenue • EBITDA • PAT • Revenue • EBITDA • PAT Y-o-Y is comparison of FY22 with FY21 Q-o-
Slide 16: Historical Financial Trends
Historical Financial Trends ( INR MM ) 5,970 Revenue grown at a CAGR of 52.9% 4,498 ONE OF THE 3,018 EBITDA FASTEST GROWING grown at a CAGR of 64.9% SPECIALITY CHEMICAL 2,012 1,751 COMPANIES IN INDIA 1,092 1,161 737 1,089 496 237 711 PAT 400 78 233 grown at a CAGR of 93.3% FY18 FY19 FY20 FY21 FY22
Slide 17: Key Ratios
Key Ratios Key Metrics / Ratios FY22 FY21 Return on Net Worth (%)* 28.16% 40.79% Return on Capital Employed (%)* 23.96% 28.50% Debt / Equity Ratio (Times) 0.74 1.19 Current Ratio (Times) 1.69 1.44 Net Debt to EBITDA Ratio (Times) 2.08 2.35 * Reduction in FY22 is due to the net worth increase on acco
Slide 18: Financial Performance
Financial Performance Healthy Returns Turnover Ratios Debt Serving ( Times ) ( Times ) 61% 2.9 2.9 2.9 3.3 8.1 2.5 50% 51% 6.0 3.0 3.0 2.9 41% 2.5 2.5 3.4 6.8 3.0 28% 4.9 5.5 2.4 4.4 4.4 3.3 2.1 28% 25% 26% 2.2 24% 1.9 2.1 2.1 1.9 1.2 1.1 13% 0.1 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY1
Slide 19: Key Investment Highlights
Key Investment Highlights.
Slide 20: Differentiated Product Portfolio
Differentiated Product Portfolio Product Launch Month / Industr Application Company Global Market Position1 Year 4MEP Dec-2016 Pharma - Metoprolol Succinate / Metoprolol Tatrate Largest manufacturer in world, only manufacturer in India MMBC1 Sep-2019 Agro - Methoxyfenozide Second largest manufacture
Slide 21: Select Marquee Customer Base – Domestic and Global
Select Marquee Customer Base – Domestic and Global Pharmaceutical Oil and Gas Textiles High performance photography Material Science / Coatings Agrochemical Other Sectors TOSOH FineChem
Slide 22: High standards of quality for products
High standards of quality for products Vibrant infrastructure installed for environment and sustainability efforts • 100 KLPD in-house zero liquid discharge (ZLD) plant • Triple stage multiple effect evaporator (MEE) • Mechanical vapour recompression (MVR) plant • Agitated thin film evaporator (ATFE
Slide 23: Health and Safety, certifications
QEHS Health and Safety Prioritises health and safety of employees 5.3%* INDIAN GMP ISO 9001 of workforce as QC/ for Manufacturing For Quality QA/ADL Team • Undertaking hazard and operability studies before commencing 4.2%* UN GLOBAL COMPACT commercial production of new products • Dedicated team of s
Slide 24: Corporate Social Responsibility
Corporate Social Responsibility ASHRAM SHALA KALIBAL Inauguration Date - June 15, 2022 DANG, GUJARAT In the last three financial years, the Company has spent Rs. 2.07 Crores towards the CSR Activities, with main focus on education leading to construction of schools in the Dangs and Tapi Rural Areas.
Slide 25: Corporate Social Responsibility
Corporate Social Responsibility VANRAJ HIGH SCHOOL KALIBAL VINAY MANDIR GRAM BHARTI SCHOOL ASHRAM SHALA, BHENSKATRI DANG, GUJARAT KALAMKUI, TAPI, GUJARAT DANG, GUJARAT Inauguration Date - February 23, 2022 Inauguration Date - January 18, 2022 Inauguration Date - SEPTEMBER 15, 2021
Slide 26: Social Governance
Social Governance • Focused on: • Technically sound and extensively - Education ( especially for girls ) experienced Board members - Skill development - Healthcare • Transparency and accountability at each level • Principles of energy saving • Total spent of Rs. 20.65 MM and conservation, atom towar
Slide 27: Future Expansions
Future Expansions.
Slide 28: Expansion - Research & Development Facility
Expansion - Research & Development Facility Double expansion of the current Research & Development Labs operational from May 2022 Triple expansion of the same going on, to be operational from June 2022 end > 55 Fume Hoods being installed 164 + highly experienced people, including PhD / Scientists an
Slide 29: Expansion - One of the world's largest Pilot Plant Facility
Expansion - One of the world’s largest Pilot Plant Facility Triple expansion of the current pilot plant To be operational from June 2022 end > 100 Reactors being installed Batch and continuous technology Skid based pilot plants
Slide 30: Expansion - Site 3 Facility
Expansion - Site 3 Facility Located diagonally opposite to the current Manufacturing Facility 2 in GIDC, Sachin, Surat, Gujarat, India 8203 Civil work already completed Ordering of plant, machinery and equipment in progress 8202/1 Installation of plant, machinery and equipment along with other asset
Slide 31: Land Acquired
Land Acquired For future expansions Acquired land in auction Plot nos. 14 & 15, Panoli GIDC, Gujarat 125,000 sq. mtrs. / 31 acres (approximate) 12 times the land bank of the current land Easy proximity to NH8 54 Kms drive from current locations in Surat
Slide 32: Why Aether?
Why Aether ? The True R&D Driven Growth 1st Time In Market Story Approach Engines India Leading [8 x 8] Matrix of chemistry / Deep rooted R&D-led product Successfully launched 3 Most of our advanced Products technology competencies development team comprising business models in 5 years intermediates
Slide 33: Annexure
Annexure.
Slide 34: Profit and Loss Statement
Profit and Loss Statement INR MM FY19 FY20 FY21 FY22 Revenue from operations 2,012 3,018 4,498 5,900 Other income 21 20 40 70 Total income 2,033 3,038 4,538 5,970 Cost of goods sold # 1,096 1,562 2,307 2,880 Employee benefits expense 109 134 221 270 Other expenses 332 605 849 1,069 EBITDA 496 737 1,
Slide 35: Balance Sheet
Balance Sheet INR MM FY19 FY20 FY21 FY22 INR MM FY19 FY20 FY21 FY22 ASSETS EQUITY AND LIABILITIES Non-Current Assets Equity Property, plant and equipment 988 1,206 2,065 2,355 Equity share capital 86 86 101 1,127 Capital work-in-progress 12 172 2 577 Other equity 300 697 1,642 2,742 Investments + Ot
Slide 36: Cash Flow Statement
Cash Flow Statement INR MM FY19 FY20 FY21 FY22 Cash generated from operations 285 309 432 284 Net cash from operating activities 227 177 232 (54) Net cash (used in) investing activities (126) (480) (766) (1,509) Cash flow from financing activities Net cash used in financing activities (99) 326 554 1
Slide 37: Forward-looking statements disclaimer
Certain statements and opinions with respect to the anticipated future performance of the company in the presentation (“forward - looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be correct. Such forward -lo