Bodal Chemicals Limited · NSE:BODALCHEM

Bodal Chemicals — Investor Presentation (May 2022)

43 slides from Bodal Chemicals's investor presentation, May 27, 2022

  1. Slide 1: Bodal Chemicals Ltd. Investor Presentation filing letter

    ® Bodal Chemicals Ltd. COLOURS. INTEGRATION. INNOVATION. By Online Submission Sec/22-23/21 Date:27/05/2022 To, To, The General Manager, The General Manager, BSE Ltd. National Stock Exchange of India Ltd. 1st Floor, New Trading Ring, Exchange Plaza, Rotunda Building, P.J. Tower, Plot no. C/1, G Block

  2. Slide 2: Investor Presentation – May 2022

    Bodal Chemicals Limited Investor Presentation – May 2022

  3. Slide 3: Safe Harbour

    Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Bodal Chemicals Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu

  4. Slide 4: Q4 & FY22 Highlights

    H Q4 & FY22 Highlights

  5. Slide 5: Business Highlights

    Business Highlights Rs 20,680 mn Rs 2,369 mn Rs 987 mn FY22 Revenue EBITDA PAT • The company's total revenue in FY22 was Rs 20,680 mn, a growth of 66% which is the highest-ever annual performance led by higher price realization and a better product mix. Indian manufacturers like us, which are highly

  6. Slide 6: Performance Highlights

    Performance Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 13.7% 9.4% 5.0% 4.8% Margin 5,999 591 564 288 Q4FY22 4,326 217 Performance Q4FY21 Q4FY22 Q4FY21 Q4FY22 Q4FY21 Q4FY22 9.6% 11.5% 3.2% 4.8% FY22 20,680 2,369 Performance 987 12,424 1,198 398 FY21 FY22 FY21 FY22 FY21 FY22 * O

  7. Slide 7: Revenue and Geographic Breakup

    Performance Highlights FY21 FY22 Revenue Rs 12,209 mn Revenue Rs 20,268 mn 11% 10% 5% 2% Basic Chemicals 10% 1% 0% Dyestuff Revenue Breakup 13% Dye Intermediates 33% 35% Caustic Soda 46% TCCA 36% Others Geographic Breakup 68% Domestc 69% 31% 32% Export * On Consolidated basis excluding other non ope

  8. Slide 8: Revenue and Production Volume by Segment

    Performance Highlights (Rs in mn) Basic Chemicals Dyestuff Dye Intermediates Chlor Alkali^ TCCA Revenue Breakup 1,955 6,995 7,354 2,540 346 5,570 1,247 3,990 629 1,904 2,132 745 104 112 392 1,377 1,867 80 0 0 Q4’21 Q4’22 FY’21 FY’22 Q4’21 Q4’22 FY’21 FY’22 Q4’21 Q4’22 FY’21 FY’22 Q4’21 Q4’22 FY’21 F

  9. Slide 9: Subsidiaries Performance Q4

    Subsidiaries Performance (Rs in mn) SPS BCTPL Sen-er Boya BCL China +101% -65% -15% -21% Revenue 565 31 175 41 148 33 282 11 Q4FY21 Q4 FY22 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Q4 FY21 Q4 FY22 SPS BCTPL Sener Boya Bodal-China Particulars (Rs in mn) Q4FY21 Q4FY22 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Sale

  10. Slide 10: Subsidiaries Performance FY22

    Subsidiaries Performance (Rs in mn) SPS BCTPL Sen-er Boya BCL China +62% +16% +124% -53% Revenue 1,590 142 851 356 733 981 67 159 FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 SPS BCTPL Sener Boya Bodal-China Particulars (Rs in mn) FY21 FY22 FY21 FY22 FY21 FY22 FY21 FY22 Sales 981.0 1,590.0 142.1 66.5 733

  11. Slide 11: Consolidated Profit & Loss Statement

    Consolidated Profit & Loss Statement Particulars (Rs. In Mn) Q4 FY22 Q4 FY21 Y-o-Y% FY22 FY21 Y-o-Y% Revenue from Operation 5,973.0 4,327.3 20,506.2 12,264.3 Other Income 25.9 -1.3 173.4 159.3 Total Revenue 5,998.8 4,326.0 38.7% 20,679.7 12,423.7 66.5% Raw Material Consumed 3,507.9 2,695.2 11,530.2

  12. Slide 12: Standalone Profit & Loss Statement

    Standalone Profit & Loss Statement Particulars (Rs. In Mn) Q4 FY22 Q4 FY21 Y-o-Y% FY22 FY21 Y-o-Y% Revenue from Operation 5,459.2 4,060.4 18,735.7 11,297.3 Other Income 28.8 24.7 178.9 180.0 Total Revenue 5,488.0 4,085.0 34.3% 18,914.6 11,477.3 64.8% Raw Material Consumed 3,112.6 2,538.0 10,258.5 7,

  13. Slide 13: Consolidated Balance Sheet

    Consolidated Balance Sheet Particulars (In Mn) Mar-22 Mar-21 Particulars (In Mn) Mar-22 Mar-21 ASSETS Equity & Liabilities Non-current assets 9,915.5 8,845.1 Equity 10,523.5 9,860.3 Property, Plant and Equipment 8,011.2 7,876.5 Equity Share capital 245.0 244.7 Right of use of assets 1.6 4.1 Other eq

  14. Slide 14: Company Overview

    \ \ tH, Company Overview _

  15. Slide 15: A Leading Chemical Manufacturer

    A Leading Chemical Manufacturer 3 10 Rs. 20,680 mn Decade Old Organization Manufacturing Facilities FY22 Consolidated Revenue 5% 10% Basic Chemicals 2% Dyestuff 13% Dye Intermediates 35% 70+ 10 Chlor Alkali Distributors Across India 7 Domestic + 3 Overseas Depots 36% TCCA Others Domestc 200+ 600+ 68

  16. Slide 16: Company Evolution

    Company Evolution 1989 1993 - 1994 1997-2004 2006-2010  Incorporated as JK  Acquired Unit II & Unit III  1997-Acquired two Units  2006-Listed on BSE via reverse merger Pharma at Unit II-A  Name changed to Bodal  2004 -Acquired Unit I & with Dintex Dye Chem (Unit I) Chemicals Pvt. Ltd. Forward

  17. Slide 17: Geographical Footprint

    Geographical Footprint ~32% of Total revenue comes from exports 45+ Countries Global Presence North America Europe Rest of Asia Revenue Breakup India Domestic Export 100% 100% 100% 100% 100% South America 56% 59% 67% 68% 69% 44% 41% 33% 32% 31% FY18 FY19 FY20 FY21 FY22 Note : Maps not to scale. All

  18. Slide 18: Longstanding Clientele

    Longstanding Clientele Basic Chemicals Dye Intermediates Dyestuffs 70+ 600+ Distributors Across India Customers 17

  19. Slide 19: Experienced Board & Management Team

    Experienced Board & Management Team Mr. Suresh J. Patel Mr. Bhavin S. Patel Mr. Ankit S. Patel Mr. Mayur Padhya Chairman & MD Executive Director Executive Director Chief Financial Officer Experience : 30 years Experience : 17 years Experience : 13 years Experience : 25 years Background : Background

  20. Slide 20: Awards & Certifications

    Awards & Certifications Awards Certificates 2005-06 2016-17  BCL has ISO 9001:2015 and ISO 14001:2015 certifications  Received the prestigious Chemexcil Gold Award for  Highest Self Manufacturing Turnover for Domestic and for their production of Dye intermediates & Dyestuffs. outstanding performa

  21. Slide 21: Product Overview

    Product Overview

  22. Slide 22: Diversified Product Portfolio

    Diversified Product Portfolio Existing Products New Products Additions Basic Chemicals Dye Intermediates Dyestuffs Chlor Alkali^ Sulphuric Acid* Benzene Derivative  Sulphuric Acid  Vinyl Sulphone &  Reactive Dyes  Caustic soda  MCB  Sulphuric Acid  Chlorosulphonic Acid Derivatives  Acid Dyes

  23. Slide 23: Manufacturing Value Chain

    Manufacturing Value Chain Input Materials Basic Chemicals Dye Intermediates Dyestuffs Trion Chemicals End Use Industry Water Vinyl Sulphone + Derivatives Reactive Dyes Textiles Para Nitro Aniline Ice H Acid Beta Naphthol Steam DASA Sulphuric Acid Power Acid Dyes Leather FC Acid Sulphur Chloro Sulpho

  24. Slide 24: Manufacturing Facilities

    Manufacturing Facilities Total 10 10 Depots In-house R&D Lab Total Employees Manufacturing Facilities (Exclusive Distribution Warehouse)  3 – Ahmedabad, Gujarat  1 - Ahmedabad, Gujarat  Domestic 1,650+  7 - India  4 - Vadodara, Gujarat  2 - Vadodara, Gujarat  Contract Labours ~1,500  1 - Chi

  25. Slide 25: Our Subsidiaries

    Our Subsidiaries (Rs in mn) Company FY22 Location Stake Details Name Revenue H-Acid - 3,000 MTPA | Vinyl Sulphone - 6,000 MTPA S P S Processors Private Limited (SPS) Uttar Pradesh, India 70%* Rs 1,590 mn Vinyl Sulphone's capacity expansion to 6,000 MTPA has been commercialized. Bodal Chemicals Tradi

  26. Slide 26: Key Growth Drivers

    Key Growth Drivers Dyestuff Expansion TCCA Division Vinyl Sulphone at SPS Turkish entity Sener Boya Dyestuffs capacity of 35,000 Acquired 100% stake in Trion Vinyl Sulphone plant of 6,000 Acquired ~ 100% stake to MTPA will be ramped-up Chemicals and amalgamated with MTPA capacity at SPS has been str

  27. Slide 27: Our Key Strengths

    Our Key Strengths 3 Decades of Presence  Home grown player with deep understanding of Indian & Integrated Business Model global chemicals market  Integrated business model leading to cost competitiveness and protection against commodity cycles In house R&D Facilities  Well- equipped production fa

  28. Slide 28: India's Edge in the Global Chemicals Market

    India’s Edge in the Global Chemicals Market Indian Chemical Industry Megatrends Industry (USD bn) ~9% ~11% Structural Shift China +1 Unorganized players in the Dye Intermediates India is emerging as the next alternative 300 and Dyestuffs Industry have been declining supplier for the global market 27

  29. Slide 29: Next Level of Growth

    tH, Next Level of Growth

  30. Slide 30: Capex To Drive Next Level Of Growth

    Capex To Drive Next Level Of Growth Capacity Addition (MTPA): Total Capex: Revenue Expected: Commercialisation ~Rs 6,700 mn ~Rs 8,500 mn P.A Expected by Q1FY24 Benzene Downstream ~78,960 Chlor Alkali Products including Sulphuric Acid ~3,40,000 Caustic Soda ~99,000 Greenfield Saykha Total Project Cos

  31. Slide 31: Moving Up The Value Chain With New Chemistries

    Moving Up The Value Chain With New Chemistries Sulphur Chain Benzene Chain Chlor Alkali Chain Chlorine Oleum 23% - 65% PNA PNCB Salt & Water Electrolysis Caustic Soda Solution (Power) 2,4 DNCB MPDSA Sulphur Sulphuric Acid Liquid SO3 ONCB Benzene MCB Hydrogen • Sulphuric Acid Captive Consumption MNCB

  32. Slide 32: Capex To Be Completed in FY23

    Capex To Be Completed in FY23 Revenue Visibility Chemical Segments FY21 FY22 FY23 FY24 Basic Chemicals 11.0%    Dye Intermediates 41.0%    Dyestuffs 36.0%    Trichloroisocyanuric Acid (TCCA) 0.4%    Caustic Soda - ^ ^  Sulphuric Acid & Derivatives (New additional capacity) - - - * Be

  33. Slide 33: Way Forward

    Way Forward Lower cost of production Capacity rampup Economies of scale New client penetration Long term relationship with customers Ongoing internal efficiencies Superior quality Our Edge Rigorous integration 3+ decades of experience New greenfield expansion Diverse client base Higher focus on B2C

  34. Slide 34: Responsible Corporate

    H. Responsible Corporate

  35. Slide 35: Environmentally Compliant

    Environmentally Compliant Common Treated Effluent Zero Discharge Effluent Spray Effluent Effluent Multiple Effect Solid Waste Discharge Access Plant Location Site (Solid+ Dryer Plant Treatment Plant Treatment Plant, Evaporator Incinerator Plant VECL Cala Liquid+Air) (ESDP) (at GIDC) (MEEP) Lit./Day

  36. Slide 36: Pollution Control Systems

    Pollution Control Systems  Treats low load waste water  Clarification  Compliant with GPCB, CPCB norms  Bio- degradation by AIS Effluent Treatment Plant (ETP)  Capacity 500,000 liters / day  Tertiary Poly system  Chemical oxidation  Online monitoring system  Flocculation  Installed world’s

  37. Slide 37: Responding To Critical Issue

    Responding To Critical Issue  High costs involved in complying with environmental regulations Moreover, the rising industrial water and power rates are a concern. Key Challenges  Scarcity of water can lead to insufficient supply affecting our production needs.  The Chemical Industry is energy and

  38. Slide 38: CSR Activities

    CSR Activities Key Focus Areas  Eradicating hunger, poverty and malnutrition  Promoting healthcare and sanitation including contribution to the Swach Bharat Kosh  Promoting education and enhancement of rural infrastructure  Ensuring environmental sustainability  Providing funds for construction

  39. Slide 39: Financial Highlights

    : | Financial Highlights

  40. Slide 40: Financial Highlights

    Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 20,680 2,495 2,369 1,413 2,039 1,219 14,369 13,852 987 11,517 12,424 1,481 860 1,198 398 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 EBITDA Margin (%) PAT Margin (%) 17.0% 16.6% 10.7% 9.9% 10.7

  41. Slide 41: Key Ratios

    Key Ratios Net Debt/ Equity (x) Return on Equity(%) Trending lower due to increasing 0.53 17.5% capital expenditure 17.0% 0.33 9.2% 9.3% 0.17 0.19 0.12 4.1% FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Return on Capital Employed (%) Net Working Capital Days Trending lower due to increasing capi

  42. Slide 42: Segmental Performance

    Segmental Performance Basic Chemical Dyestuffs Dye Intermediates Total Revenue (Rs in mn) Revenue Breakup 1,955 6,551 6,544 18,915 5,895 6,034 1,601 5,324 1,282 1,269 4,808 4,618 4,589 13,940 1,149 3,993 11,329 12,377 11,477 3,533 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21

  43. Slide 43: Thank You

    Thank You Contact Information Company: Investor Relation Advisors: Bodal Chemicals Ltd. Strategic Growth Advisors Pvt. Ltd. CIN – : L24110GJ1986PLC009003 CIN - U74140MH2010PTC204285 Mr. Mayur Padhya Mr. Shrikant Sangani / Ms. Pankti Majithia Chief Financial Officer Email - shrikant.sangani@sgapl.net

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