Slide 1: Exchange filing cover letter for earnings presentation
05.08.2023 To, National Stock Exchange of India Limited BSE Limited “Exchange Plaza”, Floor- 25, P J Tower, Bandra-Kurla Complex, Dalal Street, Bandra (East) Mumbai 400 051 Mumbai 400 001 SYMBOL:- MFL Scrip Code: 543332 Dear Sirs, Sub.: Earnings Presentation for Un-Audited Financial Results – Q1 FY2
Slide 2: Meghmani Finechem Limited Q1FY24 Earnings Presentation
Meghmani Finechem Limited Q1FY24 Earnings Presentation 5th August, 2023
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Meghmani Finechem Limited (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities and shall
Slide 4: Company Overview
Company Overview Founded: 30% 22% 2007 5 Year Revenue CAGR (FY23) 5 Year EBITDA CAGR (FY23) Employees: 900+ 0.8x 32% Net Debt to Equity (FY23) ROCE (FY23) Capacity: Chlor-Alkali# – 421 KTPA 5,000 Derivatives# – 190 KTPA Revenue from operations (₹ Cr) 2,188 Certified: Responsible Care Certificate 1,5
Slide 5: MFL Journey
MFL Journey FY2023 FY2022 Commissioned FY2021 and increased capacity FY2020 Listed as an independent Epichlorohydri FY2017 Commissioned and increased entity on 18th n – 50 KTPA Commissioned August 2021 FY2015 capacity CPVC – 30 KTPA CMS - 50 Announced FY2010 Commissioned Caustic Soda KTPA expansion
Slide 6: Q1FY24 - Key Highlights
Q1FY24 - Key Highlights Q1FY24 Operational Highlights: o YoY volume grew by 11% majorly on account of Derivatives & Specialty Chemical segment (CPVC, ECH and Hydrogen Peroxide). o Capacity utilization of Hydrogen Peroxide reached 104% and CMS reached 103% o Realizations of all the products are down
Slide 7: Q1FY24 - Key Highlights
Q1FY24 - Key Highlights Q1FY24 Strategic Highlights: o Meghmani Finechem board proposed to rename the company to Epigral. The proposal is approved by shareholders and Ministry of Corporate Affairs o This renaming is undertaken to strengthen the corporate brand in line with the company’s commitment t
Slide 8: CMD Message
CMD Message “FY2023-24 started with a quarter that witnessed global level slowdown and inventory destocking, impacting the chemical industry both at demand level and also at realization level. MFL too got impacted during the quarter gone by, on account of drop in realizations. However, MFL achieved
Slide 9: Q1FY24 Financial Highlights
Q1FY24 Financial Highlights 1,000 Revenue YoY Growth: -15% 300 EBITDA YoY Growth: -49% 170 PAT YoY Growth: -71% 25% 900 150 0.5 250 20% 800 35% 130 20% 700 187 28% 108 0.4 200 110 14% 15% 600 533 562 155 25% 21% 90 500 455 0.3 150 77 7% 10% 70 400 95 5% 0.2 100 300 50 32 0% 200 50 30 0.1 100 10 -5%
Slide 10: Key ratios as on 30th June 2023
Key ratios as on 30th June 2023 ROCE (%) ROE (%) Net Debt/EBITDA (x) 48% 33% 32% 40% 25% 29% 1.6 1.5 1.3 Q1FY23 FY23 Q1FY24 Q1FY23 FY23 Q1FY24 Q1FY23 FY23 Q1FY24 TTM EBIT, PAT and EBITDA are considered for above ratios o ROCE and ROE was down to 25% and 29% respectively on account of drop in realiza
Slide 11: Revenue Transition towards Derivatives & Specialty Chemicals
Revenue Transition towards Derivatives & Specialty Chemicals 79% 71% 69% 62% 62% 38% 38% 29% 31% 21% Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 - Chlor-Alkali - Derivatives & Specialty Chemical o Revenue contribution from Derivatives and Specialty chemical Segment increased from 21% in Q1FY23 to 38% Q1FY24
Slide 12: Project Update as on 30th June 2023
Project Update as on 30th June 2023 Capex Spends - ₹ Cr Expected % of project Product Capacity Commissioning completed Date R&D Centre - Q2FY24 95% 456 262 Chlorotoluene & 416 - Q4FY24 70% its value chain CPVC Resin 45 KTPA Q4FY24 70% (Additional) 108 FY2022 FY2023 FY2024E Estimated capex to be incu
Slide 13: Focused on ESG
Focused on ESG ENVIRONMENT o Focused on using best technology to manage critical resources, to moderate the consumption of energy and natural resources and drive operations efficiently o Focus is to manufacture more from less, basis for environment responsibility o Commissioned 18.34 MW Wind-Solar H
Slide 14: Income Statement
Income Statement Particulars (₹ Cr) Q1FY24 Q1FY23 YoY % Change Q4FY23 QoQ % Change Revenue from Operations 455 533 -15% 562 -19% Gross Profit 163 250 -35% 224 -27% Gross Margin (%) 36% 47% 40% Operating EBITDA 95 187 -49% 155 -38% EBITDA Margin (%) 21% 35% 28% Depreciation 31 22 40% 30 2% Finance Co
Slide 15: Historic Income Statement
Historic Income Statement Particulars (₹ Cr) FY18 FY19 FY20 FY21 FY22 FY23 Total Revenue 602 720 613 831 1,555 2,196 Gross Profit* 335 431 300 407 716 951 Gross Margin (%) 56% 61% 49% 49% 46% 43% EBITDA 255 312 194 261 510 689 EBITDA Margin (%) 43% 44% 32% 32% 33% 31% Depreciation 55 54 44 74 86 109
Slide 16: Historic Balance Sheet
Historic Balance Sheet Assets (₹ Cr) FY21 FY22 FY23 Liabilities (₹ Cr) FY21 FY22 FY23 Fixed Assets 1,228 1,657 1,962 Share Capital 42 42 42 Financial Assets 10 8 28 Reserves & Surplus 643 684 1,028 Other Non-current Assets 29 11 23 Long-Term Borrowings 340 557 396 Inventories 54 154 212 Redeemable P
Slide 17: About Us & Investor Contact
About Us & Investor Contact Meghmani Finechem Limited (“MFL”), incorporated in 2007, is a leading integrated manufacturer of chemicals in India. The company has state of the art manufacturing facilities in Gujarat, Dahej – a leading PCPIR region in the For further information country. MFL’s Dahej fa