India Pesticides Ltd. · NSE:IPL
India Pesticides — Q2 FY2024 Earnings Presentation
30 slides from India Pesticides's earnings presentation, Nov 7, 2023
Slide 1: India Pesticides Limited
INDIA PESTICIDES LIMITED An ISO 9001:2015, 14001:2015, 45001:2018 and 10002:2018 Company CIN No. L24112 UP1984PLC006894 GSTIN- 09AAACI3591D1ZO IPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLIPLI
Slide 2: India Pesticides Limited Q2 FY2024 Investor Presentation
India Pesticides Earnings Presentation Limited Q1 FY2024 Q2 FY2024 Investor Presentation www.indiapesticideslimited.com
Slide 3: 10-12 Management 14-19 Financial Performance 21-23 Growth Strategies
4-8 Company Overview 10-12 Management 14-19 Financial Performance 21-23 Growth Strategies 25-26 Sustainability 2
Slide 4: Company Overview
COMPANY OVERVIEW 3
Slide 5: India Pesticides at a Glance
India Pesticides at a Glance Diversified product offerings, ability to develop client specific molecules quickly and efficiently An R&D-driven chemical manufacturer of Agrotechnical & APIs, along with growing 1 Formulation's business 2 Active Manufacturing Facility Sole Indian manufacturer and globa
Slide 6: Product Overview
Product Overview Sole Indian manufacturer of certain Technical and among the global leading manufacturers for Captan, Folpet and Thiocarbamate Herbicide, in terms of production capacity Fungicide Insecticides Herbicide Intermediate • Cymoxanil - Controls downy • Prosulfocarb - Used in field mildews
Slide 7: Our Journey
Our Journey Three decades of commitment towards growth and quality Commencement of Registration of the in-house commercial production at research and development Incorporation of the Conversion of our Company unit situated at Tiwariganj, India Pesticides Limited Company as ‘India into a public limit
Slide 8: Manufacturing Facility and Sales Network
Manufacturing Facility and Sales Network Manufacturing Facilities Manufacturing Facilities Plants as on 30.06.23 Technicals (MTPA) Formulations (MTPA) Presence Sales Network Dewa Road, Lucknow 2,100 3,000 R&D Centers Sandila, Hardoi 22,100 3,500 Upcoming Manufacturing Facility Total 24,200 6,500 Cos
Slide 9: Customer Profile
Customer Profile Long term customer relationships developed over the years driven by quality product offerings Key Customers • Major customers include MNCs that look to collaborate with active ingredient manufacturers in India • Customer relationships are led by the ability to manufacture complex of
Slide 10: Management
MANAGEMENT
Slide 11: Promotor Group
Promotor Group Embracing our strategic succession plan, we proudly welcome the sons of our esteemed chairman to join our board, igniting the path towards an exciting leap into the future of exponential growth Vishal Swarup Agarwal Non- Executive Director Anand S Agarwal Chairman P Vishwas Swarup Aga
Slide 12: Board Members
Board Members 3 out of 8 members on board are Independent Rajendra S Sharma Adesh K Gupta Mohan V Tanksale Whole-time Director Independent Director Independent Director P P P Madhu Dikshit Rahul A Bagaria Independent Director Non-Executive Director P Audit Committee Nomination & Remuneration Committ
Slide 13: Management Team
Management Team Experienced management with deep understanding of the industry Dheeraj Kumar Jain Aditya Kumar Nigam Chief Executive Officer Sr Vice President-Operations Satya Prakash Gupta Ajeet Pandey Chief Financial Officer Company Secretary and Compliance Officer 12
Slide 14: Financial Performance
FINANCIAL PERFORMANCE
Slide 15: Q2 and H1 FY24 Performance Highlights
Q2 and H1 FY24 Performance Highlights Q2 FY2024 Management Commentary Q2 19.2% Q2 25.6% Q2 “In Q2 FY2024, Agro-industry continued to face the headwinds in terms of high- QoQ QoQ cost inventories, destocking in international markets and ongoing price declines resulting from an oversupply of raw mater
Slide 16: Q2 FY24 Performance Highlights
Q2 FY24 Performance Highlights Rs in Cr. Total Income Gross Profit and Margins 205 206 73 77 • Overall revenue grew • Gross Profit grew by by 0.7% QoQ 5.2% QoQ • Continued price • Margins improved on 38% drops, lower global sequential basis due 36% to product mix and demand and subdued volumes domes
Slide 17: H1 FY24 Performance Highlights
H1 FY24 Performance Highlights Inventory write down of Rs. 22 Cr during H1 FY24 Rs in Cr. Total Income Gross Profit and Margins 411 411 173 151 42% 37% H1 FY24 Reported H1 FY24 Adjusted H1 FY24 Reported H1 FY24 Adjusted EBITDA and Margins PAT and Margins 79 57 52 35 19% 14% 13% 9% H1 FY24 Reported H
Slide 18: Revenue Break-up
Revenue Break-up Technicals + APIs constitute 68% of revenue during Q2 FY24 Rs in Cr. Technicals + API Revenue Share 707 507 541 274 32% FY21 FY22 FY23 H1FY24 H1 FY2024 Formulation 68% 175 178 136 130 Techinical + API Formulations FY21 FY22 FY23 H1FY24 Consolidated numbers 17
Slide 19: Q2 and H1 FY24 Performance Summary
Q2 and H1 FY24 Performance Summary (Rs. In Cr.) Q2 FY24 Q2 FY23 Q1 FY24 H1FY24 H1FY23 Total Income 206 253 205 411 475 Gross Profit 77 110 73 151 219 Gross Margin (%) 37.5% 43.4% 35.9% 36.7% 46.1% EBITDA 31 55 26 57 114 EBITDA Margin (%) 15.1% 21.7% 12.7% 13.9% 24.0% EBIT 27 52 23 50 109 EBIT Margin
Slide 20: Liquidity Profile
Liquidity Profile Cash & bank balances at INR 141 Cr. (Rs. in Cr. ) 31st Mar 2022 31st Mar 2023 30th Sept 2023 Cash Flow from Operations (Rs. In Cr.) Cash & Bank Balance including 76 109 99 164 Long term deposit Add Investment 17 12 12 45 39 Less: Borrowings 14 4 8 Net Cash 141 115 184 FY22 FY23 H1F
Slide 21: Growth Strategies
GROWTH STRATEGIES
Slide 22: Strengths & Strategies
Strengths & Strategies Product portfolio and capacity expansion will be driving factors for growth Strength Strategies R&D and Product Enhancing Deliberated Strong R&D and product development Portfolio Expansion Approach on ESG & HSE capabilities Diversified portfolio of niche and quality o Leveragi
Slide 23: Capex Plans
Capex Plans Consistent efforts towards generating and serving future potential demand Capacity Expansion Sandila + Hamirpur Sandila + Hamirpur Expanding the installed Budgeted Capex of Rs. Incurred Capex of Rs. 46 capacity by 2000 MT at Growing 110 Crore for FY24 Crore till H1 FY24 Sandila by Q4 FY2
Slide 24: Competitive Strengths
Competitive Strengths We believe in People, Process and Productivity and follow highly customer centric approach Diversified and Trusted Global Presence In-House R&D in India Quality Product Offerings Customer Base Tie-ups with top Capable of designing Sales network in 25+ Products comply with chemi
Slide 25: Giving Back to the Society
GIVING BACK TO THE SOCIETY
Slide 26: Engagement with Farmers
Engagement with Farmers Empowering Agriculture India Pesticides Limited (IPL) has exemplified its commitment to the farming community by actively engaging with farmers through impactful campaigning and enthusiastic participation in Farmer's exhibitions. Recognizing the crucial role farmers play in o
Slide 27: Our CSR Involvement
Our CSR Involvement Rain Water Harvesting Samagra Sudhar Chuppi Tod; Halla Bol This project is a collaborative effort with HARITIKA, an NGO specializing in We've strategically chosen four villages for environmental projects. We have secured the holistic development, instilling sustainability in IPL
Slide 28: Key Takeaways
Key Takeaways Board and Management is committed to continuous growth and sustainability Manufacturing capacity expansion will Higher return ratios due to create economies of scale and improve efficient capital and asset efficiency in manufacturing processes utilization Consistent growth with Product
Slide 29: Disclaimer
Disclaimer Certain statements in this presentation concerning our future growth prospects are forward looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The company's results may b
Slide 30: India Pesticides Limited
INDIA PESTICIDES LIMITED For further information, please contact S P Gupta Chief Financial Officer India Pesticides Limited +91 522 265 3602 investor@indiapesticideslimited.com Atul Modi / Anvita Raghuram Investor Relations Advisor Churchgate Partners +91 22 6169 5988 ipl@churchgatepartners.com Corp