Fineotex Chemical Limited · NSE:FCL
Fineotex Chemical — Q3 FY2022 Earnings Presentation
35 slides from Fineotex Chemical's earnings presentation, Jan 20, 2022
Slide 1: Fineotex – Investor Presentation Q3 FY 2021-22 cover letter
FINEOTEX A Speciality Chemical Producing Public Listed Company (-) G8) 0 SED NAc, oo, itl CE a aor PGE gS Vas” aa somot Se 45001 * $4 go? January 20, 2022 To, General Manager, The Manager, Listing Department, Listing & Compliance Department, BSE Limited, The National Stock Exchange of India Limited,
Slide 2: Fineotex Chemical Limited Investor Presentation January 2022
Fineotex Chemical Limited (BSE: 533333; NSE: FCL) Investor Presentation January 2022 Drilling Specialties Textile Specialties Home Care and Hygiene Specialties Other Specialties
Slide 3: Agenda
Agenda Company Overview 3 – 21 Financial Performance 22 – 25 Sustainability Approach 26 – 32 2
Slide 4: Company Overview
Company Overview 3
Slide 5: An Introduction to Fineotex
An Introduction to Fineotex Specialty chemicals producer with a focus on textiles 450+ ~70 chemicals Product Categories Countries Present Team of 34 professionals for providing technical solutions to customers Bluesign, ZDHC, 79,000 MT p.a. Star Export House Installed capacities Accreditations Succe
Slide 6: Our Evolution
Our Evolution 2004 2007 2011 2014 2015 ❖ Accredited with ❖ Acquisition of FCPL ❖ Listed on BSE ❖ Bonus declared on 1:1 ❖ Listed on NSE ISO 9001:2008 by Fineotex Chemical ❖ Incorporated wholly owned basis ❖ Received Star ❖ Incorporation of Limited subsidiary in Malaysia ❖ Accredited with ISO Export H
Slide 7: Fineotex Investment Case
Fineotex Investment Case Business Dynamics Acquisition and JV Track Global Customer Reach • Fineotex and Biotex associated with Record quality and innovation across • Biotex (73% owned) net profit has • International acceptance by high industries globally grown by a factor of 10x since profile custo
Slide 8: Synergistic Business Model With Biotex
Synergistic Business Model With Biotex Fineotex - India Biotex - Malaysia • Diverse product portfolio (400+ categories) • Niche product portfolio (50+ categories) across business segments Overview • High end super speciality textile chemical • Applications primarily across the entire textile applica
Slide 9: Key Products in the Specialty Textile Chemicals Segment
Key Products in the Specialty Textile Chemicals Segment Steps Weaving Pre-treatment Dyeing Printing Finishing De-sizing, Dyeing, Rotary Exhaust Process Sizing Scouring, Washing, Printing, Padding Bleach Fixing Table Printing Enzymes, Dyes, Acids, Dyes, Binder Softeners, Wetting & Alkali Thickener, F
Slide 10: Product Offerings from Biotex
Product Offerings from Biotex ‘The Bioguard Series’ of products from Biotex with water and oil repellent features in great demand post outbreak of COVID-19 9
Slide 11: Focus on Growth and Diversification (1/2)
Focus on Growth and Diversification (1/2) Home Care Specialities Hygiene Specialities Textile Specialities Drilling Specialities Leverage core manufacturing and development expertise into new high growth areas 10
Slide 12: Focus on Growth and Diversification (2/2)
Focus on Growth and Diversification (2/2) Home Care and Hygiene Chemicals Drilling Speciality Chemicals Other Speciality Chemicals • Customised solutions for: • Customised solutions for Oil and Gas • A unique ‘Mosquito Life Cycle Controller’ product ▪ Housekeeping, Kitchen Care and Disinfectants • S
Slide 13: Home Care and Hygiene Division
Home Care and Hygiene Division Diversified Product Offering • Air freshener • Hygienic hard surface Housekeeping • Carpet cleaner cleaner • Carpet shampoo • Multi surface cleaner • Deodorizers • Surface cleaner cum • Floor cleaner disinfectant • Furniture maintainer • Toilet bowl cleaner • Glass cle
Slide 14: Strategic Partnerships (1/2)
Strategic Partnerships (1/2) Strategic collaboration with Eurodye-CTC, Belgium, to commercialize specialty chemicals for the Indian market Addition to its portfolio, specialized pre-treatment and dyeing products for the cotton-synthetic and woollen fibre/ fabric/ yarn Facilitates an efficient produc
Slide 15: Strategic Partnerships (2/2)
Strategic Partnerships (2/2) Joint venture with HealthGuard, Australia to become Setting up a state of art Research & Development the exclusive global marketing and sales channel centre in collaboration with Sasmira Institute, one of partner with joint operations from Malaysia India’s premier textil
Slide 16: New Facility at Ambernath, Maharashtra
New Facility at Ambernath, Maharashtra About the Facility ➢ Located on ~4 acres of land ➢ Production began on 9th November 2021 ➢ State of the art technological updates have been implemented ➢ Additional capacity of 36,000 MT Strategic Advantages ➢ Caters to customer demands in the existing Textile
Slide 17: Manufacturing Platforms (GMP Certified)
Manufacturing Platforms (GMP* Certified) Location Operating Facts Strategic Advantages Manufacturing Excellence • Total Production • Strategically located plant near key Capacity: 36,500 MT port close to Mumbai with • Ambernath plant to logistical advantage to textile hubs gradually provide an acros
Slide 18: Global Customer Reach
Global Customer Reach • Sales in ~70 countries including Brazil, Bangladesh, Germany, Indonesia, Malaysia, Singapore, Syria, Thailand, USA, Venezuela and Vietnam • 34 technical marketing experts • 100+ dealers in Indian and International markets Q3 FY22 Revenue Mix 43% 57% Facilities at Mahape and A
Slide 19: State-of-the-Art R&D Infrastructure
State-of-the-Art R&D Infrastructure • One of the finest R&D capabilities in the industry • State-of-the-art technology that is constantly updated through our in-house R&D facilities Overview • Capabilities to develop and customize products to adhere to client requirements • Modern Equipment such as
Slide 20: Board of Directors
Board of Directors Surendrakumar Tibrewala Sanjay Tibrewala Aarti Jhunjhunwala Navin Mittal Chairman and Managing Director Executive Director Executive Director Independent Director Alok Dhanuka CS Bindu Shah Dr. Anand Patwardhan Dr. Sunil Waghmare Independent Director Independent Director Independe
Slide 21: Management Team
Management Team Surendra Kumar Tibrewala Sanjay Tibrewala Aarti Jhunjhunwala Education: B.Com and LLB Education: B.Com and P.G. in Textile Education: B.Com and M.Com Chemicals and Processing Managing Director Chief Financial Officer Head - International Marketing Arindam Choudhuri Noa N. Ouakass Ked
Slide 22: Strategic Direction
Strategic Direction Leverage Fineotex’s industry insights and long standing customer relationships with Biotex’s high end product expertise and regional positioning to serve global customers Fineotex+ Biotex Synergies The facility at Ambernath, Maharashtra is future ready for next phase of growth. P
Slide 23: Financial Performance
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Slide 24: Q3 FY2022 Performance Trend
Q3 FY2022 Performance Trend Rs. Mn. Revenue from Operations and Gross Margin EBITDA and EBITDA Margin 37.1% 38.2% 23.3% 18.8% 35.0% 34.7% 17.1% 23.9% 40.1% 15.5% 1,051 251 750 785 584 633 148 136 128 98 Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 Q3 FY 21 Q4 FY 21 Q1 FY 22 Q2 FY 22 Q3 FY 22 PBT and
Slide 25: Consolidated P&L Summary: Q3 and 9M FY2022
Consolidated P&L Summary: Q3 and 9M FY2022 Particulars (Rs. Million) Q3 FY 22 Q3 FY 22 YoY% Q2 FY 22 QoQ% 9M FY 22 9M FY 21 YoY% Revenue from Operations 1,050.7 583.5 80.1% 784.9 33.9% 2,468.4 1,434.9 72.0% COGS 649.5 349.6 85.8% 494.0 31.5% 1,556.6 918.3 69.5% Gross Profit 401.2 233.9 71.5% 290.9 3
Slide 26: Consolidated Annual Performance Trend
Consolidated Annual Performance Trend Rs. Mn. Revenue from Operations and Gross Margin EBITDA and EBITDA Margin 44.5% 40.3% 37.3% 36.0% 36.9% 21.9% 21.0% 35.5% 35.7% 20.1% 19.0% 18.6% 19.3% 17.4% 2,468 497 1,963 2,185 405 1,823 347 342 1,344 1,429 1,435 295 300 277 FY 17 FY 18 FY 19 FY 20 FY 21 9M F
Slide 27: Sustainability Approach
Sustainability Approach 26
Slide 28: ESG Accreditations
ESG Accreditations Key ESG Facts Certificates Bhive certified ISO 9001 ISO 14001 ISO 14045 ISO 45001 Blue Sign certified ISO 20000 SA 8001 OHSAS18001 ISO 22000 ECO Passport by OEKO-TEX Global Organic Textile Standard (GOTS) certified New Accreditations Hazard Analysis Critical Control Point (HACCP)
Slide 29: Accreditations: Biotex Malaysia
Accreditations: Biotex Malaysia Certificate Value Proposition • Bluesign is recognized as a leading certification for sustainability in the global textile industry. As a partner, Biotex is committed to applying the bluesign system to meet the highest level of safety for both people and environment,
Slide 30: Accreditations: Fineotex India
Accreditations: Fineotex India Certificate Value Proposition • ISO 9001:2015 defines the guiding principles to create efficiencies by aligning and streamlining processes throughout the organization, create new opportunities, meet regulatory requirements, and help organizations expand into new market
Slide 31: ESG Profile - Environment
ESG Profile - Environment Focusing on Environmental factors and make efforts to restore the environment • Environment Strategy in Place: FCL is committed to ensuring clean environment beyond satisfying all stipulated requirement laid down by the statutory authorities and in the process constantly wo
Slide 32: ESG Profile - Social
ESG Profile - Social Committed to improve economic, environmental and social performance • Product/Service Safety and Quality Metrics: Quality is an integral part of Fineotex’s Corporate Business Principles. 100% employees We never compromise on quality; Throughout the process, we have stringent tes
Slide 33: ESG Profile - Governance
ESG Profile - Governance Focus on maximizing the wealth of shareholders, establish productive and lasting relationships with all shareholders • Corporate Governance Policies: The Company’s philosophy on Corporate Governance relates to creating an organization intended to maximize the wealth of share
Slide 34: Disclaimer
Disclaimer This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Fineotex Chemical Limited (“Fineotex Chemical” or the Company) future bus
Slide 35: Fineotex Chemical Limited
Fineotex Chemical Limited FINEOTEX CHEMICAL LIMITED (CIN Number: L24100MH2004PLC144295) 42-43, Manorama Chambers, S. V. Road Bandra (West), Mumbai - 400 050, India Phone: (+91 - 22) 26559174 / 75, (+91 - 22) 26559176 / 77 Email: info@fineotex.com www.fineotex.com 34