Tatva Chintan Pharma Chem Limited · NSE:TATVA
Tatva Chintan Pharma Chem — 9MFY22 Earnings Presentation
41 slides from Tatva Chintan Pharma Chem's earnings presentation, Jan 18, 2022
Slide 1: Exchange filing cover letter
® Tatva Chintan Pharma Chem Limited (Formerly known as Tatva Chintan Pharma Chem Private Limited) (CIN:L24232GJ1996PLC029894) BY ELECTRONIC MODE January 18, 2022 Ref No: TCPCL/SEC/2021-22/00062 To, The General Manager, The Manager, Corporate relationship department, Listing department, BSE Limited N
Slide 2: Investor Presentation 9MFY22 & Q3FY22
Investor Presentation Tatva Chintan Pharma Chem Limited (TCPCL) 9MFY22 & Q3FY22 1 8 TH J a n u a r y 2 0 2 2
Slide 3: Contents
Contents 01 02 03 04 9M & Q3 FY22 TATVA CHINTAN at Glance Product Categories Leading Sustainable Financial Performance practices coupled with cutting edge technology 05 06 07 08 Expansive international Why TATVA CHINTAN Industry Outlook Our Business presence with Marquee clientele 2
Slide 4: 9M FY22 & Q3 FY22 Financial Performance
9M FY22 & Q3 FY22 Financial Performance 3
Slide 5: Chairman & MD's Message
Chairman & MD’s Message I am pleased to inform you that we are very well on our way of being recognized as “ a niche player in the speciality chemical space with our focus on manufacturing We continued to grow organically by Phase Transfer Catalyst, Structure Directing Agents, Electrolyte Salts, Pha
Slide 6: 9M and Q3 FY22: Result highlights
9M and Q3 FY22: Result highlights 9M FY22 HIGHLIGHTS Revenue from Operations 1 (In ₹ Mn) EBIDTA & EBIDTA Margin 1 (In ₹ Mn, %) 1,000 30% PAT & PAT Margin 1 (In ₹ Mn, %) 900 25% EPS (In ₹) 900 28% 800 23% 800 25% 784 20% 36.82 3,351 16% 700 948 23% 700 20% 600 600 15% 500 500 15% 400 1,917 75% 113% 1
Slide 7: 9M and Q3 FY22: Operational highlights
9M and Q3 FY22: Operational highlights OPERATING REVENUE SPLIT (IN %) 9M FY22 Q3 FY22 SDA 55% SDA 51% PTC 20% PTC 24% ELECTROLYTE SALTS 1% ELECTROLYTE SALTS 2% PASC 23% PASC 22% OTHERS 1% OTHERS 1% Tatva Chintan Pharma Chem Limited 6
Slide 8: 9M and Q3 FY22: Consolidated P&L
9M and Q3 FY22: Consolidated P&L Q3 FY22 Q3 FY21 YoY (%) Q2 FY22 QoQ (%) Q1 FY22 9M FY22 9M FY21 YoY (%) Particulars (₹ Mn) Revenue from Operation 1,046.70 801.17 30.65% 1,236.15 -15.33% 1,068.32 3,351.17 1,916.92 74.82% Total Income 1,093.94 807.72 35.44% 1,264.19 -13.47% 1,085.97 3,444.10 1,950.34
Slide 9: Financial Highlights
Financial Highlights REVENUE FROM OPERATIONS1 (IN ₹ MN) PROFITABILITY1 (IN ₹ MN) 59 93 EBITDA & EBITDA Margin PAT & PAT Margin 14 3,351 17% 21% 24% 28% 10% 14% 17% 23% 5 3,004 2,632 948 784 2,063 716 21% 45% 60% 205 563 523 CAGR CAGR CAGR 378 343 FY19 FY20 FY21 9MFY22 FY19 FY20 FY21 9MFY22 FY19 FY20
Slide 10: Creating value for our stakeholders
Creating value for our stakeholders NET DEBT1 (IN ₹ Mn) & NET DEBT/EBITDTA (TIMES) CAPITAL EMPLOYED1 (IN ₹ Mn) & RoCE (%) 950 2.5 2,500 35% 33% 2.25 32% 30% 900 2 2,000 26% 25% 1.61 850 1.5 1,500 20% 800 1.26 1 1,000 15% 10% 750 0.5 500 1,149 1,613 1,968 5% 771 907 902 700 0 - 0% FY19 FY20 FY21 FY19
Slide 11: Consolidated Statement of Profit & Loss
Consolidated Statement of Profit & Loss As at Particulars (₹ Mn) 31 March 2019 31 March 2020 31 March 2021 9M FY22 Audited Audited Audited Un-Audited Income Revenue from operations 2,063.07 2,632.39 3,003.59 3,351.17 Other income 4.94 13.83 59.33 92.93 Total Income 2,068.01 2,646.22 3,062.92 3,444.1
Slide 12: Consolidated Statement Balance Sheet
Consolidated Statement Balance Sheet As at Particulars (₹ Mn) 31 March 2019 31 March 2020 31 March 2021 H1 FY22 Audited Audited Audited Un-Audited Assets Fixed Assets 665.75 1,110.60 1,203.51 1,241.86 Capital work-in-progress 60.36 48.92 98.11 331.03 Intangible assets 1.38 1.20 0.95 0.90 Other non-c
Slide 13: TATVA CHINTAN at Glance
“ TATVA _— CHINTAN YY at Glance _@ es.
Slide 14: TATVA CHINTAN at Glance
TATVA CHINTAN at Glance INTEGRATED SPECIALTY CHEMICAL COMPANY, PRESENT ACROSS THE VALUE CHAIN • Established by first generation entrepreneur engineers in Manufacturing Products Revenue Split – FY21 1996 • Plants located at Ankleshwar and Dahej SEZ, Gujarat with an existing combined installed capacit
Slide 15: TATVA CHINTAN at Glance (Contd.)
TATVA CHINTAN at Glance (Contd.) KEY METRICS FY21 KEY FINANCIAL NUMBERS FY21 150+ 1,300+ 436+ 3003.59 23.9% 26.02 33.0% Products Customers Workforce Revenue from EBIDTA % EPS RoCE % Operations (In ₹) (In ₹ Mn) CRISIL A- 25+ Stable/ A2+ Countries 31.5% 902.48 0.54 RoE % Borrowings Net Debt / Equity E
Slide 16: Product Categories
Product Categories 15
Slide 17: Phase Transfer Catalyst (PTC)
Phase Transfer Catalyst (PTC) A Catalyst with Innumerable Benefits WHAT ARE PTC? BENEFITS DEMAND DRIVERS • PTC are used to facilitate the • Offers faster reactions • Rising demand for technologically TCPCL’S PRESENCE IN migration of a reactant from one • Higher conversion or yields, advanced environ
Slide 18: Structure Directing Agents (SDA)
Structure Directing Agents (SDA) – An important ingredient for making the world more sustainable WHAT ARE SDA? BENEFITS DEMAND DRIVERS • High purity Quaternary salts that SDAs are important raw material for • With the recent developments in TCPCL’S PRESENCE IN helps in the formation of creation of h
Slide 19: Electrolysis – A better and greener way of producing SDAs
Electrolysis – A better and greener way of producing SDAs ABOUT ELECTROLYSIS BENEFITS • TCPCL started R&D into developing SDAs • Electrolysis is considered as a ‘green’ since 2007 chemistry process wherein apart from a single starting raw material, the process largely uses • In 2015, it received com
Slide 20: Electrolyte Salts – Aiding the technological thrust
Electrolyte Salts – Aiding the technological thrust WHAT ARE ELECTROLYTE BENEFITS DEMAND DRIVERS TCPCL’S PRESENCE IN SALTS? • Due to their properties like fast Currently, these are used along with charging ability, superior low temperature performance, long Lithium battery in EV vehicles SALTS • Ele
Slide 21: Pharmaceuticals and Agrochemicals Intermediates and other Specialty Chemicals (PASC)
Pharmaceuticals and Agrochemicals Intermediates and other Specialty Chemicals (PASC) WHICH PRODUCTS ARE END USER INDUSTRY APPLICATION TCPCL’S POSITION IN PASC MANUFACTURED? • Various pharmaceutical and agrochemical products such as Pharmaceuticals Agro Actives 2016 53 TCPCL is the largest producer i
Slide 22: Continuous Flow Chemistry
Continuous Flow Chemistry- sophisticated method with analytical expertise ABOUT BENEFITS PROCESS • TCPCL started R&D into continuous • Continuous Flow Chemistry is • Structure directing agents are flow chemistry since 2018 considered as a ‘green’ chemistry converted to Zeolite based catalysts proces
Slide 23: Value derived from Product Categories
Value derived from Product Categories REVENUE FROM EACH PRODUCT CATEGORY1 (In ₹ Mn.) NO. OF PRODUCTS IN EACH PRODUCT CATEGORY AS AT FY21 1,859 48 47 PTC’s SDA’s 1,202 6 53 1,017 Electrolyte Salt PASC 912 875 864 816 765 760 749 679 Considering the wide range of applications of our products, TCPCL ca
Slide 24: Leading Sustainable practices coupled with cutting edge technology
Leading Sustainable practices coupled with cutting edge technology 23
Slide 25: Integrated and Modern Manufacturing Facility
Integrated and Modern Manufacturing Facility ANKLESHWAR DAHEJ SEZ COMBINED CAPACITY • Both the plants are in-close proximity to • Manufacturing facility started in 1996 • Manufacturing started in 2017 Installed Hazira port. • Converted into a ‘zero liquid effluent • Sophisticated quality control lab
Slide 26: One of the prominent Research & Development center
One of the prominent Research & Development center R&D CAPITAL AND REVENUE EXPENDITURE • Dedicated R&D facility at Vadodara recognized by (In ₹ Mn.) 60 the Department of Scientific and Industrial Research (“DSIR”), Government of India. Currently spread over 10,000 Sq. ft and being expanded to 36,000
Slide 27: With a focus on 'green' chemistry processes
…With a focus on ‘green’ chemistry processes TCPCL’s ‘green’ chemistry is based on the principles of clean chemistry, minimum requirement of auxiliary substances, minimum waste and by-products and safe chemistry • Undertaking various ‘green’ chemistry processes • By deploying electrolysis for the ma
Slide 28: Expansive international presence with Marquee clientele
Expansive international presence with Marquee clientele 27
Slide 29: Fostered long term relationship with marquee clientele
Fostered long term relationship with marquee clientele while continuously expanding presence in global market ESTEEMED CUSTOMERS EXPORTS • TCPCL exports products to over 25 countries viz. USA, China, Germany, Japan, Out of 1,300+ Top 10 Customers as % of Revenue South Africa and UK. customers base a
Slide 30: Why TATVA CHINTAN
Why TATVA CHINTAN = _@
Slide 31: Investment Rationale
Investment Rationale Strong position in Successful track Wide basket of Continuous focus High industry Capex to boost the the niche specialty record on widening products are used in on R&D and in house barriers as new capacities and pave chemicals space with product basket, varied industries develop
Slide 32: Industry Outlook
Industry Outlook 31
Slide 33: India's rapidly expanding footprint in Global Chemical Market
India's rapidly expanding footprint in Global Chemical Market SHARE OF COUNTRIES IN GLOBAL TRENDS IN SPECIALTY CHEMICALS LANDSCAPE CHEMICAL INDUSTRY (IN %) Indian Chemical Move towards Opportunity Industry got sustainable product for Indian CHINA 41% Advantage vs development: Manufacturers: EU 15% C
Slide 34: Global Chemical Industry market size
Global Chemical Industry GLOBAL Commodity Chemicals PTC SDA CHEMICAL • Basic Chemicals INDUSTRY • Manufactured In large volumes 1,031 964 Mkt Size Mkt Size MARKET SIZE • Mkt Size USD 3,700bn 2019 (USD Mn) 2019 (USD Mn) • ~Expected 6% CAGR 1,328 5.1% 1.4 6.8% Speciality Chemicals 4,738 • Value Added
Slide 35: Our Business
Our Business 34
Slide 36: Major Events & Milestones
Major Events & Milestones 1996 2007 2013 2017 2019 2021 Incorporation of our Expansion of Achieved turnover Set up our Dahej SEZ Incorporation of Tatva • Listed on Company manufacturing capacity at of ₹ 500.00 million Manufacturing Facility Chintan Europe BV, BSE and NSE our Ankleshwar a wholly owne
Slide 37: Leadership and Management
Leadership and Management Chintan Nitinkumar Shah Ajaykumar Mansukhlal Shekhar Rasiklal Somani Dr. Manher Chimanlal CA Subhash Ambubhai Dr. Avani Rajesh Umatt Patel Desai Patel M A NA G I N G D I RE C T O R WHOLE TIME DIRECTOR WHOLE TIME DIRECTOR I N D E P E ND E N T D I RE C T O R I N D E P E ND E
Slide 38: Shareholder Information
Shareholder Information SHAREHOLDING PATTERN- DECEMBER 2021 (IN %) NSE Ticker TATVA BSE Ticker 543321 IPO Listing Date 29 July 2021 Share Price (₹)^ 2,655.75 PROMOTER 79.17% Market Cap (₹ Mn)^ 58,864.86 MF 7.48% % Free Float^ 20.8% Free float market cap (₹ Mn)^ 12,261.08 PUBLIC 6.71% Shares outstand
Slide 39: Net IPO Proceeds
Net IPO Proceeds USE OF NET IPO PROCEEDS1 (IN ₹ MN) The Net Proceeds are utilized in accordance with the details provided in the following chart: Offer for Sale: Raised ₹2750 mn Fresh Issue: Raised ₹2250 mn 2,073 ISSUE SIZE ₹5,000 MILLION Capex at Dahej Plant Of: ₹1471 mn AT ₹1,083/PIECE 1,561 1,471
Slide 40: Safe Harbor
Safe Harbor 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
Slide 41: Thank You
JAN 2022 Thank You TATVA CHINTAN PHARMA CHEM LIMITED INVESTOR RELATIONS AT CORPORATE OFFICE TATVA CHINTAN Plot No. 353, G.I.D.C, Mr. Ashok Bothra Makarpura, Vadodara – 390 010, Gujarat, India finance@tatvachintan.com BSE: 543321 CHRISTENSEN ADVISORY NSE: TATVA Krishna Patel / Rahul Thakur CIN: L2423
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