Slide 1: Exchange filing cover letter for investor presentation
February 7, 2024 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C/1, Block G, Dalal Street, Mumbai - 400001 Bandra-Kurla Complex, Bandra (E), Mumbai - 400051 Scrip Code: 500135 Trading Symbol: EPL Sub. : Investor Presentation - EPL Limited (“Company”)
Slide 2: EPL Limited Q3FY24 Earnings Presentation
EPL LIMITED (Formerly known as Essel Propack Limited) Q3FY24 Earnings Presentation 1
Slide 3: Safe Harbour
Safe Harbour Certain statements in this presentation concerning our future growth prospects are forward-looking statements. The Company cautions that, by their nature, forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in such f
Slide 4: Key topics
Key topics • Q3FY24 Highlights and Financial Performance Quarterly financial performance in the following slides is based on company performance including Brazil operations. • Performance Improvement Plan • Progress on Sustainability • Looking Ahead • Appendix EPL Limited Q3FY24 Earnings Presentatio
Slide 5: Q3FY24 Highlights – EBITDA continues to grow at solid 17.1%
Q3FY24 Highlights – EBITDA continues to grow at solid 17.1% 1 Revenue growth at 3.2% 2 Strong EBITDA margin at 18.8%; increase of 224 bps YoY and 74 bps QoQ. EBITDA grew by 17.1% YoY 3 PAT growth of 37.2% YoY 4 Cash flow generation as well as EBITDA growth, resulting into lower Net Debt/EBITDA at 0.
Slide 6: Q3FY24 Consolidated Financial Highlights including Brazil
Q3FY24 Consolidated Financial Highlights including Brazil (INR million) Revenue from Operations EBITDA and EBITDA Margins EBIT and EBIT Margins 9,751 16.6% 18.8% 9.2% 10.2% 9,449 3.2% 1,566 1,834 867 992 17.1% 14.4% Q3FY23 Q3FY24 Q3FY23 Q3FY24 Q3FY23 Q3FY24 PAT and EPS (INR) Net Debt and Net Debt/ L
Slide 7: EPL – Capital Efficient, Sustainable Revenue Growth
EPL – Capital Efficient, Sustainable Revenue Growth (INR million) Q3FY23 Q3FY24 Growth Revenue 9,449 9,751 3.2% Growth Adjusted EBITDA1 1,632 1,891 15.9% Adjusted EPS1 (INR) 2.38 2.85 19.7% As of Mar 23 As of Dec 23 ROCE2 14.3% 14.5% Capital Efficiency Net Debt 5,063 6,460 FY23 YTDFY24 Capex 3,871 3
Slide 8: Continuous Margin recovery in last 6 quarters
Continuous Margin recovery in last 6 quarters 20.0% 1,810 1,834 2,000 1,566 1,639 1,590 19.0% 1,530 1,500 18.0% 1,256 18.8% 18.1% 17.0% 1,000 17.5% 16.0% 16.9% 16.6% 16.1% 500 15.0% 15.1% 14.0% - Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 EBITDA EBIDTA Margin EBITDA Growth -13.3% -4.0%
Slide 9: Key topics
• Q3FY24 Highlights and Financial Performance • Performance Improvement Plan • Progress on Sustainability • Looking Ahead • Appendix EPL Limited Q3FY24 Earnings Presentation 8
Slide 10: Going for Growth
Going for Growth 1 Continued emphasis on Beauty & Cosmetic category, actively pursuing smaller customers, and increased sales headcount by 20%. 2 Progressing on flexibility measures for smaller quantities across 3 regions: EAP ready, AMESA and Europe in process. 3 Further ramp up of Brazil facility
Slide 11: ‘Personal Care & beyond’ category contribution stood at 48% in YTDFY24
‘Personal Care & beyond’* category contribution stood at 48% in YTDFY24 ‘Personal Care & beyond’* contribution to Tube Revenue 47% 48% 45% 46% 46% 43% 41% FY18 FY19 FY20 FY21 FY22 FY23 YTDFY24 ‘Personal Care & beyond’* revenue growth higher than Oral Care * ‘Personal Care and beyond’ includes Beauty
Slide 12: ‘Personal Care & beyond’ category has grown at a 15% CAGR
‘Personal Care & beyond’ * category has grown at a 15% CAGR over the last 13 years and continues to be the major growth driver for EPL in FY24 ‘Personal Care & beyond’* Revenue (INR million) Growth 8.1% Y-o-Y 15,947 12,852 14,291 12,828 8,254 11,206 2,980 Sub categories FY11 FY15 FY20 FY21 FY22 FY23
Slide 13: Sustained momentum on new business wins through innovation and sustainable offerings
Sustained momentum on new business wins through innovation and sustainable offerings Strengthening Sustainability – Venturing into New Categories Disruption Platina McCormick Gourmet Garden Food Tube RTV Silicon D25 Oval Tube: (Platina Pro- In Lamitube- India Inner flow Vision) restrictor valve and
Slide 14: Polymer prices comparatively stable in last 2 quarters, aluminum foil marginal change
Polymer prices comparatively stable in last 2 quarters, aluminum foil witnesses a marginal change Polymer INR/kg Aluminium Foil INR/kg 160 290 140 240 120 190 100 140 80 90 60 40 40 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q1FY21 Q2FY21
Slide 15: Awards: Continued Recognition of efforts towards Innovation, Sustainability and Improvement
Awards: Continued Recognition of efforts towards Innovation, Sustainability and Improvement Initiatives “Best Overall Sustainability Performance” at World sustainability congress organized in Mauritius. A testament to EPL’s unwavering commitment and focus on attaining leadership in sustainability wi
Slide 16: Awards: Continued Recognition of efforts towards Innovation, Sustainability and Improvement
Awards: Continued Recognition of efforts towards Innovation, Sustainability and Improvement Initiatives October-2023 October-2023 2 of our tubes won awards in “Best Branding”, by the IFCA. IFCA (Indian Flexible Packaging & Folding Cartons Manufacturers Association) is a renowned 57-year-old organiza
Slide 17: Key topics
• Q3FY24 Highlights and Financial Performance • Performance Improvement Plan • Progress on Sustainability • Looking Ahead • Appendix EPL Limited Q3FY24 Earnings Presentation 16
Slide 18: Sustainability: Scaling Up Recyclable Volumes with Continuous Improvement
Sustainability: Scaling Up Recyclable Volumes with Continuous Improvement Product Sustainability Process Sustainability Increased adoption of Platina as a benchmark for EPL achieved Green rating ( Positive progress) on Ellen Sustainable Solutions and a market success across MacArthur Foundation
Slide 19: People Sustainability: Embracing Corporate Social Responsibility
People Sustainability: Embracing Corporate Social Responsibility Our CSR vision is in alignment with the overall EPL ambition of becoming the most sustainable packaging company in the world. All CSR works are undertaken as part of People Sustainability, and all actions are a step further towards “Gr
Slide 20: Key topics
• Q3FY24 Highlights and Financial Performance • Performance Improvement Plan • Progress on Sustainability • Looking Ahead • Appendix EPL Limited Q3FY24 Earnings Presentation 19
Slide 21: Looking Ahead: Focus is on 3 Key Priorities
Looking Ahead: Focus is on 3 Key Priorities Sustained Double Digit Sustainability led Continued Margin Revenue Growth Competitive Advantage Expansion to deliver 20%+ EBITDA In Short term • Strong Product portfolio with • Strategic Price Management • Revenue Growth to be impacted by backend capabilit
Slide 22: Sustained Double Digit Revenue: Tapping opportunities in 'Personal Care & Beyond'
Sustained Double Digit Revenue ::Tapping vast opportunities in 'Personal Care & Beyond' h Enhanced ‘Right To Win’ Through Focused Capability Building to Capture the Innovations Opportunity Operational Capability • Smaller MOQs, Shorter lead Neo Seam: time Zero Side Seam • Backend readiness across pl
Slide 23: Looking Ahead: Sustainability Led Competitive Advantage
Looking Ahead : Sustainability Led Competitive Advantage Solid Portfolio of Sustainable Solutions Platina Platina Pro Vision Platina Pro ME ETAIN / Platina PCR Barrier webs recyclable in Code 2 High Barrier transparent webs for better High BARRIER metallic webs for foil look / HDPE tubes with mechan
Slide 24: Looking Ahead: Continued Margin Expansion
Looking Ahead: Continued Margin Expansion Strong P&L Productivity Initiatives in Place Strategic Price Management War On Waste Continued Insourcing Manufacturing Realignment Maximize ‘One EPL’ Benefit Automation Investments EPL Limited 23 Q3FY24 Earnings Presentation 23
Slide 25: Key topics
• Q3FY24 Highlights and Financial Performance • Performance Improvement Plan • Progress on Sustainability • Looking Ahead • Appendix EPL Limited Q3FY24 Earnings Presentation 24
Slide 26: Q3FY24: Adjusted EBITDA and PAT
Q3FY24: Adjusted EBITDA and PAT (INR million) Adjustments EBITDA PAT1 Reported Q3FY24 numbers 1,834 861 • TSA2 related expenses +40 +30 • ESOP related cost +17 +17 • One time acquisition/ merger/ FX/ patent related costs 0 0 Adjusted Q3FY24 numbers 1,891 908 Reported Q3FY23 numbers 1,566 628 • TSA2
Slide 27: Q3FY24 Performance – AMESA and EAP
Q3FY24 Performance – AMESA and EAP (INR million) AMESA Particulars Q3FY24 Q3FY23 % change Revenue 3,500 3,521 -0.6% EBITDA 749 731 2.5% EBITDA % 21.4% 20.8% EBIT 446 464 -3.9% EBIT % 12.7% 13.2% EAP Particulars Q3FY24 Q3FY23 % change Revenue 2,524 2,262 11.6% EBITDA 546 490 11.4% EBITDA % 21.6% 21.7
Slide 28: Q3FY24 Performance – Americas and Europe
Q3FY24 Performance – Americas and Europe (INR million) Americas Particulars Q3FY24 Q3FY23 % change Revenue 2,528 2,260 11.9% EBITDA 409 274 49.1% EBITDA % 16.2% 12.1% EBIT 175 114 53.5% EBIT % 6.9% 5.0% Europe Particulars Q3FY24 Q3FY23 % change Revenue 2,076 1,911 8.6% EBITDA 191 109 75.2 % EBITDA %
Slide 29: About EPL
About EPL (Formerly known as Essel Propack Limited) EPL Limited 28 Q3FY24 Earnings Presentation 28
Slide 30: EPL: Company Overview
EPL: Company Overview Oral Beauty & Cosmetics Pharma Home Industrial 11 5 Countries with Categories Served* 21 operational presence 3500+ State of the Art Employees Manufacturing Facilities Globally Germany 8bn+ USA Poland 25 Tubes Supplied Nationalities Annually UK* Represented Europe AMESA 20% of
Slide 31: EPL Caters to Marquee Customers Across Trillion Dollar Categories
EPL Caters to Marquee Customers Across Trillion Dollar Categories Tube revenue split (Q3FY24) Others, Pharma 3% , 11% Beauty & Oral Cosmetics, Care, 33% 53% ‘Personal Care & beyond’*, 47% * ‘Personal Care and beyond’ includes Beauty & Cosmetics, Pharma etc 30 EPL Limited Q3FY24 Earnings Presentation
Slide 32: About EPL
About EPL EPL is the largest global specialty packaging company, manufacturing laminated plastic tubes catering to the FMCG and Pharma space. Employing over 3,500+ people representing over 25 different nationalities, EPL functions in eleven countries through 21 state of the art facilities, and is co
Slide 33: Thank You
Thank You Corporate Office EPL LIMITED @Epl_limited Top Floor, Times Tower, Kamala City, Senapati Bapat Marg, Lower Parel, epl-limited Mumbai – 400 013, Maharashtra, India. Telephone: 022 24819000 epl_limited Website: https://www.eplglobal.com CIN:L7495MH1982PLC028947 32