Sharda Cropchem Ltd. · NSE:SHARDACROP
Sharda Cropchem — Q1 FY2023 Earnings Presentation
28 slides from Sharda Cropchem's earnings presentation, Jul 25, 2022
Slide 1: Sharda Cropchem Limited exchange filing cover letter
Sharda Cropchem Limited % Tel. : +91 22 66782800 : FAX : +91 22 66782828 / 66782808 'SO 9001: 2015 Reg. No: 702949 E-mail : office@shardaintl.com CIN: L51909MH2004PLC145007 Regd. Office : Prime Business Park, Dashrathlal Joshi Road, Vile Parle (W), Mumbai - 400056, India. Www.shardacropchem.com 25"
Slide 2: Investor Presentation July 2022
Investor Presentation July 2022
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sharda Cropchem Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secur
Slide 4: About Sharda Cropchem Limited
About Sharda Cropchem Limited
Slide 5: We are a fast-growing global agrochemicals company
“We are a fast-growing global agrochemicals company with a peer position in the generic crop protection chemicals industry. Our vast and growing library of dossiers and IPRs provide us solid foundations for growth in the global marketplace, especially in Advanced Markets such as Europe, North Americ
Slide 6: Agrochemical Focused Company
Agrochemical Focused Company Intellectual Property (IP) driven company engaged in marketing and distribution of wide range formulations and generic active ingredients Efficiently channelizing time and resources for strengthening core Asset Light Business Model competency of identifying generic molec
Slide 7: Asset Light Business Model
Asset Light Business Model Overall Agrochemical Value Chain Sharda’s Operating Area √ √ √ √ Basic & Applied Active Ingredient Formulation & Marketing & Identification Registration Manufacturing Research Packaging Distribution SHARDA CROPCHEM’s ASSET LIGHT BUSINESS MODEL Focus on identification of ge
Slide 8: Increasing Global Presence having a Widespread Distribution
Increasing Global Presence having a Widespread Distribution Over the years, we’ve built a strong brand Presence franchise within our global markets; we are benefiting through the economies of scale in 80+ countries our portfolio and leveraging value of our across Europe, NAFTA, supply chain to deliv
Slide 9: The Sharda Advantage
The Sharda Advantage THE SHARDA ADVANTAGE One Stop Healthy Faster Solution Wide Product Quality with Global Reach relationships Services to Provider for Range Affordability with suppliers Customers Crop Care Products 8
Slide 10: Way Forward
Way Forward Forward Integration - Build Sales Force Expand & Strengthen Distribution Presence ➢ Leverage market presence and execution capabilities ➢ Expand geographical reach using existing library of dossiers ➢ Adopt the factory to farmer approach and be a one stop solution provider ➢ Two-fold str
Slide 11: Industry Outlook and Growth Drivers
Industry Outlook and Growth Drivers Global crop protection chemicals market value (In Billion USD) – CAGR of 3.5% 59.7 62.8 77.0 53.0 42.0 43.7 8.1 8.4 10.2 7.7 5.3 3.9 5.9 4.3 5.4 0.5 0.6 0.8 2020 2025e 2030e Herbicide Fungicide Insecticide Nematicide Molluscicide INDUSTRY DRIVERS 1 2 3 Fewer arabl
Slide 12: Experienced Management
Experienced Management Mr. Ramprakash V. Bubna Mr. Ashish Bubna Mr. Manish Bubna Mr. Ashok Vashisht Chairman & Managing Director Whole Time Director Whole Time Director Chief Financial Officer • Holds a Bachelor’s Degree of • Holds a Bachelor’s Degree in • Holds a Bachelor’s Degree in Chemical • He
Slide 13: Q1 FY23 Financial Highlights
Q1 FY23 Financial Highlights
Slide 14: Q1 FY23 Segment Wise Highlights
Q1 FY23 Segment Wise Highlights Cr. Agrochemical Segment Non Agrochemical Segment TOTAL REVENUES 86% 75% 14% 25% % of Revenue 100% 100% 615 210 825 534 623 89 Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 +15% +137% +32% On Consolidated Basis 13
Slide 15: Q1 FY23: Product Wise Highlights (Agrochemical Segment)
Q1 FY23: Product Wise Highlights (Agrochemical Segment) Cr. Herbicides Insecticides Fungicides TOTAL REVENUES (Agrochemical Segment) 48% 58% 25% 17% 27% 25% % of Revenue 100% 100% 354 136 156 615 144 534 105 254 Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 +39% -23% +8% +15% On Consolidat
Slide 16: Q1 FY23: Region Wise Breakup (Agrochemical Segment)
Q1 FY23: Region Wise Breakup (Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Agrochemical Segment) 47% 51% 33% 31% +24% +10% 615 312 175 192 251 534 Q1FY22 Q1FY23 Q1FY22 Q1FY23 LATAM Region RoW 16% 13% 4% 5% Q1FY22 Q1FY23 -2% +18% 85 83 28 23 +15% Q1FY22 Q1FY23 Q1FY22 Q1FY23 % of Reve
Slide 17: Q1 FY23: Region Wise Breakup (Non Agrochemical Segment)
Q1 FY23: Region Wise Breakup (Non Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Non - Agrochemical Segment) 27% 28% 44% 55% +143% +196% 210 59 114 24 39 Q1FY22 Q1FY23 Q1FY22 Q1FY23 89 LATAM Region RoW 6% 6% 23% 11% Q1FY22 Q1FY23 +165% +13% 13 23 21 5 +137% Q1FY22 Q1FY23 Q1FY22 Q1FY23
Slide 18: Q1 FY23 Financial Highlights
Q1 FY23 Financial Highlights Revenues & GP Margin EBITDA & EBITDA Margin* Profit After Tax & PAT Margin 29.3% 17.1% 6.1% 25.4% 13.5% 2.7% 825 107 111 38 623 23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 +32% +4% - 41% Revenue growth led by better price realization and product mix. EBITDA and Margin i
Slide 19: Impact of weakened Euro to the Dollar in the last quarter
Impact of weakened Euro to the Dollar in the last quarter USD / Euro Price Chart 1.11 Unprecedented depreciation of Euro to the USD - 7% 1.04 01-Apr-22 16-Apr-22 01-May-22 16-May-22 31-May-22 15-Jun-22 30-Jun-22 Major currencies have depreciated to the USD in the last quarter due to EVALUATION OF VA
Slide 20: Strong Balance Sheet
Strong Balance Sheet Working Capital (in Days) RoCE RoE +550 bps +470 bps 88 days 91 days 25.7% 19.8% 20.2% 15.2% 121 109 102 Mar-21 Mar-22 Mar-21 Mar-22 86 69 68 Cash & Cash Total Equity Total Debt Equivalents Jun-21 Jun-22 Rs. 1,942 Rs. 61 Rs. 254 crores crores crores Inventory Days Recievable Day
Slide 21: Annexure
Annexure
Slide 22: Q1 FY23 Financial Highlights
Q1 FY23 Financial Highlights Cr. Particulars Q1 FY23 Q1 FY22 Y-o-Y Revenue from Operations 824.5 622.7 32% COGS 615.1 440.1 Gross Profit 209.4 182.5 15% Gross Margin % 25.4% 29.3% Employee Expenses 8.5 10.1 Other Expenses 104.8 69.4 EBITDA* 111.1 106.6 4% EBITDA Margin % 13.5% 17.1% Forex (Gain)/Los
Slide 23: Historical Profit & Loss
Historical Profit & Loss Cr. Particulars FY22 FY21 FY20 FY19 FY18 Revenue from Operations 3,579.8 2,395.6 2,003.0 1,997.6 1,706.6 COGS 2,499.8 1,636.0 1,388.8 1,387.3 1,143.7 Gross Profit 1,080.0 759.7 614.3 610.2 562.8 Gross Margin % 30.2% 31.7% 30.7% 30.5% 33.0% Employee Expenses 44.2 37.3 34.9 33
Slide 24: Balance Sheet – Equity & Liabilities
Balance Sheet – Equity & Liabilities Cr. Equities & Liabilities FY22 FY21 FY20 FY19 FY18 Shareholder's Funds Equity and Share Capital 90.2 90.2 90.2 90.2 90.2 Other Equity 1,822.2 1,524.1 1,312.6 1,193.7 1,044.6 Non-controlling Interest 0.3 0.3 0.3 0.2 0.2 Total Equity 1,912.8 1,614.6 1,403.1 1,284.
Slide 25: Balance Sheet - Assets
Balance Sheet - Assets Cr. ASSETS FY22 FY21 FY20 FY19 FY18 Assets Non-Current Assets Property, Plant and Equipment 14.4 20.9 27.8 13.5 10.7 Goodwill 0.0 0.4 0.4 0.4 0.4 Other Intangible assets 577.4 523.1 388.1 357.8 215.2 Intangible assets under development 212.2 131.0 161.4 219.8 359.9 Deferred Ta
Slide 26: Key Financial Performance Indices
Key Financial Performance Indices Cr. Revenue EBITDA & EBITDA Margin* Profit After Tax & PAT Margin 20.7% 18.5% 17.6% 19.0% 20.4% 11.2% 8.8% 8.2% 9.6% 9.8% 3,580 2,396 729 349 1,998 2,003 1,707 455 229 353 369 352 191 176 165 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22
Slide 27: CSR Activities
CSR Activities CSR initiatives taken up by the Company are in the areas of Promoting Education, Healthcare, Eradicating Hunger, Empowerment of Women, Animal Welfare, Promotion of Sports and Rural Development Projects Promoting Education Animal Welfare Medical Aid & Relief 26
Slide 28: Thank You
THANK YOU Company: Sharda Cropchem Limited Investor Relation Advisors: Strategic Growth Advisors Pvt. Ltd. CIN: L51909MH2004PLC145007 CIN: U74140MH2010PTC204285 Mr. Ashok Vashisht - CFO Mr. Deven Dhruva / Mr. Jigar Kavaiya cfo@shardaintl.com deven.dhruva@sgapl.net / jigar.kavaiya@sgapl.net Tel: +91