Sharda Cropchem Ltd. · NSE:SHARDACROP
Sharda Cropchem — Q4 FY24 Earnings Presentation
35 slides from Sharda Cropchem's earnings presentation, May 10, 2024
Slide 1: Stock exchange filing cover letter
10th May, 2024 To, National Stock Exchange of India BSE Limited Limited Phiroze Jeejeebhoi Tower, Exchange Plaza, 5th Floor, Plot No. Dalal Street, C/1, Mumbai – 400 001 G-Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400 051 Trading Symbol: SHARDACROP Scrip Code: 538666 Subject: Investors / Ana
Slide 2: Investor Presentation May 2024
Investor Presentation May 2024
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: agrochemicals company with a peer
“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 of formulations and generic active ingredients Efficiently channelizing time and resources for strengthening core Asset Light Business Model competency of identifying generic mo
Slide 7: Overall Agrochemical Value Chain
Asset Light Business Model Overall Agrochemical Value Chain Sharda’s Operating Area ξ ξ ξ ξ 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 Solution Wide Product Quality with Faster Sales Global Reach relationships Provider for Range Affordability Service with suppliers Crop Care Products 8
Slide 10: Way Forward
Way Forward Forward Integration - Build Sales Force Expand & Strengthen Distribution Presence ¾ Leverage market presence and execution capabilities ¾ Expand geographical reach using existing library of dossiers ¾ Adopt the factory to farmer approach and be a one stop solution provider ¾ 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 M R k h V. V Bubna B b Mr. Ashish M A hi h Bubna B b Mr. Manish Bubna Mr Chairman & Managing Director Whole Time Director Whole Time Director • Holds a Bachelor’s Degree of • Holds a Bachelor’s Degree in Commerce from • Holds a Bachelor’s Degree in Chemical Tech
Slide 13: Q4 FY24 Financial Highlights
Q4 FY24 Financial Highlights
Slide 14: Q4 FY24: Segment Wise Highlights
Q4 FY24: Segment Wise Highlights Cr. Agrochemical Segment Non-Agrochemical Segment TOTAL REVENUES 89% 93% 11% 7% % of Revenue 100% 100% 1,316 166 1,482 1,215 1,312 97 Q4FY23 Q4FY24 Q4FY23 Q4FY24 Q4FY23 Q4FY24 -8% -42% -11% On Consolidated Basis 13
Slide 15: Q4 FY24: Product Wise Highlights (Agrochemical Segment)
Q4 FY24: Product Wise Highlights (Agrochemical Segment) Cr. Herbicides Insecticides Fungicides TOTAL REVENUES (Agrochemical Segment) 50% 45% 18% 17% 32% 38% % of Revenue 100% 100% 653 245 458 1,316 418 1,215 214 543 Q4FY23 Q4FY24 Q4FY23 Q4FY24 Q4FY23 Q4FY24 Q4FY23 Q4FY24 -17% -13% +9% -8% On Consoli
Slide 16: Q4 FY24: Region Wise Breakup (Agrochemical Segment)
Q4 FY24: Region Wise Breakup (Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Agrochemical Segment) 68% 64% 23% 28% +10% -12% 1,316 893 309 340 1,215 782 Q4FY23 Q4FY24 Q4FY23 Q4FY24 LATAM Region RoW 4% 3% 5% 5% Q4FY23 Q4FY24 -29% -10% 47 67 60 33 -8% Q4FY23 Q4FY24 Q4FY23 Q4FY24 % of Re
Slide 17: Q4 FY24: Region Wise Breakup (Non Agrochemical Segment)
Q4 FY24: Region Wise Breakup (Non Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Non - Agrochemical Segment) 12% 17% 67% 62% -17% -46% 166 20 110 16 60 Q4FY23 Q4FY24 Q4FY23 Q4FY24 97 LATAM Region RoW 3% 5% 18% 16% Q4FY23 Q4FY24 -8% -48% 5 5 31 16 -42% Q4FY23 Q4FY24 Q4FY23 Q4FY24 % of
Slide 18: Q4 FY24: Financial Highlights
Q4 FY24: Financial Highlights Cr. Revenues & GP Margin EBITDA Profit After Tax 34.6% 31.6% 312 303 199 1,482 1,312 2 143 Q4FY23 Q4FY24 2 Q4FY23 Q4FY24 Q4FY23 Q4FY24 • Overall Volumes have increased by 24.9% Y-o-Y in Q4 FY24 • Gross Margins increased by 300 bps to 34.6% in Q4 FY24 • Agrochemicals gre
Slide 19: FY24 Financial Highlights
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Slide 20: FY24 Segment Wise Highlights
FY24 Segment Wise Highlights Cr. Agrochemical Segment Non Agrochemical Segment TOTAL REVENUES 83% 83% 17% 17% % of Revenue 100% 100% 3,348 697 4,045 2,639 524 3,163 FY23 FY24 FY23 FY24 FY23 FY24 -21% -25% -22% On Consolidated Basis 19
Slide 21: FY24: Product Wise Highlights (Agrochemical Segment)
FY24: Product Wise Highlights (Agrochemical Segment) Cr. Herbicides Insecticides Fungicides TOTAL REVENUES (Agrochemical Segment) 55% 50% 17% 21% 28% 29% % of Revenue 100% 100% 1,824 572 560 952 3,348 765 2,639 1314 FY23 FY24 FY23 FY24 FY23 FY24 FY23 FY24 -28% -2% -20% -21% On Consolidated Basis 20
Slide 22: FY24: Region Wise Breakup (Agrochemical Segment)
FY24: Region Wise Breakup (Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Agrochemical Segment) 53% 57% 34% 31% -15% -27% 3,348 1,774 1,125 1,501 822 2,639 FY23 FY24 FY23 FY24 LATAM Region RoW 7% 6% 6% 6% FY23 FY24 -35% -23% 240 209 161 155 -21% FY23 FY24 FY23 FY24 % of Revenue On Con
Slide 23: FY24: Region Wise Breakup (Non Agrochemical Segment)
FY24: Region Wise Breakup (Non Agrochemical Segment) Cr. Europe NAFTA Region TOTAL REVENUES (Non - Agrochemical Segment) 20% 16% 61% 58% -38% -28% 697 136 424 85 305 524 FY23 FY24 FY23 FY24 LATAM Region RoW 5% 6% 14% 20% FY23 FY24 -16% +2% 36 101 103 31 -25% FY23 FY24 FY23 FY24 % of Revenue On Conso
Slide 24: FY24: Financial Highlights
FY24: Financial Highlights Cr. Revenues & GP Margin EBITDA Profit After Tax 29.3% 25.9% 713 342 4,045 3,163 3 318 32 FY23 FY24 4 FY23 FY24 FY23 FY24 • Gross Margins reduced to 25.9% in FY24 • Overall Volumes have increased by 4.0% Y-o-Y in FY24 • Raw Material and Finished goods sales price have redu
Slide 25: Strong Balance Sheet
Strong Balance Sheet Cash, Bank & Liquid Working Capital (in Days) Total Equity Investments 104 days 158 days Rs. 2,237 Rs. 375 192 crores crores Rs. 2,232 crores as on Mar’23 Rs. 328 crores as on Mar’23 152 157 140 123 91 Total Debt Mar-23 Mar-24 Rs. 3 crores Inventory Days Recievable Days Creditor
Slide 26: Annexure
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Slide 27: FY24 Financial Highlights
FY24 Financial Highlights Cr. Particulars Q4 FY24 Q4 FY23 Y-o-Y FY24 FY23 Y-o-Y Revenue from Operations 1,312.1 1,481.8 -11% 3,163.0 4,045.2 -22% COGS 858.3 1,013.9 2,342.4 2,860.8 Gross Profit 453.8 467.9 -3% 820.6 1,184.4 -31% Gross Margin % 34.6% 31.6% 25.9% 29.3% Employee Expenses 14.7 15.2 42.4
Slide 28: Balance Sheet
Balance Sheet Cr. EQUITY & LIABILITIES Mar-24 Mar-23 ASSETS Mar-24 Mar-23 Equity Non-current assets Equity share capital 90.2 90.2 Property, plant and equipment 3.8 5.0 Other equity 2,146.9 2,141.8 Right of use assets 14.4 0.0 Equity attributable to equity holders of the Company 2,237.1 2,232.0 Good
Slide 29: Cash Flow Statement
Cash Flow Statement Cr. Particulars (Rs. Cr.) FY24 FY23 Profit Before Tax 71.9 430.7 Adjustments relating to Operating Activities 272.8 266.5 Operating profit before working capital changes 344.6 697.2 Changes in working capital 47.0 -303.7 Cash generated from operations 391.7 393.5 Direct taxes pai
Slide 30: Key Financial Performance Indices
Key Financial Performance Indices Cr. Revenue EBITDA & EBITDA Margin* Profit After Tax & PAT Margin 18.5% 17.6% 19.0% 17.6% 10.1% 8.8% 8.2% 9.8% 8.5% 1.0% 4,045 3,580 3,163 729 349 713 342 2,396 2,003 455 229 352 318 165 32 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 R
Slide 31: Historical Profit & Loss
Historical Profit & Loss Cr. Particulars FY24 FY23 FY22 FY21 FY20 Revenue from Operations 3,163.0 4,045.2 3,579.8 2,395.6 2,003.0 COGS 2,342.4 2,860.8 2,499.8 1,636.0 1,388.8 Gross Profit 820.6 1,184.4 1,080.0 759.7 614.3 Gross Margin % 25.9% 29.3% 30.2% 31.7% 30.7% Employee Expenses 42.4 44.8 44.2
Slide 32: Balance Sheet – Equity & Liabilities
Balance Sheet – Equity & Liabilities Cr. Equities & Liabilities FY24 FY23 FY22 FY21 FY20 Shareholder's Funds Equity and Share Capital 90.2 90.2 90.2 90.2 90.2 Other Equity 2,146.9 2,141.8 1,822.2 1,524.1 1,312.6 Non-controlling Interest 0.4 0.4 0.3 0.3 0.3 Total Equity 2,237.5 2,232.4 1,912.8 1,614.
Slide 33: Balance Sheet – Assets
Balance Sheet – Assets Cr. ASSETS FY24 FY23 FY22 FY21 FY20 Assets Non-Current Assets Property, Plant and Equipment 3.8 5.0 14.4 20.9 27.8 Right to Use Assets 14.4 0.0 - - - Goodwill 0.0 0.0 0.0 0.4 0.4 Other Intangible assets 690.0 663.0 577.4 523.1 388.1 Intangible assets under development 282.9 20
Slide 34: 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 33
Slide 35: Thank You
THANK YOU Company: y Sharda Cropchem p Limited Investor Relation Advisors: Strategic Growth Advisors Pvt. Ltd. CIN: L51909MH2004PLC145007 CIN: U74140MH2010PTC204285 Mr. Shailesh Mehendale – CFO Mr. Deven Dhruva Mr. Dinesh Nahar – General Manager - Finance deven.dhruva@sgapl.net cfo@shardaintl.com /