Punjab Chemicals & Crop Protection Ltd. · NSE:PUNJABCHEM
Punjab Chemicals & Crop Protection — Q2 & H1 FY23 Earnings Presentation
28 slides from Punjab Chemicals & Crop Protection's earnings presentation, November 2022
Slide 1: Exchange filing cover letter: Investor Presentation Q2 & H1 FY23
PUNJAB CHEMICALS AND CROP PROTECTION LTD. CIN NO. L24231PB1975P|C047063 Regd. Office & Works Milestone-18, Ambala-Kalka Road, Village & P.O. Bhankharpur, Derabassi, Distt SAS Nagar, Mohali (Punjab)-140201, INDIA Tele: 01762-280086, 522250, Fax: 01762-280070, E-mail: info@punjabchemicals.com, Website
Slide 2: Q2 & H1 FY23 Result Presentation November 2022
Q2 & H1 FY23 RESULT PRESENTATION November 2022
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Punjab Chemicals & Crop Protection Ltd (the “Company’), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscrib
Slide 4: Table of Contents
1. Q2 & H1 FY23 Result Highlights 2. Company Overview 3. Business Strategy & TABLE OF CONTENTS Investment Rationale 4. Agrochemicals Industry Overview 5. Performance Track Record
Slide 5: Q2 & H1 FY23 Result Highlights
Q2 & H1 FY23 RESULT HIGHLIGHTS 4
Slide 6: Result Highlights
Result Highlights Management Commentary ▪ Our growth momentum continues with Q2 FY23 Revenue revenue at ₹ 278 cr higher by 33% YoY Q2 FY23 EBITDA ₹ 31 cr, ₹ 278 cr, EBITDA Margin 11% ▪ Increased raw material costs continues to up 33% YoY have an impact on gross margin ▪ Pricing pressure in certain m
Slide 7: Q2 FY23 Financial Performance
Q2 FY23 Financial Performance YoY Comparison (In ₹ cr, except margin) REVENUE GEOGRAPHICAL SPLIT +33.9% 279 208 105 279 Domestic 103 208 174 International 105 Q2 FY22 Q2 FY23 Q2 FY22 Q2 FY23 PAT & PAT MARGIN EBITDA & EBITDA MARGIN 14.9% 11.2% 8.6% 6.3% 31 31 18 18 Q2 FY22 Q2 FY23 Q2 FY22 Q2 FY23
Slide 8: H1 FY23 Financial Performance
H1 FY23 Financial Performance YoY Comparison (In ₹ cr, except margin) REVENUE GEOGRAPHICAL SPLIT 551 +31.2% 420 235 212 551 420 316 208 H1 FY22 H1 FY23 H1 FY22 H1 FY23 PAT & PAT MARGIN EBITDA & EBITDA MARGIN 10.1% 6.9% 16.4% 12.1% 69 66 42 38 H1 FY22 H1 FY23 H1 FY22 H1 FY23
Slide 9: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (In ₹ cr) Q2 FY23 Q2 FY22 Y-o-Y Q1 FY23 Q-o-Q H1 FY23 H1 FY22 Y-o-Y Revenue from Operations 278.6 208.8 33.4% 272.1 2.4% 550.7 419.7 31.2% Cost of Material Consumed 164.7 133.7 194.0 358.7 265.4 Purchases of stock in trade 1.2 0.8 0.9 2.1 1.7 Change i
Slide 10: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (In ₹ cr) Sep-22 Mar-22 Particulars (In ₹ cr) Sep-22 Mar-22 EQUITY AND LIABLITIES ASSETS Equity Non-Current assets Equity share capital 12.3 12.3 Property, Plant and Equipment 205.2 206.2 Other Equity 248.4 213.4 Capital work - in - progress 20.2 6.8 Total equi
Slide 11: Company Overview
180 9004-2015 & 180 140012015 Certified Company COMPANY OVERVIEW
Slide 12: Our Company
Our Company Established in 1975 as Punjab United Pesticides & Chemical Limited (PUPCL), the company has now evolved into Punjab Our Vision Chemicals and Crop Protection Limited. We are an agrochemicals company with a rich history of over three decades with state of To become a major Indian player in
Slide 13: Evolution of Punjab Chemicals
Evolution of Punjab Chemicals Started in 1975 as a small company Gained Manufacturing expertise & Strategic shift in business model to to cater to the Domestic needs of diversified into Pharmaceuticals, focus on the growing opportunity in basic chemicals like Oxalic Acid & Intermediates, Industrial
Slide 14: Our Global Clientele
Our Global Clientele Target regions for next leg of growth: Latin America, South Asia, European Union
Slide 15: Manufacturing Facility - Derabassi
Manufacturing Facility - Derabassi Location Derabassi Established 1975 Area 24.1 acres Manpower 751 Capacity Utilisation (H1 FY23) 85% Molecules: Metamitron, Metconazole, Diflufinican, Oxalic Acid, Benzoic Acid, Ethofumesate Annual Production (MT) & Capacity Utilisation (%) 82% 73% 80% 85% 85% 23,79
Slide 16: Manufacturing Facility - Lalru
Manufacturing Facility - Lalru Location Lalru Established 2003 Area 23.5 acres Manpower 456 Capacity Utilisation (H1 FY23) 52% • Molecules: Albendazole, Ketosulphone, Drotavarin, Etoricoxib, Aminoacetonitrile • 6 acres available for future expansion • Capacity added in FY21: 3,000 MT Annual Producti
Slide 17: Leadership Team: Board of Directors
Leadership Team: Board of Directors Mr. Mukesh D. Patel , Chairman Mr. Shalil Shroff , Managing Director • Graduate in Chemical Engineering, experience in finance and • Management Diploma from University of Deopage (USA) Corporate management for more than 43 years • Joined in 1992 and Managing Direc
Slide 18: Leadership Team: Key Management Team
Leadership Team: Key Management Team Mr. Avtar Singh, Non-Independent Director Mr S.S. TIWARI, Non-Independent Director • BSc. – Punjab University; associated with the company for 40 years, • MSc, Diploma in Mgmt. In charge of operations of Agro Chemicals Division and Specialty • 39 years associatio
Slide 19: Business Strategy
PUNJAB CHEMICALS ¥ AND CROP PROTECTION LID. 180 004-2015 & 180 140012015 Certified Company
Slide 20: Business Model
Business Model • Target ₹ 50-100 cr revenue per • Offer attractive and cost- product effective solution • Target clients - Global • Long term engagement favorable Agrochemical leaders for both parties • Mid-sized companies with specific • Faster turnaround requirement Identify Niche Partner for Prod
Slide 21: Investment Rationale
Investment Rationale Low Cost Developed an efficient cost competitive process over the last Operator decade and are maximising export potential Availability of technically trained manpower , Manufacturing and extra production capacity to fulfil incremental demands R&D Capability Historical associati
Slide 22: Agrochemicals Industry Overview
AGROCHEMICALS INDUSTRY OVERVIEW 21
Slide 23: Indian Agrochemicals Industry
Indian Agrochemicals Industry • India is the fourth largest producer and the fifth largest exporter of agrochemicals in the world • The Indian agrochemicals market (at USD 9.2 bil or ~15% share of the global agrochemicals market worth USD 62.5 bil) is the largest sub-segment of the specialty chemica
Slide 24: Industry Opportunity
Industry Opportunity Anticipated Growth Expertise Anticipated Growth 2018 → 2025 Opportunity size Opportunity size Capitalising on Opportunity 2018 → 2025 Required/ WIP* ➢ Integrated Pest $ 32 bil → $ 49 bil Biologicals $2.8 bil → $7.1 bil Improvements in formulation, ease of use, Management (IPM) C
Slide 25: Performance Track Record
PERFORMANCE TRACK RECORD 24
Slide 26: Performance Track Record
Performance Track Record Revenue (₹ cr) EBITDA (₹ cr) PAT (₹ cr) 84 +17.1% 933 140 +35.4% +48.4% 643 678 96 49 550 496 66 42 42 17 17 11 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Revenue Split (₹ cr) EBITDA Margin (%) PAT Margin (%) Domestic Export 933 15.0 14.1 8.9
Slide 27: Performance Track Record
Performance Track Record Capital Structure (₹ cr) Working Capital Analysis (₹ cr) D/E 1.4x 1.0x 0.9x 0.6x 0.4x 32 45 44 31 36 87 80 95 85 82 68 81 91 88 101 226 -85 -103 -100 -102 -131 145 91 98 74 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Debt Equity Receivable Days Inventory Days Payable D
Slide 28: Thank You
Mr. Nachiket Kale Dr. S. Sriram nachiket.kale@linkintime.co.in Chief Financial Officer +91 99209 40808 investorhelp@punjabchemicals.com Mr. Bhavin Soni bhavin.soni@linkintime.co.in +91 98335 37225 THANK YOU LinkedIn Website
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