Laxmi Organic Industries Ltd. · NSE:LXCHEM
Laxmi Organic Industries — Q3 FY22 Earnings Presentation
26 slides from Laxmi Organic Industries's earnings presentation, Feb 2, 2022
Slide 1: Exchange intimation letter for analyst meet
February 2, 2022 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Exchange Plaza, Bandra Kurla Complex, 1st Floor, New Trading Ring, Bandra (E), Rotunda Building, P. J. Towers, Mumbai – 400 051 Dalal Street, Fort, Trading Symbol: LXCHEM Mumbai – 400 001 Scrip C
Slide 2: Laxmi Organic Industries Reports Q3FY22 Results
LAXMI ORGANIC INDUSTRIES REPORTS Q3FY22 RESULTS Standalone Operating Revenue of ₹ 8,742 Mn Profit After Tax at ₹ 811 Mn Mumbai, February 1, 2022: Laxmi Organic Industries Limited (NSE: LXCHEM|BSE:543277|ISIN: INE576O0102), one of India’s leading specialty chemical manufacturers, has announced its fi
Slide 3: About Laxmi Organic Industries Ltd. (LXCHEM)
About Laxmi Organic Industries Ltd. (LXCHEM): Laxmi Organic Industries Ltd (LXCHEM) is a leading manufacturer of Acetyl Intermediates and Specialty Intermediates with almost three decades of experience in large scale manufacturing of chemicals. It is currently among the largest manufacturers of ethy
Slide 4: Investor Presentation – Q3 FY22
LAXMI ORGANIC INDUSTRIES LTD w w w. l a x m i . c o m Investor Presentation – Q3 FY22 | February, 2022
Slide 5: Disclaimer
Disclaimer Certain statements and opinions with respect to the anticipated future performance of Laxmi Organics Ltd (Laxmi) in the presentation (“forward - looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be
Slide 6: Agenda
Agenda 01 Company overview 02 Business 03 Strategy 04 Financials
Slide 7: Company overview
Company overview LAXMI ORGANIC INDUSTRIES LTD
Slide 8: Company overview
Company overview Large scale organic chemical Combined with YCPL the Only manufacturer of Diketene Forayed into high margin manufacturing for more than Company becomes the largest derivatives in India with ~55% specialty fluorochemicals by three decades manufacturer of Ethyl Acetate market share acq
Slide 9: De-risked business model with diversified customer base
De-risked business model with diversified customer base India market - Growth Diversified customer base (2019-24 CAGR) % of revenue from sale of manufactured products & services Pharma Ingredients Pharma Ingredients (API) 11% 7% 11% 33% Agrochemicals & Fertilizers 10% 11% FY21 Dyes & Pigments 11% 11
Slide 10: De-risking through presence in different geographies
De-risking through presence in different geographies Robust export earnings Low dependence on a single export market (INR Mn) FY21 sale break-up 5,879 Europe 41% Middle East 7% 3,972 Russia 3,293 3,541 Africa 17% China 1% 19% 7% Rest of Asia 8% Americas FY19 FY20 FY21 9MFY22 Arrangements for Custome
Slide 11: In-house Research & Development capabilities
In-house Research & Development capabilities Consistent technology absorption to develop R&D – Key growth driver of business new potential marketable products Developed five different chemistry platforms on Two DSIR recognised R&D facilities working on ketene, commercial scale diketene & other c
Slide 12: Business
Business LAXMI ORGANIC INDUSTRIES LTD
Slide 13: Overview of Acetyl Intermediates (AI) business
Overview of Acetyl Intermediates (AI) business Comprising of Ethyl Acetate, acetaldehyde, ethanol & other customised solvents Revenue … Capacity utilisation Expanding manufacturing capabilities (INR Mn) 201,000 MTPA 9,139 84% 84% 8,954 Acquisition of Yellowstone has been 8,145 completed. The trade c
Slide 14: Overview of Specialty Intermediates (SI) business
Overview of Specialty Intermediates (SI) business Basket of 34+ products – ketene, diketene derivatives (esters, acetic anhydride, amides, arylides & others) Healthy revenue contribution from new products Highly versatile products (INR Mn) 51% 46% 48% Pharmaceutical 1 4,562 4,368 5,069 2 Agrochemica
Slide 15: Fluorospecialty – Differentiated position in chemical manufacturing
Fluorospecialty– Differentiated position in chemical manufacturing Growth drivers of fluorochemicals Diversification into high margin fluorospeciality chemicals… One in every 3 new APIs will be based on fluorine chemistry Miteni (Italy) Manufacturer of organic fluorospecialities & Upto 20% of ph
Slide 16: Strategy
Strategy LAXMI ORGANIC INDUSTRIES LTD
Slide 17: Strategy
Strategy Increasing global Continuing focus on Establishing the footprint innovation fluorospecialty business Creation of subsidiary in USA with an Leverage know-how in complex Capture market share of Miteni, aim of having a stock point in the US chemistries to add downstream & utilising exist
Slide 18: Financial performance
Financial performance LAXMI ORGANIC INDUSTRIES LTD
Slide 19: Management Commentary
Management Commentary Mr. Ravi Goenka Chairman & Managing Director “I am pleased to provide you with an update on our performance in Q3FY22. Operating revenues for Q3FY22 came in at INR 8,742 million as against INR 3,936 million in Q3FY21. The strong top-line growth was fuelled by a 144% growth in A
Slide 20: Nine Months Profit and Loss Statement
Nine Months Profit and Loss Statement Standalone Consolidated 9M’22 Total Income Split (in INR Mn) (Standalone) PARTICULARS PARTICULARS 9M FY22 9M FY21 9M FY22 9M FY21 (in INR Millions) (in INR Millions) Revenue From Revenue From 20,902 11,387 22,043 12,489 Operations Operations AI Other Income 163
Slide 21: Quarterly Profit and Loss Statement
Quarterly Profit and Loss Statement Standalone Q3’22 Total Income Split (in INR Mn) (Standalone) PARTICULARS (in INR Millions) Q3FY22 Q2FY22 Q3FY21 Q-o-Q Y-O-Y Revenue From Operations 8,742 5,263 3,936 66% 122% AI Other Income 19 90 28 -80% -36% Total Income 8,761 5,353 3,963 64% 121% Total Operatin
Slide 22: Quarterly Profit and Loss Statement (Consolidated)
Quarterly Profit and Loss Statement Consolidated PARTICULARS (in INR Millions) Q3FY22 Q2FY22 Q3FY21 Q-o-Q Y-o-Y Revenue From Operations 8,599 6,081 4,355 41% 97% Other Income 20 67 19 -70% 5% Total Income 8,619 6,148 4,374 40% 97% Total Operating Expenses 7,412 5,772 3,679 28% 102% Operating EBITDA
Slide 23: Financial performance trend
Financial performance trend Revenue from operations EBITDA profile (INR Mn) (INR Mn) 20,902 2,626 16,061 2,025 14,288 13,587 1,514 8,742 1,176 1,019 FY19 FY20 FY21 Q3FY22 9M FY22 FY19 FY20 FY21 Q3FY22 9M FY22 PAT profile Return ratios (INR Mn) (%) 1,901 29% 1,226 26% 26% 21% 20% 778 786 811 17% 18%
Slide 24: Financial performance trend
Financial performance trend Asset turnover Working capital days (X) (days) 1.7 34 33 1.5 1.3 1.3 27 25 0.9 18 FY19 FY20 FY21 Q3FY22 9M FY22 FY19 FY20 FY21 Q3FY22 9M FY22 Leverage profile Cash Inflow from Operations before WC changes and CAPEX outgo (X) (INR Mn) Capex outgo for fluoro project is Rs.1
Slide 25: Glossary
Glossary ETAC – Ethyl Acetate AI – Acetyl Intermediates SI – Specialty Intermediates DSIR – Department of Scientific and Industrial Research IFC – International Finance Corporation LOIL – Laxmi Organic Industries Ltd YCPL – Yellowstone Chemicals Pvt Ltd YFCPL – Yellowstone Fine Chemi
Slide 26: Thank You
THANK YOU For further details please get in touch with: LAXMI ORGANIC INDUSTRIES Email: investors@laxmi.com DIWAKAR PINGLE CHRISTENSEN ADVISORY Email: dpingle@christensenir.com
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