Punjab Chemicals & Crop Protection Ltd. · NSE:PUNJABCHEM
Punjab Chemicals & Crop Protection — Q3 FY2022 Earnings Presentation
27 slides from Punjab Chemicals & Crop Protection's earnings presentation, January 2022
Slide 1: Stock exchange filing cover letter
PUNJAB CHEMICALS AND CROP PRC)TECTIc)N LTD. clN No. L24231P81975PLC047063 Regd. Office & Works Milestoue-18, Ambala-Kalka Road, Village & PO. Bhankharpur, Derabassi, Distt SAS Nagar, Mohali (Punjab)-l4020l,INDIA Tele: 01762-280086, 522250,Fax:01762-280070, E-mail: info@punjabchemicals.com, Website:
Slide 2: Investor Presentation January 2022
PUNJAB CHEMICALS .AND CROP PROTECTION LTD INVESTOR PRESENTATION January 2022 1
Slide 3: Disclaimer
DISCLAIMER This presentation and the following discussion may contain “forward looking statements” by Punjab Chemicals & Crop Protection Limited (“Punjab Chemicals” or the Company) that are not historical in nature. These forward-looking statements, which may include statements relating to future
Slide 4: Discussion Summary
DISCUSSION SUMMARY Financial Overview – Q3 & 9MFY22 Company Overview Business Strategy Performance Track Record 3
Slide 5: Q3 & 9M FY22 Result Highlights
Q3 & 9M FY22 RESULT HIGHLIGHTS RESULTS AT A GLANCE Q3 FY22 Revenue Q3 FY22 EBITDA Q3 FY22 PAT ₹ 255 cr, ₹ 37 cr, ₹ 22 cr, up 48% YoY up 34% YoY Up 40% YoY Top 10 Long-term Client Deals EBITDA Margin 14.4% Products/Molecules Strong Order Book PAT Margin 8.6% contributed +65% of position: ₹ 1,500 cr R
Slide 6: Q3 FY22 Financial Performance
Q3 FY22 FINANCIAL PERFORMANCE YOY COMPARISON (In ₹ cr) REVENUE GEOGRAPHICAL SPLIT International Domestic 255.0 19% 48% 135.3 172.5 113.4 103% 119.8 59.1 Q3 FY21 Q3 FY22 Q3 FY21 Q3 FY22 EBITDA & EBITDA MARGIN CASH PAT*, PAT & PAT MARGIN 30 .0% 25 .0% PAT Cash PAT PAT Margin % 15.9% 14.4% 20 .0% 15 .0
Slide 7: 9M FY22 Financial Performance
9M FY22 FINANCIAL PERFORMANCE YOY COMPARISON (In ₹ cr) REVENUE GEOGRAPHICAL SPLIT International Domestic 674.8 22% 468.7 343.1 44% 281.7 76% 328.8 187.0 9M FY21 9M FY22 9M FY21 9M FY22 EBITDA & EBITDA MARGIN 30 .0% *CASH PAT, PAT & PAT MARGIN 25 .0% PAT Cash PAT PAT Margin % 15.4% 15.6% 20 .0% 9.5%
Slide 8: Consolidated Profit & Loss Statement
CONSOLIDATED PROFIT & LOSS STATEMENT Particulars (In Rs Cr) Q3 FY22 Q3 FY21 YoY % Q2 FY22 QoQ % 9M FY22 9M FY21 YoY % FY21 Revenue 255.0 172.5 48% 208.8 22% 674.8 468.7 44% 678.2 COGS 160.8 101.3 59% 124.1 30% 408.5 273.4 49% 405.1 Gross Profit 94.3 71.2 32% 84.7 11% 266.3 195.3 36% 273.1 Gross Marg
Slide 9: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET Particulars (In Rs Cr) Sep-21 Mar-21 Particulars (In Rs Cr) Sep-21 Mar-21 Equity Non-Current Assets Equity Share capital 12.3 12.3 Property, Plant and Equipment 195.7 182.3 Other Equity 172.5 132.3 Capital work - in - progress 8.7 15.0 Right of Use Assets 5.7 5.3 Non-Curre
Slide 10: Company Overview
COMPANY OVERVIEW 9
Slide 11: Punjab Chemicals at a Glance
COMPANY OVERVIEW PUNJAB CHEMICALS AT A GLANCE About Us Our Mission • Established in 1975 • Specialising in agrochemicals • To achieve income and profitability in a • Expanding aggressively in contract research & sustained manner manufacturing (CRAMS) • To meet the customer expectations with products
Slide 12: Evolution of the Company
COMPANY OVERVIEW EVOLUTION OF THE COMPANY Highest EBITDA in 10 years - ₹ 955 mn 2021 Business Model – Contract Manufacturing 2016 M&A – Alpha Drug Pharma 2003 2018 Capacity enhancement – Diversification- Agrochemicals Specialty Chemicals 1983 2006 Integration under one entity- Punjab Chemicals 1995
Slide 13: Manufacturing Facilities
MANUFACTURING FACILITIES Location Derabassi Lalru Established 1975 2003 Area 24.1 acres 23.5 acres Capacity 29,700 MT 5,778 MT Manpower 751 456 Capacity Utilisation(9M FY22) 81% 81% Certifications ISO 9001:2015 & ISO 14001:2015 ; 2 STAR Export House 12
Slide 14: Manufacturing Facilities: Derabassi and Lalru
MANUFACTURING FACILITIES DERABASSI LALRU • Molecules: Albendazole, Ketosulphone, • Molecules: Metamitron, Metconazole, Drotavarin, Etoricoxib, Trimethoprim, Diflufinican, Oxalic Acid, Benzoic Acid, Aminoacetonitrile Ethofumesate • 6 acres available for future expansion • Capacity added in FY21: 3,00
Slide 15: 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 Corporate • Management Diploma from University of Deopage (USA) management for more than 43 years • Joined in 1992 and Managing Direct
Slide 16: Key Management 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 association with the compan
Slide 17: Business Strategy
PUNJAB CHEMICALS AND CROP PROTECTION LTD. 10 9001:2018 & 180 140012018 Ceriied Company BUSINESS STRATEGY 16
Slide 18: Business Strategy
BUSINESS STRATEGY Identify Niche Partner for Modus Products Contract Mfg Operandi Growth Triggers • Target ₹ 50-100 cr • Offer attractive and cost- • Dedicated R&D Team • Diversification & expansion revenue per product effective solution • Quick implementation of the into new geographies to • Target
Slide 19: Advantage Punjab Chemicals
ADVANTAGE PUNJAB CHEMICALS Anticipated Punjab Chemicals has Growth the advantage Opportunity of being a go-to size CRAMS provider for both domestic & international 2018 agrochemical companies, 2025 thus positioned to gain further advantages as the industry expands Developed an efficient cost compe
Slide 20: Indian Agrochemicals Industry Overview
INDIAN AGROCHEMICALS INDUSTRY OVERVIEW • 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 specialt
Slide 21: Indian Agrochemicals Industry Overview
INDIAN AGROCHEMICALS INDUSTRY OVERVIEW Consumption vs Exports (₹ ‘000 cr) Segmental Domestic Consumption 2010 2020 Technical Manufacturers ~125 ~145 36.3% 22,000 35.5% 20,000 13.3% Formulators ~800 ~1000 15.0% Domestic Exports Insecticide Fungicides Agrochemicals Export from India Distributors 1.5 L
Slide 22: Industry Opportunities
INDUSTRY OPPORTUNITIES Anticipated Growth Anticipated Growth Opportunity size Opportunity size Expertise Capitalising on Opportunity 2018 2025 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)
Slide 23: Major Clientele
MAJOR CLIENTELE Long Standing Client Relationships Global foray leading to new Clients Target regions for next leg of growth: Latin America, South Asia, European Union 22
Slide 24: Performance Track Record
PERFORMANCE TRACK RECORD PUNJAB CHEMICALS eA ANI LID. ‘801 Company
Slide 25: Past Performance at a Glance
PAST PERFORMANCE AT A GLANCE 5 YEARS TRACK RECORD (in ₹ cr) EBITDA EBITDA Margin (%) REVENUE 120 .0 16. 0% 14.1% 1,0 00.0 14. 0% 900 .0 100 .0 10.3% 800 .0 678.1 12. 0% 700 .0 642.9 80. 0 535.9 549.5 8.4% 10. 0% 600 .0 495.9 7.7% 60. 0 8.0 % 500 .0 400 .0 95.5 6.0 % 40. 0 300 .0 2.8% 66.4 4.0 % 200
Slide 26: Past Performance at a Glance: Leverage and Cash Flow
PAST PERFORMANCE AT A GLANCE 5 YEARS TRACK RECORD Leverage Analysis (₹ cr) Working Capital Analysis 2.2 67 1.6 106 60 48 56 1.0 1.0 151 42 68 33 39 30 37 44 12 74 98 -72 -135 -101 -114 -92 91 0.5 -21 151 -29 117 91 99 75 -48 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Debt Equity Debt/Equity R
Slide 27: Thank You
THANK YOU Chintan Mehta Dr. S. Sriram IR Consultant Chief Financial Officer Contact: + 91 9892183389 investorhelp@punjabchemicals.com punjabchemicals@dickensonworld.com 26
Punjab Chemicals and Crop Protection — Q3 FY2022 Earnings Presentation on 6ix