Acutaas Chemicals Ltd · NSE:ACUTAAS

Acutaas Chemicals — Ami Organics — Q4 FY24 Earnings Presentation

44 slides from Acutaas Chemicals's earnings presentation, May 11, 2024

  1. Slide 1: Cover letter to stock exchanges

    Ami Organics Limited CIN.: L24100GJ2007PLCO51093 Registered Office :- Plot Xo. 440/4,5& d, Road No. 82/A, G.I.D.C. Sachin, Surat - 394230, Dist. Surat, Gujarat, India. May 11, 2024 To, To, The Listing Department, The Listing Department BSE LIMITED, National Stock Exchange of India Limited, Phiroze J

  2. Slide 2: Investor Presentation May 2024

    Investor Presentation M AY 2 0 2 4 BSE : 543349 | NSE : AMIORG | www.amiorganics.com 1

  3. Slide 3: Table of Contents

    Table of Contents 01 02 03 Q4 & FY24 Results Company Overview Advanced Pharma Intermediate 04 05 Specialty Chemicals Working towards better tomorrow 2

  4. Slide 4: 1. Q4 & FY24 Results

    1. Q4 & FY24 Results  Management Commentary  Q4FY24 Earnings Highlights  Q4FY24 Business Highlights  Q4FY24 Financial Performance – Key Metrics  FY24 Financial Performance – Key Metrics  P&L Statement  Financial Performance over the years – Key Metrics  Financials since IPO  Shareholder Inf

  5. Slide 5: Management Commentary

    Management Commentary “I am pleased to share that we have been successful in navigating through the tough industry scenario to deliver an all-time high quarterly revenue from operations of Rs. 225 cr. This represents a growth of 21% YoY and an exceptional 35% sequential growth. Our advanced pharmace

  6. Slide 6: Q4FY24 Earnings Highlights

    Q4FY24 Earnings Highlights  Revenue from operations for Q4FY24 grew by 20.7% YoY and 35.2% QoQ to Rs. 2,250 mn  The gross margin for the quarter was at 40.0%. Gross margins were impacted due to change in product mix.  EBITDA for the quarter came at Rs. 432 mn up 5.9% YoY compared to Rs. 408 mn in

  7. Slide 7: Q4FY24 Business Highlights

    Q4FY24 Business Highlights  Export at 56%; domestic business at 44%  During the quarter, Ami Organics Electrolytes Private limited, a wholly owned subsidiary of Ami organics focused on Battery chemicals, commenced regular commercial operations for manufacture and supply of products for lithium-ion

  8. Slide 8: Q4FY24 Financial Performance – Key Metrics

    Q4FY24 Financial Performance – Key Metrics Revenue from Operations (Rs Mn) YoY Growth 18.1% 35.9% 20.7% 2,250 Q4FY23 Q4FY24 1,896 1,864 1,604 260 353 Advance Intermediates Specialty Chemicals Total EBITDA & EBITDA Margin PAT EPS (Rs Mn) (Rs Mn) 21.9% 14.6% 19.2% 11.6% 408 432 272 260 7.5 6.9 Q4FY23

  9. Slide 9: FY24 Financial Performance – Key Metrics

    FY24 Financial Performance – Key Metrics Revenue from Operations (Rs Mn) YoY Growth 9.6% 51.7% 16.3% FY23 FY24 7,175 5,678 6,167 5,181 987 1,497 Advance Intermediates Specialty Chemicals Total EBITDA & EBITDA Margin PAT EPS (Rs Mn) (Rs Mn) 19.9% 17.9% 13.5% 11.3% 1,226 1,285 833 808 22.9 20.4 FY23 F

  10. Slide 10: P&L Statement

    P&L Statement Particulars (Rs. Mn) Q4FY24 Q4FY23 YoY Q3FY24 QoQ FY24 FY23 YoY Revenue from Operations 2,250 1,864 20.7% 1,664 35.2% 7,175 6,167 16.3% COGS 1,350 1,051 950 4,117 3,309 Gross Profit 900 813 10.6% 714 25.9% 3,058 2,858 7.0% Gross Margin 40.0% 43.6% 42.9% 42.6% 46.3% Employee benefits ex

  11. Slide 11: Financial Performance over the years – Key Metrics

    Financial Performance over the years – Key Metrics Revenue from Operations- Growth Trends (Rs Mn) FY20 FY21 FY22 FY23 FY24 FY20-24 CAGR: 25% 112% 32% 7175 6170 5,678 5,180 5,201 4,270 3,240 3,406 2322 2396 1,497 932 990 74 166 Advance Intermediates Chemicals Total Revenue – by Business Verticals Rev

  12. Slide 12: Financial Performance over the years – Key Metrics (cont’d)

    Financial Performance over the years – Key Metrics (cont’d) EBITDA and EBITDA Margins (%) PAT and PAT Margins (%) 23.5% 1,285 20.2% 1,227 15.9% 13.8% 17.1% 833 11.5% 808 19.9% 719 1,052 13.5% 17.9% 802 540 11.3% 410 275 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 EBITDA (₹ Mn) EBITDA Margin (%

  13. Slide 13: Financials since IPO

    Financials since IPO Restated Summary Statement of Profit and Loss Restated Summary Statement of Asset and Liabilities Particulars (Rs. Mn) FY21 FY22 FY23 FY24 Particulars (Rs. Mn) FY21 FY22 FY23 FY24 I. Assets Revenue from Operations 3,406 5,201 6,167 7,175 Property, plant and equipment 1,608 1,808

  14. Slide 14: Shareholder Information

    Shareholder Information Shareholding as on 31st March 2024 Share Information as on 31st March 2024 NSE Ticker AMIORG BSE Ticker 543349 Others 36.2% Promoters Market Cap (Rs. Cr) 4,034 39.9% Shares Outstanding 3,68,80,562 3M ADTV (Shares)* 1,62,154 3M ADTV (Rs. cr)* 18.21 MF Industry Specialty Chemic

  15. Slide 15: 2. Company Overview

    2. Company Overview  Company Overview  Our Journey  Our Products  Strong and Long-term relations with Diversified Customers across Geographies  Our Manufacturing Facilities  Superior R&D Capabilities  Our Founders  Our Leadership  What makes us different 14

  16. Slide 16: Company Overview – Business Segments

    Company Overview Business Segments AMI Organics (AMI) is a research and development driven manufacturer of specialty chemicals and is focused on the development and manufacturing of advanced pharmaceutical intermediates (“Pharma Intermediates”) for regulated and generic active pharmaceutical ingredi

  17. Slide 17: Our Journey

    Our Journey 2004 2005 2006 Formation of Partnership Firm in the Gujarat Gas Safety Award – developing Ami Organics changed its constitution name of “Ami Organics” and implementing effective HSE from Partnership Firm into ‘Ami Management System Organics Private Limited‘ 2016 2015 2011  Obtained cert

  18. Slide 18: Our Products

    Our Products Advance Intermediates for Specialty Chemicals Pharmaceuticals  Niche KSM for Cosmetics, Finechem and Agrochem companies  Advanced Intermediates:  Parabens & paraben formulations, Salicylic – ~500 Products invoiced in last 5 years Acid and other specialty chemicals that – Intermediate

  19. Slide 19: Strong and Long-term relations with Diversified Customers across Geographies

    Strong and Long-term relations with Diversified Customers across Geographies Europe 57%  Well established and long-term relations with domestic of revenue from Top and MNCs across large and fast-growing markets 10 customers in FY24 globally China Japan  Diversified customer base North America Isra

  20. Slide 20: Strong and Long-term relations with Diversified Customers (cont’d)

    Strong and Long-term relations with Diversified Customers across Geographies (cont’d) Advanced Generic Pharma Intermediates (Top Clients) Innovators Specialty Chemicals (Top Clients) 19

  21. Slide 21: Our Manufacturing Facilities

    Our Manufacturing Facilities Manufacturing Facilities Total Total Land Area (sq mtrs) 76,891 Installed Capacity (KL) ~1,100 Sachin, Gujarat Ankleshwar, Gujarat Jhagadia, Gujarat Greater Noida, UP Land Areas Installed Capacity Land Areas Installed Capacity Land Areas Installed Capacity Land Areas Ins

  22. Slide 22: Superior R&D Capabilities

    Superior R&D Capabilities R&D Expenditures (Rs. mn) Technology State-of-the-art 1 R&D Lab 2 3 equipment 86 65 70 77 141 23,681 sq. ft. ADL fully supported by analytical Modern fume hood system, State of art R&D facility at Sachin instruments autoclave, high vacuum supported by an ADL (LCMASS, GCMASS

  23. Slide 23: Superior R&D Capabilities (Cont’d)

    Superior R&D Capabilities (Cont’d) Our Capabilities in Key Chemistry Etherification Acylation Fluorination Nitration Esterification Bromination Diazotization Hydrogenation Alkylation Amination Chlorination & hydrolysis AMI Organics R&D Centre in Surat 22

  24. Slide 24: Superior R&D Capabilities – Continuous Flow Reactor

    Superior R&D Capabilities (Cont’d) Continuous Flow Reactor  Continuous flow reactors are more efficient, and sustainable when compared to manufacturing products using traditional reactors.  AMI has successfully developed capabilities in Plug Flow, Catalytic fixed-bed flow, Tubular flow kind of rea

  25. Slide 25: Our Founders

    Our Founders The visionaries who built this company  Mr. Nareshkumar Patel is founder of the Company.  He has been associated with the Company since its inception and has extensive experience in the global generic pharma business.  Nareshkumar is responsible for handling the Chemical Engineering

  26. Slide 26: Our Leadership

    Our Leadership Board of Directors Virendra Girikrishna Richa Hetal Dr. Anita Mr. Ram Mohan Mishra Maniar Goyal Gandhi Bandyopadhyay Lokhande Whole-time Non-executive, Non-executive, Non-executive Independent Whole-time Director Independent Director Independent Director Independent Director Director

  27. Slide 27: What makes us different

    What makes us different Niche Product Portfolio High entry Diversified products to Diversified customer The reputation for Robust cost with a strong market barriers support our growth in base across geography innovative product management / Process share future launches, supported by Improvements ro

  28. Slide 28: 3. Advanced Pharma Intermediate

    3. Advanced Pharma Intermediate  A leading Advanced Intermediate Manufacturer from India  Our Business Model  Uniqueness of our business model  Our Strategy and Outlook  Industry Overview 27

  29. Slide 29: A leading Advanced Intermediate Manufacturer from India

    A leading Advanced Intermediate Manufacturer from India (Rs. mn) Historical Business Performance 5,678 50-90% 150+ FY24 Market Share in Customers 5,180 5,676 Revenue Key Molecules in FY24 4,270 (INR mn)) 3,240 2,322 ~35 15 2 FY20 FY21 FY22 FY23 FY24 Countries Process Patents Manufacturing (Customer

  30. Slide 30: Our Business Model – Advanced Intermediates for Pharmaceuticals

    Our Business Model – Advanced Intermediates for Pharmaceuticals CDMO  Contract Manufacturing for big pharma companies ~10%  Exclusive long term supply contracts Regulatory market business  Supplying NCE molecules to the pharma innovator companies  Supplying intermediates to the innovator pharma

  31. Slide 31: Uniqueness of our business model

    Uniqueness of our business model 1 2 3 4 5 6 Chronic Therapy Wide Product R&D Presence across Preferred Strong Customer focused Basket Leadership value chain Supplier Base  95% of the products  Wider basket of  First to market with  AMI is present across  Our unique business  As one of the cat

  32. Slide 32: Our Strategy and Outlook

    Our Strategy and Outlook Growing Innovator business with more focus on CDMO opportunities S T O New completed capex expands U R capacities for the future growth T A Products already commercialized for drugs going off patent in coming L T years improves revenue visibility O E Expect to continue the h

  33. Slide 33: Industry Overview

    Industry Overview Revenue (FY24) Global API Market (USD Bn) Speciality Chemicals 229 21% 170 128 Pharma Intermediates 79% 2015 2020 2025F Currently ~80% of our revenue come from products used …with Global API industry estimated to grow by 6%; in Pharmaceutical industry specifically for manufacturing

  34. Slide 34: 4. Specialty Chemicals

    4. Specialty Chemicals  Speciality Chemicals - Overview  New Product developed – Electrolyte Additive  Acquisition of Baba Fine Chemicals (BFC)  Our Strategy and Outlook  Industry Overview 33

  35. Slide 35: Speciality Chemicals - Overview

    Speciality Chemicals - Overview (Rs. mn) Historical Business 1,497 ~350 ~50 Performance FY24 Customers Countries Revenue across the globe 1,497 (Customer locations) (INR mn) Added ~20 new customers in FY24 960 990 166 3 50+ 2 74 FY20 FY21 FY22 FY23 FY24 Business Segments Products Manufacturing Facil

  36. Slide 36: New Product developed – Electrolyte Additive

    New Product developed – Electrolyte Additive Electrolyte Additives Industry Analysis  AMI Organics has successfully developed a core electrolyte additive for cells used in energy storage devices. Barriers to Entry 1 3 Substitutes Complex product with a Best performing product  First Indian and glo

  37. Slide 37: Acquisition of Baba Fine Chemicals (BFC)

    Acquisition of Baba Fine Chemicals (BFC) AOL acquired Partnership Purchase Agreement signed on 22nd interest in BFC by taking 55% April 2023 with listed Condition partnership stake of 2 exiting Precedents (CP) & Condition 1 2 partners. The acquisition is Subsequent (CS). Executed amended effective f

  38. Slide 38: Our Strategy and Outlook

    Our Strategy and Outlook Development and entry into newer S applications with strong entry T barriers to accelerate the growth O U R Business to grow at a faster rate T A than core pharma intermediate business due to lower base L T O E O G Continue to work on improving Y operational efficiencies to

  39. Slide 39: Industry Overview

    Industry Overview Our existing Chemicals segment supplies KSMs to Agrochemicals and Fine Chemicals company … KSMs Global KSM Market – Size and Growth India KSM Market – Size and Growth (USD Bn) (USD Bn) 40 8.0 CAGR 6.1% CAGR 10.6% CAGR 30 6.1% 4.8 22 CAGR 9.8% 3.0 2015 2020 2025F 2015 2020 2025F Why

  40. Slide 40: Industry Overview (cont’d)

    Industry Overview (cont’d) … whereas our new acquired units manufactures preservatives along with some specialty chemicals such as salicylic acid (Rs. mn) Parabens Salicylic Acid 534 CAGR Global Salicylic Acid Market – Global Salicylic Acid Market – 6.7% Size and Growth (USD Mn) Geographic Split (20

  41. Slide 41: 5. Working towards better tomorrow

    5. Working towards better tomorrow 40

  42. Slide 42: Working towards better tomorrow

    Working towards better tomorrow Environment Social Governance  Zero Liquid Discharge based in-house  Company’s Sachin Facility is SA 8000:2014  50% of the board constitutes of effluent plant at Sachin Unit certified independent directors  80% of wastewater recycled  The SA8000® Standard is the

  43. Slide 43: Safe Harbor

    Safe Harbor The Presentation is to provide the general background information about the Company’s activities as at the date of the Presentation. The information contained herein is for general information purposes only and based on estimates and should not be considered as a recommendation that any

  44. Slide 44: Contact Us

    Contact Us For more information please contact: Ami Organics Limited Ekta Srivastava Company Secretary & Compliance Officer cs@amiorganics.com Rahul Thakur Senior Manager – Investor Relations Rahul.thakur@amiorganics.com 43 © 2020 Ami Organics Limited, All Rights Reserved.

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