Fairchem Organics Ltd · NSE:FAIRCHEMOR
Fairchem Organics — H1 FY22 Earnings Presentation
16 slides from Fairchem Organics's earnings presentation, Oct 29, 2021
Slide 1: Fairchem Organics Limited cover letter to exchanges
a FAIRCHEM ORGANICS LIMITED Works & Office 253/P & 312, Village Chekhala, Sanand Kadi Highway, - Taluka: SANAND, Dist.: Ahmedabad 382 115, INDIA. Phone (Board Nos.) (02717) 687900, 687901, +91 90163 24095 FAI RC HE f~4~ E-mail : cs@fairchem.in CIN : U24200MH2019PLC323176 Website : www.fairchem.in A
Slide 2: Earnings Presentation H1 / Q2-FY22
Earnings Presentation H1 / Q2-FY22
Slide 3: Company at a Glance
Company at a Glance Well entrenched Customer Relationships in Promoted by Fairfax Forward integration to Long lasting Pan India high growth India Holdings and achieve value addition Raw Material sourcing industries like backed by experienced and to manufacture capabilities with Paint, Inks, Printing
Slide 4: Company Overview
Company Overview • Fairchem Organics Ltd. (Fairchem) is engaged in the business of manufacturing of Oleo Chemicals and Nutraceuticals, since the last 25 years. Revenue & EBITDA Margin (In Mn) • The company’s key oleo chemical products include Dimer Acid, Linoleic Acid, Palmitic Acid, 21.10% Monomer
Slide 5: Fairchem's Competitive Advantage
Fairchem’s Competitive Advantage Major Player in the Indian Oleo Chemical Market Using Renewable Resources • Processing waste from edible oil refining process to produce high value oleo chemicals giving it price advantage • Enjoy Leadership Position in the industry due to barriers to entry • Focus o
Slide 6: Financial Governance Standards
Financial Governance Standards Invest for long term growth value creation Always be adequately capitalized Not overleverage the balance sheet Secure sources of sustainable raw material supply Invest in backward and forward integration Transparent communications with all the stakeholders Low volatili
Slide 7: Key Financial Highlights
€ FAIRCHEM Key Financial Highlights
Slide 8: H1/Q2-FY22 Financial & Operational Highlights
H1/Q2-FY22 Financial & Operational Highlights Q2-FY22 Financial Performance • The QoQ decline in EBITDA Margin can be primarily attributed to the increase in power cost due to rising coal prices. INR 1,680 Mn INR 318 Mn 18.93% Revenue from • On the raw material front, the July to September quarter i
Slide 9: Q2-FY22 Profit & Loss Statement
Q2-FY22 Profit & Loss Statement PARTICULARS (INR Mn) Q2-FY22 Q2-FY21 Y-O-Y Q1-FY22 Q-O-Q Revenue from Operations 1,680 950 76.8% 1,391 20.8% Total Expenses 1,362 796 71.1% 1,063 28.1% EBITDA 318 154 106.5% 328 (3.0)% EBITDA Margin 18.93% 16.21% 272 Bps 23.58% (465) Bps Other Income - - NA 4 NA Depre
Slide 10: H1-FY22 Profit & Loss Statement
H1-FY22 Profit & Loss Statement PARTICULARS (INR Mn) H1-FY22 H1-FY21 Y-O-Y Revenue from Operations 3,071 1,301 136.0% Total Expenses 2,423 1,102 119.9% EBITDA 648 199 NA EBITDA Margin 21.10% 15.27% 583 Bps Other Income 3 - NA Depreciation 35 33 6.1% Finance Cost 37 31 19.4% PBT 579 135 NA Tax 147 33
Slide 11: Historical Profit & Loss Statement
Historical Profit & Loss Statement PARTICULARS (INR Mn) FY19 FY20 FY21 H1-FY22 Revenue from Operations 2,499 3,065 3,966 3,071 Total Expenses 2,138 2,581 3,279 2,423 EBITDA 361 484 687 648 EBITDA Margin 14.44% 15.79% 17.32% 21.10% Other Income 43 66 3 3 Depreciation 55 60 66 35 Finance Cost 57 66 68
Slide 12: Historical Balance Sheet
Historical Balance Sheet ASSETS FY20 FY21 H1-FY22 H1- EQUITY AND LIABILITIES FY20 FY21 Non-Current Assets FY22 EQUITY Property, Plant and Equipment 1,219 1,220 1,252 Equity Share Capital 130 130 130 Capital work-in-progress 94 295 393 Instruments entirely equity in nature Right of use assets 43 43 4
Slide 13: Historical Cash Flow Statement
Historical Cash Flow Statement PARTICULARS (INR Mn) FY19 FY20 FY21 Cash and Cash Equivalents at Beginning of the year 0.2 0.2 0.3 Cash Flow From Operating Activities 342 312 394 Cash Flow from Investing Activities (137) (239) (228) Cash Flow From Financing Activities (205) (73) (166) Net Inc./(Dec.)
Slide 14: Key Financial Highlights
Key Financial Highlights Revenue (In Mn) EBITDA (In Mn) & EBITDA Margin (%) PAT (In Mn) & PAT Margin (%) 5 Year CAGR - 14% 5 Year CAGR -24% 17.32% 21.10% 5 Year CAGR - 36% 14.07% 10.72% 3,966 11.32% 15.79% 687 425 432 648 3,065 3,071 13.92% 14.44% 2,499 11.62% 8.00% 8.60% 347 2,428 484 2,039 5.00% 3
Slide 15: Capital Markets
Capital Markets 250% Dividend Percentage 200% 35.00% 150% 25.00% 100% 50% 15.00% 15.00% 0% 10.00% -50% Dec/20 Jan/21 Feb/21 Mar/21 Apr/21 May/21 Jun/21 Jul/21 Aug/21 Sep/21 Fai rchem Sensex FY17 FY18 FY19 FY20 FY21 Price Data as at September 30th, 2021 INR Shareholding Pattern as on 30th September,
Slide 16: Disclaimer
Disclaimer Fairchem Organics Limited Disclaimer: The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the applicable laws and regulations as amended from time to time. There is no representation that al