Slide 1: Exchange filing cover letter
The Corporate Relationship Department, National Stock Exchange of India Limited BSE Limited “Exchange Plaza” Ist Floor , New Trading Ring Rotunda Bandra-Kurla Complex Building, P.J. Towers Bandra (E) Dalal Street, Mumbai 400 051 Mumbai 400 001 Scrip Code- 503806 Scrip Code-SRF SRF/SEC/BSE/NSE 27.01.
Slide 2: SRF Limited Q3 & 9M FY22 Results Presentation
SRF Limited Q3 & 9M FY22 Results Presentation January 27, 2022
Slide 3: Disclaimer
Disclaimer Certain statements in this document may be forward-looking. Such statements are subject to certain risks and uncertainties like regulatory changes, local, political or economic developments, and many other factors that could cause actual results to differ materially from those contemplate
Slide 4: Contents
Contents 04 13 10 15 31 Company Q3Q4 && 9MFY21 FY22 Q3 & 9M FY22 Outlook Overview Segmental Performance Results Overview Segmental Performance Q3 & 9M FY22 Results Presentation | 3
Slide 5: Company Overview
COMPANY OVERVIEW Wo always find a better way
Slide 6: Snapshot
Snapshot 8,400 INR Cr Revenue 2,188 Cr EBIDTA 1,198 Cr PAT 43% Chemicals Exports to 90+ Countries 14 Manufacturing Plants 39% Packaging Operations in 4 Countries 7,000 Global Workforce 15% Technical Textiles FY 21 numbers pertaining to continuing operations only Q3 Q3&&9M 9MFY22 FY22Results ResultsP
Slide 7: Overview - Business Profile
Overview - Business Profile Revenue 3,645 3,292 1,240 232 EBIT 728 898 177 26 No of Plants 2 6 4 2 Chemicals Packaging Films Technical Textiles Others Specialty Chemicals Films for Flexible Packaging • Tyre Cord Fabrics (Nylon & • Coated Fabrics Polyester) • Laminated Fabrics • Intermediates for AI
Slide 8: Manufacturing Facilities
Manufacturing Facilities FLUOROCHEMICALS & SPECIALTY CHEMICALS 2 National Operations LAMINATED FABRICS 1. Rajasthan, India - Bhiwadi 1 National Operation 2. Gujarat, India - Dahej 1. Uttarakhand, India - Kashipur TECHNICAL TEXTILES COATED FABRICS 1 1 National Operation 4 National Operations 1 1. Mad
Slide 9: Market Leadership Across Businesses
Market Leadership Across Businesses Speciality Chemicals Fluorochemicals Packaging Films Technical Textiles ▪ Established relationship with ▪ Unique and fully integrated ▪ Recognized for expertise in ▪ Domestic market leader in Tyre marquee customers facilities extending across a developing, manufac
Slide 10: Growth Levers
Growth Levers Build a Company known and respected for its R&D capabilities Focus on building Nurture innovation Focus on building Drive growth in new leadership through R&D knowledge-based businesses businesses Reposition portfolio value-added products De-risk from Technical Build and maintain towar
Slide 11: Q3 & 9M FY22 Results Overview
We always find a better way, Q3 & 9M FY22 RESULTS OVERVIEW
Slide 12: Abridged Results Overview - Consolidated
Abridged Results Overview - Consolidated Consolidated figures Particulars (Rs. Crore) Q3 FY22 Q3 FY21 % Y-o-Y 9M FY22 9M FY21 % Y-o-Y Gross Operating Revenue 3,345.9 2,146.4 55.9% 8,884.2 5,792.4 53.4% EBITDA 858.5 566.3 51.6% 2,202.2 1,540.6 42.9% EBITDA Margin (%) 25.7% 26.4% 24.8% 26.6% Depreciat
Slide 13: Results Overview - Financial Overview
Results Overview - Financial Overview Consolidated figures Key Financial Ratios PARTICULARS FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 EBITDA Margin 17.59% 13.59% 20.43% 22.13% 21.42% 17.69% 19.00% 20.90% 26.05% PAT Margin 6.69% 4.04% 8.78% 9.51% 10.87% 8.38% 8.33% 12.70% 14.26% Net Debt to Equity
Slide 14: Results Overview - Revenue & EBIT
Results Overview - Revenue & EBIT Consolidated figures REVENUES (Rs. Crore) EBIT (Rs. Crore) Q3 FY21 Q3 FY22 Q3FY21 Q3FY22 3,349.1 795.5 2,148.6 1,428.3 478.5 1,276.0 419.2 254.2 905.9 212.4 802.0 189.9 537.8 113.5 107.0 367.0 67.9 73.7 8.6 8.3 CB PFB TTB OT HE RS TOTA L CB PF B TTB OT HE RS TOTA L
Slide 15: Results Overview - Revenue Share
Results Overview - Revenue Share 3.2% 3.4% Q3 FY22 Q3 FY21 16.1% 17.1% 38.1% 37.3% 42.6% 42.2% CB PFB TTB 9M FY22 2.8% 9M FY21 Others 2.6% 17.9% 14.5% 38.1% 39.9% 41.2% 43.0% CB – Chemicals Business; PFB - Packaging Films Business; TTB – Technical Textiles Business; Others 14 Q3 & 9M FY22 Results Pr
Slide 16: Q3 & 9M FY22 Segmental Overview
Q3 & 9M FY22 SEGMENTAL OVERVIEW Packaging Chemicals Films Technical Textiles Others
Slide 17: Chemicals Business
Chemicals Business Q3 & 9M FY22 Results Presentation | 16
Slide 18: Chemicals Business - Results Update
Chemicals Business - Results Update Consolidated figures PARTICULARS Q3 FY22 Q3 FY21 % SHIFT 9M FY22 9M FY21 % SHIFT Segment Revenues 1428.3 905.9 57.7% 3668.3 2492.3 47.2% % Contribution to Revenues 42.6% 42.2% 41.2% 43.0% EBIT 419.2 189.9 120.7% 892.6 452.9 97.1% % EBIT Margins 29.4% 21.0% 24.3% 1
Slide 19: Chemicals Business - Specialty Chemicals
Chemicals Business Specialty Chemicals Business o Segment delivered healthy performance during the period owing to: • Incremental revenues from exports and domestic markets • Expanding product portfolio offering significant to future potential • Sustained efforts to diversify the portfolio of raw ma
Slide 20: Chemicals Technology Group
Chemicals Business Chemicals Technology Group o Chemicals Technology Group (CTG) is actively engaged in the development of new process technologies o Key focus on high end molecules o Strong internal competencies and capabilities o Equipped with state-of-the-art R&D facilities and an ingenious team
Slide 21: Chemicals Business - Fluorochemicals
Chemicals Business Fluorochemicals Business o Fluorochemicals Business delivered robust performance: • Higher prices of certain key refrigerant products in critical international markets • Increased export volumes of HFC blends • Dymel® HFA 134a/P witnessing breakthrough in new accounts across India
Slide 22: Packaging Films Business
Packaging Films Business Packaging Films Q2 & H1 FY21 Results Presentation | 21 Q3 & 9M FY22 Results Presentation | 21
Slide 23: Packaging Films Business - Results Update
Packaging Films Business - Results Update Consolidated figures PARTICULARS Q3 FY22 Q3 FY21 % SHIFT 9M FY22 9M FY21 % SHIFT Segment Revenues 1276.0 802.0 59.1% 3389.0 2312.2 46.6% % Contribution to Revenues 38.1% 37.3% 38.1% 39.9% EBIT 254.2 212.4 19.7% 670.5 679.3 -1.3% % EBIT Margins 19.9% 26.5% 19
Slide 24: Packaging Films Business
Packaging Films Business o The Business performed very well, with both the domestic and international facilities delivering robust results: • Volume growth owing to additional capacities in Hungary and Thailand coming on stream • Continuous focus on enhancing efficiency and cost-competitive procurem
Slide 25: Aluminium Foil – Our Rationale
Aluminium Foil – Our Rationale • Aluminium foil widely used in food and non-food packaging is witnessing significant Food Packaging growth • Market size: o Indian market size is ~ 2 lakh MTPA and expected to grow at ~8.5% p.a., mainly driven by food products and Pharma packaging o Import substitutio
Slide 26: Technical Textiles Business
Technical Textiles Business Technical Textiles Q3 & 9M FY22 Results Presentation | 25
Slide 27: Technical Textiles Business - Results Update
Technical Textiles Business - Results Update Consolidated figures PARTICULARS Q3 FY22 Q3 FY21 % SHIFT 9M FY22 9M FY21 % SHIFT Segment Revenues 537.8 367.0 46.5% 1588.6 839.5 89.2% % Contribution to Revenues 16.1% 17.1% 17.9% 14.5% EBIT 113.5 67.9 67.1% 380.0 104.1 265.0% % EBIT Margins 21.1% 18.5% 2
Slide 28: Technical Textiles Business
Technical Textiles Business o Business showcased healthy performance despite weak demand for Nylon Tyre Cord Fabrics o Sales volumes from the Belting Fabrics and Polyester Industrial Yarn segments were healthy, amidst a challenging market situation o Continuous focus on enhancing operational excelle
Slide 29: Others
Others Others Q3 & 9M FY22 Results Presentation | 28
Slide 30: Others - Results Update
Others - Results Update Consolidated figures PARTICULARS Q3 FY22 Q3 FY21 % SHIFT 9M FY22 9M FY21 % SHIFT Segment Revenues 107.0 73.7 45.1% 247.0 154.4 60.0% % Contribution to Revenues 3.2% 3.4% 2.8% 2.7% EBIT 8.6 8.3 3.7% 16.3 16.9 -3.3% % EBIT Margins 8.0% 11.2% 6.6% 10.9% % Contribution to EBIT 1.
Slide 31: Others - Key Highlights
Others - Key Highlights Coated Fabrics Laminated Fabrics • SRF maintained domestic market leadership due to improved • In Q3, SRF recorded the highest-ever sales achieved as the sourcing initiatives and plant performance despite subdued plant operated at full capacity and continues to maintain deman
Slide 32: SRF’s Community Engagement
SRF’s Community Engagement • MoU signed between Rajya Shiksha Kendra, Madhya Pradesh and SRF Foundation to transform fifty Government schools in the state • Expanded the Basic Electrician Training Program to thirteen locations with ten new training centers established across our manufacturing facili
Slide 33: Outlook
OUTLOOK
Slide 34: Outlook - Chemicals Business
Outlook - Chemicals Business Specialty Chemicals • Moving up the value chain by accelerating qualifications of new molecules in both Agro and Pharmaceuticals sectors, capacity utilization of newly commissioned plants to remain in focus • Key campaigns underway • ROI accretive projects involving comp
Slide 35: Outlook - Packaging Films Business
Outlook - Packaging Films Business • Emphasis on expanding sales from the new BOPET lines in Thailand & Hungary with higher VAP sales; BOPP line, which has been recently commissioned will also contribute to the overall sales • Some pressure on margins likely owing to the start up of new lines • SRF’
Slide 36: Outlook - Technical Textiles Business
Outlook - Technical Textiles Business • Higher operating leverage and cost optimization by capacity rationalization across various plants • Belting Fabrics & Polyester Industrial Yarn sub-segments of the Technical Textiles Business expected to make a significant contribution to the overall performan
Slide 37: About Us
About Us Established in 1970, SRF Limited with an annual turnover of ₹8,400 crore (US$ 1.1 billion) is a chemical based multi-business entity engaged in the manufacturing of industrial and specialty intermediates. The company’s diversified business portfolio covers Fluorochemicals, Specialty Chemica