Punjab Chemicals & Crop Protection Ltd. · NSE:PUNJABCHEM
Punjab Chemicals & Crop Protection — Q1 FY2023 Earnings Presentation
26 slides from Punjab Chemicals & Crop Protection's earnings presentation, Aug 10, 2022
Slide 1: Stock exchange filing cover letter
PUNJAB CHEMICALS ANID CROP PROTECTION LTD. CIN NO, L24231PB1975PLC047063 Regd. Office & Works Milestone-18, Ambala-Kalka Road, Village & P.O. Bhankharpur, Derabassi, Distt SAS Nagar, Mohali (Punjab)-140201, INDIA Tele: 01762-280086, 522250, Fax: 01762-280070, E-mail: info@punjabchemicals,com, Websit
Slide 2: Q1 FY23 Result Presentation
Q1 FY23 RESULT PRESENTATION August 2022
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Punjab Chemicals & Crop Protection Ltd (the “Company’), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscrib
Slide 4: Table of Contents
1. Q1 FY23 Result Highlights 2. Company Overview 3. Business Strategy & TABLE OF CONTENTS Investment Rationale 4. Agrochemicals Industry Overview 5. Performance Track Record
Slide 5: Q1 FY23 Result Highlights
PUNJAB CHEMICALS ¥ AND CROP PROTECTION LID. 180 004-2015 & 180 14002015 Certified Company
Slide 6: Result Highlights
Result Highlights Management Commentary Q1 FY23 Revenue ▪ Our growth momentum continues with Q1 FY23 EBITDA ₹ 35.4 cr, revenue at ₹ 272 cr higher by 29% YoY ₹ 272 cr, EBITDA Margin 13% up 29% YoY ▪ Increased raw material and utility costs continues to have an impact on gross margin. Effort is to pas
Slide 7: Q1 FY23 Financial Performance
Q1 FY23 Financial Performance YoY Comparison (In ₹ cr, except margin) REVENUE GEOGRAPHICAL SPLIT +29.0% 272 211 130 Domestic 108 272 211 142 International 103 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 PAT & PAT MARGIN EBITDA & EBITDA MARGIN 17.5% 13.0% 11.5% 7.4% 24 20 37 35 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23
Slide 8: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (In ₹ cr) Q1 FY23 Q1 FY22 YoY % FY22 Revenue 272.1 211.0 29.0% 933.5 COGS 171.2 123.6 569.4 Gross Profit 100.9 87.3 364.1 Gross Margin % 37.1% 41.4% -430 bps 39.0% Employee Expenses 20.2 19.6 76.6 Other Expenses 45.3 30.8 147.8 EBITDA 35.4 36.9 -4.0%
Slide 9: Company Overview
180 9004-2015 & 180 140012015 Certified Company COMPANY OVERVIEW
Slide 10: Our Company
Our Company Established in 1975 as Punjab United Pesticides & Chemical Limited (PUPCL), the company has now evolved into Punjab Our Vision Chemicals and Crop Protection Limited. We are an agrochemicals company with a rich history of over three decades with state of To become a major Indian player in
Slide 11: Evolution of Punjab Chemicals
Evolution of Punjab Chemicals Started in 1975 as a small company Gained Manufacturing expertise & Strategic shift in business model to to cater to the Domestic needs of diversified into Pharmaceuticals, focus on the growing opportunity in basic chemicals like Oxalic Acid & Intermediates, Industrial
Slide 12: Our Global Clientele
Our Global Clientele Target regions for next leg of growth: Latin America, South Asia, European Union
Slide 13: Manufacturing Facility - Derabassi
Manufacturing Facility - Derabassi Location Derabassi Established 1975 Area 24.1 acres Manpower 751 Capacity Utilisation (FY22) 85% Molecules: Metamitron, Metconazole, Diflufinican, Oxalic Acid, Benzoic Acid, Ethofumesate Annual Production (MT) & Capacity Utilisation (%) 82% 73% 80% 85% 87% 23,797 1
Slide 14: Manufacturing Facility - Lalru
Manufacturing Facility - Lalru Location Lalru Established 2003 Area 23.5 acres Manpower 456 Capacity Utilisation (FY22) 70% • Molecules: Albendazole, Ketosulphone, Drotavarin, Etoricoxib, Aminoacetonitrile • 6 acres available for future expansion • Capacity added in FY21: 3,000 MT Annual Production
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 • Management Diploma from University of Deopage (USA) Corporate management for more than 43 years • Joined in 1992 and Managing Direc
Slide 16: Leadership Team: Key Management Team
Leadership 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 associatio
Slide 17: Business Strategy
PUNJAB CHEMICALS ¥ AND CROP PROTECTION LID. 180 004-2015 & 180 140012015 Certified Company
Slide 18: Business Model
Business Model • Target ₹ 50-100 cr revenue per • Offer attractive and cost- product effective solution • Target clients - Global • Long term engagement favorable Agrochemical leaders for both parties • Mid-sized companies with specific • Faster turnaround requirement Identify Niche Partner for Prod
Slide 19: Investment Rationale
Investment Rationale Low Cost Developed an efficient cost competitive process over the last Operator decade and are maximising export potential Availability of technically trained manpower , Manufacturing and extra production capacity to fulfil incremental demands R&D Capability Historical associati
Slide 20: Agrochemicals Industry Overview
AGROCHEMICALS INDUSTRY OVERVIEW 19
Slide 21: Indian Agrochemicals Industry
Indian Agrochemicals Industry • 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 specialty chemica
Slide 22: Industry Opportunity
Industry Opportunity Anticipated Growth Expertise Anticipated Growth 2018 → 2025 Opportunity size Opportunity size Capitalising on Opportunity 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) C
Slide 23: Performance Track Record
PERFORMANCE TRACK RECORD 22
Slide 24: Performance Track Record
Performance Track Record Revenue (₹ cr) EBITDA (₹ cr) PAT (₹ cr) 84 +17.1% 933 140 +35.4% +48.4% 643 678 96 49 550 496 66 42 42 17 17 11 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Revenue Split (₹ cr) EBITDA Margin (%) PAT Margin (%) Domestic Export 933 15.0 14.1 8.9
Slide 25: Performance Track Record
Performance Track Record Capital Structure (₹ cr) Working Capital Analysis D/E 1.4x 0.6x 32 45 1.0x 0.9x 0.4x 31 44 36 87 95 85 80 68 82 81 91 88 -85 101 226 -103 -100 -102 -131 145 91 98 74 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Debt Equity Receivable Days Inventory Days Payable Days Ret
Slide 26: Thank You
Mr. Nachiket Kale Dr. S. Sriram nachiket.kale@linkintime.co.in Chief Financial Officer +91 99209 40808 investorhelp@punjabchemicals.com Mr. Bhavin Soni bhavin.soni@linkintime.co.in +91 98335 37225 THANK YOU LinkedIn Website
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