Pondy Oxides & Chemicals Ltd. · NSE:POCL
Pondy Oxides & Chemicals — Investor Presentation (June 2024)
31 slides from Pondy Oxides & Chemicals's investor presentation, Jun 20, 2024
Slide 1: Exchange filing letter: Investor Presentation for analyst interaction
PONDY OXIDES AND CHEMICALS LIMITED POCL® 20 th June 2024 National Stock Exchange oflndia Ltd BSE Limited Exchange Plaza, 5th Floor, Corporate Relationship Department, Plot No. CIl , G Block, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (E), Dalal Street, Mumbai - 400 051 Mumbai - 400 001
Slide 2: Pondy Oxides and Chemicals Limited Corporate Deck 2024
The Urban Miners PONDY OXIDES AND CHEMICALS LIMITED Corporate Deck 2024
Slide 3: Disclaimer
Disclaimer The Urban Miners This presentation and the accompanying slides (the “Presentation”), which have been prepared by Pondy Oxides and Chemicals Limited (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe fo
Slide 4: Management Commentary & Business Outlook
Management Commentary & Business Outlook The Urban Miners “With nearly 30 years of experience in the industry, Pondy Oxides and Chemicals Limited stands as a leading Lead manufacturer and a pioneer in Lead & Lead Alloys. Additionally, our footprint extends to other verticals such as plastics, copper
Slide 5: The Urban Miners
The Urban Miners
Slide 6: Responsible Growth, Sustainable Progress
Responsible Growth, Sustainable Progress The Urban Miners Vision Core Values Current Business Verticals To be the most valuable recycling Excellence Lead company in the world adopting Responsibility Plastics responsible and sustainable Integrity Copper manufacturing practices Learning & Innovation A
Slide 7: Business at a Glance
Business at a Glance The Urban Miners 4 Recycling Verticals 20+ Export Destinations 28+ Years of Experience 15% - 10 Years Revenue CAGR India’s First 3N7 LME Registered Lead Brand 15% - 10 Years EBITDA CAGR 140K + MT Scrap Recycled p.a. 21% - 10 Years Average ROE 500+ Employees 35% - 10 Years Averag
Slide 8: Our Journey
Our Journey The Urban Miners 2006 2015 2019 2021 2023 Inaugurated First Lead Set up Smelter Division – 1st Indian 99.97 Lead Lead Capacity Expansion Acquisition of Harsha Smelter Division (SMD) - I II: 24KTPA in Andhra Brand registered on to 132KTPA Exito, Tamil Nadu for 18KTPA in Tamil Nadu Pradesh
Slide 9: Leveraging Diverse Recycling Verticals
Leveraging Diverse Recycling Verticals The Urban Miners LEAD PLASTICS COPPER ALUMINIUM Finished Goods Capacity Capacity 9,000 MTPA Capacity 6,000 MTPA Capacity 12,000 MTPA 1,32,000 MTPA Procurement Split: 85% Procurement Split: 50% Procurement Split: 95% Procurement Split: 100% Imports; 15% Domestic
Slide 10: Business Model: Sustainable Circularity
Business Model: Sustainable Circularity The Urban Miners Customer Feedback Sorting & Segregation Value Added Products and R&D Constant feedback from Scrap of different Lead Alloys, Tin Alloys, Customers and Continuous materials is sorted and Copper & Aluminium R&D enable us to become classified basi
Slide 11: Our Procurement Strengths
Our Procurement Strengths Multi-Sourcing strategy The Urban Miners – Procured RM from over 70+ Countries Long term association with Suppliers assures 270+ Overseas Suppliers uninterrupted supplies Strong procurement Strong systems backed team with Global up by tailor made reach software Well defined
Slide 12: Strong Procurement Network & Global Customer Base
Strong Procurement Network & Global Customer Base The Urban Miners Transforming Waste into Opportunity
Slide 13: Value Added & Customized Products Portfolio
Value Added & Customized Products Portfolio The Urban Miners Value-Added Products contribute 56% of Revenues and are expected to go up to 70% Lead Plastics Copper Aluminium Clove Cobra Mill Berry Pure Lead Industrial & Engineering Lead Calcium Alloys Plastic Granules: Lead Tin Alloys PPCP Grease Lea
Slide 14: Robust Manufacturing Facilities
Robust Manufacturing Facilities The Urban Miners Strategically located units with proximity to ports In line with our strategic expansion Technologically equipped efficient manufacturing units to plans aimed at establishing and process the scraps, to recycle and manufacture high- expanding facilitie
Slide 15: Corporate Structure
Organization Structure The Urban Miners Functional Departmental Managers Corporate Structure Board of Directors Plant Functional Managers Senior Management Divisional Executives Well defined corporate structure with defined roles and responsibilities for Organization's Human Resources Redefining Rec
Slide 16: Portfolio and Futuristic Road Map
Portfolio and Futuristic Road Map The Urban Miners Current Portfolio Lead Copper Plastics Aluminium Execution Lead Capacity Exploration Expansion by R&D Centres Post expansion Lead additional Strategic JVs Capacity to become 72,000 MT p.a. 204,000 MT p.a. Pre Feasibility Feasibility Rubber Lithium I
Slide 17: POCL Forte and Industry Vantage Point
POCL Forte and Industry Vantage Point The Urban Miners Extensive Land Bank of 170+ Acres located strategically Licensing and time-bound with proximity to major Operational Excellence & compliances Indian ports Expansion of Capacities Risk Mitigation through International business, strategic hedging
Slide 18: Target 2030
Target 2030 The Urban Miners Diversified Portfolio with Forward Integration & Additional Verticals: Value Added Products 15 % + Capacity Expansions - Volume Growth Lead Lithium Ion 20 % + ROCE 20% + Revenue CAGR 8%+ EBITDA Margins 20% + Profitability Growth 60%+ Value Added Products 50% + Renewable
Slide 19: Levers for Strong Growth Outlook
Levers for Strong Growth Outlook The Urban Miners Capacity Expansion of existing verticals & diversifying 1 further into new verticals- Lithium-ion and Forward Integration Strong Capex plan in place funded by ideal 2 mix of debt, equity and internal accruals Strict Government Norms of BWMR & EPR to
Slide 20: Supply Chain Strength: Recognizing Valued Suppliers
Supply Chain Strength: Recognizing Valued Suppliers The Urban Miners
Slide 21: Key Client Connections: Driving Mutual Success
Key Client Connections: Driving Mutual Success The Urban Miners Thai Energy Storage PT Trimitra Baterai Prakasa …. And Others
Slide 22: Robust Management & focus on HR Assets
Robust Management & focus on HR Assets The Urban Miners 24+ Years of average management Employee well being experience in diverse programs industries Anil Kumar Bansal Ashish Bansal K. Kumaravel 500+ Employees Diversity & Inclusion Chairman & Managing Director Director - Finance Whole Time Director
Slide 23: FY 24 Strategic Updates
FY 24 Strategic Updates The Urban Miners Strategic Rs. 80 Cr. 123 Acres+ Updates CAPEX Land Bank Acquisition 54.5% CRISIL has assigned below ratings – Capacity Expansion in o Long Term - CRISIL A- /Stable Progress for Lead o Short Term - CRISIL A2+ Revenue increased to INR 1,524 Cr. up 4% from PY on
Slide 24: Focus on ESG
Focus on ESG The Urban Miners Environment Social Corporate Governance o Substitution of Fuel from Furnace Oil o Employee Well-Being – Employee o Board Composition – 50% to LNG to reduce carbon footprint safety & well-being programs Independent Directors o Air & Water Pollution Mitigation is implemen
Slide 25: ESG Roadmap
ESG Roadmap The Urban Miners Recycling Portfolio FG: Societal Impact: Corporate Governance: Lead: 132 KTPA Sustainable Business OHSAS, 100% Health Insurance Code of Conduct and Ethics Plastics: 9 KPTA Coverage, Employee Manual, Compliances, Practices Copper: 6 KTPA Engagement and Grievance Accountab
Slide 26: Yearly Trends | Income Statement
Yearly Trends | Income Statement The Urban Miners Particulars (Rs. Million) FY 2024 FY 2023 FY 2022 FY 2021 FY 2020 FY 2019 Net Revenue 15,238 14,717 14,548 10,043 12,199 10,489 Other Income 46 43 46 33 35 40 Total Income 15,284 14,759 14,594 10,076 12,234 10,529 COGS 13,538 12,987 12,954 9,323 11,2
Slide 27: Yearly Trends | Balance Sheet
Yearly Trends | Balance Sheet The Urban Miners Particulars (Rs. Million) FY 2024 FY 2023 FY 2022 FY 2021 FY 2020 FY 2019 EQUITY AND LIABILITIES Share Capital 126 116 58 58 58 56 Reserve and Surplus 3,422 2,425 2,023 1,555 1,446 1,248 Net Worth 3,548 2,541 2,081 1,613 1,504 1,304 Borrowings 945 1,420
Slide 28: Charting Success: Financial Highlights
Charting Success: Financial Highlights The Urban Miners Revenue from Operations Gross Profit & Margin (%) EBITDA & Margin (%) 14,548 14,717 15,238 2,000 11.0% 900 14.0% 5.7% 11.8% 5.6% 5.1% 1,800 11.2% 800 12.0% 1,600 700 1,400 10.0% 10,043 600 1,200 7.2% 8.0% 500 1,000 400 2.7% 820 841 800 1,594 1,
Slide 29: Balance Sheet Strength
Balance Sheet Strength The Urban Miners Net Debt (Rs. Mn) Net Working Capital Days 63 56 58 37 55 35 34 33 30 1,370 1,369 25 24 23 1,017 646 2 2 2 2 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 Receivable Days Inventory Days Payable Days Interest Coverage Ratio Net Debt to Equity 11.2 0.90 9.2 0.50 0.56
Slide 30: Shareholding Pattern
Shareholding Pattern The Urban Miners In Crores SYMBOL 532626 POCL Public Promoters LISTED BSE (Main) NSE (Main) MKT CAP (As on 31-03-24) 719.63 721.67 52 WEEK HIGH/LOW 905.9 / 299.6 906.3 / 374.2 CURRENT MARKET PRICE 676.6 679.55 (19-06-2024) 44.06% 55.94% Shareholding Pattern Particulars No. of Sh
Slide 31: Thank You
The Urban Miners Thank You Investor Relations Contact: Sana Kapoor Go India Advisors sana@GoIndiaAdvisors.com M:+91 81465 50469 Sheetal Khanduja Go India Advisors sheetal@GoIndiaAdvisors.com M:+91 97693 64166 Company Contact: K. Kumaravel Director – Finance & Company Secretary kk@pocl.com Vijay Bala
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