Bodal Chemicals Limited · NSE:BODALCHEM
Bodal Chemicals — Q3 FY24 Earnings Presentation
40 slides from Bodal Chemicals's earnings presentation, Feb 13, 2024
Slide 1: Exchange submission cover letter
By Online Submission Sec/23-24/112 Date: 13-02-2024 To, To, The General Manager, The General Manager, BSE Ltd. National Stock Exchange of India Ltd. 1st Floor, New Trading Ring, Exchange Plaza, Rotunda Building, P.J. Tower, Plot no. C/1, G Block, Dalal Street, Fort Bandra-Kurla Complex Mumbai- 400 0
Slide 2: Bodal Chemicals Limited Investor Presentation February 2024
Bodal Chemicals Limited Investor Presentation-February 2024
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Bodal Chemicals Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: Q3 & 9M FY24 Highlights
Q3 & 9M FY24 Highlights
Slide 5: Business Highlights
Business Highlights 9m Rs. 10,204 mn Rs. 889 mn Rs.44 mn FY24 Revenue EBITDA PAT • During the Q3FY24 revenue grew by 6% on YoY basis due to overall quantity gain but margin remain constant. Though there was about one month annual shutdown of sulphur products division during the quarter for boiler in
Slide 6: Performance Highlights
Performance Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 8.3% 8.3% Q3FY23 0.8% 0.3% Margin 3,432 285 24 Q3FY24 268 3,229 10 Performance Q3FY23 Q3FY24 Q3FY23 Q3FY24 Q3FY23 Q3FY24 9.6% 8.7% 3.0% 0.4% 11,924 1,142 9M FY24 10,204 889 352 Performance 44 9M FY23 9M FY24 9M FY23 9M FY2
Slide 7: Geographic Breakup
Performance Highlights 9M FY23 9M FY24 Revenue Rs 11,614 mn Revenue Rs 9,777 mn 12% 9% 3% Basic Chemicals 7% Dyestuff Revenue Breakup 21% Dye Intermediates 21% 36% Caustic Soda 38% Others 22% 31% Geographic Breakup 71% Domestc 68% 32% 29% Export * On Consolidated basis –Sales of products excluding o
Slide 8: Production Volume
Performance Highlights (Rs in mn) Basic Chemicals Dyestuff Dye Intermediates Chlor Alkali^ Revenue Breakup 1,339 4,420 3,067 2434 3,527 2,580 2,007 865 1,019 248 233 1,282 1,262 821 677 714 Q3’23 Q3’24 9M’23 9M’24 Q3’23 Q3’24 9M’23 9M’24 Q3’23 Q3’24 9M’23 9M’24 Q3’23 Q3’24 9M’23 9M’24 *Revenue break
Slide 9: Subsidiaries Performance
Subsidiaries Performance (Rs in mn) BCL China BCL Indonesia Sen-er Boya 10% 175% Revenue -58% 557 228 250 29 236 11 9M FY23 9M FY24 9M FY23 9M FY24 9M FY23 9M FY24 Particulars Sener Boya Bodal-China Bodal-Indonesia (Rs in mn) 9M FY23 9M FY24 9M FY23 9M FY24 9M FY23 9M FY24 Sales 556.5 235.9 227.9 24
Slide 10: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (Rs. In Mn) Q3 FY24 Q3 FY23 Y-o-Y% 9M FY24 9M FY23 Y-o-Y% Revenue from Operation 3,385.5 3,207.3 10,010.3 11,847.0 Other Income 46.5 22.2 193.6 77.3 Total Revenue 3,432.0 3,229.5 6.3% 10,203.9 11,924.3 -14.4% Raw Material Consumed 1,650.0 1,691.3 5,04
Slide 11: Standalone Profit & Loss Statement
Standalone Profit & Loss Statement Particulars (Rs. In Mn) Q3 FY24 Q3 FY23 Y-o-Y% 9M FY24 9M FY23 Y-o-Y% Revenue from Operation 3,374.7 3,093.3 9,909.1 11,656.8 Other Income 45.1 23.0 142.6 43.9 Total Revenue 3,419.7 3,116.3 9.7% 10,051.8 11,700.7 -14.1% Raw Material Consumed 1,650.2 1,610.9 4,981.8
Slide 12: Company Overview
\ \ tH, Company Overview _
Slide 13: A Leading Chemical Manufacturer
A Leading Chemical Manufacturer 3 11 Rs. 15,859 mn Decade Old Organization Manufacturing Facilities FY23 Consolidated Revenue 7% 11% Basic Chemicals Dyestuff 21% 70+ 11 35% Dye Intermediates 7 Domestic + 4 Overseas Depots Chlor Alkali Distributors Across India 26% Others Domestc 200+ 600+ 69% 31% Ex
Slide 14: Company Evolution
Company Evolution 1989 1993 - 1994 1997-2004 2006-2010 Incorporated as JK Acquired Unit II & Unit III 1997-Acquired two Units 2006-Listed on BSE via reverse merger Pharma at Unit II-A Name changed to Bodal 2004 -Acquired Unit I & with Dintex Dye Chem (Unit I) Chemicals Pvt. Ltd. Forward
Slide 15: Geographical Footprint
Geographical Footprint ~31% of Total revenue comes from exports 30+ Countries Global Presence North America Europe Rest of Asia Revenue Breakup India Domestic Export 100% 100% 100% 100% 100% South America 56% 59% 67% 68% 69% 44% 41% 33% 32% 31% FY19 FY20 FY21 FY22 FY23 Note : Maps not to scale. All
Slide 16: Longstanding Clientele
Longstanding Clientele Dyestuffs Chlor Alkali Basic Chemicals Dye Intermediates 70+ 600+ Distributors Across India Customers 15
Slide 17: Experienced Board & Management Team
Experienced Board & Management Team Mr. Suresh J. Patel Mr. Bhavin S. Patel Mr. Ankit S. Patel Mr. Mayur Padhya Chairman & MD Executive Director Executive Director Chief Financial Officer Experience : 35 years Experience : 19 years Experience : 15 years Experience: 27 Years Background : Background :
Slide 18: Awards & Certifications
Awards & Certifications Awards Certificates 2005-06 2016-17 Highest Self Manufacturing Turnover for Domestic and Export of Dyes and BCL has ISO 9001:2015 and ISO 14001:2015 certifications Received the prestigious Chemexcil Gold Award for Dye Intermediates from the Gujarat Dyestuffs Manufacture
Slide 19: Product Overview
Product Overview
Slide 20: Diversified Product Portfolio
Diversified Product Portfolio Existing Products New Products Additions Basic Chemicals Dye Intermediates Dyestuffs Chlor Alkali Benzene Derivative Sulphuric Acid Vinyl Sulphone & Reactive Dyes Caustic soda MCB Chlorosulphonic Acid Derivatives Acid Dyes Chlorine Sulphur Trioxide H
Slide 21: Manufacturing Value Chain
Manufacturing Value Chain Input Materials Basic Chemicals Dye Intermediates Dyestuffs TCCA End Use Industry Water Vinyl Sulphone + Derivatives Reactive Dyes Textiles Para Nitro Aniline Ice H Acid Beta Naphthol Steam DASA Sulphuric Acid Power Acid Dyes Leather FC Acid Sulphur Chloro Sulphonic Acid Ol
Slide 22: Manufacturing Facilities
Manufacturing Facilities Total 11 11 Depots In-house R&D Lab Total Employees Manufacturing Facilities (Exclusive Distribution Warehouse) 3 – Ahmedabad, Gujarat 1 - Ahmedabad, Gujarat Domestic 2,000+ 7 - India 4 - Vadodara, Gujarat 2 - Vadodara, Gujarat Contract Labours ~1,500 1 - Chi
Slide 23: Our Subsidiaries
Our Subsidiaries (Rs in mn) Company FY23 Location Stake Details Name Revenue Bodal Chemicals Trading Gujarat, India 100% Rs 0.01mn Trading and Marketing subsidiary Private Limited Trading & Marketing subsidiary for China and adjacent Bodal Chemicals Trading China 100% Rs 293 mn countries Shijiazhuan
Slide 24: Key Growth Drivers
Key Growth Drivers Dyestuff Expansion TCCA Division Vinyl Sulphone –UP Unit Turkish entity Sener Boya Dyestuffs capacity of 35,000 Acquired 100% stake in Trion Vinyl Sulphone plant of 6,000 MTPA capacity has been Acquired ~ 100% stake to MTPA will be ramped-up Chemicals and amalgamated with strength
Slide 25: Our Key Strengths
Our Key Strengths 3 Decades of Presence Home grown player with deep understanding of Indian & Integrated Business Model global chemicals market Integrated business model leading to cost competitiveness and protection against commodity cycles In house R&D Facilities Well- equipped production fa
Slide 26: India's Edge in the Global Chemicals Market
India’s Edge in the Global Chemicals Market Industry Megatrends Structural Shift China +1 Unorganized players in the Dye Intermediates India is emerging as the next alternative and Dyestuffs Industry have been declining supplier for the global market Compliance Policy Changes in China Bodal’s Edge C
Slide 27: Next Level of Growth
tH, Next Level of Growth
Slide 28: Capex To Drive Next Level Of Growth
Capex To Drive Next Level Of Growth Greenfield Saykha Project Key Synergies Project Location Saykha, Gujarat Strategic Location Products Benzene Downstream ~63,000 MTPA Diversified Product Portfolio ~Rs 2,700 mn Benzene plant + ~ Rs 1,200 mn related soft cost including Project Cost onetime
Slide 29: Moving Up The Value Chain With New Chemistries
Moving Up The Value Chain With New Chemistries Benzene Chain Chlor Alkali Chain Chlorine PNCB Salt & Water Electrolysis Caustic Soda Solution (Power) ONCB Benzene MCB MNCB Hydrogen • Captive Consumption: DNCB • MCB :100% • Punjab unit has strong internal consumption of chlorine • PNCB: ~45% • ~ 30%
Slide 30: Way Forward
Way Forward Lower cost of production Capacity rampup Economies of scale New client penetration Long term relationship with customers Ongoing internal efficiencies Superior quality Our Edge Rigorous integration 3+ decades of experience New greenfield expansion Diverse client base Higher focus on B2C
Slide 31: Responsible Corporate
H. Responsible Corporate
Slide 32: Environmentally Compliant
Environmentally Compliant Common Treated Effluent Zero Discharge Effluent Spray Effluent Effluent Multiple Effect Solid Waste Discharge Access Plant Location Site (Solid+ Dryer Plant Treatment Plant Treatment Plant, Evaporator Incinerator Plant VECL Cala Liquid+Air) (ESDP) (at GIDC) (MEEP) Lit./Day
Slide 33: Pollution Control Systems
Pollution Control Systems Treats low load waste water Clarification Compliant with GPCB, CPCB norms Bio- degradation by AIS Effluent Treatment Plant (ETP) Capacity 500,000 liters / day Tertiary Poly system Chemical oxidation Online monitoring system Flocculation Installed world’s
Slide 34: Responding To Critical Issue
Responding To Critical Issue High costs involved in complying with environmental regulations Moreover, the rising industrial water and power rates are a concern. Key Challenges Scarcity of water can lead to insufficient supply affecting our production needs. The Chemical Industry is energy and
Slide 35: CSR Activities
CSR Activities Key Focus Areas Eradicating hunger, poverty and malnutrition Promoting healthcare and sanitation including contribution to the Swach Bharat Kosh Promoting education and enhancement of rural infrastructure Ensuring environmental sustainability Providing funds for construction
Slide 36: Financial Highlights
: | Financial Highlights
Slide 37: Financial Highlights
Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 20,724 2,495 2,369 1,413 15,859 1,481 1,450 14,369 13,852 12,424 860 987 1,198 398 380 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 EBITDA Margin (%) PAT Margin (%) 16.6 9.9 10.7 11.4 6.26 9.6 9
Slide 38: Key Ratios
Key Ratios Net Debt/ Equity (x) Return on Equity(%) Trending lower due to increasing 0.63 17.0% capital expenditure 0.53 0.33 9.2% 9.4% 0.12 0.19 4.1% 3.5% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Return on Capital Employed (%) Net Working Capital Days 24.5 Trending lower due to increasing
Slide 39: Segmental Performance
Segmental Performance Basic Chemical Dyestuffs Dye Intermediates Chlor Alkali (Rs in mn) Revenue Breakup 1,955 1,726 6,995 7,354 5,412 6,544 3,270 1,601 5,324 4,618 1,282 1,269 4,808 3,936 3,993 4,589 2,587 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY2
Slide 40: Thank You
Thank You Contact Information Bodal Chemicals Ltd. CIN – : L24110GJ1986PLC009003 Mr. Mayur Padhya Chief Financial Officer Email – mayur@bodal.com www.bodal.com