Fairchem Organics Ltd · NSE:FAIRCHEMOR
Fairchem Organics — 9M FY22 Earnings Presentation
16 slides from Fairchem Organics's earnings presentation, Feb 14, 2022
Slide 1: Fairchem Organics Limited - Investor Presentation cover letter
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 fvi E-mail : cs@fairchem.in CIN : L24200MH2019PLC323176 Website : www.tairchem.in A F
Slide 2: Earnings Presentation 9M / Q3-FY22
Earnings Presentation 9M / Q3-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, 17.32% 18.50% M
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: 9M/Q3-FY22 Financial & Operational Highlights
9M/Q3-FY22 Financial & Operational Highlights Q3-FY22 Financial Performance • The fall in revenue on a QoQ basis was mainly due to lower lifting of one of the prime products by the customers in anticipation of some INR 1,584 Mn correction in relevant commodity prices from the then existing level. IN
Slide 9: Q3-FY22 Profit & Loss Statement
Q3-FY22 Profit & Loss Statement PARTICULARS (INR Mn) Q3-FY22 Q3-FY21 Y-O-Y Q2-FY22 Q-O-Q Revenue from Operations 1,584 1,072 47.8% 1,680 (5.7)% Total Expenses 1,371 859 59.6% 1,362 0.7% EBITDA 213 213 NA 318 (33.0)% EBITDA Margin 13.45% 19.87% (642) Bps 18.93% (548) Bps Other Income 1 - NA - NA Depr
Slide 10: 9M-FY22 Profit & Loss Statement
9M-FY22 Profit & Loss Statement PARTICULARS (INR Mn) 9M-FY22 9M-FY21 Y-O-Y Revenue from Operations 4,655 2,372 96.2% Total Expenses 3,794 1,961 93.5% EBITDA 861 411 109.5% EBITDA Margin 18.50% 17.33% 117 Bps Other Income 3 - NA Depreciation 52 49 6.1% Finance Cost 52 47 10.6% PBT 760 315 141.3% Tax
Slide 11: Historical Profit & Loss Statement
Historical Profit & Loss Statement PARTICULARS (INR Mn) FY19 FY20 FY21 9M-FY22 Revenue from Operations 2,499 3,065 3,966 4,655 Total Expenses 2,138 2,581 3,279 3,794 EBITDA 361 484 687 861 EBITDA Margin 14.44% 15.79% 17.32% 18.50% Other Income 43 66 3 3 Depreciation 55 60 66 52 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 (%) 18.50% 12.18% 5 Year CAGR - 14% 4,655 5 Year CAGR -24% 17.32% 5 Year CAGR - 36% 15.79% 11.32% 10.72% 3,966 13.92% 14.44% 567 861 11.62% 8.00% 8.60% 3,065 687 425 2,428 2,499 2,039 5.00% 347 484 3
Slide 15: Capital Markets
Capital Markets Chart Title Dividend Percentage 300% 35.00% 250% 200% 25.00% 150% 100% 15.00% 15.00% 50% 10.00% 0% Jan/21 Feb/21 Mar/21 Apr/21 May/21 Jun/21 Jul/21 Aug/21 Sep/21 Oct/21 Nov/21 Dec/21 -50% Fai rchem Sensex FY17 FY18 FY19 FY20 FY21 Price Data as at December 31st, 2021 INR Shareholding
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