Tata Chemicals Limited · NSE:TATACHEM
Tata Chemicals — Q1 FY2020 Earnings Presentation
23 slides from Tata Chemicals's earnings presentation, Aug 8, 2019
Slide 1: Submission letter to stock exchanges
TI' ^-. TATA August 8, 2019 The General Manager National Stock Exchange of lndia Ltd. Corporate Relations Department Exchange Plaza BSE Limited Bandra-Kurla Complex Phiroze Jeejeebhoy Towers Bandra (E) Dalal Street Mumbai 400 051 Mumbai - 400 00"1 Svmbol: TATACHEM Scrio Code: 500770 Dear Sir/Madam,
Slide 2: Analyst / Investors Communication on Financial results for quarter ended June 2019
Analyst / Investors Communication on Financial results for quarter ended June 2019 Date: 8 August 2019 1
Slide 3: Safe Harbour Statement
Safe Harbour Statement “This Presentation, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar expression
Slide 4: Business Overview
Business Overview 3rd largest Soda Ash producer globally │5,000+ employees across 4 continents │160 million households consume Tata Salt each month 3
Slide 5: Key Highlights
Key Highlights Demerger of Consumer Products Business to TGBL, subject to the requisite statutory and regulatory approvals Revenue from Operations Standalone : ₹ 1,031 Cr, up by 4% Consolidated : ₹ 2,897 Cr, up by 6% Net Profit for the Company (Continuing & Discontinued Operations) Standalone : ₹ 25
Slide 6: Our Transformation
Our Transformation Specialty Chemicals Specialty Chemicals Consumer Business Basic Chemistry Basic Chemistry Fertilizer 2016 2019 and beyond…. From 4 businesses…. …To 2 focused science driven chemistry businesses
Slide 7: Key levers to deliver on our transformation
Key levers to deliver on our transformation Value-added specialty portfolio High stakeholder Science-led engagement differentiation Sustainability Operational Excellence Customer Centricity 6
Slide 8: An Innovative, Science-led sustainable Chemistry company
An Innovative, Science-led sustainable Chemistry company TATA CHEMICALS Mission : Serving Society through Science Vision : Will be a leading sustainable Chemistry Solutions Company serving customers based on innovative, science-led differentiated products and solutions Basic Chemistry Specialty Chem
Slide 9: A strong basis in Chemistry
A strong basis in Chemistry Specialty Chemistry Basic Chemistry Nutritional Agro Sciences Material Sciences Energy Sciences Sciences World’s rd 3 Reach of 80% of World's th largest producer 6 Green patented Become a leader in largest India’s districts of Sodium Bicarbonate Energy Chemistry in techno
Slide 10: Target Portfolio structure
Target Portfolio structure Strengthening the core Creating categories for future Basic Chemistry Specialty Chemistry Soda Ash Chlor Caustic Bromine Nutritional Material Energy Agro Sciences Sciences* Sciences Sciences • Crop protection • FOS/GOS • HDS • Lithium solutions • Animal/Human Nutrition • N
Slide 11: Our Strategy going forward…
Our Strategy going forward… Scale existing Agro Sciences portfolio & build capabilities to offer next-gen Agri Maintain Global Leadership in services Soda Ash and scale further Specialty Expand Nutraceuticals Basic portfolio into gut health for Launch of value added Chemistry Chemistry human and ani
Slide 12: Q1 June 2019 Financial Updates
Q1 June 2019 Financial Updates 11
Slide 13: Financial Updates
Financial Updates Standalone (₹ Cr) 26% 26% 26% 25% 255 267 256 254 1,031 989 Q1 June 18 Q1 June 19 Q1 June 18 Q1 June 19 Q1 June 18 Q1 June 19 Revenue up by 4% EBITDA up by 4% PAT down by 1% Consolidated (₹ Cr) 20% 11% 18% 10% 313 592 491 262 2,897 2,744 Q1 June 18 Q1 June 19 Q1 June 18 Q1 June 19
Slide 14: Segment Revenues and Results
Segment Revenues and Results Consolidated Standalone *Excludes Inter Segment Revenue of ₹ 181 Cr (PY ₹ 201 Cr) & Unallocated *Excludes Inter Segment Revenue of ₹ 179 Cr (PY ₹ 198 Cr) & Unallocated Revenue of ₹ 4 Cr (PY ₹ 5 Cr) Revenue of NIL (PY ₹ 3 Cr) Q1 June 2018 (₹ Cr) Q1 June 2019 (₹ Cr) Q1 Jun
Slide 15: Borrowings Position as on June 2019
Borrowings Position as on June 2019 Standalone (₹ Cr) 3,318 • In Standalone books, 14 the Company is net 708 1 721 cash positive (2,597) • Also scheduled to Gross Debt Mar19 Net Change Revaluation Gross Debt Jun19 Cash & Cash Net Cash repay approximately Equivalents ₹ 670 Cr during H2 of FY20. Conso
Slide 16: Segment: Basic Chemistry Products
Segment: Basic Chemistry Products Segment Revenues & Results (₹ Cr) • TCL India: Revenue at ₹704 Cr (down by 4%, vs PY ₹734 Cr), margins on the Overall Segment Revenue at ₹ 1,946 Cr, up by 1 % │Segment results at ₹ 318 Cr, up by 16 % Soda ash continues to improve over PY, leading to Segment results
Slide 17: Segment: Specialty Products
Segment: Specialty Products Segment Revenues & Results (₹ Cr) • Nutritional Solutions and Other Specialty products: Revenue from operations Overall Segment Revenue at ₹ 634 Cr up by 9 % │Segment Results at ₹ 76 Cr, up by 13 % stood at ₹11 Cr. We have completed the committed investments and have 634
Slide 18: Updates: Our New sites
Updates: Our New sites Nellore Site Cuddalore Site Scheduled to start operations by H2 FY20 Trial production in line with expectation Both projects are on schedule and is built as per TCLs safety standards 17
Slide 19: Segment: Consumer Products Business
Segment: Consumer Products Business Segment Revenues & Results (₹ Cr) • Salt Business: Tata Salt continues to maintain its leadership position in the Overall Segment revenue at ₹ 495 Cr up by 13 % │Segment Results at ₹ 72 Cr, down by 12 % branded salt segment with market share of 25.2% in the overal
Slide 20: Financial updates: Operating Entities
Financial updates: Operating Entities Statement of Profit and Loss (Continuing Operations) for the quarter ended June 2019 Units TCL India US UK Africa Rallis Consolidated* ₹ Cr PY CY PY CY PY CY PY CY PY CY PY CY Revenue 989 1,031 765 845 344 307 93 123 571 623 2,744 2,897 EBITDA 255 267 132 189 31
Slide 21: Quantities: Major Products
Quantities: Major Products Soda Ash (in Kts) Sodium Bicarbonate (in Kts) 26 24 25 24 536 541 523 549 55 63 53 79 82 68 77 76 25 26 29 27 169 163 203 193 Jun-18 Jun-19 Jun-18 Jun-19 Jun-18 Jun-19 Jun-18 Jun-19 Sales Production Sales Production TCL India TCE TCML TCNA TCL India TCE Salt Portfolio (in
Slide 22: Additional Information
Additional Information Revenues (₹ Cr) & PAT (%) Earnings Price Per Share (in ₹) 10% 14% 11% 13% 10% 2,961 2,832 2,897 12.6 12.2 2,744 2,759 9.7 8.4 8.5 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY19 Q1 FY20 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY19 Q1 FY20 Shareholding Pattern Exchange rate (Average) 91.14 91.25 91.72 91.7
Slide 23: POR PAP pT AR
aA - POR PAP pT AR POPPI PE AZAASA Ey AFA ALAA AZ ian ] ALAL SA Accelerating LIER WALKS PPLAZOA An focussed growth agnrm an ts AA aam Fo aAA o al ZaryZ For any question/queries please contact ax sy & John Mulhall & jmulhall@tatachemicals.com © +91 226665 8282 & Sameer Kulkarni & sakulkarni@tatachemi