Deepak Fertilisers And Petrochemicals Corporation Ltd. · NSE:DEEPAKFERT
Deepak Fertilisers And Petrochemicals — Anand Rathi Annual Flagship Investor Conference G-200 Summit 2023
27 slides from Deepak Fertilisers And Petrochemicals's conference presentation, Nov 8, 2023
Slide 1: Intimation of Analyst / Investor Meet cover letter
6th November, 2023 The Secretary Listing Department BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra - Kurla Complex, Bandra (E) Mumbai – 400 001 Mumbai – 400 051 BSE Code: 500645 NSE Code: DEEPAKFERT Subject: Intimation of Sched
Slide 2: Investor Presentation November 2023
(BSE: 500645; NSE: DEEPAKFERT) Investor Presentation November 2023
Slide 3: DFPCL at a glance
US$ ~1.4 Billion Turnover Table of Content OVER DFPCL is one of India’s leading chemicals and fertilisers producer 40+ Years Industrial Rich Experience of Chemicals Developing 3 verticals (IC) 4 States Manufacturing Plants Leadership 2,100+ Position Employees Crop Nutrition US$ ~980 Mn+ Technical Bu
Slide 4: Diversified Product Offerings
Diversified Product Offerings A Multi-product, Multi-segment player catering to wide range of core segments of the Indian Economy Catering to strategic sectors of Indian economy Industrial Chemicals Crop Nutrition Technical Ammonium Nitrate • Pharmaceuticals • Agriculture • Mining • Nitro Aromatics
Slide 5: Market Leadership across Businesses
Market Leadership across Businesses Chemicals Segment Fertilisers Segment 20% 40% 43% 26% (in the core command areas) TAN Nitric Acid IPA ANP + NPK • Largest manufacturer of Nitric Acid in South East Asia • Only manufacturer of NP prill 24:24:0 fertiliser in India • Market leader in Bentonite Sulphu
Slide 6: Well diversified play in India's Growth Story
Well diversified play in India’s Growth Story Feedstock / Ammonia End Use Aligned to India’s Upstream Intermediate Derivatives Segments Growth Story Agriculture Crop Nutrition Horticulture Strategic sectors of Indian Pharmaceutical, Nitro Aromatics economy Industrial contributing Ammonia Chemicals ~
Slide 7: Geographical Presence
Geographical Presence Strategically located to cater to Agricultural and Industrial Heartlands of India Dahej, Gujarat Panipat, Haryana Capacity (KMTPA) Geographic Advantage Capacity (KMTPA) Geographic Advantage • DNA: 149 • Major customers of • Bensulf: 28 • Oil-seed growing belts of • CNA: 92 nitr
Slide 8: Transitioning from Commodity to Specialty
Transitioning from Commodity to Specialty Strengthening DFPCL’s market share and margins Nitric Acid - Bulk Industry Specific Grades Application Based Industry Specific Grades (Various Grades) (Solar/Steel Grade) Industrial Chemicals (IC) Industry Specific Downstream –Hand Electronic Grade IPA, IPA
Slide 9: Mining Chemicals Business
Mining Chemicals Business Partner for delivering value through Last Mile Execution Excellence, using Specialty Products and Customized Solutions, to the Mining and Infrastructure sectors of India Only producer of solid Ranked amongst the top 5 grade of TAN (explosive India’s largest TAN Commands 44%
Slide 10: Mining Chemicals Business Review
Mining Chemicals Business Review TAN domestic demand is expected to improve further based on growth in coal, cement and steel production Mining Chemicals (TAN) Revenue Operational Highlights (Manufactured Sales Rs. Cr) • In Q2 FY24, the delayed arrival of monsoon supported increased demand in power,
Slide 11: Pharma / Speciality Chemicals Business
Pharma / Speciality Chemicals Business Diversified And Focused Range of High Value Products Industrial Chemicals Product Portfolio Capacity of Key Products: • IPA: 70 KMTPA • DNA: 889 KMTPA Acids Solvents Specialty Products Dahej, Gujarat • CNA: 231 KMTPA (Acid) • Methanol: 100 KMTPA • Liquid CO2: 7
Slide 12: Pharma / Speciality Chemicals Business Review
Pharma / Speciality Chemicals Business Review Nitric Acid demand is stabilising and is expected to improve Pharma / Speciality Chemicals (IPA+NA) Operational Highlights (Manufactured Sales Rs. Cr) • Subdued demand due to the monsoon season and low cost import from China for downstream pharma / agro
Slide 13: CNB Business
CNB Business Enhanced Efficiency Differentiated Fertilizer Offerings Successful Ramp-up of Smartek – Demonstrated Ability to Develop & Scale up Value Based Solution • Smartek is a unique product in Energy Efficiency Fertilisers category with the proprietary Nutrient Unlock Technology (NUT) which hel
Slide 14: CNB Business Review
CNB Business Review Acceptance of impactful yield improvements with Crop Specific grades is increasing, allowing stabilisation of higher premiums Fertilisers Revenue (Manufactured Sales Rs. Cr) Operational Highlights (NP + NPK + Bensulf) • Witnessed strong demand in Q2 driven by its differential pro
Slide 15: Announced Demerger of TAN & Fertiliser Businesses
Announced Demerger of TAN & Fertiliser Businesses Existing Corporate Structure Resultant Corporate Structure DFPCL Industrial Value Added (IC & VARE) Chemicals Real Estate (IC) (VARE) DFPCL 100% 100% 100% DMSPL MAL Crop Technical Nutrition Ammonium CNB TAN Business Nitrate Mahadhan AgriTech Limited
Slide 16: Nitric Acid Brownfield Expansion
Nitric Acid Brownfield Expansion Key Highlights: • Strategic Expansion of WNA (300 KTPA) and CNA (150 KTPA) at a project cost of Rs. 1,950 Cr • Leveraging 40 years of credible experience in Nitric Acid, DFPCL will become ‘Asia's Largest Manufacturer’ of Nitric Acid post expansion • State-of-the-art
Slide 17: Ammonia Greenfield Plant: Commenced Commercial Production
Ammonia Greenfield Plant: Commenced Commercial Production • The Greenfield Ammonia plant was successfully commissioned in Q2 FY24 on August 4th, 2023. Medium-term gas contracts have been secured with reliable suppliers such as GAIL, IGS, and GSPC. • Profitability was impacted by Rs. 87 Cr in Q2 duri
Slide 18: Consolidated Financial Performance
Consolidated Financial Performance Financial Resilience: Demonstrating 25% CAGR in Q2 EBITDA over the past 4 years Q2 Operating Revenues (Rs. Cr) Q2 Operating EBITDA (Rs. Cr) and Margins (%) 495 2,719 2,424 286 1,793 212 193 1,404 18% 1,151 117 14% 12% 12% 10% Q2FY20 Q2FY21 Q2FY22 Q2FY23 Q2FY24 Q2FY
Slide 19: Consolidated Financial Performance
Consolidated Financial Performance World-Scale Ammonia Plant Commissioned • Subsidy Impact of Rs. 267 Crores in H1: Reduced NBS subsidy on channel inventories had a significant impact on consolidated profitability in Q1 of Rs. 161 Cr and in Q2 FY24 of Rs. 106 Cr • Ammonia Plant Operating EBITDA impa
Slide 20: Consolidated Financial Performance
Consolidated Financial Performance Y-o-Y Q-o-Q Y-o-Y INR CR Q2 FY 24 Q2 FY 23 Q1 FY 24 H1 FY24 H1 FY23 growth growth growth Operating Revenue 2,424 2,719 (10.9%) 2313 4.8% 4,737 5,750 (17.6%) Operating EBITDA 286* 495 (42.2%) 281 2.0% 567 1235 (54.1%) Margins (%) 11.8% 18.2% (639) bps 12.1% (33) bps
Slide 21: Consolidated Capital Structure
Consolidated Capital Structure |EBITDA Margins of 12%|Gross Debt/Equity at 0.76x | (Rs. CR) Mar-23 Sep-23 ST Debt 382 1,055 Capital Structure: • The strategic implementation of the backward LT Debt 3,231 2,937 integration and expansion-growth projects are being funded through internal accruals and l
Slide 22: Consolidated Financial Track Record
Consolidated Financial Track Record Strong balance sheet and healthy financial performance Operating Revenue (Rs. Cr) Operating EBITDA (Rs. Cr) EBITDA Margin (%) 11,301 2,156 16.4% 17.7% 19% 6,742 * 7,663 5,808 1,356 9.9% 4,685 955 6.8% 459 464 * * FY2019 FY2020 FY2021 FY2022 FY2023 FY2019 FY2020 FY
Slide 23: Capital Market: Building on trust by delivering on expectations
Capital Market: Building on trust by delivering on expectations Market Cap (Rs. Crores) Total No. of Shareholders Dividend Per Share (Rs.) 2,28,828 8,684 10.0 1,93,628 9.0 6,781 6,917 1,72,548 7.5 1,14,678 1,00,392 1,05,866 2,330 1,172 3.0 669 FY20 FY21 FY22 FY23 Shareholding Pattern • Substantial R
Slide 24: Corporate Social Responsibility for inclusive community welfare
Corporate Social Responsibility for inclusive community welfare Eye Check-up camps has been conducted Koliyad Total 53 aspirants enrolled for Basic tailoring Desktop and Printer Handed Over at Rahiyad village. In this camp total 143 patients examined course at Pale Kh. 17 aspirants completed Seconda
Slide 25: Recent Awards and Recognition
Recent Awards and Recognition Mahadhan received RMAI Corporate Excellence Winner in Best-in-class Supply Chain Award for outstanding contribution and path Innovation, in the ELSC leadership breaking work in rural India Awards as a part of the ELSC Conclave Received "CERTIFICATE OF MERIT" from Nation
Slide 26: Market Dominance And Robust Demand Outlook To Support Business Growth
Market Dominance And Robust Demand Outlook To Support Business Growth Market leadership in Capex Projects to build most categories a strong foundation Well diversified play Taking strides in Key digitization to enable aligned with India’s Growth Story Takeaways sustained growth Continued focus on St
Slide 27: Safe Harbour
Safe Harbour: This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating Deepak Fertilisers and Petrochemicals Corporation limited’s (DFPCL) futur