Nocil Limited · NSE:NOCIL

Nocil — Q1 FY20 Earnings Presentation

26 slides from Nocil's earnings presentation, Jul 30, 2019

  1. Slide 1: Covering letter to stock exchanges

    Reg. Office: Mafatlal House, 3rd Floor, H.T. Parekh Marg, Backbay Reclamation, Churchgate, Mumbai-400 020, India. Tel.: 91 22 6657 6100, 6636 4062 Fax: 91 22 6636 4060 Website: www.nocil.com NOCIL LIMITED CIN: L99999MH1961PLC012003 Email: investorcare@nocil.com 30th July 2019 SEC/122B The Secretary

  2. Slide 2: Investor Presentation – July 2019

    Investor Presentation – July 2019 NOCIL LIMITED

  3. Slide 3: Safe Harbour

    Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by NOCIL 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 securities, an

  4. Slide 4: Quarterly Performance: Sequential

    Quarterly Performance: Sequential Revenue from Operation Value Addition (%) Operating EBITDA (%) PAT (%) (Rs. In crores) Better Product mix and Flat Flat Impact of slowdown in softening in raw material Inspite of challenging Inspite of challenging Auto Industry prices period period 242 56.37% 24.45%

  5. Slide 5: Standalone Profit & Loss Statement

    Standalone Profit & Loss Statement Rs. In Crores Q1 FY20 Q1 FY19 Y-o-Y Q4 FY19 Q-o-Q FY19 Net Revenue from Operations * 230 268 -14.4% 242 -5.0% 1,043 Raw Material 100 119 111 467 Value Addition ** 129 149 -13.2% 131 -0.9% 576 Value Addition % 56.4% 55.6% 54.1% 55.2% Employee Expenses 20 18 18 68 Ot

  6. Slide 6: Consolidated Profit & Loss Statement

    Consolidated Profit & Loss Statement Rs. In Crores Q1 FY20 Q1 FY19 Y-o-Y Q4 FY19 Q-o-Q FY19 Net Revenue from Operations * 230 268 -14.4% 242 -5.0% 1,043 Raw Material 100 119 111 467 Value Addition ** 129 149 -13.2% 131 -0.9% 576 Value Addition % 56.4% 55.6% 54.1% 55.2% Employee Expenses 20 19 19 70

  7. Slide 7: Business Overview

    Business Overview

  8. Slide 8: Company Overview

    Company Overview ▪ Part of Arvind Mafatlal Group ▪ Expertise in Rubber Chemical Business over 4 decades ▪ Largest Rubber Chemicals Manufacturer in India ▪ Long Term Business Relationships with Tyre Majors (Both Domestic & International) ▪ Awarded Responsible Care Logo by Indian Chemical Council Reve

  9. Slide 9: Management Team

    Management Team Mr. Hrishikesh . A. Mafatlal – Promoter & Chairman Mr. S. R. Deo – Managing Director • Executive Chairman and Promoter Director of NOCIL Ltd • M. Tech. in Chemical Engineering from IIT Kanpur • B.Com. (Hons.) & has attended the Advanced Management • Associated with the company for ne

  10. Slide 10: Glimpse of our Plants

    Glimpse of our Plants Navi Mumbai Plant Dahej Plant • Set up in 1976 • Commenced operations in March 2013 • Located in Trans-Thane Creek industrial area at Navi Mumbai, • Located about 45 kms from Bharuch, Gujarat Thane - Belapur’s industrial zone designated for the chemical Industry, about 40 kms a

  11. Slide 11: Our Value Proposition

    Our Value Proposition 01 01 Products & Product Forms • Wide Range of Rubber Chemical Products • Varied Product Forms Long Term Relationships 02 Sales, Marketing & Technical Service with Customers • Market Responsive Approach over 40 Countries • Strong MTS Team to offer Technical Services 03 02 03 R

  12. Slide 12: Products & their Usage

    Products & their Usage ANTI-DEGRADANTS/ ANTI-OXIDANTS 1 ▪ These are ingredients in rubber compounds which deter the ageing and inhibit degradation due to oxygen attack of rubber products, thereby enhancing service life ONE STOP SHOP ACCELERATORS With 2 ▪ Increase the speed of vulcanization ▪ Permit

  13. Slide 13: R&D and Total Quality Management

    R&D and Total Quality Management Research & Technology Development Quality Assurance Certifications ▪ NOCIL’s Research Centre at ▪ Quality Management System ▪ ISO 9001:2008 Navi Mumbai recognized by with a focus on Quality of ▪ ISO 14001:2004 Ministry of Science and Raw materials, Finished Technolog

  14. Slide 14: Technology & Speciality Chemicals – Moving up the curve

    Technology & Speciality Chemicals – Moving up the curve 55% Key Factors 35% +20% Value Addition Continual Technological Strong position in High- Improvement in Product FY13 FY19 value added products & Processes 28% +24% R&D Capabilities leading Operating Operating leverage due to significant reducti

  15. Slide 15: Rubber Chemicals – Industry Trends

    Rubber Chemicals – Industry Trends High Performance Tyres Stringent Environmental compliance Extended life, Automotive & Cost increase in China Industrial products will increase leading to Better level rubber processing chemical playing field loadings Rising Income Levels Global Demand* Increase in

  16. Slide 16: Future Growth Opportunities

    Future Growth Opportunities • Indian tyre industry may grow 7%-9% over the next 5 years backed by Global Market favourable outlook for the domestic Automotive Industry • Domestic Tyre Industry have already committed INR 150 – 180 Bn towards • Global Tyre Industry have Continuous Demand expansion pla

  17. Slide 17: Positive Demand Forecast

    Positive Demand Forecast Global Rubber Consumption (Natural + Synthetic) In Lakh tonnes 2.0 289.8 8.0 Rubber Chemicals constitute ~4% of the 9.3 Rubber Consumption 8.6 Every year ~30k additional demand for 4.5 Rubber chemicals is 6.1 created 255.4 2013 2014 2015 2016 2017 2018 2019* Total Source : R

  18. Slide 18: CAPEX Update

    CAPEX Update Phase I – Rs. 170 crores ^ Phase II – Total Capex of Rs. 255 crores ^ • For expansion of its production Expansion is expected to give an Asset • Phase I (a) - Expansion at Navi facilities for Rubber Chemicals Mumbai has been commissioned Turnover of ~2X at FY18 prices (including interme

  19. Slide 19: Why NOCIL is a Supplier of Choice

    Why NOCIL is a “Supplier of Choice” Non-Chinese Dependable Player Environment Friendly Processes Pipeline of New Generation of Rubber Chemicals Continuous investments done Non-Chinese Dependable & Development of Niche products to adopt various innovative Quality Player with Committed using innovativ

  20. Slide 20: Performance Trend

    Performance Trend Revenue from Operations* Operating EBITDA Operating PBT** Rs. In Crores +13.4% +27.9% 1,043 290 +30.1% 267 968 263 239 716 742 159 137 139 121 FY16^ FY17 FY18 FY19 FY16^ FY17 FY18 FY19 FY16^ FY17 FY18 FY19 * Revenue from operations is net of GST/Excise duty ** Operating PBT (PBT -

  21. Slide 21: Improving Operating Performance

    Improving Operating Performance Value Additions* Operating EBITDA Margins Operating PBT Margins 54% 55% 28% 26% 27% 25% 52% 50% 21% 19% 19% 17% FY16^ FY17 FY18 FY19 FY16^ FY17 FY18 FY19 FY16^ FY17 FY18 FY19 *(Revenue (-) cost of raw materials consumed (-) cost of traded goods (-) change in inventori

  22. Slide 22: Revenue Analysis and Break-up

    Revenue Analysis and Break-up Revenue Growth Bridge Increasing share of Exports Rs. In Crores 1,043 Domestic Exports 26% 30% 968 FY18 FY19 70% 74% FY18 Volume Growth Value Growth FY19 Growth in Revenue was contributed by Volume & Value growth: ✓ Volume growth – Sustainable demand ✓ Value growth – Be

  23. Slide 23: Margin built-up over the years

    Margin built-up over the years Overall Improvement in Margin Profile of the Company Sustainable Initiatives taken over 5 years 55% 55% 50% 52% • Change in Product mix 46% o Share of specialised applications 42% o Increased share of export business 35% • Technological Improvements 27% 28% o Continual

  24. Slide 24: Profit & Loss Statement

    Profit & Loss Statement Rs. In Crores FY19 FY18 Y-o-Y Net Revenue from Operations * 1,043 968 7.8% Raw Material 467 441 Value Addition ** 576 527 9.3% Value Addition % 55.2% 54.5% Employee Expenses 68 67 Other Operating Expenses 218 197 Operating EBITDA 290 263 10.4% EBITDA Margin 27.8% 27.2% Deprec

  25. Slide 25: Balance Sheet

    Balance Sheet Particulars (Rs. Crs.) 31-Mar-19 31-Mar-18 Particulars (Rs. Crs.) 31-Mar-19 31-Mar-18 ASSETS EQUITY AND LIABILITIES Non-current assets 852 652 Property, Plant and Equipment 626 499 EQUITY 1,153 1,037 Capital work-in-progress 131 39 Equity Share Capital 165 164 Investment Property 0 0 O

  26. Slide 26: For further information, please contact

    For further information, please contact: Company : Investor Relations Advisors : NOCIL Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L99999MH1961PLC012003 CIN: U74140MH2010PTC204285 Mr. P. Srinivasan - CFO Ms. Payal Dave / Ms. Neha Shroff finance@nocil.com payal.dave@sgapl.net / neha.shroff@sgapl.ne

NOCIL — Q1 FY20 Earnings Presentation on 6ix