Fine Organic Industries Ltd. · NSE:FINEORG

Fine Organic Industries — Investor Presentation (August 2018)

25 slides from Fine Organic Industries's investor presentation, August 2018

  1. Slide 1: Investor Presentation August 2018

    Investor Presentation August 2018

  2. Slide 2: Safe Harbor

    Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Fine Organic Industries Limited. (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for

  3. Slide 3: History & Evolution

    History & Evolution More than doubled Capacity to 131k TPA 2017 – Amalgamation of Fine Expand into new products like food Research and Development Centre premixes and feed nutrition additives Pvt Ltd and Fine Specialty Surfactants Pvt Ltd with Fine Organics 2014 – JV signed with Netherlands based ba

  4. Slide 4: Company & Business Highlights

    Company & Business Highlights

  5. Slide 5: Diversified Product Portfolio for High Growth Industries

    Diversified Product Portfolio for High Growth Industries Plastics Additives Food & Other Additives Emulsifiers Extracts desired aesthetic structure and texture Slip Agents Friction reducing additives Preservatives Preventing food from spoilage or toxic Anti-Stats Mitigates build-up of electrical cha

  6. Slide 6: Key Speciality Additives

    Key Speciality Additives Slip Additives Anti-Stats PE1 Applications Anti-Fogging Additives Emulsifiers and Anti- Anti-Block Additives Cloudifiers Emollients Fungal Additives 1. PE – Polyethylene 5

  7. Slide 7: Favourable Competitive Landscape

    Favourable Competitive Landscape Fine Organics Well Positioned to Benefit from Favourable Industry Dynamics Very High Entry Significant Customer Limited Players Highly Regulated Barriers Stickiness • Few large players • Eco-friendly Green Oleo- • Complex technology & • Customers value long term comp

  8. Slide 8: Strategically Located Manufacturing Facilities

    Strategically Located Manufacturing Facilities Capacity Plant Remarks India plants located in close proximity to Nhava Sheva Port – Ideal for Exports (TPA) Current Operational Facilities 1st Ambernath 1 49,500 NA Facility Ambernath Badlapur 2 6,400 NA 3 6 1 Facility 4 Dombivli 2 Badlapur Dombivli Ac

  9. Slide 9: Sales & Marketing Network Across the Globe

    Sales & Marketing Network Across the Globe Extensive Distribution Network Catering to Over 5,000 end users in 69 Countries Direct Products1 Distributors1 Customers1 387 631 127 Geographic Revenue Mix* FY 2017 FY 2018 Q1 2018-19 Domestic Domestic Domestic 45% 43% 42% Exports Exports 58% Exports 57% 5

  10. Slide 10: Focus on Innovation backed by Strong R&D Capabilities

    Focus on Innovation backed by Strong R&D Capabilities • Infrastructure spread over area of 5,000 sq. mts. Strong R&D • Dedicated team of 9 scientists and 6 technicians Capabilities • Developed and launched 46 new products since April 1, 2014 • Feed nutrition additives – derived from natural vegetabl

  11. Slide 11: High Pedigreed & Professional Management Team

    High Pedigreed & Professional Management Team Prakash Kamat – Executive Director and Chairman Prakash Apte – Independent Director • Holds a M.Sc. Tech- Master of Science & Tech (Oils) from • On the Board since Nov 2017. Holds a Bachelor’s degree Institute of Chemical Technology (formerly UDCT) in Me

  12. Slide 12: Key Strengths

    Key Strengths Largest producer of oleo-chemical based additives in India and one of the few large players in the Strong Management world in this industry1 Diversified product Team – each with an portfolio catering to a average of 30 years’ variety of high growth experience industries Diversified cus

  13. Slide 13: Well Thought Strategy in Place

    Well Thought Strategy in Place Organic Growth at the • 5 new proposed facilities to add a Forefront combined 67,000 TPA in capacity1 Product Expansion & • Premixes for bakery & confectionary Diversification into Newer products (through Fine Zeelandia) High Margin Downstream Products • Developing Fee

  14. Slide 14: Financial Overview

    Financial Overview

  15. Slide 15: Standalone Financials – Overview (1/3)

    Standalone Financials – Overview (1/3) Net Revenue1 and CAGR EBITDA2 and EBITDA Margin (INR Mn & %) (INR Mn & %) Margin 18.56% 22.46% 18.86% 19.25% 22.18% 8520.41 (%) 7776.86 1639.76 6513.66 1466.84 6083.41 1463.18 1129.00 2401.19 532.52 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 FY 15 FY 16 FY 17 FY 18 Q1 FY

  16. Slide 16: Standalone Financials – Overview (2/3)

    Standalone Financials – Overview (2/3) Net Debt to Net Worth1 Fixed Asset Turnover (Gross2 and Net3) (x) (x) 7.77X 0.48X 6.56X 4.92X 5.22X 0.25X 3.10X 2.79X 3.10X 3.26X 0.11X 0.08X FY 15 FY 16 FY 17 FY 18 FY 15 FY 16 FY 17 FY 18 Gross Net Return on Capital Employed4 Return on Net Worth5 (%) (%) 32.6

  17. Slide 17: Standalone Financials – Overview (3/3)

    Standalone Financials – Overview (3/3) Summary of Key Standalone Financials Rs. Millions FY 16-17 FY 17-18 Share Capital 48.30 153.30 Equity Share Suspense account 2.80 Reserves 3,298.41 3,931.23 Total Equity / Book Value 3,349.51 4,084.53 - Total dividend on Equity Shares 229.95(1) - Dividend Tax 4

  18. Slide 18: Consolidated Financials – Overview (1/3)

    Consolidated Financials – Overview (1/3) Net Revenue1 and CAGR EBITDA2 and EBITDA Margin (INR Mn & %) (INR Mn & %) Margin 18.28% 22.26% 18.60% 18.60% 8515.70 (%) 7791.56 1584.12 6524.92 1452.52 1448.97 6068.07 1109.29 FY 15 FY 16 FY 17 FY 18 FY 15 FY 16 FY 17 FY 18 PAT and PAT Margin Net Worth (INR

  19. Slide 19: Consolidated Financials – Overview (2/3)

    Consolidated Financials – Overview (2/3) Net Debt to Net Worth1 Fixed Asset Turnover (Gross2 and Net3) (x) (x) 7.76X 6.57X 0.48X 4.91X 5.23X 3.09X 2.79X 3.11X 3.26X 0.24X 0.10X 0.07X FY 15 FY 16 FY 17 FY 18 Gross Net FY 15 FY 16 FY 17 FY 18 Return on Capital Employed4 Return on Net Worth5 (%) (%) 32

  20. Slide 20: Consolidated Financials – Overview (3/3)

    Consolidated Financials – Overview (3/3) Summary of Key Consolidated Financials Rs. Millions FY 16-17 FY 17-18 Share Capital 48.30 153.30 Equity Share Suspense account 2.80 Reserves 3232.10 3,802.54 Total Equity / Book Value 3283.20 3,955.84 Total dividend on Equity Shares - 229.95(1) Dividend Tax -

  21. Slide 21: Annexure – Industry Overview

    Annexure – Industry Overview

  22. Slide 22: Plastic Additives Industry – Strong Growth Prospects

    Plastic Additives Industry – Strong Growth Prospects Plastic Additives • Key Additives – Stabilisers, FRs, Slip Additives, Lubricants, Dispersants, Anti-fogs, Anti-stats and Processing Aids Industry Global Plastic Additives Market India Plastic Additives Market Plastic Additives – Type-wise Global S

  23. Slide 23: Food Additives Industry – Multiple Tailwinds Ahead

    Food Additives Industry – Multiple Tailwinds Ahead Food Additives • Key Additives – Emulsifiers, Esters, Preservatives, Additive Blends, etc. Industry Global Food Emulsifiers Market India Food Emulsifiers Market Food Emulsifiers – Product-wise Global Share (Kilotons)1 Size (US$ Mn) Size (INR Mn) 400

  24. Slide 24: Other Additives – Key Drivers

    Other Additives – Key Drivers Cosmetics & Specialties Feed Nutrition Paints, Inks & Coatings Rubber Pharmaceuticals Industry • Lube additives • Natural Antibiotics • Emulsifiers • Dispersing agents • Processing Aids Key • Property modifiers • Nutritional Additives • Pharmaceuticals – • Emulsifiers •

  25. Slide 25: For further information, please contact

    For further information, please contact Company Investor Relations Advisors Fine Organic Industries Limited Strategic Growth Advisors Pvt Ltd. CIN No: U24119MH2002PLC136003 CIN No: U74140MH2010PTC204285 Name: Tushar Shah Rahul Agarwal / Shrikant Sangani Email id: rahul.agarwal@sgapl.net shrikant.san

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