Aether Industries Ltd. · NSE:AETHER
Aether Industries — Q1 FY2024 Earnings Presentation
27 slides from Aether Industries's earnings presentation, Jul 26, 2023
Slide 1: Stock exchange cover letter for results presentation
July 26, 2023 Ref. No.: AIL/SE/51/2023-24 To, BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra Kurla Complex, Bandra (E), Mumbai-400001, MH. Mumbai-400051, MH. Scrip Code: 543534 Symbol: AETHER Dear Madam / Sir, Subject: Prese
Slide 2: Q1 FY2024 Investor Presentation
Q1 2024July 26, 2023 AETHER.NS | 543534
Slide 3: Why Aether?
WHY AETHER? The True Story R&D Driven Approach Growth Engines 1st Time In India [8 x 8] Matrix of chemistry/ Specialised R&D team Successfully launched 3 Most of our advanced technology competencies comprising 262 highly business models in 5 years intermediates and developed in-house, from quali ed
Slide 4: Highlights
HIGHLIGHTS QIP Pilot Plant Expansion Successfully launched the QIP of Rs. 7,500 MM, wherein 36 Initiated the expansion work for new Pilot Plant at the land which quali ed institutional buyers have invested in the future of Aether was procured on long-lease. Ordering of the machines on-going. New Cus
Slide 5: QIP Successfully completed of Rs. 7,500 MM
QUALIFIED INSTITUTIONAL PLACEMENT QIP Successfully completed OF RS. 7,500 MM With Investments from Marquee Investors, believing in Aether’s story and future plans Overall support from | The Promoters, the Board of Directors & Aetherians Special Thanks to Lead Managers | HDFC IB Team and Investec / S
Slide 6: Site 3++
SITE 3++ Production of 3 to 5 Products on the commercialisation of the project Located diagonally opposite to the current Manufacturing Facility 2 in GIDC, Sachin, Surat, Gujarat, India Additional 3500 MT capacities approximately per annum will be added on commercialisation of the project July 2023
Slide 7: Site 4
SITE 4 Dedicated to CEM on the commercialisation of the project Located within 200 meters of the current Manufacturing Facility 2 in GIDC, Sachin, Surat, Gujarat, India Aether Speciality Chemicals Limited 100% wholly owned subsidiary July 2023 project initiation
Slide 8: Site 5
SITE 5 S5 - Panoli 21° 32' 19.302" N, 73° 0' 11.34" E For future expansions Acquired land in auction Plot nos. 14 & 15, Panoli GIDC, Gujarat 125,000 sq. mtrs. / 31 acres (approximate) 12 times the land bank of the current land Easy proximity to NH8 54 Kms drive from current locations in Surat Wall f
Slide 9: Expansion of World's Largest Pilot Plant
EXPANSION OF WORLD’S LARGEST PILOT PLANT As of May. 2023 56 reactors ⎸ SS-316, GLR, Hast-C, Ti / PFA coated ⎸ 500 to 6000 L ⎸ full vac. to 30 bar ⎸ -20 to 300 ℃ 10 batch / cont. distillation columns ⎸ SS-316, GLR, Hast-C ⎸ full vac. to 10 bar ⎸ 150 to 800 mm diam. ⎸ 24-100 stages Wiped film evaporat
Slide 10: Oil Field Company | Aramco
OIL FIELD COMPANY | ARAMCO Oil Field Company Aether Industries Limited, signed a Letter of Intent Aether Industries Limited has inked a license (LoI) with one of the top 3 leading global Oil Field agreement with Saudi Aramco Technologies Services companies based in USA towards the Company, Saudi Ara
Slide 11: Snapshot
SNAPSHOT Q-o-Q Q-o-Q is comparison of Q1 FY24 with Q4 FY23 (INR MM) Revenue EBITDA PAT 1,638 474 302 Q1FY24 11% 21% 20% Q4FY23 1,844 602 376 Y-o-Y Y-o-Y is comparison of Q1 FY24 with Q1 FY23 1,638 474 302 Q1FY24 1% 2% 1% 1,662 486 306 Q1FY23
Slide 12: Business Segments
BUSINESS SEGMENTS (INR MM) Large Scale 63% Manufacturing FY21 3,249 FY22 3,955 FY23 3,357 Advanced intermediates and speciality chemicals Q1FY24 1,020 with application across the industry spectrum Contract Research and Manufacturing 16% Services - CRAMS FY21 359 FY22 479 FY23 817 Contract research,
Slide 13: Aether Today Q1FY24
AETHER TODAY REVENUE FROM OPERATIONS INR MM 20.0% Agro CAGR 44% 6,511 5,970 4,538 By Application 5.5% Multiple 57.8% 3,038 Pharma 6.0% Photography 2,033 1,611 5.6% Material Science 1,092 3.5% Coatings 1.5% Oil & Gas FY18 FY19 FY20 FY21 FY22 FY23 Q1FY24 0.1% Others EBITDA% 30.4 29.3 28.9 Q1FY24 24.4
Slide 14: Research and Development
RESEARCH AND DEVELOPMENT R&D has been critical to success and a differentiating factor vis-à-vis competitors Experts at helm of R&D / CRAMS Consistently rising R&D expenditure MARCH-23 JUNE-23 7.5% 7.6% 233 262 6.6% Highly qualified employees, Highly qualified employees, including including 4.3% 4.0
Slide 15: QIP Fund Utilisation
QIP FUND UTILISATION 1. Capital expenditure towards expansion of Site 3++ 2. Capital expenditure towards first phase of Site 5 3. Working Capital requirements due to new facility which has come up at Site 3 4. General Corporate Purpose funds utilised for various expansions in R&D, Pilot Plant and Si
Slide 16: Financial Results for Q1 FY24
FINANCIAL RESULTS FOR Q1 FY24 INR MM Particulars Q1FY24 Q4FY23 Q1FY23 FY23 Unaudited Audited Unaudited Audited Revenue from operations 1,611 1,838 1,600 6,511 Other income 26 6 62 165 Total income 1,637 1,844 1,662 6,676 Cost of goods sold # 769 871 830 3,173 Employee bene ts expense 85 90 72 345 Ot
Slide 17: Core Competencies 8x8
CORE COMPETENCIES Chemistry Technology Grignards and Continuous Reaction Organolithiations Batch Reaction Ethylene Oxide Chemistry High Pressure Reaction - Tandem Grignard / Fixed Bed Reaction Ethylene Oxide Chemistry Technology Cryogenic Reaction Isobutylene Chemistry High Vacuum Distillation Hydro
Slide 18: Product Selection
Sweet Spot PRODUCT SELECTION Core competencies of chemistry, technology and systems No active manufacturer in India, made for 1st time in India Minimum 4 step sequences of manufacturing and infrastructure oriented Generate adequate revenue at maturity Market leading position at product maturity Prod
Slide 19: Key Pillars
KEY PILLARS • Bachelor of Chemical Engineering • Bachelor of Chemical Technology - ICT from Institute of Chemical (UDCT, 2005), PhD in Organic Chemistry Technology (UDCT, 1974) from Michigan State University (USA, • Distinguished Alumni Award by 2010) UDCT (2010) • Prior to Aether, project leader in
Slide 20: Experienced Board
EXPERIENCED BOARD Kamalvijay Tulsian Jeevan Lal Nagori Leja Hattiangadi Dr. Amol Kulkarni Chairman, Non-Executive Non-Executive Independent Non-Executive Independent Non-Executive Director Director Director Independent Director Decades of experience in Experience 34 years in Decades of experience in
Slide 21: Business Development Leaders | SMP and KMP
BUSINESS DEVELOPMENT LEADERS | SMP AND KMP • Bachelor’s Science (Purdue • Diploma Physics and Doctorate Univ. USA) and PhD Organic of Natural Sciences (PhD), Chemistry (Univ. Wisconsin, Univ. Hannover (Germany) USA) • Decades of experience in • > 30 years at The Dow Chemical Industry Chemical Compan
Slide 22: Addition in Leadership Team
ADDITION IN LEADERSHIP TEAM • PhD Organic Chemistry – University of Rochester • >20 years Eastman Kodak – Worldwide Director of Process Development & Manufacturing • 7 years Senior VP Novomer, Inc.; CO2 Polyol Technology acquired by Saudi Aramco 2016 • 7 years with Saudi Aramco; President & CEO Aram
Slide 23: Select Marquee Customer Base | Domestic and Global
SELECT MARQUEE CUSTOMER BASE | DOMESTIC AND GLOBAL Pharmaceutical Oil and Gas Textiles High performance photography Material Science | Coatings Agrochemical Other Sectors TOSOH FineChem
Slide 24: QEHS: Health and Safety
QEHS Health and Safety ISO 9001 INDIAN GMP • Undertaking hazard and operability studies before for Quality for Manufacturing commencing commercial production of new products • Dedicated team of safety personnel • Mobile application for safety and emergencies ISO 45001 UN GLOBAL COMPACT • Modern fire
Slide 25: QEHS
QEHS Quality Environment High standards of quality for products Vibrant infrastructure installed for environment and sustainability efforts To cover To ensure • 100 KLPD in-house zero liquid discharge (ZLD) plant • Triple stage multiple effect evaporator (MEE) • Mechanical vapour recompression (MVR)
Slide 26: Environmental Social Governance
ENVIRONMENTAL SOCIAL GOVERNANCE Environmental Social Governance • Adoption of the green chemistries or • Focused on: • Technically sound and extensively more accurately sustainable chemistry - Education experienced Board members since inception. - Life Saving measures • Transparency and accountabili
Slide 27: Forward-looking statements disclaimer
Certain statements and opinions with respect to the anticipated future performance of the company in the presentation (“forward - looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be correct. Such forward -lo