Punjab Chemicals & Crop Protection Ltd. · NSE:PUNJABCHEM
Punjab Chemicals & Crop Protection — FY2021 Earnings Presentation
28 slides from Punjab Chemicals & Crop Protection's earnings presentation, June 2021
Slide 1: Cover letter to stock exchanges - Investor Presentation
u PUNJAB CHEMICALS AND CROP PROTECTION LTD ctN No. 124231 PBl 975PLC047063 Regd. Office & Works Milestotre-18, Ambala-Kalka Road, Mllage & PO. Bhankharpur, Derabassi, Distt SAS Nagar, Mohali (punjab)- 140201, IND Tele: 01762-28008 6, 522250, Fax: 01762-280070, E-mail: info@punjabchcmicals.com, Websi
Slide 2: Investor Presentation June 2021
PUNJAB CHEMICALS .AND CROP PROTECTION LTD INVESTOR PRESENTATION June 2021
Slide 3: Disclaimer
DISCLAIMER ▪ This presentation and the following discussion may contain “forward looking statements” by Punjab Chemicals & Crop Protection Limited (“Punjab Chemicals” or the Company) that are not historical in nature. These forward-looking statements, which may include statements relating to future
Slide 4: Discussion Summary
DISCUSSION SUMMARY Financial Overview – Q4 & FY21 Company Overview Business Strategy Performance Track Record
Slide 5: FY21 Result Highlights
FY21 RESULT HIGHLIGHTS RESULTS AT A GLANCE FY21 Revenue FY21 EBITDA FY21 PAT ₹ 678.2 cr, ₹ 95.5 cr, ₹ 49.1 cr, up 23% YoY up 125% YoY Up 356% YoY Generated Net Debt at ₹ 74.9 cr, EBITDA Margin 14.1% lower from FY20 Cash Profits PAT Margin 7.7% by ₹ 13.1 cr ₹ 63.9 cr FY21 Return Ratios: Long-term Cli
Slide 6: Q4 FY21 Financial Performance
Q4 FY21 FINANCIAL PERFORMANCE YOY COMPARISON (In ₹ cr) REVENUE GEOGRAPHICAL SPLIT International Domestic 209.5 141.3 106.8 61.7 45.1 68.2 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 EBITDA & EBITDA MARGIN CASH PAT, PAT & PAT MARGIN 19 .0% PAT Cash PAT PAT Margin % 11.1% 14 .0% 8.6% 23.2 9.0 % 4.4% 5.0% 14.6 4.0
Slide 7: FY21 Financial Performance
FY21 FINANCIAL PERFORMANCE YOY COMPARISON (In ₹ cr) REVENUE GEOGRAPHICAL SPLIT International Domestic 678.2 549.6 422.6 343.1 206.5 255.6 FY20 FY21 FY20 FY21 EBITDA & EBITDA MARGIN 20 .0% CASH PAT, PAT & PAT MARGIN 14.1% PAT Cash PAT PAT Margin % 15 .0% 7.7% 10 .0% 7.2% 95.5 5.0 % 63.9 2.0% 49.1 0.0
Slide 8: Consolidated Profit & Loss Statement
CONSOLIDATED PROFIT & LOSS STATEMENT Particulars (₹ cr .) Q4 FY21 Q4 FY20 YoY Q3 FY21 QoQ FY21 FY20 YoY Operating Revenue 209.5 106.8 96.1% 172.5 21.5% 678.2 549.6 23.4% COGS 131.7 52.7 150.0% 101.3 30.0% 405.1 325.2 24.6% Gross Profit 77.8 54.2 43.7% 71.2 9.3% 273.1 224.4 21.7% Gross Margins (%) 37
Slide 9: Q4 Result & Business Updates
Q4 RESULT & BUSINESS UPDATES • In Q4 FY21 we continued to deliver robust growth in sales and our profitability has improved substantially • On a year-on-year basis compared to Q4 FY20, in Q4 FY21 – ▪ Revenue has almost doubled, up 96.1% , from ₹ 106.8 cr to ₹ 209.5 cr ▪ Gross margin has dropped from
Slide 10: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET Particulars (₹ cr) FY21 FY20 Particulars (In ₹ Mn) FY21 FY20 Shareholder's Funds Non current assets Equity Share Capital 12.3 12.3 Property, plant and equipment 182.3 158.7 Reserves 132.3 85.5 Right of use assets 5.3 6.7 - - Capital work-in-progress 15.0 14.3 Non-Current L
Slide 11: Company Overview
COMPANY OVERVIEW
Slide 12: Punjab Chemicals at a Glance
COMPANY OVERVIEW PUNJAB CHEMICALS AT A GLANCE About Us Our Mission • Established in 1975 • Specialising in agrochemicals • To achieve income and profitability in a • Expanding aggressively in contract research & sustained manner manufacturing (CRAMS) • To meet the customer expectations with products
Slide 13: Evolution of the Company
COMPANY OVERVIEW EVOLUTION OF THE COMPANY Highest EBITDA in 10 years - ₹ 955 mn 2021 Business Model – Contract Manufacturing 2016 M&A – Alpha Drug Pharma 2003 2018 Capacity enhancement – Diversification- Agrochemicals Specialty Chemicals 1983 2006 Integration under one entity- Punjab Chemicals 1995
Slide 14: Manufacturing Facilities
MANUFACTURING FACILITIES Location Derabassi Lalru Established 1975 2003 Area 24.1 acres 23.5 acres Capacity 29,700 MT 5,778 MT Manpower 751 456 Capacity Utilisation (FY 21) 80% 73% Certifications ISO 9001:2015 & ISO 14001:2015 ; 2 STAR Export House
Slide 15: Manufacturing Facilities: Derabassi and Lalru
MANUFACTURING FACILITIES DERABASSI LALRU • Molecules: Albendazole, Ketosulphone, • Molecules: Metamitron, Metconazole, Drotavarin, Etoricoxib, Trimethoprim, Diflufinican, Oxalic Acid, Benzoic Acid, Aminoacetonitrile Ethofumesate • 6 acres available for future expansion • Capacity added in FY21: 3,00
Slide 16: Leadership Team - Board of Directors
LEADERSHIP TEAM BOARD OF DIRECTORS Mr. Mukesh D. Patel , Chairman Mr. Shalil Shroff , Managing Director • Graduate in Chemical Engineering, experience in finance and Corporate • Management Diploma from University of Deopage (USA) management for more than 43 years • Joined in 1992 and Managing Direct
Slide 17: Key Management Team
KEY MANAGEMENT TEAM Mr. Avtar Singh, Non-Independent Director Mr S.S. TIWARI, Non-Independent Director • BSc. – Punjab University; associated with the company for 40 years, • MSc, Diploma in Mgmt. In charge of operations of Agro Chemicals Division and Specialty • 39 years association with the compan
Slide 18: Business Strategy
BUSINESS STRATEGY 10 9001:2018 & 180 140012018 Certified Company PUNJAB CHEMICALS Zl AND CROP PROTECTION LTD.
Slide 19: Business Strategy
BUSINESS STRATEGY Identify Niche Partner for Modus Products Contract Mfg Operandi Growth Triggers • Target ₹ 50-100 cr • Offer attractive and cost- • Dedicated R&D Team • Diversification & expansion revenue per product effective solution • Quick implementation of the into new geographies to • Target
Slide 20: Advantage Punjab Chemicals
ADVANTAGE PUNJAB CHEMICALS Punjab Chemicals has the advantage Anticipated of being a go-to Growth CRAMS provider Opportunity size for both domestic & international agrochemical companies, 2018 →thus positioned to gain further advantages as the industry expands 2025 Developed an efficient cost compet
Slide 21: Indian Agrochemicals Industry Overview
INDIAN AGROCHEMICALS INDUSTRY OVERVIEW • India is the fourth largest producer and the fifth largest exporter of agrochemicals in the world • The Indian agrochemicals market (at USD 9.2 bil or ~15% share of the global agrochemicals market worth USD 62.5 bil) is the largest sub-segment of the specialt
Slide 22: Indian Agrochemicals Industry Overview
INDIAN AGROCHEMICALS INDUSTRY OVERVIEW Consumption vs Exports (₹ ‘000 cr) Segmental Domestic Consumption 2010 2020 Technical Manufacturers ~125 ~145 36.3% 22,000 35.5% 20,000 13.3% Formulators ~800 ~1000 15.0% Domestic Exports Insecticide Fungicides Agrochemicals Export from India Distributors 1.5 L
Slide 23: Industry Opportunities
INDUSTRY OPPORTUNITIES Anticipated Growth Expertise Anticipated Growth 2018 → 2025 Opportunity size Opportunity size Capitalising on Opportunity 2018 → 2025 Required/ WIP* ➢ Integrated Pest $ 32 bil → $ 49 bil Biologicals $2.8 bil → $7.1 bil Improvements in formulation, ease of use, Management (IPM)
Slide 24: Major Clientele
MAJOR CLIENTELE Long Standing Client Relationships Global foray leading to new Clients Target regions for next leg of growth: Latin America, South Asia, European Union
Slide 25: Performance Track Record
PERFORMANCE TRACK RECORD PUNJAB CHEMICALS eA ANI LID. ‘801 \Conoeny
Slide 26: Past Performance at a Glance
PAST PERFORMANCE AT A GLANCE 5 YEARS TRACK RECORD (in ₹ cr) EBITDA EBITDA Margin (%) REVENUE 120 .0 16. 0% 14.1% 1,0 00.0 14. 0% 900 .0 100 .0 800 .0 678.1 10.3% 12. 0% 700 .0 642.9 80. 0 535.9 549.5 8.4% 10. 0% 600 .0 495.9 7.7% 60. 0 8.0 % 500 .0 400 .0 95.5 6.0 % 40. 0 300 .0 2.8% 66.4 4.0 % 200
Slide 27: Past Performance at a Glance
PAST PERFORMANCE AT A GLANCE 5 YEARS TRACK RECORD Leverage Analysis (₹ cr) Working Capital Analysis 2.2 67 1.6 106 60 48 56 1.0 1.0 151 42 68 33 39 30 37 44 12 74 98 -72 -135 -101 -114 -92 91 0.5 -21 151 -29 117 91 99 75 -48 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Debt Equity Debt/Equity R
Slide 28: Thank You
THANK YOU Vikash Verma/ Nachiket Kale Dr. S. Sriram IR Consultant Chief Financial Officer Contact: + 91 9664009029/ 9920940808 investorhelp@punjabchemicals.com punjabchemicals@dickensonworld.com
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