Yasho Industries Ltd. · NSE:YASHO
Yasho Industries — Q3 FY23 Earnings Presentation
32 slides from Yasho Industries's earnings presentation, February 2023
Slide 1: Investor Presentation February 2023
AROMA FOOD RUBBER LUBRICANT SPECIALTY CHEMICALS ANTIOXIDANTS CHEMICALS ADDITIVES CHEMICALS INVESTOR PRESENTATION FEBRUARY 2023
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Yasho 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 any secu
Slide 3: Q3 & 9M Results Highlights
Q3 & 9M Results Highlights
Slide 4: Message from Managing Director's Desk
Message from Managing Director’s Desk We are pleased to report our Q3 & 9M FY23 financial and business Q3 FY23 9M FY23 performance. This quarter, sales of our products have been slow on account of global macroeconomic headwinds. We believe that this is a temporary dip in the market. However, we anti
Slide 5: Results Highlights (Q3 & 9M FY23)
Results Highlights (Q3 & 9M FY23) Operating Revenue Operating EBITDA & Margin PAT & PAT Margin (Rs. in Crs) -9% 15.6% 15.6% 8.8% 7.0% 164 149 -9% -28% 26 15 23 11 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Operating Revenue Operating EBITDA & Margin PAT & PAT Margin +21% 15.8% 17.0% 9.1% 10.0% 520 +3
Slide 6: Operational Highlights
Operational Highlights 9M FY22 Category-wise Revenue Breakup 9M FY23 Category-wise Revenue Breakup 21% Industrial Chemicals 38% Consumer Chemicals 62% 79% 9M FY22 Geography-wise Revenue Breakup 9M FY23 Geography-wise Revenue Breakup 14% India 14% 32% USA 38% 22% 24% Europe Row 30% 26% 6
Slide 7: Consolidated Income Statement – Q3 & 9MFY23
Consolidated Income Statement – Q3 & 9MFY23 Particulars (Rs. in Crs) Q3 FY23 Q3 FY22 Y-o-Y Q2 FY23 Q-o-Q 9M FY23 9M FY22 Y-o-Y Revenue from Operations 148.9 163.8 193.5 519.6 430.2 Total Revenue 148.9 163.8 -9.1% 193.5 -23.0% 519.6 430.2 20.8% Cost of Material Consumed 101.9 105.4 124.0 356.6 286.2
Slide 8: Company Overview
COMPANY OVERVIEW
Slide 9: Business Overview
Business Overview Leading specialty and performance chemicals manufacturer Yasho Industries is a pioneer in specialty and fine chemicals manufacturing, incorporated in 1985 by Mr. Vinod Jhaveri. Equipped with a dedicated research and development centre and state-of the-art manufacturing facilities,
Slide 10: History Timeline
History Timeline 1985 1993 1996 2000 2001 Incorporated as Commenced exclusive Name changed to Started ISO 9001:2008 Vasu Preservatives operations for Aromatic Yasho Industries manufacturing certified for Private Limited and Specialty Chemicals Pvt. Ltd various rubber highquality under Companies and
Slide 11: Board of Directors
Board of Directors MR. VINOD JHAVERI MR. PARAG JHAVERI MR. YAYESH JHAVERI Chairman & Executive Director Managing Director & CEO Whole Time Director & CFO MR. ANURAG SURANA MR. ULLAL BHAT DR. PRAKASH BHATE MRS. SUDHA NAVANDAR Non-Executive Independent Director Non-Executive Independent Director Non-E
Slide 12: Industry Overview
Industry Overview
Slide 13: Rubber Chemicals Industry
Rubber Chemicals Industry 1 The global rubber chemicals market is expected to grow at 4.9% to $5.31 bn by 2025 (Source - Global Market Insights) Others 16% 2 The global rubber chemicals demand is at 1.0-1.1 million tonnes annually and Indian demand is around 70,000-75,000 TPA India 6% 3 China and Ko
Slide 14: Lubricant Additives Industry
Lubricant Additives Industry The global lubricant additives market is expected to grow at a CAGR of 4.63% from 2022 to 2027 and is forecasted to reach $13.2 billion by 2027 from $10 billion in 2021. Type Application Geographical Analysis • A dispersant is the most used • The market is bifurcated int
Slide 15: Diversified Business Model
DIVERSIFIED BUSINESS MODEL
Slide 16: Diversified portfolio of over 148 products
Diversified portfolio of over 148 products Consumer Division Industrial Division Aroma Chemicals Rubber Chemicals Tyres, Automobile components, Conveyor Flavours and fragrances; personal care belts, surgical gloves, latex gloves, condoms, products - cosmetics & toiletries balloons 87 Agro chem
Slide 17: Diverse applications across industries
Diverse applications across industries Cosmetics Feed Additives Flavours and Fragrance Food Fuel & Bio Diesel Industrial Chemicals Ink & Coating Lube & Grease Automobile and Water Treatment Pharmaceuticals & Plastic & Resins Industrial Rubber Sectors Nutraceuticals 17
Slide 18: Diverse geographical presence
Diverse geographical presence 6 Continents 50+ Countries 2 Offices India Malaysia Australia Mexico Bangladesh Morocco Belgium Netherlands Brazil New Zealand Canada Oman Chile Paraguay China Philippines Colombia Puerto Rico Costa Rica Saudi Arabia Czech Repub
Slide 19: Diversity at scale with large customer base
Diversity at scale with large customer base We have clients from diversified industries and we help them to build their worldwide presence Key Takeaways 15+ high value (unicorn) clients Over 30 years, we have created 148 products for a variety of industries. We serve customers from USA, Europe, Asia
Slide 20: Manufacturing Capabilities
Manufacturing Capabilities Capacity Capacity Additions Prowess Manufacturing 1500 MTPA added with Located close to Nhava 5,850 MTPA process change and Sheva Sea Port Efficient Unit - I Logistics plant correction Manufacturing 900 MTPA capacity Multi-purpose plant to 5,450 MTPA Unit - II added throug
Slide 21: Update on Capex
Update on Capex Capacity Expansion 50% of land is still available in Pakhajan Greenfield Project at Pakhajan, Gujarat for expansion Estimated Cost ~ Rs 400 Crores for Phase 1 Target Products Industrial Chemicals, EBITDA Margin > 20% 17,000 Timeline ~Q4FY24 to commence production Estimated Revenue ~
Slide 22: Research & Development
Research & Development Research & Development Quality Control As the cornerstone of our business, R&D is led by our Research & Development & Quality Control is our core promoters with active contribution and guidance strength. YIL continues to invest in R&D and technological upgradation to ensure su
Slide 23: Certifications & Accreditation
Certifications & Accreditation ISO Certification FSSC 22000 Certification FSSAI Certification NSF Certified FAMIQS Certification STAR KOSHER Certification HALAL Certification ecovadis Certified
Slide 24: Entry Barriers & USP's
Entry Barriers & USP’s Economies of Scale Capex Innovative solutions for the future Constantly researching and investing in new generation chemicals to stay ahead of industry trends and meet the evolving needs of our customers Established players in the industry often Setting up and running a chemic
Slide 25: Financial Performance
Financial Performance
Slide 26: Historical Financial Performance
Historical Financial Performance Revenue (Rs. Crs.) Gross Profit 613 223 +44% +43% 359 297 126 109 FY20 FY21 FY22 FY20 FY21 FY22 EBITDA (Rs. Mn.) & EBITDA Margin PAT (Rs. Mn.) & PAT Margin 13.4% 13.6% 15.2% 4.1% 6.0% 8.5% 93 52 +53% +108% 49 40 21 12 FY20 FY21 FY22 FY20 FY21 FY22 26
Slide 27: Historical Financial Performance
Historical Financial Performance ROE (%) ROCE (%) Net Debt / Equity (x) 30.2 32.1 34.2 2.5 27.2 20.9 24.8 1.8 0.9 FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 Fixed Asset Turnover (x) Working Capital Days Cash Flow from Operations (Rs. Crs.) 4.4 141 39 122 34 36 3.1 3.0 91 FY20 FY21 FY22 FY20 FY21 F
Slide 28: Historical Income Statement
Historical Income Statement Particulars (Rs. Crs.) FY20 FY21 FY22 Total Revenue 297.1 359.4 612.7 Cost of Material Consumed 196.8 222.2 405.6 Change in Inventories of Finished goods & Work in Progress -8.3 11.5 -21.5 Gross Profit 108.6 125.8 228.5 Gross Profit Margin 36.5% 35.0% 37.3% Employee Expen
Slide 29: Balance Sheet – Equity & Liabilities
Balance Sheet – Equity & Liabilities Particulars (Rs.Crs.) FY20 FY21 FY22 Equity (a) Equity share capital 10.9 10.9 11.4 (b) Other equity 46.6 68.0 161.7 Total Equity 57.5 78.9 173.1 Liabilities Non ‐ Current Liabilities Financial liabilities (i) Borrowings 59.8 53.2 63.5 (ii) Lease liabilities - 2.
Slide 30: Balance Sheet - Assets
Balance Sheet - Assets Particulars (Rs. Crs) FY20 FY21 FY22 ASSETS Non ‐ Current Assets Property, plant and equipment 91.3 103.1 147.0 Capital work‐in‐progress 11.6 - 0.5 Other Intangible assets 15.1 16.8 13.5 Financial Assets Investments 0.1 0.1 0.1 Other non‐current assets 5.9 8.3 17.2 Total Non ‐
Slide 31: Cash flow Statement
Cash flow Statement Cash Flow Statement (Rs. Crs.) FY 20 FY 21 FY 22 Cash Flow from Operating Activities Profit before Tax 16.8 30.8 70.8 Adjustment for Non-Operating Items -25.7 -28.2 -32.0 Operating Profit before Working Capital Changes 42.5 59.0 102.8 Changes in Working Capital -8.1 -20.0 -67.0 C
Slide 32: Contact
Mr. Yayesh Jhaveri Whole Time Director & CF0 yayesh@yashoindustries.com www.yashoindustries.com CIN – L74110MH1985PLC037900 Investor Relations: Mr. Bhavya Shah bhavya.shah@linkintime.co.in +91 80827 48577 Mr. Nachiket Kale nachiket.kale@linkintime.co.in +91 99209 40808 541167 www.orientcap.com YASHO