Nath Bio-genes (india) Ltd. · NSE:NATHBIOGEN
Nath Bio-genes (india) — Q4 FY2021 Earnings Presentation
28 slides from Nath Bio-genes (india)'s earnings presentation, Jun 24, 2021
Slide 1: Nath Bio-Genes presentation on audited financial results
oe, Nath we. Bio-Genes (i) Ltd. (CIN L01110MH1993PLC072842) 24% June 2021. - The Manager-Listing The Manager-Listing BSE Limited «| | - National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra-Kurla Complex Dalal Street, . ’ Bandra (E) Mumbai-400001 | - Mumbai-400051
Slide 2: Q4FY21 Performance
Q4FY2I Performance ry Oe we. Nath Bio-Genes (I) Ltd. azar aa, attat AT
Slide 3: Safe Harbour
Safe Harbour • Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our act
Slide 4: Delivering on Stated Strategy; Evolved into a Dividend Paying Company
Delivering on Stated Strategy; Evolved into a Dividend Paying Company Actions Taken Outcome o Non Cotton and non paddy revenue growth of o Field Crop portfolio growing and performing in 13.89% YOY; revenue contribution of 38% line with expectations. Diversified and De-Risked o Vegetable volume grew
Slide 5: Income Statement
Income Statement Particulars (INR FY21 FY20 % Change (YoY) Q4FY21 Q4FY20 % Change (YoY) Mn) Total Revenue 3076 2799 10% 550 601 -9% Gross Profit 1715 1536 12% 310 293 6% Gross Margin (%) 56% 55% 56% 49% EBITDA 667 547 22% 111 67 65% EBITDA Margin (%) 22% 20% 20% 11% Depreciation 28 14 94% 8 4 130% F
Slide 6: Segment wise Operating Performance
Segment wise Operating Performance Products Metric FY21 FY20 YOY Growth Cotton Packets 12,24,240 11,66,566 5% Vegetable Quintals 4,606 4,075 13% Paddy Quintals 83,839 74,116 13% Other Crops (Bajra, Maize) Quintals 34,195 31,041 10% Win chi Win Litres 55,429 51,293 8% 5
Slide 7: Segmental Revenue Contribution- Cotton+Paddy share reducing
Segmental Revenue Contribution- Cotton+Paddy share reducing FY20 Revenue FY21 Revenue INR 2,799 Mn INR 3,076 Mn Win Chi Win Chi Win, Win, 10% 11% Cotton, Others, Cotton, 31% Others, 30% 15% 17% Paddy, 32% Vegetable, Paddy, 32% Vegetable, 11% 11% • include: Jowar, Bajra, Maize, Mustard, Wheat
Slide 8: Highly Ranked Cotton Products – Gaining market share in declining market
Highly Ranked Cotton Products – Gaining market share in declining market o Volume growth of 5% in FY21 3 YEAR OUTLOOK: o Sales return of 27% due to COVID situation 20% + Growth CAGR o Special Campaign being undertaken to educate farmers Progress of Acreage under COTTON BT (in Lk Hectare) - STATE-W
Slide 9: Paddy: Strong volume growth
Paddy: Strong volume growth o Volume growth 13% in FY21 3 YEAR OUTLOOK: o Research Efforts underway for new products 20% + Growth Presence of Paddy across India 10+ Key Products Key Markets Paddy Products launched in last 5 years Hybrid Vegetable Market Size: INR 25 – 30 Bn Loknath Bihar Gorakhnat
Slide 10: Highly diversified vegetable Portfolio
Highly diversified vegetable Portfolio o Volume growth of 13% in FY21 3 YEAR OUTLOOK: o High Margin segment : 60%+ margins 30% + Growth o New products being launched o Vegetable vertical achieving results Hybrid Vegetable Market Size: INR 25 – 30 Bn Hybrid Vegetable Industry: Market Break-up 30+ O
Slide 11: Win Chi Win : Major growth booster
Win Chi Win : Major growth booster 3 YEAR OUTLOOK: o Registered a volume growth of 8% in FY21 30% + Growth o Overall sales effected due to COVID situation o High Margin segment : 70%+ Margins o Territories being enhances to sustain growth Geographical Presence of Win Chi Win • A growth enhancer for
Slide 12: Innovate, Help, Grow
Innovate, Help, Grow Innovate Help Grow (5 Year Performance] 45 150,000 81% New Seeds Developed in last 5 Employment Generated Revenue Growth years 100+ years 50,000 2.3x Contract Farmers EBITDA Growth R&D Team experience #1-3 20,000+ 3.4x Direct Retailers PAT Growth ICAR Trials 15+ 15,000 465 bps P
Slide 13: Focussed on Shareholder Value Creation
Focussed on Shareholder Value Creation Building A Strong Organisation; Evolved into a Dividend Paying Company Developing Innovative Products Making the Portfolio more Balanced Balance Sheet becoming Stronger Strategic Presence across Seed Value Chain Delivering strong growth despite an uncertain env
Slide 14: Working Capital Cycle – Impacted by higher inventory due to Covid
Working Capital Cycle – Impacted by higher inventory due to Covid All figures in INR mn FY21 FY20 Revenue 3076 2799 Inventories 2263 2043 Trade Receivables 1094 1070 Trade Payables 452 682 Net Working Capital 2905 2431 FY21 FY20 Inventory Days 268 266 Receivable Days 130 140 Payable Days 54 89 Worki
Slide 15: Stable Balance Sheet Despite Growth
Stable Balance Sheet Despite Growth Assets (INR Mn) FY21 FY20 Liabilities (INR Mn) FY21 FY20 Fixed Assets 2469 2460 Share Capital 190 190 Financial Assets 53 52 Reserves & Surplus 5943 5386 Other Non-current Assets 134 15 Long-Term Borrowings 7 3 Inventories 2263 2043 Long-term Provisions 26 24 Trad
Slide 16: Corporate Overview
Corporate Overview ry Oe we. Nath Bio-Genes (I) Ltd. azar aa, attat AT
Slide 17: Strategy 4.0
Strategy 4.0 Altering strategy to create a more robust & de-risked business model Risks Change in Strategy Action Points o Portfolio Concentration o Limiting revenue contribution of any o Developing products in multiple Risk single crop to less than 25% food crops like Maize, Jowar, Bajra o Cotton &
Slide 18: Last 5 Years: Cotton & Paddy Driven Growth
Last 5 Years: Cotton & Paddy Driven Growth Revenue Growth Contributors (INR Mn) Cotton + Paddy: Aggregate Sales Contribution over last 5 years = 60%+ 17
Slide 19: Next 5 Years: Multiple Growth Drivers
Next 5 Year: Multiple Growth Drivers Moving towards a Diversified and De-Risked Portfolio (% Sales) Plant Nutrient Supplement 10 12 14 Vegetables 11 PNS+Vegetables+Others 16 16 Others* 17 19 20 Cotton + Paddy 62 54 50 2020-21 2021-22 E 2022-23 E * include: Jowar, Bajra, Maize, Mustard, Wheat 18
Slide 20: Building a Strong Organisation
Building a Strong Organisation • Imbibing a culture of continuous growth and strong governance 500+ • Hiring industry experts in each key area of Employees operations – R&D, Finance, Supply-Chain • Empowered teams, well-aligned with organisation vision 150+ • Strong risk management framework New Emp
Slide 21: Developing Innovative Products
Developing Innovative Products Holistic Products to Address Problems of • World Class R&D Infrastructure • Launched 36 Innovative Products Developed Low Yields across Segments Climate Change • 8-10 new products in pipeline in cotton • 20+ new products in pipeline in Vegetables Pest Infestations Seed
Slide 22: Strategic Presence Across the Seed Value Chain
Strategic Presence Across the Seed Value Chain Genetic Resources/Germplasms 18,000+ Germplasm Library R&D 100+ years R&D Team experience New Seed Development ICAR Trials 36 done at Seed varieties launched in last 3 years Commercial Production this stage 50,000 Contract Farmers Marketing and Distribu
Slide 23: Appendix
Appendix ry Oe we. Nath Bio-Genes (I) Ltd. azar aa, attat AT 22
Slide 24: Visionary Leadership; Attracting the Best Talent
Visionary Leadership; Attracting the Best Talent Mr. N Mr. Satish Nath Promoters are committed to sustainable Kagliwal Kagliwal MD growth and are working towards making Nath one Chairman of the best seeds company globally. Leadership Team Research & Product Development Nath leadership team shares th
Slide 25: Improving Profitability; Strong Balance Sheet
Improving Profitability; Strong Balance Sheet Net Debt (INR Mn) Net Worth (INR Mn) 6133 679 5576 659 5076 576 4692 478 363 3033 207 1071 1213 FY15 FY16 FY17 FY18 FY19 FY20 FY21 -121 FY15 FY16 FY17 FY18 FY19 FY20 FY21 EBITDA Margin (%) PAT Margin (%) 21% 22% 20% 18% 18% 19% 19% 17% 17% 15% 15% 14% 9%
Slide 26: Historical Income Statement
Historical Income Statement Nath Bio-Genes’ P&L Statement Particulars (INR Mn) FY21 FY20 FY19 Total Revenue 3076 2799 2,309 Gross Profit 1715 1536 1,253 Gross Margin (%) 56% 55% 54% EBITDA 667 547 433 EBITDA Margin (%) 22% 20% 19% Depreciation 28 14 14 Finance Cost 88 65 52 PBT 568 485 389 PAT 557 5
Slide 27: Historical Balance Sheet
Historical Balance Sheet Assets (INR Mn) FY21 FY20 FY19 Liabilities FY21 FY20 FY19 Fixed Assets 2469 2,460 2,317 Share Capital 190 190 190 Financial Assets 53 52 52 Reserves & Surplus 5943 5,386 4,885 Other Non-current Assets 134 15 20 Long-Term Borrowings 7 3 5 Inventories 2263 2,043 1,554 Long-ter
Slide 28: Thank You
Thank You For further information, please get in touch with: Sheetal Khanduja Niharika Shah sheetal@GoIndiaadvisors.com niharika@GoIndiaadvisors.com M:+91 97693 64166 M:+91 97690 98986 27
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