Hikal Limited · NSE:HIKAL
Hikal — Q1 FY2025 Earnings Presentation
32 slides from Hikal's earnings presentation, Aug 1, 2024
Slide 1: Exchange filing cover letter for results presentation
August 1, 2024 BSE Ltd., National Stock Exchange of India Ltd., P J Towers, Exchange Plaza, Dalal Street, Bandra-Kurla Complex, Bandra, Mumbai - 400 001. Mumbai - 400 051. Scrip Code: 524735 Symbol: HIKAL Dear Sir/Madam, Subject: Results Presentation of the Company for the quarter ended June 30, 202
Slide 2: Investor Presentation: Q1FY25
Investor Presentation: Q1FY25 August, 2024
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Hikal 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 securities, and
Slide 4: Executive Chairman's Message
Executive Chairman’s Message The global chemical industry is experiencing a recovery in demand, wit h a steady improvement in consumption, production and capacity utilization . We expect prices to stabilize i n the coming quarters . In Q1FY25, our revenues reac hed Rs. 407 Cr, with an EBITDA of Rs.
Slide 5: Q1 FY25: Operational Highlights
Q1 FY25: Operational Highlights Revenue EBITDA PAT EBITDA Margin EPS Rs. 407 Crore Rs. 58 Crore Rs. 5 Crore 14.3 % Rs. 0.42 YoY 5% YoY 16% YoY 25% YoY 140 bps YoY 25% QoQ 21% QoQ 38% QoQ 85% QoQ 410 bps QoQ 85% 44
Slide 6: Q1 FY25: Consolidated Performance
Q1 FY25: Consolidated Performance Rs. In crores Revenue EBITDA EBITDA% 514 95 18.4 14.3 407 388 12.9 58 50 Q4FY24 Q1FY24 Q1FY25 Q4FY24 Q1FY24 Q1FY25 Q4FY24 Q1FY24 Q1FY25 COMMENTARY • Revenue recorded at Rs 407 Crore • PAT stood at Rs. 5 Crore • Increased volume demand from existing & new API custome
Slide 7: Q1 FY25: Pharmaceuticals Performance
Q1 FY25: Pharmaceuticals Performance Rs. In crores Revenue EBIT 338 54 225 229 10 9 Q4FY24 Q1FY24 Q1FY25 Q4FY24 Q1FY24 Q1FY25 COMMENTARY • Revenue Stood at Rs. 229 Crore • EBIT Stood at Rs. 9 Crore • Demand for Own Products is robust • A combination of product mix and scheduled • DMF for 1 product f
Slide 8: Q1 FY25: Crop Protection Performance
Q1 FY25: Crop Protection Performance Rs. In crores Revenue EBIT 177 177 163 21 17 14 Q4FY24 Q1FY24 Q1FY25 Q4FY24 Q1FY24 Q1FY25 COMMENTARY • Commercialization of the new products developed in last 2-3 • EBIT stood at Rs. 21 Crore years resulted in revenue growth in CDMO business • Favorable product m
Slide 9: Q1 FY25: Revenue Contribution
Q1 FY25: Revenue Contribution Revenue Split Pharmaceuticals: Revenue Contribution 30% Q1 Q1 37% FY24 63% FY25 70% 57.9% 56.4% Crop Protection: Revenue Contribution 23% 42.1% 43.6% 30% Q1 Q1 FY24 FY25 77% 70% Q1FY24 Q1FY25 Pharmaceuticals Crop Protection CDMO Own products 88
Slide 10: Q1 FY25: Consolidated P&L
Q1 FY25: Consolidated P&L Particulars (Rs. In crores) Q1FY25 Q1FY24 YoY Q4FY24 QoQ Revenue 406.8 388.1 5% 514.1 -21% Expenditure 348.7 337.8 419.6 EBITDA 58.1 50.2 16% 94.5 -38% EBITDA Margin 14.3% 12.9% 18.4% Other Income 0.5 0.9 0.5 Depreciation 31.8 27.7 32.3 Interest 19.8 13.8 15.3 PBT 7.0 9.7 -
Slide 11: About Us
High Resolution Image needed About Us
Slide 12: Our Vision & Mission
Our Vision & Mission VISION MISSION To be the leading global fine To create value through superior, chemical company to the chemical products and operate as a Pharmaceutical, Crop Protection, responsible company. Building trust We have a strong presence across multiple segments with a and Specialty
Slide 13: Key Milestones
Key Milestones 1988 1991 1995 1997 Founded by Jai Hiremath as a First Plant site set up in Listed on Bombay Stock Taloja plant commissioned for chemical business Mahad, Maharashtra Exchange & National Stock CDMO Project with US Innovator Exchange 2009 2001 2000 New R&T Centre established & Tokyo Acq
Slide 14: Domestic & Global Presence
Domestic & Global Presence We Service Clients Globally Through our Global Footprint Panoli Taloja Europe USA Japan Pune India Navi Mumbai Bengaluru Mahad Corporate HQ R&T center, Integrated Mini Plant Manufacturing Site We serve markets across Americas, Europe, ME & We have offices across USA, Europ
Slide 15: Manufacturing Capabilities
Manufacturing Capabilities Pharmaceuticals Jigani Unit 1, Karnataka Jigani Unit 2, Karnataka Panoli, Gujarat • US FDA Approved API and Advanced Intermediates • Scale-up and Launch Plant • Acquired Manufacturing site from Novartis in 2000 Manufacturing Site • Multipurpose and Multi-product cGMP Facil
Slide 16: Our state-of-the-art R&T facility
Our state-of-the-art R&T facility 15 4 1 Synthetic Instrumentation Kilo Lab Laboratories Labs (Scale up & Pilot) 1 1 1 Process Effluent Solid State Safety Treatability Chemistry Lab Lab Lab 1 1 1 Innovation Simulation High Lab Lab Pressure Lab 6 >250 26 Process Post PhD Development Lab Graduates 15
Slide 17: Key Operational Metrics
Key Operational Metrics 5 $60Mn 3000+ 24 Manufacturing facilities Capex invested in new Assets Employees Production Blocks Pharmaceuticals Crop Protection 67 27 2,460MT 1 Kilo lab 22 3,740MT Active DMFs Commercialized Active P h a r m a (Scale up & Pilot) Commercialized Active Ingredients APIs Ingre
Slide 18: Sustainability Initiatives
Sustainability Initiatives
Slide 19: Driving Sustainable Growth
Driving Sustainable Growth High potential based on industry trends, customer requirements E nvironment Decarbonization Material circularity Water management S ocial Community Health and safety Diversity & inclusion Employee relations Customers G overnance Governance Transparency & risk Fair sourcing
Slide 20: ESG – Key Initiatives
ESG – Key Initiatives PHASE 1 PHASE 2 PHASE 3 Initiation Program (Completed) Program Governance (Ongoing) Actions & Impact (To commence) • Baselining for GHG1&2 • Baselining for GHG Scope 3 • Submission SBTi Targets • Material Topics Identification • Signatory to SBTi • Deployment of Energy saving P
Slide 21: Regulatory Filings
Regulatory Filings Integrated Management Key Regulatory Approvals Systems across all sites 20
Slide 22: Awards
High Resolution Image needed Awards
Slide 23: Awards & Accolades
Awards & Accolades Our Corporate Communications & Digital team awarded Our Chairman recognised by WWF India for with the Bronze Award for Excellence in Environmental Hikal’s impactful contribution towards Nature Stewardship at the Imagexx 2024 Summit Awards for Gaudian Program Hikal's #PledgeForGree
Slide 24: Historical Financials
High Resolution Image needed Historical Financials
Slide 25: Yearly Financial Highlights
Yearly Financial Highlights Rs. In crores Revenue EBITDA PAT 2,023 341 161 1,943 323 1,785 1,720 133 273 267 1,507 257 84 78 70 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 24
Slide 26: Yearly Segmental Highlights
Yearly Segmental Highlights Rs. In crores Pharmaceuticals Revenue Crop Protection Revenue 1,130 1,115 1,100 908 1,060 813 887 661 684 620 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Pharmaceuticals EBIT Crop Protection Revenue 170 115 151 100 103 103 128 74 93 65 FY20 FY21 FY22 FY23 FY24 FY20
Slide 27: Sales Break-Up
Sales Break-Up Pharmaceuticals Revenue Break-Up Crop Protection Revenue Break-Up 35.0% 41.0% 44.0% 41.0% 54.0% 69.0% 76.7% 75.7% 74.0% 77.0% 65.0% 59.0% 56.0% 59.0% 46.0% 31.0% 26.0% 23.3% 24.3% 23.0% FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 CDMO Own Products 26
Slide 28: Consolidated Profit & Loss – Full Year
Consolidated Profit & Loss – Full Year Particulars (Rs. In Crore) FY24 FY23 Y-o-Y Net Sales 1,785 2,023 -12% EBITDA 267 257 +4% Margin 15.0% 12.7% 230 bps Depreciation 118 109 Finance Costs 56 48 Exceptional Item - - PBT 95 105 -9% Tax 26 27 Net Profit 70 78 -11% Margin 3.9% 3.9% - 27
Slide 29: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (Rs. In Crore) Mar-24 Mar-23 Equities & Liabilities (Rs. Crore) Mar-24 Mar-23 Total Non Current Assets 1,520 1,446 Shareholders Fund 1,188 1,134 Property, Plant and Equipment 996 885 Share Capital 25 25 Capital work in Progress 414 402 Other Equity 1,163 1,109 Right
Slide 30: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Particulars (Rs. In Crore) Full Year ended 31-Mar-24 Full Year ended 31-Mar-23 Profit before tax 95 105 Adjustments 175 163 Operating Profit Before Working Capital Changes 270 268 Change in operating assets and liabilities (53) 76 Cash generated from operations 217 3
Slide 31: Ratio Analysis
Ratio Analysis ROE% ROCE% 21.6% 16.1% 15.0% 12.5% 15.2% 10.7% 8.5% 8.2% 7.1% 6.1% 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Net Debt / Equity (x) Net Debt / EBITDA (x) 0.7 2.6 0.7 0.6 0.6 0.6 2.1 2.1 1.8 1.8 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 30
Slide 32: Thank You
Thank You Company: Investor Relations Advisors : Hikal Limited Strategic Growth Advisors Pvt. Ltd CIN: L24200MH1988PTC048028 CIN: U74140MH2010PTC204285 Mr. Kuldeep Jain Mr. Jigar Kavaiya / Ms. Ami Parekh Kuldeep_jain@hikal.com +91-9920602034 / +91-8082466052 jigar.kavaiya@sgapl.net/ ami.parekh@sgapl