Bodal Chemicals Limited · NSE:BODALCHEM

Bodal Chemicals — FY2023 Earnings Presentation

43 slides from Bodal Chemicals's earnings presentation, May 30, 2023

  1. Slide 1: Exchange submission cover letter

    By Online Submission Sec/23-24/23 Date:30/05/2023 To, To, The General Manager, The General Manager, Department of Corporate Services National Stock Exchange of India Ltd. BSE Ltd. Exchange Plaza, 1st Floor, New Trading Ring, Plot No. C/1, G Block, Rotunda Building, P. J Tower, Bandra Kurla Complex,

  2. Slide 2: Bodal Chemicals Limited Investor Presentation – May 2023

    Bodal Chemicals Limited Investor Presentation – May 2023

  3. Slide 3: Safe Harbour

    Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Bodal Chemicals 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

  4. Slide 4: Q4 & FY23 Highlights

    H Q4 & FY23 Highlights

  5. Slide 5: Business Highlights

    Business Highlights FY23 Rs 15,859 mn Rs 1,450 mn Rs 380 mn Revenue EBITDA PAT • Overall business performance for FY23 has been weak with total revenue of Rs 15,859 mn, a de-growth of 23.5 % on a YoY basis. Consumption of end user industries has been sluggish due to overall slowdown in the global ma

  6. Slide 6: Performance Highlights

    Performance Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 8.6% 7.8% 4.1% 0.7% Margin 6,028 521 Q4 FY23 246 3,935 Performance 308 28 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 Q4 FY22 Q4 FY23 11.4% 9.1% 4.8% 2.4% 20,724 FY23 15,859 2,369 987 Performance 1,450 380 FY22 FY23 FY22 FY23 FY22 FY2

  7. Slide 7: Geographic Breakup

    Performance Highlights FY22 FY23 Revenue Rs 20,314 mn Revenue Rs15,445 mn 5% 6% 10% 11% 1% Basic Chemicals 2% Dyestuff 13% Revenue Breakup 21% Dye Intermediates 34% 35% Caustic Soda TCCA 36% 26% Others Geographic Breakup 69% Domestc 68% 32% 31% Export * On Consolidated basis excluding other non oper

  8. Slide 8: Production Volume

    Performance Highlights (Rs in mn) Basic Chemicals Dyestuff Dye Intermediates Chlor Alkali^ Revenue Breakup 1,955 1,726 6,995 7,354 3,270 2587 5,412 3,936 629 776 836 387 1,867 993 2,132 1,357 Q4’22 Q4’23 FY’22 FY’23 Q4’22 Q4’23 FY’22 FY’23 Q4’22 Q4’23 FY’22 FY’23 Q4’22 Q4’23 FY’22 FY’23 *Revenue bre

  9. Slide 9: Subsidiaries Performance Q4

    Subsidiaries Performance (Rs in mn) BCTPL Sen-er Boya BCL China BCL Indonesia -100% -55% 100% NA Revenue 148 65 11 66 33 9 0 0 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Particulars BCTPL Sener Boya Bodal-China Bodal-Indonesia (Rs in mn) Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22

  10. Slide 10: Subsidiaries Performance FY

    Subsidiaries Performance (Rs in mn) BCTPL Sen-er Boya BCL China BCL Indonesia NA -100% -27% -18% 67 356 Revenue 851 20 623 293 0 0 1 2 FY22 FY23 FY22 FY23 FY22 FY23 FY22 FY23 Particulars BCTPL Sener Boya Bodal-China Bodal-Indonesia (Rs in mn) FY22 FY23 FY22 FY23 FY22 FY23 FY22 FY23 Sales 66.5 - 850.

  11. Slide 11: Consolidated Profit & Loss Statement

    Consolidated Profit & Loss Statement Particulars (Rs. In Mn) Q4FY 23 Q4FY 22 Y-o-Y% FY23 FY22 Y-o-Y% Revenue from Operation 3,895.8 6,004.8 15,742.8 20,552.5 Other Income 38.9 23.7 116.1 171.3 Total Income 3,934.7 6,028.5 -34.7% 15,858.9 20,723.8 -23.5% Raw Material Consumed 2,318.8 3,503.4 9,038.4

  12. Slide 12: Standalone Profit & Loss Statement

    Standalone Profit & Loss Statement Particulars (Rs. In Mn) Q4 FY23 Q4 FY22 Y-o-Y% FY23 FY22 Y-o-Y% Revenue from Operation 3,894.4 5,902.1 15,551.2 20,108.3 Other Income 35.9 -3.7 79.8 78.6 Total Income 3,930.3 5,898.4 -33.4% 15,631.0 20,186.9 -22.6% Raw Material Consumed 2,337.6 3,409.9 8,995.5 11,1

  13. Slide 13: Consolidated Balance Sheet

    Consolidated Balance Sheet Particulars (In Mn) Mar-23 Mar-22 Particulars (In Mn) Mar-23 Mar-22 ASSETS Equity & Liabilities Non-current assets 12,700.2 9,915.5 10,777.0 10,523.5 Equity Property, Plant and Equipment 9,520.8 8,011.2 Equity Share capital 251.3 245.0 Right of use of assets 5.5 1.6 Capita

  14. Slide 14: Company Overview

    \ \ tH, Company Overview _

  15. Slide 15: A Leading Chemical Manufacturer

    A Leading Chemical Manufacturer 3 10 Rs. 15,859 mn Decade Old Organization Manufacturing Facilities FY23 Consolidated Revenue 6% 11% Basic Chemicals 1% Dyestuff 21% Dye Intermediates 70+ 11 35% Chlor Alkali Distributors Across India 7 Domestic + 4 Overseas Depots TCCA 26% Others Domestc 200+ 600+ 69

  16. Slide 16: Company Evolution

    Company Evolution 1989 1993 - 1994 1997-2004 2006-2010  Incorporated as JK  Acquired Unit II & Unit III  1997-Acquired two Units  2006-Listed on BSE via reverse merger Pharma at Unit II-A  Name changed to Bodal  2004 -Acquired Unit I & with Dintex Dye Chem (Unit I) Chemicals Pvt. Ltd. Forward

  17. Slide 17: Geographical Footprint

    Geographical Footprint ~31% of Total revenue comes from exports 45+ Countries Global Presence North America Europe Rest of Asia Revenue Breakup India Domestic Export 100% 100% 100% 100% 100% South America 59% 67% 68% 69% 56% 44% 41% 33% 32% 31% FY19 FY20 FY21 FY22 FY23 Note : Maps not to scale. All

  18. Slide 18: Longstanding Clientele

    Longstanding Clientele Basic Chemicals Dye Intermediates Dyestuffs 70+ 600+ Distributors Across India Customers 17

  19. Slide 19: Experienced Board & Management Team

    Experienced Board & Management Team Mr. Suresh J. Patel Mr. Bhavin S. Patel Mr. Ankit S. Patel Mr. Mayur Padhya Chairman & MD Executive Director Executive Director Chief Financial Officer Experience : 35 years Experience : 19 years Experience : 15 years Experience : 27 years Background : Background

  20. Slide 20: Awards & Certifications

    Awards & Certifications Awards Certificates 2005-06 2016-17  Highest Self Manufacturing Turnover for Domestic and Export of Dyes and  BCL has ISO 9001:2015 and ISO 14001:2015 certifications  Received the prestigious Chemexcil Gold Award Dye Intermediates from the Gujarat Dyestuffs Manufacturers A

  21. Slide 21: Product Overview

    Product Overview

  22. Slide 22: Diversified Product Portfolio

    Diversified Product Portfolio Existing Products New Products Additions Basic Chemicals Dye Intermediates Dyestuffs Chlor Alkali Benzene Derivative  Sulphuric Acid  Vinyl Sulphone &  Reactive Dyes  Caustic soda  MCB  Chlorosulphonic Acid Derivatives  Acid Dyes  Chlorine  Sulphur Trioxide  H

  23. Slide 23: Manufacturing Value Chain

    Manufacturing Value Chain Input Materials Basic Chemicals Dye Intermediates Dyestuffs Trion Chemicals End Use Industry Water Vinyl Sulphone + Derivatives Reactive Dyes Textiles Para Nitro Aniline Ice H Acid Beta Naphthol Steam DASA Sulphuric Acid Power Acid Dyes Leather FC Acid Sulphur Chloro Sulpho

  24. Slide 24: Manufacturing Facilities

    Manufacturing Facilities Total 10 11 Depots In-house R&D Lab Total Employees Manufacturing Facilities (Exclusive Distribution Warehouse)  3 – Ahmedabad, Gujarat  1 - Ahmedabad, Gujarat  Domestic 2,000+  7 - India  4 - Vadodara, Gujarat  2 - Vadodara, Gujarat  Contract Labours ~1,500  1 - Chi

  25. Slide 25: Our Subsidiaries

    Our Subsidiaries (Rs in mn) Company FY23 Location Stake Details Name Revenue Bodal Chemicals Trading Gujarat, India 100% Rs 0.01mn Trading and Marketing subsidiary Private Limited Trading & Marketing subsidiary for China and adjacent Bodal Chemicals Trading China 100% Rs 293 mn countries Shijiazhuan

  26. Slide 26: Key Growth Drivers

    Key Growth Drivers Dyestuff Expansion TCCA Division Vinyl Sulphone at SPS Turkish entity Sener Boya Dyestuffs capacity of 35,000 Acquired 100% stake in Trion Vinyl Sulphone plant of 6,000 Acquired ~ 100% stake to MTPA will be ramped-up Chemicals and amalgamated with MTPA capacity at SPS has been str

  27. Slide 27: Our Key Strengths

    Our Key Strengths 3 Decades of Presence  Home grown player with deep understanding of Indian & Integrated Business Model global chemicals market  Integrated business model leading to cost competitiveness and protection against commodity cycles In house R&D Facilities  Well- equipped production fa

  28. Slide 28: India's Edge in the Global Chemicals Market

    India’s Edge in the Global Chemicals Market Indian Chemical Industry Megatrends Industry (USD bn) ~9% ~11% Structural Shift China +1 Unorganized players in the Dye Intermediates India is emerging as the next alternative 300 and Dyestuffs Industry have been declining supplier for the global market 27

  29. Slide 29: Next Level of Growth

    tH, Next Level of Growth

  30. Slide 30: Capex To Drive Next Level Of Growth

    Capex To Drive Next Level Of Growth Greenfield Saykha Project Key Synergies Project Location  Saykha, Gujarat  Strategic Location Products  Benzene Downstream ~63,000 MTPA  Diversified Product Portfolio  ~Rs 2,700 mn Benzene plant + ~ Rs 1,200 mn related soft cost including Project Cost onetime

  31. Slide 31: Moving Up The Value Chain With New Chemistries

    Moving Up The Value Chain With New Chemistries Benzene Chain Chlor Alkali Chain Chlorine PNCB PNCB Salt & Water Electrolysis Caustic Soda 2,4 DNCBSolution (Power) ONCB Benzene MCB MNCB Hydrogen • Captive Consumption: DNCB • Punjab unit has strong internal consumption of chlorine • MCB :100% • ~ 30%

  32. Slide 32: Capex To Be Completed in FY24

    Capex To Be Completed in FY24 Revenue Visibility Chemical Segments FY23 FY24 FY25 Basic Chemicals 11%   Dye Intermediates 26%   Dyestuffs 35%   Trichloroisocyanuric Acid (TCCA) 1%   Caustic Soda 21%   Benzene Downstream - *  Others 6%   On Consolidated basis *Trial run will start from

  33. Slide 33: Way Forward

    Way Forward Lower cost of production Capacity rampup Economies of scale New client penetration Long term relationship with customers Ongoing internal efficiencies Superior quality Our Edge Rigorous integration 3+ decades of experience New greenfield expansion Diverse client base Higher focus on B2C

  34. Slide 34: Responsible Corporate

    H. Responsible Corporate

  35. Slide 35: Environmentally Compliant

    Environmentally Compliant Common Treated Effluent Zero Discharge Effluent Spray Effluent Effluent Multiple Effect Solid Waste Discharge Access Plant Location Site (Solid+ Dryer Plant Treatment Plant Treatment Plant, Evaporator Incinerator Plant VECL Cala Liquid+Air) (ESDP) (at GIDC) (MEEP) Lit./Day

  36. Slide 36: Pollution Control Systems

    Pollution Control Systems  Treats low load waste water  Clarification  Compliant with GPCB, CPCB norms  Bio- degradation by AIS Effluent Treatment Plant (ETP)  Capacity 500,000 liters / day  Tertiary Poly system  Chemical oxidation  Online monitoring system  Flocculation  Installed world’s

  37. Slide 37: Responding To Critical Issue

    Responding To Critical Issue  High costs involved in complying with environmental regulations Moreover, the rising industrial water and power rates are a concern. Key Challenges  Scarcity of water can lead to insufficient supply affecting our production needs.  The Chemical Industry is energy and

  38. Slide 38: CSR Activities

    CSR Activities Key Focus Areas  Eradicating hunger, poverty and malnutrition  Promoting healthcare and sanitation including contribution to the Swach Bharat Kosh  Promoting education and enhancement of rural infrastructure  Ensuring environmental sustainability  Providing funds for construction

  39. Slide 39: Financial Highlights

    : | Financial Highlights

  40. Slide 40: Financial Highlights

    Financial Highlights Revenue (Rs. In Mn) EBITDA (Rs. In Mn) PAT (Rs. In Mn) 20,724 2,495 2,369 1,413 15,859 1,481 1,450 14,369 13,852 12,424 860 987 1,198 398 380 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 EBITDA Margin (%) PAT Margin (%) 16.6 9.9 10.7 11.4 6.26 9.6 9

  41. Slide 41: Key Ratios

    Key Ratios Net Debt/ Equity (x) Return on Equity(%) Trending lower due to increasing 0.63 17.0% capital expenditure 0.53 0.33 9.2% 9.4% 0.12 0.19 4.1% 3.5% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Return on Capital Employed (%) Net Working Capital Days 24.5 Trending lower due to increasing

  42. Slide 42: Segmental Performance

    Segmental Performance Basic Chemical Dyestuffs Dye Intermediates Chlor Alkali^ (Rs in mn) Revenue Breakup 1,955 1,726 6,995 7,354 5,412 6,544 3,270 1,601 5,324 4,618 1,282 1,269 4,808 3,936 3,993 4,589 2,587 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY

  43. Slide 43: Thank You

    Thank You Contact Information Bodal Chemicals Ltd. CIN – : L24110GJ1986PLC009003 Mr. Mayur Padhya Chief Financial Officer Email – mayur@bodal.com www.bodal.com

Bodal Chemicals — FY2023 Earnings Presentation on 6ix