Ion Exchange (india) Ltd. · NSE:IONEXCHANG
Ion Exchange (india) — Investor Presentation (December 2020)
34 slides from Ion Exchange (india)'s investor presentation, Dec 18, 2020
Slide 1: Submission of Analyst / Investor Presentation
December 18, 2020 To, BSE Limited The Corporate Relationship Dept. P.J. Towers, Dalal Street, Mumbai – 400 001 BSE Company Code: 500214 Dear Sir/ Madam, Sub: Submission of Analyst / Investor Presentation Pursuant to Regulation 30(6) read with Part A of Schedule III of the SEBI (Listing Obligations a
Slide 2: Investor Presentation – December 2020
INVESTOR PRESENTATION – DECEMBER 2020
Slide 3: Our Vision
Our Vision To be the leader in our business which is so vital to people’s lives and the environment. 2
Slide 4: Executive Summary
EXECUTIVE SUMMARY
Slide 5: Executive Summary
Executive Summary OVERVIEW • Ion Exchange (India) Ltd (Ion Exchange), formed in 1964, is a pioneer in water, waste water treatment & FY20: Operating environment solutions and caters to various industries, institutions, homes & communities. Income* • Headquartered in Mumbai, the company has seven man
Slide 6: Company Overview
COMPANY OVERVIEW
Slide 7: Company Overview
Company Overview • Ion Exchange was originally formed as a subsidiary of Permutit, UK in 1964. It REVENUE BREAK UP FY20* became a wholly owned Indian company in 1985. The company is currently in its 56th Year of operations. Consumer Products • The company has expanded its footprints globally and pos
Slide 8: Key Management Personnel
Key Management Personnel MANAGEMENT TEAM Aankur Patni S. N. Iyengar Executive Director Executive VP – Medium Industry Dinesh Sharma Anil Khera Executive Director Executive VP – Chemical Ajay A. Popat Vasant Naik President – Corporate Sr. VP – Finance Diversification, Technology & Marketing Prashant
Slide 9: Key Milestones
Key Milestones Incorporated as 60% subsidiary Engineering and fabrication Consumer products manufacturing 1964 of Permutit Co., U.K. 1982 setup started at Hosur. 1998 started at Goa. Resin Production and Industrial Chemical Production started Commissioned largest RO based water 1965 equipment facili
Slide 10: Global Footprint
Global Footprint Canada USA Bahrain Bangladesh Saudi Arabia UAE Oman India Thailand Tanzania Singapore Malaysia Nigeria Sri Lanka Kenya Indonesia South Africa International Division Manufacturing Facilities 9
Slide 11: Domestic Footprint
Domestic Footprint PATANCHERU, TELANGANA RABALE, MAHARASHTRA ANKLESHWAR, GUJARAT Resin Facility - Water and R&D Centre EOU & Engineering Design Facility non-water WADA, MAHARASHTRA PATANCHERU, TELANGANA Fabrication Facility Chemicals Facility Corporate Office VERNA, GOA International Division HOSUR,
Slide 12: Research & Development
Research & Development Strong focus on R&D. The R&D centres constantly work to develop, adapt and improve products and processes. Well established in-house R&D department since 1965. Recognized by Department of Scientific and Industrial Research (DSIR), New Delhi - For Chemicals at Patancheru Telang
Slide 13: Awards & Accolades
Awards & Accolades Water Digest Chemtech CEW ET 4 TIMES IN A ROW Water Award Leadership & Mera Brand Awards for Zero B - SDG (UNESCO) Excellence Award Most Preferred RO Brand Best Porter Prize National Best Water Economic Times- Water Large Award for Treatment Champions of Treatment Enterprise, Exce
Slide 14: Key Strengths
Key Strengths Design, Engineering and Supply of water, waste water treatment and process plants on LSTK, EPC, PPP 55 56 years of Pan India presence. and BOOT basis. Key Strengths Manufacturer of Largest one stop shop • Chemicals in ISO 9001, 14001 water solution's provider in Asia and executed more
Slide 15: Future Strategy
Future Strategy ENGINEERING CHEMICALS CONSUMER PRODUCTS • Leverage good enquiry bank - • Increase export volumes for resins, • Consumer segment - increased particularly in sectors like Refinery, newer chemistries and formulations. market penetration in urban as Steel, Pharma, F&B – into profitable i
Slide 16: Business Overview
BUSINESS OVERVIEW
Slide 17: Business
Business Ion Exchange (India) Ltd, formed in 1964, is a pioneer in water, waste water treatment & environment solutions and caters to various industries, institutions, homes & communities Process Separation, Purification & Industrial Waste Water Concentration Treatment/Recycle & Utility Water Zero L
Slide 18: Business Segments
Business Segments BUSINESS SEGMENTS Consumer Engineering Chemicals Products (61%) (31%) (8%) Industrial Ion Exchange Resins Retail Municipal Water Treatment Chemicals Institution Comprehensive Services Specialty Process Chemicals Rural Membranes ^ Consolidated as on FY2020 17
Slide 19: Engineering
Engineering • The Company designs, engineers, supplies, constructs and provides CONSOLIDATED REVENUES & EBIT (INR MN) comprehensive operation and maintenance services for customised and 10000 9,386 9.0% standardised water, waste water and process treatment plants. 9000 8.2% 8.2% 8.0% 6,851 8000 7.0%
Slide 20: Engineering – Industrial
Engineering – Industrial PROJECTS • Ion Exchange integrates extensive process technologies and design, engineering & project management expertise into design & build projects – on turnkey, BOOT or EPC basis. Specially formed teams manage and support at each and every stage of project implementation.
Slide 21: Engineering – Membranes
Engineering – Membranes • In 1987, Ion Exchange pioneered and promoted the concept of reverse osmosis membranes in India and started manufacturing membranes. Today in a state-of-the-art manufacturing facility in Goa it manufactures a wide range of Reverse Osmosis and Nano Filtration membranes. • Hig
Slide 22: Engineering – Comprehensive Services
Engineering – Comprehensive Services Ion Exchange’s comprehensive services provides single point responsibility, RANGE OF SERVICES INCLUDES for a wide range of service needs of it’s customers. O&M CONTRACTS • Water Management Surveys • Annual Maintenance: Water & waste water equipment for efficient
Slide 23: Clientele - Industrial & Institution – to name a few
Clientele - Industrial & Institution – to name a few AUTO- PAPER AND INFRASTRUCTURE PETROCHEMICALS HOTELS POWER PHARMA TEXTILES STEEL MOBILES PULP FOOD & CHEMICALS SUGAR CEMENT HOSPITALS REAL ESTATE Sri Lanka Water Supply & BEVERAGES Drainage Board Punjab Department of Water Supply and Sanitation 22
Slide 24: Engineering Industry Overview
Engineering Industry Overview MARKET POTENTIAL INDUSTRIAL REQUIREMENT • Capital expenditure on water and waste water infrastructure in • In India only 60% of industrial waste water is treated. India is set to increase by 83% over the next five years, hitting an annual run rate of USD 16 Bn by 2023.
Slide 25: Chemicals
Chemicals • The company is engaged in manufacturing water treatment chemicals, ion exchange resins and other specialty chemicals. CONSOLIDATED REVENUES & EBIT (INR MN) 4,689 • Water treatment chemicals are used for raw and waste water treatment 5000 25.0% 4500 4,234 20.8% conditioners in boiler, coo
Slide 26: Chemicals Industry Overview
Chemicals Industry Overview MARKET POTENTIAL • The market for water and water treatment chemicals in India is expected to expand leaps and bounds due to the focus on optimum utilization of water resources. • In 2019, global demand for water treatment chemicals totalled USD 29 Bn which is forecasted
Slide 27: Consumer Products – Retail, Institution, Rural
Consumer Products – Retail, Institution, Rural • Ion Exchange is the pioneer of the revolutionary RO technology, in India. With its National CONSOLIDATED REVENUES* (INR MN) & International presence, Zero B has emerged as one of the premier brands in this segment. Every Zero B, provides ultimate prot
Slide 28: Financial Overview
FINANCIAL OVERVIEW 27
Slide 29: Consolidated Income Statement (As per IND-AS)
CONSOLIDATED INCOME STATEMENT (As per IND-AS) INCOME STATEMENT (INR MN) FY18 FY19 FY20 H1-FY21 Operating Income 10,549 11,623 14,798 6,552 Expenses 9,779 10,557 13,452 5,830 Operating EBITDA 770 1,066 1,346 772 Operating EBITDA Margins (%) 7.30% 9.17% 9.10% 11.02% Depreciation 131 196 237 141 Financ
Slide 30: Consolidated Balance Sheet (IND-AS)
CONSOLIDATED BALANCE SHEET (IND-AS) PARTICULARS (INR MN) FY19 FY20 H1-FY21 PARTICULARS (INR MN) FY19 FY20 H1-FY21 EQUITIES & LIABILITIES ASSETS Equity Non-Current Assets (A) Equity Share Capital 142 142 142 (A) Property, Plant and Equipment 1,507 1,459 1,477 (B) Other Equity 2,458 3,489 3,906 (B) Ca
Slide 31: Financials - Consolidated
FINANCIALS - CONSOLIDATED REVENUES (INR MN) OPERATING EBITDA (INR MN) PAT (INR MN) GROWTH GROWTH GROWTH 14,798 940 11,623 27% 26% 43% 1,346 1,066 659 FY19 FY20 FY19 FY20 FY19 FY20 NET DEBT/ EQUITY ROE and ROCE WORKING CAPITAL DAYS FY19 FY20 25.3% 25.9% 55 44 (0.7) 24.5% 23.6% FY19 FY20 (0.8) ROE ROC
Slide 32: Market Data (Bloomberg – ION IN, Reuters – IONX.BO)
Market Data (Bloomberg – ION IN, Reuters – IONX.BO) 1 YEAR SHARE PRICE MOVEMENT (UPTO 30th SEPTEMBER, 2020) 60% 40% 20% 0% -20% -40% Oct/19 Nov/19 Dec/19 Jan/20 Feb/20 Mar/20 Apr/20 May/20 Jun/20 Jul/20 Aug/20 Sep/20 Sensex Ion Exchange PRICE DATA (AS ON 30th SEPTEMBER, 2020) SHAREHOLDING PATTERN (A
Slide 33: Disclaimer
Disclaimer Ion Exchange (India) Limited No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all e
Slide 34: Thank You
THANK YOU
Ion Exchange (India) — Investor Presentation (December 2020) on 6ix