Chemplast Sanmar Limited · NSE:CHEMPLASTS
Chemplast Sanmar — Q3 FY2022 Earnings Presentation
40 slides from Chemplast Sanmar's earnings presentation, Jan 29, 2022
Slide 1: Cover letter to stock exchanges
January 29, 2022 To, To, BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra Kurla Complex Dalal Street, Mumbai – 400 001 Mumbai – 400 050 Scrip Code - 543336 Scrip Symbol - CHEMPLASTS Subject: Investor Presentation Please find enclosed copy of Inve
Slide 2: Chemplast Sanmar Ltd. Investor Presentation – January 2022
Chemplast Sanmar Ltd. Investor Presentation – January 2022
Slide 3: Safe Harbour
Safe Harbour Chemplast Sanmar Limited This presentation and the accompanying slides (the “Presentation”), which have been prepared by Chemplast Sanmar Ltd. (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or
Slide 4: Q3 & 9M FY22 Highlights
QO3 & 9M FY22 Highlights
Slide 5: Q3 & 9M FY22 Highlights
Q3 & 9M FY22 Highlights Chemplast Sanmar Limited Q3FY22 9MFY22 Key highlights for the quarter Revenues registered a strong growth on account of higher realizations per tonne for our key products - Specialty Paste PVC resin, Suspension PVC, Revenues Rs. 1,452 cr | 33% Rs. 4,085 cr | 66% Chlorometha
Slide 6: MD's Message
MD’s Message Chemplast Sanmar Limited The demand outlook, for both Paste PVC and Suspension PVC, is quite strong due to significant deficit and high import dependence in the domestic market. Increasing tight supply at the global level for both these products, augurs well for domestic manufacturers l
Slide 7: Segment-wise Volumes & Revenues: Q3 & 9M FY22
Segment-wise Volumes & Revenues: Q3 & 9M – FY ‘22 Chemplast Sanmar Limited In mt Sales Volume Q3 FY22 Q3 FY21 Y-o-Y 9M FY22 9M FY21 Y-o-Y Specialty Chemicals 14,055 22,420 -37% 43,732 45,990 -5% Non-Specialty Chemicals 39,498 27,971 41% 1,06,131 73,225 45% Suspension PVC 65,089 69,196 -6% 2,11,269 1
Slide 8: Quarterly Performance Highlights: Q3 & 9M FY22
Performance Highlights: Q3 & 9M FY ‘22 Chemplast Sanmar Limited In Rs. Cr Total Revenues EBITDA PAT 33% 26% 24% 15% 16% Margin Quarterly 1,452 25% 1,088 353 48% 283 237 160 ++ Q3FY21 Q3FY22 Q3FY21 Q3FY22 Q3FY21 Q3FY22 21% 21% 2% 10% Margin 66% 4,085 67% 807% 850 9 Months 417 2,457 511 # 46 ++ 9MFY21
Slide 9: Consolidated Profit & Loss Account (Proforma)
Consolidated Profit & Loss Account (Proforma) Chemplast Sanmar Limited Particulars (Rs. in Cr) Q3 FY22 Q3 FY21 Y-o-Y 9M FY22 9M FY21 Y-o-Y Revenue from Operations 1,452 1,088 33% 4,085 2,457 66% Cost of Goods Sold 833 621 2,508 1,433 Employee Cost 33 29 91 89 Other Expenses 233 155 636 425 EBITDA 35
Slide 10: Standalone Profit & Loss Account
Standalone Profit & Loss Account Chemplast Sanmar Limited Particulars (Rs. in Cr) Q3 FY22 Q3 FY21 Y-o-Y 9M FY22 9M FY21 Y-o-Y Revenue from Operations 517 407 27% 1,364 875 56% Cost of Goods Sold 139 147 423 292 Employee Cost 20 19 59 58 Other Expenses 169 105 445 278 EBITDA 190 135 40% 437 248 76% E
Slide 11: Company Overview
Company Overview
Slide 12: Chemplast Sanmar: Leading Chemical Manufacturer in India
Chemplast Sanmar: Leading Chemical Manufacturer in India… Chemplast Sanmar Limited #1 manufacturer resin in India of specialty paste PVC #1 manufacturer of S-PVC in South India and 2 largest in India nd (1) Leading player in custom manufacturing #1 manufacturer in South India of hydrogen peroxide Le
Slide 13: With a Diversified Product Portfolio
… with a Diversified Product Portfolio Chemplast Sanmar Limited Chemplast Sanmar CCVL (1) Specialty Chemicals Non-Specialty Chemicals Suspension PVC Specialty Paste PVC resin Custom manufacturing Caustic soda Hydrogen Chloromethanes peroxide Irrigation Auto Agrochemicals End user Footwear upholstery
Slide 14: Specialty Paste PVC Resin
Specialty Paste PVC Resin Chemplast Sanmar Limited Industry Overview Company Overview 143 ktpa Indian demand 9.3% #1 manufacturer of specialty paste PVC resin in India FY20 (1) CAGR (FY21-25) (1) Domestic Imports 55% 45% 66 ktpa 35 ktpa Key growth drivers Installed capacity Planned capacity addition
Slide 15: Custom Manufactured Chemicals
Custom Manufactured Chemicals Chemplast Sanmar Limited Industry Overview Company Overview Leading player in custom manufacturing US$ 6.0 bn 9.1% Setting up a multipurpose Indian market size FY21 (1) 1,068 mtpa facility in stages CAGR (FY21-25) (1) Installed capacity (Blocks 1 & 2) at Berigai Key gro
Slide 16: Non-specialty Products
Non-specialty Products Chemplast Sanmar Limited Caustic Soda Hydrogen Peroxide Chloromethanes 3.5 mn mtpa 282 ktpa 510 ktpa Indian demand Indian demand 10.3% Indian Demand 10.1% 8.2% FY21 (1) FY21(1) CAGR (FY21-25) (1) FY21 (1) CAGR (FY21-25) (1) CAGR (FY21-25) (1) Industry Key growth drivers Key gr
Slide 17: Suspension PVC (CCVL)
Suspension PVC (CCVL) Chemplast Sanmar Limited Industry Overview Company Overview 3,340 ktpa manufacturer of S-PVC in South India and 2nd largest in Indian demand in FY20(1) 7.7% CAGR (FY21-25) (1) #1 India 300 ktpa 31 ktpa Key growth drivers Debottlenecking is Installed capacity at Cuddalore underw
Slide 18: Sustainable Opportunity Across Products
Sustainable Opportunity Across Products Chemplast Sanmar Limited Entry barriers Global supply tightness Specialty Paste India is a net importer Rising demand from end user industries High PVC Import substitution opportunity Shortage of capable & reliable partners globally Custom India is
Slide 19: Legacy of Over Five Decades
Legacy of Over Five Decades Chemplast Sanmar Limited CCVL became a wholly Commencement of Expansion of Marine terminal Capacity expansion: owned subsidiary of our manufacturing of PVC production capacity of facility and EDC Plant Paste PVC to 66,000 tpa at Mettur Company; resins at Mettur PVC resins
Slide 20: Chemplast Sanmar: Key Highlights
Chemplast Sanmar: Key Highlights Chemplast Sanmar Limited Leadership position across wide array of products; Growing end-use applications; Wide and stable customer base High entry barriers Paste PVC manufacturing technology is The custom manufacturing industry has significant entry barriers, includi
Slide 21: Organizational Capabilities
Organizational Capabilities
Slide 22: Quality Manufacturing Facilities
Quality Manufacturing Facilities Chemplast Sanmar Limited Chemplast Sanmar CCVL Location Mettur, Tamilnadu Berigai Tamilnadu Karaikal, Puducherry Cuddalore, Tamilnadu Paste PVC 66 ktpa Caustic Soda 67 ktpa Caustic soda Custom manufacturing Suspension PVC resin Capacity Hydrogen Peroxide 34 ktpa 1068
Slide 23: With a High Degree of Backward Integration
… with a High Degree of Backward Integration Chemplast Sanmar Limited Mettur Plant Hydrogen Hydrogen Peroxide 34kt Caustic Imported Coal Methanol Soda 67 kt EDC Power Plant Electrolysis Paste PVC 48.5 MW VCM 70 kt 66 kt Chloromethanes Chlorine HCI HCI 35 kt Salt 400kt (Vedaranyam) Karaikal Plant Sta
Slide 24: Glance at Manufacturing Facilities
Glance at Manufacturing Facilities Chemplast Sanmar Limited Paste PVC plant, Chloromethanes plant, Custom manufacturing, Mettur, Tamilnadu Mettur, Tamilnadu Berigai , Tamilnadu Custom manufacturing, Caustic Soda manufacturing, Suspension PVC, Berigai , Tamilnadu Karaikal, Puducherry Cuddalore, Tamil
Slide 25: Strong Focus on Sustainability
Strong Focus on Sustainability Chemplast Sanmar Limited Environment Friendly Practices Health & Safety Measures Annual sustainability reports published for over a decade Zero liquid discharge policy Installation of speed Desalination plants at coastal control & safety systems facilities - avoi
Slide 26: Key Awards & Recognition
Key Awards & Recognition Chemplast Sanmar Limited Accreditations Key Awards FICCI Safety system Star Award from Excellence Award National Safety Council Sword of 2019 Honor Safety Safety British Safety Council 2020 ECOVADIS SILVER MEDAL Safety 5-Star Rating British Safety ICC’s FICCI Council “Certif
Slide 27: Leadership Team With Deep Domain Expertise (1/2)
Leadership Team With Deep Domain Expertise (1/2) Chemplast Sanmar Limited Vijay Sankar Chairman and Non-Executive Director • Industrialist with experience in managing several businesses • Past president of Indian Chemical Council • He is on the boards of companies such as The KCP Ltd, Oriental Hotel
Slide 28: Leadership Team With Deep Domain Expertise (2/2)
Leadership Team With Deep Domain Expertise (2/2) Chemplast Sanmar Limited Dr. Krishna Kumar Rangachari Ramkumar Shankar Executive Director - Custom Managing Director Manufactured Chemicals Division N Palanisamy S Gajendiran N Krishnamoorthy Senior Vice President Executive Vice President Executive Di
Slide 29: Eminent Board of Directors (1/2)
Eminent Board of Directors (1/2) Chemplast Sanmar Limited Vijay Sankar Ramkumar Shankar Chairman and Non-Executive Director Managing Director • Industrialist with experience in managing several businesses • Member of the CII National Committee on Chemicals and Petrochemicals • Past president of Indi
Slide 30: Eminent Board of Directors (2/2)
Eminent Board of Directors (2/2) Chemplast Sanmar Limited Aditya Jain Dr. Lakshmi Vijayakumar Independent Director Independent Director • Chairman and Editorial Director of International Market • Medical practitioner and honorary Assoc. Professor in the Assessment India University of Melbourne • MBA
Slide 31: Way Forward
Way Forward 30
Slide 32: Our Strategies
Our Strategies Chemplast Sanmar Limited Expansion of the production capacities Planning to add Paste PVC capacity to benefit from structural changes in the supply side dynamics and to cement leadership position in India Planning to expand custom manufacturing capabilities to leverage our chemist
Slide 33: Capex Plans
Capex Plans Chemplast Sanmar Limited Low cost future expansion leveraging existing land and infrastructure facilities 2022 2024 2025 Suspension PVC resin Paste PVC Custom Manufacturing Capacity debottlenecking by 31 Planning to add 35 kt capacity at 2024 Setting up a multipurpose kt at Cuddalore und
Slide 34: Historical Performance
Historical Performance
Slide 35: Segmentwise Volumes & Revenues
Segmentwise Volumes & Revenues Chemplast Sanmar Limited In mt Sales Volume 9M FY22 FY21 FY20 Specialty Chemicals 43,732 63,231 64,739 Non-Specialty Chemicals 1,06,131 104,874 119,863 Suspension PVC 2,11,269 273,296 271,300 Total Sales Volume 3,61,133 441,401 455,902 In Rs. Cr Total Revenue 9M FY22 F
Slide 36: Historical Performance Highlights
Historical Performance Highlights Chemplast Sanmar Limited In Rs. Cr Revenues EBITDA 13% 22% 21% Margin 3,799 4,085 855 # 850 3,123 400 FY20 FY21 9MFY22 FY20 FY21 9MFY22 PAT Net - Debt 11% 10% 410 ++ 417 2,060 1,459 -47 ++ -195 FY20 FY21 9MFY22 FY20 FY21 H1FY22 # Excludes positive impact on account
Slide 37: Consolidated Profit & Loss Account (Proforma)
Consolidated Profit & Loss Account (Proforma) Chemplast Sanmar Limited Particulars (Rs. in Cr) FY21 FY20 Y-o-Y Revenue from Operations 3,799 3,123 22% Cost of Goods Sold 2,230 1,933 Employee Cost 114 118 Other Expenses 601 671 EBITDA 855 400 113% EBITDA Margin 22.5% 12.8% Other income 16 19 Deprecia
Slide 38: Consolidated Balance Sheet (Proforma)
Consolidated Balance Sheet (Proforma) Chemplast Sanmar Limited ASSETS (Rs. in Cr) Sep-21 Mar-21 Mar-20 EQUITY AND LIABILITIES (Rs. in Cr) Sep-21 Mar-21 Mar-20 Non-Current Assets Equity a) Property, Plant And Equipment 3,072 3,133 3,232 a) Equity Share Capital 79 67 67 b) Capital Work in Progress 31
Slide 39: Consolidated Cashflow Statement (Proforma)
Consolidated Cashflow Statement (Proforma) Chemplast Sanmar Limited Particulars (Rs. in Cr) Mar-21 Mar-20 Net Profit Before Tax 563 9 Adjustments for: Non Cash Items / Other Investment or Financial Items 526 303 Operating profit before working capital changes 1,089 312 Changes in working capital 48
Slide 40: Thank You
Thank You Strategic Growth Advisors Pvt. Ltd. Chemplast Sanmar Ltd. CIN - U74140MH2010PTC204285 CIN- L24230TN1985PLC011637 Ms. Shikha Puri / Mr. Shrikant Sangani N Muralidharan – Chief Financial Officer Email - shikha.puri@sgapl.net/ shrikant.sangani@sgapl.net nm3@sanmargroup.com +91 9819282743 / +9