Vishnu Chemicals Limited · NSE:VISHNU
Vishnu Chemicals — FY2023 Earnings Presentation
29 slides from Vishnu Chemicals's earnings presentation, May 6, 2023
Slide 1: Stock exchange cover letter for Q4 & FY23 investor presentation
6th May, 2023 VCL/SE/17/2023-24 To To BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G Dalal Street, Fort, Bandra Kurla Complex, Bandra (East), Mumbai – 400 001 Mumbai 400 051 Scrip Code: 516072 NSE Symbol: VISHNU Through: BSE Listing Centr
Slide 2: FY23 Annual Investor Presentation
WHERE PERSEVERANCE AND COMMITMENT COME TOGETHER FY23 Annual Investor Presentation
Slide 3: Disclaimer
Disclaimer This presentation has been prepared for general information purposes in respect of Vishnu Chemicals Limited (“Company”) This presentation includes certain industry data and projections that have been obtained from industry publications and together with its subsidiaries, associates and jo
Slide 4: Q4 & FY23 Highlights
Q4 & FY23 Highlights
Slide 5: Continuous improvement in fundamentals
Continuous improvement in fundamentals Consolidated EBITDA Margin expanded by over 500 bps since FY21. Consolidated Debt to Equity less than 1. Inventory Days reduced from 195 days in FY21 to 91 days at FY23 end. Return on Equity ~40%. Return on Capital Employed ~36%. Release of promoter pledge by l
Slide 6: Improvement in working capital cycle
Improvement in working capital cycle Consistent decline in inventory days Reduced receivable days 195 55 52 112 49 91 FY21 FY22 FY23 FY21 FY22 FY23 Our flexible product mix allows us to manufacture Our receivable days is a reflection of our credit depending on where the demand is coming from, keepin
Slide 7: Strong balance sheet with debt to equity at 0.9
Strong balance sheet with debt to equity at 0.9 Reduced D/E consistently since last 5 years Rising Interest Coverage Ratio 3.4 6.6 2.4 5.3 2.1 1.7 1.3 2.3 0.9 1.8 1.8 1.4 FY18 FY19 FY20 FY21 FY22 FY23 FY18 FY19 FY20 FY21 FY22 FY23 Company’s balance sheet is healthy with debt-equity of 0.9x at end of
Slide 8: Focus on cash generation and creation of long term value
Focus on cash generation and creation of long term value Cash generating assets with In ₹ cr FY20 FY21 FY22 FY23 positive free cash since FY18 Cash Flow from Operations 49 67 90 137 shows Free Cash Flow 26 13 10 20 Return on equity Return on capital employed 40% 36% 34% 28% 19% 14% FY21 FY22 FY23 FY
Slide 9: Consolidated Financial Highlights
Consolidated Financial Highlights (₹ in crs) Total Income EBITDA PAT 15.8% 18.9% 8.5% 10.5% 1% 20% 25% 339 64 36 336 53 29 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Particulars in ₹ cr Q4FY23 Q4FY22 Y-o-Y Q3FY23 Q-o-Q FY23 FY22 Y-o-Y Total Income 339 336 1% 331 2% 1406 1075 31% EBITDA 64 53 20% 58 1
Slide 10: Standalone Financial Highlights
Standalone Financial Highlights (₹ in crs) Total Income EBITDA PAT 16.5% 19.8% 9.3% 11.9% 3% 23% 31% 301 60 36 293 48 27 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Q4FY22 Q4FY23 Particulars in ₹ cr Q4FY23 Q4FY22 Y-o-Y Q3FY23 Q-o-Q FY23 FY22 Y-o-Y Total Income 301 293 3% 304 (1)% 1237 913 35% EBITDA 60 48 23% 55 8%
Slide 11: Key Annual Highlights
Key Annual Highlights Consolidated Highlights Chromium Chemistry Highlights • In FY23, a debottlenecking exercise resulted in capacity expansion by • Crosses ₹ 100 cr of PAT for the first time since inception. 10,000 TPA. The full benefits of the expanded capacity are expected in • Highest ever PAT
Slide 12: Business Overview
Business Overview
Slide 13: Chromium Chemicals
Chromium Chemicals Chromium chemistry is proven to be of high value as it possesses properties of high corrosion resistance, colours, and uniformity, thereby improving the performance and life of industrial components, timber treatment, pharmaceuticals, pigments and dyes. Key Product Sodium Dichroma
Slide 14: Chromium Chemistry – Product Portfolio
Chromium Chemistry – Product Portfolio SODIUM DICHROMATE Basic Sodium Dichromate is a strong oxidising agent Chrome Manufacturer of high quality chrome sulfate for and a source in preparing chromium based Sulphate leather tanning and metal finishing derivatives. It is used in metal passivation and f
Slide 15: Key Changes Over The Years – Chromium Chemicals
Key Changes Over The Years – Chromium Chemicals EARLIER NOW 1. CONCENTRATED PRODUCT PORTFOLIO. 1. PIVOTED TO FLEXIBLE PRODUCT MIX MITIGATING CYCLICALITY, CURRENCY RISK & GEOGRAPHY RISK. 2. 100% RAW MATERIALS PROCURED TILL FY21. 2. ONE OF ITS KIND BACKWARD INTEGRATION RESULTING IN LOWER EXTERNAL PROC
Slide 16: Barium Chemicals
Barium Chemicals The Company manufactures industry grade Barium Carbonate that finds applications in the manufacture of a plethora of ceramic, tiles, glass, enamel products and caustic lye brine purification process. Key Product Barium Carbonate Manufacturing Units Srikalahasti, Andhra Pradesh. Inst
Slide 17: Barium Carbonate
Barium Carbonate CHARACTERISTICS Leading Barium Carbonate is available in several grades Benefit of scale & operating leverage. manufacturer in with different chemical purities, shapes and India granulometry. It is characterized by high reactivity and tightly controlled narrow particle size distribu
Slide 18: Key Changes Over The Years – Barium Chemicals
Key Changes Over The Years– Barium Chemicals NOW EARLIER 1. TURNED AROUND POST ACQUISITION AND HAS 1. LOSS MAKING PRIOR TO ACQUISITION IN 2015. BEEN A PROFIT MAKING COMPANY SINCE FY17. 2. LOW CAPACITY UTILISATION OF 58% BETWEEN 2. AVERAGE CAPACITY UTILISATION SINCE FY20 IS FY16-FY19. ~75%. 3. SINGLE
Slide 19: Barium diversification: Brownfield Expansion in Progress
Barium diversification: Brownfield Expansion in Progress PRECIPITATED BARIUM SULPHATE • Inorganic Chemical. • High purity, synthetic additive. • Produced in carefully controlled manufacturing process. • Import substitute in India. • Used in Automotive Paints, Powder Coating, High Gloss Applications,
Slide 20: Company Overview
Company Overview
Slide 21: About Us
About Us Vishnu Chemicals epitomises manufacturing of high- performance speciality chemicals, with an intelligent 30+ symphony of forward and backward integration to Years expertise produce products that are focused on diverse needs and aspirations of its customers. 4 Manufacturing units Vishnu Chem
Slide 22: Our Differentiators
Our Differentiators Established track record of over 30 Our Scale and technology is hard to Our Product Mix gives us the years. Principled and ethical replicate. Complex manufacturing flexibility to switch between leadership committed to the highest creates multiple entry barriers in this derivative
Slide 23: Experienced Management and Board of Directors
Experienced Management and Board of Directors The Board and leadership at Vishnu conduct itself with integrity and honesty, setting the tone for an ethical organisational culture. Mrs. Ch. Manjula Non-Executive Director Add Name Mr. Tirthankar Mitra Independent Director Mr. Chetan Navinchandra Shah
Slide 24: Clients across geographies
Clients across geographies Customer Centric Approach 51% EUROPE USA ASIA 49% AFRICA LATIN AMERICA Domestic Exports OCENCIA 23
Slide 25: State of the art manufacturing facilities
State of the art manufacturing facilities Four dedicated facilities across India Visakhapatnam, Andhra Pradesh 1 Manufactures Chromium Chemicals Hyderabad, Telangana 3 2 Manufactures Chromium Chemicals BHILAI 2 1 HYDERABAD Bhilai, Chhattisgarh 3 Manufactures Chromium Chemicals VIZAG 4 SRIKALAHASTI S
Slide 26: Financial Overview & Shareholder's Information
Financial Overview & Shareholder’s Information
Slide 27: Consolidated Key Metrics
Consolidated Key Metrics (₹ in crs) Total Income EBITDA & EBITDA Margin PAT & PAT Margin 1406 13.23% 12.67% 11.78% 15.02% 17.44% 3.15% 3.26% 5.06% 7.57% 9.71% 300 245 137 160 1075 250 140 120 772 161 200 681 682 81 100 150 102 80 86 80 60 100 34 24 22 40 50 20 0 0 FY19 FY20 FY21 FY22 FY23 FY19 FY20
Slide 28: Shareholder's Information
Shareholder’s Information Stock Information (as on 04th May 2023) (As on 31st March 2023) Market Capitalization (₹ in crs) 1,905.99 Shareholding Pattern (%) Shares Outstanding (In crs) 5.97 Symbol (BSE) / (NSE) 516072 / VISHNU 24.20% Consistent Dividend Track Record Year Dividend (%) Face Value Divi
Slide 29: Thank You
THANK YOU CONTACT US: MR. HANUMANT BHANSALI VISHNU CHEMICALS LIMITED investors@vishnuchemicals.com