India Glycols Limited · NSE:INDIAGLYCO
India Glycols — Q4 FY23 Earnings Presentation
36 slides from India Glycols's earnings presentation, May 26, 2023
Slide 1: Exchange filing cover letter for investor presentation
26th May, 2023 The Manager (Listing) The Manager (Listing) BSE Limited National Stock Exchange of India Limited 1st Floor, New Trading Ring, Exchange Plaza, C-1, Block G, Rotunda Building, P.J. Towers, Bandra Kurla Complex, Dalal Street, Mumbai – 400 001 Bandra (East), Mumbai- 400 051 Scrip Code: 50
Slide 2: Investor Presentation Q4 & FY23
India Glycols Limited Positive Impact Bio-based Ingredients and Performance Chemicals v v v Investor Presentation Q4 & FY23
Slide 3: Safe Harbour Statement
Safe Harbour Statement This presentation and the following discussion may contain “forward looking statements” by India Glycols Limited (“IGL” or the company) that are not historical in nature. These forward-looking statements, which may include statements relating to future results of operations, f
Slide 4: Q4 & FY23 Performance
Q4 & FY23 Performance INDIA GEYCOLS LIMITED:
Slide 5: Performance Overview
Performance Overview Q4FY23 vs Q4FY22 FY23 vs FY22 Gross Turnover Net Turnover Gross Turnover Net Turnover 1,616 Cr 619 Cr 6,642 Cr 2,651 Cr 8.1 % -3.6% +0.6 % -7.6% EBITDA EBITDA Margin EBITDA EBITA Margin 100 Cr 16.1% 319 Cr 11.9 % + 19.0% + 306 bps + 237 bps +15.4% ⦁ Gross Turnover saw a modest g
Slide 6: Highlights – Q4 & FY23
Highlights – Q4 & FY23 Business Performance □ FY’2022-23 - strong revenue growth in Potable Spirits (up 10%), Ennature Biopharma (up 22%) and decline in BSPC top line (down 15.9%). □ Reported BSPC revenue numbers impacted by transfer of EOD business to JV as well some discontinued poor margin busine
Slide 7: Highlights – Q4 & FY23
Highlights – Q4 & FY23 Other Highlights □ Cost pressures continued with high international ethanol prices. Slight softening energy prices and significant reset on freights. Some signs of softening future ethanol prices. □ Grain Plants commissioned, originally planned capacity achieved– helping mitig
Slide 8: Business Segment Highlights
Business Segment Highlights Bio-based Specialities and Performance Potable Spirits (PS) Ennature Biopharma (EB) Chemicals (BSPC) □ Q4 Revenue at Rs. 389 Cr., down 9.3% □ Q4 Revenue up by 6% on YoY basis, □ Q4 Revenue up by 16.7% on YoY basis, □ FY23 Revenue at 1,705 Cr. Down 15.9% □ FY23 Revenue up
Slide 9: Financial Summary - Consolidated
Financial Summary - Consolidated Particulars (In INR Cr) Q4FY23 Q4FY22 Y-o-Y (%) Q3FY23 Q-o-Q (%) FY23 FY22 Y-o-Y (%) Revenue from operations (net of excise) 619 642 (3.6%) 554 11.9% 2,651 2,868 (7.6%) Other Income 4 5 (6.9%) 7 (36.1%) 24 22 10.9% Total Income 624 647 (3.6%) 561 11.3% 2,675 2,890 (7
Slide 10: Financial Summary - Standalone
Financial Summary - Standalone Particulars (In INR Cr) Q4FY23 Q4FY22 Y-o-Y (%) Q3FY23 Q-o-Q (%) FY23 FY22 Y-o-Y (%) Revenue from operations (net of excise) 619 638 (3.0%) 553 11.9% 2,650 2,863 (7.4%) Other Income 4 9 (50.4%) 8 (49.0%) 28 27 4.0% Total Income 623 647 (3.6%) 562 11.0% 2,678 2,890 (7.3
Slide 11: Segment Performance - Consolidated
Segment Performance - Consolidated (In INR Cr) Q4FY23 Q4FY22 % YoY Q3FY22 % QoQ FY23 FY22 % YoY Bio-based Specialities and Performance Chemicals (BSPC) Net Revenue 389 429 (9.3%) 324 20.0% 1,705 2,026 (15.9%) EBIT 42 43 (2.3%) 30 42.0% 125 121 3.3% % margin 10.9% 10.1% 79 bps 9.2% 169 bps 7.3% 6.0%
Slide 12: Segmental Revenue and EBIT Mix - Consolidated
Segmental Revenue and EBIT Mix - Consolidated Revenue Mix EBIT Mix 6% 7% 14% 13% 63% 51% 27% 67% 57% 30% 30% 35% Q4FY22 Q4FY23 Q4FY22 Q4FY23 5% 7% 16% 18% 24% 64% 45% 48% 29% 71% 36% 37% FY23 FY22 FY23 FY22 BSPC PS Ennature Biopharma BSPC PS Ennature Biopharma 11
Slide 13: Commodity Prices are stabilizing
Commodity Prices are stabilizing Indexed as per the prices in April 2021 47% 45% 12% 66% Coal Ethanol Mild Steel Acetic Acid 222 145 126 122 204 134 136 137 100 195 126 129 112 109 108 112 184 104 116 100 79 100 74 147 128 110 55 100 49 40 37 34 Q1 21- Q2 21- Q3 21- Q4 21- Q1 22- Q2 22- Q3 22- Q4 22
Slide 14: Ethanol Scenario
Ethanol Scenario □ Global Ethanol prices that went up during Covid have continued to 80 70 69 remained at historic highs 65 67 67 65 70 • Ethanol Blending 59 60 52 54 • War - Grain and Energy • Energy Prices 50 43 • Climate and Commodity prices 40 30 □ Extension of Grain deal with Russia to allow ex
Slide 15: Company Overview
Company Overview INDIA GEYCOLS LIMITED:
Slide 16: IGL at a Glance
IGL at a Glance Go Green Diversified product portfolio Global Standards with inherent synergies Compliance with stringent global 1st in the world to use Innovative Green Technologies to manufacture Bio-based Specialties, Bio-Polymers, standards of plant operations, bio-based ethylene oxide & Potable
Slide 17: Key Milestones
Key Milestones New Grain based Formulatio Ethanol plant – Gorakhpur n Gorakhpur & Distillery & Sulphation Kashipur First EO Glycol E2 Thiocolchicosi Bio Polymers | Textile US JV Distille Purificat MEG 600 de Nicotine Green Solvents ENA Subsidiar Clariant ry ion TPD Expansion y 1988 1990 1994 1996 20
Slide 18: Portfolio Leading in Bio-based Ingredients and Performance Chemicals
Portfolio Leading in Bio-based Ingredients and Performance Chemicals Bio-based Specialities Segments And Performance Potable Spirits (PS) Ennature Biopharma Chemicals (BSPC) Revenue Mix Net revenue share 64% Net revenue share 28% Net revenue share 7% (Consol. FY23) □ Bio-based Glycols (MEG, DEG, TEG
Slide 19: JV with Clariant: Leaders in bio-based ethoxylates and derivatives
JV with Clariant: Leaders in in bio-based ethoxylates and derivatives Promoters Public 1 - Shareholding Combining production and distribution capacity, as 61.01% 1 38.99% 1 on 30th June 2021 the joint venture is establishing to become a leading supplier of renewable materials to the rapidly growing
Slide 20: Leveraging synergies to create value–integrated manufacturing for bio-based products
Leveraging synergies to create value–integrated manufacturing for bio-based products Portable Spirits (PS) Products Potable Spirit Industrial Gas ENA Power Alcohol O2, N2, Ar Brands Division Ind Gr. CO2 Grain O2 ASU EO-CO2 mix Business transferred to JV with Clariant Bio-based Specialities Green And
Slide 21: Manufacturing Capabilities
Manufacturing Capabilities Kashipur Gorakhpur Dehradun 300-acre state of art integrated manufacturing complex 56-acre state of art distillation & bottling complex 160,000 sqft state of art facility Fermentation – Molasses and Grain Based Grain based Ethanol High Purity Extraction Ethanol Distillatio
Slide 22: R&D: Creating value through New Product Development; focus on Green Chemistry
R&D: Creating value through New Product Development; focus on Green Chemistry 1 Focus on NPD, designing products for the future in collaboration with our reputed customers 2 DSIR Recognized R&D at Dehradun and Kashipur 3 Exploiting available feed stocks of Bio-Alcohol, Smart Alcohol, Ethylene Oxide,
Slide 23: Business Segments
Business Segments
Slide 24: Bio-based Specialities and Performance Chemicals (BSPC)
Bio-based Specialities and Performance Chemicals (BSPC) First in the world to manufacture ethylene oxide and glycols from bio-based feedstocks e.g. Molasses, Grain Largest manufacturer of Bio-based glycols and Bio-based Ethylene Oxide made from renewable feedstock i.e. Molasses Products for a
Slide 25: Potable Spirits
Potable Spirits License for operations and sale of Country Liquor in the States of Uttar Pradesh and Uttarakhand. Also operates and sells Indian Made Foreign Liquor (“IMFL”) from its own unit and few tie-up units Company brands are available in the states of Uttarakhand, Uttar Pradesh, Delhi and
Slide 26: Ennature Biopharma
Ennature Biopharma Operates in the space of Nutraceuticals, Phytochemicals & health supplement ingredients. One of the leaders in Complex phytochemicals chemistry in India Global leader in Thiocolchicoside, a highly potent muscle relaxant API Advanced production capabilities, including organic
Slide 27: IGL - Catering to diverse end markets
IGL - Catering to diverse end markets • Glycols are used for the manufacture of polyester yarn, fibre, film and resin and as an automobile coolant • Bio-glycols cater to the beverage and food industry's packaging requirement of PET bottles and polyester film • Ethyl / Butyl glycol ethers and its ace
Slide 28: Growth Drivers
Growth Drivers
Slide 29: Growth Drivers
Growth Drivers High prospects of growth of industry sectors being serviced by IGL – Personal Care, Automotive, Packaging, Beverages, Oil & Gas, Home Care, Pharma, Nutraceuticals etc, Textiles – most expected to grow at near double digit or more Increasing consumer awareness and demand for sustai
Slide 30: Growth Drivers & Outlook
Growth Drivers & Outlook Lowering Energy and Coal Prices Focusing on a New Range of Value-Added Products Focus on actions to lower energy and coal prices are also expected to New NSU plant is expected to be commissioned in two phases, help IGL achieve higher operating margins in the coming quarter
Slide 31: Yearly financial Performance
Yearly financial Performance
Slide 32: 4-year Financial Trajectory - Consolidated
4-year Financial Trajectory - Consolidated In INR Net Revenue (Excl. EBITDA (Excl. Discontinued PAT (Excl. Discontinued Biz.) Cr Discontinued Biz.) Biz.) 330 319 2,744 2,890 288 283 277 2,675 2,332 141 109 75 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 Net Rev
Slide 33: 4-year Financial Trajectory - Consolidated
4-year Financial Trajectory - Consolidated EBITDA Margin (%) (Excl. PAT Margin (%) (Excl. Discontinued RoE (%) Discontinued Biz.) Biz.) 11.4% 12.1% 11.9% 10.5% 19.2% 9.6% 5.3% 11.1% 11.3% 4.7% 7.4% 2.7% FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 EBITDA Margin
Slide 34: Sustainability, ESG and Certifications
Sustainability, ECG and Certifications
Slide 35: Sustainability, ESG
Sustainability, ESG Environment Stewardship • World’s first and largest producer of Bio-Based EO and its derivatives • Next Generation CarbonSmart products from emissions (fossil carbon) - collaboration with Transparent Accountable LanzaTech & consumer majors like Unilever and Lululemon • Environmen
Slide 36: Thank you
Thank you Ernst & Young LLP India Glycols Limited CIN: L24111UR1983PLC009097 Runjhun Jain Ankur Jain runjhun.jain1@in.ey.com Company Secretary & Compliance Officer Head office Rohit Anand rohit.anand4@in.ey.com 2B, Sector-126, Noida Tel: +91-120-6860000, 3090100, 3090200 Gautam Budh Nagar Fax: +91-1