Laxmi Organic Industries Ltd. · NSE:LXCHEM
Laxmi Organic Industries — Q3 FY23 Earnings Presentation
22 slides from Laxmi Organic Industries's earnings presentation, Jan 25, 2023
Slide 1: Intimation of analyst meeting to stock exchanges
January 25, 2023 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Exchange Plaza, Bandra Kurla Complex, 1st Floor, New Trading Ring, Bandra (E), Rotunda Building, P. J. Towers, Mumbai – 400 051 Dalal Street, Fort, Trading Symbol: LXCHEM Mumbai – 400 001 Scrip C
Slide 2: Investor Presentation – Q3 FY23 | January, 2023
LAXMI ORGANIC INDUSTRIES LTD w w w. l a x m i . c o m Investor Presentation – Q3 FY23 | January, 2023
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), have been prepared by Laxmi Organics Limited (the “Company”) solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities and shall not form the
Slide 4: Agenda
Agenda 01 Company overview 02 Strategic Overview 03 Financial Performance
Slide 5: Company overview
Company overview
Slide 6: Stable, Growing & Diversified Business
Stable, Growing & Diversified Business AI SI FI Acetyl Specialty Fluoro-Specialty Intermediaries Intermediaries Intermediaries o #1 in India o #1 in India o USD 4.0bn GTM opportunity o Top 7 in the world o Very strong NPD o World class technology o Capacity : >2,32,000 TPA o High & growing contracte
Slide 7: The Journey So Far
The Journey So Far Entered Specialty Chemicals business – Glacial Acetic Acquisition of Clariant’s diketene Entry into fluorospecialty business – Acid mfg business Acquisition of Miteni, Italy assets facility estd 2 windmills of Hydro-electric power 0.6MW each project installed commissioned 2010 201
Slide 8: Strategic overview
Strategic overview
Slide 9: Consolidating Growth & Building for Future
Consolidating Growth & Building for Future Consolidating AI + Growing SI Consolidating SI + Growing FI Particulars FY11-FY14 FY15-FY18 FY19-FY22 9MFY23 AI Revenue Contribution 77% 63% 60% 65% SI Revenue Contribution 23% 37% 40% 35% EBITDA CAGR (%) 4% 22% 31% SI contribution continues to grow Average
Slide 10: The Journey Ahead
The Journey Ahead Revenue & EBITDA Growth Estimates Capex Outlook o The land acquisition of 92acres in Dahej is almost 16.5% 15% concluded with ca. 95% of the payment being made. % Contribution to Revenue SP Type This land will be used for the expansion of Specialty 35% SP Type SP Type 50% 55% Type
Slide 11: Key Growth Levers in Place
Key Growth Levers in Place STRONG INFRASTRUCTURE CUSTOMERS Company BALANCE SHEET Competitor • Well Invested Infrastructure • Diversified customer base across • Responsible growth • Mega site for AI; no expansion geographies and industries • Prudent leverage – credit required • Forward integration wi
Slide 12: De-risked Business Model
De-risked Business Model Robust Export Share Diversified Industry Base 9M FY23 (INR Mn) Domestic Export Pharmaceuticals 4,777 5,046 4,438 4,653 4,735 17% Agrochemicals 28% 3,131 3,066 2,928 2,286 Colour and pigment 1,922 12% Printing and Packaging 10% 7% Coating Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Co
Slide 13: Financial Performance
Financial Performance
Slide 14: Key Developments Q3 FY23 - SI
Key Developments Q3 FY23- SI Product Mix Optimisation - Rebased Specialty Intermediaries – Market Overview 100 100 104 o Domestic demand that was subdued in certain segments has started 96 96 to come back and the global scenario has also started improving towards the end of Q3 FY23, especially with
Slide 15: Key Developments Q3 FY23 - AI
Key Developments Q3 FY23- AI ETAC FOB (USD/t) Acetyls Intermediary – Market Overview 1,600 1,400 1,200 1,000 o ETAC prices globally saw softening in Q3 800 600 o While the prices have softened, demand has stabilized 400 especially with energy prices softening in Europe 200 - o We continue to maintai
Slide 16: Key Developments Q3 FY23 - Input Cost Trends
Key Developments Q3 FY23 - Input Cost Trends Energy Cost (INR/kg of Coal & INR/Unit of Power) 16.0 Coal 14.0 12.0 10.0 8.0 Power Input Costs Softening 6.0 4.0 o Coal costs are starting to stabilize after seeing highs in 2021 2.0 - o Planned integration of solar power to increase the renewable energy
Slide 17: Consol Financial Highlights: Q3FY23
Consol Financial Highlights: Q3FY23 SALES EBITDA PAT EPS (INR Mn) (INR Mn) (INR Mn) (INR) Q3’FY23 ₹ 6,579 ₹ 580 ₹ 273 ₹ 1.03 YOY: (24%) (47%) (61%) (62%) QOQ: 0% 84% 216% 216% Q3’FY22 ₹ 8,619 ₹ 1,085 ₹ 706 ₹ 2.68 Q2’FY23 ₹ 6,551 ₹ 315 ₹ 86 ₹ 0.32 CFO / EBITDA ratio for the quarter Q3 FY23 is at 86%
Slide 18: Consol Financial Highlights: 9MFY23
Consol Financial Highlights: 9MFY23 SALES EBITDA CFO/ PAT EPS (INR Mn) (INR Mn) EBITDA (INR Mn) (INR) 9M’FY23 ₹ 20,717 ₹ 1,920 65% ₹ 1,003 ₹ 3.78 YOY: (6.6%) (35%) (46%) (47%) 9M’FY22 ₹ 22,173 ₹ 2,956 21% ₹ 1,874 ₹ 7.11 FY’22 ₹ 30,991 ₹ 3,825 27% ₹ 2,575 ₹ 9.76 CFO / EBITDA ratio for 9M FY23 is at 6
Slide 19: Business Unit Overview for 9M FY23
Business Unit Overview for 9M FY23 AI business SI business Contribution to Top-line 65% Contribution to Top-line 35% Contribution to Profits 35% Contribution to Profits 65% Exports 36% Exports 45% The growth in the SI business is consistent and in line with internal expectations LAXMI ORGANIC LIMITE
Slide 20: Quarterly Performance – Consolidated Results
Quarterly Performance – Consolidated Results INR Mn Particulars Q3 FY23 Q2 FY23 QoQ (%) Q3 FY22 YoY (%) YTD FY 23 YTD FY 22 YoY (%) Total Income 6,579 6,551 0% 8,619 -24% 20,717 22,173 -7% Cost of Materials 4,390 4,599 -5% 5,574 -21% 13,672 15,043 -9% Gross Profits 2,189 1,951 12% 3,045 -28% 7,045 7
Slide 21: Delivering Shared Value to all Stakeholders
Delivering Shared Value to all Stakeholders CUSTOMER INTERGRITY SUSTAINABILTY INNOVATION CENTRICITY o Always on the lookout for o Proud partner of many o Signatories to Responsible o To create a culture of customer-specific and well established and well- Care- a voluntary innovation where failure ma
Slide 22: Thank You
THANK YOU For further information, please get in touch with: Kruti Patel Aniket Hirpara kruti@GoIndiaadvisors.com aniket.hirpara@laxmi.com M:+91 8108933441 M:+91 7666830913
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