Nacl Industries Ltd · NSE:NACLIND
Nacl Industries — Q4 FY2021 Earnings Presentation
49 slides from Nacl Industries's earnings presentation, Jun 9, 2021
Slide 1: Cover letter to stock exchanges
NACL Industries Limited Ref: NACL/SE/2021-22 09th June, 2021 1) BSE Limited 2) National Stock Exchange of India Ltd Phiroze Jeejeebhoy Towers Exchange Plaza, 5thFloor Dalal Street, Plot No.C/1 G Block, Fort, Mumbai, Bandra –Kurla Complex, Bandra (E) Mumbai – 400001 Mumbai-400051. Stock Code: 524709
Slide 2: NACL Industries Limited Investor Presentation Q4 FY2021
NACL Industries Limited Investor Presentation | Q4 FY2021
Slide 3: Forward Looking Statement
Forward Looking Statement This presentation, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar expressi
Slide 4: Content
CONTENT CORPORATE OPERATIONAL RESULTS PERFORMANCE SHAREHOLDER’S ANNEXURE IDENTITY HIGHLIGHTS SUMMARY TRACK RECORD INFORMATION Page No Page No Page No Page No Page No Page No 04 12 14 26 31 46 Investor Presentation 3
Slide 5: Corporate Identity
CORPORATE IDENTITY Investor Presentation 4
Slide 6: About NACL
ABOUT NACL o Concern o Commitment o Quality o Integrity NACL is an established agrochemical Company in India, founded in 1993. The Company started as an Active Ingredient manufacturer and has built a sizable business in Domestic Retail, B2B and Exports, with many of the customers being large MNCs wi
Slide 7: Quick Facts
QUICK FACTS 5 12,500 57 3 30 1,200+ 25+ Million Farmers Retailers Branded Manufacturing Geographical Employee Years ( Customers ) Products Units Presence Strength of Experience Investor Presentation 6
Slide 8: Geographical Reach
GEOGRAPHICAL REACH 30 Uzbekistan Countries USA Iran Lebanon Nepal 12,500 Egypt Taiwan Retailers Thailand Sudan Jordan India Costa Rica ~32 Yemen Columbia Uganda Ethiopia Ecuador Tanzania Sri Lanka Revenue from International (%) Zambia Brazil 03 Paraguay Myanmar Manufacturing Plants Argentina Austral
Slide 9: Product Portfolio
PRODUCT PORTFOLIO Branded Products Portfolio of NACL includes Insecticides, Herbicides, Fungicides and Plant Growth Regulators. Insecticides Fungicides Herbicides Profenofos Myclobutanil Pretilachlor Lambda-Cyhalothrin Propiconazole BispyribacSodium Imidachloprid Tricyclazole Metribuzin Technicals T
Slide 10: Product Portfolio
PRODUCT PORTFOLIO Plant Growth Regulators Insecticides Fungicides Herbicides & Nematicides Profex Nagarjuna Index Eraze Atonik Super Nagarjuna Result Eraze Plus Gallant EG Profex Combi Plus Eraze Strong Gallant Gold Cannon Sivic Eraze-N Nagarjuna Nipit Fury MassPlus Globus Dxtar Zen Globus SG Trust
Slide 11: RCMS Certification
RCMS CERTIFICATION ICC (Indian Chemical Council) has granted permission for use of the Responsible Care Logo, for a period of Three Years. Responsible Care has become increasingly significant to the Chemical Industries to continue doing business in Domestic and especially Export business. Most of th
Slide 12: GLP Certification
GLP CERTIFICATION The R&D facility of NACL Industries Limited, situated at Nandigaon village, outskirts of Hyderabad (Telangana), India has been accredited for "Good Laboratory Practice“ issued by NGCMA, Department of Science and Technology, Government of India The OECD Principles of Good Laboratory
Slide 13: Operational Highlights
Operational Highlights Investor Presentation 12
Slide 14: Operational Highlights for FY21
Operational Highlights for FY21 • The Company achieved its highest turnover of Rs.1191 crores for the FY-2021 registering a growth ~18 % and also recorded a profit after tax of Rs.50 crores registering a growth of ~ 219 % over the previous year • Added one new product in Q1: Company launched a Rice
Slide 15: Results Summary
RESULTS SUMMARY Investor Presentation 14
Slide 16: Result Summary – Q4FY21
RESULT SUMMARY – Q4FY21 (In ₹ lakhs) Revenue EBITDA PAT 33,043 3,521 1,714 2,044 27,663 500 Q4FY20 Q4FY21 Q4FY20 Q4FY21 Q4FY20 Q4FY21 Revenue Breakup (₹ in lakhs) Plant Growth Regulators & Insecticides Herbicides Fungicides Nematicides 34% 31% 19% 87% Q4FY21 16,914 3,523 11,848 168 Q4FY20 12,662 2,6
Slide 17: Revenue Split – Q4FY21
REVENUE SPLIT – Q4FY21 Q4FY21 Q4FY20 Product Category-wise (%) Product Category-wise (%) Formulation Technical Formulation Technical 1% 3% 7% 27% 40% 34% 42% 48% 53% 41% 62% 10% 12% 10% 10% Insecticides Herbicides Fungicides Plant Growth Regulators & Nematicides Insecticides Herbicides Fungicides Pl
Slide 18: Profit and Loss – Q4FY21 (Standalone)
PROFIT AND LOSS – Q4FY21 (Standalone) (₹ in lakhs) Particulars Q4FY21 Q3FY21 Q4FY20 Y-o-Y (%) Revenue from operations 33,043 26,475 27,663 19% Other income 649 307 126 Total Income 33,692 26,782 27,789 21% Expenses: (a) Cost of materials consumed 20,479 18,525 15,919 29% (b) Purchase of stock-in-tra
Slide 19: Profit and Loss – Q4FY21 (Consolidated)
PROFIT AND LOSS – Q4FY21 (Consolidated) (₹ in lakhs) Particulars Q4FY21 Q3FY21 Q4FY20 Y-o-Y (%) Revenue from operations 33,043 26,475 27,663 19% Other income 584 301 127 Total Income 33,627 26,776 27,790 21% Expenses: (a) Cost of materials consumed 20,479 18,525 15,919 29% (b) Purchase of stock-in-t
Slide 20: Result Summary – FY21
RESULT SUMMARY – FY21 (₹ in lakhs) Revenue EBITDA PAT 1,19,137 12,806 5,029 7,607 1,01,489 1,577 FY20 FY21 FY20 FY21 FY20 FY21 Revenue Breakup (₹ in lakhs) Plant Growth Regulators & Insecticides Herbicides Fungicides Nematicides 19% 25% 23% 50% FY21 53,578 20,253 40,143 2,569 FY20 44,884 16,216 32,5
Slide 21: Revenue Split – FY21
REVENUE SPLIT – FY21 FY21 FY20 Product Category-wise (%) Product Category-wise (%) Formulation Technical Formulation Technical 4% 6% 3% 20% 28% 36% 41% 31% 48% 52% 61% 15% 20% 15% 20% Insecticides Herbicides Fungicides Plant Growth Regulators & Nematicides Insecticides Herbicides Fungicides Plant Gr
Slide 22: Profit and Loss
PROFIT AND LOSS (₹ in lakhs) Standalone Consolidated Particulars FY21 FY20 Y-o-Y (%) FY21 FY20 Y-o-Y (%) Revenue from operations 1,19,137 101,489 17% 1,19,137 101,489 17% Other income 1,536 749 1,466 750 Total Income 1,20,673 102,238 18% 1,20,603 102,239 18% Expenses (a) Cost of materials consumed 8
Slide 23: Balance Sheet (1/2)
BALANCE SHEET (1/2) (₹ in lakhs) Standalone Consolidated Particulars FY21 FY20 FY21 FY20 ASSETS Non-current assets : (a) Property, plant and equipment 18,572 18,291 18,572 18,291 (b) Right-to-use assets 349 597 3,249 597 (c) Capital work-in-progress 2,748 3,482 2,846 3,482 (d) Other Intangible asset
Slide 24: Balance Sheet (2/2)
BALANCE SHEET (2/2) (₹ in lakhs) Standalone Consolidated Particulars FY21 FY20 FY21 FY20 EQUITY AND LIABILITIES Equity : (a) Equity share capital 1,962 1,926 1,962 1,926 (b) Other equity 39,186 33,127 39,898 33,770 Total equity 41,148 35,053 41,860 35,696 Non-current liabilities : (a) Financial liab
Slide 25: Cash Flow (1/2)
CASH FLOW (1/2) (₹ in lakhs) Standalone Consolidated Particulars For the year ended For the year ended For the year ended For the year ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 A. CASH FLOW FROM OPERATING ACTIVITIES Profit before tax 7,396 2,294 7,466 2,391 Adjustments for: D
Slide 26: Cash Flow (2/2)
CASH FLOW (2/2) Adjustment for increase/(decrease) in operating liabilities: Trade payables 676 5,697 712 5,696 Provisions 275 162 275 162 Other financial liabilities (24) 137 (24) 137 Other current liabilities 98 (548) 104 (549) Cash generated from operations 9,373 10,504 9,307 10,495 Income taxes
Slide 27: Performance Track Record
PERFORMANCE TRACK RECORD Investor Presentation 26
Slide 28: Historic Quarterly Trend (1/2)
HISTORIC QUARTERLY TREND (1/2) (₹ in lakhs) Revenue from Operations EBITDA and EBITDA Margin 5,000 15.00% 4,259 34,417 12.28% 33,043 4,000 10.45% 10.78% 3,521 10.00% 30,172 8.38% 7.67% 7.80% 7.45% 7.36% 27,663 3,000 7.00% 2,888 26,475 25,202 2,383 23,868 2,044 2,138 5.00% 2,000 1,792 1,546 19,568 1,
Slide 29: Historic Quarterly Trend (2/2)
HISTORIC QUARTERLY TREND (2/2) (₹ in lakhs) PBT and PBT Margin PAT and PAT Margin 4,000 10.00% 2,500 8.00% 8.42% 6.65% 2,000 1,869 5.09% 6.00% 2,921 1,714 3,000 5.39% 5.00% 3.35% 3.15% 5.35% 2,239 1,500 4.00% 2.53% 2,000 1.76% 2.11% 1.80% 2.10% 3.40% 0.88% 0.72% 1,432 1,000 1.28% 910 2.00% 0.72% 0.6
Slide 30: Financial Performance (1/2)
FINANCIAL PERFORMANCE (1/2) (₹ in lakhs) Revenue from Operations EBITDA and EBITDA Margin CAGR 10.17% CAGR 12.48% 1,19,137 14,000 10.61% 12.00% 1,01,489 12,000 10.00% 8.37% 7.66% 7.44% 84,606 86,549 10,000 12,806 8.00% 73,411 8,000 4.42% 6.00% 6,000 7,607 7,113 6,777 4.00% 4,000 2,000 3,941 2.00% -
Slide 31: Financial Performance (2/2)
FINANCIAL PERFORMANCE (2/2) (₹ in lakhs) Working Capital Days Net Worth 154 41,148 134 131 35,053 27,865 22,588 23,500 79 82 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 ROCE and ROE Debt to Equity (x) 20.68% 0.21 0.20 17.57% 15.84% 13.57% 0.16 12.22% 14.04% 6.27% 0.10 4.56% 4.50% 0.09 -3.01% F
Slide 32: Annexure
ANNEXURE Investor Presentation 31
Slide 33: Timeline (1/2)
TIMELINE (1/2) Started exporting the products manufactured from the Technical Project Work on 2nd Manufacturing Plant Technical Manufacturing Block for manufacturing 1998 Acephate was initiated 1995 The 5th Technical Manufacturing block SAP (Enterprise was established Resource Planning) 2005 was suc
Slide 34: Timeline (2/2)
TIMELINE (2/2) Co-marketing partnership with leading Japanese chemical companies for Herbicide - Sirius Bagged “India's Best & PGR – Atonik Company of the Year Award State-of-the-Art Research & We started exporting our brands – 2017”, by International Development Center launched to African countries
Slide 35: Board of Directors
BOARD OF DIRECTORS Mrs. K Lakshmi Mr. M Pavan Kumar Mr. Sudhakar Mr. N Mr. Raghavender Mr. Atul Churiwal Raju Managing Director & Kudva Vijayaraghavan Mateti Investor Nominee Chairperson & Non- CEO Independent Director Non-Executive Independent Director Director Executive Director Director Mr. Rajes
Slide 36: Key Management Team
KEY MANAGEMENT TEAM Mr. Amit Taparia Dr. B. Saha Mr. Harish Chandra Mr. G. Jagannadha Mr. S. Mani Prasad Senior VP – SCM, Chief Research & Bijlwan Rao Head – Human Procurement, IT and Development Officer VP – Operations & Executive VP – Potential Development Registrations & RA Technology Exports and
Slide 37: NACL's Business Model
NACL’S BUSINESS MODEL 50+ Branded Products, 47 NACL stock points and 12,500 retail outlets across Technical manufacturing plant India under the Company’s with a production capacity of direct to retail approach 10,000 metric tons per annum A state-of-the-art R&D Knowledge Delivery Based Formulation u
Slide 38: Business Strategy
BUSINESS STRATEGY Strengthening and Farmer Centric product Human Development Tap new geographies and Focus on efficient and enhancing global development and sales Initiatives to develop spread distribution network sustainable manufacturing collaborations approach leadership skills Aggressive capacit
Slide 39: NACL – A Unique Investment Case
NACL – A UNIQUE INVESTMENT CASE Capable R&D team with the state-of-the-art facility center to develop the cost effective manufacturing processes Brand Equity based on consistent Robust product portfolio that is spread quality, reliability and farmer across insecticides, herbicides, handholding fungi
Slide 40: Production Capacity
PRODUCTION CAPACITY PRODUCTION CAPACITY Ethakota Unit, AP 12,000 Liquid Formulation 5,600 Powder Formulation 35,475 Granule Formulation Technical Grade 10,000 * Srikakulam Unit, AP * Under significant expansion Investor Presentation 39
Slide 41: Key External Drivers of the Business
KEY EXTERNAL DRIVERS OF THE BUSINESS Indian Agrochemical market 01 The agrochemicals market in India is expected to register 8% CAGR to reach US$ 3.7 billion by FY22 and US$ 4.7 billion by FY25. With the government propagating the development of the agricultural sector and with the recent proposals
Slide 42: Research & Development
RESEARCH & DEVELOPMENT Development of New generation, environment friendly and safe formulations 3 R&D labs at Shadnagar and Srikakulam are DSIR recognized. Quality Control labs in the above 4 locations and Ethakota are NABL accredited. Process development of active ingredients and intermediates 2 R
Slide 43: Capacity Expansion Plans
CAPACITY EXPANSION PLANS NACL Multichem Private Limited, NACL Spec-Chem Limited, Dahej, Gujarat Ranasthalam Mandal, Srikakulam CAPACITY CAPACITY NACL Spec-Chem Limited, a wholly owned NACL Multichem Private Limited, a wholly 25,000 owned subsidiary of NACL is planning to setup 38,000 subsidiary of N
Slide 44: Sustainability – Environment, Health & Safety
SUSTAINABILITY – ENVIRONMENT, HEALTH & SAFETY 01 02 03 04 05 Manufacturing Plants, are State-of-the-art Zero Efficient equipment for Plants equipped with Strong EHS systems, certified Integrated Liquid Discharge (ZLD) reduced energy occupational health processes, inspection Management Systems plants
Slide 45: Certificates
CERTIFICATES ISO ACCREDITATIONS NABL ACCREDITATIONS ISO 45001:2018 ISO 14001:2015 ISO 9001:2015 R&D Facility Ethakota Unit Srikakulam Unit DSIR Investor Presentation 44
Slide 46: Awards and Accolades
AWARDS AND ACCOLADES Best Company of the Year 2017 Certificate of Appreciation NACL has been awarded “Best Company of the Year 2017” NACL’s Ethakota Unit has bagged the presented by International Brand prestigious SAFETY AWARD for the Consulting Corporation (IBCC), year 2018,2019 & 2020 from the USA
Slide 47: Shareholders' Information
SHAREHOLDERS’ INFORMATION Investor Presentation 46
Slide 48: Shareholder's Information
SHAREHOLDER’S INFORMATION Stock Information (as on 09th June 2021) (As on 31st March 2021) Market Capitalization (₹) 1,603.15 Cr Shareholding Pattern (%) Shares Outstanding 19.78 Cr Free Float 7.09 Cr Symbol (BSE) / (NSE) 524709 / NACLIND 34.51% Stock Performance Chart (as on 09th June 2021) 63.88%
Slide 49: Thank You
THANK YOU S-ancial Technologies Pvt. Ltd. (Investor Relations) 215, Shivshakti Industrial Estate, J. R. Boricha Marg, Lower Parel (E), Mumbai 400011 NACL Industries Limited Plot No 12-A, C Block, Lakshmi Towers, Nikunj Jain | Bhavya Shah Nagarjuna Hills, Punjagutta, E-mail: nikunj.jain@s-ancial.com