Balaji Amines Limited · NSE:BALAMINES
Balaji Amines — Q2 FY2024 Earnings Presentation
44 slides from Balaji Amines's earnings presentation, Nov 10, 2023
Slide 1: Exchange filing cover letter for investor presentation
10th November, 2023 To, The General Manager-Department of The Manager-Listing Department, Corporate Services, National Stock Exchange of India Limited, BSE Limited, "Exchange Plaza", 5th Floor, Phiroze Jeejeebhoy Towers, Plot No.C/1, G Block, Bandra-Kurla Complex, Dalal Street, Mumbai - 400 001. Ban
Slide 2: Investor Presentation - November 2023
Investor Presentation - November 2023
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Balaji Amines Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securiti
Slide 4: Results Highlights
Results Highlights About Us Hotel Division Financial Performance Moving towards Growth Prospects
Slide 5: Q2FY24: Financial Highlights
Q2FY24 : Financial Highlights Revenue (Rs. Crore) EBITDA (Rs. Crore) PAT (Rs. Crore) EBITDA & PAT Margin -39% -66% -69% 630 176 119 28% Consolidated 22% 469 19% 387 104 68 14% 16% 61 36 9% Q2FY23 Q1FY24 Q2FY24 Q2FY23 Q1FY24 Q2FY24 Q2FY23 Q1FY24 Q2FY23 Q2FY23 Q1FY24 Q2FY24 Revenue (Rs. Crore) EBITDA
Slide 6: H1FY24: Financial Highlights
H1FY24 : Financial Highlights Revenue (Rs. Crore) EBITDA (Rs. Crore) PAT (Rs. Crore) EBITDA & PAT Margin -34% -58% -61% 1,305 395 267 30% Consolidated 857 20% 19% 164 104 12% H1FY23 H1FY24 H1FY23 H1FY24 H1FY23 H1FY24 H1FY23 H1FY24 Revenue (Rs. Crore) EBITDA (Rs. Crore) PAT (Rs. Crore) EBITDA & PAT M
Slide 7: Q2FY24 - Consolidated Performance Highlights
Q2FY24 - Consolidated Performance Highlights Revenue from Operations for Q2FY24 stood at ₹ 387 crore, as compared to ₹ 469 crore in Q1FY24. Total volumes stood at 27,613 MT for Q2FY24 as against 26,820 MT in Q1FY24. For Q2FY24, • Amines volumes stood at 8,092 MT • Amines Derivatives volumes stood at
Slide 8: Phase-2 & 3 Expansion Plans at our 90-acre Greenfield Project (Unit IV)
Phase -2 & 3 Expansion Plans at our 90-acre Greenfield Project (Unit IV) n-Butylamine Methylamines Dimethyl Ether • We plan to undertake capex for a new • Market Leader in Methylamines • Dimethyl Ether (DME) with a Capacity of product, namely n-Butylamine having production in India with installed 1,
Slide 9: Standalone Statement of Profit & Loss
Standalone Statement of Profit & Loss Particulars (in Rs. Crore) Q2FY24 Q1FY24 Q-o-Q H1FY24 H1FY23 Y-o-Y Total Revenue 330 342 -3% 672 969 -31% Raw Material 193 202 396 539 Employee expense 16 15 32 45 Other expenses 67 68 135 163 EBITDA 53 56 -6% 109 222 -51% EBITDA Margin 16% 16% 16% 23% Depreciat
Slide 10: Standalone Balance Sheet Statement
Standalone Balance Sheet Statement ASSETS (Rs. Crs.) Sep – 23 Mar-23 EQUITY AND LIABILITIES (Rs. Crs.) Sep – 23 Mar-23 (1) NON-CURRENT ASSETS EQUITY (a) Property, plant & equipment 593 599 (a) Equity Share capital 6 6 (b) Capital work-in-progress 153 74 (b) Other equity 1,428 1,394 Sub Total (C) 1,4
Slide 11: Standalone Cash Flow Statement
Standalone Cash Flow Statement Cash Flow Statement for six months ended (in Rs. Crore) Sep - 23 Sep - 22 Profit before Tax 91 205 Adjustment for Non-Operating Items 10 13 Operating Profit before Working Capital Changes 102 218 Changes in Working Capital -98 -110 Cash Generated from Operations 3 109
Slide 12: Consolidated Statement of Profit & Loss
Consolidated Statement of Profit & Loss Particulars (in Rs. Crore) Q2FY24 Q1FY24 Q-o-Q H1FY24 H1FY23 Y-o-Y Total Revenue 387 469 -17% 857 1,305 -34% Raw Material 222 256 478 645 Employee expense 19 18 37 47 Other expenses 85 92 177 218 EBITDA 61 104 -42% 164 395 -58% EBITDA Margin 16% 22% 19% 30% De
Slide 13: Consolidated Balance Sheet Statement
Consolidated Balance Sheet Statement ASSETS (Rs. Crs.) Sep-23 Mar-23 EQUITY AND LIABILITIES (Rs. Crs.) Sep-23 Mar-23 (1) NON-CURRENT ASSETS EQUITY (a) Equity Share capital 6 6 (a) Property, plant & equipment 766 775 (b) Other equity 1,602 1,548 (b) Capital work-in-progress 196 113 Non controlling in
Slide 14: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Cash Flow Statement for six months ended (in Rs. Crore) Sep - 23 Sep - 22 Profit before Tax 138 367 Adjustment for Non-Operating Items 16 25 Operating Profit before Working Capital Changes 154 392 Changes in Working Capital -69 -248 Cash Generated from Operations 85
Slide 15: About Us
Results Highlights About Us Hotel Division Financial Performance Moving towards Growth Prospects
Slide 16: Amines Industry – Unique but Critical Industry with growth potential
Amines Industry – Unique but Critical Industry with growth potential The size of Aliphatic Amines industry globally The consumable nature of demand and the is $4.9 billion. Globally, the Amine industry is oligopolistic nature of the industry, results in oligopolistic with two-three producers a stron
Slide 17: Balaji Amines Ltd – A Leading player in Aliphatic Amines in India
Balaji Amines Ltd – A Leading player in Aliphatic Amines in India State-of-the-art Forward integrated manufacturing suite of products Largest manufacturer of Aliphatic Amines in facilities fully equipped with latest DCS 30+ Product Downstream products added based on strength of amine manufacturing w
Slide 18: Our Products are supplied to India's fast-growing Industries
Our Products are supplied to India’s fast-growing Industries Industry Wise - Revenue Breakup 3% 4% 3% 4% 3% 2% 4% 51% 26% Pharma Agrochem Paints & Resins Animal Feeds Oil & Gas Rubber Cleaning Chemicals Water Treatment Chemicals Dye and Textiles Others 17
Slide 19: Highly Experienced Management Team
Highly Experienced Management Team Mr. A. Prathap Reddy Mr. D. Ram Reddy Mr. N. Rajeshwar Reddy Mr. A. Srinivas Reddy Executive Chairman Managing Director Whole Time Director Whole Time Director & CFO • Civil Engineer by Education. • 36 years of experience across • B. Com. Over 46 years of • Post Gr
Slide 20: Diversified Product Portfolio
Diversified Product Portfolio Particulars Amines Amine Derivatives Specialty & Other Chemicals • Aliphatic Amines find increasing • Amine Derivatives are used to make further consumption and applications in a salts and other complex chemical Intermediates and API’s • Albeit a small and fast growing
Slide 21: Clientele
Clientele Amines Amine Derivatives Specialty & Other Chemicals 20
Slide 22: Well positioned Business Model aimed at Sustainable growth
Well positioned Business Model aimed at Sustainable growth Focus towards high-value derivatives and Develop new indigenous technology for specialty chemicals with an aim to move up manufacturing products leading to lowering in the value-chain with vertical integration manufacturing costs & improving
Slide 23: Key Products (Current & Proposed) in Portfolio
Key Products (Current & Proposed) in Portfolio Product Existing Installed Capacity Proposed Capacity Application Areas Methyl Amine 48,000 40,000 Pharma, Agro, Dye & Rubber Ethyl Amine 22,500 - Pharma, Agro, Dye & Rubber DMAHCL / DMAC 31,000 7,500 Pharma Choline Chloride 60% (Corn Cob) 6,000 - Anima
Slide 24: We are Global suppliers – a significant validation of our Capabilities
We are Global suppliers – a significant validation of our Capabilities • UK • Japan • US • Turkey • Argentina • Finland • Canada • Indonesia • Israel • Switzerland • India • Sri Lanka • Pakistan • Russia • Bangladesh • Malaysia • Oman • Singapore • Germany • Bahrein • Italy • Jordan • Egypt • Guatem
Slide 25: Awards & Certificates – A Testimony of our capabilities
Awards & Certificates – A Testimony of our capabilities ISO Certificate Two Star Export House ISO Certificate BEST CEO (CHEMICAL INDUSTRY) AWARD TO SHRI ANDE PRATHAP REDDY BY BUSINESS TODAY GROUP 02.05.2023 ISO 9001 : 2015 Certificate Certificate of Merit - CHEMEXCIL First Award - CHEMEXCIL WHO GMP
Slide 26: Awards & Certificates – A Testimony of our capabilities
Awards & Certificates – A Testimony of our capabilities Product Innovator of the Year Distinguished Contribution in the Excellent CSR in Water Mahatma Award for Sustainable and in Chemicals – 2018 Indian Chemicals Industry Conservation Responsible Business Practice from Aditya Birla Group 1st Octobe
Slide 27: We are Growing…Sustainably and Consistently
We are Growing…Sustainably and Consistently “Long-Term Issuer Rating upgraded to ‘IND AA’ from ‘IND AA-’ by India Ratings and Research (Ind-Ra) .” The ratings process highlighted the following factors:- • Largest manufacturer of aliphatic amines and their derivatives in India • Sole producer for a f
Slide 28: High entry barrier Business – Paving way for Sustainable growth
High entry barrier Business – Paving way for Sustainable growth Complex manufacturing process Niche product offering with high High fixed costs, with fixed asset requiring high levels of lead time in customer approvals turns hovering in the range of 1.5- technological know-how. Efficient 2x. Optimum
Slide 29: Well positioned Business Model aimed at Sustainable growth
Well positioned Business Model aimed at Sustainable growth Value-Added Products Applicability in Solvents segment Capex towards high-value derivatives and specialty chemicals will materialize into higher 01 Solvents account for 80%-90% of the mass utilised in a typical pharmaceutical chemical 05 rev
Slide 30: Greenfield Project to fuel growth and add Revenue Visibility
Greenfield Project to fuel growth and add Revenue Visibility Strategically Project Accorded Project Capex Product Profile New Products = First High Demand for Located Plant Mega Project Status Mover advantage Products Environmental In Phase-1 of Phase-2 & 3 n-Butylamine : 4th Significant The demand
Slide 31: Balaji Speciality Chemicals – Production commenced in FY20
Balaji Speciality Chemicals – Production commenced in FY20 Balaji Speciality Chemicals Limited (BSCL) is Manufacturing products such as Ethylene Diamine 01 (EDA), Piperazine Anhydrous (PIP) , Di Ethylene Tri 04 BAL owns 55% in subsidiary Balaji Speciality Amine (DETA), Amino Ethyl Ethanol Amines (AE
Slide 32: R&D led Investments to provide significant early mover advantage
R&D led Investments to provide significant early mover advantage New Products Optimization Integration Continuous efforts to optimize Backward and forward Identification of new products utilization of energy, utilities & integration of products to and development of latest raw materials consumption
Slide 33: Hotel Division
Results Highlights About Us Hotel Division Financial Performance Moving towards Growth Prospects
Slide 34: Balaji Sarovar Premiere – Best in class Business Hotel in Solapur
Balaji Sarovar Premiere – Best in class Business Hotel in Solapur • Commenced Operations in October 2013 Hotel Balaji Sarovar Premier is the only 5 star hotel in Solapur • Invested Rs. 110 crore in the Hotel Project via mix of Debt and Equity • Tied up with Sarovar Group for the Management of the Ho
Slide 35: Balaji Sarovar Premiere – H1 FY24 Operating Matrix
Balaji Sarovar Premiere – H1 FY24 Operating Matrix Constitutes 129 Rooms 2.06% of Negligible Routine Capex incurred Rs. 4,232 ARR Total Revenue 70% Occupancy RS. 2,981 Rate RevPAR Renowned Five Star Hotel In the City of Solapur ARR : Average Room Revenue RevPAR: Revenue per Available Room 34
Slide 36: Financial Performance
Results Highlights About Us Hotel Division Financial Performance Moving towards Growth Prospects
Slide 37: Consolidated Performance Highlights
Consolidated Performance Highlights Revenue (Rs. Crs.) EBITDA (Rs. Crs) PAT (Rs. Crs.) +26% 2,338 2,371 +34% 637 624 +36% 418 406 1,318 379 244 943 941 193 186 117 97 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 EBITDA Margin (%) PAT Margin (%) RoE (%) 28.8% 27.3% 18.5%
Slide 38: Strong Core ROCE Profile
Strong Core ROCE Profile Particulars (Rs. Crs.) FY22 FY23 Consolidated Debt 101 58 ▪ For FY22, investments made to the tune of Rs. 145.54 crore for Unit Consolidated Networth 1315 1698 4’s DMC plant and Unit 3’s power plant is not considered, as the Total Capital Employed 1416 1756 operations were w
Slide 39: Consistent Dividend Payout
Consistent Dividend Payout 500% 300% 200% 140% 160% FY19 FY20 FY21 FY22 FY23 Particulars (Rs. per share) FY19 FY20 FY21 FY22 FY23 Consolidated Book Value 183 206 281 406 524 Consolidated EPS 36 32 74 114 110 Dividend 2.80 3.20 4.00 6.00 10.00 38
Slide 40: Moving towards Growth Prospects
Results Highlights About Us Hotel Division Financial Performance Moving towards Growth Prospects
Slide 41: Balaji Amines Ltd - Progressing steadily
Balaji Amines Ltd - Progressing steadily Unit 4: Increased capacity Improvements at Greenfield Unit 4 : utilization & capacity Subsidiary Plant Capex Phase – 2 & 3 additions of Phase – 1 capex Expansion and commercialization of 90-acre project in MIDC Chincholi to Debottlenecking of the plant for Ca
Slide 42: ESG & CSR Initiatives
ESG & CSR Initiatives Donation Of Rs Distribution Of 1.25 Crores For RO Plant To Renovation Of Ganesh Naik Punyashlok Primary Ahilyadevi Holkar School, Prasuti Gruh Solapur Solapur (Maternity Dt. 03.01.2023 Hospital) Dt. 08.02.2023 Constructed Construction of Ladies And Gents Class Rooms at Toilet B
Slide 43: ESG & CSR Initiatives
ESG & CSR Initiatives Distribution Of Distribution Of Flour Mill (Atta Oxygen Chakki) To Concentrator 12 Women’s Nos To Taluka Organisation Arogya Adhikari Dt. 12.08.2022 Tuljapur Dt 22.06.2022 Distribution Of Computer - 2 Nos To Distribution Of School Benches To Zilla Parishad Funded for Polytechni
Slide 44: Thank You
Thank You For further information, please contact: Company : Investor Relations Advisors : Orient Capital (a division of Link Group) Mr. Bhavya Shah Balaji Amines Ltd. +91 8082748577 CIN - L24132MH1988PLC049387 bhavya.shah@linkintime.co.in Email - cs@balajiamines.com Mr. Rajesh Agrawal +91 99674 914