IG Petrochemicals Ltd. · NSE:IGPL
IG Petrochemicals — Q3 FY2017 Earnings Presentation
19 slides from IG Petrochemicals's earnings presentation, February 2017
Slide 1: Investor Presentation – February 2017
Investor Presentation – February 2017
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by I G Petrochemicals 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 se
Slide 3: Acquisition of Maleic Anhydride Business
Acquisition of Maleic Anhydride Business Acquisition details Transaction • MA business is acquired by IGPL as • Acquisition of Maleic Anhydride a going concern on a 'Slump Sale (MA) Business basis“. Acquisition of Maleic • Lumpsum consideration of Rs. 74.48 Anhydride (MA) crores payable over 5 years
Slide 4: Consistent Improvement in Operating Performance
Consistent Improvement in Operating Performance Rs. In Crs EBITDA EBIT PAT 113 118 99 108 73 60 80 71 30 FY15 FY16 9M FY17 FY15 FY16 9M FY17 FY15* FY16 9M FY17 EBITDA (%) PAT (%) 15.8% 9.8% 11.9% 6.3% 6.8% 2.5% FY15 FY16 9M FY17 FY15* FY16 9M FY17 4 *Excludes Extraordinary Loss
Slide 5: Q3 FY17 Performance Highlights
Q3 FY17 Performance Highlights Rs. In Crs Revenue EBITDA PAT +15.1% +123.8% +284.1% 238 38 23 207 17 6 Q3 FY16 Q3 FY17 Q3 FY16 Q3 FY17 Q3 FY16 Q3 FY17 EBITDA (%) PAT (%) + 770 bps + 680 bps 15.8% 9.7% 8.1% 2.9% Q3 FY16 Q3 FY17 Q3 FY16 Q3 FY17 5
Slide 6: Company Overview
Company Overview Numero Uno Indian manufacturer of Phthalic Anhydride (PA) Flagship company of Dhanuka Group One of the largest PA manufacturer in the world Lowest Cost producer of Phthalic Anhydride (PA) globally Higher capacity utilization with continued Consumption Pull for Phthalic Anhydride Sel
Slide 7: Focused Management
Focused Management Mr. M M Dhanuka: Chairman Mr. Nikunj Dhanuka: Managing Director & CEO ✓ Chemical Engineer from BITS, Pilani with 40 years of ✓ Over two decades of experience in the industry, experience in the industry instrumental in restructuring the business activities ✓ True Entrepreneur who m
Slide 8: Phthalic Anhydride
Phthalic Anhydride Phthalic Anhydride (PA) Applications for PA is a downstream PA is used as an PA is used in a PA are product of Orthoxylene intermediate for the variety of increasing (OX) a basic Petrochemical production of application in rapidly, driven Plasticizers, both consumer PA is a versati
Slide 9: End User Industries
End User Industries 19% Plasticizers Paints 14% 41% CPC (Color Pigments) 10% Unsaturated 16% Polyester Resin (UPR) Others 9
Slide 10: Phthalic Anhydride (PA): Varied Applications
Phthalic Anhydride (PA) : Varied Applications Phthalic Anhydride Packaging Materials Textile Dyes Paints Printing Inks Plastic Pipes &Products 10
Slide 11: Manufacturing Facilities
Manufacturing Facilities 3 units at Single Location Proximity to India’s Chemical Hub 50 kms. away from Jawaharlal Located at MIDC, Taloja in Raigad Nehru Port Trust (JNPT), District, Maharashtra Nhavasheva, Mumbai, Maharashtra 11
Slide 12: Key Customers
6 Key Customers icreu -@ KANSAI ASHLAND NEROLAC AQ Cc. AARTI INDUSTRIES LIMITED World Leader in Resin Technology AkzoNobel Mort BADE a} Mi Ma. @ Payal = Group Driven by a Committed Vision 12
Slide 13: Consumption Pull for Phthalic Anhydride…
Consumption Pull for Phthalic Anhydride… Stabilize Crude Prices - 01 Better Realizations Global Market Improvements - 02 Well positioned to grab the opportunities Better Economic Scenario - 03 Influence demand for the product in downstream markets Infrastructure Thrust - 04 Strong & Constant domesti
Slide 14: Consumption Pull for Phthalic Anhydride…
Consumption Pull for Phthalic Anhydride… Global PA Consumption - ~5.5mn tones India’s GDP Growth Rate (%) +3% UPR Others 7.5% 7.6% 7.9% 20% 25% 6.9% 7.3% Plasticizer 55% 2013 2014 2015 2016 2017E Source: World Bank ▪ Asia-Pacific consumption is ▪ Resurging of Indian ~ + 50% economy – Pick up of dema
Slide 15: Key Competitive Advantages
Key Competitive Advantages Better Recovery Processes Lowest Cost Producer • Steam Lowest generated from ProcessStrategic utilised 01 Strong • In-house generation of power Consistent • Higher efficiency and reengineering efficiently- reduces Oil consumption Clientele processhigh Cost significantly Pl
Slide 16: Profit & Loss Statement
Profit & Loss Statement Particulars (Rs. In Crs) Q3 FY17 Q3 FY16 Y-o-Y 9M FY17 9M FY16 Y-o-Y FY16 Revenue from Operations 236.38 205.44 744.00 734.23 947.60 Other operating Income 1.31 1.12 4.20 4.24 5.24 Total Revenue 237.69 206.56 15% 748.20 738.47 1% 952.84 Cost of Material Consumed 167.40 169.17
Slide 17: Balance Sheet
Balance Sheet Particulars (Rs. Crs) Sep-16 Mar-16 Particulars (Rs. Crs) Sep-16 Mar-16 Shareholder’s Fund 342.10 291.76 Non-current assets 350.47 348.37 Share capital 30.80 30.80 Tangible Assets 313.51 322.19 Reserves & Surplus 311.30 260.96 Intangible Assets 0.03 0.04 Non-current liabilities 80.87 9
Slide 18: Improved Performance – Ratios
Improved Performance – Ratios ROCE (%) ROE (%) Total Debt/Equity 25.8% 20.7% 0.81 24.9% 20.0% 20.2% 0.64 12.6% 0.32 8.6% 0.26 1.2% Mar-14 Mar-15 Mar-16 Sep-16 Mar-14 Mar-15 Mar-16 Sep-16 Mar-14 Mar-15 Mar-16 Sep-16 18
Slide 19: For further information, please contact
For further information, please contact Company : Investor Relations Advisors : I G Petrochemicals Ltd Strategic Growth Advisors Pvt. Ltd. CIN: L51496GA1988PLC000915 CIN: U74140MH2010PTC204285 Mr. R . Chandrasekaran -CFO Ms. Neha Shroff / Mr. Deven Dhruva [email protected] [email protected] /