Dhanuka Agritech Limited · NSE:DHANUKA
Dhanuka Agritech — Q3 FY2014 Earnings Presentation
25 slides from Dhanuka Agritech's earnings presentation, February 2014
Slide 1: Unaudited Financial Results for the Quarter and Nine Months ended 31st December, 2013
Dhanuka Agritech Limited Unaudited Financial Results for the Quarter and Nine Months ended 31st December, 2013 February, 2014
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Dhanuka Agritech 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 secu
Slide 3: Dhanuka Agritech: An Overview
Dhanuka Agritech: An Overview Dhanuka is the second largest Indian agrochemicals formulation Company in domestic brand sales Three manufacturing facilities located in NCR, J&K and Gujarat Strong product portfolio of over 80 brands with 100% domestic sales Second largest rural distribution networks i
Slide 4: Wide Range of Products
Wide Range of Products Portfolio of over 80 brands, two third sales from ‘Specialty molecules’ 4
Slide 5: Key Product Portfolio
Key Product Portfolio • Media, Dunet, • Targa Super, Caldan, Omite, Barrier, Craze, Aaatank, Adfyre, Qurin, Noweed, Brigade, Bombard, Weedmar Super, Dhanpreet, Dhawa Ozone, Hook WG, Gold, Markar… Nabood, D-Era… Insecticides Herbicides Plant Fungicides Growth Nutrients • Lustre, Sixer, • Dhanuvit, We
Slide 6: Strategic Partnerships
Strategic Partnerships Nissan Chemical Mitsui Chemicals Inc. Sumitomo Chemical Hokko Chemical Japan Japan Japan Japan Chemtura Agro Solutions FMC Corporation DUPONT USA USA USA The Company enjoys long lasting relationships with its global partners. Most of the relationships have been active for more
Slide 7: Marketing Network
Marketing Network > 7,500 4,000 Total Distributors FY 2008 FY 2013 550 450 Reach – Districts covered through distributors FY 2008 FY 2013 1,500 750 Dhanuka Doctors - Dissemination of information to farmers on “Dhanuka Kheti ki Nayee takneek” FY 2008 FY 2013 Products are used by over 10 million farme
Slide 8: Key Growth Drivers (1/2)
Key Growth Drivers (1/2) Minimum Support Prices, India FY Crop Marketing Season (Price in INR/quintal) • Government Price Manifold guaranteed Commodity 2008 2009 2010 2011 2012 2013 2014 Increase % minimum prices for (08-14) increase the majority of crops Paddy 645 850 950 1,000 1,080 1,250 1,310 10
Slide 9: Key Growth Drivers (2/2)
Key Growth Drivers (2/2) World World • Insects, fungus and Area Ranking Production Ranking weeds destroy crops Category (Mn Ha) In Area (Mn tons) In Production worth billions of Paddy 44 #1 91 #2 Prevention dollars annually Wheat 28 #1 74 #2 Maize 8 #4 14 #6 of large crop • Despite large area Gram 8
Slide 10: Management Team
Management Team Chairman; started pesticides business more than 40 years ago; a philanthropist; a man of vision with utmost sincerity and devotion; mentors and provides strategic Director (Marketing); Masters in leadership; also served for two Business Administration from S.P. terms as Chairman of “
Slide 11: Management Team
Management Team Dr. O.P. Singh; President (R&D), vast Mr. V. K. Bansal; President & CFO, experience in new product Chartered Accountant, experience of introductions and strategic over 20 years with Dhanuka, controls partnerships, liaisons with the entire financial division and has been agricultural
Slide 12: Historical Financial Performance
Historical Financial Performance (in Crores Rs.) Particulars FY 09 FY 10 FY 11 FY 12 FY 13 Revenue 337.42 408.72 493.59 529.81 589.25 EBIDTA 48.60 58.88 78.52 80.04 88.84 PAT 23.20 36.34 51.11 57.13 64.44 Revenue Growth (%) 35.3% 21.1% 20.8% 7.3% 11.2% As % to Sales EBIDTA 14.4% 14.4% 15.9% 15.1% 15
Slide 13: Historical Financial Performance
Historical Financial Performance Net Sales (Rs. in Crores) PAT (Rs. in Crores) 600 70 500 60 50 400 40 300 30 200 20 100 10 0 0 06-07 07-08 08-09 09-10 10-11 11-12 12-13 06-07 07-08 08-09 09-10 10-11 11-12 12-13 Net Worth (Rs. in Crores) EPS (in Rs.) 300 14 250 12 200 10 8 150 6 100 4 50 2 0 0 06-07
Slide 14: Operational Highlights - Result Period
Operational Highlights - Result Period (in Crores Rs.) Audited Unaudited Quarter Unaudited 9ME FY Particulars Dec-13 Dec-12 rise / fall Dec-13 Dec-12 rise / fall 12-13 Gross 185.81 150.41 23.54% 657.67 499.29 31.72% 646.40 Turnover Net Turnover 167.00 139.56 19.66% 586.53 451.13 30.01% 582.31 EBIDTA
Slide 15: Operational Highlights - Result Period (in Crores Rs.)
Operational Highlights - Result Period (in Crores Rs.) Audited Unaudited Quarter Unaudited 9ME FY Particulars Dec-13 Dec-12 rise / fall Dec-13 Dec-12 rise / fall 12-13 EBIDTA% to 16.11% 11.70% 441 bps 16.58% 14.11% 247 bps 15.26% Net Sales PBT% to Net 14.32% 10.06% 426 bps 15.43% 12.78% 265 bps 13.8
Slide 16: Category wise % Sales
Category wise %Sales Audited Unaudited Quarter Unaudited 9ME FY Particulars Dec-13 Dec-12 rise / fall Dec-13 Dec-12 rise / fall 12-13 Insecticides 45.01% 53.92% -891 bps 42.06% 50.56% -850 bps 49.31% Fungicides 20.37% 17.56% 281 bps 13.94% 12.50% 144 bps 13.15% Herbicides 24.17% 16.64% 753 bps 34.09
Slide 17: Region wise % Sales
Region wise % Sales Audited Unaudited Quarter Unaudited 9ME FY Zone Dec-13 Dec-12 rise / fall Dec-13 Dec-12 rise / fall 12-13 North Zone 18.78% 14.64% 414 25.02% 26.28% -126 26.55% East Zone 11.92% 15.26% -334 bps 11.36% 13.92% -256 bps 14.40% West Zone 22.47% 21.47% 100 bps 33.18% 27.30% 588 bps 27
Slide 18: Dhanuka's Top Products
Dhanuka’s Top Products Products Category Targa Super Herbicide Caldan Insecticide Dhanzyme Granule PGR Markar Insecticide Dhanzyme Gold PGR 18
Slide 19: New Product Launches
New Product Launches FY 12-13 FY 13-14 Fluid Danfuron Fuzi Super Defend Lustre Maxyld Dhanzyme Gold Media Super granules One- Star Protocol Six new products are in pipeline, of which 2 are expected to be launched every fiscal for the first time in India. 19
Slide 20: Brand Sales
Brand Sales Particulars Share 9ME Dec-13 40.24% 9ME Dec-12 40.36% HYE Sep-13 43.03% HYE Sep-12 42.55% 20
Slide 21: % Sales with Foreign/MNC tie ups
% Sales with Foreign/MNC tie ups Particulars Share QE Dec-13 37.00% QE Dec-12 33.33% Rise/(Fall) 367 bps NME Dec-13 47.44% NME Dec-12 42.56% Rise/(Fall) 488 bps 21
Slide 22: Rewards & Recognition
Rewards & Recognition Dhanuka has bagged a coveted place in ‘Forbes Asia’ list in three out of last four years 22
Slide 23: Rewards & Recognition
Rewards & Recognition Dhanuka has been honoured Mr. M. K. Dhanuka, Managing with the coveted Brand Director, Dhanuka Agritech Excellence Award in Limited, receiving INC. INDIA Agrochemicals by ABP News Innovative 100 Award: 2013 for during 22nd World Brand its smart, innovative product - Congress LU
Slide 24: Key Players in Indian Agro-Chemical Market
Key Players in Indian Agro-Chemical Market Technicals Formulations Balanced Portfolio Meghmani Organics Insecticides India Rallis India Sabero Organics Dhanuka Agritech Bayer India Punjab Chemicals PI Industries BASF UPL Syngenta Gharda Chemicals 24
Slide 25: Thank You!
® DHANUKA KHETI KI NAI TAKNEEK a -* Als. Thank You! 25