IOL Chemicals and Pharmaceuticals Limited Investor Presentation August 2021
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IOL Chemicals and Pharmaceuticals Limited
Investor Presentation
August 2021
Disclaimer
This information may contain certain forward-looking statements/details in the current scenario, which is
extremely dynamic and increasingly fraught with risks and uncertainties. Actual results, performances,
achievements or sequence of events may be materially different from the views expressed herein.
Investors/shareholders/public are hence cautioned not to place undue reliance on these statements/details, and
are advised to conduct their own investigation and analysis of the information contained or referred to in this
section be before taking any action with regard to their own specific objectives. Further, the discussion following
here in reflects the perceptions on major issues as on date and the opinions expressed here are subject to change
without notice. The Company under takes no obligation to publicly update or revise any of the opinions or forward-
looking statements expressed in this section, consequent to new information, future events or otherwise.
2
About IOL Chemicals and Pharmaceuticals Limited
Incorporated in 1986, IOLCP is one of the leading Pharmaceuticals company and is a significant player in the field
of specialty chemicals with world class facilities
Catering to the top-tier players across diverse important industries like
pharmaceuticals, ink industry, flexible packaging, adhesives, surface
coatings, flavours, paints & lamination and essences etc.
Captive co-generation unit with capacity of 17 MW to meet power and
steam requirements
To be amongst the most admired companies in APIs, Intermediates and Specialty
Chemicals globally.
Values
We, at IOLCP, believe values bring character to any organization To provide top quality products in APIs, Intermediates and Specialty Chemicals through
that help leaders to guide teams for a culture of excellence continuous innovation and cutting-edge technology with due regards to safety and
through continuous improvements. environment.
3
Key Highlights
Team size of 2,000+ Largest producer of Largest producer of Ethyl 2nd Largest producer of Over 20 products are
employees Ibuprofen and the only Acetate at Single Location Iso Butyl Benzene (IBB) commercialised with 8
company worldwide being in India with ~30% Global share products in pipeline
backward integrated with
~35% Global share
Debt free company, Spread over a sprawling Zero Discharge Effluent Customer base across 80 Credit Rating: A+, outlook;
No debt raised since 2017 campus of over 100 acres Treatment Plant countries stable (Care Ratings
Limited)
4
Professional Management Team
Mr. Varinder is an industrialist and has wide and rich Mr. Vikas is academically equipped with the
experience of more than 35 years in the chemical & knowledge and possesses organizational capacity. He
fertilizer industry and along with a comprehensive has worked in strategic department of the company
approach and strong Pharma API industry oversight and played a main role in guiding the Chemical and
has paved a way for innovation and excellence. Pharmaceutical business of the company. He has
been vital to the functioning of the company over
Varinder Gupta Vikas Gupta the last 7 years.
(Managing Director) (Executive Director)
Dr. Sanjay is a seasoned global business executive Mr. Kushal comes from a strong technical background
having worked in the specialty chemicals and having done his Bachelor’s in Chemistry, Physics,
pharmaceutical industry for over 25 years in Math and Master’s degree in Chemistry. He has a rich
companies like Praj Industries, Dr. Reddy’s, experience of over 30 years in the pharmaceutical
Aurobindo among few others. He brings a industry in companies like Morepen Laboratories,
demonstrated track record along with functional Chemiplast Industries His expertise lies in looking
Dr. Sanjay Chaturvedi expertise in Sales, Marketing, Strategy, Kushal Kumar Rana after quality assurance, quality control & corporate
(Chief Executive Manufacturing and R&D in USA and in India. (Director – Works)
regulatory affairs.
Officer)
5
Experienced Independent Directors
Rajender Mohan Malla Dr. Sandhya Mehta Harpal Singh
(Chairman and Independent (Independent Director) (Independent Director)
Director)
• Mr. Rajender has very distinguished career • Dr. Sandhya is working as the principal of • Mr. Harpal has had over 35 year's
of four decades. Guru Nanak Institute of Management & experience of banking and financial
• He had held top and significant decision- technology, Ludhiana and has vast 22 year services.
making positions in Banks, Financial experience to her credit. • Most recently he was General Manager of
Institutions & NBFCs. • She has published seven books in addition Punjab National Bank and headed entire
• In his most recent executive roles, he was to numerous papers published in reputed operations of bank in State of Punjab from
MD & CEO of PTC India Financial Services National & international Journals. 2010 to 2015.
Limited (PFS), and prior to that CMD of
IDBI.
6
Our Journey
Unit-08 & Unit-10* Unit-06 for Pantoprazole Unit-03 for new
for Multi Products 2020 (Dedicated) 2018 product facility 2012
Unit-07 Metformin Unit-04 Metformin Unit-02 for Ibuprofen
2021 (Dedicated)
2019 (Dedicated)
2016 (Dedicated)
Unit-05 Clopidogrel
& Fenofibrate
Unit-01 Ibuprofen
(Dedicated) Listing on NSE
Incorporated with Commenced Acetic Co-Generation Co-Generation
Acetic Acid Plant
1996 Anhydride
2000 Plant – 4MW
2009 Plant – 13MW
1986 Commenced Ethyl 1999 Production of 2007 Commencement of 2010
Acetate Ibuprofen IBB, MCA and Acetyl
Chloride
7
*Unit-10 was commercialized in Q1FY22
Certifications and Accreditations
Approved USFDA Ibuprofen EUGMP Certification in Certificate of Suitability Certificate of Suitability
facility since 2015, 2013, 2017 & from EDQM for from EDQM for
recertified in 2019 Recertification in 2020 IBUPROFEN, CEP No. 316- LAMOTRIGINE, CEP No.
2008 066-2013
EDMF submitted to EDQM Certificate of Suitability ISO 9001:2015, 14001:2015
Certificate of Suitability
for Clopidogrel Hydrogen from EDQM for & 45001:2018
from EDQM for
Sulfate METFORMIN, CEP No. 188-
Clopidogrel, CEP No. 006-
2013
2019
WHOGMP (COPP) for Written confirmation from
Certificate of Suitability
Ibuprofen, Metformin, CDSCO for Ibuprofen,
from EDQM for
Lamotrigine, Fenofibrate Metformin, Lamotrigine,
FENOFIBRATE CEP No. 075
& Clopidogrel, UDCA & Fenofibrate Clopidogrel
2018
Pantoprazole Sodium
8
Product
Segmentation
9
Business Segment – Pharmaceuticals
IOLCP is the largest producer of Ibuprofen with ~35% Global share and the only company worldwide being
backward integrated for all Intermediates and Key Starting Material of Ibuprofen
Among the largest Added more than 7 new Product portfolio that
producer of Metformin in products in its API portfolio caters to over 7
world basket in last two years therapeutic category
Product application across various therapeutic areas
Pain Anti – Anti – Anti – Anti – Anti – Proton
Management Diabetic Platelet Cholestrol Convulsant Cholelithic Pump Inhibitor
10Pharmaceuticals Product Portfolio – Commercialized & Pipeline
API - Commercialized API - Pipeline
Ibuprofen
Fexofenadine
Ibuprofen Lysinate
Ibuprofen Sodium Quetiapine Fumarate
Dex-Ibuprofen
Dextromethorphan
Metformin HCL
Clopidogrel Bisulphate (Form II) Apixaban
Pantoprazole Sodium
Fenofibrate (Micronised) Mesalazine
Gabapentin
Nebivolol
Lamotrigine
Ursodeoxycholic Acid Lisinopril
Losartan Potassium
Valsartan
Levetiracetam
11Business Segment – Specialty Chemicals
IOLCP first commenced manufacturing Ethyl Acetate in 1996, with a starting capacity of 3000 tonnes per annum. Today, the Company
has grown this business to become the largest single location plant in India, with a production capacity of 100,000 tonnes per annum.
India’s second largest IBB, MCA and Acetyl Captive consumption of Asia’s first continuous
manufacturer for Iso Chloride are key Mono Chloro Acetic Acid dual technology (green
Butyl Benzene (IBB) starting materials for with 7,200 TPA capacity chemistry) plant for
with ~30% global share Ibuprofen MCA and Acetyl
Chloride
Product application across diversified industries
Food Flexible Pharma Chemical Textiles Ink Paints Pesticides
Processing Packaging Intermediate
12Product wise Segmentation – Quarterly
Q1 FY22 Q4 FY21 Q1 FY21
270.0
153.9 58.0%
169.3
29.3% 36.3%
307.5 243.9
58.7% 52.3%
62.8
150.2
12.0% 53.4 32.2% 45.7
11.4% 9.8%
Other Pharma
Chemicals Ibuprofen
Products
13
All figures in INR crs unless statedManufacturing Facility spread across over 100 acres with GMP approved guidelines
API manufactured in batch manner and Facility is coupled with ISO class-8 HVAC
intermediates & Specialty chemicals in Dedicated blocks involved in manufacturing system, PSA Nitrogen & Purified water along
continuous product delivery manner based of APIs with 127 MTPH steam generation capacity
on DCS technology with multiple boilers
Manufacturing facilities involves – Reactions, Four stage treatment zero discharge ETP, Dedicated decentralized utilities from -20 to
Filteration, Centrifugation, Drying, Blending solvent recovery plants & EHS cell as a part 275 deg.C temp and dedicated co-
& Sieving, Micronization operation of the facility generation plant of 17MW
Research & Development
Working on generic
R&D facility is in action molecules with latest DSIR approved facility for In-house development of
24*7 equipment & techniques for research & development multi step products
process development
14Our Core Sustainability Pillars
Solar Lights donated by IOLCP
• Strive to minimize the adverse impact on • Construction and renovation of school locations,
environment, health and Safety by upgrading provided technical equipment for smart education
technology, optimum utilization of resources and • Primary healthcare including sanitation
minimizing effluent / waste generation. • Disaster relief by eradicating hunger, poverty and
• Complying with the applicable statutory and legal malnutrition Plantation activity conducted
requirements and providing safe working • Community development by setting up old age by IOLCP in Barnala
environment / work place by imparting training to homes and community mentally retarded home
all employees. • Protection of art and culture
• Spread awareness about the EMS and Process Safety • Plantation in villages for restoration to environment
and necessary PPE. • Trust/Contribution
Environment Corporate Social Responsibility
15Financial
Overview
16Key Financial Summary
Financial
Summary Q1FY22 Q4FY21 Q1FY21
(INR Cr)
Total Income 524 467 466
Gross Profit 189 189 218
EBITDA 116 117 158
PAT 67 75 128
17
All Profits and Total Income include Other Income5 years Financial Performance - Annually
Revenues & Margins* – Annual Margin* Expansion – Over the Years
2,000 1,910 1,991 50% 50% Gross %
1,800 1,696 45% 45% 45%
45% 12%
1,600 44% 40% 40%
EBITDA %
1,400 33% 38% 31% 31% 35% 35% 33%
30% 31%
1,200 25% 30% 30% 16%
990 22% PAT % 22%
1,000 25% 25%
19%
800 712 20% 20%
14% 21%
13% 15%
600 15% 15%
15%
400 10% 10%
3%
200 1% 5% 5%
1%
0 0% 0%
FY17 FY18 FY19 FY20 FY21 FY17 Incr. FY21 FY17 Incr. FY21 FY17 Incr. FY21
Total Income Gross Profits % EBITDA % PAT %
Segmental EBIT % Debt/Equity
1,400 2.4 2.5
45% 43% 20%
39%
40% 18% 1,200 2.0
2.0
35% 32% 16%
1,000
14%
30% 1.5
12% 12% 800
25%
19% 10% 600
20% 1.0
14% 8%
0.6
15% 400
5% 6%
0.5
10% 4% 4% 200
0.1 -
5% 1% 2%
0 0.0
0% 0% FY17 FY18 FY19 FY20 FY21
FY17 FY18 FY19 FY20 FY21
Pharma(LHS) Chemicals (RHS) Debt (INR Crs) Equity (INR Crs) Debt/Equity
18
*All Profits and Total Income include Other IncomeQuarterly Financial Performance
Revenues & Margins*
800 46.7% 50%
700 40.5%
36.1% 40%
600 33.9%
524.2
500 465.9 466.6
30%
400 25.2%
27.4% 22.1%
300 20%
200 16.1%
12.8% 10%
100
- 0%
Q1FY21 Q4FY21 Q1FY22
Total Income Gross Profits % EBITDA % PAT %
Segmental EBIT %
45% 30%
44.1%
40% 25%
35%
29.7% 20%
30% 15.5%
15%
25% 14.8% 22.7%
10%
20%
5.4%
15% 5%
10% 0%
Q1FY21 Q4FY21 Q1FY22
Pharma (LHS) Chemicals (RHS)
19
*All Profits and Total Income include Other Income; PAT for Q1FY22 includes Exceptional ItemsGeographical Segmental Breakup – Annual & Quarterly
In INR crs
500
1,600
450 435
1,400 1,354
1,250 400
1,200
1,038 350
318
300
1,000 300
800 250
633 647 644 613
200
600 160
484
143
150
400 350
227 100 83
200
50
- 0
FY17 FY18 FY19 FY20 FY21* Jun-21 Mar-21 Jun-20
Domestic Export
20
*FY21 Covid ImpactFinancial Summary – Balance Sheet
Balance Sheet (INR Crs) FY17 FY18 FY19 FY20 FY21
Shareholder's Funds 188.7 215.7 474.3 813.5 1260.4
Debt 446.5 421.9 284.0 56.0 0.0
Other Long Term Liabilities 17.2 33.6 20.8 79.7 59.1
Other Current Liabilities 165.1 180.9 162.8 220.6 290.6
Equity & Liabilities 817.5 852.1 941.9 1169.8 1610.1
Fixed Assets 395.1 412.6 438.7 488.2 560.6
Other Non Current Assets 8.8 14.8 15.1 10.7 27.2
Non Current Assets 403.9 427.4 453.8 498.9 587.8
Investments 0.1 0.1 0.1 0.1 1.2
Cash & Bank Balances 16.8 17.3 29.6 154.7 364.7
Other Current Assets 396.7 407.3 458.4 516.1 656.4
Current Assets 413.6 424.7 488.1 670.9 1022.3
Assets 817.5 852.1 941.9 1169.8 1610.1
21Financial Summary – Statement of Profit and Loss
P&L (INR Crs) FY17 FY18 FY19 FY20 FY21 Q1FY22 Q4FY21 Q1FY21
Revenues 710.6 983.3 1,685.3 1,894.5 1,967.0 518.5 460.4 460.1
Other Income 1.3 6.3 10.4 16.0 24.3 5.7 6.2 5.8
Total Income 711.9 989.6 1,695.7 1,910.5 1,991.3 524.2 466.6 465.9
Gross Profits 234.5 294.4 648.5 845.5 888.4 189.2 188.9 217.7
Gross Profits %* 32.9% 29.7% 38.2% 44.3% 44.6% 36.1% 40.5% 46.7%
EBITDA 103.4 125.9 420.0 589.9 616.1 115.9 117.4 157.9
EBITDA %* 14.5% 12.7% 24.8% 30.9% 30.9% 22.1% 25.2% 33.9%
Depreciation 29.8 30.2 32.5 35.7 38.9 10.3 10.0 9.4
EBIT 73.6 95.7 387.6 554.2 577.2 105.6 107.4 148.5
EBIT %* 10.3% 9.7% 22.9% 29.0% 29.0% 20.1% 23.0% 31.9%
Interest 67.7 64.4 51.4 20.9 5.8 1.8 1.4 1.8
Earnings before exceptional
5.9 31.3 336.2 533.3 571.4 103.8 106.0 146.7
items and taxes
Exceptional Items - - - - - 13.9 - -
Taxes 1.2 3.6 99.5 172.0 126.8 22.9 30.7 19.2
PAT 4.7 27.7 236.7 361.3 444.6 67.0 75.3 127.5
PAT %* 0.7% 2.8% 14.0% 18.9% 22.3% 12.8% 16.1% 27.4%
22Shareholder Information
Stock Data (As on 30th June, 2021) Shareholding Pattern (%)
Market Capitalization (₹) 3,569Crs 49.6% 51.2%
43.7% 43.7%
Face Value(₹) 10
Share Price (₹) 608.1
EPS (₹) 11.4
52-Week High (₹) 898.4 6.7% 5.1%
52-Week Low (₹) 516.3
Promoter Institutional Others
Symbol(NSE/BSE) IOLCP | 524164
Q1FY21 Q1FY22
IOLCP 5 Years Stock Price vs Sensex
700
600
500
400
300
200
100
0
08-16 11-16 02-17 05-17 08-17 11-17 02-18 05-18 08-18 11-18 02-19 05-19 08-19 11-19 02-20 05-20 08-20 11-20 02-21 05-21 08-21
IOLCP Sensex
23Thank You
For further details:
Mr. Pardeep Kumar Khanna , CFO
Email: pardeepkhanna@iolcp.com
Phone: +91-161-2225531-35You can also read
