EPL LIMITED — Investor Presentation 2022

Jul 26, 2022

,. .. .... -.epl ILEADING THE PACK , ,£;(9 . ~/itfl{l ~{1!1 1

26 July 2022

Corporate Service Department	The Listing Department
BSE Limited	National Stock Exchange of India Ltd
25 th Floor, Phiroze Jeejeebhoy Towers,	Exchange Plaza, Plot no. C/1, G Block,
Dalal Street, Mumbai 400001	Bandra-Kurla Complex, Bandra (E)
	Mumbai 400051
Scrip: Equity 500135. NCDs 960310 & 960311 Trading Symbol: EPL

Ref.: EPL Limited (EPL)

Sub.: Investors notes/updates with respect to the Unaudited Financial Results for the quarter ended 30 June 2022.

Dear Sirs,

Please find attached copy of the Investors notes/updates as mentioned in the subj ect line.

We request you to kindly take note of the aforesaid and acknowledge receipt.

Thanking You

Yours faithfu lly

Suresh Savaliya SVP - Lega l & Company Secretary

Encl.: As above

Filed online

. ◄ :~~~a:~~~~ T~l~~:t t;/ cis/~~ane 421604, Maharashtra ,i:: ; . , ·Te('.;.gi'g673333'J7f/9'ss':t"' '. · . . ,, ~- ... · .. CIN: L74950MH1982PLC028947 , /}::.: .: : · complianceofficer@eplglobal.com ,;~~ -. ,//~ .

~··

EPLLIMITED (Formerly known as Essel Prepack Limited) Corporate Office: Top Floor, Times Tower, Kamala City, Senapati Ba pat Marg, Lower Parel, Mumbai 400 013. India www.eplglobal.com IT: +91222481 9000/9200 IF : +91222496 3137

EPL LIMITED

Q1 FY23 Earnings Presentation (Formerly known as Essel Propack Limited)

Safe Harbour

Certain statements in this presentation concerning our future growth prospects are forward-looking statements. The Company cautions that, by their nature, forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition in packaging industry including those factors which may affect our cost advantage, wage increases, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, industry segment concentration, our ability to manage our operations, reduced demand for packaging products in our key focus areas, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which is EPL (Formerly known as Essel Propack Limited) has made strategic investments, withdrawal of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies, and unauthorized use of our intellectual property and general economic conditions affecting our industry. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company.

• Q1 FY23 Highlights and Financial Performance
• Costs and Comprehensive Margin Improvement Plan
• Progress on Sustainability
• Looking Ahead
• Appendix

5

Q1 FY23 Highlights - Strong double digit revenue growth across all regions except EAP

• 1 Strong double digit revenue growth across all regions except EAP, which was impacted by Covid lockdowns. Revenue growth excluding EAP at 11.4% •
• 2 EBITDA margin @ 15.1%, despite EAP business impacted by Covid lockdowns, and continuing raw material inflation and other input cost increases •
• 3 Net debt reduced by INR 459 million sequentially •
• 4 Bagged Silver medal in Ecovadis; ranked in the top 5% of plastic products companies rated by EcoVadis •
• Brazil project continues to make good progress. New entity incorporated; first commercial delivery expected by end of FY23 •

Q1 FY23 Consolidated Financial Highlights

(INR million)

• Strong double digit revenue growth across all regions except EAP. AMESA (+13.4%), Americas (+20.4%), Europe (+10.5%) and EAP (-6.4%)
• Revenue growth excluding EAP at 11.4%
• Margin impacted by lower EAP performance, in addition to continuing raw material inflation, freight cost, absenteeism due to Covid and energy cost in western geographies.

5 (1) Excluding exceptional items (2) Return on Capital Employed, defined as EBIT / Average Capital Employed, on a trailing twelve month basis and adjusted for INR 160 mn in Jun 21 and Jun 22 of Transition Services Agreement (TSA) related expense and INR 136 mn for Jun 22 (INR 155 mn for Jun 21) of ESOP related expenses

EPL – Capital Efficient, Sustainable Revenue Growth

(1) Refer page 22 for details on Adjusted EBITDA and Adjusted EPS

(2) Excluding exceptional items (2) Return on Capital Employed, defined as EBIT / Average Capital Employed, on a trailing twelve month basis and adjusted for INR 160 mn in Mar 22 and Jun 22 of Transition Services Agreement (TSA) related expense and INR 136 mn for Jun 22 (INR 123 mn for Mar 22) of ESOP related expenses

• Q1 FY23 Highlights and Financial Performance
• Costs and Comprehensive Margin Improvement Plan
• Progress on Sustainability
• Looking Ahead
• Appendix

Raw Material prices and other input costs remained high in Q1, but RM prices started to temper towards end of quarter

	Q1FY23 vsQ1FY22	Q1FY23 vsQ4FY22
LLDPE	9%	9%
HDPE	11%	4%
LME	20%	-12%
SHFE	7%	-12%

• Polymer prices were higher in Q1FY23 than both last year and preceding quarter
• While YoY foil prices were higher, the price level declined from preceding quarter level
• Freight cost International and Domestic freight started softening at the end of the quarter
• Energy cost Europe is witnessing high inflation in energy cost
• Minimum Wages Wage increases following high inflation in western countries

Comprehensive plan in place to control and recover costs

Judicious Price Increases 1

• Continuous price increase efforts for non contracted customers
• Contractual pass-through as per 3-month lag

Mix Improvement 2

Focus on higher-profit segments and value-added offerings

Cost Productivity 3

• Increased in-house manufacturing of caps and closures implemented for India; benefit has started to accrue in FY23
• Global program to further reduce scrap and wastage

Procurement 4

Dynamic sourcing strategy and manufacturing location optimization

Organizational Review 5

Program to enhance organizational effectiveness and efficiency

Implementation of comprehensive plan ongoing to recover margins

Non-Oral Care Contribution stood at 48% in Q1FY23

Non-Oral Care revenue growth higher than Oral Care

Non-Oral Care has grown at a 15.3% CAGR over the last 12 years and continues to be the major growth driver for EPL in FY23

Non-Oral Care revenue growth higher than Oral Care

* Pharma

Established Global Leadership in Oral Care with the segment demonstrating steady longterm revenue growth at a CAGR of 10.1%

• 1. Wallet share gain with marquee global consumer companies
• 1. Market share gain from regional players in China
• 1. Partial recovery of travel and sample tubes leading to Oral care growth in Americas
• 1. Converted and commercialized two brands with sustainable Platina Tubes for biggest partner in India

New business wins - Including conversion from aluminum to laminated tubes

Strong business pipeline across the regions to deliver growth

Brazil Update

• Brazil project on track
• New entity incorporated
• Factory location finalized; lease agreement in place
• Recruitment in progress
• First commercial delivery expected by end of FY23
• Phase 1 project outlay ~ INR 1300 mn

• Q1 FY23 Highlights and Financial Performance
• Costs and Comprehensive Margin Improvement Plan
• Progress on Sustainability
• Looking Ahead
• Appendix

Product Sustainability: Offering the most sustainable packaging solutions

Commercial Leadership Staying Future Ready

• Driving Platina as the most superior 100% recyclable tube

• Plan to double Platina volumes in FY23 is on track

• Expanded range of solutions Platina Vision, Platina ME, Platina Shine, Platina PCRmax, and Platina Biomax

• Partnerships with leading customers such as Colgate, Unilever, P&G, GSK, and Hela already in place

• Highest PCR solutions

• Developing minimum weight tubes

• Alternate material tubes

• Commitment to New Plastics Economy led by Ellen MacArthur Foundation

• Founding member of India Plastics Pact

medal in Ecovadis

Process Sustainability: Be the most sustainable packaging company

'A' in Supplier Engagement

Released second edition of sustainability report; Silver

Signatory to United Nations Global Compact - world's

CDP ratings: 'B' in Climate Change and Water Security,

largest Corporate Sustainability Initiative

Where are we? Where are we heading?

• Net zero emissions by 2050; 30% reduction in emissions by 2030
• Gold medal in EcoVadis
• 'A' rating in CDP for Climate Change, Water Security, and Supplier Engagement

~ Greening Lives

People Sustainability: Corporate Social Responsibility

Our CSR vision is in alignment with the overall EPL ambition of becoming the most sustainable packaging company in the world. All CSR works are undertaken as part of People Sustainability, and all actions are a step further towards "Greening Lives" by enabling its employees, customers, communities, and all other stakeholders live sustainably.

1. Green Communities Program:

EPL donated 186 benches across 4 schools in Wada & Vasind. The benches are manufactured with plastic recycled from our factory scrap

2. Skill Development Program:

EPL is running a skill development program to train apprentices with diverse skillset thereby improving their employability

3. Community Welfare Program:

EPL is supporting the communities near our plants by strategic investments to build infrastructure for promoting health & education

Benches donated to schools

• Q1 FY23 Highlights and Financial Performance
• Costs and Comprehensive Margin Improvement Plan
• Progress on Sustainability
• Looking Ahead
• Appendix

Looking Ahead: Committed to double digit revenue growth with margin recovery

• 1 Committed to deliver double-digit revenue growth •
• 2 Comprehensive margin recovery plan, including ongoing pricing success, is expected to improve margins •
• 3 Early indication of softening of raw material prices •
• 4 Short term challenges remain due to Covid lockdowns in China, albeit with lower intensity •
• 5 Increased customer engagement on sustainability; plan to double Platina volume on track •

Our 4X4 Mantra for Growth

Purpose: To be the most sustainable packaging company in the world

Where we will win (4Cs) How we will win (4 Enablers)

• Q1 FY23 Highlights and Financial Performance
• Costs and Comprehensive Margin Improvement Plan
• Progress on Sustainability
• Looking Ahead
• Appendix

Q1FY23: Adjusted EBITDA

(INR million)

Adjustments	EBITDA	PAT1
Reported Q1FY23numbers	1,256	345
•TSA2related expenses	+40	+30
•Onetime acquisition related costs	+0	+0
•ESOP relatedcost	+40	+40
Adjusted Q1FY23 numbers	1,336	415
Reported Q1FY22numbers	1,449	579
•TSA2related expenses	+40	+30
•Onetime acquisition related costs	+3	+3
•ChinaTax refund	-	-20
•ESOP relatedcost	+11	+11
Adjusted Q1FY22 numbers	1,503	603
Like for Like Y-o-Y Growth (%)	-11.1%	-31.2%

Q1FY23 Performance – AMESA and EAP

(INR million)

	AMESA
Particulars	Q1FY23	Q1FY22	% change
Revenue	3,198	2,819	13.4%
EBITDA	634	613	3.4%
EBITDA %	19.8%	21.8%
EBIT	382	351	8.8%
EBIT %	11.9%	12.5%
	EAP
Particulars	Q1FY23	Q1FY22	% change
Revenue	1,928	2,060	-6.4%
EBITDA	374	465	-19.7%
EBITDA %	19.4%	22.6%
EBIT	247	346	-28.6%

EBITDA and EBIT is adjusted for ESOP cost for all the regions and also TSA related cost for AMESA

Q1FY23 Performance – Americas and Europe

(INR million)

		Americas
Particulars	Q1FY23	Q1FY22	% change
Revenue	1,973	1,639	20.4%
EBITDA	242	233	4.1%
EBITDA %	12.3%	14.2%
EBIT	108	124	-13.0%
EBIT %	5.5%	7.5%
	Europe
Particulars	Q1FY23	Q1FY22	% change
Revenue	1,972	1,784	10.5%
EBITDA	173	233	-25.6%
EBITDA %	8.8%	13.1%
EBIT	38	106	-64.0%

EBITDA and EBIT is adjusted for ESOP cost for all the regions.

About EPL

(Formerly known as Essel Propack Limited)

EPL: Company Overview

EPL Caters to Marquee Customers Across Trillion Dollar Categories

About EPL

EPL is the largest global specialty packaging company, manufacturing laminated plastic tubes catering to the FMCG and Pharma space. Employing over 3,366 people representing over 25 different nationalities, EPL functions in nine countries through 20 state of the art facilities, and is continuing to grow every year.

EPL is the world's largest laminated tube manufacturer with units operating across countries such as USA, Mexico, Colombia, Poland, Germany, Egypt, China, Philippines and India. These facilities cater to diverse categories that include brands in Oral Care, Beauty & Cosmetics, Pharma & Health, Food, and Home, offering customized solutions through continuously pioneering first-inclass innovationsin materials, technology and processes.

EPL (Formerly known as Essel Propack Limited) CIN : L74950MH1982PLC028947

For further information contact: Chaitali Talele chaitali.talele@eplglobal.com

(Formerly known as Essel Propack Limited)

Top Floor, Times Tower, Kamala City Senapati Bapat Marg, Lower Parel Mumbai - 400 013, India