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NOCIL Ltd Investor Presentation 2019
60460_rns_2019-02-05_b4dc94bd-9ef2-4bbd-8234-81a8e95f5525.pdf
Investor Presentation
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Reg. Office: Mafatlal House, 3rd Floor, H.T. Parekh Marg, Backbay Reclamation, Churchgate, Mumbai-400 020, India. Tel.: 91 22 6657 6100, 6636 4062 Fax: 91 22 6636 4060 Website: www.nocil.com CIN: L99999MH1961PLC012003 Email: [email protected]
5th February 2019
SEC/122B
| The Secretary | The National Stock Exchange of India |
|---|---|
| The Bombay Stock Exchange Limited | Ltd. |
| "P.J. Towers" | Exchange Plaza |
| Dalal Street | Bandra Kurla Complex, |
| Mumbai-400 001 | Bandra (East) |
| Scrip Code: 500730 | Mumbai-400 051 |
| Symbol: NOCIL |
Dear Sir,
Sub: Investor Presentation
Pursuant to Regulation 30(6) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements), Regulations, 2015, we enclose herewith Investors Presentation on the Financial Highlights for the quarter and nine months ended 31st December 2018.
The aforementioned Presentation has been uploaded on the Company's website viz., www.nocil.com.
We request you to take the above on your records and acknowledge receipt.
Thanking you,
Yours faithfully, For NOCIL Limited
GUPTE VIKAS KASHINATH Digitally signed by GUPTE VIKAS KASHINATH DN: c=IN, o=Personal, 166cf2078337b262f230, postalCode=400101, st=MAHARASHTRA, 38303361633732366538323165353961653865396266653664 393861396238366231633338303939313238396137, serialNumber=781f7a2e291fa674eb6adeb7c19db4c341d405f 62a89af3633b7130a70430038, cn=GUPTE VIKAS KASHINATH Date: 2019.02.05 11:11:07 +05'30'
V. K. Gupte Company Secretary
Encl: as above
The ethics of excellence
NOCIL LIMITED
This presentation and the accompanying slides (the "Presentation"), which have been prepared by NOCIL 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 securities, and shall not form the basis or be relied on in connection with any contract or binding commitment what so ever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company.
This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded.
Certain matters discussed in this Presentation may contain statements regarding the Company's market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the industry in India and world-wide, competition, the company's ability to successfully implement its strategy, the Company's future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company's market preferences and its exposure to market risks, as well as other risks. The Company's actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections.
* Revenue from operations is net of GST/Excise duty
Value Additions** Operating EBITDA Margins PBT Margins 9MFY16 9MFY17 54% 9MFY18 9MFY19 49% 52% 56% 9MFY16 9MFY17 9MFY18 29% 9MFY19 19% 26% 22% 16% 28% 9MFY16 9MFY17 9MFY18 9MFY19 26% 21%
Revenue Analysis and Break-up
Q3FY19 – Continued uptrend in Performance
* Revenue from operations is net of GST/Excise duty **Revenue (-) cost of raw materials consumed (-) cost of traded goods (-) change in inventories
Business Overview
- Part of Arvind Mafatlal Group Expertise in Rubber Chemical Business over 4 decades
- Largest Rubber Chemicals Manufacturer in India
- Long Term Business Relationships with Tyre Majors (Both Domestic & International)
- Awarded Responsible Care Logo by Indian Chemical Council
Management Team
Mr. Hrishikesh . A. Mafatlal – Promoter & Chairman
- Executive Chairman and Promoter Director of NOCIL Ltd
- B.Com. (Hons.) & has attended the Advanced Management Programme at the Harvard Business School, USA
Mr. R. M. Gadgil - President - Marketing
- B Tech in Chemical Engineering from IIT Mumbai
- Associated with the Company in various marketing capacities for nearly 37 years
Dr. Chinmoy Nandi - Vice President (Research & Development)
- Post Graduate & Ph.D. in Science
- Associated with the company for nearly 35 years in various R&D capacities
Mr. S. R. Deo – Managing Director
- M. Tech. in Chemical Engineering from IIT Kanpur
- Associated with the company for nearly 40 years in various technical capacities
Mr. P. Srinivasan – Chief Financial Officer
- Chartered Accountant with over 30 years of experience
- Associated with the Company since 2005
Dr. Narendra Gangal – Vice President (QA, Analytical & Outsourced Research)
- Ph.D. in Analytical Chemistry with 27 years of experience
- Associated with the company since 2007
Mr. Rajendra Desai – Vice President (Operations, Corporate HR & Personnel)
- Chemical Engineer with Diploma in Management Studies
- Associated with the company for nearly 34 years
Glimpse of our Plants
Navi Mumbai Plant Dahej Plant
- Set up in 1976
- Located in Trans-Thane Creek industrial area at Navi Mumbai, Thane - Belapur's industrial zone designated for the chemical Industry, about 40 kms away from Mumbai
- State-of-the-art technology for the manufacture of the entire range of Rubber Chemicals for Tyre & other Rubber Products
- Commercialized operation in March 2013
- Located about 45 kms from Bharuch, Gujarat
- Location has synergistic Chemicals & Petrochemicals industry and excellent connectivity with Dahej & Hazira Port
- Fully automated continuous process plant developed completely with in-house technology
Our Value Proposition
Products & Product Forms 01
- Wide Range of Rubber Chemical Products
- Varied Product Forms
Sales, Marketing & Technical Service 02
- Market Responsive Approach
- Strong MTS Team to offer Technical Services
R & D and Quality Assurance 03
- Experienced, capable & innovative team of R & D scientists.
- Ultra Modern Laboratories & Pilot Plant Facilities
- Latest Analytical Instruments
ACCELERATORS
- Increase the speed of vulcanization
- Permit vulcanization to proceed at lower temperature & with greater efficiency
ANTI-DEGRADANTS/ ANTI-OXIDANTS
- This An ingredient in rubber compounds which deters the ageing or inhibits degradation due to oxygen attack of rubber products thereby enhancing service life
- Chemical compound can be used as a stabilizer in rubbers, etc.
SPECIALISED APPLICATIONS
- Pre vulcanization inhibitor, Post vulcanization stabilizer, Zinc based applications etc.
- Improves Thermal Stability of cross links in rubber products
ONE STOP SHOP With WIDE RANGE to suit MARKET REQUIREMENTS
R&D and Total Quality Management
Rubber Chemicals – Industry Trends
Extended life, Automotive & Industrial products will increase rubber processing chemical loadings
High Performance Tyres Stringent Environmental compliance
Cost increase in China leading to Better level playing field
Rising Income Levels Global Demand*
Increase in Motor vehicle ownership rates, especially in developing nations would need additional consumption of rubber processing chemicals
For Rubber processing chemicals continue to forecasted to grow around 4% - 5% for next 10 years
- Indian tyre industry may grow 7%-9% over the next 5 years backed by favourable outlook for the domestic Automotive Industry
- Domestic Tyre Industry have already committed INR 15 – 18 Bn towards
Domestic Market
CAPEX – Key Growth Driver
Non-Chinese Dependable Player
Non-Chinese Dependable & Quality Player with Committed Plans for future growth
Presence across the entire range of Rubber
Wide Range of Product
chemicals i.e. 22 product basket
Environment Friendly Processes
Continuous investments done to adopt various innovative environmental technologies for long-term sustainability
Product Testing & Validation
Approved & registered vendor with all the Major Domestic & International Tyre Players offering Technical Support to customers for Rubber Products / Process Development
Pipeline of New Generation of Rubber Chemicals
Development of Niche products using innovative technologies & Green chemistry concepts and new generation environmentally sustainable processes for growth
Entry Barrier
Customers take from 6-18 months to give approval for a specific location under specific climatic conditions & same is carried out for various locations globally
| Rs. In Crores | Q3 FY19 | Q3 FY18 | Y-o-Y | 9M FY19 | 9M FY18 | Y-o-Y |
|---|---|---|---|---|---|---|
| Net Revenue from Operations * | 261 | 249 | 4.8% | 801 | 692 | 15.8% |
| Raw Material | 117 | 115 | 356 | 319 | ||
| Value Addition ** | 144 | 134 | 6.9% | 445 | 373 | 19.4% |
| Value Addition % | 55.0% | 53.9% | 55.6% | 53.9% | ||
| Employee Expenses | 15 | 16 | 50 | 50 | ||
| Other Operating Expenses | 56 | 49 | 164 | 144 | ||
| Operating EBITDA | 73 | 70 | 4.2% | 231 | 178 | 29.7% |
| EBITDA Margin | 27.8% | 27.9% | 28.9% | 25.8% | ||
| Depreciation | 6 | 4 | 17 | 12 | ||
| Other Income | 2 | 3 | 8 | 11 | ||
| EBIT | 69 | 69 | 0.1% | 222 | 178 | 25.1% |
| EBIT Margin | 26.4% | 27.6% | 27.7% | 25.7% | ||
| Interest | 0 | 0 | 0 | 1 | ||
| Profit Before Tax | 69 | 69 | 0.5% | 222 | 177 | 25.6% |
| Tax | 24 | 24 | 74 | 59 | ||
| Net Profit | 45 | 45 | -0.7% | 148 | 118 | 26.1% |
| Net Profit Margin | 17.1% | 18.0% | 18.5% | 17.0% |
*Revenue from operations is net of GST/Excise duty **Revenue (-) cost of raw materials consumed (-) cost of traded goods (-) change in inventories
For further information, please contact:
Company : Investor Relations Advisors :
NOCIL Ltd. CIN: L99999MH1961PLC012003
Mr. P. Srinivasan - CFO [email protected]
Strategic Growth Advisors Pvt. Ltd. CIN: U74140MH2010PTC204285
Ms. Payal Dave / Ms. Neha Shroff [email protected] / [email protected] +91 9819916314 / +91 7738073466