PI Industries Limited

Nishid Solanki from CDR India. Thank you. Nishid Solanki

Good afternoon, everyone, and thank you for joining us on PI Industries Q4

20%

. There is a rich pipeline of 40-plus products at different stages or scale up, of which more than 20% are from non-agchem products. We are targeting to commercialize 6 to 7 molecules in the current fi

120 lakh

ill have as one of the most comprehensive crop protection solutions for cotton with an estimate of 120 lakh hectares under cultivation in India. An innovative nematocyst, Sectin, a broad spectrum fungicide

18%

for maximized productivity. Our business outlook remains robust and we are confident of delivering 18% to 20% growth plus continued improvements in margins. For the current fiscal, we see further risk

Rs.13,952 million

-year basis and refer to the consolidated performance. During Q4 FY22, we reported a revenue of Rs.13,952 million, a growth of 17% over the same period last year. This was driven by solid growth in export revenu

17%

solidated performance. During Q4 FY22, we reported a revenue of Rs.13,952 million, a growth of 17% over the same period last year. This was driven by solid growth in export revenues by 11% to Rs.11

11%

owth of 17% over the same period last year. This was driven by solid growth in export revenues by 11% to Rs.11,142 million and 47% gains in domestic revenue to Rs.2,810 million. I'd like to highlight

Rs.11,142 million

17% over the same period last year. This was driven by solid growth in export revenues by 11% to Rs.11,142 million and 47% gains in domestic revenue to Rs.2,810 million. I'd like to highlight here that we have gro

47%

riod last year. This was driven by solid growth in export revenues by 11% to Rs.11,142 million and 47% gains in domestic revenue to Rs.2,810 million. I'd like to highlight here that we have grown on a

Rs.2,810 million

solid growth in export revenues by 11% to Rs.11,142 million and 47% gains in domestic revenue to Rs.2,810 million. I'd like to highlight here that we have grown on a high base of last year, where the domestic rev

7%

47% in Q4 FY21 over the previous year Y-o-Y. Revenue growth of 17% was driven by price increase of 7% and balance from volume growth. The trend of elevated input costs continued during this quarter,

196 basis point

ncreasing product prices, both in exports as well as in domestic. Our gross margin increased by 196 basis points in Q4 FY22 to 44%, partially due to cost pass-through and favorable product mix, which negated th

44%

in exports as well as in domestic. Our gross margin increased by 196 basis points in Q4 FY22 to 44%, partially due to cost pass-through and favorable product mix, which negated the impact of rising

“After that, the forum will be open for question-and-answer session.”

“Given a normal forecast to the monsoon, the trend is bound to pick up as we reach the end of the summer.”

“For the current fiscal, we see further risk of raw materials increase in inflammatory trend, although it is a target to mitigate the risk by pricing optimizing product mix as well as driving operational efficiencies.”

“How is there a benchmark that you're looking at, how should we see this going forward?”

“So, just want to understand whether 18% to 20% is, because there will be a pricing led inflationary increase there as well, so this 18% to 20% how should one look at this number probably breakup of volume or realization here.”

“So depending on different scenarios, if I see overall, I think significant part of this has already been passed through, but yes there is still room and scope for passing through for the remaining products, which will happen in next quarter.”

“500 crore we are investing how many plants or any multi - purpose plants will be adding this year?”

“But, yes, it will be more than one and a half kind of MPP capacity that will create.”

“So, therefore, we are considering some brownfield projects in the current year, next year, and because there is scope for expansion at a couple of our sites, existing sites.”

“Can you sir little bit guide more toward is and how the pipeline and I think that you also mentioned that acquired 8 new products in the new agri, I mean, non-agri space, so what are these product pipelines looking and how do you see that this non-agri space going forward in next three years?”

Rajnish Sarna

14

Mayank Singhal

7

Moderator

4

Viraj Kacharia

3

Manikantan Viswanathan

2

Vishnu Kumar

2

Pratik Rangnekar

2

Chintan Modi

2

S Ramesh

2

Nishid Solanki

1

Nishid Solanki

Good afternoon, everyone, and thank you for joining us on PI Industries Q4 & FY22 earnings conference call. Today we are joined by senior members of the management team, including Mr. Mayank Singhal, Executive Vice Chairman and Managing Director; Mr. Rajnish Sarna, Joint Managing Director; Mr. Manikantan, Chief Financial Officer; Mr. Prashant Hegde, CEO, Domestic Business; and Dr. Atul Gupta, CEO - CSM Exports. We will begin the call with key perspectives from Mr. Singhal. Thereafter, we will have Mr. Manikantan, sharing his views on the financial performance of the company. After that, the forum will be open for question-and-answer session. Before we begin, I would like to underline that certain statements made on the conference call today maybe forward-looking in nature and the disclaimer to this effect has been included in the investor presentation shared with you earlier and also available on Stock Exchange website. I would now like to invest Mr. Singhal to please share his perspec

Mayank Singhal

Good afternoon, everybody, and thank you for your participation in today's call. Last year, we began with the new fiscal under the cloud of COVID second wave faced by significant operational challenges at very high infection rates in several months followed by unprecedented supply chain challenges coming from China, and finally, Russia and Ukraine conflict further adding to the chaos and resulting in rising input cost trends apart from supply chain disruptions. While with this backdrop of the overall business operation environment in 2021, I'm very pleased to report that PI team has done an excellent job and continuing its growth momentum on revenue and EBITDA during the Q4 and also for the year FY22. The expansion came in despite the challenges and high base of last year, both in domestic as well as exports, rising trends in input costs. I thank all the PI team members for the winning spirit and all our business partners for the continued support and trust in our relationship. Now, in

Manikantan Viswanathan

With that, I would like to thank all the stakeholders for their contribution and I would now like to hand it over to our CFO, Mr. Manikantan to take and share the highlights of our financial performances. Thank you, Mr. Singhal. Good afternoon, everyone, and thank you for joining us on the call today. As we summarizing the financial highlights of the company for the Q4 & FY22 ended March 31, 2022, please note that all comparison is on year-on-year basis and refer to the consolidated performance. During Q4 FY22, we reported a revenue of Rs.13,952 million, a growth of 17% over the same period last year. This was driven by solid growth in export revenues by 11% to Rs.11,142 million and 47% gains in domestic revenue to Rs.2,810 million. I'd like to highlight here that we have grown on a high base of last year, where the domestic revenues grew by 11% and export revenues increased by 47% in Q4 FY21 over the previous year Y-o-Y. Revenue growth of 17% was driven by price increase of 7% and bal