Chemplast Sanmar Limited

rs,

November 6, 2022 BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001 Scrip Code - 543336 National Stock Exchange of India Limited Exch

19%

FY’23 CHEMPLAST SANMAR LIMITED Total Revenues Total Revenues EBITDA PAT 2,633 2,606 19% 11% 7% 3% Margin 498 ^ 293 180 • Volumes of all products witnessed an increase in

11%

CHEMPLAST SANMAR LIMITED Total Revenues Total Revenues EBITDA PAT 2,633 2,606 19% 11% 7% 3% Margin 498 ^ 293 180 • Volumes of all products witnessed an increase in H1-FY

7%

PLAST SANMAR LIMITED Total Revenues Total Revenues EBITDA PAT 2,633 2,606 19% 11% 7% 3% Margin 498 ^ 293 180 • Volumes of all products witnessed an increase in H1-FY’23

3%

SANMAR LIMITED Total Revenues Total Revenues EBITDA PAT 2,633 2,606 19% 11% 7% 3% Margin 498 ^ 293 180 • Volumes of all products witnessed an increase in H1-FY’23 compa

21%

Rs. Cr Key highlights H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 1,673 21% 8% 9% 3% 1,194 346 151 98 39 in Q2-FY’23 • In Q2-FY’23, Other Chemicals# delive

8%

Cr Key highlights H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 1,673 21% 8% 9% 3% 1,194 346 151 98 39 in Q2-FY’23 • In Q2-FY’23, Other Chemicals# delivered a

9%

y highlights H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 H1 FY’22 H1 FY’23 1,673 21% 8% 9% 3% 1,194 346 151 98 39 in Q2-FY’23 • In Q2-FY’23, Other Chemicals# delivered a 37%

37%

9% 3% 1,194 346 151 98 39 in Q2-FY’23 • In Q2-FY’23, Other Chemicals# delivered a 37% increase in revenues on y-o-y basis, primarily led by growth in terms of both volumes and prices

Rs. 132

rowth in terms of both volumes and prices of Caustic soda • Cost of Power and Fuel increased by Rs. 132 Cr and by Rs. 61 Cr as compared to H1 and Q2 of FY’22, respectively. This is mainly due to increa

Rs. 61

both volumes and prices of Caustic soda • Cost of Power and Fuel increased by Rs. 132 Cr and by Rs. 61 Cr as compared to H1 and Q2 of FY’22, respectively. This is mainly due to increase in coal and na

Rs. 115

This is mainly due to increase in coal and natural gas prices • In H1-FY’23, the company spent Rs. 115 Cr for capex. Both the Paste PVC and Custom Manufacturing expansion projects are on track • Wit

Note

6

Capacity expansion

1

Note

1. 2. 3. S-PVC – Suspension PVC ; Through its wholly owned subsidiary, Chemplast Cuddalore Vinyls Limited (“CCVL”) Through FIH Mauritius Investments Limited For significant portion of its operation 15 … with a Diversified Product Portfolio CHEMPLAST SANMAR LIMITED Chemplast Sanmar CCVL (1) Specialty Chemicals Other Chemicals Suspension PVC Specialty Paste PVC resin Custom manufacturing Caustic soda Hydrogen peroxide Chloromethanes End user industries Footwear Auto upholstery Pharma Agrochemicals Paper Textile Paper & Pulp Textile Park Pharma Irrigation Urban infra Leather Mats API Molecules Chemicals Chemicals Effluent treatment at refineries Dis- infectants Agro- Chemicals Refrigerants (HFOs) Real estate 66,000 mtpa 1,068 mtpa 119,000 mtpa 34,000(2) mtpa 35,000 mtpa 331,000 mtpa 21% 17% 62% Capacity H1 FY’23 Sales split

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1. 2. Wholly owned subsidiary of Chemplast Sanmar Ltd. The hydrogen peroxide capacity is calculated at 50% concentration level, in line with industry standards. (‘mtpa’ stands for metric tons per annum) 16 Specialty Paste PVC Resin CHEMPLAST SANMAR LIMITED Industry Overview Company Overview 143 ktpa Indian demand FY20 (1) Domestic 55% Imports 45% 9.3% CAGR (FY21-25) (1) Key growth drivers 1 1 2 High entry barriers: Licensed technology and lack of availability of raw materials Growth in the end-user industries 3 Low per capita consumption (kg, 2019) #1 manufacturer of Specialty Paste PVC resin in India 66 ktpa Installed capacity at Mettur 41 ktpa Planned capacity addition at Cuddalore by FY24 • Manufactured at Mettur facility since 1968 • Primary raw materials include VCM, EDC, ethylene and Footwear Automotive Vinyl Gloves Western Europe North America China India 0.1 0.8 0.6 4 Permanent shut down of some plants globally (~10% of total capacity closed) 5 Lack of substitutes

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1. Source : CRISIL Research ‘ktpa’ stands for kilo tons per annum 2.4 chlorine • Manufactures significant portion of EDC and all of VCM requirements in-house. This provides flexibility in operations and reduces dependence on external suppliers • High repeat business – customer stickiness 17 Custom Manufactured Chemicals CHEMPLAST SANMAR LIMITED Industry Overview Company Overview US$ 6.0 bn Indian market size FY21 (1) 9.1% CAGR (FY21-25) (1) Key growth drivers Leading player in custom manufacturing 1,068 mtpa Installed capacity at Berigai Setting up a multipurpose facility in phases Availability of skilled economic labor Surge in global food grain demand Growth in demand for drugs and hygiene products PLI Scheme for bulk drug parks Higher penetration of API manufacturing in India India to be a focus region as companies move away from China for custom manufacturing

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1. Source : CRISIL Research • Engaged in advanced custom manufacturing intermediates to global innovator companies in the agro- chemical, pharmaceutical and fine chemical end uses of • Capabilities include wide range of chemistry capabilities such as cyanation, hydrogenation and liquid purification • In-house process research, process engineering and large scale manufacturing capabilities, enables us to act as one- stop shop for manufacture of newly discovered molecules 18 Other Chemicals CHEMPLAST SANMAR LIMITED Caustic Soda Hydrogen Peroxide Chloromethanes 3.5 mn mtpa Indian demand FY21(1) 8.2% CAGR (FY21-25) (1) 282 ktpa Indian demand FY21 (1) 10.3% CAGR (FY21-25) (1) 510 ktpa Indian Demand FY21 (1) 10.1% CAGR (FY21-25) (1) Key growth drivers Key growth drivers Key growth drivers Industry Overview • Growth in paper and textile industry • Increasing demand from end user industries, especially: • Alumina – increase in refineries • Chemical industries – dyes and paints #4 manufacturer

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1. Source : CRISIL Research • Setting up of textile parks • Growth in paper & pulp industry • Effluent treatment at refineries to aid demand growth • Rapid growth in market disinfectants during COVID-19 size for manufacturer of hydrogen peroxide in South India region #1 • Hydrogen peroxide is part of downstream integration as a value added product. • Hydrogen peroxide plant is designed for a capacity of 34000 tons per year of 50 percent concentration. Production process adopted is environment-friendly. • Rapid growth in pharma industry • New generation refrigerants (HFOs) • Rising agrochemicals demand • PLI scheme to boost API and bulk drugs One of the oldest manufacturers of chloromethanes in India • Chloromethanes refers to a group of products namely, Methyl Chloride, Methylene Di Chloride, Chloroform and Carbon Tetra Chloride. 19 Suspension PVC (CCVL) CHEMPLAST SANMAR LIMITED Industry Overview Company Overview #1 manufacturer of S-PVC in South India and 2nd largest in India 331 ktpa

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1. Source : CRISIL Research 20 Legacy of Over Five Decades CHEMPLAST SANMAR LIMITED Commencement of manufacturing of PVC resins at Mettur facility Expansion of production capacity of PVC resins to 60,000 tpa Marine terminal facility and EDC Plant commissioned at Karaikal