SUMICHEMNSE29 October 2022

Sumitomo Chemical India Limited has informed the Exchange about Investor Presentation

Sumitomo Chemical India Limited

SCIL/SEC/2022 29th October, 2022

To, BSE Limited, Listing Department, Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai-400001

Dear Sirs,

The National Stock Exchange of India Listing Department, Exchange Plaza, Bandra Kurla Complex Bandra East, Mumbai - 400 051

Sub: Investor Presentation on Financial Results for the Quarter and half year ended 30th September, 2022

Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure investor 2015, we Requirements) Regulations, presentation on the Financial Results of the Company for the quarter and half year ended 30th September, 2022.

herewith

enclose

Kindly do the needful to display the same on your website.

Thanking you,

Yours faithfully, For Sumitomo Chemical India Limited

Pravin D. Desai Vice President and Company Secretary

Encl: a/a

Sumitomo Chemical India Limited

Investor Presentation

October 2022

Safe Harbour

This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sumitomo Chemical India 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.

Financial Performance & Key Highlights

Performance Highlights – Quarter & YTD

Revenue (Rs Crs)

+23%

1,122

910

Gross Profit (Rs. Crs) & Gross Profit Margin (%)

+20%

355

39.0%

425

37.9%

EBITDA (Rs. Crs) & EBITDA Margin (%)

+30%

215

23.6%

278

24.8%

PAT (Rs Crs)

+31%

202

154

16.9%

18.0%

Q2FY22

Q2FY23

Q2FY22

Q2FY23

Q2FY22

Q2FY23

Q2FY22

Q2FY23

Revenue (Rs Crs)

+25%

2,107

1,692

Gross Profit (Rs. Crs) & Gross Profit Margin (%)

+21%

771

637

37.7%

EBITDA (Rs. Crs) & EBITDA Margin (%)

+28%

466

365

36.6%

21.5%

22.1%

PAT (Rs Crs)

+31%

340

260

15.4%

16.1%

H1FY22

H1FY23

H1FY22

H1FY23

H1FY22

H1FY23

H1FY22

H1FY23

Given the seasonality in the business, it is best monitored on an annual basis

New Product Launches

Company launched 3 unique proprietary 9(3) products – Sumi Blue Diamond, Pyclome and Danitol NXT during the National Level and Regional Level Trade Channel Partners’ Meeting

Performance Highlights – H1FY23

Key Highlights ✓ The country overall received 7% more rains than the long-term average during the 2022 June-

September monsoon season, however, overall trends of monsoon spread was erratic

✓ While central and southern peninsula regions received higher precipitation during the monsoon,

north-west and eastern India received deficit rainfall, impacting the kharif crop coverage

▪

As a result of uneven rains, sowing has remained mixed, with overall acreage being lower by about 1% of the normal area

✓ While the acreage under paddy, pulses and oilseed was lower for the season, cotton and coarse

cereals saw an increase in the coverage

▪

The area under paddy, which drives substantial agrochemical consumption, has dropped by 4.8% as compared to last year

✓ Rainfall in September and October 2022 has helped in enhancing the soil moisture. Good soil

moisture and water reservoir levels augur well of upcoming rabi season

✓ 3 insecticide, 1 fungicide, 1 metal phosphide and 3 PGR products launched during H1FY23

✓ There has been an uptick in exports, and recent capacity expansion investments should help

sustain this encouraging trend

✓ Given the smoothening of supply chain and lower input costs, we have started decreasing our

inventory levels to pre-Covid period

✓ We continue to focus on liquidation, cost optimization, and robust evaluation of new product

pipeline advancements as we analyze our portfolio and identify product and region gaps

Consolidated Profit & Loss Account Statement – Quarter & YTD

Particulars (Rs. Crs)

Revenue from Operations

COGS

Gross Profit

Gross Profit %

Employee Expenses

Other Operating Expenses

Operating EBITDA

EBITDA Margin

Other Income

Depreciation

EBIT

EBIT Margin

Interest

Profit Before Tax

PBT Margin

Tax

Net Profit

Net Profit Margin

Other Comprehensive Income

Total Comprehensive income for the period

Given the seasonality in the business, it is best monitored on an annual basis

1,121.7

696.7

424.9

37.9%

54.3

92.6

278.0

24.8%

10.5

15.2

273.4

24.4%

1.4

272.0

24.2%

70.5

201.5

18.0%

0.3

201.7

910.4

555.5

354.8

45.4

94.7

214.7

23.6%

7.9

10.9

211.6

23.2%

2.0

209.6

23.0%

55.4

154.2

16.9%

1.4

155.6

Q2 FY23

Q2 FY22

39.0%

-109 bps

35.1%

274 bps

YoY

23%

20%

Q1 FY23

985.5

639.2

346.4

QoQ

14%

23%

57.2

101.6

187.6

30%

48%

H1FY23

H1FY22

2,107.2

1,335.9

771.3

36.6%

111.6

194.1

465.6

1,692.4

1,055.2

637.2

37.7%

99.6

173.1

364.5

YoY

25%

21%

-105 bps

28%

121 bps

19.0%

576 bps

22.1%

21.5%

56 bps

4.7

11.2

181.0

18.4%

1.3

179.7

18.2%

41.5

138.1

14.0%

2.5

140.7

29%

113 bps

30%

123 bps

31%

102 bps

30%

51%

601 bps

51%

602 bps

46%

395 bps

43%

15.2

26.5

454.3

21.6%

2.7

451.6

21.4%

112.0

339.6

16.1%

2.8

342.4

13.3

22.0

355.8

21.0%

3.8

351.9

20.8%

92.0

260.0

15.4%

-0.4

259.6

28%

54 bps

28%

64 bps

31%

76 bps

32%

Revenue Breakup – YTD

Product Breakup

10%

11%

42%

H1FY22

10%

41%

H1FY23

2% 3% 3%

0% 1%

Geographic Breakup

1% 0%

2% 3% 3%

H1FY22

H1FY23

24%

27%

85%

81%

Insecticides

PGR

Fungicides

Herbicides

Metal Phosphides

AND & EHD*

Domestic Africa

Japan Asia (Ex. India)

Europe South America

North America Australia

Segment Breakup

Bulk & Branded

67%

70%

33%

30%

H1FY22

H1FY23

Generic

Speciality

Domestic

17%

18%

83%

82%

Exports

72%

71%

28%

29%

H1FY22

H1FY23

H1FY22

H1FY23

Bulk

Branded

* Animal Nutrition Division (AND) and Environmental Health Division (EHD)

Consolidated Balance Sheet

Investments

Assets (Rs. Crs) Non-Current Assets (A) Property, Plant and Equipment Capital work-in-progress Right to use an Asset Other Intangible Assets Intangible Assets under Development Non-Current Financial Assets (i) (ii) Loans & other financial assets Deferred tax Asset (net) Non-Current tax Assets (net) Other non-current Assets Current Assets (B) Inventories Current Financial Assets Investments (i) (ii) Trade receivables (iii) Cash and cash equivalents (iv) Bank balances other than (iii) above (v) Loans (vi) Other financial assets Other Current Assets Total Assets (A+B)

Sep-22 590.2 379.3 22.5 30.7 4.6 16.6

0.1 104.2 - 23.7 8.4

2,864.8 818.2

311.2 1,185.3 80.8 218.0 0.4 114.8 136.1 3,454.9

Mar-22 487.6 349.6 21.1 36.4 4.3 14.1

0.1 30.8 - 21.6 9.5 2,522.0 937.8

356.0 843.1 57.2 21.9 0.5 174.5 131.0 3,009.6

Equity & Liabilities (Rs. Crs)

EQUITY (A)

Equity Share Capital

Other Equity

Non-current liabilities (B)

Non-Current Financial liabilities

Lease Liabilities

Provisions

Deferred tax liabilities (net)

Non-current Tax Liabilities

Current liabilities (C)

Current Financial liabilities

(i) Borrowings

(ii) Trade Payables

(iii) Lease Liabilities

(iii) Other financial liabilities

Other current liabilities

Provisions

Current tax liabilities

Sep-22

2,219.7

499.1

1,720.6

41.6

17.2

7.3

17.1

Mar-22

1,927.2

499.1

1428.1

61.0

24.7

22.3

13.9

1,193.6

1,021.4

549.5

14.5

512.4

54.6

18.8

43.8

517.2

12.9

399.7

79.8

7.2

4.7

Total Equity & Liabilities (A+B+C)

3,454.9

3,009.6

NIL borrowings Cash, Cash Equivalents & Liquid Investments of ~Rs. 800 Crs as on 30th September 2022

1. Given the seasonality in the business, it is best monitored on an annual basis 2. Appointed date for merger of ECC and SCIL is 1st Apr’18

Consolidated Working Capital Movement

Particulars (Rs. Crs)

Inventory (A)

Sep-22*

Jun-22*

Change (Sep-22 to Jun-22)

Mar-22*

Change (Sep-22 to Mar-22)

Sep-21*

Change (Sep-22 to Sep-21)

818.2

957.8

-139.6

937.8

-119.6

650.4

167.8

Inventory Days (Inventories/ COGS* No. of days in period) (i)

110

136

179

111

Trade Receivables (B)

1,185.3

1,057.9

127.4

843.1

342.2

983.6

201.7

Trade Receivables Days (Trade Receivables / Revenue*No. of days in period) (ii)

101

100

105

Trade Payables (C)

549.5

648.8

-99.3

517.2

32.3

561.3

-11.8

Trade Payables Days (Trade Payables/ COGS*No. of days in period) (iii)

Other Financial Liabilities (D)

512.4

489.3

23.1

399.7

112.7

451.0

61.4

Other Financial Liabilities Days (Other Current Liabilities / Revenue*No. of days in period) (iv)

Net Working Capital (A+B-C-D)

Net Working Capital Days (i + ii – iii – iv)

Key Highlights

941.6

877.6

64.0

864.0

77.6

621.7

319.9

133

✓ Maintained lower inventory as compared to previous 2 quarters on back of smoothening of input supply chain channels and decrease in input cost

✓ Focused efforts towards improving collections - Collection during H1 FY23 of ~Rs. 2,131 crores as compared to Rs. 1,875 crores during H1 FY22, increased by 14% yoy

✓ Cash, Cash Equivalents and Liquid investments of ~Rs. 800 crores as on 30th September 2022

Given the seasonality in the business, it is best monitored on an annual basis * No. of Days in period: Sep-22 – 92 days, Jun-22 – 91 days, Mar-22 – 365 days, Sep-21 – 92 days

Consolidated Cash Flow Statement

Cash Flow Statement (Rs. Crs)

Net Profit Before Tax

Adjustments for: Non-Cash Items / Other Investment or Financial Items

Operating profit before working capital changes

Changes in working capital

Cash generated from Operations

Direct taxes paid (net of refund)

Net Cash from Operating Activities

Net Cash from Investing Activities

Net Cash from Financing Activities

Net Increase /(Decrease) in Cash and Cash equivalents

Add: Cash & Cash equivalents at the beginning of the period

Cash & Cash equivalents at the end of the period

Year ended 30-Sep-22

Year ended 30-Sep-21

451.6

34.5

486.1

-105.6

380.5

72.7

307.8

-223.2

-61.0

23.5

57.2

80.8

351.9

23.0

375.0

41.5

416.4

56.1

360.3

-417.8

-51.9

-109.4

213.3

103.9

1. Given the seasonality in the business, it is best monitored on an annual basis since a significant portion of revenue & PAT is recorded in the first half of the year

Sumitomo Chemical Company Limited, Japan

- An Overview

Overview of our Parent Company

About Sumitomo

✓ Sumitomo started business in Japan in early 16th Century (400 years+)

✓ Currently several Sumitomo founded companies operate as independent listed companies with widespread shareholding and run by its professional boards

✓ Even today, all Sumitomo companies continue to follow basic business philosophy and ethical practices of Sumitomo

About Sumitomo Chemical Company Limited, Japan (SCC)

✓ SCC was founded in 1913 and undertakes several chemical related businesses as an independent listed company

✓ SCC is a leading Japanese research driven diversified chemical company listed on the Tokyo Stock Exchange with consolidated sales revenue of more than US$ 22.5 bn

✓ Offers diverse range of products globally in 5 business sectors: petrochemicals, energy and functional materials, IT-related chemicals and materials, pharmaceuticals and health and

crop sciences sector;

✓ Follow principles of ‘JIRI – RITA’ which means balance between society benefits and corporate profits; Sustainability is very high priority and SCC received Ecovadis Gold rating

✓ SCC holds 12,600+ Patents of which ~34% are in Health & Crop Science

SCC’s Health and Crop Science Sector - Undivided Focus for Leadership in India

✓ Health & Crop Sciences Sector – Revenue of more than US$ 3.8 bn ✓ Leading R&D spenders globally among agro-solution players ✓ Strong pipeline of Agro-Solutions and Environmental Health products with very high business potential of ~US$1.4 -$1.8 bn ✓ SCC recently acquired Nufram’s distribution in Latin America thereby gaining leadership position in Latin America Generics Market Segment ✓ SCIL is flagship entity of SCC group focusing on high potential Indian market; only TG grade manufacturing site outside Japan and part of SCC’s growth strategy ✓ SCC is proud of SCIL’s achievement so far and confident of its growth potential ✓ SCC will continue to support SCIL to achieve market leadership position in Indian market

Sumitomo Chemical India Ltd.

- Company Overview

SCIL - Vision & Mission

Journey to 13x Growth in India

Formidable Player in the Indian Agrochemicals Space

Diversified & De-risked Portfolio Across the Agro-Chem Value Chain

Strong Brand and Well- Entrenched Distribution Network

Strategically Located Manufacturing Facilities

Strong Focus on R&D, Process Innovation and Safety, Health and Environment (SHE)

Autonomous Board with Vast Industry Experience

Growth Strategies

SCIL - Vision & Mission

Vision & Values

Vision:

• To be a trusted market leader in Indian crop-

protection sector

• To develop a vibrant corporate culture

• Endeavor to achieve success and sustainability

through innovation & excellence

Core Values:

•

Innovation

• Excellence

•

Integrity

• Respect & value all stakeholders

• Customer focus

• People focus

•

Sustainability

Mission Marketing and Sales:

•

Further penetration into Indian market & take leadership; expand exports

Strengthen Sales Force, Distribution and Product Portfolio

Manufacturing:

Supplying the most competitive products with safe and stable operation and meet demand

Strengthen Procurement Power

• Expand Manufacturing Functions

Management & Support:

• Establishing the most efficient organization to

support business growth and alignment with SCC

• Develop administrative efficiency while ensuring

internal controls

•

Full & Strict Compliances

• Value Creation for all stakeholders

Journey to 13x Growth in India in last 12 years

Exploration Phase: 2000 – 2010

2000

Manufacturing JV with New Chemi

2002

Started EHD (Public Health) business

2005

Acquired product - ‘Sulfosulfuron’ Leader rights from Monsanto

2010

SCIL incorporated in India as EHD (HHI) distribution company

2001

Started ASD business

2003

Acquired EHD (HHI) unit from Bayer Vapi

2006

Started Animal Nutrition

Sales ~ INR 2 Bn

Robust growth driven by Organic & In-organic expansion

Aggressive Growth Phase : 2011 – 2021

1st full year of operations

SCIL 2.0 – Getting ready for next growth phase

Acquisition of New Chemi and integration with SCIL

Setting-up new organization, control system, PCO function and innovative sales team

Acquisition of Excel Crop Care

11%

11.4

6.9

4.5

12.7

7.8

4.9

16.3

9.8

6.5

17.4

10.3

7.1

16.9

9.0

7.9

18.2

9.7

8.5

19.4#

11.9

9.0

Rs. Bn

ECC SCIL

9.5

7.2

2.3 FY10-11

24.2

26.4

30.6

Merger completion

22.2#

13.2

10.0

FY11-12

FY12-13

FY13-14

FY14-15

FY15-16

FY16-17

FY17-18

FY18-19

FY19-20

FY20-21

FY21-22

# Inter-company transactions are eliminated. Other operating income is included HHI – Household Insecticides

Formidable Player in the Indian Agrochemicals Space

5 Manufacturing Facilities

14 Technical Actives

16,000+ Direct Distributors & 60+ Depots Product Name Glyphosate

s t c u d o r P y e K

Profenophos

Dantotsu

Tebuconazole

Progibb

Aluminum Phosphide

Chlorpyriphos

DL-Methionine

Grown 13X+* over FY11-22

Rs. Bn

13X

30.6

200+ 700+ Brands SKUs

25+ / 200+ Patents / Registrations

1,750+ Employees

Product Category Herbicide

Insecticide

Insecticides

Fungicides

Indicative Use Tea Gardens, non-cropped

Cotton, Soya bean

Vegetables

Wheat, Soya bean, Chilli

Plant Growth Regulator

Citrus Fruits

Fumigant

Insecticide

Warehousing of Food Grains

Paddy, Beans, Gram

Animal Nutrition

Poultry

2.3

FY11

FY22

*On an organic basis, grown 6X+

Diversified & De-risked Portfolio Across the Agro-Chem Value Chain

Well-Diversified across multiple dimensions

Business Segments

Products

Geographies

Customers

Crops Served

Diversified Portfolio Across Segments

Geographic Diversification with Exports to over 60 countries

Insecticides

Herbicides

PGR

Metal Phosphides

Fungicides

AND & EHD

11%

43%

FY22

21%

Generics

Speciality

30%

Domestic 78%

70%

FY22

Exports 22%

45%

10%

17%

Australia

North America

South America

Europe

Asia (Ex. India)

Japan

Africa

18%

✓ Greater focus on high growth, stable and high profitable segments such as Herbicides, PGR,

Bio-rational products

✓ Increasing contribution from PGR segment and offerings for both Kharif and Rabi crops to

reduce seasonality in the business

✓ Top 10 products contributes less than 45% of Total Revenue

✓ No product / molecule contributes more than 16% of Total Revenue

✓ Diversified across key crops - Concentrated efforts now on fruits & vegetables, paddy and other high

✓ One of the highest proportion of environmentally-friendly products in the Industry

growth segments

Strong Brand and Well-Entrenched Distribution Network

✓ Strong brand with market leading position across various product categories

✓ Dual brand portfolio can offer products at all price points serving multiple

customer sub-segments

23 States

60+ Depots

✓ In-depth knowledge of own research products, proven go-to-market strategy and deep farmer connect facilitates launch of Speciality products

16,000+ Distributors

✓ On-field demonstration of products, training of farmers in using the products,

building awareness among stakeholders in relation to the products

✓ Pan-India distribution network ensures strong presence with both

retailers and farmers and on-time feedback mechanism

✓ Scale and diversity of product offerings lead to superior bargaining power

with distributors and provides one-stop solution for farmers

✓ Expanded teams for strategic marketing, demand generation, product

development and regulatory affairs to focus on future growth

~40,000 Dealers

~600 Sales Team

4.4 million+ Farmer Connect through 1,500+ Field / Market Development Officers

Domestic

21%

Bulk & Branded Contribution (FY22)

76%

Exports

79%

Bulk

Branded

24%

Expanding Brand Visibility and Connect

✓ Wide range of generics and speciality products for Increased crop presence and providing crop

protection solutions

✓ More than 1,500+ Relationship managers connecting to 4.4 million+ farmers throughout crop cycle

✓ Over 200 brands covering maximum of crops and pest segments

✓ 16,000+ distributors, 40,000+ dealers and 60 Depots help in expanding brand visibility and connect

✓ More than 600+ Qualified and skilled managers in Sales, Marketing and customer support

✓ Company with 20+ mega brands with high brand recall

✓ Healthy geographical Brand coverage throughout India including North East and J&K

✓ Optimum use of advertising media with increased Digital Platforms presence

Digital Marketing Initiatives

Develop “Digital Marketing” as a parallel support to Traditional marketing system leading to improved sales.

✓ Our Digital Assets : 23 websites, engaged with 17.2 million consumers in 2021-22.

YouTube - Advantage

More than 31,000 subscribers

http://www.danitolindia.com/

http://www.naturedeep.in/

Conducted 100s of YouTube, Facebook, Google, Zoom Video Live sessions in 2021-22

http://danzapower.com/

http://www.vidyutindia.com/

✓ Successful campaign to introduce the QR codes of http://www.sumitomoproducts.com/ to the

retailers and farmers.

✓ Video based campaigns

to increase awareness among farmers and disseminate information on

necessary precautions to stop the spread of COVID 19.

15 Digital Launch programs of Taboli across India to introduce the product to distributors & retailers

✓ More than 5,000 downloads ✓ Rating – 4.5

Digital transformation & SAP Implementation

Earlier SCIL was using different SAP platforms in different parts of business. From April 2021, SCIL has completed implementation of an integrated SAP SH4 HANA system across the entity including several additional modules

Common SAP system across the entity and greater use of technology will enable greater integration, efficiencies & synergies across the organization and expected to provide long term benefits

SCIL plans to carry forward digital transformation journey across all areas with deployment of various value-added modules and systems including ‘SAP Integrated Business Planning’, ‘SAP Analytics Cloud’, ‘QR ‘Code Printing System’, ‘Adoption of Drone Technologies’ and various digital interfaces to reach out to distribution channel & farmers and provide them timely information

Strategically Located Manufacturing Facilities

Connectivity to Major Cities and Proximity to Main Highways, Ports Reduces Logistic Time and Costs

Plant Location

Area (acres) Segment Served

Product Manufactured

Bhavnagar

~58

Gajod

~120

Tarapur

Vapi

Silvassa

Gujarat

Maharashtra

Gajod

Bhavnagar

Tarapur

Silvassa

Vapi

Mumbai – Head Office

5 Manufacturing Plants

4 Branches & 68 Depots Pan India

Manufacturing of Technical Grade Pesticides and Formulations Production and manufacturing of Metal Phosphides, Sulphur WDG and other WDG formulations Production and manufacturing of Active Ingredients

Formulation & Packaging

Formulation of Glyphosate and Other Speciality Products

Technical Grade Products: Chlorpyriphos, Profenophos, Glyphosate, Tebuconazole Tech, Quinalphos, Imidacloprid, Thiacloprid, Acetamiprid, Byspyribac Sodium, Fluroxypyr, Aluminium Phosphide, Zinc Phosphide, Sulphur WDG, Fenpropathrin

Formulations for above TG products and several other speciality and generic products

• Overall Optimal capacity utilization generally • Continues investments to enhance capacity as per the forecasted

demand (similar to the trends followed in past)

• Recently acquired additional land at Dahej and Bhavnagar for future

projects

Maps not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness

Capex Plans

Regular Capex Rs. 70-75 crore p.a.

Maintenance capex

Additional Capex Rs. 120 crore over 2 years for 5 products

To manufacture additional proprietary technical grade active ingredients products for our parent company SCC Japan and our global affiliates

Research & Development

Indian R&D team is working on manufacturing several off-patent products for Domestic as well as Exports to global affiliates including high growth regions such as Latin America, Africa and Asia Pacific which will entail additional capex and is under evaluation

Capacity enhancements for existing products in line with projected demand

5 products have been approved in-principle for supply to SCC and several others are in pipeline

Infrastructure enhancements for supporting future growth

Projects are being set-up at our existing sites. Target commercialization over next 1 year

Efficiency improvement projects and safety enhancement

Revenue potential of these 5 products on the above capex is Rs. 200 crore to Rs. 250 crore p.a.

Sustainability initiatives, full compliance with environmental norms & renewable energy projects

Estimated margins are in line with current margins earned by SCIL for similar projects

Future Expansion Plans

Signed and registered agreements additional expected to be completed soon

to buy 2 land parcels and transfer process is

• ~20 acre privately owned land parcel adjoining our

existing Bhavnagar site

• ~50 acre privately owned land parcel at a prime

location at Dahej within PCPIR Zone

Trials and registrations for future pipeline products

These products have growing global demand. Potential to add further capacities and additional products in medium to long term

One project for a very important global proprietary product began commercial production recently and the second project involving multiple products is expected to begin commercial production in Q1 FY23-24

Strong Focus on R&D and Process Innovation

End-to-End Product Development Capabilities

✓ 3 fully equipped, DSIR approved R&D labs located at Mumbai, Bhavnagar and Gajod capable of synthesis, technical product and formulation development

✓ R&D Team comprises of 75+ qualified and dedicated engineers & scientists

of which 10+ are PhDs with more than 15 years of Experience

✓ 25+ patents granted across various geographies; 9 applications filed

✓ Product Pipeline

▪ Multiple products coming from initiatives

▪ Global Speciality Proprietary products to be launched in India

▪ New combination

products

pre-mixtures

currently

under

development for domestic and exports

▪ Off-patent products under development for domestic and exports

▪ Technical products approved for manufacturing and exports

✓ R&D facilities to gain capability for creating new processes and new combinations using SCC Japan’s chemistries which would help improve production processes and efficiency

D E V E L O P M E N T

F O R M U L A T I O N

Thrust on Safety, Health and Environment (SHE)

Quality Certifications Ensure Consistent product quality and healthy working environment at manufacturing sites

Abiding by SCC Japan’s EHS Policies

ISO:9001:2015, ISO-14001:2015 and OHSAS18001:2007 for the manufacturing sites at Bhavnagar, Gajod, Tarapur and Silvassa; ISO:9001:2015 at Vapi

A8000 Certification for Social Accountability in Bhavnagar and Gajod

Dr. Vikram Sarabhai award for developing green technology from department of Science and Technology, Government of Gujarat

Efforts focused on reducing effluent load and effluent treatment cost, for staying innovative and competitive in the market

The quality of the products is maintained and upgraded to the applicable national and international standards through rigorous pursuit of Six Sigma initiative

Focused on energy conservation and energy cost reduction: 50% of total power requirement through wind and solar power generation plants

Expanding solar power plant capacity in line with towards green energy would also help in reducing dependence on outsourced power as well as in energy cost reduction

3R Principle: Recovery – Recycle – Reuse

Safety audit, training programmes and other safety management processes and programmes are carried out/conducted at regular intervals

All the manufacturing and warehousing sites of the Company are covered by safety audit

Certificates of appreciation received ten times from jointly by Gujarat Safety Council and Dish

Government of Gujarat for achieving 10 lakh accident free man-hours

Certificates of merits received from jointly by Gujarat Safety Council and Dish Government of Gujarat for achieving 20 lakh accident free man-hours

Certificates of honour received two times jointly by Gujarat Safety Council and Dish Government of Gujarat for achieving 30 lakh accident free man- hours

Focus on purity, quality and timely delivery of products to the customer

Awards & Accolades

Jamnalal Bajaj Award for “Fair Business and Practices”

First ever president’s gold shield for import substitution

First award for export of organic and inorganic chemicals

ICMA award for innovation and purposeful programs for social progress

First Sir P.C. Ray award for development of products and process with indigenous technology

Punjab Haryana Delhi Chamber of Commerce and Industries award for ethical business

Winner active ingredient trophy and certificate from M/s. Bayer

Trishul award for the excellent performance for exports in international markets

Global CSR award from SCC for one of our Integrated Village Development Programme

Shramveer award for improvement of product efficiency received from national level Delhi

Vishwakarma Rashtriya Puraskar received for process development

National Safety Award by Labour Ministry, Government of India for safety performance

Shramveer Award to employees from Labour Ministry, state level received six times

Shram Bhushan Award to employees received five times

Shram Ratna to employees, received seven times

Shram Shri award to employees received three times

Gujarat State Safety Certificate for safety commitment

CSR Award from Federation of Gujarat Industries

Autonomous Board with Vast Industry Experience

Dr. Mukul Govindji Asher Chairman and Independent Director

▪ Professorial Fellow at Lee Kuan Yew School of Public Policy at

the National University of Singapore

▪ Advisor to Govts in Asia on tax policy & pension reforms; and to institutions including IMF, Asian Development

multi-lateral Bank, PFRDA of India, Govt of Gujarat, & World Bank

▪ Member of the panel to review Crawford School of Public Policy

at Australian National University

Bhupendranath Bhargava Independent Non-executive Director

▪ Experience of over 50 years in areas including banking,

project financing and credit rating

▪ Held directorship in several leading corporates and was on the advisory board of an independent regulatory body set up India to work on reforms in by the Government of telecommunications sector

Preeti Gautam Mehta Independent Non-executive Director

▪ 30 years of experience in corporate laws, foreign investment and collaborations, mergers and acquisitions and private equity investments, banking, franchising and hospitality

Ninad Dwarkanath Gupte Non-executive Director

▪ Experience of 43 years in management of companies operating in industrial chemicals &

fine chemicals, performance chemicals, agrochemicals

▪ Held senior positions at Excel

Industries, BASF India, Herdillia Chemicals and worked as MD of Cheminova India and Agrocel Industries and as Joint MD of Excel Crop Care

Autonomous Board with Vast Industry Experience

Hiroyoshi Mukai Non-executive Director

▪ Associated with Sumitomo Chemical

Group for over 30 years

▪ Holds a bachelor’s degree from the

University of Osaka, Japan

Tadashi Katayama Non-executive Director

▪ MBA from Vanderbilt University, U.S.A. and a Master’s degree from Kyoto University in Japan

▪ Associated with Sumitomo Chemical, Japan since 1992 in the Health and Crop Science business unit in various positions

Masanori Uzawa Non-executive Director

▪ MBA from University of Virginia, USA and a Bachelor’s degree from the University of Tokyo in Japan

▪ Associated with Sumitomo Chemical, Japan and has experience of over 19 years in the areas of strategy, planning crop and business development protection & other chemical businesses.

for

Chetan Shantilal Shah Managing Director

▪ Commerce graduate from the University of Mumbai and holds a master’s degree in Business Administration from North Rope University in the USA

▪ Over 43 years of industry experience in various leadership

and senior management roles

Sushil Champaklal Marfatia Executive Director

▪ Chartered Accountant with over 42 years of

industry

experience

▪ Worked with New Chemi Industries Limited for 33 years

which was later merged with the Company

Board is supported by a strong and experienced management team associated with Company since long

Growth Strategies

Continued Investment in R&D and Pipeline

Capacity Expansion

• Aim to invest in seamless integration of R&D between SCIL and SCC units which would help improve our production processes, enhancing yields and efficiency Introduce new products as per market demand

•

• Driving operational efficiencies maintaining highest

safety

•

standards and Responsible Care compliances Invest ~15% of consolidated EBITDA every year for upgradation of manufacturing facilities and capacity expansion to cater to strong domestic/global demand

Further Brand Development

Product Pipeline

Expand Export Business

•

Investments for marketing of new and existing products and brands

• On-field

training

demonstrations,

of farmers for building ground-level demand generation supported by digital marketing new Extraordinary product launches underway

preparations

for

•

• Multiple products coming from initiatives • Global Speciality Proprietary products to be

•

launched in India

• New combination products / pre-mixtures currently under development for domestic and exports

• Off-patent products under development

•

for domestic and exports Technical products for manufacturing and exports

Enhance exports in regions like Africa Leverage SCC’s Global supply chain and marketing network to drive exports in Latin America, Asia and Europe

Achieving Market Leadership in India

▪

Balanced portfolio of generic and speciality products

Consolidate position as best agro-chemical marketer in India

Strive for manufacturing excellence

Set-up a strong management & team

Lay the foundation for next generation leadership

Leverage expertise in successful product launches and capacity expansions to fuel future growth

Financial Performance & Key Takeaways

Historical Performance Highlights

Key Takeaways

Historical Performance Highlights

Revenue (Rs Crs)

EBITDA (Rs. Crs) & EBITDA Margin (%)

PAT (Rs Crs)

+13%

2,425

3,065

2,645

2,228

1,913

600

487

+29%

333

291

217

11.3%

13.0%

13.7%

18.4%

19.6%

+31%

345

424

145

166

205

FY18*

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

Networth (Rs Crs)

RoCE (%)^

Net Working Capital Days

1,927

+19%

1,222

1,541

954

1,048

23.2%

25.3%

24.8%

29.8%

30.2%

119

131

115

104

133

FY18

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

1. Given the seasonality in the business, it is best monitored on an annual basis since a significate portion of revenue & PAT is recorded in the first half of the year 2. Appointed date for merger of ECC and SCIL is 1st Apr’18 *Revenue is Net of Excise Duty.

^ ROCE – {EBIT/ (Net Worth + Borrowings)}

Consolidated Profit & Loss Account Statement

Particulars (Rs. Crs) Net Revenue from Operations COGS Gross Profit Gross Profit % Employee Expenses Other Operating Expenses Operating EBITDA EBITDA Margin Other Income Depreciation EBIT EBIT Margin Interest Profit Before Tax & Exceptional Exceptional Item Gain / (Loss)** Profit Before Tax PBT Margin Tax Net Profit Net Profit Margin Other Comprehensive Income Total Comprehensive income for the period EPS

FY22 3,064.6 1,908.0 1,156.6 37.7% 202.0 354.7 599.9 19.6% 26.8 44.8 581.9 19.0% 6.2 575.7 0.0 575.7 18.8% 152.2 423.5 13.8% 2.4 425.9

8.5

FY21 2,644.9 1,655.4 989.5 37.4% 194.3 308.4 486.9 18.4% 18.6 46.6 458.9 17.3% 5.6 453.3 - 453.3 17.1% 107.9 345.4 13.1% 1.6 347.0

6.9

FY20 2,424.8 1,607.6 817.2 33.7% 179.3 304.7 333.2 13.7% 10.7 41.0 302.9 12.5% 5.5 297.4 -30.9 266.5 11.0% 61.8 204.7 8.4% -5.1 199.6 4.1

FY19 2,228.4 1,458.9 769.6 34.5% 158.4 320.5 290.7 13.0% 7.6 27.8 270.5 12.1% 3.7 266.8 -7.0 259.8 11.7% 94.0 165.8 7.4% 0.1 165.9 3.3

FY18 1,912.9* 1,238.7 674.2 35.2% 147.5 309.6 217.1 11.3% 30.5 23.7 223.8 11.7% 2.8 221.0 - 221.0 11.6% 75.8 145.1 7.6% 5.1 150.2 2.9

1. Given the seasonality in the business, it is best monitored on an annual basis 2. Appointed date for merger of ECC and SCIL is 1st Apr’18 * Revenue net of Excise Duty; ** Merger expenses

Consolidated Balance Sheet

Investments

Mar-22 Mar-21 Mar-20 Mar-19 Mar-18 487.6 312.7 360.6 349.6 282.9 264.8 21.1 6.5 4.5 36.4 34.9 - 4.3 1.7 1.9 14.1 3.8 4.3

365.7 277.6 4.3 31.1 0.6 10.0

318.3 277.2 3.2 - 2.1 4.9

0.1 30.8 - 21.6 9.5

0.1 6.0 - 18.5 17.6 2,522.0 2,304.3 1,745.6 588.0 754.4 937.8

0.1 5.3 1.1 20.2 4.2

356.02 843.13 57.25 21.88 0.47 174.50 131.03 3,009.6

290.2 848.2 213.3 28.8 7.7 11.4 150.3 2,670.1

86.0 849.8 92.6 0.9 7.9 21.8 98.6 2,106.2

0.1 7.6 - 18.8 4.4 1,541.7 680.6

- 671.0 50.5 0.9 5.1 15.8 117.8 1,860.0

0.1 7.3 - 24.8 5.1 1,345.7 609.3

- 551.8 73.5 0.8 3.7 10.4 96.3 1,658.4

Equity & Liabilities (Rs. Crs)

Mar-22 Mar-21 Mar-20 Mar-19 Mar-18

EQUITY (A)

Equity Share Capital

Other Equity

1,927.2

1,541.3

1,221.8

1,048.4

499.1

1428.1

1,042.2

Non-Current liabilities (B)

61.0

49.6

Non-current Financial liabilities

Lease Liabilities

Provisions

Deferred tax liabilities (net)

Non-current Tax Liabilities

24.7

22.3

13.9

15.3

29.2

5.0

499.1

722.6

44.5

19.4

25.1

274.6

773.8

30.2

15.6

14.6

954.0

274.6

679.4

32.5

12.7

18.1

1.7

Current liabilities (C)

1,021.4

1,079.2

839.9

781.3

671.9

Current Financial liabilities

(i) Borrowings

(ii) Trade Payables

(iii) Lease Liabilities

(iii) Other financial liabilities

Other current liabilities

Provisions

Current tax liabilities

19.7

517.2

598.3

490.9

480.8

12.9

399.7

79.8

7.2

4.7

17.3

349.8

108.2

5.6

0.0

16.2

235.4

179.2

80.2

9.7

7.4

87.2

2.5

12.0

10.1

527.3

55.6

70.1

2.3

6.6

Total Equity & Liabilities (A+B+C)

3,009.6

2,670.1

2,106.2

1,860.0

1,658.4

NIL borrowings Cash, Cash Equivalents & Liquid Investments of ~Rs. 599 Crs as on 31st March 2022

1. Given the seasonality in the business, it is best monitored on an annual basis 2. Appointed date for merger of ECC and SCIL is 1st Apr’18

Consolidated Working Capital Movement

Particulars (Rs. Crs)

Inventory (A)

Inventory Days (Inventories/ COGS*365) (i)

Trade Receivables (B)

Trade Receivables Days (Trade Receivables / Revenue*365) (ii)

Trade Payables (C)

Trade Payables Days (Trade Payables/ COGS*365) (iii)

Other Financial Liabilities (D)

Other Financial Liabilities Days (Other Current Liabilities / Revenue*365) (iv)

Net Working Capital (A+B-C-D)

Net Working Capital Days (i + ii – iii – iv)

Mar-22

Mar-21

Mar-20

Mar-19

937.8

179

843.1

100

517.2

399.7

864.0

133

754.4

166

848.2

117

598.3

132

349.8

654.5

103

588.0

134

849.8

128

490.9

111

235.4

711.4

115

680.6

170

671.0

110

480.8

120

179.2

691.6

131

1. Given the seasonality in the business, it is best monitored on an annual basis 2. Appointed date for merger of ECC and SCIL is 1st Apr’18

Consolidated Cash Flow Statement

Particulars (Rs. Crs)

Net Profit Before Tax

Adjustments for: Non-Cash Items / Other Investment or Financial Items

Operating profit before working capital changes

Changes in working capital

Cash generated from Operations

Direct taxes paid (net of refund)

Net Cash from Operating Activities

Year ended 31-Mar-22

Year ended 31-Mar-21

Year ended 31-Mar-20

Year ended 31-Mar19

Year ended 31-Mar-18

575.7

46.3

622.0

-257.6

364.4

142.6

221.8

453.3

54.5

507.8

25.6

533.4

107.9

425.4

266.5

45.7

312.2

-9.4

302.8

81.4

221.4

259.8

18.6

278.5

-112.7

165.8

88.1

77.7

221.0

9.6

230.6

-100.0

130.6

83.1

47.4

Net Cash from Investing Activities

-290.2

-282.7

-117.9

-35.3

-39.6

Net Cash from Financing Activities

-62.6

-47.1

-61.4

-65.4

7.2

Net Increase /(Decrease) in Cash and Cash equivalents

Add: Cash & Cash equivalents at the beginning of the period

Cash & Cash equivalents at the end of the period

-131.1

188.3

57.2

95.7

92.6

188.3

42.2

50.5

92.6

-23.1

73.5

50.5

15.0

58.6

73.6

1. Given the seasonality in the business, it is best monitored on an annual basis since a significant portion of revenue & PAT is recorded in the first half of the year 2. Appointed date for merger of ECC and SCIL is 1st Apr’18

Key Takeaways

Formidable Player in the Indian Agro-chem Space

Experienced Management Team and Board of Directors

Well-diversified Product Portfolio Across Agro-Chem Value Chain

Strong Brand and Well-Entrenched Distribution Network

▪ Strong / leadership position across

products and processes

▪ Ability to develop new combination products (9 under registrations and additional under development)

▪ Strong

management

autonomous experience and domain expertise

Board with

and vast

▪ Localized experience enables better understanding of market needs to drive growth

▪ Multi-product,

multi-geography,

multi-customer de-risking

▪ 23 states, 60+ depots, 16,000+ distributors, 40,000+ dealer network

▪ Access to an impressive range of own actives along with significant speciality exposure towards product products offerings at all price points serving multiple customers sub-segment

resulting

▪ High credibility and brand recall amongst famers and the trade on account of transparent and ethical business dealings

To Benefit from Strong Parentage of SCC Japan

State-of-the-art Manufacturing and R&D Facilities

Strong Track Record of Driving Growth

▪ Benefits from international standing of SCC Japan; most well revered brand renowned for its quality

▪ Access to SCC’s global supply chain and global R&D activities (one of the in largest development of actives and broad range of formulation research

spenders)

resulting

▪ Operates

five

manufacturing facilities with state-of-the-art plants at strategic location which helps reduce logistic time and costs

▪ Capacity not a constraint allowing for significant growth on existing investments

▪ Holds 27 patents and further 9

applications filed

▪ Grown 13X over FY11-22 driven by organic and inorganic expansion; entity 11% CAGR (including Excel Crop Care) over the same period

for merged

▪ Debt free balance sheet with strong

return ratios

Annexures

Glance of various events to bring people together

For further information, please contact:

Company :

Investor Relations Advisors :

Sumitomo Chemical India Limited

Strategic Growth Advisors Pvt. Ltd.

CIN: L24110MH2000PLC124224

CIN: U74140MH2010PTC204285

investor.relations@sumichem.co.in

Mr. Jigar Kavaiya / Mr. Parin Narichania +91 99206 02034 / +91 99300 25733 jigar.kavaiya@sgapl.net / parin.n@sgapl.net

www.sgapl.net

For further information, kindly visit our new website www.sumichem.co.in

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