Sigachi Industries Limited has informed the Exchange about Investor Presentation

SIGACHI INDUSTRIES LIMITED +555 CIN: L24110TG1989PLC009497 SIGACHI AN EXCiPACT GMP, ISO 9001:2015 & FSSC 22000 CERTIFIED COMPANY www.sigachi.com Experience Excellence.. Years To, Date: 10.08.2023 The Manager The Manager BSE Limited National Stock Exchange of India Limited P.J. Towers, Dalal Street Mumbai- 400001 (BSE Scrip Code: 543389) Exchange Plaza, Bandra Kurla Complex, Bandra (E), Mumbai- 400051 (NSE Symbol: SIGACHD) Dear Sir/Madam, Sub: Earnings Presentation for Q1 FY 24 Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) 2015, and with reference to the subject cited, please find enclosed the Earnings Presentation for Q1 FY 2024 for the earnings call to be held on 11.08.2023. The same is also uploaded on the website of the Company www.sigachi.com. This is for your information and records. Thanking You, Yours faithfully For Sigachi Industries Limited Shreya Mitra Company Secretary and Compliance Officer Encl: As aboveSIGACHI e Excellen Sigachi Industries Limited Earnings Presentation Q1-FY24 3 Company Snapshot Supported by Experienced Management Team Legacy of more than 3 decades in manufacturing of cellulose-based excipient Long standing Pan India presence & Exports to more than 50 countries ( SIGACHI xperience Excellence A state-of-the-art manufacturing facilities situated in R&D Facility in Hyderabad and Dahej is Gujarat approved by DSIR and also have other 2 in- house laboratories 3 year CAGR Revenue: 29.49% EBITDA: 33.27% PAT: 29.02% Sigachi Industries Limited | 2s Company Overview SIGACHI Experience Excellence * Sigachi Industries Limited (Sigachi), incorporated in the year 1989, is one of the Revenue (INR Mn) & EBITDA Margins (%) leading manufacturers of Micro Crystalline Cellulose (MCC) in the world. 3,020 ¢ Sigachi manufactures high-quality cellulose-based excipients, — which predominantly find usage in the pharmaceutical, supplement and food industries. ¢ The company has created a niche in manufacturing highly innovative pre- formulated excipients & 60+ widely used excipients of international quality standards. ¢ With two facilities in Gujarat and two in Telangana, Sigachi ensures supply chain reliability for its customers in India and across the globe. ¢ Sigachi has a global sales and distribution network and exports to more than 50 countries across Asia, Australia, American Continent, Europe and Middle East. * From its state-of-the-art R & D facility the company ensures continuous innovation to efficiently meet evolving customer demands. ¢ The company has an agreement with Gujarat Alkalies and Chemicals Limited (“GACL’) and also with Grasim Industries(Aditya Birla Group) for operating and managing the manufacturing units owned by GACL and for contract manufacturing of sodium chlorate, stable bleaching powder and poly aluminum FY21 FY22 FY23 Q1-FY24 chloride. Sigachi Industries Limited | 3  3 Key Strengths One of the leading manufacturers of MCC in India with over 30 years’ experience: ¢ Made advancements in development of MCC and positioned as one of the key manufacturing players globally * Technical capabilities, capable R&D Division and manufacturing infrastructure, gives a first mover advantage in India Pan India and _ International market presence: ¢ A long-standing market presence in India and internationally * Exporting products to over 50 countries worldwide, including regions of US, UK, Australia, EU region, Middle East and SE Asia Comprehensive product portfolio enables to serve diverse end-use applications: * Customize the usage and application of the products to various industries including but not limited to pharmaceutical, food, nutraceuticals and cosmetics ¢ Manufacture MCC in various grades ranging from 15 microns to 250 microns Eas Presence across diverse industry verticals with long standing relationship with customers : * Customization of products based on customer specifications and requirements * Track record of consistent delivery of quality and cost-effective products and solutions through strategic alignment of key customers’ goals over the years Growth led by continuous investment and focus on R&D: Regular investments in R&D to expand the product offerings and to streamline manufacturing process °* 2 R&D Division and 2_ in-house laboratories ¢ The laboratory in the Dahej R&D Division has been approved and has received an accreditation by DSIR to undertake R&D activities Strategically located manufacturing facilities ¢ Set up 4 multi locational manufacturing units namely, Hyderabad, Sultanpur unit TG (“Unit I’), Jnagadia, Gujarat (“Unit Il’) and Dahej, Gujarat (“Unit III”) and Kurnool plant (“Unit IV”) which helps provide timely, efficient and customized delivery of the products in terms with the specific demographic needs Sigachi Industries Limited ( SIGACHI Experience Excellence Strategy going forward SIGACHI Diversifying Product Mix in Pharma: Enhancing global footprint: Manufacturing higher grades of products Increasing market share by as well as enhancing product basket by exploring untapped markets offering innovative new value-added products Increasing focus on core business Widen its horizon- Food & Nutrition are segment: integral to good health: Pushing efforts towards manufacturing Company will venture into the human MCC and its various grades for various nutritional segment, with a prime focus on industries or applications leading to B2B markets, in India and across the globe. optimum resource utilization The product portfolio will include spray- dried ingredients, micronutrient premixes and other allied products. Experience Excellence Expanding manufacturing capacites: At Dahej and Jhagadia to focus on the growing demand of MCC, setting up a new unit at Dahej to manufacture CCS Health Care Division : Capture the growing Branded Generics & OTC market and cater to the increasing health expenditure in India through launch of various products in the healthcare sector Dedicated Transformation office to oversee the Hyper growth: Enhancing customer base through marketing efforts and customizing products for various applications as per requirements of customers 5 Sigachi Industries Limited  s Q1-FY24 Consolidated Highlights SIGACHI Experience Excellence Q1-FY24 Financial Highlights Q1-FY24 Operational Highlights * Revenue growth was driven by ~10% growth in realisations and 3% growth in volumes on a YOY basis. * Company is constantly thriving to improve upon its R&D 0 INR 847 Min INR 164 Min 19.36% capabilities and cost-effective manufacturing processes and Operating Income Operating EBITDA Operating EBITDA thereby remain as a manufacturer of choice with highest Margins quality standards. 8% YoY 1% YoY (146) Bps YoY * Focus is on high margin yielding product mix and cost-effective manufacturing processes, effective management of inventory to improve EBITDA and Profitability. INR 109 Mn 12.87% INR 3.54/Share * CAPEX at Gujarat facilities for MCC to the extent of around Net Profit PAT Margins Diluted EPS 7,000 MTPA will be added by the end of Q2-FY24 which would (15)% YoY (348) Bps YoY (15)% YoY contribute to incremental revenue. Sigachi Industries Limited | 73 Quarterly Consolidated Financial Performance SIGACHI Tae eO le CIN MYLA) Operational Revenue 847 783 8.2% 724 17.0% Total Expenses 683 620 10.2% 602 13.5% EBITDA 164 163 0.6% 122 34.4% EBITDA Margin (%) 19.36% 20.82% (146) Bps 16.85% 251Bps Depreciation and amortisation 20 8 NA 20 NA Finance costs 13 5 NA 14 (7.1)% Other Income 16 16 NA 15 6.7% PBT 147 166 (11.4)% 103 42.7% Tax Expense 38 38 NA 30 26.7% PAT 109 128 (14.8)% 73 49.3% PAT Margin (%) 12.87% 16.35% (348) Bps 10.08% 279 Bps Other Comprehensive Income - (7) NA 7 NA Total Comprehensive Income 109 121 (9.9)% 80 36.3% Diluted EPS 3.54 4.17 (15.1)% 2.38 48.7% Sigachi Industries Limited | 83 Historical Consolidated Financial Performance arene Tae eO le CIN MYLA) a eel ew FY23 Q1-FY24 Operational Revenue 1,928 2,503 3,020 847 Total Expenses 1,540 1,972 2,433 683 EBITDA 388 531 587 164 EBITDA Margin (%) 20.12% 21.21% 19.43% 19.36% Depreciation and amortisation 23 29 66 20 Finance costs 13 12 43 13 Other Income 33 26 67 16 PBT 385 516 545 147 Tax Expense 82 116 109 38 PAT 303 400 436 109 PAT Margin (%) 15.72% 15.98% 14.43% 12.87% Other Comprehensive Income 1 (6) 1 - Total Comprehensive Income 304 394 437 109 Diluted EPS 13.13 15.44 14.16 3.54 Sigachi Industries Limited | 93 Historical Consolidated Balance Sheet Tae (Ol eM CIN MYLO) FY21 i PP FY23 Particulars (INR Mn) FY21 FY22 FY23 EQUITY 942 2,277 2,683 NON-CURRENT ASSETS 463 1,069 1,964 Equity Share Capital 77] 307 307 a) Property, plant and equipment 376 527 960 Other Equity 865 1,970 2,376 b) Capital work-in-progress 37 97 349 NON-CURRENT LIABILITIES 70 76 308 c) Right of Use Assets _ _ 357 a) Financial Liabilities c) Intangible assets 3 7 7 i) Borrowings 19 12 10 d) Financial assets ii) Lease Liability - - 231 i) Investments 5 5 5 b) Provisions 8 9 15 ~ j j ii) Other Financial Assets 18 351 225 c) Deferred tax liabilities (net) 43 55 52 e) Other non-current assets 27 85 164 CURRENT LIABILITIES 322 515 747 CURRENT ASSETS 871 1,799 1,774 a) Financial Liabilities a) Financial Assets i) Borrowings 183 332 395 — —___ i) Trade Receivables 358 601 802 ii) Lease Liabilities - - 41 ii) Trade Payables 30 106 508 ii) Cash and cash equivalents 159 291 137 iv) Other financial liabilities 5 6 9 iii) Bank balances other than above 21 403 190 b) Other current liabilities 43 59 94 iv) Other financial assets 100 128 69 c) Provisions 9 12 - b) Other current assets 21 71 110 TOTAL LIABILITIES 392 591 1,055 c) Inventories 212 305 466 TOTAL EQUITY AND LIABILITIES 1,334 2,868 3,738 TOTAL ASSETS 1,334 2,868 3,738 SIGACHI Experience Excellence Sigachi Industries Limited | 10 s Consolidated Financial Highlights Operational Revenue (INR Mn) EBIDTA (INR Mn) & EBITDA Margins (%) 21.21% Xperience PAT (INR Mn) & PAT Margins (%) 436 400 FY21 FY22 FY23 Q1-FY24 FY21 FY22 FY23 Q1-FY24 FY21 FY22 FY23 Q1-FY24 Net Debt to Equity (x) Cash Conversion Cycle (Days) ROCE (%) and ROE(%) e====ROE ——ROCE 0.22 117 124 39% 92 32 22% 19% 0.03 18% 16% FY21 FY23 FY21 FY22 FY23 FY21 FY22 FY23 -0.15 Sigachi Industries Limited | 11s Capital Market Information 30% Share Price Performance 10% oy 0% -10% -20% -30% Jul 22 Aug 22 Sep 22 Oct 22 Nov 22 Dec 22 Jan 23 Feb 23 Mar 23 Apr 23 May 23 Jun 23 a=—=SENSEX 9 =—==SIGACHI Shareholding Pattern as on 30% June, 2023 Market Data (INR) as on 30° June, 2023 Face Value 10.0 CMP 309.7 52 Week H/L 359.0/220.0 Market Cap (INR Mn) 9,522.49 Shares O/S (Mn) 30.7 Avg. Volume (‘000) 220.19 Sigachi Industries Limited | 12s Disclaimer SIGACHI Experience Excellence Sigachi Industries Limited Disclaimer: No representation or warranty, express or implied, is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of Sigachi Industries Limited (Sigachi), which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance or achievements of the Company or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions. Further, past performance is not necessarily indicative of future results. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forwara- looking statements to reflect future events or developments. This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. None of our securities may be offered or sold in the United States, without registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from registration there from. This presentation is confidential and may not be copied or disseminated, in whole or in part, and in any manner. Valorem Advisors Disclaimer: Valorem Advisors is an Independent Investor Relations Management Service company. This Presentation has been prepared by Valorem Advisors based on information and data which the Company considers reliable, but Valorem Advisors and 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. Valorem Advisors also hereby certifies that the directors or employees of Valorem Advisors do not own any stock in personal or company capacity of the Company under review. For further details, please feel free to contact our Investor Relations Representatives: Mr. Anuj Sonpal Valorem Advisors Tel: +91-22-4903-9500 VALOREM ADVISORS Email: sigachi@valoremadvisors.com Sigachi Industries Limited | i)