Insecticides (India) Limited

INR 6,399.53

ommercial Complex, Delhi – 110033 Q1 FY24 – Earnings Update Revenue from Operations reported at INR 6,399.53 Mn in Q1 FY24 EBITDA stands at INR 456.48 Mn in Q1 FY24 PAT at INR 291.42 Mn in Q1 FY24 Delhi,

INR 456.48

Earnings Update Revenue from Operations reported at INR 6,399.53 Mn in Q1 FY24 EBITDA stands at INR 456.48 Mn in Q1 FY24 PAT at INR 291.42 Mn in Q1 FY24 Delhi, 10th August 2023: Insecticides (India) Limi

INR 291.42

rations reported at INR 6,399.53 Mn in Q1 FY24 EBITDA stands at INR 456.48 Mn in Q1 FY24 PAT at INR 291.42 Mn in Q1 FY24 Delhi, 10th August 2023: Insecticides (India) Limited (referred to as “IIL”, “The Co

100%

rst quarter ended on 30th June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4

80%

arter ended on 30th June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5%

60%

ended on 30th June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80%

40%

d on 30th June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60%

20%

30th June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40%

0%

June 2023 as one of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40% 20

3%

of its agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40% 20% 0% 64% 30%

31%

ts agenda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40% 20% 0% 64% 30% 55%

5%

enda. Performance Highlights Revenue Mix: 100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40% 20% 0% 64% 30% 55% 36%

“Notable Developments in Q1 FY24: • IIL launched liquid version of insecticide “Mission” that will be used in cotton, ground nut, soya bean, sugarcane, paddy and various vegetables.”

“• Capex on a new site acquired in Rajasthan will commence in early FY25.”

“The Capex will be divided into multiple phases with first phase being formulation plant and later phases will cover Biologicals and Technicals.”

“Furthermore, we are closely monitoring weather patterns and market dynamics to anticipate any potential disruptions to our business operations.”

“By staying agile and responsive, we aim to minimize the impact of external factors on our performance and maintain a sustainable growth trajectory.”

“Looking ahead, we anticipate a sustainable growth trajectory in the market driven by favourable monsoon conditions, an array of Maharatna product launches and stabilisation of prices.”

“Additionally, we are expecting to launch three herbicide Maharatna combination products under 9(3) and one insecticide Maharatna product under 9(4) in Q2 and Q3 usage will be across multiple crops.”

“We expect to further increase our registrations in upcoming years.”

Revenue Mix

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Product Freshness Index

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Financial Snapshot

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Management Comments

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Management Guidance

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Disclaimer

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Contact Details

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Revenue Mix

100% 80% 60% 40% 20% 0% Segment Mix 3% 31% 5% 29% 66% 66% 100% 4% B2C Catergory Mix 2% 4% 5% 80% 60% 40% 20% 0% 64% 30% 55% 36% Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 B2C B2B Exports Insecticides Herbicides Fungicides Biological & PGR Maharatna vs Others Region Mix 100% 80% 60% 40% 20% 0% 39% 61% 45% 55% 100% 80% 60% 40% 20% 0% 22% 35% 7% 36% 24% 32% 22% 22% Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 Maharatna Sales Other Branded Sales North East West South

Product Freshness Index

IIL through its extensive R&D capabilities is committed to developing and launching new products to meet the changing needs of the agricultural market. The below graph depicts Revenues from new products launched since FY 19 till date. Gross Revenue from New Product Launches (Rs. Millions) 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 - 4,806 - 1,492 1,203 - - - - 301 902 FY20 696 - - - - - 696 FY19 1,517 - - - 322 433 763 FY21 2,151 - - 246 486 549 870 FY22 1,347 122 532 543 892 155 2,563 924 1,076 146 140 FY23 Q1 FY24 FY- 2018-19 FY- 2019-20 FY- 2020-21 FY- 2021-22 FY- 2022-23 FY- 2023-24 *There is decline in total revenue generated from new products from FY 19-20 onwards, due to ban of product “NUVAN” by the government, whose sales revenue has been included in preceding years.

Financial Snapshot

IIL continuing on a revenue growth path despite challenges in the industry Quarterly Comparison (Rs in Millions) 7000.00 6000.00 5000.00 4000.00 3000.00 2000.00 1000.00 0.00 10.43% ₹ 6,399.53 ₹ 5,606.90 6.83% 7.13% 4.55% ₹ 584.53 ₹ 383.09 ₹ 456.48 ₹ 291.42 Q1 FY23 Q1 FY24 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% Revenue from Operations EBITDA PAT EBITDA Margin (%) PAT Margin % Consolidated Financial Statement Highlights for Q1 FY24 v/s Q1 FY23 Consolidated Income Statement *EBITDA is calculated excluding other income. Consolidated Financial Performance Comparison – Q1 FY24 v/s Q1 FY23 • Revenue from operations increased by 14.14% to ₹ 6,399.53 Mn in Q1 FY24 from ₹ 5,606.90 Mn in Q1 FY23 on account of favourable monsoon conditions and increasing share of Focused Maharatna products like Hachiman, Shinwa and Torry as a result of our step ahead go-to- market strategies. • EBITDA margins stood at 7.13% in Q1 FY24, a decrease of 329 BPS on account of liquidation of high-cost inventory fro

Management Comments

Commenting on the performance the management team of Insecticides (India) Limited stated: “We had a strong quarter to start the year in terms of revenue growth as we witnessed a robust demand for our products owing to favourable monsoon. Although there was an initial delay in rains in certain regions of the country, our widespread presence across India mitigated the impact of this factor and helped us achieve a growth of 14.14% YoY in Revenue from Operations. However, spillover impact of high-cost inventory from previous year and pricing pressure impacted EBITDA & PAT Margins which stood at 7.13% and 4.55% respectively for Q1 FY24. We took proactive measures to address the challenges by optimizing our inventory management, ensuring that we maintain a healthy stock level while minimizing the accumulation of high-cost inventory. Furthermore, we are closely monitoring weather patterns and market dynamics to anticipate any potential disruptions to our business operations. By staying agile

Management Guidance

• Management expects increase in topline by 10%-12% in FY24 driven by addition of new generation products and adding significant number of product registrations in the export market. • EBITDA Margin is expected to stay within a corridor of 9%-10%.

Disclaimer

Certain statements in this document may be forward looking statements. Such forward- looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward- looking statements. Insecticides (India) Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstance.