Yasho Industries Limited has informed the Exchange about Investor Presentation
Date: October 31, 2023
To, BSE Limited, Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai, Maharashtra – 400 001.
To, National Stock Exchange of India Limited Exchange Plaza, Plot No. C/1, G Block, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051.
Scrip Code: 541167
Symbol: YASHO
Sub: Investor Presentation
Dear Sir/ Madam,
Pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, a copy of the Investor’s Presentation is enclosed herewith and the said Investor’s Presentation has also been uploaded on the Company’s website at www.yashoindustries.com
We request you to kindly take the same on record.
Thanking You,
For Yasho Industries Limited
_______________________ Parag Vinod Jhaveri Managing Director & CEO DIN: 01257685 Encl: as above
YASHO INDUSTRIES LIMITED REGISTERED OFFICE: Office No. 101/102, Peninsula Heights, C.D Barfiwala Marg, Juhu lane, Andheri (West), Mumbai – 400058, India TEL: +91 22 62510100; FAX: +91 22 62510199; E-Mail: info@yashoindustries.com; CIN No: L74110MH1985PLC037900
INVESTOR PRESENTATION
Q2FY24 | October 2023
Safe Harbor
This presentation and the accompanying slides (the “Presentation”), which have been prepared by Yasho Industries 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.
2
COMPANY OVERVIEW
Business Overview
Leading specialty and performance chemicals manufacturer
Yasho Industries is a pioneer in specialty and fine chemicals manufacturing, incorporated in 1985 by Mr. Vinod Jhaveri. Equipped with a dedicated research and development centre and state-of the-art manufacturing facilities, we manufacture 148 products across five business verticals - Food Antioxidants, Aroma Chemicals, Rubber Chemicals, Lubricant Additives, and Specialty Chemicals. Our diverse product portfolio helps us serve a dynamic and far-reaching customer base across the world including the United States of America (USA), Europe, Asia, and the Middle East, securing around 65% of revenue from exports.
5
148
50
2K+
12.5K
2
675
Business Categories
Total product (All Developed in house)
Countries of presence
Customers
Manufacturing capacity (MT)
R & D centres
Employees (incl 30 R&D personnel)
4
History Timeline
1985
1993
1996
2000
2001
Incorporated as Vasu Preservatives Private Limited under Companies Act, 1956
Commenced exclusive operations for Aromatic and Specialty Chemicals and set- up the R&D lab
Name changed to Yasho Industries Pvt. Ltd
Started manufacturing various rubber chemicals
ISO 9001:2008 certified for highquality standards
2017
2016
2013
2010
2018
Expansion at manufacturing Unit, Realigned production at both Units 1 & 2, Listed in BSE SME and set- up 2nd R&D lab
Commenced REACH registration. Major product exported to Europe
Upgraded to ISO 9001:2015 quality standards
Recognised as Star Export House, Certified by the Ministry of Commerce and Industry Directorate General of Foreign Trade
Started manufacturing of lubricant additives
2019
2020
2022
2023
Commenced production in Unit 2 post expansion & Received Dun Bradstreet Awards for Excellence in chemical sector (mid- corporate)
Set up manufacturing Unit & Migrated to main board on BSE
Bought 42 Acre Land at Pakhajan Village & Completed debottlenecking at existing plants to its fullest available capacity
Added further capacity by 1500 MTPA at our existing unit
5
Board of Directors
MR. VINOD JHAVERI
Chairman & Executive Director
MR. PARAG JHAVERI
Managing Director & CEO
MR. YAYESH JHAVERI
Whole Time Director
MR. ANURAG SURANA
MR. U R BHAT
Non-Executive Independent Director
Non-Executive Independent Director
DR. PRAKASH BHATE
Non-Executive Independent Director
MRS. SUDHA NAVANDAR Non-Executive Independent Director
6
Diversified portfolio of over 148 products
Consumer Division
Industrial Division
Applications
Applications
o Flavours and fragrances; personal care products - cosmetics & toiletries o Agro chemicals as pheromones; Pharmaceutical products such as pain
relief, cold & cough formulations
o Dentifrices and oral care preparations including toothpaste, tooth
powder and mouthwash
o Edible oil, Confectioneries & food stuff, Animal feed, Vitamin premix,
Nutraceutical
Offerings - Chemicals like fatty esters and natural essential / aroma oils find utilisation in various industries. Branded as YANTQ, with their superior anti-oxidative power, find widespread application in keeping food fresh and appetising for a longer time while enhancing its nutrient content
o Tyres, Automobile components, Conveyor belts, surgical gloves, latex
gloves, condoms, balloons
o Hydraulic, turbine, engine & gear oils, metal working fluids & greases o Stabilisers for acrylics, printing inks/coating, UPR resins and fibre
composite resins
o Intermediates for API and bulk drugs, and agrochemicals
Offerings - Products like tyres and automotive components like hoses, seals, conveyor belts etc. Branded as YALUB elevate the performance of lubricants by improving boundary lubricity, oxidation resistance, extreme pressure properties, and inhibiting corrosion
Product Pipeline & Revenue Potential
Industrial Additives
Product A/B
Customer
Current Revenue
Revenue Potential*
Lubricant Manufacturers
Product C
India + EU/USA
N/A
N/A
3000 Cr
2000 Cr
Product D
Global MNC Players
35 Cr
500 Cr
8
Manufacturing Capabilities
Capacity
Capacity Additions
Prowess
Manufacturing Unit - I
5,850 MTPA
1500 MTPA added with process change and plant correction
Located close to Nhava Sheva Sea Port Efficient Logistics
Manufacturing Unit - II
5,450 MTPA
900 MTPA capacity added through debottlenecking
Multi-purpose plant to serve diverse industries
Manufacturing Unit - III
1,200 MTPA
Warehousing & 1,200 MTPA capacity commissioned
Dedicated R&D facility to expand product range
The upcoming new facility in Pakhajan, Dahej with a capacity of 17,500 MT, strategically focused on the production of Lubricant and rubber chemicals.
9
Update on Capex – Trial run to start in Q3FY24
Capacity Expansion
50% of land is still available in Pakhajan for expansion
17,500
11,000
1,500
FY22
FY23
FY24
To address the Demand Supply Gap through capacity expansion
Greenfield Project at Pakhajan, Gujarat
Estimated Cost
~ Rs 400 Crores for Phase 1
Target Products
Industrial Chemicals, EBITDA Margin > 20%
Timeline
~Q4FY24 to commence production
Estimated Revenue
~ Rs 550 – 600 Crores from Phase 1
Source of Funding
~Rs 269 Crores from Bank loans & ~ Rs 131 Crores via internal accruals and equity already raised
Usage of Land
Phase 1 will use 50-55% of the newly acquired 42-acre land
10
Green Field Project at Pakhajan, Gujarat
11
Research & Development
Research & Development
Quality Control
Certifications & Accreditation
As the cornerstone of our business, R&D is led by our promoters with active contribution and guidance
We are working on process improvements and new products which align with our business portfolio
Recently, we have upgraded our R&D facility and now have more than 30 chemists contributing actively
Several projects are in various stages of development, and we are confident that this will help us to achieve our future growth
Research & Development & Quality Control is our core strength. YIL continues to invest in R&D and technological upgradation to ensure sustainable operations throughout its facilities
ISO Certification
FSSC 22000 Certification
Our In-house testing facility & the state-of-the- art laboratory uses modern quality control methods and sophisticated instrumentation such as: •
AAS(Atomic Absorption Spectrophotometer) CHNS Analyzer Differential Scanning Calorimeter (DSC) FTIR (Fourier Transforms Infrared Spectrophotometer) GC (Gas Chromatography) HPLC (High-Performance Liquid Chromatography) UV Spectrophotometer
• • •
• •
•
FSSAI Certification
NSF Certified
STAR KOSHER Certification
FAMIQS Certification
ecovadis Certified
HALAL Certification
12
Q2 & H1 FY24 Results Highlights
Results Highlights (Q2 FY24)
Total Income
Operating EBITDA & Margin 19.1%
19,515
14,349
3,737
16%
2,304
(INR. in lakhs)
PAT & PAT Margin
11.4%
2,235
8.1%
1,166
Q2FY23
Q2FY24
Q2FY23
Q2FY24
Q2FY23
Q2FY24
Category-wise Revenue Breakup
Geography-wise Revenue Breakup
Industrial Chemicals
Consumer Chemicals
International
Domestic
Q2 FY24
Q2 FY23
84%
80%
16%
20%
Q2 FY24
Q2 FY23
60%
69%
40%
31%
14
Results Highlights (H1 FY24)
Total Income
37,649
29,516
-
Operating EBITDA & Margin 18.9%
7,116
16.8%
4,986
(INR. in lakhs)
PAT & PAT Margin
11%
4,172
8.9%
2,645
H1FY23
H1FY24
H1FY23
H1FY24
H1FY23
H1FY24
Category-wise Revenue Breakup
Geography-wise Revenue Breakup
Industrial Chemicals
Consumer Chemicals
International
Domestic
H1 FY24
H1 FY23
83%
79%
17%
21%
H1 FY24
H1 FY23
62%
69%
38%
31%
15
Consolidated Income Statement – Q2 & H1 FY24
Particulars (INR in Lac)
Revenue from Operations
Other Income
Total Revenue
Cost of Material Consumed
Change in Inventories of Finished goods & Work in Progress
Total Raw Material
Gross Profit
Gross Profit Margin (%)
Employee Expenses
Other Expenses
EBITDA
EBITDA Margin (%)
Depreciation
EBIT
EBIT Margin (%)
Finance Cost
Profit before Tax
Profit before Tax(%)
Tax
Profit After Tax
PAT Margin (%)
EPS (As per Profit after Tax)
Q2 FY24
Q2 FY23
14,109
19,347
240
169
14,349
19,515
Y-o-Y
-27%
8,338
1,030
9,368
4,981
35.3%
1,055
1,623
2,304
16.0%
387
1,917
13.4%
388
1,529
10.7%
363
1,166
8.3%
10.23
12,404
(953)
11,451
8,064
41.7%
1,005
3,322
3,737
19.2%
504
3,233
16.5%
392
2,840
14.5%
605
2,235
11.5%
19.60
-38%
-41%
-46%
Q1FY24
Q-o-Q
H1FY24
H1FY23
15,031
136
15,167
8,906
936
9,842
5,325
35.4%
1,008
1,635
2,682
17.6%
387
2,295
15.1%
297
1,998
13.2%
519
1,479
9.8%
12.9
-6%
29,140
37,071
376
578
29,516
37,649
17,244
1,966
19,209
10,307
35.4%
2,063
3,258
4,986
16.9%
774
4,211
14.2%
684
3,527
11.9%
882
2,645
8.9%
23.2
25,298
(3,604)
21,694
15,955
43.0%
1,905
6,933
7,116
18.9%
993
6,124
16.3%
787
5,337
14.2%
1,165
4,172
11.0%
36.6
-14%
-16%
-23%
(INR. in Lac)
Y-o-Y
-21%
-30.0%
-31.2%
-33.9%
16
Consolidated Balance Sheet
Assets
Property, plant and equipment
Capital Work‐in‐Progress
Right of Use Asset
Investment
Other Intangible Assets
Intangible assets under development
Other Non Current Assets
Total Non‐Current Assets
Financial Assets
(i)Inventories
(ii) Trade Receivable
(iii) Cash and Cash Equivalents
(iv) Bank balances other than above
(v) Other Loan & Advances
Other Current Assets
Total Current Assets
Total Assets
Sept'23
Mar’23
16,554
16,008
30,461
12,335
850
0.0
833
105
696
0.0
963
107
10,267
3,687
59,070
33,796
Equity & Liabilities
Equity Share Capital
Other Equity
Total Equity
Financial liabilities
1. Borrowing
2. Lease Liabilities
Long term provisions
Deferred tax Liabilities (Net)
Total Non‐Current Liabilities
Financial Liabilities
16,076
16,761
(ii) Borrowings
9,893
10,287
117
52
1,363
1,322
30
26
2,293
2,761
30,488
31,209
89,559
65,004
(ii) Lease Liabilities
(iii) Trade Payables
(iv) Other Financial Liabilities
Other Current Liabilities
Current Tax Liabilities
Short Term Provisions
Total Current Liabilities Total Equity & Liabilities
(INR. in Lac)
Sept'23
Mar’23
1,140
1,140
25,219
22,656
26,358
23,796
26,913
15,716
801
247
720
630
225
720
28,653
17,291
20,567
15,894
165
137
13,022
7,182
1
155
636
34,546 89,559
0
259
15
429
23,917 65,004
Cashflow
Cash Flow Statement
Cash Flow from Operating Activities
Profit before Tax
Adjustment for Non-Operating Items
Operating Profit before Working Capital Changes
Changes in Working Capital
Cash Generated from Operations
Less: Direct Taxes paid
Net Cash from Operating Activities
Cash Flow from Investing Activities
Cash Flow from Financing Activities
Net increase/ (decrease) in Cash & Cash equivalent
Add: Cash and cash equivalents as at 1st April
Add: Net effect of exchange gain on cash and cash equivalents
Cash and cash equivalents as at end of the period
(INR. in Lac)
Sep-23
Mar-23
3,515
1,500
4,934
6,396
11,331
-910
10,421
-25,636
15,297
81
52
-16
117
9,037
3,476
12,514
-6,728
5,785
-2,511
3,274
-15,206
12,183
252
22
-222
52
Financial Performance
(Rs. In lac)
Total Revenue
Gross Profit
62,299
68,259
23,882
27,726
30,028
36,952
11,179
13,586
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
EBITDA & EBITDA Margin
PBT & PBT Margin
PAT & PAT Margin
14.4%
16.4%
16.9%
18.8%
5.7%
8.5%
11.6%
13.5%
4.0%
5.9%
8.5%
9.9%
12,602
10,330
4,291
5,909
9,060
7,084
6,787
5,229
3,069
1,694
2,148
1,204
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
19
Financial Performance
ROE (%)
ROCE (%)
Net Debt / Equity (x)
27.2
30.4
28.5
20.9
35.8
2.5
26.9
1.8
20.5
15.4
1.4
1.0
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
Fixed Asset Turnover (x)
Working Capital Days
Cash Flow from Operations (Rs. in lakhs)
3.1
3.0
4.4
4.3
141
122
122
91
3,436
3,901
3,622
5,785
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
FY20
FY21
FY22
FY23
20
Shareholders Information
Stock Information (as on 31st October 2023)
Market Capitalization (₹)
Shares Outstanding
Free Float
Symbol BSE / NSE
Stock Performance Chart (as on 31st October 2023)
(As on 30th Sept 2023)
Shareholding Pattern (%)
1,929 Cr
11.4 mn
540 Cr
524709 / YASHO
28.46%
71.54%
Promoters
Public
Mr. Deepak Kaku Chief Financial Officer
deepak@yashoindustries.com www.yashoindustries.com
CIN – L74110MH1985PLC037900
Investor Relations:
Mr. Bhavya Shah bhavya.shah@linkintime.co.in +91 80827 48577
Mr. Nachiket Kale nachiket.kale@linkintime.co.in +91 99209 40808
www.orientcap.com
541167
YASHO
YASHO:IN
YASO:NS