TARSONSNSE13 February 2024

Tarsons Products Limited has informed the Exchange about Investor Presentation

Tarsons Products Limited

An ISO 9001 & ISO 13485 Certified Company

Date: 13th February, 2024

To, BSE Limited (“BSE”), Corporate Relationship Department, 2nd Floor, New Trading Ring, P.J. Towers, Dalal Street, Mumbai – 400 001 BSE Scrip code: 543399

To, National Stock Exchange of India Limited (“NSE”) “Exchange Plaza”, 5th Floor, Plot No. C/1, G Block, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051 NSE Symbol: TARSONS

Sub: Investor Presentation for the quarter ended 31st December, 2024

Dear Sir/Madam,

Pursuant to the provision of Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the Investor Presentation for the quarter ended 31st December, 2023.

The Presentation will also be uploaded on the Company’s website at www.tarsons.com.

We request you to kindly take the same on your records.

Thanking You,

Yours faithfully, For Tarsons Products Limited

Santosh Kumar Agarwal Company Secretary and Chief Financial Officer ICSI Membership No. 44836

Encl: As above

Tarsons Products Limited, 902, Martin Burn Business Park, BP-3, Sector –V, Salt Lake, Kolkata – 700091 Tel: +91 33 3522 0300, Web: www.tarsons.com Mail: info@tarsons.com, CIN: L51109WB1983PLC036510

TARSONS PRODUCTS LIMITED

Investor Presentation

February 2024

TRUST DELIVERED

S a f e H a r b o r

This presentation and the accompanying slides (the “Presentation”), which have been prepared by Tarsons Products 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 whatsoever. 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.

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

Q3 FY24 Financial Highlights

C a p e x U p d a t e

Panchla Plant

Amta Plant

•

Introducing cell culture and existing products capacity expansion

• Civil Construction completed

• First clean room is ready

• Awaiting some machines; already in

transit

• First round of production expected in

Q4FY24

• Constructing Radiation Plant:

• Signed the MOU with Board of Radiation & Isotope Technology (BRIT) for radiation plant

• Sterile (Radiated) production will reduce dependency on our sole vendor in West Bengal

• Central Warehouse

operations:

Construction progressing well

• Cell culture and other products commercial in phased

to in Q3FY25

start

estimated production manner

Q 3 & 9 M F Y 2 4 K e y O p e r a t i o n a l H i g h l i g h t s

(in Rs. Crs)

: c i t s e m o D – t l i

p S e u n e v e R

t r o p x E

201

133

191

135

34%

9MFY23

66%

29%

9MFY24

71%

Q3FY23

Q2FY24

Q3FY24

9MFY23

9MFY24

Domestic

Exports

➢ Our revenues from domestic market for Q3FY24 stood at Rs. 46 crs as compared to Rs. 41 crs in Q3FY23, a growth of 14%. For 9MFY24, domestic

revenues grew by 1% on y-o-y basis

➢ Our revenues from export market for 9MFY24 stood at Rs. 55 crs as compared to Rs. 68 crs in 9MFY23, de-growth of 18%

➢ Of the total exports revenue; branded products contributed 44% & 56% was contributed by ODM sales in Q3FY24 and 38% & 62% in 9MFY24

respectively

➢ Spilt across Domestic : Export revenues stood at 71:29 for 9MFY24

On Standalone Basis

Q 3 & 9 M F Y 2 4 K e y F i n a n c i a l H i g h l i g h t s

Revenue (in Rs. Crs)

EBIDTA (in Rs. Crs)

Profit After Tax (in Rs. Crs)

201.2

190.7

90.5

72.4

57.9

32.5

61.3

66.3

61.8

26.7

25.4

22.9

16.1

12.8

10.1

Q3FY23 Q2FY24 Q3FY24 9MFY23 9MFY24

Q3FY23 Q2FY24 Q3FY24 9MFY23 9MFY24*

Q3FY23 Q2FY24 Q3FY24 9MFY23 9MFY24

GP Margin (%)

EBIDTA Margin (%)

PAT Margin (%)

77.5%

74.7%

73.0%

77.8%

74.3%

43.5%

38.3%

37.0%

38.0%

45.0%

26.3%

28.8%

19.3%

16.3%

17.0%

Q3FY23 Q2FY24 Q3FY24

9MFY23 9MFY24

Q3FY23 Q2FY24 Q3FY24

9MFY23 9MFY24*

Q3FY23 Q2FY24 Q3FY24

9MFY23 9MFY24

On Standalone Basis

*Adjusted for Rs. 2.8 crores one off expenses on account of due diligence for a potential acquisition which didn’t fructify

Q 3 & 9 M F Y 2 4 P r o f i t & L o s s S t a t e m e n t

Profit and Loss (in Rs. Crs)

Q3FY24

Q3FY23

Revenue from Operations

Cost of Goods Sold

Gross Profit

Gross Profit Margin

Employee Cost

Other Expenses

Adj. EBITDA

Adj. EBITDA Margin

One off expenses*

Reported EBITDA

Reported EBITDA Margin

Depreciation

Other Income

EBIT

Finance Cost

Profit before Tax

Tax

Profit After Tax

Profit After Tax Margin

EPS

61.8

16.7

45.1

61.3

13.8

47.5

73.0%

77.5%

9.8

12.5

22.9

37.0%

0.0

22.9

37.0%

10.1

3.4

16.2

2.5

13.7

3.6

10.1

16.3%

1.89

8.4

12.4

26.7

43.5%

0.0

26.7

43.5%

7.2

3.4

22.8

1.2

21.6

5.5

16.1

26.3%

3.03

YoY

0.8%

-5.0%

-14.2%

-29.0%

-36.6%

-37.5%

QoQ

-6.8%

-8.9%

-9.8%

-11.3%

-21.0%

-21.4%

Q2FY24

66.3

16.8

49.5

74.7%

9.8

14.4

25.4

38.3%

0.0

25.4

38.3%

9.7

2.6

18.3

0.9

17.3

4.5

12.8

19.3%

2.41

9MFY24

9MFY23

190.7

49.0

141.7

74.3%

28.7

40.6

72.4

38.0%

2.8

69.6

36.5%

28.1

8.2

49.7

5.9

43.9

11.4

32.5

17.0%

6.10

201.2

44.7

156.5

77.8%

25.5

40.5

90.5

45.0%

0.0

90.5

45.0%

20.2

9.8

80.0

2.4

77.6

19.7

57.9

28.8%

10.88

YoY

-5.2%

-9.5%

-20.0%

-23.1%

-37.9%

-43.5%

-43.9%

* Rs. 2.8 crores one off expenses on account of due diligence for a potential acquisition which didn’t fructify

M a n a g e m e n t C o m m e n t a r y

Commenting on the performance of the company Mr. Rohan Sehgal, Whole Time Director for Tarsons, said:

""In Q3FY24, our revenue was Rs. 62 crores, growth of 1% on y-o-y basis. Domestic demand is showing improvement, but

exports declined due to lower demand in key markets. This was influenced by the slowdown in the life sciences industry

and global recessionary trends. Despite these challenges, we remain optimistic, seeing better times ahead in the

upcoming quarters.

Rohan Sehgal Whole Time Director

In Q3FY24, our EBITDA stood at Rs. 23 crores, reflecting a 14% Y-o-Y decline, primarily due to decrease in export revenues

from our key overseas market and change in the product mix. Additionally, our margins were impacted on account of the

initial costs associated with our upcoming facility in Panchla, from which revenues are expected to commence in FY25

Looking ahead, as the industry improves, we anticipate leveraging our operations to achieve better margins.

Our recent strategic acquisition of Nerbe, a Hamburg-based distributor specializing in plastic labware products, enhances

our global presence through channel partners, facilitating quicker access to larger markets. Nerbe serves as a gateway for

expanding our footprint in Europe, accelerating our geographical growth in the long run.

Our future goal is to emerge as a leading global supplier of premium labware, adhering to international standards. This

involves enhancing our production capabilities through facility expansions and establishing 'TARSONS' as a reputable

brand within the life science community.”

B a l a n c e S h e e t

Assets (in Rs. Crs)

Non - Current Assets

Property Plant & Equipment's

CWIP

Other Intangible assets

Right of use asset

Financial Assets

(i) Other Financial Assets

Current Tax Assets (Net)

Other Non Current Assets

Current Assets

Inventories

Financial Assets

(i) Trade receivables

(ii) Cash and cash equivalents

(iii) Bank balances other than (ii)

Other Financial Assets

Other Current Assets

Total Assets

Sep-23

Mar-23

Equity & Liabilities (in Rs. Crs)

Sep-23

Mar-23

543.7

254.0

146.9

0.4

6.6

4.0

3.9

127.9

205.0

118.4

53.6

23.7

0.0

9.3

748.6

473.7

217.7

119.0

0.5

6.6

4.1

2.2

123.6

252.0

114.4

65.8

59.1

0.9

0.1

11.8

725.7

Total Equity

Share Capital

Other Equity

Non-Current Liabilities

Financial Liabilities

(i) Borrowings

(ii) Lease Liabilities

(iii) Other Financial Liabilities

Other Non Current Liabilities

Deferred Tax Liabilities

Current Liabilities

Financial Liabilities

(i) Borrowings

(ii) Trade Payables

(iii) Lease Liabilities

(iv) Other Financial Liabilities

Other Current Liabilities

Current tax liabilities (net)

Provisions

591.2

10.6

580.5

91.7

569.3

10.6

558.7

93.5

76.4

80.7

0.0

0.1

9.1

6.1

0.0

7.3

5.4

65.8

62.9

46.5

9.3

0.0

5.1

3.0

0.0

1.8

30.0

9.6

0.0

15.5

3.9

1.9

2.0

Total Equity & Liabilities

748.6

725.7

C a s h F l o w S t a t e m e n t

Particulars (in 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

Exchange difference on translation of foreign currency

Cash & Cash equivalents at the end of the period

H1FY24

H1FY23

30.2

19.9

50.0

8.6

58.6

-10.6

48.0

-92.4

9.0

-35.4

59.1

0.0

23.7

56.0

11.2

67.3

-20.7

46.6

-12.1

34.5

-88.0

38.9

-14.7

77.4

0.0

62.8

H i s t o r i c a l C o n s o l i d a t e d F i n a n c i a l H i g h l i g h t s

REVENUE (in Rs. Crs)

EBITDA (in Rs. Crs)

PAT (in Rs. Crs)

+17%

301

283

229

176

+23%

153

130

103

+26%

101

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

GP Margin

470 bps

72.3%

73.1%

79.1%

77.0%

EBITDA Margin

640 bps

PAT Margin

550 bps

45.2%

50.8%

45.8%

39.4%

30.1%

33.5%

28.5%

23.0%

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

H i s t o r i c a l C o n s o l i d a t e d P r o f i t & L o s s S t a t e m e n t

Profit and Loss (in Rs. Crs)

Revenue from Operations

Cost of Goods Sold

Gross Profit

Gross Profit Margin

Employee Cost

Other Expenses

EBITDA

EBITDA Margin

Depreciation

Other Income

EBIT

Finance Cost

Profit before Tax

Tax

Profit After Tax

Profit After Tax Margin

FY23

283.2

65.1

218.2

77.0%

34.1

54.4

129.8

45.8%

28.5

11.9

113.2

4.5

108.7

28.0

80.7

28.5%

FY22

300.8

62.9

237.9

79.1%

31.4

53.8

152.7

50.8%

22.0

8.5

139.2

4.2

135.0

34.3

100.7

33.5%

FY21

228.9

61.5

167.4

73.1%

24.4

39.5

103.4

45.2%

13.7

5.4

95.2

2.7

92.4

23.6

68.9

FY20

175.9

48.7

127.2

72.3%

20.1

37.9

69.3

39.4%

14.2

4.2

59.2

6.1

53.1

12.6

40.5

30.1%

23.0%

CAGR (FY20- FY23)

17.2%

19.7%

470 Bps

23.3%

640 Bps

24.1%

27.0%

25.8%

550 Bps

H i s t o r i c a l C o n s o l i d a t e d B a l a n c e S h e e t

Assets (in Rs. Crs)

Non - Current Assets

Property Plant & Equipment's

CWIP

Other Intangible assets

Right of use asset

Intangible Assets under development

Financial Assets

(i) Other Financial Assets

Current Tax Assets (Net)

Current Assets

Inventories

Financial Assets

(i) Trade receivables

(ii) Cash and cash equivalents

(iii) Bank balances other than (ii)

Other Financial Assets

Other Current Assets

Total Assets

Mar-23 Mar-22 Mar-21 Mar-20

Equity & Liabilities (in Rs. Crs)

Mar-23 Mar-22 Mar-21 Mar-20

473.7

299.7

183.1

128.9

217.7

119.0

181.4

113.7

32.2

21.5

87.6

19.3

Total Equity

Share Capital

Other Equity

569.3

489.9

244.3

197.6

10.6

0.2

558.7

479.2

244.1

197.4

0.5

6.6

0.0

4.1

2.2

0.7

6.7

0.0

5.9

2.5

0.0

6.8

0.6

3.1

2.4

0.0

4.4

0.0

2.2

1.8

252.0

244.5

112.8

119.8

114.4

82.4

46.7

48.7

65.8

59.1

0.9

0.1

65.2

77.4

8.4

0.1

47.0

2.3

0.8

0.0

11.8

11.1

15.9

38.2

25.3

0.9

0.0

6.7

Non-Current Liabilities

93.5

19.5

9.8

10.7

Financial Liabilities

(i) Borrowings

(ii) Lease Liabilities

(iii) Other Financial Liabilities

Other Non Current Liabilities

Deferred Tax Liabilities

Current Liabilities

Financial Liabilities

(i) Borrowings

(ii) Trade Payables

(III) Lease Liabilities

(iv) Other Financial Liabilities

Other Current Liabilities

Current tax liabilities (net)

Provisions

80.7

0.0

7.3

5.4

9.3

0.0

0.1

5.6

4.4

3.3

0.0

0.1

3.2

3.3

5.9

0.0

0.1

1.5

3.2

62.9

34.9

41.8

40.4

30.0

9.6

0.0

15.5

3.9

1.9

2.0

12.3

13.0

0.0

3.5

4.7

0.0

1.5

30.2

30.0

6.0

0.0

2.7

1.4

0.0

1.5

5.9

0.0

1.9

1.5

0.0

1.1

725.7

544.2

296.0

248.7

Total Equity & Liabilities

725.7

544.2

296.0

248.7

Other Non Current Assets

123.6

70.3

35.1

13.5

H i s t o r i c a l C o n s o l i d a t e d C a s h F l o w S t a t e m e n t

Particulars (in 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

Exchange difference on translation of foreign currency

Cash & Cash equivalents at the end of the period

FY23

FY22

FY21

FY20

108.7

135.0

27.5

23.7

92.4

15.8

136.2

158.7

108.2

-36.3

99.9

-24.3

75.6

-41.8

116.8

-33.4

83.5

-178.5

-137.9

84.6

-18.4

77.4

0.0

59.1

129.6

75.1

2.3

0.0

77.4

-16.0

92.2

-24.1

68.2

-63.9

-27.2

-23.0

25.3

0.0

2.3

53.1

20.0

73.1

6.4

79.5

-15.3

64.2

-25.4

-13.8

25.0

0.5

-0.2

25.3

K e y C o n s o l i d a t e d H i s t o r i c a l R a t i o s

Return on Equity

28.2%

20.5%

20.6%

14.2%

Return on Capital Employed^

Debt to Equity

43.0%

29.5%

34.0%

25.9%

0.2

0.1

0.2

0.0

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

Current Ratio

7.0

Working Capital* (in Rs. Crs)

Working Capital Days*

171

135

178

136

114

104

3.0

2.7

4.0

FY20

FY21 ^ ROCE calculated excl. CWIP & Capital advances *For WC; Debtors & Inventory calculated on Sales & Creditors on COGS

FY22

FY23

FY20

FY21

FY22

FY23

FY20

FY21

FY22

FY23

About Tarsons

T a r s o n s – a t a G l a n c e

*Approximately 9-12% as per Frost & Sullivan Industry Report 2021 #As per Frost & Sullivan Industry Report 2021

One of the leading Indian labware company engaged in the designing, development, manufacturing and marketing of consumables, reusables and others (including benchtop equipment & instruments)

Products used in laboratories across research organizations, academia institutes, pharmaceutical companies, CROs, diagnostic companies and hospitals

40+ years of experience in the life sciences industry delivering trusted high-quality products.

Robust market share in the highly fragmented Indian labware market*

Diversified product portfolio with 1,700+ SKUs across 300 product segment

5 vertically integrated manufacturing facilities in West Bengal

Pan-India distribution network with long-standing relationships with the distributors

One of the few players in India to have a global reach# in the labware market with 45+ authorized distributors & partners supplying products to over 40 countries

O u r J o u r n e y

Commenced production of Pipette Tips, thereby creating a high-quality import substitute

Pioneered the first fully robotic clean room plant for manufacturing molecular biology consumables

Established manufacturing facility expanding into production of fully automatic centrifuge tubes, and cryogenic vials in Dhulagarh

Established line for PCR products in Jalan Industrial Complex at Jangalpur

Product portfolio expansion & adding depth in existing product basket

Acquisition of European Entity Nerbe

Incorporation of TPPL with manufacturing of reusable plastic products

Expanded product line by initiating manufacturing of Centrifuge Tubes

Obtained ISO 9001:2015 certificate for manufacturing facility

Obtained ISO 13485:2016 / NSEN certificate for manufacturing facility

Acquired 5 acres land in Panchla & 6 acres land in Amta for capacity expansion, introduction of new product lines, backward integration & fulfillment center

Got listed on Stock Exchanges

1983

1984

1987

2002

2009

2012

2018

2019

2021-22

2024

L e a d i n g I n d i a n L a b w a r e S u p p l i e r

Trusted Brand for high quality products in the plastic labware market with 40+ years vintage in the industry

Expertise in production of a wide range of labware products & amongst the top 3 players with a robust market share*

Ability to offer differentiated, user friendly, reliable quality & cost-effective products has enabled strong brand recognition & customer loyalty

Individual product brands like Maxipense, Spinwin, Cryochill are well- recognized by the scientific community

Pioneered the first fully automated plant for manufacturing molecular biology consumables

In-house engineering team driving innovation & ensuring exceptional liquid handling performance across the liquid handling products

Source*: As per Frost & Sullivan Industry Report 2021

O u r C o m p e t i t i v e E d g e

Geographical Presence Wide geographic reach through a strong sales & distribution network

State of Art Facilities Well-equipped and advanced automation driven manufacturing facilities

Diversified Customers Long-standing relationships with a diverse set of key end-customers

Brand & Quality Leading Indian supplier to the life sciences sector with strong brand recognition and high-quality diversified products across varied customer segments.

Experienced Management Team Experienced promoter supported by a highly competent management team and backed by board of directors comprising of industry veterans

Financial Stability Financial track record with efficient capital allocation & streamlined operations ensuring consistent high profitability

C a t e r i n g t o d i v e r s i f i e d E n d U s e r I n d u s t r y …

Academic Institutes & Research Organization

National Centre for Biological Sciences

Indian Institute of Chemical Technology

Rain Forest Research Institute

KIIT University

Pharmaceutical Industry

Dr. Reddy's Laboratories Limited

Enzene Biosciences Limited

Contract Research Organization

Syngene International Limited

Veeda Clinical Research Limited

TCG Lifesciences Private Limited

Diagnostics Industry

Dr Lal Pathlabs Limited

Metropolis Healthcare Limited

Molbio Diagnostics Private Limited

Agappe Diagnostics Limited

Mylab Lifesolutions Private Limited

Exports Market

Avantor, Inc

FC-BIOS SDN BHD

iCell INC

Toei Kaisha

Toei Kaisha Limited

Measures to strengthen customer relations

Regular Feedback from Customers on quality, delivery & cost

Maintaining leading industry & Regulatory Compliance Standards

Product Customization as per the customer’s specific needs

Adherence to Quality standards & Safety Protocols in place

Wide Range of Products

50-member Sales Team with deeply entrenched relationships

O u r S t a t e - o f - t h e - a r t M a n u f a c t u r i n g F a c i l i t i e s …

Key Highlights of the High Precision Manufacturing Process

✓ Vertically integrated manufacturing capabilities with design &

development being carried out in-house

✓ Automated manufacturing with use of robotics & other

technologies developed in collaboration with overseas partners

Units

Burroshibtolla I

Burroshibtolla II

Kasba

Jangalpur

Dhulagarh

Panchla

Amta

Upcoming Facility

Land Area (in sq. mts.)

Ownership

Mfg Revenue Contribution (FY23)

✓ Production process free from human touch & thus helps to achieve the desired levels of purity required for use in life sciences products

530

1,022

515

15,142

4,047

21,550

24,280

Leased

Owned

Leased

Owned

5.04%

7.18%

3.38%

62.12%

22.27%

✓ Manufactured in clean aseptic environment; manufacturing

process is carried out in fully-validated & 3rd-party certified ISO 8 clean rooms

✓ Quality Certifications: ISO & CE certifications

✓ In Amta, West Bengal, the Company is expanding in some key

products and developing a new fulfillment center with in-house sterilization capability

✓ Company is expanding into new product categories and

capacity expansion at upcoming production facility in Panchla, West Bengal

… w i t h w i d e s p r e a d D o m e s t i c S a l e s & D i s t r i b u t i o n n e t w o r k …

Comprehensive Pan-India Distribution Network

Long-standing relationships with Distributors

North: 17% of FY23 Domestic Sales 41 Distributors

East: 16% of FY23 Domestic Sales 39 Distributors

West: 25% of FY23 Domestic Sales 20 Distributors

Data as on FY23

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

South: 43% of FY23 Domestic Sales 38 Distributors

… w i t h h u g e u n d e r l y i n g E x p o r t M a r k e t P o t e n t i a l …

Huge Export Opportunity Market

One of the very few players to have a Global Reach

Demand for plasticware expected to grow at 10% CAGR for developing markets like APAC & MEA, developed markets like Americas & Europe also expected to grow healthy

✓ As of 31st March 2023, the company sold its products to 40+ countries via

45+ distributors

✓ Export operations are a blend of branded and ODM sales

✓ Under the ODM model, the product is independently designed & developed by the company as per the requirements given & then sold to the respective brand owners

Factors such as supplier reliability, cultivating new relationships, deepening existing relationships and meeting demands in timely manner will enhance the export market share

Rapid increase in demand for plasticware is providing platform for Indian players to expand share of export revenues while continuing import substitution at home

Export Revenue (INR mn)

Export Revenue Break-up (%)

924

FY19

FY23

480

35%

37%

65%

63%

Established Indian players can further expand export market share 0 on back of high-quality & reliable products with enhanced R&D and 4 independent design & customization capabilities

Domestic companies in India can take advantage of their competitive 0 pricing in order to capture larger share of global market 3

FY19

FY23

Branded

ODM

Key Overseas Clients (ODM Sales)

Toei Kaisha

… o f f e r i n g W i d e R a n g e o f H i g h - Q u a l i t y P r o d u c t s …

Our products are made from high-quality medical grade DMF registered resins which are selected to minimize additives & reduce potential leachables

Consumables

56% of FY23 Revenues

• Portfolio of products under this category

include: • Centrifuge ware • Cryogenic ware (tubes & accessories) • PCR consumables (tubes, plates, and

strips) • Petri dish • Pipettes

Reusables

39% of FY23 Revenues

• Portfolio of products under this category

include: • Bottles & Carboys • Beakers • Measuring cylinders • Racks • Others (jars, desiccators etc.) • High quality standards maintained to

ensure the products are leakage proof through specially designed lip-sealing geometry

Others

5% of FY23 Revenues

• Products under this category includes benchtop instrumentation such as:

• Vortex shakers • Centrifuges • Pipettors

• These products enable molecular works of cell collection, extraction, simple spin- down and f-tube separation

Offering a Wide Range of Products enabling its end-customers to source most of their product needs from a Single Source

… d i v e r s i f i e d p r o d u c t p o r t f o l i o o f P l a s t i c L a b w a r e

Pipette Tips

Centrifuge Tubes

Petri Dishes

Sterile Media Bottles

Cryo Vials

Storage Vials

Serological Pipette

) s e a S

3 2 Y F f o % 6 5 (

s e b a m u s n o C

3 2 Y F f o % 4 4 ( s r e h t O & s e b a s u e R

Mostly used research work transferring volume of with high precision

in for small liquids

Perfect for versatile these applications, are used for storage, spinning down & separation of colloidal solution

• Mostly used in culture of & microbes sensitivity assays

• Used once & discarded which optimizes time consumed in washing and sterilizing

Suited to preparation & of containment buffers, cultures or prolonged storage of pH sensitive liquids such as culture media

Used for storage of biological materials at temperatures as low -196°C (vapour phase of liquid nitrogen) to 121°C

Bottles

Carboys

Beakers

Cylinders

Designed for use with samples from - 80°C to 121°C. Used for storage of PCR reagents, enzymes & other diagnostics, biochemical reagents or samples

Disposable pipettes for tissue culture, microbiological and various research applications. Certified DNase, RNase, and Pyrogen free

Benchtop Instruments

for

• Used

containment, protection and transportation of various kinds of reagents • Leakproof, strong and durable

Used for media formulation and mixing, aseptic protocols, stirring and storage of intermediates

• Used for mixing; graduations are approximate and not liquid intended for accurate measurement

• Economical enough to discard after one use, or strong enough to reuse

Used to measure the volume of a liquids, chemicals, and solutions during daily lab work

include like vortex

• Wide variety products which

instrumentation

benchtop shakers, centrifuges, pipettors • Enable molecular works of

cell collection, extraction, simple spin-down 26 and f-tube separation

G l i m p s e o f o u r p r o d u c t p o r t f o l i o & p r o c e s s e s

Video link – Click here

For more information & videos please visit www.tarsons.com/video-new

K e y B u s i n e s s S t r a t e g i e s

Key Business Strategies

• Focus on branding & promotion to enhance visibility in the labware industry to increase

brand awareness & loyalty

Enhance existing & expand product portfolio

• Manufacture New Products in the cell culture & robotic handled consumables and expand

into the import dominated markets of these products

• Leverage the advantage of “Make in India” and grow our domestic sales vis-à-vis exports

Enhance manufacturing capacities to leverage growth

Increasing presence in overseas markets

• Expand manufacturing capacities in popular product categories like liquid handling, centrifuge ware, & cryo ware through additional machines, moulds and ancillary infrastructure

• Acquired 5 acres of land to develop a new manufacturing facility in Panchla, West Bengal to

expand & enter into the new product segment comprising of cell culture

• Also, acquired 6 acres of land at Amta to develop fulfilment center, radiation facility and

manufacture few products

• Plans to export to ~120 countries in the next 5-10 years through the extensive experience

and proven track record of catering to overseas customers

• Acquired Nerbe, a Hamburg-based distributor specializing in plastic labware products • Two-pronged approach:

• Branded sales targeting emerging markets such as Asia Pacific, Middle East and South

America

• ODM sales to supply products to developed markets such as USA and Europe

Maintain operational efficiency & profitability

•

Implemented strategic cost-saving and efficiency improvement processes such as advanced automation solutions to improve productivity which resulted in a ~26% PAT CAGR from FY20 to FY23

• Continue to invest in automation in order to avoid human error & consequently improve

throughput

E x p e r i e n c e d B o a r d o f D i r e c t o r & M a n a g e r i a l T e a m

Sanjive Sehgal Chairman & Managing Director

• Chairman & Managing Director of Tarsons

Product Limited

• Has over 31 years of experience in the company

Rohan Sehgal Whole Time Director

Gaurav Podar Non-Executive Nominee Director

• Currently, Director with ADV Partners •

Investment professional with 11+ years of experience

Girish Vanvari Independent Director

• Founder of Transaction Square – a Tax, Regulatory &

Business Advisory Firm

• Qualified as a Chartered Accountant

• Whole-time Director of the company • Has over 8 years of experience working in the

company

Sucharita Basu Independent Director

Santosh Agarwal Chief Financial Officer & Company Secretary

• Qualified as a Chartered Accountant &

Company Secretary

• Has over 21 years of experience

• Co-founder AQUILAW • 21+ years of experience in commercial & corporate

agreements, capital markets & real estate

Viresh Oberai Independent Director

• 22+ years experience with Tata Steel • Conferred with “Udyog Rattan” award from Indian

Economics Society

C o n t r i b u t i o n t o w a r d s E n v i r o n m e n t a l , S o c i a l & G o v e r n a n c e

Clean room conditions eliminates all chances of contamination

Productivity optimisation with use of high automation

Use of Medical Grade Plastics. Products are designed to withstand critical use

NO Hazardous materials consumed

NO litigations faced for pollution or degradation of environment over the past five years

NO impact of Climate change

Employee Welfare: Multi- pronged approach towards employee development.

Company has NOT witnessed any employee unrest / strikes or lockouts since inception

The Board has an optimum combination of Executive and Non- Executive directors

Company has Clean Track Record of Liability payments to various stakeholders

Some of the CSR activities has been directed towards TATA Cancer Hospital & Narayana Hrudayala

Regular Review & Updation of policies for change requirements.

Whistleblower policy implemented

Industry Update

P l a s t i c L a b w a r e M a r k e t

Indian plastic labware market is expected to grow at 16% CAGR from 2020- 2025

Split of Global Market Size of Plastic Labware (2020)

Global Laboratory Equipment Market Size (INR Bn)

Indian Laboratory Equipment Market Size (INR Bn)

1,131

589

1,437

969

FY20

FY25

FY20

FY25

Labware

Only Plasticware

▪ Expected increase in investments by various pharmaceutical majors to advance

research into various chronic diseases treatment

▪ COVID-19 pandemic has led to an increase in long term demand for laboratory

investigations, vaccine development activities and clinical trials

▪ Key growth drivers of the Indian market include:

−

Urbanization & growing middle class coupled with sedentary lifestyles are resulting in increasing incidence of chronic diseases which in turn drive healthcare research & demand for labware products

Highly underpenetrated healthcare sector provides significant room for growth

Growth in pharmaceutical R&D outsourcing to India will serve as a huge catalyst for the labware space

Source: As per Frost & Sullivan Industry Report 2021

Certrifuge ware

14%

Liquid handling

26%

▪ Centrifuge & Liquid Handling

market dominate the Laboratory equipment market

▪ The automated liquid handling

41%

PCR & Cell/ Tissue Culture

market is anticipated to witness a significant market growth during the forecast period

Bottles & Carboys

6% Cryoware

▪ PCR product segment has seen a strong growth lately due to high demand on account of the pandemic

Diagnostic Labs

Others 4%

24%

Academia/ Research

31%

IVF Clinics

11%

CROs

27%

Pharmaceutical

▪ The Academia/Research and Pharmaceutical segments contribute to majority of the end use making up ~60%

▪ With strong increase in outsourcing by pharma companies, CROs are expected to grow strongly

▪ Diagnostic labs are expected to

grow at a robust pace on account of increasing awareness and need of testing

R a p i d S h i f t f r o m G l a s s w a r e t o P l a s t i c w a r e i n I n d i a

Indian Laboratory Equipment Market (Breakup of Glassware and Plasticware segments)

Market Size

INR 10.8 bn

INR 7.5 bn

INR 11.3 bn INR 12.2 bn

INR 8.4 bn

INR 25.8 bn

18.3

59.0%

41.0%

2015

23.5

48.0%

52.0%

2020

34.2

25.0%

75.0%

2025

Glassware Products Plasticware Products

Key reasons for the shift:

▪ Increased Applicability: Superior ability to handle radioactive isotopes, hazardous & carcinogenic chemicals or

substances

▪ Enhanced Safety: Inherent characteristics of plasticware including thermo-stability & safety of laboratory personnel

in case of accidents

▪ Less Contamination: Samples stored in glass containers are prone to contamination due to leaching of inorganic ions into aqueous solutions or exposure to light in case of light-sensitive materials; thus, making plasticware a preferred choice vis-à-vis glassware

▪ Ease of Handling : Plastic Labware is significantly lighter in weight and much easier to handle over long hours than

glassware

▪ Durability: Plastic equipment is unbreakable & has a longer shelf life as well allowing for better use & flexibility to

scientists & researchers

▪ Cost Effective: Plastic Labware is more cost effective than glassware

India Plasticware Laboratory Consumables Market by Product Type (INR mn)

India Plasticware Laboratory Reusables Market by Product Type (INRmn)

India Plasticware Laboratory PCR/Cell Culture Market by Product Type (INR mn)

3,279 332 1,253 1,622

2015

120

4,945

548 1,883

2,395

2020

10,050

247

1,167

3,698

4,938

2025F

1,132

1,083

2015

1,833 95 1,738

2020

3,161

133

3,028

2025F

Centrifuge Ware

Liquid Handling

Cryoware

Others

Bottles, Beakers, Flasks & Carboys

Others

3,105

257

2,848

2015

5,473 398 5,075

2020 PCR, Cell Culture

Others

12,544

825

11,719

2025F

▪ Centrifuge ware is largest segment within consumables with 48% market share ▪ Increased investments in life sciences sector including omics research, advanced

healthcare, microbiology, drug development, and clinical diagnostics are key factors supporting higher usage of laboratory products

▪ India being a vaccine manufacturing hub is also a driving point for use of laboratory ware especially consumables for quality testing and approvals

▪ India being price sensitive country prefers plastic reusables as they have long

shelf life in addition to being unbreakable and inexpensive as compared to glass

▪ Increase in automation in biotech & diagnostic labs will boost demand for

plasticware reusables where storage and machine handling requires products with better flexibility and dexterity

▪ Cell / Tissue Culture is high end, large & growing market in India with huge

potential for growth

▪ Increase in R&D in field of cell engineering is also expected to propel growth

of cell culture supplies market

▪ Stringent license and accreditation procedures involved with maintaining

cell cultures allow only specific companies to operate in the market

Source: As per Frost & Sullivan Industry Report 2021

K e y T a k e a w a y s

Leading Indian manufacturer of labware with an established brand & focus on high-quality products

Presence in an industry with double-digit growth potential and multiple growth drivers

Financial profile with Historical strong EBITDA margins & high ROCE coupled with double-digit growth rates

Highly automated state-of-the-art manufacturing facilities churning out quality products

Long-standing relationships with 04 distributors catering to a diverse set of end-customers pan-India

Well-placed to grow domestic & export business through launch of new products & capacity expansion

Thank You

Tarsons Products Limited

Strategic Growth Advisors Private Limited

CIN: L51109WB1983PLC036510 Mr. Santosh Agarwal – Chief Financial Officer santosh@tarsons.in

CIN: U74140MH2010PTC204285 Mr. Sagar Shroff/ Mr. Pratik Shah sagar.shroff@sgapl.net / p.s.shah@sgapl.net +91 98205 19303 / +91 98700 30585

← All Transcripts TARSONS Stock Page →

Tarsons Products Limited has informed the Exchange about Investor Presentation

Market Movers