=4 Dhanuka Agritech Limited AN ISO 9001 : 2015 COMPANY
Online
Date: 22°d July, 2020
Listing Department National Stock Exchange of India Limited Exchange Plaza, Plot No. C/1, G. Block, Bandra- Kurla Complex, Bandra East, Mumbai-400 051
Symbol- DHANUKA
The Department of Corporate Services Listing The Bombay Stock Exchange Ltd. Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai- 400 001 Scrip Code: 507717
Sub: Investors Presentation on Unaudited Financial Results (Standalone & Consolidated) of the Company for the quarter ended 30th June, 2020
Dear Sir,
Pursuant to the Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached above stated Investors Presentation on Unaudited Financial Results (Standalone & Consolidated) of the Company for the quarter ended 30th June, 2020.
We hope you will find the same in order.
Thanking You, Yours faithfully,
Encl: a/a
Corporate Office : 14th Floor, Building SA, Cyber City, DLF Phase-Ill, Gurugrarn-122002, Haryana, (India), Board : +91-124- 3838 500/501, E-mail : [email protected], Website : www.dhanuka.com
Registered Office: 82, Abhinash Mansion Joshi Road, Karol Bagh, New Delhi-110005, Ph. :+91 11 23534551, 23534557 CIN:L24219DL1985PLC020126
Dhanuka Agritech Limited (DAL)(BSE: 507717; NSE: DHANUKA)
Q1 FY2021
Earnings Presentation
July 22, 2020
2
Content Page No.
Performance Highlights 3 – 7
Company Overview 8 – 11
Financial Overview 12 – 13
Table of Content
3
2,190
3,73834.1%
34.3%
34.0%
34.0%
34.1%
34.1%
34.2%
34.2%
34.3%
34.3%
Q1 FY 20 Q1 FY 21
Revenue from Operations and Gross Margin
200
6539.1%
17.5%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
Q1 FY 20 Q1 FY 21
EBITDA and EBITDA Margin
148
5186.8%
13.9%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
Q1 FY 20 Q1 FY 21
PAT and PAT Margin
Q1 FY2021 Result Highlights
All Figures in Rs Mn
Q1 FY2021 vs Q1 FY2020
Performance Discussion
227%
250%
71%
• Revenue from Operations: Revenue grew by 70.7% Y-o-Y driven by strong
sales momentum across product segments. Fungicides increased by 51.0%,
Herbicides increased by 59.7% and Insecticides recorded a robust growth of
69.0% Y-o-Y. Total volumes grew by 72.7% Y-o-Y
• EBITDA: Higher operating leverage resulted in EBITDA margin expansion by
~ 830 bps as compared to Q1 FY2020
• PAT: Net Profit margins improved from 6.8% in Q1 FY2020 to 13.9% in Q1
FY2021
4
“The first quarter has shown an excellent upward trend in market demand as compared to the
corresponding quarter of the previous year. The company’s growth in sales and profits may be attributed
to robust cash sales, timely and even distribution of rainfall. The company’s sales picked up very well from
the first week of April and the traction continued throughout the quarter with the start of monsoon.
During the quarter, we have launched two herbicides Dabooch and Dozo Maxx and the initial response
has been very encouraging. We would continue to increase our outreach to more farmers through our wide
distribution channel.
Our expectations for the coming quarter are high considering good monsoon and significant sales traction
expected from our comprehensive product portfolio backed by several marketing and branding initiatives.
The company is extremely dedicated towards social and economic development of Indian farmers. We
regularly organize various Seminars/Krishak Goshti(s)/Sammelan to educate our farmers about new
innovative techniques of farming. We are trying to reach farmers at remote locations and educate them on
ways of doubling their production and income.
During the COVID-19 pandemic, our team was the first to organize seminar/webinar over the internet
and received an overwhelming response from the farming community. We will continue to introduce
superior products to meet the farmer demand and expectations.”
Managing Director’s Message
Mr. Mahendra K Dhanuka
Managing Director
5
Particulars (Rs. million) Q1 FY2021 Q1 FY2020 YoY%
Revenue from Operations 3,738 2,190 70.7%
COGS 2,457 1,443 70.2%
Gross Profit 1,281 746 71.7%
Gross Profit Margin (as a % of sales) 34.3% 34.1%
Employee Benefit Expenses 314 236 33.2%
Other expenses 315 311 1.2%
EBITDA 652.8 199.7 226.9%
EBITDA Margin (as a % of sales) 17.5% 9.1%
Depreciation and amortisation expenses 32 27 17.5%
EBIT 621 173 259.5%
EBIT Margin (as a % of sales) 16.6% 7.9%
Finance Cost 3 2 30.1%
Other Income 74 38 95.4%
PBT 692 208 232.1%
Total Tax 174 60 188.1%
PAT 517.9 147.9 250.1%
PAT Margin (as a % of sales) 13.9% 6.8%
Basic EPS 10.89 3.11 250.2%
Q1 FY2021 Income Statement
6
31% 31%
12% 11%
50% 46%
8% 12%
Q1 FY 20 Q1 FY 21
Insectisides Fungicides Herbicides Others
31% 31%
13% 17%
10%10%
46% 42%
Q1 FY 20 Q1 FY 21
North South East West
Q1 FY2021 Revenue Mix (By Geography and Segment)
Rs. 2,190 mn
• Well diversified portfolio across business segment and key geographies
All Figures in Rs mn
Rs. 2,190 mn Rs. 3,738 mn Rs. 3,738 mn
7
Innovation Turnover Index
11%
13%
20%
17%
20%
17%
12%
7%
FY14 FY15 FY16 FY17 FY18 FY19 FY20 Q1 FY21
New Molecules as a % of Total Revenue
8
Why Dhanuka Agritech?
Unique Asset Light Model
Minimal investments required in fixed assets.
Aim is to leverage strong formulation
capabilities by partnering with global
innovators
Robust Pipeline
Focus on margin accretive 9(3) portfolio.
Target to launch 10 new products across all
segments over the next two years
Rural FMCG Play
40 warehouses, 7,000+ distributors and
80,000+ retailers to service the needs of
over 10 million touchpoints across farmers
Profitable Growth
Higher contribution of margin accretive
products, growth in volumes from existing
products to drive return ratios
Global Innovator Tie Ups
World’s leading agrochemical companies
from the US, Japan and Europe have
partnered with Dhanuka Agritech to
introduce latest technology to Indian
farmlands
Diverse Product Portfolio
300+ registrations across Herbicides,
Insecticides, Fungicides and Plant Growth
Regulators, ~90 Products across all
segments
00 o�o 00
-�-
�
�
9
Product Segments
Herbicides Fungicides Insecticides Plant Growth Regulators
Total number of Products 25 16 38 9
% of Revenues (Q1 FY2021) 46% 11% 31% 12%
Key Products
Barrier Craze, D-Era,
Dhanutop, Fuzi Super, Maxx-
soy, Nabood, Noweed,
Oxykill, Ozone, Qurin,
Sakura, Sempra, Targa Super,
Weedmar, Dumil 10% SL,
Fenox 1000, Dhanutop Super
Cursor, Dhanteam, Dhanuka
M-45, Dhanustin,
Hexadhan,Conika, Kasu-B,
Godiwa, Vitavax Power,
Lustre, Protocol, Sheathmar,
Sixer, Zerox, Godiwa,
GodiwaSuper, Spectrum
Aaatank, Adfyre, Apple,
Areva, Bombard, Caldan,
Cover, Danfuron, Dhanpreet,
Em-1, Fax, Foster, Markar,
Media, Mortar, Omite, Pager,
Super-D, Superkiller, D-one,
Markar Super, Domar
Dhanvarsha, Dhanuvit,
Dhanzyme Gold, Maxyld,
Wetcit, Suelo
10
Top 10 Brands contribute 39% of Q1 FY2021 Total Revenue
Herbicides Insecticides Plant Growth Regulator
•
s �
11
New Products Launched This Quarter
• Two new products launched online during lockdown
• Dabooch (Soybean & Groundnut Herbicide)
• Dozo Maxx (Herbicide for Cotton, Broad and Narrow Leaf crops)
s: �
Herbicide ABOOCH
12
1,061 1,0731,219 1,262
1,1261,415
13.5%12.9%
12.2%12.9%
11.2%
12.6%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
1,317 1,3981,699 1,661
1,4601,735
16.8% 16.9% 17.0% 17.0%
14.5%15.5%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
7,851 8,28810,008 9,762 10,058
11,201
37.3% 39.0%
50.2%
42.4%38.7%
36.5%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
Revenue from Operations and Gross Margin EBITDA and EBITDA Margin
PAT and PAT Margin
Annual P&L Trend: Focus on Profitable Growth
All Figures in Rs Mn
13
31.7%29.5% 30.5%
26.0%
20.5%22.8%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
83%
100%
37%
83%
9%
93%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
FY2020 Balance Sheet and Return Ratios
Figures in Rs mn Mar-19 Sep-19 Mar-20
Short Term Debt 222 70 80
Long Term Debt 0 0 0
Total Debt 222 70 80
Cash & Cash Equivalent 13 22 263
Net debt/ (Net Cash) 208 48 (183)
Equity 6,422 7,133 7,077
Total Debt/Equity 0.03x 0.01x 0.01x
CFO/EBITDA (%)
ROE (%) ROCE (%)
Robust return ratios and cash flow generation across business cycles
28.8%
24.2% 24.3%21.8%
17.7%21.0%
FY 15 FY 16 FY 17 FY 18 FY 19 FY 20
Calculation Methodology: ROE = PAT/ (Average Total Equity), ROCE = EBIT/ (Average Capital Employed), Capital Employed = Total Equity + Short Term Borrowings + Long Term Borrowings
14
This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to theimplementation of strategic initiatives, and other statements relating to Dhanuka Agritech Limited (“Dhanuka Agritech” or the Company) futurebusiness developments and economic performance.
While these forward looking statements indicate our assessment and future expectations concerning the development of our business, a number ofrisks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations.
These factors include, but are not limited to, general market, macro-economic, governmental and regulatory trends, movements in currencyexchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us,legislative developments, and other key factors that could affect our business and financial performance.
Dhanuka Agritech undertakes no obligation to publicly revise any forward looking statements to reflect future / likely events or circumstances.
For further information, please contact:
Jitin Sadana
Company Secretary
Dhanuka Agritech Limited
+91 124 3838 500
Rohan Rege / Himanshu Patel
Churchgate Partners
+91 22 6169 5988
Disclaimer
Dhanuka Agritech Limited(CIN: L24219DL1985PLC020126)
14th Floor, Building 5A
DLF Cyber Terrace, Cyber City
DLF Phase III
Gurgaon- 122002 (Haryana)