Thread by @ValueEducator

#JubilantIngrevia FY 2022 Annual Report Highlights

Like & Retweet for Better reach !

1. Company Overview

1. The company is a global provider of integrated life science products and innovative solutions
that meet the highest quality standards to serve the pharmaceutical,

nutrition, agrochemical, consumer and consumer goods industry sectors

2. With over 40 years of chemical experience and an integrated practice,The company
specializes in specialty chemicals, advanced stage complex chemical solutions, nutritional
supplements, and pure nutritional

ingredients such as vitamin B3 for animal and human
nutrition. It offers over 350 products including premixed solutions, pyridines and picolines. The
extensive Acetyl product range serves 1,400+ of the company’s customers worldwide.

3. Prior to the February 2021 demerger, the LSI business was part of the group company
Jubilant Pharmova Limited.Based on the demerger plan, the LSI business was split off and
transferred to Jubilant Ingrevia.

The plan was to realize growth and unlock shareholder value as a separate entity .

2. Business segments
The company has 3 business verticals which are as follows:
(Check attached Image)

The company has complete backward and forward integration.

45% of overall volumes of Chemical Intermediates are in-house consumed by Speciality Chemicals segment.

52% of the Pyridine &Picolines volumes is used in-house for value added products in Speciality
Chemicals

and the remaining is used for the production of Vitamin B3 for the Nutrition and
Health Solutions driven.Beta-picoline which is the key raw material used for manufacturing of
Vitamin-B3 is completely sourced in-house

The Specialty Chemicals division consists of the following:

( Check attached Image )

The Nutrition and Health Solutions division has 3 main products which are Vitamin-B3,Zinc
Picolinate and Riboflavin phosphate sodium(RPS).

These products form the important
constituents in the brand offerings the company provides

for the Animal and Human Nutrition and Health solutions.

The Chemical Intermediates division has 3 main products which are Acetic Anhydride,Ethyl
Acetate and Ethanol.The company is among the top 2 global market suppliers for Acetic Anhydride and the largest supplier in India.

Acetic anhydride is used in high-growth user
sectors such as pharmaceutical APIs (Paracetamol, Ibuprofen, Aspirin, Prazoles, etc.),
agrochemicals, vitamins, speciality polymers, food ingredients, aromatics, dyes and other
industrial uses.

Ethyl Acetate is an environment-friendly solvent, which is used by the pharmaceutical, packaging, coatings and ink industries.The company uses ethanol for captive consumption as well as for the Government Ethanol Blending Program

3. Revenue split

4. Management
The group is spearheaded by Mr Shyam S Bhartia and Mr Hari S Bhartia, with over 4 decades of experience, individually. They are responsible for formulating growth plans and are involved in all the strategic decisions of the group. We believe that the knowledge and

experience of our promoters, along with senior management, and team of skilled personnel
provides us with a significant competitive advantage as we seek to expand in our existing
markets and enter new markets

5. Manufacturing facilities
The company operates through 60 plants across 5 cities in 3 States in India.The company’s
manufacturing facilities are located at Gajraula in Uttar Pradesh,Bharuch and Samlaya in
Gujarat,Nira and Ambernath in India

The Gajraula Facility is used for manufacturing Ethanol, Chemical Intermediates, Advanced
Intermediates,Pyridine & Picolines.The Bharuch and Samlaya facilities are used for
manufacturing Chemical Intermediates, Nutrition products like Vitamin B3 & Pyridine &
Picolines

The Nira and Ambernath facilities are used for manufacturing Ethanol,Chemical
Intermediates and Crop science ingredients

6. Capex
Total CAPEX planned for the years 2022-2025 = Rs 2050 cr

Once the entire capex is done and operational,the company expects an overall annual
revenue of Rs 9500 cr after ramp-up

with the Specialty Chemicals and Nutrition and Health
Solutions business contributing to 65% vs 46% in FY22 thus resulting in an overall
improvement in profitability margins
The company has committed Rs 900 cr out

of this total investment till date and it will be used
for the following expansions

The remaining Rs1150 cr will be used over the years FY23 to FY25

7. Financials
Revenues-Rs 4949 cr
EBITDA - 17.4%
Net debt - Rs 180 cr(vs Rs 431 cr in FY21)

Micro Cap Club :
valueeducator.com/micro-cap-club/