Chemplast Sanmar Limited — PPTs, 13-05-2025: Investor Presentation

1. Financial Highlights:

Chemplast Sanmar’s consolidated revenue grew 11% to Rs. 4,346 Cr in FY25, led by Specialty Chemicals expansion. Q4 revenue rose 10% YoY to Rs. 1,151 Cr. EBITDA jumped sharply to Rs. 219 Cr (5% margin) from Rs. 26 Cr (1%) last year, driven by better pricing and operational leverage. PAT loss narrowed to Rs. 110 Cr versus Rs. 158 Cr previously. The balance sheet remains stable with total assets at Rs. 6,503 Cr and net debt around Rs. 1,840 Cr. Inventory and receivables are well controlled. Capex includes a Rs. 340 Cr greenfield R32 refrigerant gas plant under development.

2. Strategic Initiatives & Growth Drivers:

Ramp-up of Specialty Chemicals capacity continues with MPB 2 operational and MPB 3 underway. Paste PVC capacity at Cuddalore nearing 90% utilization. New R32 refrigerant gas project aims to capture AC/refrigeration market by H2 CY2026. Emphasis on import substitution via backward integration and proprietary tech, especially in Specialty Paste PVC. Ongoing infrastructure and capacity expansions support scaling ambitions.

3. Business Developments:

Custom Manufactured Chemicals revenue surged over 80%, backed by long-term clients and six new molecule LOIs. Expansion in additive chemicals (Caustic Soda, Hydrogen Peroxide, Chloromethanes) ongoing. Anti-dumping duties on some Asian Paste PVC imports improve competitive positioning, though imports from EU/Japan remain; investigations continue.

4. Market Position & Competitive Advantage:

Chemplast Sanmar holds ~66% share in Specialty Paste PVC and is the second largest Suspension PVC player nationally. Strong backward integration drives cost and flexibility benefits. Custom Manufacturing is a trusted partner for complex, IP-sensitive chemistries. Eco-friendly, zero liquid discharge plants enhance sustainability and market reputation. Technology and customer relationships fortify leadership.

5. Investor Implications:

Specialty Chemicals and Custom Manufacturing growth, coupled with the R32 project, provide positive growth potential amid strong market demand. Margin improvement signals operational turnaround despite short-term dumping challenges. Execution of capacity builds and favorable regulatory outcomes will be crucial to sustaining margins and expanding market share.