Mcon Rasayan India Limited — PPTs, 28-05-2025: Investor Presentation

1. Financial Highlights:

Mcon Rasayan posted revenue of ₹507.5 Mn in FY25, up 20.5% YoY. EBITDA rose 10.4% to ₹58.5 Mn, with margins at 11.5%, down 105 bps. PAT grew slightly by 1.5% to ₹22.7 Mn, with a 4.5% margin, down 84 bps. Net worth improved to ₹258.5 Mn, with short-term borrowings at ₹134.9 Mn. Inventories and receivables expanded in line with sales. ROCE remains strong at 13%, with steady ROE improvement.

2. Strategic Initiatives & Growth Drivers:

Manufacturing capacity expanded to 48,200 MTPA across powder and liquid segments, leveraging the FOCO (Franchise-owned Company-operated) model for agile geographic growth. FY25 included 9 new product launches and onboarding of 31 distributors, focusing on higher value-added products. Capex targets setting up plants in North, West, and South India to strengthen regional supply chains and cut logistics costs.

3. Business Developments:

Institutional sales gained momentum via MHDC supplier approvals for ₹80,000 Cr PMAY projects in Maharashtra. The company is collaborating with specialists to build 15 production hubs nationwide. Distribution widened to 112 distributors and over 1,800 retailers. Continued R&D efforts and strategic alliances with major developers support innovation and enhance order visibility.

4. Market Position & Competitive Advantage:

Mcon Rasayan leads India’s construction chemicals market with 100+ diversified products across 12 categories, many ISI-certified. Its strong brand, broad retail and institutional footprint, and scale offer cost and penetration advantages across seven states and 19+ cities. The FOCO model boosts localized quality control and margin expansion.

5. Investor Implications:

The company shows positive growth potential driven by capacity ramp-up, product innovation, and expanding institutional tie-ups. Healthy ROCE indicates efficient capital use. Execution risks include margin pressure from raw material and logistics inflation and scaling challenges in new regions. Investors should watch margin trends and expansion execution as signs of sustainable profitability.