Sumitomo Chemical India Ltd

Summary

Q3FY23 Result Analysis

Performance Highlights –9MFY23

- At theindustry level, over all demand, particularly in the domestic market, was sluggish during the quarter, primarily as a result of a delay in sowing due to the extended monsoons and an increase in channel inventory as a result of as lower off take during the kharif season.The  inventory levels were also high, as the level of pest infestation was relatively low.

- Domestic volume growth during the quarter were largely benign due to the challenging environment. However, the decline in demand was partially offset by improved price realization. Sharpe decline in revenue from fungiside segment resulted into modest topline growth.

- The export growth continues to remain robust, while there are some some sing of slowdonw in Latin America due to high channel inventory. Recent capacity expansion investments should help sustain this encouraging trend. The export business has witnessed growth of 39% YoY in 9MFY23.

- 4 insecticide, 1 fungicide, 1 metal phosphide and 3 PGR products launched during 9MFY23.

- The companies efforts to enhance their porduct mix, revamp our distribution reach and scaling up our capacities positions us to deliver consistent results in the future.

- The company is steps to boost growth in both domestic and international markets. In recent years, the company had prioritized filling the gap in thier portfolio, particular for certain crops and pests. 

Q3FY23 and 9MFY23 Financial Performance

Revenue Breakup

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Sumitomo's Company Overview

Manufacturing Facilities

Capex Plan

Focus on R&D

3 fully equipped, DSIR approved R&D labs located at Mumbai, Bhavnagar and Gajod capable of synthesis, technical product and formulation development

R&D Team comprises of 75+ qualified and dedicated engineers & scientists of which 10+ are PhDs with more than 15 years of Experience

25+ patents granted across various geographies; 9 applications filed.

Product Pipeline

• Multiple products coming from initiatives
• Global Speciality Proprietary products to be launched in India
• New combination products/pre-mixtures currently under development for domestic and exports
• Off-patent products under development for domestic and exports
• Technical products approved for manufacturing and exports

R&D facilities to gain capability for creating new processes and new combinations using SCC Japan’s chemistries which would help improve  production processes and efficiency.

Full Year Financial Highlights