GULSHAN

POLYOLS LIMITED
Expanding Potential

Investor Presentation August, 2022.

 Safe harbour

Certain statements in this document may be forward-looking statements. Such

forward-looking statements are subject to certain risks and uncertainties like
government actions, local, political, or economic developments, technological risks,
and many other factors that could cause our actual results to differ materially from
those contemplated by the relevant forward-looking statements. Gulshan Polyols
Limited will not be in any way responsible for any action taken based on such
statements and undertakes no obligation to publicly update these forward-looking
statements to reflect subsequent events or circumstances.

Investor Presentation August, 2022. 02

 From the desk
of the Chairman....
We are encouraged to witness revival in demand and consumption across
markets. In sync with revival in demand, we increased production in a staggered
manner across our production facilities. Gulshan has marked impeccable
growth and achieved many admirable wins and milestones through the FY22
and continue to do so in Q1 FY23. Our primary focus in the years to come is was
towards undertaking all necessary measures to maintain, excel and expand our
business operations.

I am delighted to share with you that despite challenging cost headwinds

prevailing in the sector that we operate in we continue to grow profitably.
Revenue from operations in Q1 FY23 increased to INR 2701.83 MN from INR
2,385.55 MN in Q1 FY22 showing a healthy growth of 13.26%. The Company
remains focused on executing its major capex with sound financial
management. Further, Company is undertaking effective cost controls to
maintain resilient and healthy cash flow

Moving towards government initiative on “Ethanol Blending Petroleum

Program” on petrol blending with Ethanol up to 20% by 2025, we are very
much enthusiastic about future outlook of Ethanol business and accelerated its
expansion plan in both existing and new geographies, emphasizing growth
potential in the Indian bio-ethanol space. Gulshan has great potential to grow
and is constantly scouting for opportunities. We believe that Gulshan can
become one of the major players in Ethanol segment in the coming 3 years.

Investor Presentation August, 2022. 03

 VISION
Achieve, Expand,
Innovate, Evolve
MISSION
To be a profitable, efficient
and customer focused
organization, recognized as
a leading supplier of quality
products and services.

Investor Presentation August, 2022. 04

 Company Overview
Gulshan Polyols Limited Gulshan's product portfolio
("Gulshan") is a multi-location, comprises of starch sugars and
multi-product manufacturing native starches, calcium
company with global presence carbonate; agro based animal
in 35+ countries, across various feed, alcohol business & on-site
continents. The company PCC plants. Gulshan is providing
features three main business solution to diverse range of
segments namely, Grain Industries & niche markets in
Processing, Ethanol production core sector i.e., from toothpaste
and Mineral Processing. to alcohol, from sweeteners to
GULSHAN is amongst one of the paints, from paper to medicines,
market leaders in from plastics to personal care.
manufacturing sorbitol, Gulshan has an impressive
precipitated calcium carbonate clientele comprising of the
(PCC) and wet ground calcium nation’s Top FMCG’s, Leading
carbonate (WGCC). The paint manufactures and many
Company is planning to expand reputed brands. Gulshan was
its footprints in Ethanol recognized by Government of
production segment and has India as Star Export House
embarked on a significant capex Since year 2016, for consistent
plan for manufacturing ethanol export of products to various
using damaged food grains. By parts of the world and holds
FY24 the Company plans to record for introducing on-site
expand its ethanol capacity to PCC plant as per Limca Book of
810 KLPD from current 60 Records in 2010.
KLPD.

Investor Presentation August, 2022. 05

 Quarterly Performance at a glance
Revenue from Operations EBITDA EBITDA% PAT
INR Mn INR Mn INR Mn INR Mn
3000 500 20 300

2,922.27
250

18.20%

18.20%
2500
2,701.83

435.30
400

261.62
15
2,385.55

2000 200
300

1500 10 150

260.04

8.90%
200

217.83

8.90%
8.05%

8.05%
1000 100

116.68
101.86
5
100
500 50

0 0 0 0
Q1FY23 Q1FY22 Q4FY22 Q1FY23 Q1FY22 Q4FY22 Q1FY23 Q1FY22 Q4FY22 Q1FY23 Q1FY22 Q4FY22

PAT % Segment Revenue INR Mn Segment Results INR Mn

INR Mn (Sales and Other Operating Income) (Profit before tax and Interest)
Q1FY23 Q1FY23
12 2500 250
Q1FY22 Q1FY22

246.70
Q4FY22 Q4FY22
10
10.97%

2,126.55
2000 200
2,005.82

1,757.78
8
1500 150

83.04

119.18
1000 100

111.12
439.90

525.12
453.02

38.00
36.84
242.99

270.60
3.99%
3.77%

186.04

24.79
500 50

16.79
2

4.00
0 0 0
Q1FY23 Q1FY22 Q4FY22 Ethanol / Distillery Grain Processing Mineral Processing Ethanol / Distillery Grain Processing Mineral Processing

(minor differences due to rounding off)

Investor Presentation August, 2022. 06

 Financial Snapshot
Revenue from Operations EBITDA EBITDA Margin PAT
INR Mn INR Mn INR Mn
12000 2000 20 1000
11,007.26

17.31%

852.49
10000
800
15

1,521.65
1500

13.80%
8000

1,330.41

621.17
7,660.34

600

11.23%
6000 6,207.98 1000 10

400
4000

698.23

205.84
500 5
200
2000

0 0 0 0
FY22 FY21 FY20 FY22 FY21 FY20 FY22 FY21 FY20 FY22 FY21 FY20

PAT Margin ROE ROCE Debt/Equity Ratio

10 20 30 0.30

0.27
25 0.25
8.11%

8
7.74%

15
20 0.20

19.84%
13.01%

6
12.27%

0.17
16.96%
10 15 0.15

11.90%
10 0.10
3.32%

6.74%

5
2
5 0.05

0.0
0 0 0 0.00
FY22 FY21 FY20 FY22 FY21 FY20 FY22 FY21 FY20 FY22 FY21 FY20
(minor differences due to rounding off)

Investor Presentation August, 2022. 07

 Leadership pool

Dr. Chandra Kumar Jain Mrs. Arushi Jain Mrs. Aditi Pasari Mr. Ashwani Kumar Vats Mr. Rajiv Gupta
Chairman & MD Joint Managing Director Joint Managing Director CEO & Whole TIme Director Chief Financial Officer

Gulshan Polyols Ltd. is Mrs. Arushi Jain is MS in Mrs. Aditi Pasari is MBA Mr. Ashwani K Vats, Mr. Rajiv Gupta is a
conceived and promoted marketing from City from Cardiff University, graduate with PG Chartered Accountant
by Dr. Chandra Kumar University of New York, UK. She is actively Diploma in Marketing by profession with 30
Jain, who is a sugar USA and Diploma in involved in the day to and Management, has years of rich & varied
technologist and has been Banking Technologist day Financial planning, vast experience in the experience, looks after
awarded a doctorate from AIB, USA. She Sales and calcium carbonate the Financial,
degree in Chemistry. He overviews operations Administrations and industry and has been Accounting and
has been leading the and technology. managing Investor associated with the Taxation work of the
company with a highly Relations for the company for over 3 company.
experienced team of company. decades.
professionals for 38 years.

Investor Presentation August, 2022. 08

 Our journey so far...
Increased Increased
Incorporated capacity of capacity of Incorporation
as Gulshan Calcium Calcium of Gulshan
Sugars and Carbonate Carbonate Polyols
Chemicals from 10,500 from 22,500 Limited by
Limited MT to 22,500 MT to 32,000 demerger of
(GSCL). MT. MT. GSCL.

1981 1984 1989 1991 1994 1997 2000 2005

Increased IPO & Set up Starch Increased

capacity of Listing Sugar plant at capacity of
Calcium on BSE. Bharuch with Sorbitol from
Carbonate capacity of 15,000 MT to
from 2,100 MT 15,000 MT. 60,000 MT.
to 10,500 MT.

Investor Presentation August, 2022. 09

 Contd... Set up an Alcohol plant at
Borgaon, Madhya Pradesh.
Set up another Starch
Sugar unit at Muzaffarnagar
for Dextrose Monohydrate,
Malto Dextrin, Liquid
Set up PCC Set up CC Glucose, Glucose Powder,
FPO
plant at Ponta plant at Abu using rice as raw material.
by
Sahib. Road. Set up third On-site PCC
GSCL.
plant for ITC Limited at
Hooghly.

2007 2008 2009 2010 2012 2013 2014 2015

Merger of Set up First Set up Listing on NSE

GSCL with On-site plant another Set up two Onsite
Gulshan at Sahibabad. On-site Plant Plants on turnkey
Polyols at Patiala, basis in
Limited. Punjab. Bangladesh
Setup Onsite
Satellite PCC Plant
for Orient Paper
Mills – Birla Group,
Madhya Pradesh.

Investor Presentation August, 2022. 10

 Contd...
Setup Native Set up onsite New plant
Starch Plant at plant in setup for
Muzaffarnagar, Silverstone Ethanol
Uttar Pradesh Muzaffarnagar, production at
using corn as Uttar Pradesh. Assam.
raw material.

2016 2017 2018 2019 2021 2022

Started Fructose Started Ethanol Signed long-term

Plant in Production at offtake agreement
Muzaffarnagar, Madhya with OMCs for
Uttar Pradesh Pradesh plant. supply of Ethanol for
Started ENA 10 years effective
Production at from January 15,
Madhya Pradesh 2022 under EBP
plant. Program.

Investor Presentation August, 2022. 11

 Our geographical presence

Registered Office : Muzaffarnagar

Corporate Headquarters : Delhi

Muzaffarnagar
Marketing Office : Mumbai

MANUFACTURING UNITS

Grain Processing Units : Gujarat, Uttar Pradesh

Ethanol Production Units : Madhya Pradesh, Assam

Mineral Processing Units : Uttar Pradesh,

Himachal Pradesh, Rajasthan

On-site PCC Plants : Punjab, West Bengal,

Uttar Pradesh, Madhya Pradesh
LOCATIONAL ADVANTAGE
1. 9+ (Including On Site PCC) Plants spread across country
2. Plants located in and near the raw material belt
3. Plants are located near consumption centers and have
central location which enables in quicker turnaround
time and efficiencies in supply chain
4. Plant location near coal belt which allows reliable and
consistent supply of power

Investor Presentation August, 2022. 12

 Exporting to 35+ countries
scattered over 5 continents
Asia Africa
Afghanistan Abidjan
Bangladesh Cameroon
Indonesia Congo (DRC)
Iraq Senegal
Iran Egypt
Jordan Ghana
Malaysia Kenya
Myanmar Nigeria
Nepal South Africa
Pakistan Sudan
Saudi Arabia Tanzania
Sri Lanka Tunisia
South
Syria
North America
Thailand
America Argentina
Turkey
Canada Brazil
UAE, Dubai
Costa Rica Colombia
Vietnam
El Salvador Ecuador
Guatemala Paraguay
Jamaica
Nicaragua Australia

Investor Presentation August, 2022. 13

 Segmental overview

Grain Processing Mineral Processing

Ethanol

Investor Presentation August, 2022. 14

 Financial performance across
Business segment
(INR MN)
FISCAL FY22 FY21
Particulars Grain Ethanol Mineral Grain Ethanol Mineral
Processing Processing Processing Processing

Revenue From operations 8,091.53 1,972.93 940.96 5,408.06 1,326.96 923.75

Segment profits 814.08 245.33 127.86 663.10 157.93 172.91

Segment margins 10.06% 12.43% 13.59% 12.26% 11.90% 18.72%

FISCAL FY20 FY19

Particulars Grain Ethanol Mineral Grain Ethanol Mineral
Processing Processing Processing Processing

Revenue From operations 4,843.06 50.45 1,314.47 5,214.90 319.14 1,204.82

Segment profits 109.18 -47.32 329.13 411.39 -175.05 170.61

Segment margins 2.25% -93.80% 25.04% 7.89% -54.85% 14.16%

*Segment profit figures are before finance costs and taxation.

Investor Presentation August, 2022. 15

 Revenue 155.78

contribution
2%
891.59
12%
28%
2,128.73
271.86 4%

by key Revenue
in FY21 % of total

products
15%
(MN ₹) Revenue
1,182.02
17%
1,328.94

811.85 11%
889.58 12%

Sorbitol 192.71 2%
1,370.98
Fructose & Sweetner 12%
23%
2,568.74
274.24 2%
Starch
Calcium Carbonate Revenue
% of total
By Products in FY22 20%
Revenue
2,149.16 (MN ₹)
Liquor/Hand Sanitizer 18%
1,941.27

Ethanol
833.88 8%
Others 1,676.30 15%

Investor Presentation August, 2022. 16

GRAIN PROCESSING
SEGMENT OVERVIEW
 Grain processing
Overview
BUSINESS END USE
SEGMENT INPUT OUTPUT
INDUSTRIES

The company supplies to

• Maize Starch Powder leading manufacturers of :-
CORN / MAIZE • Animal Feed Oral Care, Paints
• Sorbitol 70% solution Animal feed
• Liquid Glucose
The company supplies to
GRAIN leading manufacturers of
PROCESSING Food & Pharmaceuticals.
• Dextrose Monohydrate
The company supplies to
• Malto Dextrin Powder leading manufacturers of
RICE
• Glucose Powder Paper & Packaging Industry
• Rice Gluten products, Food products,
• Rice Syrup Textile & Adhesive

Investor Presentation August, 2022. 18

 Capacity utilization
trend
FY20 FY21 FY22 Q1FY23
Sorbitol (Bharuch)
Installed Capacity (MT) 72,000 72,000 72,000 18,000
Capacity utilization (MT) 54,000 56,378 64,214 16,248
Capacity utilization (%) 75% 78% 89% 90%
Starch (Muzaffarnagar)
Installed Capacity (MT) 73,800 73,800 73,800 18,450
Capacity utilization (MT) 36,887 38,179 60,216 12,872
Capacity utilization (%) 50% 52% 82% 70%
Sugar (Muzaffarnagar)
Installed Capacity (MT) 36,000 36,000 36,000 9,000
Capacity utilization (MT) 17,285 30,392 42,212 8,062
Capacity utilization (%) 48% 84% 117% 90%

Investor Presentation August, 2022. 19

 Highlights
of the Grain
Processing
Segment

2 facilities with a Facilities with strong Maize starch, the Fructose syrup is
combined capacity of quality checks, R&D second major product another major product
1,81,800 MTPA for Department and after sorbitol, is used in this segment, which
producing starch captive consumption by the semi kraft is serving the food
sugars at Bharuch power plant of 7.5 paper industry for and beverage
(Gujarat) and MW and 6.75 MW making corrugated industry is showing a
Muzaffarnagar (Uttar boxes ( demand very high growth rate.
Pradesh) One of the Largest supported by
exporter of Sorbitol e-commerce boom) Currently grain
One of the largest in India with a processing is the main
manufacturer of presence in 35+ The company’s plant revenue generator for
Sorbitol with countries across is situated in and the company with the
capacity of 72,000 various continents. around the paper contribution of 75%
MTPA with leading belt in Muzaffarnagar (approx.) to the total
market share which gives us revenue.
strategic locational
advantage.

Investor Presentation August, 2022. 20

ETHANOL SEGMENT
OVERVIEW
 Ethanol segment
overview
BUSINESS END USE
SEGMENT INPUT OUTPUT
INDUSTRIES

The company has

Ethanol (bio-fuel) agreements with
DAMAGED Country Liquor
Ethanol OMCs, Reliance and Nyara
FOOD GRAIN Grain-based ENA Energy for EBPP,
DDGS Liquor, Animal Feed

Capacity utilization trend

FY20 FY21 FY22 Q1FY23

Ethanol/RS/ENA/CL (Borgaon)

Installed Capacity (LTR) 1,80,00,000 1,80,00,000 1,80,00,000 45,00,000

Capacity utilization (LTR) 6,14,066 2,06,28,158 2,73,01,756 61,83,948

Capacity utilization (%) 3% 115% 152% 137%

Investor Presentation August, 2022. 22

 Key highlights of
ethanol segment

20% ethanol One of the first KLPD and 750 Have entered
blending target and pioneer in KLPD in into 10 year
from current ~ producing development. long offtake
9.5% gives ethanol from Facility agreement
immense damaged grains. backed by with OMCs for
opportunity for Current capcity inhouse ~50% of
growth. of 60 captive power capacity.
plant of 2.2
MW.

Investor Presentation August, 2022. 23

PROSPECT OF ETHANOL
SEGMENT
 Current ethanol blending levels

9.9%
10 Ethanol Procrement by
OMC’s (in crore litres)
Blending in Petrol achieved % 8.0%
8

2 9%
GR
6 CA
5.0% 5.1%
4.2%
4 3.5%
2.33% 2.1%
2 1.53%

0
2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22

OMC have finalized tenders for 428.56 Cr. Litres out of which 415.88 Cr. Litres has been contracted
out of which 186.2 Cr. Litres has been delivered till 8th May 2022 resulting in Pan India Ethanol
Blending of 9.9%.

Source: Report of the Expert Committee, NITI Aayog | Ministry of Petroleum and Natural Gas

Investor Presentation August, 2022. 25

 The journey to 20% ethanol blending
creates massive growth opportunity
15000 Sugar Based Ethanol 15000 Sugar Based Ethanol 12000 Sugar Based Ethanol

Grain Based Ethanol Grain Based Ethanol Grain Based Ethanol

10000
12000 12000

8000

7600 7400
7300 7000
7250 4500
9000 9000

5500 4380

5500 4660
6840 6660

1230
6600 6260
6250 3500

6250 3500

4900 2080
1920

6000 3880
6000
5190 3000

5350 2930

5190 3000
1070
4500 2600

4400 2670

2600
2580

6000 6000

1660

4500 420
4000

4250
3300
4260

1570 160
4000

2900
3000 3000
2000

2570
0 0 0
19/20 20/21 21/22 22/23 23/24 24/25 25/26 19/20 20/21 21/22 22/23 23/24 24/25 25/26 19/20 20/21 21/22 22/23 23/24 24/25 25/26

Distillation Capacity (in Million Ltrs) Ethanol Demand (in Million Ltrs) Ethanol Available for Fuel (in Million Ltrs)
20 20
3500 Sugar Based Ethanol 20 Sugar Based Ethanol 25 Sugar Based Ethanol

Grain Based Ethanol Grain Based Ethanol Grain Based Ethanol

3000
15
20
15
2500
12

11.1 8.9

10.8 9.2
15

10.5 4.5
2000 8.5 10
2000

9.3 2.7
10
1.1

7.6 2.4
1500

1600

1800

1900
1700

1500 5
1500

10

7 17.2
6.5 15.7
1340

7.4
0.5

1000
1100

1100

1100

1100
1100

5.3 9.6
1000

4 7.3
3.4 6.7
5
4.5

2.0 4.7
500

4.2
0.8
0 0 0
19/20 20/21 21/22 22/23 23/24 24/25 25/26 19/20 20/21 21/22 22/23 23/24 24/25 25/26 19/20 20/21 21/22 22/23 23/24 24/25 25/26

Ethanol available for other uses (in Million Ltrs) Ethanol Blend (%) Sugar Diversion / Grain Usage For Ethanol (MMT)

Source: Report of the Expert Committee, NITI Aayog | Ministry of Petroleum and Natural Gas
Investor Presentation August, 2022. 26
 Multiple benefits to the
government and society
We are positive about the multifold growth of Ethanol in India

Import Substitution:
Blending crude oil with ethanol would reduce Sustainable Consumption:
import dependency and improve Balance of Ethanol as a bio-fuel contributes to
Payments reduction in carbon footprint

2 3

Linked to farmers: Employment Opportunities:

The Government is supporting farmers 1 4 Providing livelihood to local
by promoting ethanol from communities
damaged food grains

6 5
Policy Advancement: Logistical Support:
New policies would encourage the use of 100% Government is setting up pumps to
ethanol-efficient vehicles creating huge demand support supply from ethanol
for ethanol in the future manufacturers

Investor Presentation August, 2022. 27

 Very supportive governement
policies favouring investment
Recent interventions by both the Central Government and the State Government reflect a gradual shift towards sustainable blending
of ethanol which augurs well for the industry. Presently, 14 states allow unrestricted interstate movement of ethanol in India with
more states undergoing positive policy changes.

Ethanol prices delinked from crude or petrol prices

₹ Differential and attractive prices for ethanol produced from damaged/surplus

food grains, broken rice and maize

A lower GST of 5% on ethanol from 18%

Government Interest subvention scheme for molasses and grain-based distilleries (DFPD)
Support

Setting of standards for E5 (Ethanol 5%, Petrol 95%), E10 and E20 blends of ethanol
blended petrol, as well as introducing E100 two-wheeler vehicles

BS-VI Emission norms effectively applicable for E-20 Vehicles

Source: ‘Roadmap for Ethanol Blending in India 2020-25’

Investor Presentation August, 2022. 28

 Subsidies provided by
state governments
MADHYA PRADESH
Sr. No. Kind of Concession Concession sought
by the Company (Rs.)
1 Production LinkedFiscal Assistance @ 1.50 Per Litre for 7 Years 1,73,25,00,000
2 One-time reimbursementon Stamp Duty and Registration Charges 44,04,000
3 Electricity duty exemption on captive power plant for 5 years 31,41,00,000
Electricity duty exemption on grid for 5 years 20,94,000
4 Zero Liquid Discharge 10,00,00,000
5 Investment Promotion Assistance on Plant & Machinaery @ 40% of Plant & Machinery 86,00,00,000
Total - 3,01,30,98,000

ASSAM Assam Industrial & Investment Ethanol Production & Promotion

Policy 2019 (AIIP) Policy of Assam 2021 (EPPPA)
Northeast Industrial Development Scheme, DPIIT (NEIDS) Year Total Year Total
Year Total SGST 91,85,73,702 SGST 32,56,66,897
Component Power 2,50,00,000 Power 3,75,00,000
CCIIAC (Capital Subsidy) 5,00,00,000 Interest 2,50,00,000 Interest 2,50,00,000
CII (Interest on W/C) 13,20,00,000 on W/C on W/C
CCII (Insurance incentive) 1,00,13,000 Employees 3,00,000 Employees 3,00,000
CGST & IGST (58%) 58,12,46,798 Incentives Incentives
IT reimbursement (Income tax) 68,58,54,419 ETP 25,00,000 ETP 25,00,000
Transport Incentive - Total 97,13,73,702 Total 39,11,66,897
Employment Incentive (EPF/EPS) 54,00,000
Total 1,46,45,14,217 Total Incentives 2,82,70,54,816

Investor Presentation August, 2022. 29

MINERAL PROCESSING
SEGMENT OVERVIEW
 Mineral processing
segment overview
Business Segment Input Output End Use Industries

Mineral Processing Lime Stone Precipitated Calcium Carbonate The company supplies to leading
Activated Calcium Carbonate manufacturers in the sector of
Wet Ground Calcium Carbonate Paints, Polymers, Plastics & PVC
formulations Pharmaceuticals
Paper, Oral Care, FMCG

Our Manufacturing Capacities

Plants Products UOM Installed Capacity

Muzaffarnagar, UP Calcium Carbonate MT 50,400

Paonta Sahib, Himachal Pradesh Calcium Carbonate MT 60,000

Abu Road, Rajasthan Calcium Carbonate MT 60,000

Investor Presentation August, 2022. 31

 Key highlights of mineral
processing segment
Gulshan’s manufacturing facilities have an integrated combined capacity of producing
more than 170,400 MTPA of calcium carbonate products.

Gulshan’s dedicated manufacturing facilities are equipped with in-house microbiology laboratory
and state-of-the-art research facilities.

Company manufactures 19 grades of calcium carbonate.

Gulshan is the market leader and hold a healthy market share in the calcium
carbonate business segment in India.

Company exports to neighboring countries like Nepal, Bangladesh, Nigeria, and U.A.E.

Investor Presentation August, 2022. 32

 On-Site PCC / WGCC Plants
One of the largest calcium
carbonate manufacturers, with one
of a Kind On Site PCC Plant and
Expertise in commissioning WGCC
plants within and outside India..

Company provides the raw

materials and expertise to set up
and maintain an on-site PCC plant.
This reduces energy consumption
and drying time for users

Gulshan Polyols Ltd. has

successfully installed multiple
on-site PCC plants for paper
companies.

Holds Limca Book

of record for such
innovation.

Investor Presentation August, 2022. 33

 Capex update
Gulshan is looking at a total BUILDING CAPACITIES FOR THE ETHANOL SEGMENT
capex of INR 4,500 MN over
the next 12 months, out of The Company has embarked on a humungous capex plan to build
which INR 3,000 MN will be two plants dedicated to the production of Ethanol for the
required to set up the 500 Government’s Ethanol Blending in Petroleum Programme- 2025. The
KLPD Ethanol plant in the state sites are located at two locations viz.
of M.P. and INR 1,500 MN will
be required for expanding the
aggregate capacities across 500KLPD plant at Boregaon, 250 KLPD Ethanol Plant at Goalpara, Assam.
the grain processing division. Madhya Pradesh
Company has started land and site developmental
Further, an estimated capex of The aforementioned capital work at its Goalpara site at Assam for setting up a 250
INR 1,850 MN is to be expenditure is proceeding as KLPD Ethanol plant to take care of its next leg of
deployed for ethanol plant in planned. The company expects to growth.
Assam over next 24 months. commission this plant by FY 2023.

The Company plans to finance

this Capex through a loan of Grain Processing Division
INR 1,700 MN from HSBC Bank
for the Ethanol facility in M.P, The planned Capex for upgradation of capacities of
proceeds of the Qualified the grain processing division in Gujarat is ~ INR
Institutions Placement (‘’QIP’’) 1,500 MN. The company expects ~ 20% increase in
and internal accruals. total combined capacities of the plants. The
Company is progressing well on the said capex.

Investor Presentation August, 2022. 34

 Industry outlook
Company will be able to achieve good financial performance owing to structural industry tailwinds in the sectors that we operate. Segment
wise industrial growth opportunities are as follows:

Grain Processing Ethanol Production

The India sorbitol market is a very dynamic market and is expected to With government’s increased focus on ethanol blending in petroleum,
witness steady growth over the forecast period. company believe that there is a long runway for growth.
Sorbitol, a key product offering, is a low-calorie sugar substitute used As per current statistics, ethanol blending stands at ~ 9.9% and is
in many products such as candies, chewing gum, ice cream, baked targeted to reach 20% by 2025-26.
goods, cosmetics, toothpaste, personal care products and In order to capitalize on this opportunity, the Company is augmenting
pharmaceuticals.
its capacity to 810 KLPD from 60 KLPD currently. This shall turn the
Liquid sorbitol segment is expected to hold the largest market share
by the year 2030. The segment growth can be attributed to factors company into a formidable player with a sizeable market share in
such as technological advancements in production, easy usability and distillation segment.
reduced manufacturing cost.
Owing to increased customer awareness, demand for low sugar and Mineral Processing
low-calorie products and diversified applications, company shall
continue to witness good growth rates. In mineral processing, our key product is calcium carbonate which is a
The Powder/Crystal sorbitol segment is expected to observe widely used compound as an industrial filler and finds application in
significant growth as it is widely used as additive in food for production paints, paper, plastic, rubber and pharma industries. With growth in
of frozen raw fish, dried squid thread, roasted fish fillet, and several
underlying industries, we shall continue to witness decent growth due
other aquatics products.
Liquid fructose is another product in which Gulshan is establishing its to our capabilities and diversified offerings.
strong footprints as a major supplier backed by heavy import As part of the growth strategy, company intends to stay focus on
substitution. setting up of innovative on-site PCC plants for our established clientele
by way of installing, commissioning, operating and maintaining at least
one on-site PCC plant every year, from which company will have
consistent revenue growth.
Source : Market Research Future Report

Investor Presentation August, 2022. 35

 Quarterly profit & loss statement
Particulars (INR Mn) Q1 FY23 Q1 FY22 YoY% Q4 FY22 QoQ% Financial Performance Comparison:

Revenue from Operations 2,701.83 2,385.55 13.26% 2,922.27 -7.54% Q1 FY23 vs Q1 FY22
Other Income 4.68 4.15 11.02
Revenue from Operations grew by healthy
Total Revenue 2,706.50 2,389.70 13.26% 2,933.29 -7.73% 13.3% from INR 2,385.55 Mn in Q1 FY22 to INR
2,701.83 Mn in Q1 FY23 backed by healthy
Raw Material Cost -1,601.46 -1,183.34 -1,557.40 growth across our three segment.
Employee Expense -85.23 -82.36 -124.88
EBITDA degrew by 50% from INR 435.30 Mn in
Other Expenses -801.98 -688.70 -990.96 Q1 FY22 to INR 217.83 Mn in Q1 FY23 owing to
decline in EBITDA margin from 18.2% to 8.0%
EBITDA (Includes Other Income) 217.83 435.30 -49.96% 260.04 -16.23% primarily led by commodity cost headwinds
faced by the industry on account of continued
EBITDA Margin (%) 8.05% 18.22% 8.87% high inflation in the prices of basic raw materials,
Depreciation -70.59 -75.69 -84.84 rice and maize. Further, global supply chain
issues related to coal supply has also led to
Finance Cost -10.88 -8.20 -13.75 significant increase in power cost which
impacted the margin.
PBT Before Exceptional Item 136.37 351.42 161.45
Net profit has decreased by 61.1% from INR
Exceptional Items 0.00 0.00 0.00
261.62 Mn in Q1 FY22 to INR 101.86 Mn in Q1
PBT 136.37 351.42 -61.20% 161.45 -15.54% FY23. The Net Profit Margins were at 3.8% in Q1
FY23 from 10.9% in Q1 FY22 due to increased
Tax -34.51 -89.79 -44.77 operating costs as mentioned above.
PAT 101.86 261.62 -61.07% 116.68 -12.71%

Other comprehensive profit / loss -0.13 0.00 -1.85

Net PAT 101.99 261.62 -61.02% 118.53 -13.97%

PAT Margin % 3.76% 10.95% 3.98%

Diluted EPS 1.96 5.28 -62.87% 2.24 -12.50% (minor differences due to rounding off)

Investor Presentation August, 2022. 36

 Management guidance/
financial outlook

Management is expecting a The company is expected to With the addition of capacities in

revenue of ~ ₹ 2,300 crores have an EBITDA margin of ~ the ethanol segment, the
by FY24 and ₹ 2,800 crores 13% to 14% over FY 23 & FY revenue mix will change.
by FY25 on back of 24. Currently, ~75% of the revenue is
significant capacity contributed by grain processing
expansion in Ethanol segment, about 18% from
segment. Ethanol processing segment
and Balance 7% from Mineral
processing segment. After
commissioning of new
capacities, management is
expecting ~50% revenue from
Ethanol segment and balance
~50% from grain processing
segment. The contribution from
mineral processing segment will
gradually decrease.

Investor Presentation August, 2022. 37

 Capital market information
Shareholding Pattern as on 3Oth June, 2022 Stock Performance Of Last One Year

Particulars
Share Price Movement
Promoter and Promoter Group 66.65%
400.0
Public 29.29%
Mutual Funds & FPIs 3.84% 350.0

Employee Trust 0.23%

300.0
TOTAL 100.00%

250.0
Market Indicators
200.0
Issued Shares 5,19,75,489
Share Price (08-08-2022) 258.6 150.0 Jul-21

Jul-22
Oct-21

Dec-21
Sep-21

Jun-22
Jan-22
Nov-21

Apr-22
Aug-21

Mar-22
Feb-22

May-22

Aug-22
Market Cap (₹ MN) 13,438.3
52 Weeks High/Low 429.0/204.7
Source BSE

Investor Presentation August, 2022. 38

 CSR
Gulshan Polyols Ltd. actively contributes to the social and economic development of the communities in which the company
operates. In so doing Gulshan build a better, sustainable way of life for the weaker sections of society and raise the country's
human development index.
Gulshan have always considered sustainable development the keystone of business strategy. Gulshan’s strategy includes nurturing
close and continuous interaction with the people and communities around our manufacturing divisions, bringing qualitative changes
in their lives and supporting the underprivileged.
Gulshan’s focus is on the all-round development of the communities located mostly in distant rural areas.

Rural Development Projects

• Implementing community need-based projects in rural areas focusing on quality education and health facilities.
• Providing access to electricity to households in remote rural areas.
• Micro projects in rural areas that are community need-based - to promote local community development.
In line with the Swachh Bharat campaign, one of the primary focus areas under CSR, is creating conducive environment for children
in schools by providing sanitation infrastructure. Besides, Gulshan have also provided facilities for potable water as well as
improvement in basic infrastructure in schools neighbouring our facilities, which includes the following:
• Construction / repair of school buildings & facilities including boundary walls, separate toilets for boys & girls.
• Provision of adequate furniture including desks and chairs for students and teachers, closets, blackboard, sound system, etc.
• Development of playground with new swings and sporting equipment.
• Provision of uniforms, books, stationery, computer & Laboratory equipment etc., to schools.
• Promote computer literacy and technology assisted learning.
• Provision of drinking water by RO water system and
• To promote Technical/ professional/ medical education by giving financial assistance through Organizations/ infrastructural
support.

Investor Presentation August, 2022. 39

 Awards & certifications

Investor Presentation August, 2022. 40

 THANK YOU
For further information on the Company, please visit
www.gulshanindia.com

Krunal Shah | Naman Maheshwari

Asha Mittal Captive IR Strategic Advisors Pvt. Ltd.
Gulshan Polyols Limited
Email: [email protected] /
Contact: +91 11 49999200
[email protected]
Email: [email protected]
Contact: +91 93724 67194

Investor Presentation August, 2022. 41