DIL Limited sustains performance; begins FY 20 on a steady note

Consolidated Revenue stable at Rs. 84.1 cr in Q1 FY20 as against Rs. 83.5 cr in Q1 FY19 despite maintenance and de-bottle necking shutdown in May 2019; EBITDA margin at 32.6%

Mumbai, August 06, 2019: DIL Ltd. (BSE: 506414) today announced the results for the first quarter of the current financial year. The consolidated results, which include the results of Fermenta Biotech Ltd., DIL Ltd.’s 91.2% subsidiary, showed DIL Ltd. maintaining a steady performance despite a planned shutdown of the Dahej plant to carry out majorrepairs and maintenance work and de-bottle necking program in the month of May 2019.

The highlights of DIL Ltd.’s Consolidated Financial Performance for the quarter ending June 30, 2019 include:

• Total Revenue (including other income) at Rs.84.09 cr as against Rs.83.45 cr in Q1 FY19

• EBITDA (including other income) at Rs.27.42 cr. Margins strong at 32.6%
• PAT at Rs.14.06 cr as against Rs.16.68 cr in Q1 FY19

The highlights of the results of Fermenta Biotech Ltd., 91.2% subsidiary of DIL Limited and the only manufacturer and supplier of Vitamin D3 (Cholecalciferol) in India and amongst the leading players globally, also showed a steady trend with revenues stable at Rs.80.1 cr as against Rs.79.7 cr in the corresponding quarter last year.

The highlights of Fermenta Biotech Ltd.’s financial performance for the quarter ending June 30, 2019 include:

• Total Revenue (including other income) at Rs.80.1 cr as against Rs.79.7 cr in Q1 FY19

• EBITDA (including other income) at Rs.26.9 cr. Margins firm at 34%
• PAT at Rs.16.3 cr as against Rs. 21.1 cr in Q1 FY19

Commenting on the performance, Mr. Satish Varma, Managing Director, Fermenta Biotech Ltd. said,       “The start ofthe new financial year has been satisfactory despite a nearly one-month maintenance and      de-bottlenecking shutdown taken in May 2019. During the quarter, the Revenue from Vitamin D3 for Pharmaceutical use was Rs.34cr, contributing 45% to the overall revenue as compared to 29% YOY. The revenue from Vitamin D3 for Animal Feed usewas Rs.31 cr and contributed 41% to overall revenue as compared to 47% YOY. The prices of Vitamin D3 for AnimalFeed have shown a weaker tone as compared to earlier quarters. We anticipate a decrease in Vitamin D3 Animal Feeddemand for the coming few quarters from one of our largest Vitamin D3 customer who has indicated that due totechnical issues at their production facility, they would not be able to manufacture their product till the end of thisyear.”

He added, “We are ready with our internal planning for our capex at Sayakha in Gujarat, and are only waiting forEnvironmental Clearance. Once received, we will be able to move forward with the plans quickly. The capex will help usto increase our manufacturing capacity of Vitamin D3 and forward integrate into Dietary Nutritional Supplementproducts. Looking at the demand for Vitamin D3 backed by growing awareness, we continue to believe that the volumewill continue to grow at 15-20% CAGR over the next 5 years.”

Fermenta Biotech Limited (FBL) is the only manufacturer and supplier of Vitamin D3 (Cholecalciferol) in India andamongst the leading players globally. Apart from Vitamin D3, Fermenta also possesses expertise in integratedbiotechnology solutions such as enzymes for antibiotic synthesis and other niche APIs.

DIL Limited (Consolidated Results)
Particulars (Rs. Crs)	Q1 FY20	Q1 FY19	YoY%
Revenue*	84.1	83.5	0.8%
EBITDA*	27.4	29.2	-6.2%
Margin (%)	33%	35%
PAT	14.1	16.7	-15.7%
Margin (%)	17%	21%

*includes other income

Fermenta Biotech Limited
Particulars (Rs. Crs)	Q1 FY20	Q1 FY19	YoY%
Revenue*	80.1	79.7	0.5%
EBITDA*	26.9	28.7	-6.1%
Margin (%)	34%	36%
PAT	16.3	21.1	–22.9%
Margin (%)	20%	26%

*includes other income

Business Updates :

During the quarter, Fermenta Biotech Ltd. undertook a planned shutdown of Dahej plant to carry out major repairsand maintenance work and de-bottlenecking program that ended on May 29, 2019. Post completion of this de-bottlenecking programme, the production capacity increased by approximately 15%. The de-bottlenecking programme is part of the overall strategy to increase the production capacity.

Merger Update :

The shareholders and creditors of DIL Ltd. and Fermenta Biotech Ltd. approved the merger of Fermenta Biotech Ltd. withDIL Ltd. by voting on July 8, 2019 at the NCLT convened meeting. The merger process is awaiting final approval of NCLT.Post merger, the name of DIL Ltd. will be changed to Fermenta Biotech Ltd.