Q3 and Nine Months Period ended 31st Dec 2020

Results Presentation
January 2021
Safe Harbor Statement
This document contains certain forward-looking statements with respect to the financial condition, results of
operations and business of UPL Limited (UPL) and certain of the plans and objectives of UPL with respect to these
items. Examples of forward-looking statements include statements made about our strategy, estimates of sales
growth, future EBITDA and future developments in our organic business. Forward-looking statements can be
identified generally as those containing words such as “anticipates”, “assumes”, “believes”, “estimates”, “expects”,
“should”, “will”, “will likely result”, “forecast”, “outlook”, “projects”, “may” or similar expressions. By their nature,
forward-looking statements involve risk and uncertainty because they relate to future events and circumstances
and there are many factors that could cause actual results and developments to differ materially from those
expressed or implied by these forward-looking statements. These factors include, but are not limited to, domestic
and global economic and business conditions, the successful implementation of our strategy and our ability to
realize the benefits of this strategy, our ability to develop and market new products, changes in legislation, legal
claims, changes in exchange and interest rates, changes in tax rates, raw materials and employee costs, our ability
to identify and complete successful acquisitions and to integrate those acquisitions into our business, our ability to
successfully exit certain businesses or restructure our operations, the rate of technological changes, political,
economic and other developments in countries where UPL operates, industry consolidation and competition. As a
result, UPL’s actual future results may differ materially from the plans, goals and expectations set forth in such
forward-looking statements. For a discussion of factors that could cause future results to differ from such forward-
looking statements, see also Risk management, of our Annual Report.

Q3 and Nine Months Period ended 31st Dec 2020, January 2021
 Q3-FY2021
Business Update
Diego Casanello
Q3 Highlights: On track to deliver guidance
₹ 9,125 cr +3%
Revenue Volume +7%

44.2% +230bps
Gross Margin YTD +12bps

₹ 2,209 cr +6%
EBITDA Margin: 24.2%

117 days 19 days

Net Working Capital Reduction

₹ 793 cr +12%
YTD +56%
PAT

₹ 27,837 cr. ₹ 3,980 cr.

Reduction
Gross Debt
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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Q3 Performance Highlights
₹ crore
3% Revenue Growth vs PY:
Particulars Q3 Q3 B/(W) LY
FY 2021 FY 2020 •Strong volume growth in Europe, India, North America
(Proforma)1 and ROW and price improvements
Revenue 9,125 8,892 3% •Latin America impacted by a delayed season in Brazil
due to drought and unfavorable Fx
Gross Margin 44% 42% 230 bps 230 bps higher Gross Margin vs PY:
Fixed OH 1,8282 1,643 -11% •Margin improvement through price actions and COGS
savings and synergies
EBITDA 2,209 2,083 6%
•Favorable mix with sales of higher margin Differentiated
% Revenue 24.2% 23.4% +80 bps & Sustainable solutions growth
1. Purchase price allocation (PPA) effect of 7cr. is removed from FY2020 numbers
2 Includes a provision of 39.5 cr on account of an unfavourable court order for the industry pertaining to excise duty liability for previous years
Unfavorable SG&A vs PY:
•Higher bonus provisions an account of improved
Revenue Development by Region Revenue Variance
performance in most geographies
30%
21%
6% EBITDA Growth vs PY:
•Driven by Gross Margin growth
5% 6%
-8%

Latin North Europe ROW India

America America

Q3 and Nine Months Period ended 31st Dec 2020, January 2021
 Q3 Regional Highlights (₹ crore )

LATIN AMERICA NORTH AMERICA EUROPE REST OF WORLD INDIA

-8% 5% 30% 6% 21%
906
4,204 1,352 1,899 749
3,849 1,120
1,288 861
1,790

Q3FY21 Q3FY20
Q3FY21 Q3FY20 Q3FY21 Q3FY20 Q3FY21 Q3FY20 Q3FY21 Q3FY20

LATAM impacted by UPL bringing alternatives Normalized season and Solid growth in sales despite
Growth driven by weather
delayed season to gaps created by Glufosinate demand market slowdown in Q3
and market share gains
banned products continue to drive growth
• Season delayed by drought in • Strong growth in Differentiated & • Improved mix, driven by strong sales • Double digit growth in Africa, • Good herbicide sales in the resistant
Brazil/Argentina, pushing sales to Q4 of Differentiated & Sustainable
Sustainable Solutions driving improved Australia and New Zealand, phalaris infested wheat acres of
• Volume growth in Argentina, South margins Solutions and moderate Post-Patent benefiting from a normalized North India
Cone and Andean regions growth season
• Increased demand for Glufosinate due • Strong Ferio and Sweep Power
• Increase in grain commodity prices • Strong growth led by Poland, Benelux • Strong growth in South East Asia, volume growth in the quarter
to robust ramp up of resistant-traits
and recent rains supporting a positive and Ukraine, in addition to Italy and supported by the continued
acres Spain • Excess rains in the South reduced
trend for Q4 expansion of Glufosinate in the area
market growth after a very strong H1
• Strong growth in Vigilant, Everest, • Strong demand for Argos – a
• Across the board currency • Accelerated growth in China, driven
Manzate and Interline sustainable solution product in its first by volume gains in UPL’s branded
devaluation in LATAM countries
partially offset by pricing actions launch year, in addition to Penncozeb, sales in addition to the impact of
Cyperkill and Syllit drove Q3 growth the Yoloo acquisition

Q3 and Nine Months Period ended 31st Dec 2020, January 2021
 Q3 FY2021
Financial Results Update
Anand Vora
Profit and Loss Account ₹ crore
Q3 FY21 Q3 FY20 Change
Particulars
Reported % Reported % %

Total Revenue from operation 9,125 100% 8,892 100% 3%

Variable Cost 5,088 56% 5,172 58%
Gross Margin 4,037 44% 3,720 42% 9%
Fixed Overheads 1,828 20% 1,643 18%
EBITDA 2,209 24% 2,076 23% 6%
Other Income / (Loss) 61 51
Amortization / Depreciation 542 494
Finance Cost 745 515
PBT 982 11% 1,118 13% -12%
Tax 109 198
PAT 872 10% 921 10% -5%
Income/(Loss) from Associate Co. and JV (7) (8)
Minority Interest 150 131
Profit After Tax, Associate Income &
715 8% 782 9% -9%
Minority Interest
Exceptional Cost (78) 75
Net Profit 793 9% 707 8% 12%
Note: In Q3 FY2020 PPA impact of 7 cr in EBITDA; adjusted EBITDA 2,083 cr, and adjusted PAT after Associates Income minority and exceptional cost 714cr.
Q3 and Nine Months Period ended 31st Dec 2020, January 2021 8
Cost and Revenue synergy targets and achievements
Cost Synergy Target, run rate, USD Mn Cost Synergies Achieved, USD Mn

200+ ₹ 260cr

120+ 188
109 44 35

FY20 H1FY21 Q3FY21 Cumulative

Q3FY21
Year 1 Year 2

75% 60% 75% 60%

Revenue Synergies Target, run rate, USD Mn
Revenue Synergies Achieved, USD Mn
350+
₹ 408cr

55 354
240 59 55
100

Year 1 Year 3 FY20 H1FY21 Q3FY21 Cumulative

Q3FY21
9
Q3 and Nine Months Period ended 31st Dec 2020, January 2021 Actual synergies accrued to P&L
 Nine Months FY2021
Financial Results Update
Anand Vora
Nine Month Performance Highlights
₹ crore
Particulars 9M 9M B/(W) LY
• Strong volumes driven by market share gains
FY 2021 FY 2020
(Proforma) 1 and improved weather conditions, partially off
Revenue 25,898 24,615 5% set by FX headwinds
Gross Margin 42% 42% 12 bps
• Pricing actions and focus on Differentiated and

Fixed OH 5,2492 5,113 -3% Sustainable Solutions driving margin recovery

EBITDA 5,720 5,283 8% year to date, after a challenging start to the year

% Revenue 22.1% 21.5% +60 bps

due to COVID and associated FX volatility
1. Purchase price allocation (PPA) effect of 349cr. is removed from FY2020 numbers
2 Includes a provision of 39.5 cr on account of an unfavourable court order for the industry pertaining to excise duty liability for previous years
• Higher growth in EBITDA supported by synergy
Revenue Development by Region Revenue Variance
22%
capture in fixed costs and COGS

10% 11% • On track to deliver stated full year revenue and

EBITDA guidance
-3% 2%

Latin North Europe ROW India

America America

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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Nine Month Profit and Loss Account ₹ crore
9M FY21 9M FY20 Change
Particulars
Reported % Reported % %

Total Revenue from operation 25,898 100% 24,615 100% 5%

Variable Cost 14,929 58% 14,568 59%
Gross Margin 10,968 42% 10,047 41% 9%
Fixed Overheads 5,249 20% 5,113 21%
EBITDA 5,720 22% 4,934 20% 16%
Other Income / (Loss) 190 17
Amortization / Depreciation 1,597 1,417
Finance Cost 1,639 1,294
PBT 2,673 10% 2,240 9% 19%
Tax 365 374
PAT 2,309 9% 1,865 8% 24%
Income/(Loss) from Associate Co. and JV (18) (20)
Minority Interest 326 235
Profit After Tax, Associate Income & Minority
1,965 8% 1,610 7% 22%
Interest
Exceptional Cost 158 452
Net Profit 1,807 7% 1,158 5% 56%
Note: 8% increase in EBITDA considering PPA impact of 349cr in 9M FY20. Adjusted EBITDA 5,283cr, and adjusted PAT after Associates Income minority and exceptional cost 1507 cr.
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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Working Capital Analysis
(no. of days)
9M FY2021 9M FY2020

136
126
120 122
119 117
111
102

IN V EN TO RY REC EIV A BL ES PAY ABL ES N ET W O RKIN G

C A P ITA L
9MFY21: 11,945cr 9MFY21: 12,024cr 9MFY21: 12,233cr
9MFY20: 10,650cr 9MFY20: 12,096cr 9MFY20: 9,755cr

Note: As a risk management measure, the company has been selling its receivables on non-recourse basis to banks. Receivables sold as of 31st Dec 2020 were 4,570 crore
(31st Dec 2019 3,565 crore)
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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Cash Flow Statement (1st April 2020 to 31st Dec 2020)
₹ Crore

-
545
-
1,996
• Cash from op.
activities: +5,632 cr -
• WC : - 3,849 cr • Net Borrowing: - 106 cr 1,709
• Tax: - 591 cr • Interest1: - 1,495 cr
6,752 • Other Assets: - 646 cr • Dividend: - 458 cr
• Others: +64 cr • Capex: - 1,570 cr
• Others: - 139 cr
3,592

Opening Cash from Cash from Cash from Closing

Operations Financing Investing

1Interest expense of 1,495 crore including interest component of redeemed bonds including Rs.75 cr. of interest paid upto maturity on early redemption of bonds

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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Guidance Maintained : FY2021
• Expected 6-8% revenue growth and 10-12% EBITDA growth for the full year

• Growth to be driven by focus on differentiated and sustainable solutions as well

as new product launches

• COGS savings, synergies and further implementation of price increases in local

currencies to support margin improvement

• Fixed cost saving opportunity from synergies and covid19 contingency measures will
continue to support EBITDA growth

• Net working capital to release in H2 and expected to be lower compared to March

2020

• Committed to debt reduction and to maintain investment grade credit rating

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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Sustainability Performance
and
Other Key Achievements
Sustainability Highlights
• Environment : Delivering on our targets
Strong progress on ESG
YTD Specific (per MT) reduction vs. FY2020
Performance • CO2 Emission: 12%

• Water Consumption1: 30%

• Wastewater Discharge1: 34%

• Waste Disposal: 1%

• Health and Safety : Key to our operations

• YTD TRIR: 1.22 (H1: 1.18)

DJSI Ranking, November 2020 • YTD TRFR: 0.31

• DJSI scores UPL at ~2x of Industry Peer Average • Communities: Reaching 0.5 mn lives through initiatives
• Ranks 23 globally with a score of 63, a 10-point across 10+countries, 70 communities – Initiatives on
improvement compared to 2019
track
• Striving for continuous improvement

TRIR: Total Recordable Incident Rate; TRFR: Total Recordable Frequency Rate
Sustainalytics last report dated 25 Sept 2020 1. High reduction in specific water and specific wastewater discharge observed due to permanent
closure of Rotterdam plant in Q2FY2021
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Q3 and Nine Months Period ended 31st Dec 2020, January 2021
Achievements and Awards
UPL Wins Esteemed Agrow UPL Wins CII Industrial
Award for “Best Company From Intellectual Property Award for
an Emerging Region” Best Patent Portfolio in the Life
Sciences/Pharma Industry

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Q3 and Nine Months Period ended 31st Dec 2020, January 2021