Crompton Greaves Consumer Electricals Ltd. · NSE:CROMPTON
Crompton Greaves Consumer Electricals — Q3 FY24 Earnings Presentation
34 slides from Crompton Greaves Consumer Electricals's earnings presentation, Feb 14, 2024
Slide 1: Exchange filing cover letter: Investor Presentation
Crompton Greaves Consumer Electricals Limited Registered & Corporate Office: Tower 3, 1st Floor, East Wing, Equinox Business Park, LBS Marg, Kurla (West), Mumbai - 400 070.India T: +91 22 6167 8499 F: +91 22 6167 8383 W: www.crompton.co.in CIN: L31900MH2015PLC262254 Email: crompton.investorrelations
Slide 2: Investor Presentation Q3 FY24
Investor Presentation Q3 FY24 14th February 2024
Slide 3: Disclaimer
Disclaimer This presentation does not constitute an offer from Crompton Greaves Consumer Electricals Ltd. or any of its affiliates (“Crompton”) to any party and the information contained herein will not form the basis of any contract. Neither Crompton nor any of their respective affiliates, sharehol
Slide 4: Index
Crompton 2.0: Transformation in Progress Environment Scan Index Quarter Performance Financial Statements
Slide 5: Crompton 2.0: Transformation on track
Crompton 2.0: Transformation on track
Slide 6: Crompton 2.0 starting to deliver results
Crompton 2.0 starting to deliver results Highlights Rs. Cr • We commenced on the Crompton 2.0 journey in June 2023 Financial Highlights Q2+Q3 FY24 Q2+Q3 FY23 YoY • Crompton standalone business is starting to deliver industry leading performance led by ECD for the last two ECD Revenue 2,447 2,083 18%
Slide 7: Crompton 2.0: Key tenets to drive future growth
Crompton 2.0: Key tenets to drive future growth Crompton 2.0 Enabled & empowered organization Crompton 1.0 Consumer need led innovation Pole position in core categories Premiumization of the portfolio XXXX Successful foray into the kitchen Supply chain excellence (quality, cost) Innovation capabilit
Slide 8: Crompton 2.0 Update
Crompton 2.0 Update 1 2 3 4 Premiumization GTM excellence Brand Investments Innovation ▪ Premium Fans saliency ▪ E-commerce grew by 94% ▪ Continued increase in A&P ▪ Several launches in improved to 26.5% (+220 bps YoY led by Appliances spends premium Fans & BLDC YoY) ▪ Alternate channels’ saliency ▪
Slide 9: Environment Scan
Crompton Environment Scan
Slide 10: Navigating the current environment: inflation expected to ease; India poised for growth
Navigating the current environment: Inflation is expected to slightly ease in the coming quarters; India poised for growth despite global uncertainties Lower GDP expectations for FY24 vs FY23 Consumer confidence on recovery path Indian GDP growth1 % Consumer Confidence Index2 8.7% 7.8% 7.6% 7.2% 7.0
Slide 11: Quarter Highlights
Crompton Quarter Highlights
Slide 12: Quarter Highlights: Robust performance across categories
Quarter Highlights: Robust performance across categories 1 Industry leading ECD performance with revenue growth of 19% YoY; • Bolstered by Fans (+11% YoY), Pumps (+28% YoY) and Appliances (+23% YoY) 2 Improvement in Lighting performance, despite industry level challenges • Lighting business returns
Slide 13: Crompton (Standalone) Segment Performance
Crompton (Standalone) Segment Performance Rs. Cr Segment Revenue Q3 FY24 Q3 FY23 YoY 9M FY24 9M FY23 YoY ECD 1,209 1,020 19% 3,876 3,430 13% Lighting 249 246 1% 716 776 -8% Rs. Cr Segment EBIT Q3 FY24 Q3 FY23 YoY 9M FY24 9M FY23 YoY ECD 164 162 2% 521 572 -9% ECD % 13.6% 15.8% -220 bps 13.5% 16.7% -
Slide 14: Crompton Performance
Crompton Crompton Performance
Slide 15: ECD Performance: Industry leading growth of 19% YoY
ECD Performance: Industry leading growth of 19% YoY driven by Fans, Pumps & Appliances Performance Highlights ❑ Fans: witnessed strong momentum leading to growth of 11% YoY Revenue (Rs. Cr) o Driven by improved saliency of premium Ceiling Fans and growth in TPW category o Laddering actions coupled w
Slide 16: Lighting: Started to witness turnaround in Performance
Lighting: Started to witness turnaround in Performance Performance Highlights Revenue (Rs. Cr) 1 Lighting Revenue growth at 1% YoY ❑ B2C Segment: ➢ Range expansion driving mix improvement o Ceiling lights portfolio strengthened 776 716 o Introduced higher wattage lamps, battens, decorative & strip l
Slide 17: Multiple Marketing Activities in Q3 to Strengthen Brand Awareness
Multiple Marketing Activities in Q3 to Strengthen Brand Awareness Water Heaters campaign in Q3 to drive awareness Social media creatives across categories High Impact Campaign 60%+ Reach @3+ freq. Mixers campaign to drive awareness High Impact Campaign for Mixers in Q2-Q3 30%+ Reach 16
Slide 18: New Product Launches in Q3
New Product Launches in Q3 Fans Pumps Lighting Appliances Roverr Non-Underlight Trio Lamp Hydrajet Water Heater BLDC; 60% energy (10/15/25L) Aquagold Dura Direct & indirect saving & remote control lighting as per mood 5 star BEE Rating 30% faster Suction of consumer ensures instant water availabilit
Slide 19: Awards & Accolades
Awards & Accolades National Energy Conservation Award Best Managed Companies Government of India, Ministry of Power Deloitte India 2023 Received the award consequently for the second time Most Energy Efficient Appliance of the Year Award by President of India (Arno Neo 3015 Storage Water Heater) 18
Slide 20: Recognition & Achievements
Recognition & Achievements Best Independent Director for 2022-23 Built-in Kitchen Business Featured in Asian Centre for Corporate Governance & Sustainability “Essentials Of Modern Marketing- India Edition” Mr. P.R Ramesh 10th Asia Business Responsibility Summit Dr. Philip Kotler and Tuhin Mukherjee
Slide 21: EHS Awards
EHS Awards ENVIRONMENT EXCELLENCE FOR FANS DIVISION, GOA GREENTECH ENVIRONMENT AWARD NATIONAL SAFETY AWARD 2023 ENVIRONMENT EXCELLENCE FOR 11TH GLOBAL SAFETY SUMMIT PUMPS DIVISION, AHMEDNAGAR GREENTECH ENVIRONMENT AWARD 20
Slide 22: Butterfly Performance
Crompton Butterfly Performance
Slide 23: Butterfly Performance (Standalone): Strong growth in core categories
Butterfly Performance (Standalone): Strong growth in core categories of Mixer Grinders, LPG Stove & Pressure Cookers; Decline in Corporate Sales Performance Highlights 1 Q3 Revenue at Rs. 238 Cr (-4% YoY); Strong growth in Retail & E-commerce, while decline Revenue (Rs. Cr) in Corporate Sales by 75%
Slide 24: Glimpse of Marketing Activities & Consumer Interactions
Glimpse of Marketing Activities & Consumer Interactions Marketing Campaigns Digital Campaigns Consumer Interactions BTL Activities Print Media Reach: 39 Mn; Direct Consumer Engagement In-shop branding & signages at Engagement: 5.8 Mn Engaged with 60,000+ audience 450+ outlets; Van Activations Associ
Slide 25: New Product launches in Q3
New Product launches in Q3 Cooking Food Processing Cookware Range Insta Mixer Grinder Magnum Cool Touch Kettle Friendly Shakti (550W/500W) (1.2 & 1.5 Ltr) Jyoti 2B Stainless Matchless Sandwich Dazzler Hand Dynamo Mixer Grinder Steel LPG Maker blender (550W/500W) 24
Slide 26: Awards & Accolades
Awards & Accolades Awarded with ‘All India First License’ for the product Awarded the ‘Best Company of the Year’ in the Home Potable Water Bottles by Bureau of Indian Standards (BIS), National Standard Body of India Appliances category by IBC and Berkshire Media Honored with ‘Certificate of Apprecia
Slide 27: Financial Performance
Crompton Financial Performance
Slide 28: Crompton Standalone Q3 & 9M FY24 Financial Performance
Crompton Standalone Q3 & 9M FY24 Financial Performance: Robust Revenue growth at 15% YoY driven by ECD; EBITDA Margins at 10.1% Rs. Cr Q3 Highlights Particulars Q3 FY24 Q3 FY23 Y-o-Y Q2 FY24 Q-o-Q 9M FY24 9M FY23 Y-o-Y Net Sales 1,458 1,266 15% 1,476 -1% 4,592 4,205 9% Less: Material Cost 990 869 14
Slide 29: Crompton Consolidated Q3 & 9M FY24 Financial Performance
Crompton Consolidated Q3 & 9M FY24 Financial Performance Rs. Cr Particulars Q3 FY24 Q3 FY23 Y-o-Y Q2 FY24 Q-o-Q 9M FY24 9M FY23 Y-o-Y Net Sales 1,693 1,516 12% 1,782 -5% 5,352 5,079 5% Less: Material Cost 1,143 1,023 12% 1,224 -7% 3,665 3,454 6% Material Margin 550 493 11.5% 558 -1% 1,687 1,624 4% a
Slide 30: Sustainability & CSR
Crompton Sustainability & CSR
Slide 31: Several Initiatives Implemented in Q3
Several Initiatives Implemented in Q3 Care for community Awards & Recognitions Change Maker Grant: Reinviting CSR through Employee Engagement Building great place to work A dynamic framework that embodies our values and Greentech Safety Award 2023 aspirations. The 6Cs Care, Winner - Baddi Plant (Fan
Slide 32: Key Strategic Tenets
Crompton Key Strategic Tenets
Slide 33: Continued to focus on Crompton 2.0 Tenets
Continued to focus on Crompton 2.0 Tenets Crompton 2.0: Accelerated growth at healthy margins to deliver strong TSR Protect and grow Transform Foray into new Win in the Kitchen the core Lighting business segments • Fans: Strengthen the core & • Small domestic appliances: • Product innovation & posit
Slide 34: Registered Office and contact details
Registered Office: Crompton Greaves Consumer Electricals Limited, Equinox Business Park, 1st Floor, Tower 3, LBS Marg, Kurla (W), Mumbai - 400070, Maharashtra, India +91 22 6167 8499 For any query, please write us at: crompton.investorrelations@crompton.co.in Connect with us on www.crompton.co.in
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