Slide 1: Q4 FY2020 Earnings Presentation
Information & Connected Systems Minda Corporation Limited (NSE: MINDACORP; BSE: 538962) Q4 FY2020 Earnings Presentation Mechatronics July 2020 Plastics & Interiors Instrument Clusters Sensors Wiring Harness Locks Door Handles Starter Motors Al & Zn Cutting Parts Plastic Component Earnings Presentati
Slide 2: Table of Contents
Table of Contents 1. Quarterly Updates Company Snapshot Industry at Glance Financial Performance Minda KTSN Update Covid-19 Impact Growth Drivers and Roadmap Awards and CSR 2. Annexure A (Detailed Financials) 3. Annexure B Earnings Presentation Page 2 of 43
Slide 3: One of India's leading automotive component Companies
One of India’s leading automotive component Companies Diversified product portfolio, global customers, strong Revenue Revenue Breakdown Breakdown FY20, FY20 (and including FY19), KTSNMKTSN including manufacturing and advanced R&D with six decades of automotive experience By Geography By End Market A
Slide 4: Indian Automotive Industry Performance – FY20 & Q4FY20
Indian Automotive Industry Performance – FY20 & Q4FY20 Auto Industry FY20 Growth (14.7)% Commentary 31.81 (14.1)% 27.12 • In FY20 all the segment fell in the 24.50 21.04 Automotive Industry which started in H2 FY19. (15.2)% (32.4)% (10.6)% (14.8)% • Volumes impacted by: 4.03 3.43 • Subdued economic
Slide 5: Consolidated Performance – Q4 & FY2020
Consolidated Performance – Q4 & FY2020 Q4 Q3 Full Year (Rs. Million) FY20 FY19 FY20 FY20 FY19 Operating Revenue 6,979 7,714 6,714 28,131 30,920 Operatig Revenue Growth (9.5)% 3.9% (9.0)% Other Income 123 68 150 443 355 EBITDA 385 821 761 2,499 2,924 Margin (%) 5.5% 10.6% 11.3% 8.9% 9.5% PBT Before E
Slide 6: Consolidated Performance – Q4 FY2020
Consolidated Performance – Q4 FY2020 (in Rs. mn) Q4FY20 Performance PBT Before Revenue EBITDA Exceptional Item Net Profit 7,714 (2,998) 419 6,979 581 821 385 10.6% 89 5.5% Q4FY20 Q4FY19 Q4FY20 Q4FY19 Q4FY20 Q4FY19 Q4FY20 Q4FY19 Commentary • Overall revenue declined by 9.5% y-o-y in Q4 FY20 as - Dome
Slide 7: Consolidated Performance – FY2020
Consolidated Performance – FY2020 (in Rs. mn) FY20 Performance PBT Before Revenue EBITDA Exceptional Item Net Profit 30,92 0 2,924 2,185 1,692 28,13 2,499 1 1,389 (1,998) 9.5% 8.9% FY20 FY19 FY20 FY19 FY20 FY19 FY20 FY19 Commentary • Overall revenue declined by 9.0% y-o-y in FY20 as - Domestic indus
Slide 8: Standalone Performance – Q4 & FY2020
Standalone Performance – Q4 & FY2020 Q4 Q3 Full Year (Rs. Million) FY20 FY19 FY20 FY20 FY19 Operating Revenue 5,123 6,056 5,264 21,305 23,708 Operatig Revenue Growth (15.4)% (2.7)% (10.1)% Other Income 142 49 152 479 410 EBITDA 429 782 689 2,391 2,787 Margin (%) 8.4% 12.9% 13.1% 11.2% 11.8% PBT Befo
Slide 9: Standalone Performance – Q4 FY2020
Standalone Performance – Q4 FY2020 (in Rs. mn) Q4FY20 Performance PBT Before Revenue EBITDA Exceptional Item Net Profit 6,056 (3,510) 782 410 5,123 553 429 249 12.9% 8.4% Q4FY20 Q4FY19 Q4FY20 Q4FY19 Q4FY20 Q4FY19 Q4FY20 Q4FY19 Commentary • Overall revenue declined by 15.4% y-o-y in Q4 FY20 as - Dome
Slide 10: Standalone Performance – FY2020
Standalone Performance – FY2020 (in Rs. mn) FY20 Performance PBT Before Revenue EBITDA Exceptional Item Net Profit 23,708 21,305 1,606 2,787 2,238 (2,410) 2,391 1,658 11.2% 11.8% FY20 FY19 FY20 FY19 FY20 FY19 FY20 FY19 Commentary • Overall revenue declined by 10.1% y-o-y in FY20 as - Domestic indust
Slide 11: Business Verticals Performance (FY2020 vs FY2019)
Business Verticals Performance (FY2020 vs FY2019) (in Rs. Mn) Mechatronics and Aftermarket Information & Connected Systems Plastics & Interiors - 4.1% - 16.4% - 4.8% 12,103 6,206 5,910 12,097 12,611 10,123 FY20 FY19 FY20 FY19 FY20 FY19 Revenue 12,097 12,611 Revenue 10,123 12,103 Revenue 5,910 6,206
Slide 12: Consolidated Leverage Position
Consolidated Leverage Position Particulars (Rs. mn) Mar 31st, 2020 Mar 31st, 2019 Net Worth 9,746 11,950 Gross Debt 5,320 6,806 Less: Cash & Cash Equivalents (Inc. FDR) 4,724 3,670 Net Debt 596 3,136 Net Debt / Net Worth 0.06 x 0.26 x Capital Employed 10,342 15,086 ROCE 15.4% 16.4% Note: ROCE exclud
Slide 13: Generation & Allocation of Efficient Capital – FY2020
Generation & Allocation of Efficient Capital i.e. Operating Cash Flow – FY2020 9,000 Rs. Mn 2,293 8,000 (125) 7,000 1,179 (1,461) 6,000 5,000 935 4,724 (1,567) (199) 4,000 3,670 3,000 2,820 2,000 1,000 - Opening PAT (Before Add: Add: Less: MCL Less: Capex Free Cash Repayment Payment of Closing Cash
Slide 14: Aftermarket
Aftermarket Head Quarter: In Noida Sales Trend (Rs. Mn) Regional Office: Mumbai, Chennai, Kolkata and Jaipur 2,957 2,930 Team Strength: 160+ employees 2,800 Distribution Network: 450+ Business Partners 2,533 Retailer Network: 10,000 + retail reach across India Spread: PAN India and in SAARC Region F
Slide 15: Joint Ventures /Partners
Joint Ventures /Partners Joint Ventures with Leading Global Firms Rs. mn Stoneridge Inc. USA Vehicle Access Systems Furukawa Electric Co. Ltd. Technology (VAST) LLC, USA JAPAN 2004 2007 2015 51% ownership 50% ownership 25% ownership (Minda Stoneridge Instruments (Minda Vast Access Systems Pvt. (Furu
Slide 16: Covid-19 Impact: Protocol & Measures by the Company
Covid-19 Impact:- Protocol & Measures by the Company Re-opening protocol for People, Plant/Office Measures to reduce the Financial Impact Thermal Screening of Employees at the Entry Gate 1. Plant operation started in all the locations 2. Improvement seen in utilisation level at all the plants, All w
Slide 17: Minda KTSN Update
Minda MKTSN Update • At its meeting on 9th June 2020, the Board of Directors decided not to undertake further financial exposure in MKTSN after: 1. Considering the current and future cash flow requirements of MKTSN 2. Impact of COVID 19 Pandemic 3. The capital to be allocated for growth and profitab
Slide 18: Impact of MKTSN in FY20 Consolidated Financials
Impact of MKTSN in FY20 Consolidated Financials Particulars Consolidated Financials for FY20 Consolidated Financials for FY20 with without MKTSN (Proforma) MKTSN Operating Revenue 22,224 28,131 EBITDA 2,463 2,499 EBITDA Margin(%) 11.1% 8.9% PBT (Before Exceptional item) 1,849 1,389 P&L Impact: • Lin
Slide 19: Revenue Breakdown of Company with & without MKTSN
Revenue Breakdown of Company with & without MKTSN Revenue Breakdown FY20, including KTSN Revenue Breakdown FY20, excluding KTSN By Geography By End Market By Geography By End Market After South East South East Passenger Market, Passenger Asia 6.1% Asia, 4.8% After Market Vehicles 10.8% Vehicles, Eur
Slide 20: Business Performance – Order Book
Business Performance – Order Book Business Updates – Q4 FY20 Mechatronics : (In Q4 Lifetime order worth approx. Rs. 2,693 mn, YTD 19-20 Lifetime order worth approx. Rs. 23,111 mn) • Awarded business by leading 2W OEMs to supply ‘Lockset' (Lifetime business value of approx. Rs. 980 mn) • Awarded bu
Slide 21: Roadmap / Group Target
Roadmap To Enhance Shareholders Wealth Group Target - By having a profitable growth better than Industry Focus Revenue > Market Organic growth enhanced by: Inorganic growth: Growth - Premiumization & Regulation - Adjacent Segment - Increasing content per vehicle - Focus on Technology and/or Focus
Slide 22: Awards and CSR
Awards and CSR Earnings Presentation Page 22 of 43
Slide 23: Awards/Recognition – FY2020
Awards/Recognition – FY2020 Spark Minda conducted ‘Technology Show’ at Maruti Suzuki India Minda Stoneridge bagged Silver Mr. R Laxman, Group President Finance was in Nov 2019 enabling their employees to learn and explore wide awarded CFO Leadership Summit Award Award from HSE Excellence at ACMA var
Slide 24: Corporate Social Responsibility – FY2020
Corporate Social Responsibility – FY2020 Receive National CSR Award (NCSRA) by Ms Nirmala Sitharaman, Spark Minda Foundation Bagged India CSR Journal Award for Honourable Minister of Finance and Corporate Affairs in presence Recognized amongst the “Top 101 CSR Leaders” in the of the President of Ind
Slide 25: Annexure A (Detailed Financials)
Annexure A (Detailed Financials) Earnings Presentation Page 25 of 43
Slide 26: Consolidated Profit & Loss Accounts of Q4 FY2020
Consolidated Profit & Loss Accounts of Q4 FY2020 Q4 Q3 Q4 % of Revenue % of Revenue % of Revenue (Rs. Million) FY20 from FY20 from FY19 from Operations Operations Operations Revenue from Operations 6,979 100.0% 6,714 100.0% 7,714 100.0% Expenses Raw Materials Cost 4,241 60.8% 3,901 58.1% 4,567 59.2%
Slide 27: Consolidated Profit & Loss Accounts of FY2020 and comparison with FY2019
Consolidated Profit & Loss Accounts of FY2020 and comparison with FY2019 Full Year Full Year % of Revenue % of Revenue (Rs. Million) FY20 from FY19 from Operations Operations Revenue from Operations 28,131 100.0% 30,920 100.0% Expenses Raw Materials Cost 16,991 60.4% 19,032 61.6% Employee Benefit Ex
Slide 28: Annexure B
Annexure B Earnings Presentation Page 28 of 43
Slide 29: Competitive Strengths
Competitive Strengths WELL DIVERSIFIED customer STRONG RELATIONSHIPS with base and product portfolio major Indian and Global OEMs TECHNOLOGICAL A LEADING PLAYER in several COLLABORATION with global of its product segments in India automotive component manufacturers PROFESSIONALLY MANAGED STRONG IN-H
Slide 30: Spark Minda Group - Focus for Future
Spark Minda Group - Focus for Future Continuously Expanding our reach To provide plug State of art upgrade ourselves to new geographies and play solutions technical center to by benchmarking and customers to to all future develop solutions against the best in provide global vehicles in the for the f
Slide 31: Diversified Product Portfolio
Diversified Product Portfolio v Mechatronics Ignition Switch Cum Smart Key Mechatronics Immobilizers Aluminium Die Compressor Steering System Handles System Casting Housing Alternator Starter Motor Lock Electronic and mechanical security systems Die casting components Starter motors and alternators
Slide 32: Key Customers
Key Customers 2-3 Wheelers Commercial & Off Passenger Vehicles Other Market Highway Vehicles * Listed alphabetically * Major Customers Only Earnings Presentation Page 32 of 43
Slide 33: Current Product Portfolio – 2 Wheelers
Current Product Portfolio – 2 Wheelers SENSOR - FLS HANDLE MOUNTING ASSY IGN LOCK & SPEEDOMETER FT CAP WIRING HARNESS CYLINDER HEAD CONTROL CABLES BRAKING SENSOR SSPS SYSTEM PARTS STEP HOLDER PARTS SENSOR SENSOR SPEED OPS & TEMP SENSOR TPS Earnings Presentation Page 33 of 43 Mechatronics Information
Slide 34: Current Product Portfolio – Passenger Vehicles
Current Product Portfolio – Passenger Vehicles WIRING NOZZEL SRC BATTERY TRAY HARNESS DEFROSTER LOUVERS SPEEDOMETER GLOVE BOX CUP HOLDER ENGINE SYSTEM DOOR SASH (TURBOCHARGER PARTS) TAIL GATE ENGINE SYSTEM LATCH (ENGINE MOUNTING PARTS) EGT SENSOR AC COMPRESSOR PARTS TEMP SENSOR SHARK FIN ANTENNA PRE
Slide 35: Current Product Portfolio – Commercial Vehicle
Current Product Portfolio – Commercial Vehicle WIRING HARNESS SPEEDOMETER PM / SOOT SENSOR TEMP SENSOR EGT & EGRT SENSOR PRESSURE SENSOR LOCKSET & DOOR HANDLES FUEL LEVEL OIL SUMP SENSOR SPEED SENSOR Earnings Presentation Mechatronics Information & Connected System Plastics & Interiors Page 35 of 43
Slide 36: Current Product Portfolio – Tractors
Current Product Portfolio – Tractors EGRT SENSOR SPEEDOMETER STARTER MOTORS WIRING HARNESS ALTERNATORS PRESSURE SENSOR SPEED SENSOR FUEL LEVEL SENSOR OIL SUMP TEMP SENSOR Earnings Presentation Mechatronics Information & Connected System Plastics & Interiors Page 36 of 43
Slide 37: Emerging Technology Trends
Emerging Technology Trends ADAS, Autonomous & Connected Mobility Shared Mobility Electrification AI , Safety Electronification ( Implementation ) Regulatory ( Push ) SW as a differentiator Vehicle Emission BSVI Earnings Presentation “CASE” is seen as a driver towards the future of mobility
Slide 38: Connected Mobility Solutions
Connected Mobility Solutions EI Labs : telematics company is acquired in Sep 2017 Expertise in Telematics, IOT and Intelligent Transport solutions & Cloud hostedPrognosis Connected Cluster application management & Analytics 2w Connected cluster Proven solutions in Tractors, Passenger vehicles,
Slide 39: Smart Navigation
Electronification, Vehicle access, ADAS Solutions Key Less Entry Solutions for two wheeler with LF/RF Immobilizers with state of the art AES 256 encryption with UDS over CAN MFECU ISG Smart Navigation Smart phone based ( Bluetooth ) with NFC solutions for vehicle access Door Handle Best cost
Slide 40: Electric Mobility Solutions : Progress
Electric Mobility Solutions : Progress Inline RCD DC DC HV PDU Convertor Motor Controller BMS Motor Battery Charger (off-board & on-board) Charging Inverter Solutions Earnings Presentation Spark Minda would like take an early mover advantage in this space Page 40 of 43
Slide 41: Technology Push Summary
Technology Push Summary Minda Corporation is equipped to provide end-to-end system solutions 1 2 Identify the opp. in EV and Connected Mobility and be the front runner 3 Focus on localization in specific components to bring the value 4 “CASE” is seen as a driver towards the future of the mobility Im
Slide 42: Board of Directors
Board of Directors Eminent and Experienced Board of Directors Mr. Ashok Minda Chairman and Group CEO Mr. R. Laxman Executive Director & Group CFO, Finance Mr. Avinash P. Mr. Rakesh Chopra Mr. Ashok Kumar Jha Ms. Pratima Ram Gandhi On the Board of GPR On the Board of Setco On the Board of On the Boar
Slide 43: Thank You
Thank You This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Minda Corporation Limited (“Minda Corp” or the Company) future business de