Eureka Forbes Limited · NSE:EUREKAFORB
Eureka Forbes — Q2 FY24 Earnings Presentation
25 slides from Eureka Forbes's earnings presentation, Nov 10, 2023
Slide 1: Q2 FY24 Earnings Presentation
Q2 FY24 Earnings Presentation November 10, 2023 . - - :...J_ EUREKA IFFORBES Friends For Life
Slide 2: Disclaimer
Disclaimer The statements contained in this document speak only as at the date as of which they are made and certain statements made in this presentation relating to the Company’s objectives, projections, outlook, expectations, estimates, among others may constitute ‘forward-looking statements’ with
Slide 3: Q2 FY24 Highlights, Key Focus Areas, Introduction
•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• • Q2 FY24 Highlights • Key Focus Areas • Eureka Forbes – An introduction ....J_EUREKA uFORBES
Slide 4: Q2 FY24 Highlights (Standalone Results)
Q2 FY24 Highlights (Standalone Results) Figures in Rs Cr Revenue Adj. EBITDA* Adj. PBT** PAT 592.3 62.0 47.8 25.5 3.0% YoY Margin 10.5% (20.5) (26.8) +1,043bpsYoY in Q2 FY23 in Q2 FY23 * Adj. EBITDA is defined as PBT + Finance cost + Depreciation + ESOP charge less other non-operating income ** Adj.
Slide 5: Q2 FY24: Standalone P&L Statement
Q2 FY24 : Standalone P&L Statement Particulars (Rs. Cr) Q2FY24 Q2FY23 YoY (%) Q1FY24 QoQ (%) Revenue 592.3 575.1 3.0% 505.3 17.2% ➢ Q2 FY24 revenue increased 3.0% YoY to Rs Employee Benefit Expenses -74.7 -103.1 -27.6% -71.6 4.2% 592.3 Cr driven by volume growth Service Charges -82.0 -73.6 11.4% -69
Slide 6: Revenue growth driven by volumes
Revenue growth driven by volumes Revenue Growth (YoY %) 4.8% ▪ Continuing businesses grow 4.8% YoY; Highest 0.8% -0.1% growth in 5 quarters 3.0% -2.6% -4.2% -2.8% ▪ Growth driven by volumes; 2nd successive quarter -3.8% of volume growth -8.9% -8.0% ▪ Broad based volume growth; in both Water Purifier
Slide 7: Adj. EBITDA margin continues to expand
Adj. EBITDA margin continues to expand Adj. EBITDA* % 10.5% 9.8% 9.3% 8.7% ▪ 4th successive quarter of margin expansion 6.3% ▪ Margins cross double digits for the 1st time 5.4% 4.5% ▪ Margin expansion driven by operating leverage and structured cost optimization program 0.0% FY21 FY22 FY23 Q2 Q3 Q4
Slide 8: Balance sheet strengthened by turning net debt free
Balance sheet strengthened by turning net debt free Net debt/(Surplus) – Rs Cr 199 ▪ + Rs 9 Cr net surplus vs a net debt of Rs 199 Cr a year back; net YoY change of Rs 208 Cr ▪ Improved profitability and continuing focus on working capital cycle optimization 50 32 Sep-22 Mar-23 Jun-23 Sep-23 -9 ....
Slide 9: Introducing Next-Gen Innovations in Water Purifiers
New Product Launches : Water Purifier Introducing Next-Gen Innovations in Water Purifiers Reimagining Form with Technology
Slide 10: New Product Launches: Water Purifier
New Product Launches : Water Purifier ,...J_EUREKA uFORBES Nova UV+UF+SS With Active copper technology & Stainless-Steel tank Marvel Nxt RO+UV Aura UV+UF With multi-stage purification with With 5th Gen UV LED technology – Alkaline technology & Stainless- Instant Purification, Long Life with Steel ta
Slide 11: New Service Offerings: Launch of Segmented AMCs
New Service Offerings : Launch of Segmented AMCs Focus on building Consumer Lifetime Value (CLTV) through Annual Maintenance Contract (AMC) conversion improvement initiatives - Segmented Price Propositions and Awareness on Genuine Service II Aquaguard II - Aquaguard Choose the right AMC plans for yo
Slide 12: Management Views
Management Views “One year into our transformation, I am pleased with our Q2 results with encouraging volume-driven revenue growth along with the fourth consecutive quarter of margin expansion. Revenue growth in our continuing business was 4.8% and Adjusted EBITDA margins came in at 10.5%. In additi
Slide 13: Key Focus Areas
•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• • Q2 FY24 Highlights • Key Focus Areas • Eureka Forbes – An introduction ....J_EUREKA uFORBES
Slide 14: Macro factors supportive of growth
Macro factors supportive of growth . 7.24 et<>,e rutill kts c,nctu<Mg 3.2-3 ror9 househa'ds ccwer$d artier) &rf! ~ting potable ater through L1P onnections Average daily supply (hours) R- Rural - - ~~ - - U- Urban 18 20 22 24 Growing Low Category Availability & Growth in consciousness on Penetration
Slide 15: EFL's key strategic priorities for profitable growth
EFL’s key strategic priorities for profitable growth Grow the Water Purifiers Business Drive Lean Cost Structures 01 • Innovation and new product development 04 • Productivity unlocks • Jump shift in distribution • “Zero based” approach to all costs Expand Portfolio Go Digital First 02 • Nurture and
Slide 16: Eureka Forbes – An introduction
•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• • Q2 FY24 Highlights • Key Focus Areas • Eureka Forbes – An introduction ....J_EUREKA uFORBES
Slide 17: Eureka Forbes: Introduction
Eureka Forbes: Introduction Eureka Forbes: Introduction Electrolux & Shapoorji Advent Tata Group Pallonji Group International Professionally 1982 2002 2022 managed company governed by an Independent Board Joint Venture Subsidiary of a Publicly listed Public Company Company Shareholding 72.56 % Adven
Slide 18: Pioneers & Leaders
Pioneers & Leaders -- - Vacuum cleaners Water purifiers Direct selling
Slide 19: Diversified portfolio
Diversified portfolio Market leaders in water purifiers and vacuum cleaners Wide range of products with state- of-the-art technology Product portfolio catering to both B2C and B2B customers Diversified revenue streams across product and service
Slide 20: Brand strength
Brand strength Strong association of brand Aquaguard with product category High brand health scores Top of mind recall > 65%
Slide 21: Omni channel presence
Omni channel presence Direct sales General trade Modern retail Ecommerce B2B Canteen Stores (CSD)
Slide 22: Extensive service network and strong customer connect
Extensive service network and strong customer connect In home service in over ~ Large active database of customers ~
Slide 23: EFL Management Team
EFL Management Team Pratik Pota MD & CEO 30+ yrs/>1 yr Jubilant FoodWorks, PepsiCo, Airtel, HUL Ajit Dheer Anurag Kumar Gaurav Khandelwal Mahnaz Shaikh Shubham Srivastava Nithyanand Shankar Suresh Redhu Satish Satyarthi Anirudha Karnataki Chief Operating Chief Growth Chief Financial Chief Human Chie
Slide 24: Contact Us
Contact Us: Corporate Identification No: L27310MH2008PLC188478 Investor e-mail id: Investor.Relations@eurekaforbes.com Website: https://www.eurekaforbes.com/ Regd. & Corporate Office: B1/B2, 7th Floor, 701, Marathon Innova, Ganpatrao Kadam Marg, Lower Parel, Mumbai -400013 EFL BSE Scrip Code : 54348
Slide 25: Thank You
Thank You ,...J_ EUREKA uFORBES