Linc Limited · NSE:LINC
Linc — Q3 FY23 Earnings Presentation
19 slides from Linc's earnings presentation, Feb 3, 2023
Slide 1: Exchange filing cover letter for Earning Presentation
3rd February 2023 The Listing Department, The Manager The Manager, The Calcutta Stock The Department of The Listing Department, Exchange Ltd. Corporate Services, National Stock Exchange of 7, Lyons Range, BSE Limited, P. J. India Limited, Exchange Kolkata – 700001 Towers, Plaza, Dalal Street, Bandra
Slide 2: Q3 FY23 Earnings Presentation
Q3 FY23 EARNINGS February 2023 PRESENTATION. NSE : LINC BSE : LINC Linc Limited Bloomberg : LINC:IN (formerly Linc Pen and Plastics Limited) 1
Slide 3: Inside This Presentation
Inside This Presentation . 1. 5. . 9. Executive Summary . Operational Highlights Why Linc? 16 03 . 11 - 12 . . . 2. . 6. 10. Management . Quarterly Commentary Profit and Loss Disclaimer 04 . 13 . 17 . . 3. . 7. . 11. Focus on Key Highlights Shareholder Thank You 05 - 06 . Value Creation . 18 . 14 .
Slide 4: Executive Summary
Executive Summary. Among Top 3 brands New Writing Instrument Global brand from Asia’s largest stationery in India for Writing brand launched in FY19 by Mitsubishi Pencil Co. Ltd, giant. • Linc Ltd. is one of Instruments. Linc in MRP ₹10 and above Japan. India’s largest writing segment. instr
Slide 5: Management Commentary
Management Commentary. “Q3 FY23 saw back-to-back strong performance, as we achieved our highest profit. Operating Income stood at ₹ 12,455 lacs, a growth of 30.7% YoY and (1.9)% QoQ. Better product mix coupled with stable input costs has also led to expansion in margin in the current quarter. Conseq
Slide 6: Key Highlights
Key Highlights. Operating Income up 30.7% YoY, Gross Profit up 70.7% YoY at ₹4,126 down 1.9% QoQ at ₹ 12,455 lacs lacs and Margin stood at 33.1%. Gross Profit and GPM was also the highest in a quarter Operating EBITDA up sharply by 170.9% YoY at ₹ 1,819 lacs 'Pentonic' Sales continued to grow and Ma
Slide 7: Key Highlights (Cont.)
Key Highlights (Cont.) . Record Performance; surpassing pre-covid peak 2,507 34,947 7.1% 29,898 1,427 4.8% 24,441 30.5% 22.0% 25.6% 24.2% 514 2.1% ₹ LACS 16,290 ₹ LACS 10,673 (3.8)% 7,654 5,905 3,586 9M FY20 9M FY21 9M FY22 9M FY23 9M FY20 9M FY21 9M FY22 9M FY23 (616) Operating Income Gross Profit
Slide 8: Quarterly Highlights
Quarterly Highlights. ₹ Lacs Operating Gross Operating PBT PAT Cash Profit1 Income Profit EBITDA 12,455 4,126 1,819 1,490 1,113 1,467 Growth (YOY) 30.7% 70.7% 170.9% 304.2% 299.6% 138.4% Growth (QOQ) -1.9% 6.5% 16.8% 17.6% 16.5% 11.2% Margin2(%) 33.1% 14.6% 11.9% 8.9% Margin –YoY 778 bps 756 bps 808
Slide 9: Quarterly Highlights (Cont.)
Quarterly Highlights (Cont.). ₹ Lacs Particulars 31-Dec-22 30-Sep-22 31-Mar-22 31-Dec-21 ROE(%)2 ROCE(%)2 27.9% 21.7% 24.1% Net Worth 16,526 15,412 14,285 13,979 18.8% Short Term Borrowing - - 299 142 5.0% 5.9% 6.6% 7.7% Long Term Borrowing - - - - Gross Debt - - 299 142 Q3'22 FY 22 Q2'23 Q3'232 Q3'
Slide 10: Quarterly Highlights (Cont..)
Quarterly Highlights (Cont..). ₹ Lacs Writing Instruments Other Products Writing Instruments Other Products Revenue Own Brands Licensed Brands Own Brands Licensed Brands Pentonic Linc & Others (Uni-Ball) Pentonic Linc & Others (Deli) Q3 FY23 3,742 6,021 1,697 26 411 700 Sales Contribution (%) 2
Slide 11: Quarterly Highlights (Cont..)
Quarterly Highlights (Cont..). ₹ Lacs Writing Instruments Trade Channel Other Products Revenue General Trade Corporate Modern Trade E-Commerce Exports Q3 FY23 8,468 329 660 230 2,910 Sales Contribution (%) 67.2% 2.6% 5.2% 1.8% 23.1% Q2 FY23 8,247 382 572 183 2,653 Sales Contribution (%) 68.5% 3.2
Slide 12: Operational Highlights
Operational Highlights. Increasing touch points Focus on brand building 2,40,341 2,30,574 2,37,620 3.1% 2,18,471 39,996 1,48,898 1,39,500 35,049 36,694 35,496 34,947 1,23,472 1,41,200 33,189 1,16,963 ₹ LACS 25,666 65,000 2.0% 56,553 1.7% 46,000 50,000 1.3% 1.5% 0.5% 1.6% 454 177 539 1,242 414 602 69
Slide 13: Operational Highlights (Cont..)
Operational Highlights (Cont..). Growth in average realization of Pens Focus on higher margin products 33.1% 5.53 5.62 5.57 5.62 29.3% 30.3% 25.5% 27.7% 30.5% 4.90 20.0% 17.2% 4.52 4.32 3.96 25.4% ₹ 7.0% 24.7% 3.65 23.8% 0.0% 21.8% FY18 FY20 FY22 Q1'23 Q2'23 Q3'23 FY 18 FY 19 FY 20 FY 21 FY 22 Compa
Slide 14: Quarterly Profit & Loss
Quarterly Profit & Loss. ₹ Lacs Particulars Q3 FY 23 Q3 FY 22 YoY Change Q2 FY 23 QoQ Change 9M FY23 9M FY22 YOY Change FY22 Operating Income 12,455 9,533 30.7% 12,698 (1.9%) 34,947 24,441 43.0% 35,496 Gross Profit 4,126 2,416 70.7% 3,875 6.5% 10,673 5,905 80.7% 8,441 Gross Profit (%) 33.1%
Slide 15: Focus on Shareholder Value Creation
Focus on Shareholder Value Creation. Net Cash from Operating Activities Vs Dividend Payout 5,000 60.0% 52% 50.0% 4,723 4,000 • Sharp increase in Free Cash Flow in 9M FY23 34% 4,065 40.0% 3,835 3,000 ₹ LACS 3,317 • Consistent Dividend Pay-out track record of greater than 30% 33% 30.0% 2,000 12% (Othe
Slide 16: Shareholding Pattern
Shareholding Pattern. 27.2% Promoters Mitshubishi Pencil Co Ltd 0.3% 58.83% IEPF 0.2% NRI, FII etc. 13.4% Other Public As on 30th Dec’22 15
Slide 17: Why Linc?
Why Linc?. Education sector Strong Balance Sheet with experiencing strong tail zero debt and free cash in winds in India; hence hand; strong top & bottom demand for company’s line growth products will continue to grow Presence over all categories Strong in-house – Roller Pen, Gel Pen & Ball manufact
Slide 18: Disclaimer
Disclaimer. The information contained in this presentation is provided by Linc Limited (the “Company”). Although care has been taken to ensure that the information in this presentation is accurate, and that the opinions expressed are fair and reasonable, the information is subject to change without
Slide 19: Thank You
Thank You. For further details please contact Director Finance & CFO Investor Relations Advisor N.K.Dujari Email: investors@linclimited.com Phone No.: +91 9830042353 Sanjeev Sancheti Landline: +91 33 68262100 Email: ss@uirtus.in Phone No.: +91 9836244222 18