Kansai Nerolac Paints Limited · NSE:KANSAINER
Kansai Nerolac Paints — Kansai Paint India Strategy Briefing 2025
31 slides from Kansai Nerolac Paints's conference presentation, Apr 17, 2025
Slide 1: Exchange intimation of investor presentation
Page 1 of 31 17th April, 2025 1. Corporate Relationship Department 2. Manager – Listing BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Bandra Kurla Complex, Bandra (E), Mumbai - 400001. Mumbai - 400051. Sub.: Presentation - An
Slide 2: India strategy briefing (Kansai Nerolac Paints Ltd.)
Page 2 of 31 Kansai Paint Co., Ltd. India strategy briefing (Kansai Nerolac Paints Ltd.) 18th April, 2025 Copyright © 2025 Kansai Paint Co.,Ltd. All rights reserved.
Slide 3: Today's Agenda
Page 3 of 31 1. Value of India for Kansai Paint 2. Top management and MTP (Mid Term Plan) Today’s Agenda 3. Industrial and Auto strategy 4. Deco strategy 5. Q&A / 2
Slide 4: Importance of India
Importance of India Page 4 of 31 The KANSAI PAINT Group’s mission is to develop paint that contribute to sustainability and spread them all over the world. To achieve this mission, our India business has an ambition to be No.2 in the India Coating market. Goal The role of each segments: India, Afric
Slide 5: India business at a glance
Corporate overview Page 5 of 31 India business at a glance ➀ Percentage of India sales in Kansai Paint ➂ Outgrown the growing market FY2023 Percentage of Sales by Region 【2019-2023 Revenue CAGR】 KP India 10.6% India Coating Market 10.4% 1/4 revenue of the Kansai Global Coating Market 3.7% Paint grou
Slide 6: India will drive the growth of the entire group
Vision of India segment Page 6 of 31 India will drive the growth of the entire group Long-term – by 2030 ➢ Aspire to be the largest segment in the Kansai Paint group Financial KPI Non-Financial KPI Revenue to EBITDA grow at margin CAGR ~10% ～18% Short-term Aspiration – next 3 years Expectations for
Slide 7: Today's Agenda
Page 7 of 31 1. Value of India for Kansai Paint 2. Top management and MTP (Mid Term Plan) Today’s Agenda 3. Industrial and Auto strategy 4. Deco strategy 5. Q&A / 6
Slide 8: Attendees
Attendees Page 8 of 31 Pravin Chaudhari Prashant Pai Rohit Malkani Managing director Chief Financial Officer Chief Strategy & Customer Officer Hirokazu Kotera Amrit Rekhi Executive director Chief Business Officer, Industrial / 7
Slide 9: Under the new leadership, we will begin 18th MTP
New managing director (MD) Page 9 of 31 Under the new leadership, we will begin 18th MTP (*) 【Profile】 Pravin Chaudhari is a seasoned business leader with over 30 years of experience in the paints and pigments industry. He has held senior leadership roles at Kansai Nerolac and Pidilite, driving grow
Slide 10: Big potential with clear growth drivers
Indian market Page 10 of 31 Big potential with clear growth drivers Indian economy features 5th largest GDP Young population Domestic demand-led World’s 4th largest Constant growth of economy automotive powerhouse Median age: 28yrs 6-7% Future Growth Drivers Favorable Rapid Infrastructure Constructi
Slide 11: Our vision
Our vision Page 11 of 31 Within last 3 yrs entered Construction chemicals Tile EV Underbody, Alloy Wheel / 10
Slide 12: Segment-wide penetration driven by in-house innovation and market share leadership
Source: Based on internal assumptions Strategic footprint Page 12 of 31 Segment-wide penetration driven by In-House innovation and market share leadership Kansai Comp-A Comp-B Comp-C Comp-D Comp-E Comp-F Comp-G Nerolac Deco #3 General Industrial #3 Auto △ △ △ △ #1 *Joint venture *Joint venture *Join
Slide 13: Not a brand-new strategy, it's a Business Transformation
Business transformation Page 13 of 31 Strategy vision: Not a “brand-new” strategy, it’s a “Business Transformation” Growth Drivers Operational Improvement Asset Strategic Agility/ CCC as a key Portfolio Leveraging Utilizations One-Kansai resources Swiftness to performance management past M&A /Global
Slide 14: Building a resilient business model across 3 strategic pillars
MTP(*) vision Page 14 of 31 Building a resilient business model by balancing stability, growth, and innovation across our 3 strategic pillars FY2023 Strategic direction MTP(*) ambition Industrial Growth Industrial Non-deco Non-deco Auto Auto Innovation Deco Deco Stability Deco Deco *Abbreviation MTP
Slide 15: Today's Agenda
Page 15 of 31 1. Value of India for Kansai Paint 2. Top management and MTP (Mid Term Plan) Today’s Agenda 3. Industrial and Auto strategy 4. Deco strategy 5. Q&A / 14
Slide 16: No.1 position in Auto and Powder, still more room to grow
Auto and Industrial market share Page 16 of 31 No.1 position in Auto and Powder, still more room to grow in GI+HPC and ARF (*) (*) Auto Powder GI+HPC(*) ARF(*) No.1 share No.1 share More room to grow More room to grow *Abbreviation GI… General Industrial HPC… High Performance Coatings ARF… Auto Refi
Slide 17: Positive outlook for Automotive Sector
Auto market Page 17 of 31 Positive outlook for Automotive Sector Production units by category Future Outlook (units) 35,000,000 *Abbreviation 2W… 2 wheelers 3W… 3 wheelers ➢ Healthy growth prospects of production 4W… 4 wheelers 30,000,000 CV… Commercial Vehicle volume 25,000,000 ➢ Mix of Auto is cha
Slide 18: Our market presence has been expanding
Auto performance Page 18 of 31 Our market presence has been expanding Kansai Nerolac Kansai Nerolac Auto market share Category-wise sale trend INDEX (Index) Continuously improving our market share Doubled sales in 5 years (%) by outpacing market growth 2.50 60.0% CV 4W 59.0% 2.00 Tractor 2/3W 58.0%
Slide 19: Being a category leader, we continue to expand business further
Auto initiatives Page 19 of 31 Being a category leader, we continue to expand business further through new business/segments These strengths/uniqueness will help us to… 1) We are accessible to the global latest technology through the tie-up with Japan and other countries ⚫ Catch up with the demands
Slide 20: Diverse applications, diverse business opportunities
Industrial paints Page 20 of 31 Diverse applications, diverse business opportunities Powder GI+HPC(*) White goods Kitchen Alloy wheels Helmet Coil coating Agricultural equipment Floor coating Can coating Construction equipment Air conditioner Washing machine Rebar *Abbreviation GI… General industria
Slide 21: Continue to expand the business
Industrial/ARF(*) market Page 21 of 31 Continue to expand the business *Abbreviation GI… General industrial HPC… High Performance Coatings Sales revenue Growth path ARF… Auto Refinish Powder GI+HPC(*) ARF(*) Strategy Premiumization, Network expansion, New technologies, New approvals are the common k
Slide 22: Today's Agenda
Page 22 of 31 1. Value of India for Kansai Paint 2. Top management and MTP (Mid Term Plan) Today’s Agenda 3. Industrial and Auto strategy 4. Deco strategy 5. Q&A / 21
Slide 23: Diverse applications, diverse business opportunities
Deco paints Page 23 of 31 Diverse applications, diverse business opportunities Paint (retail/project) Construction chemicals Wood finish premium Interior paints Exterior paints Water-proofing Waterborne coating Enamel paints Texture wall paints Tile adhesives Pigmented Wood system Diverse applicatio
Slide 24: We see our growth potential in project, CC and WF
Deco market Page 24 of 31 We see our growth potential in project, CC and WF (*) (*) Total Addressable Market (TAM) and our sale by segment Our CAGR in last 3 years Slightly lower ~ equal to market Retail growth Higher than market growth and Project increasing our market share Higher than market grow
Slide 25: Portfolio expansion and direct engagement with consumers and influencers
Deco strategy Page 25 of 31 Along with portfolio expansion, engage directly with consumer and influencer to drive secondary sale Challenges ⚫ Organized players are more competitive in high volume and low ASP (Average Sale Price) products ⚫ Across the industry, a decline in profit margins is inevitab
Slide 26: Retail Growth Drivers: Strengthening the core and expanding the edge
Retail drivers Page 26 of 31 Retail Growth Drivers: Strengthening the core and expanding the edge Drivers Key levers Scale PaaS (Paint as a Service) to drive premiumization and Expand Painting Service conversion with more dealers through Demand generation team Retail store models to assist in produc
Slide 27: Strong brand equity will help premiumization
Premiumization Page 27 of 31 Strong brand equity will help us to be in a better position for premiumization Very much familiar Jingle 2nd strongest paint brand in India Japanese technology 2nd Strongest Consumer Paint Brand JAPANESE TECHNOLOGY Ranked in No.2 among paint brand Leveraging the "Japanes
Slide 28: Paint+, the newly launched premium product line
Premiumization Page 28 of 31 “Paint+”, the newly launched premium product line that embodies our brand. Now it accounts for appx. 10% of total deco KEY PRODUCTS: EXCEL NODUST: WOW RANGE: Highest Dust Whitest of White Resistance property in Industry in the category EXCEL EVERLAST 12: IMPRESSION India
Slide 29: Today's Agenda
Page 29 of 31 1. Value of India for Kansai Paint 2. Top management and MTP (Mid Term Plan) Today’s Agenda 3. Industrial and Auto strategy 4. Deco strategy 5. Q&A / 28
Slide 30: Thank you
Page 30 of 31 THANK YOU CO PAINT Enrich |_iVve@S with Happiness
Slide 31: Disclaimer
Disclaimer Page 31 of 31 This presentation may contain’ statements’ which _ reflect management’s current views and estimates and could be construed as forward making statements. The future involves certain risks and uncertainties that could cause actual results to differ materially from the current
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