Indigo Paints Ltd · NSE:INDIGOPNTS
Indigo Paints — Q3 FY22 Earnings Presentation
17 slides from Indigo Paints's earnings presentation, Feb 11, 2022
Slide 1: Intimation under Regulation 30 for Investor Presentation
ay INDIGO Be surprised! Date: February 11, 2022 To, To BSE Limited National Stock Exchange of India Limited Corporate Relationship Department Exchange Plaza, Plot No. C-1, Block G, 25" Floor, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (East) Dalal Street, Mumbai- 400001 Mumbai - 400051
Slide 2: Indigo Paints Ltd Investor Presentation (Q3 FY22)
INDIGO Paints Ltd Investor Presentation (Q3 FY 22) / guy INDIGO
Slide 3: Disclaimer
Disclaimer Certain statements and opinions with respect to the anticipated future performance of Indigo Paints Ltd (“Indigo”) in the presentation (‘forward-looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be
Slide 4: Agenda for discussion
Agenda for discussion Eee ebro SE Quarterly Financials (Q3 FY22) ee — ie
Slide 5: Introduction
Introduction ¢ There was a negative sentiment in some geographies due to the Omicron wave; however, the impact on sales was not very significant ¢ Large price hikes undertaken in mid/late Q3, in line with the industry to mitigate the sharp escalation in raw material prices ¢ Witnessed good sales gro
Slide 6: Indigo Paints | Q3 FY22 financials
Indigo Paints | Q3 FY 22 financials Statement of unaudited financial results for the quarter and nine months ended December 31, 2021 (All amounts in rupees lakhs, unless otherwise stated) Sr. No Particulars Quarter ended Dec 31, 2021 Sep 30, 2021 Dec 31, 2020 (Unaudited) (Unaudited) (Unaudited) ] In
Slide 7: Indigo Paints | 9M FY22 financials
Indigo Paints | 9M FY 22 financials Statement of unaudited financial results for the quarter and nine months ended December 31, 2021 (All amounts in rupees lakhs, unless otherwise stated) Sr. No Particulars Nine months ended Year ended Dec 31, 2021 Dec 31,2020 | Mar 31, 2021 (Unaudited) (Unaudited)
Slide 8: Indigo Paints | Q3FY22 financial analysis
Indigo Paints | Q3FY22 financial analysis Quarterly Financial Highlight cecceeceeeetueeseeee ecueeseueeseueeeeuees RS. Cr - Quarterly | 3 % Change Particulars ! Q3 | Q2 i Q3 Q3 FY 22 vs (Rs. Crs) FY 21 FY 22 FY 22 Q3 FY21 Operational Income 209.64 196.11 265.46 26.63% Other Income 1.19 3.05 2.31 Tot
Slide 9: Indigo Paints | 9MFY22 financial analysis
Indigo Paints | 9MFY22 financial analysis 9 months Financial Highlight RS. Cr 9 Months Ended % Change Particulars 9M 9M 9M FY 22 vs (Rs. Crs) FY 21 FY 22 9M FY21 Operational Income 469.06 617.60 31.67% Other Income 2.02 8.39 Total 471.07 625.98 Gross Profit 228.16 266.70 Gross Margin % 48.64% 43.18%
Slide 10: Analysis
Analysis ¢ Q3 FY 22 Operational Income has expanded by 26.63% over Q3 FY 21 ¢ Good sales traction in Kerala and growth continues in strong double digits ¢ Gross Margins have dropped from 49.59% in Q3 FY 21 to 42.89% in Q3 FY 22. However, on a sequential basis, the gross margins have improved from 41
Slide 11: Analysis
Analysis 9M FY 22 Operational Income has expanded by 31.67% over 9M FY 21 Gross Margins have dropped from 48.64% in 9M FY 21 to 43.18% in 9M FY 22, due to sharp escalation in raw material prices. However, prices of raw materials are stable now, and with the sharp price increases effected in Q3, the
Slide 12: Analysis
Analysis ¢ The unprecedented escalation of raw material prices across all categories in recent months has been matched with unprecedented price hikes by the industry in Q3 FY 22 ¢ Prices of most of raw materials have stabilized, albeit at higher levels, and in fact are showing slightly downward tren
Slide 13: Value / Volume Growth (Q3 FY22 vs Q3 FY21)
Value / Volume Growth (Q3 FY 22 vs Q3 FY 21) Product Category oer oon Cement Paints + Putty 3.7% 0.1% Emulsions 35.4% 15.9% Enamels + Wood Coatings 8.9% -4.5% Primers + Distempers + Others 18.5% -3.6% 12
Slide 14: Analysis (Value/Volume growth)
Analysis (Value/Volume growth} ¢ Analysis of Volume growth and Value growth across broad categories of decorative paints are shown, as we feel that overall volume growth numbers do not reveal much ¢ Due to several rounds of price increases, the value growth in each category is higher than volume gro
Slide 15: Network expansion
Network expansion No. of Depots Active Dealers 13,214 13,884 14,716 15,242 Tinting m/c nos. 5,472 5,800 6,383 6,749 ¢ A depot at Hubli (Karnataka) was opened in October 2021 ¢ Expect to open a depot each at Himachal Pradesh & Delhi in Q4 ¢ Above expansion expected to further accelerate in current an
Slide 16: Future guidance
Future guidance ¢ Have launched an innovative “Anti-Odour’ paint in Q3, intended to absorb unpleasant odour in Kitchens and Bathrooms. ¢ Some innovative category-creator products being readied for launch in Q1 FY 23 ¢ Will attempt to take Active dealer count to 17,000 by year-end, and Tinting machin
Slide 17: Thank You
Thank You / gan ay INDIGO 16 I SD ee