Lumax Industries Limited · NSE:LUMAXIND
Lumax Industries — Q4 FY2020 Earnings Presentation
72 slides from Lumax Industries's earnings presentation, June 2020
Slide 1: Cover letter to BSE and NSE
LIL:CS:IP:2020-21 Date : 20.06.2020 BSE Limited The National Stock Exchange of India Limited Listing Compliance Department Listing Compliance Department Phiroze Jeejeebhoy Exchange Plaza, C-1 Block G, Towers, Dalal Street, Bandra Kurla Complex, Mumbai - 400001 Bandra (E), Mumbai-400051 Company Code
Slide 2: Lumax Industries Limited Investor Presentation - June 2020
Lumax Industries Limited Investor Presentation - June 2020
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Lumax Industries Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: DK Jain Group
DK Jain Group Leader in Automotive Lighting & Seven Decade Strong Gear Shifters 15 Entities in 8 States 30 Manufacturing Facilities 4 R&D Centres (India) Over 9,000 Employees & 1 Design Centre (Taiwan) 3
Slide 5: Two Listed Entities
Two Listed Entities Lumax Industries Limited Group Revenue Break Up (%) Products & Services FY20 Revenue of Rs. 2,900 Cr End-to-end Automotive Lighting Solutions HVAC Panels and other electronic components Partnerships • Stanley – Japan 5% • SL Corporation - Korea 55% Lumax Auto Technologies Limited
Slide 6: Purpose, Vision & Values
Purpose, Vision & Values LUMAX # 1K JAIN sna manna OUR GROUP OUR VALUES OUR VISION PURPOSE Resovect Buising vt admired We celiver . high performance ; Integrity pride gnty phal orqarisetion ir and Passion whom all scekebalde = progress ‘ veh Excellence Lee apen ee a positivity * x LUMAX — ral
Slide 7: Diversified Product Range – 4-wheelers & CV
Diversified Product Range – 4-wheelers & CV Telematics Products & Services Antennas HVAC Panel Transmission Products ▪ Destination Boards & Urea Tanks for Commercial Vehicle Aftermarket products 6
Slide 8: Diversified Product Range – 2-wheelers
Diversified Product Range – 2-wheelers 7
Slide 9: Diversified Product Range – Farm Equipment Sector (FES)
Diversified Product Range – Farm Equipment Sector (FES) Revolving Lamp Rear Fender Lamp Engine lamp Head Lamp Work Lamp Front Fender Lamp 8
Slide 10: Fostering Partnerships to Deliver Excellence
Fostering Partnerships to Deliver Excellence Japan Korea Italy JV FOR LIGHTING, HVAC PANELS JV FOR LIGHTING AND OTHER JV FOR EMISSION SYSTEMS AND OTHER ELECTRONICS AUTOMOTIVE PARTS Relationship Since 1984 Relationship Since 1997 Relationship Since 2007 37.5% in Lumax 78.72% in SL Lumax 50% in Lumax
Slide 11: Fostering Partnerships to Deliver Excellence
Fostering Partnerships to Deliver Excellence JAPAN ISRAEL SPAIN EXCLUSIVE DISTRIBUTORSHIP JV FOR SALE OF TELEMATICS AGREEMENT PRODUCTS AND SERVICES JV FOR OXYGEN SENSORS Relationship Since 2017 Relationship Since 2017 Relationship Since 2014 50% in Lumax Ituran Telematics Pvt. Ltd. 49% in Lumax FAE
Slide 12: 30 Locations close to Customers
30 Locations close to Customers State Mfg Locations # Haryana Bawal 1 Dharuhera 1 Gurugram 2 Manesar 4 Maharashtra Pune 9 Waluj 3 Karnataka Bengaluru 2 Gujarat Sanand 1 Facilities Location Mehsana 1 Gurugram, Manesar, R&D Centre Tamil Nadu Sriperumbudur 1 Pune Design Centre Taiwan Uttarakhand Haridw
Slide 13: Enhanced 360° Customer View
Enhanced 360°Customer View Understand the Customer ▪ A real understanding of varying customer needs & the capability to deliver outstanding results Environmental Conscious Experienced Team ▪ Environment-conscious work ▪ Highly Qualified & Experienced practices workforce of dedicated professionals Te
Slide 14: Relationships with Diversified Customers
Relationships with Diversified Customers Two Wheeler Four Wheeler Commercial Vehicle Tier 1 The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only 13
Slide 15: Relationships with Diversified Customers … Strong After Market Exports Presence
Relationships with Diversified Customers Tractor/FES Export Defence & Aero Space … Strong After Market Exports Presence The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only 14
Slide 16: Lumax Industries Limited: Driving Leadership in Automotive Lighting
Lumax Industries Limited Driving Leadership in Automotive Lighting
Slide 17: Milestone
Milestone 1985: Setup a manufacturing unit in 1981: Lumax Industries Gurugram, Haryana. Pvt Limited established The company went 1945: Founded a after taking over partnership firm public & is listed on partnership firm Globe the stock exchange 1997-98 ‘Globe Auto Industries’ Auto Industries as a Tra
Slide 18: Milestone
Milestone …2005 -2020 a period of strategic expansion 2010: Setup a manufacturing plant in Haridwar, Uttarakhand 2007: Further Equity 2018-20 participation by Stanley, 2011: Setup Japan manufacturing plants in Bawal, Haryana; Sanand, 2008: Setup Gujarat & Bidadi, manufacturing plant in Karnataka. Al
Slide 19: Competitive Advantages
Competitive Advantages Market Leaders Leadership in Lighting Partnerships With more than three & half decades of Product Portfolio partnership with Stanley, Japan, the only One of the few players with largest global auto lighting company to manufacture range of lighting solutions & LED worldwide, ha
Slide 20: Product Mix Q4FY20
Product Mix Q4FY20 Product wise Sales Q4FY19 (Rs. 418 Crores)* Product wise Sales Q4FY20 (Rs. 334 Crores)* 8% 10% 23% 24% 66% 69% Front Lighting Rear Lighting Others Front Lighting Rear Lighting Others Front Lighting – Head Lamp & Fog Lamp Rear Lighting –Tail Lamp & High Mount Stop Lamp * Excludes M
Slide 21: Product Mix FY20
Product Mix FY20 Product wise Sales FY19 (Rs. 1,802 Crores)* Product wise Sales FY20 (Rs. 1,471 Crores)* 7% 9% 24% 25% 66% 69% Front Lighting Rear Lighting Others Front Lighting Rear Lighting Others Front Lighting – Head Lamp & Fog Lamp Rear Lighting –Tail Lamp & High Mount Stop Lamp * Excludes Moul
Slide 22: Segment Mix Q4FY20
Segment Mix Q4FY20 Segment wise Sales Q4FY19 (Rs. 418 Crores)* Segment wise Sales Q4FY20 (Rs. 334 Crores)* 6% 5% 27% 28% 67% 67% Passenger Vehicles 2-Wheelers Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 21
Slide 23: Segment Mix FY20
Segment Mix FY20 Segment wise Sales FY19 (Rs. 1,802 Crores)* Segment wise Sales FY20 (Rs. 1,471 Crores)* 6% 5% 27% 29% 67% 66% Passenger Vehicles 2-Wheelers Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 22
Slide 24: Customer Mix Q4FY20
Customer Mix Q4FY20 Customer wise Sales FY19 (Rs. 418 Crores)* Customer wise Sales FY20 (Rs. 334 Crores)* 54 , 13% 163 , 39% 71 , 21% 130 , 39% 34 , 8% 10 , 3% 27 , 6% 17 , 5% 47 , 11% 29 , 9% 44 , 11% 48 , 11% 30 , 9% 47 , 14% Figures in Rs. Crores MSIL/SMG HMSI HML M&M TATA HCIL Others MSIL/SMG HM
Slide 25: Customer Mix FY20
Customer Mix FY20 Customer wise Sales FY19 (Rs. 1,802 Crores)* Customer wise Sales FY20 (Rs. 1,471 Crores)* 317 , 18% 275 , 19% 63 , 4% 103 , 6% 641 , 36% 561 , 38% 124 , 7% 78 , 5% 133 , 9% 168 , 9% 260 , 14% 143 , 10% 188 , 10% 217 , 15% Figures in Rs. Crores MSIL/SMG HMSI HML M&M TATA HCIL Others
Slide 26: LED Lighting vs Conventional Lighting
LED Lighting vs Conventional Lighting Product wise Sales FY19 (Rs. 1,802 Crores)* Product wise Sales FY20 (Rs. 1,471 Crores)* 33% 34% 67% 66% Conventional Lighting LED Lighting Conventional Lighting LED Lighting * Excludes Mould Sales 25
Slide 27: SL Lumax Limited
SL Lumax Limited Sales Breakup SL Lumax Limited FY20 – Rs. 1,402 Crores Associate Company with 21.28% holding 30% Plant in Sriperumbudur (Chennai) In partnership with SL Corporation, Korea, a multinational automotive player with presence in Asia-Pacific, Europe & US 70% Lamps Others Products Lamps K
Slide 28: Strong Customer Base
Strong Customer Base … Four Wheeler Two Wheeler Commercial Vehicle Export Tractor /FES … Servicing almost 90% of OE Customers in India … 27 The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only
Slide 29: From Strategic Locations in Key Auto Belts of India
… From Strategic Locations … Pantnagar Dharuhera Bawal Haridwar Gurugram Chakan Manesar Chinchwad Sanand SL Lumax Ltd Chennai R&D Centre & Design Centre Bengaluru Gurugram R&D Centre Pune Design … in Key Auto Belts of India Centre Taiwan Map not to scale. All data, information and maps are provided
Slide 30: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 29
Slide 31: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 30
Slide 32: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 31
Slide 33: In-house R&D & Validation Facility
…In-house R&D & Validation Facility 32
Slide 34: In-house Design Studio
.. In-house Design Studio LUMNAX 33
Slide 35: Share Holding as of 31st March, 2020
Share Holding as of 31st March, 2020 Shareholding breakup Stanley Electric Company Ltd Over three decades of strong technical & financial collaboration with Stanley Electric Company Ltd, DK Jain Japan Others 25.00% Family 37.50% A world leader in Vehicle Lighting & Illumination products for Automobi
Slide 36: Promoter Group
Promoter Group Mr. Dhanesh Kumar Jain Mr. Deepak Jain Mr. Anmol Jain Chairman Emeritus Chairman & Managing Director Jt. Managing Director ▪ He is 76 years of age & holds a MBA ▪ He is 45 years of age & is a Business Graduate ▪ He is 41 years of age & holds degree from Delhi university & has from Ill
Slide 37: Promoter Group
Promoter Group Mr. Tadayoshi Aoki Mr. Toru Tanabe Mr. Kenjiro Nakazono Senior Executive Director Non-Executive Director Executive Director ▪ He is 53 years old & is a ▪ He is 59 years old & is a ▪ He is 50 years old & is a Mechanical Engineering from graduate from Hosei graduate from graduate from T
Slide 38: Supported by Strong Independent Directors
…Supported by Strong Independent Directors Mr. A P Gandhi Mr. Rajeev Kapoor Mr. M.C. Gupta Mr. Dhiraj Dhar Gupta Mr. Ratan Kapur Ms. Ritika Modi • He is 81 years old & is a • He is 67 years old and • He is 81 years old and is • He is 69 years old and • He is 62 years old & is • She is 54 years old a
Slide 39: Professional & Experienced Team
Professional & Experienced Team Mr. Vineet Sahni Mr. Sanjay Mehta Mr. Naval Khanna Mr. Shrutikant Rustagi CEO & Sr Executive Director Group CFO Corporate Head – Taxation Chief Financial Officer Age: 55 years Age: 53 years Age: 63 years Age: 50 Years Experience: over 30 Years Experience: 29 Years Exp
Slide 40: The Path Ahead
LUMNAX The Path Ahead
Slide 41: Rear Lamp – Technology Evolution
Rear Lamp – Technology Evolution Split type Tail Lamp Tail Lamp with LED All LED Tail Lamp 3D LED Tail lamp Adaptive rear Lighting Signature and Tail function 2011-12 2013-mid of 2014 End of 2014 - 2015 2016 2017 onwards • Tail lamps were • New Styling • Penetration of • Almost all the new • All the
Slide 42: Head Lamp – Technology Evolution
Head Lamp – Technology Evolution Head Lamp with Bulb Projector Head Lamp All LED Head Lamp Head Lamp with bulb + Led Head Lamp with LED Projector DRL and LED DRL 2011-13 2014-15 2016-17 2017-20 • Head Lamps with Halogen Bulbs • Introduction of Projector Lamps • Almost all the models were • The futur
Slide 43: Leveraging on our Strengths for LED Market
Leveraging on our Strengths for LED Market The Market Scenario Increased styling demands Creating revenue Influencing the cost of by OEMs to individualise & opportunities for Tier I lighting cluster differentiate suppliers Partnership with Stanley Electric - Stanley is one of the Auto Lighting compa
Slide 44: Financials
LUMNAX Financials
Slide 45: Strong Growth in Total Income with Healthy Margins
Strong Growth in Total Income with Healthy Margins Revenue Reported EBITDA# +6% 7.40% +305 Bps 10.45% 1,851.5 1,649.4 1,601.6 +16% 178.7 167.4 1,255.2 1,270.9 143.0 106.8 92.9 FY16 FY17* FY18* FY19* FY20* FY16 FY17* FY18* FY19* FY20* PAT Cash PAT 2.98% +153 Bps 4.51% +16% +18% 167.7 107.4 135.9 111.
Slide 46: Expansion funded through Internal Accruals
Expansion funded through Internal Accruals Gross Block Long Term Loan 1,214 52.9 1,047 973 812 36.0 760 13.0 5.0 2.7 FY16 FY17* FY18* FY19* FY20* FY16 FY17* FY18* FY19* FY20* Capex Long Term Debt / Equity 162.0 167.4 0.21 0.14 94.0 70.0 52.0 0.05 0.02 0.01 FY16 FY17* FY18* FY19* FY20* FY16 FY17* FY1
Slide 47: Healthy Return Ratios
Healthy Return Ratios ROE (%) ROCE (%) 21.6 21.1 32.0 32.0 18.3 18.0 18.8 25.6 26.0 24.0 FY16 FY17* FY18* FY19* FY20* FY16 FY17* FY18* FY19* FY20* Dividend (% of Face Value) EPS (in Rs.) 350 114.9 230 235 77.3 67.7 145 49.3 120 40.0 FY16 FY17* FY18* FY19*^ FY20* FY16 FY17* FY18* FY19* FY20* ^ Total
Slide 48: Q4FY20 Highlights - Consolidated
Q4FY20 Highlights - Consolidated Revenue EBIDTA* Adj. PAT 9.1% 9.7% 3.3% 4.2% 433 39 16 38 387 14 Q4FY19 Q4FY20 Q4FY19 Q4FY20 Q4FY19 Q4FY20 # Numbers updated as per IND-AS Rs. Crores * Including other income 47
Slide 49: FY20 Highlights - Consolidated
FY20 Highlights - Consolidated Revenue EBIDTA* Adj. PAT 8.9% 10.3% 4.0% 4.5% 1,851 165 165 75 72 1,602 FY19 FY20 FY19 FY20 FY19 FY20 # Numbers updated as per IND-AS Rs. Crores * Including other income 48
Slide 50: Consolidated P&L Statement
Consolidated P&L Statement Particulars (Rs. in Crores.) Q4 FY20 Q4 FY19 Y-o-Y FY20 FY19 Y-o-Y Manufacturing Revenue 333.9 418.0 -20.1% 1471.0 1802.4 -18.4% Moulds Revenue 53.4 14.7 130.6 49.0 Total Operating Revenue 387.3 432.7 -10.5% 1601.6 1851.5 -13.5% Other Income 4.1 8.8 7.4 11.5 Total Income 3
Slide 51: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. in Crores) Mar-20 Mar-19 EQUITY & LIABILITIES Mar-20 Mar-19 Non-current assets Equity Property, plant and equipment 612.6 544.1 Capital work-in-progress 32.2 49.0 Equity Share capital 9.3 9.3 Right of use assets 23.8 0.0 Other equity 437.1 425.5 Investment prop
Slide 52: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Particulars (Rs in Crores) FY20 FY19 PBT 91.7 134.3 Adjustments 79.3 26.6 Operating profit before working capital changes 171.0 160.9 Changes in working capital -52.0 -23.9 Cash generated from operations 119.0 136.9 Direct taxes paid (net of refund) 15.7 32.9 Net Cas
Slide 53: Standalone P&L Statement
Standalone P&L Statement Particulars (Rs. in Crores.) Q4 FY20 Q4 FY19 Y-o-Y FY20 FY19 Y-o-Y Manufacturing Revenue 333.9 418.0 -20.1% 1471.0 1802.4 -18.4% Moulds Revenue 53.4 14.7 130.6 49.0 Total Operating Revenue 387.3 432.7 -10.5% 1601.6 1851.5 -13.5% Other Income 4.1 8.8 9.7 25.5 Total Income 391
Slide 54: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. in Crores) Mar-20 Mar-19 EQUITY & LIABILITIES Mar-20 Mar-19 Non-current assets Equity Property, Plant and Equipment 612.6 544.1 Capital work-in-progress 32.2 49.0 Equity Share capital 9.3 9.3 Right of use assets 23.8 0.0 Other equity 375.1 362.9 Investment proper
Slide 55: Standalone Cash Flow Statement
Standalone Cash Flow Statement Particulars (Rs in Crores) FY20 FY19 PBT 82.0 139.1 Adjustments 89.1 21.8 Operating profit before working capital changes 171.0 160.9 Changes in working capital -52.0 -23.9 Cash generated from operations 119.0 136.9 Direct taxes paid (net of refund) 15.7 32.9 Net Cash
Slide 56: Awards & Recognitions
LUMNAX Awards & Recognitions
Slide 57: Awards & Recognition
Awards & Recognition Lumax Industries Limited, Dharuhera won the Gold Award in Excellence in Inclusive Growth - A Make in India Drive - Very Large Category at the ACMA Technology Summit & Awards held in November, 2019.
Slide 58: Awards & Recognition
Awards & Recognition Lumax Industries Limited, Dharuhera won the Bronze Award in Excellence in Manufacturing - Very Large Category at the ACMA Technology Summit & Awards in November, 2019.
Slide 59: Awards & Recognition
Awards & Recognition Lumax Industries Limited, Chakan won the Silver Award in Excellence in New Product Design & Development at the ACMA Technology Summit & Awards in November, 2019.
Slide 60: Awards & Recognition
Awards & Recognition Lumax Industries Limited, Pantnagar won the Gold Award in Excellence in Supplier Development - Very Large Category at the ACMA Technology Summit & Awards held in November, 2019.
Slide 61: Awards & Recognition
Awards & Recognition Won the prestigious Gold award for Top 100 best annual report for excellence within its industry for the past fiscal year. 60
Slide 62: Awards & Recognition
Awards & Recognition Lumax Industries Limited bagged The Gold Award at ICQCC for the third year in a row in FY20. Our plants at Haridwar, Bawal & Bengaluru have been accorded with this prestigious award.
Slide 63: Awards & Recognition
Awards & Recognition Lumax Industries Limited won the Overall Performance (Shield) Award from Maruti Suzuki India Limited in May, 2019.
Slide 64: Awards & Recognition
Awards & Recognition Lumax Industries bagged four prestigious awards from ACMA for Manufacturing Excellence, Excellence in Inclusive Growth, Excellence in Technology - Product Innovation and Excellence in Supplier Development in 2019.
Slide 65: Awards & Recognition
Awards & Recognition Lumax Industries Limited, Dharuhera bagged the Gold Award in Digitalisation Robotics and Automation Category amongst 48 nominees at Low Cost Automation & Digitalisation Robotics and Automation Competition organised by Confederation of Indian Industry in September, 2019 held at G
Slide 66: Awards & Recognition
Awards & Recognition Award received from Maruti Suzuki India Ltd - May 2018 For Tier 2 Upgradation For Gujarat Localization For Overall Vendor Performance 65
Slide 67: Awards & Recognition
Awards & Recognition HMSI Awards for New Product Development
Slide 68: Awards & Recognition
Awards & Recognition SML Isuzu Award for Design and Development
Slide 69: TPM Award
TPM Award JIPM Award for Excellence in Consistent TPM Commitment Pantnagar Plant, 2019 JIPM-TPM Excellence Award Bengaluru Plant, 2019 68
Slide 70: TPM Award
TPM Award JIPM-TPM Excellence Award Pantnagar Plant, March 2014 JIPM-TPM Excellence Award Bawal Plant, November 2017 69
Slide 71: CSR Initiatives
CSR Initiatives Towards its endeavour to give back to society, the group has taken various initiatives towards Education of the underprivileged. Four schools in the NCR region, close to its facilities have been adopted, starting with improving its infrastructure, to facilitating the annual fee so as
Slide 72: For further information, please contact:
For further information, please contact: Company: Investor Relations Advisors: Lumax Industries Limited Strategic Growth Advisors Pvt. Limited CIN: L74899DL1981PLC012804 CIN: U74140MH2010PTC204285 Ms. Priyanka Sharma Mr. Shogun Jain / Mr. Pratik R. Shah priyanka.sharma@lumaxmail.com shogun.jain@sgap