Ppap Automotive Limited · NSE:PPAP
Ppap Automotive — Q4 FY2017 Earnings Presentation
44 slides from Ppap Automotive's earnings presentation, 2017
Slide 1: PPAP Automotive Limited
PPAP Automotive Limited Taking Challenges, Together
Slide 2: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 2
Slide 3: Quarterly Highlights
QUARTERLY HIGHLIGHTS All figures in ₹ Crore 95.50 77.07 20.30 8.74 12.88 4.24 Q4FY16 Q4FY17 Q4FY16 Q4FY17 Q4FY16 Q4FY17 Total Income EBITDA PAT Q4FY17 Income includes Tool sales of ₹ 7.16 crore vs. ₹ 4.94 crore of Q4FY16 EBITDA Margin is at 21.26% Final dividend 17.5% (Rs. 1.75 per Share), Tot
Slide 4: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 4
Slide 5: Brief Profile
BRIEF PROFILE PPAP Automotive Limited (PPAP) is a leading manufacturer of Automotive Sealing Systems, Interior and Exterior Injection parts in India State of the art manufacturing facilities located at Noida (UP), Greater Noida (UP), Chennai (Tamil Nadu) and Pathredi (Rajasthan). All the plants are
Slide 6: General Information
GENERAL INFORMATION SHARE HOLDING AS ON 31ST MARCH 2017 1.61 1.14 2.43 22.35 8.92 63.55 Promoters Bodies Corporate Individuals Foreign Companies Foreign Portfolio Investor (Corporate) Others 6
Slide 7: Management Profile
MANAGEMENT PROFILE Ajay Kumar Jain - Chairman & Managing Director • Commerce graduate from the Shri Ram College of Commerce, University of Delhi • Has been associated with the company since inception • Experience of over 40 years in the Polymer processing industry • Experience of over 30 years in th
Slide 8: Company Focus
COMPANY FOCUS TO BE A DOMINANT SUPPLIER OF BODY SEALING, INTERIOR & EXTERIOR PARTS TO BE OUR CUSTOMERS' NO. 1 SUPPLIER TRUSTWORTHINESS MUTUAL RESPECT CREATIVITY COOPERATION EXCELLENCE FOUNDATION ON STRONG HUMAN CAPITAL DEVELOPMENT 8
Slide 9: Journey
JOURNEY 1978 1985 1989 1996 2002 •Company Incorporated •Start of the Automotive •Technological tie up with •Established Plant - I •Certification of TS 16949 Business Tokoi Kogyo Co., Japan (Noida) and ISO 140001 •Added Maruti Suzuki as •Added Honda Cars as customer customer 2007 2006 2005 2004 2003
Slide 10: Technology Partners
TECHNOLOGY PARTNERS NISSEN CHEMITEC CORPORATION, JAPAN Established: 1951 TOKAI KOGYO CO. LTD, JAPAN Global Presence: USA, Thailand, Indonesia, Established: 1947 Singapore Global Presence: USA, Thailand, Indonesia, China, Mexico, Vietnam AUTOMOTIVE EXTERIOR & SEALING PRODUCTS AUTOMOTIVE INTERIOR PROD
Slide 11: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 11
Slide 12: Core Strengths
CORE STRENGTHS Leadership Position Strong Customer Base India’s leading Leading OEM manufacturer of manufacturers in Indian Automotive Sealing Market are customers Systems Access to Global Technology State-of-the-art manufacturing facilities Relationship with Focus on Kaizen towards Japanese Technol
Slide 13: Development Strategy
DEVELOPMENT STRATEGY 1 2 Improve Operational Efficiency Optmization of Asset Utilization • International Benchmarking Impossible for • Our Mantra - "Every Paisa Counts" • Improve margin realization driven • Improve OEE (Overall Equipment Efficiency) Competition to by cost optimization & operating le
Slide 14: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 14
Slide 15: Product - Milestones
PRODUCT - MILESTONES 1989 – Start of technology partnership with Tokai Kogyo 2007 – Start of technology • Injection Molded Parts – partnership with Nissen Chemitech Interior, Exterior – Door 2016 Lining Assembly 2012 – Start of JV Company - PTI 2014 • Injection Molded Parts – Interior, Exterior & Un
Slide 16: Sealing Systems
SEALING SYSTEMS ROOF MOULDING TRIM DOOR OPENING BACK DOOR / TRUNK SEAL MOULDING WINDSHEILD DOOR OPENING SEAL AIR SPOILER GLASS RUN PVC CHANNEL TPO OUTER BELT SLIDE RAIL PRODUCTS MADE INNER BELT EPDM BLACK/BRIGHT BY PTI (JV) 16
Slide 17: Injection Molding Products
INJECTION MOLDING PRODUCTS CTR-PILLAR RR -PILLAR PARTITION REAR TRAY FR-PILLAR UNDER HOOD PRODUCTS LINING RR PANEL IN CABIN PRODUCTS SIDE PROTECTORS 17 SPLASH GUARD DOOR LINING FENDER INNER TRUNK LINING
Slide 18: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 18
Slide 19: Manufacturing Facilities
MANUFACTURING FACILITIES CERTIFICATIONS HUMAN RESOURCE TS 16949 ISO 14001 TEAM STRENGTH : 1665 as on 31/03/2017 I OHSAS 18001 Pplanm E E 23% DIRECT INDIRECT 77% PLANT IV PLANT I PLANT II PATHREDI, 2014 NOIDA,1996 NOIDA,2003 INDIRECT 23% E PLASTIC EXTRUSION R I NO OF TEAM MEMBERS I INJECTION DESIGN &
Slide 20: Design and Development
DESIGN AND DEVELOPMENT • Product Design • Tool Design • Checking Fixture Design • Design Validation • Special Purpose Machines Design & Manufacturing 20
Slide 21: Extrusion Infrastructure
EXTRUSION INFRASTRUCTURE PVC / TPO MATERIAL EPDM & TPV MATERIAL 2 Locations; 10 Extrusion Lines 1 Kneader Mixing Plant (2nd Mixing) 1 separate Extrusion line for trials 1 EPDM Line Flocking Lines 1 TPV Line Assembly Lines New Greater Noida Facility under Comissioning New Chennai Facility under Comis
Slide 22: Injection Molding Infrastructure
INJECTION MOLDING INFRASTRUCTURE 35 Machines 2 locations Range: 60 Tons – 2500 Tons Make: Toshiba, Nissei, JSW, Fanuc, Toyo, Mitsubishi Electric, Hybrid, Gas Assist, Sequential Gate Valve, Hot Runner technology available New Gujarat Facility under Comissioning 22
Slide 23: Tool & Machine Manufacturing
TOOL & MACHINE MANUFACTURING IN HOUSE TOOL ROOM • In House manufacturing of : Extrusion Parts - Dies & Tools Checking Fixtures Special Purpose machines Injection Molds (upto 650 Tons) • Outsourcing Injection Molds > 650 Tons from : Local Indian China Taiwan 23
Slide 24: Testing and Validation
TESTING AND VALIDATION • Raw Material Testing • Part Performance Testing • Universal Testing Machine • Impact Strength Testing Machine (Izod/ Charpy) • Hardness Tester • Specific Gravity • MFI Testing Machine • Muffle Furnace for Ash Content • Viscosity Meter • Heat / Cold Conditioning Chambers • Sa
Slide 25: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 25
Slide 26: Models
MODELS 26
Slide 27: Customers
CUSTOMERS INDIA ARGENTI NA BUSINESS SHARE AS ON 31/03/2017 < 03 YRS VENEZUEL A > 30 YRS > 20 YRS < 03 YRS TATA OTHERS SOUTH 2% 2% AFRICA GM TKML 1% NISSAN < 03 YRS > 12 YRS 6% 9% MSIL THAILAND EUROPE 49% > 05 YRS > 07 YRS HCIL 31% MEXICO > 06 YRS > 02 YRS > 10 YRS > 04 YRS > 05 YRS JAPAN > 04 YRS BR
Slide 28: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 28
Slide 29: Bie.
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Slide 30: Customer Appreciation
CUSTOMER APPRECIATION TOYOTA MOTOR CORPORATION HONDA CARS INDIA LIMITED 30 TOYOTA KIRLOSKAR MOTOR INDIA PVT LIMITED MARUTI SUZUKI INDIA LIMITED
Slide 31: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities Overview Customer Profile Awards Financial Overview 31
Slide 32: Quarterly Financial Performance
QUARTERLY FINANCIAL PERFORMANCE 100.00 25.00% 21.26% 20.00% 80.00 19.01% 16.71% 15.22% 15.00% In ₹ Crore 12.99% 60.00 10.42% 10.00% 9.15% 7.52% 5.50% 40.00 5.00% 77.07 84.23 95.50 20.00 0.00% Q4FY16 Q3FY17 Q4FY17 TOTAL INCOME EBITDA MARGIN EBIT MARGIN PAT MARGIN Note - Includes ₹ 7.16 Cr. of Tool Sa
Slide 33: Expenses as % of Total Income (Quarterly)
EXPENSES AS % OF TOTAL INCOME (Quarterly) 100.00 49.97% 95.50 52.27% 55.00% 49.77% 50.00% 84.23 45.00% 80.00 77.07 40.00% 35.00% In ₹ Crore 30.00% 60.00 25.00% 20.00% 16.45% 15.54% 15.09% 40.00 15.00% 14.58% 15.48% 13.89% 10.00% 7.20% 7.32% 6.51% 5.00% 2.14% 1.61% 1.23% 20.00 0.00% Q4FY16 Q3FY17 Q4F
Slide 34: EPS & BVPS (Quarterly)
EPS & BVPS (Quarterly) 20.00 17.08 15.00 13.86 In ₹. Per Share 10.91 10.00 6.24 4.52 5.00 3.03 - Q4FY16 Q3FY17 Q4FY17 EPS EPS (TTM) In ₹. Per Share 170.00 165.88 159.63 160.00 150.30 150.00 140.00 Q4FY16 Q3FY17 Q4FY17 Book Value Per Share 34
Slide 35: Annual Highlights
ANNUAL HIGHLIGHTS All figures in ₹ Crore 23.91 342.70 302.75 64.46 52.06 23.91 15.27 FY16 FY17 FY16 FY17 FY16 FY17 Total Income EBITDA PAT FY17 Income included Tool sales of ₹. 30.43 crore vs. ₹ 7.76 crores of FY16. EBITDA Margin is at 18.81% Dividend of 30% (Rs.3 per share, Including interim
Slide 36: Annual Financial Performance
ANNUAL FINANCIAL PERFORMANCE 350.00 20.00% 18.81% 18.00% 17.20% 300.00 16.00% 14.00% 250.00 12.29% 12.00% In ₹ Crore 10.11% 10.00% 200.00 8.00% 6.98% 6.00% 5.04% 150.00 4.00% 2.00% 302.75 342.70 100.00 0.00% FY16 FY17 TOTAL INCOME EBITDA MARGIN EBIT MARGIN PAT MARGIN Note - Includes ₹ 30.43 Cr. of T
Slide 37: EPS & BVPS
EPS & BVPS EPS 20.00 17.08 15.00 In ₹. Per Share 10.91 10.00 5.00 - FY16 FY17 EPS 170.00 165.88 In ₹ Per Share 165.00 160.00 155.00 150.30 150.00 145.00 140.00 FY16 FY17 Book Value Per Share 37
Slide 38: Financial Performance Snapshot (over last 3 years)
FINANCIAL PERFORMANCE SNAPSHOT (over last 3 years) 350.00 20.00% 18.81% 18.00% 300.00 17.20% 16.00% 250.00 14.00% 12.67% 12.29% 12.00% 200.00 In ₹ Crore 10.11% 10.00% 150.00 8.00% 7.21% 6.98% 100.00 6.00% 5.04% 3.78% 4.00% 50.00 2.00% 318.50 302.75 342.70 - 0.00% FY15 FY16 FY17 TOTAL INCOME EBITDA M
Slide 39: Expenses as % of Total Income (over last years)
EXPENSES AS % OF TOTAL INCOME (over last 3 years) 350.00 65.00% 59.13% 52.95% 60.00% 300.00 55.00% 51.17% 50.00% 318.50 302.75 342.70 250.00 45.00% 40.00% 200.00 In ₹ Crore 35.00% 30.00% 150.00 25.00% 20.00% 100.00 15.54% 15.49% 13.00% 15.00% 15.20% 14.32% 14.52% 50.00 10.00% 6.76% 7.52% 7.12% 5.00%
Slide 40: Return Ratios and D/E Ratio
RETURN RATIOS AND D/E RATIO 16.00% 14.49% 14.00% 12.00% 10.75% 10.29% 10.00% 8.16% 8.00% 7.26% 6.06% 6.00% 4.00% 2.00% 0.00% FY15 FY16 FY17 ROCE ROI 0.45 0.42 0.4 0.35 0.35 0.3 0.25 0.25 0.2 0.15 0.1 0.05 0 FY15 FY16 FY17 Debt/Equity Ratio 40
Slide 41: EPS & BVPS (Over last years)
EPS & BVPS (Over last 3 years) 20.00 17.08 In ₹. Per Share 15.00 10.91 10.00 8.59 5.00 - FY15 FY16 FY17 EPS 170.00 165.88 In ₹. Per Share 160.00 150.30 150.00 141.80 140.00 130.00 120.00 FY15 FY16 FY17 Book Value Per Share 34
Slide 42: Summary of Consolidated FY17 Results
SUMMARY OF CONSOLIDATED FY17 RESULTS Rs. In Crs. PARTICULARS FY 2016-17 FY 2015-16 CHANGES INCOME 366.11 318.63 14.90% EBITDA 68.90 52.97 30.07% PAT 26.21 14.03 86.87% PAT MARGIN 7.16% 4.40% 62.64% EPS 18.72 10.02 86.87% NET WORTH 229.64 205.53 11.73% 42
Slide 43: Disclaimer
DISCLAIMER Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those s
Slide 44: Contact
Mr. Manish Dhariwal (Chief Financial Officer) PPAP Automotive Limited Ph: +91-120-2462552 / 53 Email: manish.dhariwal@ppapco.com Mr. Parin Narichania / Ms. Ruchi Bhadra Concept Investor Relations Mo: +91 9930025733 / 9867637838 Email: parin@conceptir.com / ruchi.bhadra@conceptpr.com Website : www.pp