V-guard Industries Limited · NSE:VGUARD
V-guard Industries — Q3 FY2013 Earnings Presentation
20 slides from V-guard Industries's earnings presentation, 2013
Slide 1: V-Guard Industries Q3 & 9M FY2013 Earnings Presentation
V-Guard Industries Q3 & 9M FY2013 Earnings Presentation
Slide 2: 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 3: Table of Contents
Table of Contents Company Overview MD’s Message Financia l Highlights – Q3 & 9M FY2013 Segment-w ise /G eogra phica l Breakup of Revenues Outlook About V-Guard Industrie s Strong Financia l Performance (FY08 – FY12) Broad-base d Growth across Segments (FY08 – FY12) Market Share Across Product Segmen
Slide 4: Company Overview
Company Overview • Electronics - Stabilizers, UPS and Digital UPS Comprehensive portfolio • Electricals - Pumps, House Wiring and Industrial Cables, Electric Water Heaters, Fans catering to the mass • Other launches include Solar Water Heaters, Induction cooktops, Switchgears consumption market • Ho
Slide 5: Managing Director's Message
Managing Director’s Message Commenting on the performance for Q3 & 9M FY2013, Mr. Mithun Chittilappilly, Managing Director – V-Guard Industries Limited said, “We have reported another strong performance this quarter with topline growth of 42% driven by broad-based growth across our Electronics and E
Slide 6: Financial Highlights (Q3 FY2013)
Financial Highlights (Q3 FY2013) Total Income (Rs. crore) Expenditure (Rs. crore) 349 326 247 226 Q3 FY12 Q3 FY13 Q3 FY12 Q3 FY13 EBITDA (Rs. crore) PAT (Rs. crore) 27 15 12 23 Q3 FY12 Q3 FY13 Q3 FY12 Q3 FY13 • Planned increase in ad expenditure this quarter at 4.5% of revenues versus 4.1% in Q3 FY1
Slide 7: Financial Highlights (9M FY2013)
Financial Highlights (9M FY2013) Total Income (Rs. crore) Expenditure (Rs. crore) 900 982 638 691 Q3 FY12 Q3 FY13 Q3 FY12 Q3 FY13 EBITDA (Rs. crore) PAT (Rs. crore) 93 54 62 32 Q3 FY12 Q3 FY13 Q3 FY12 Q3 FY13 • Ad expenditure stood at 3.5% of total revenues; to be maintained at 3.5-4% for FY13 • Tig
Slide 8: Segment-wise Breakup of Revenues
Segment-wise Breakup of Revenues Contribution Contribution YoY growth Segment Products Q3 FY2013 Q3 FY2012 (%) (%) (%) Stabilizers 52.08 15% 42.83 12% 22% Electronics Standalone UPS 10.73 3% 10.78 3% 0% Digital UPS 40.63 12% 16.58 5% 145% Segment Total 103.45 29.6% 70.19 28.5% 47% Pumps 48.51 14% 35
Slide 9: Geographical Breakup of Revenues
Geographical Breakup of Revenues Q3 FY2013 Contribution Q3 FY2012 Contribution YoY growth Region (Rs. cr.) (%) (Rs. cr.) (%) (%) South 271.38 77% 193.88 78% 40% Non South 83.25 23% 56.03 22% 49% Total 354.62 100% 249.91 100% 42% 9
Slide 10: Outlook
Outlook • Household consumption expected to grow at a significant pace over the next five years Strong demand outlook • Continuing power deficit in South India to augment sales of Stabilizers, UPS and Inverters • Boom in residential real estate markets in South India • Investments towards establishi
Slide 11: About V-Guard Industries
About V-Guard Industries V-Guard Industries Limited (BSE:532953, NSE: VGUARD) is a Kochi based company, incepted in 1977 by Kochouseph Chittilapilly to manufacture and market Voltage stabilizers. The Company has since then established a strong brand name and aggressively diversified to become a mult
Slide 12: Strong Financial Performance FY08-12
Strong Financial Performance FY08-12 Revenues (Rs. cr.) EBITDA and EBITDA Margins 11.1% 11.4% 120.0 11.1% 10.3% 12.0% 9.7% 100.0 10.0% 964.6 80.0 8.0% Rs. cr. 699.2 60.0 6.0% 430.0 40.0 4.0% 278.5 317.1 20.0 2.0% 30.8 35.1 51.8 74.8 95.9 0.0 0.0% FY2008 FY2009 FY2010 FY2011 FY2012 FY2008 FY2009 FY20
Slide 13: Strong Financial Performance FY08-12
Strong Financial Performance FY08-12 ROE ROCE Net Worth D/E 25.0 24.0 25.0 23.0 2500 0.81 0.90 0.52 0.80 20.0 22.0 20.0 2000 0.70 18.0 0.57 21.0 0.60 1500 Rs. mn. 14.0 16.0 0.30 0.21 0.50 15.0 12.0 15.0 1000 0.40 12.0 0.30 10.0 10.0 FY2008 1178.3 FY2009 1264.5 FY2010 1414.8 FY2011 1719.8 FY2012 2106
Slide 14: Broad-based Growth across Segments FY08-12
Broad-based Growth across Segments FY08-12 (Rs. crore) Segment FY2008 FY2012 CAGR (%) Stabilizers 93.72 200.96 21.0% Electronics Standalone UPS 16.87 42.08 25.7% Invertor & Digital UPS - 72.69 - Segment Total 110.59 315.73 30.0% Pumps 56.09 151.87 28.3% House wiring cable 60.02 282.55 47.3% Electric
Slide 15: Market Share Across Product Segments FY12
Market Share Across Product Segments FY12 Product Market V-Guard Key Players Production Distribution Size* Share Model Channel Strategy Organized market – Rs. 1,000 crore 20% share Bluebird, Capri, Consumer Durable stores, of organized Logicstat, Premier, 100% Outsourced Electrical and Hardware Stor
Slide 16: Market Share Across Product Segments FY12
Market Share Across Product Segments FY12 Product Market V-Guard Key Players Production Distribution Size Share Model Channel Strategy Crompton Electrical and hardware Stores, Rs. 2,000 8% Greaves, Kirloskar, 90% Outsourced Pump and Pipe fittings Stores crore CRI, Texmo MOTOR PUMPS A.O. Smith, Racol
Slide 17: Market Share Across Product Segments FY12
Market Share Across Product Segments FY12 Product Market V-Guard Key Players Production Distribution Size Share Model Channel Strategy Rs. 3,500 Numeric, APC, 1-2% Outsourced Consumer Durable stores crore Emerson UPS Consumer Durable stores, Rs. 5,500 Microtek, 3 – 4% Outsourced Electrical and Hardw
Slide 18: New Product Launches
New Product Launches Induction Cooker Switchgears & DBs • Successful launch of new products in the Kerala market • Induction cooktops launched in the Karnataka market this quarter • Delivering gross margins of 35-40% in both these products • Expecting revenues of Rs. 15 crore in each of these segmen
Slide 19: Production Model
Production Model PVC Cable Factory LT Cable Factory Solar Water Heater Factory Stabilizer Manufacturing Units No. of Product Location Outsourcing Objectives Units Own Manufacturing Facilities • Asset light model outsourcing ~60% products PVC Wiring Cables 2 Coimbatore, Kashipur LT Cables 1 Coimbator
Slide 20: Thank You
THANK YOU