Gabriel India Limited · NSE:GABRIEL
Gabriel India — Investor Presentation (February 2016)
35 slides from Gabriel India's investor presentation, February 2016
Slide 1: Gabriel India Ltd. Investor Presentation – February 2016
Gabriel India Ltd. Investor Presentation – February 2016
Slide 2: Disclaimer
This presentation and the accompanying slides (the “Presentation”), has been prepared by Gabriel India Limited (the “Company”), solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or b
Slide 3: Agenda
• An Introduction 4 • Business Overview 5 • Strategy Going Ahead 17 • Financial Highlights 20 • Corporate Overview 29 3
Slide 4: An Introduction
An Introduction No “OE” accounts Incorporation of Company, Gabriel India, in 1961 for more than 20% of sales Pioneer of Ride Control Products in the country “Golden Peacock Established significant presence in all channels of automotive sale, Eco Innovation OE, Aftermarket and Exports Award in 2012”
Slide 5: Business Overview
Business Overview Head Office, Pune, India 5
Slide 6: Pioneer of Ride Control Products
Pioneer of Ride Control Products… Commercial Vehicle & 2/3 Wheeler Passenger Car Railways Front Forks McPherson Struts Shock Absorbers Hydraulic Shock Gas Shock Absorbers Cabin Dampers Absorbers Gas Shock Absorbers Cartridges Seat Dampers AFTER MARKET ACROSS ALL SEGMENTS 6
Slide 7: With Diversified Revenue-Mix
……With Diversified Revenue-Mix Sales (Rs. Mn) Segment - Wise - 9M FY16 2/3 CAGR +16% Wheelers 14,441 60% 12,866 12,053 11,282 10,719 Passenger 9,700 Commercial cars Vehicles 27% 13% 7,055 Channel - Wise - 9M FY16 OE Aftermarket 84% 12% FY10 FY11 FY12 FY13 FY14 FY15 9M FY16 Exports 4% 7
Slide 8: Key OE Customers
Key OE Customers Commercial Vehicle & 2/3 Wheeler Passenger Car Railways “No” OE Customer accounts for more than 20% of Total sales - Balanced Portfolio 8
Slide 9: Aftermarket
Aftermarket • “Gabriel” - Brand synonymous with Branding Initiatives shock absorbers, with market share of • “Elite Retailer Program” – First of its kind in 45% industry • With objective to build loyalty amongst • Established Pan-India network retailers & mechanics – 17 CFA Locations • Honouring and
Slide 10: Branding Events
Branding Events Supercross VW Polo R Cup Campus Branding Dhaba Branding 10
Slide 11: Exports
Exports • Establishing Network in 8 New Geographies Export Sales (Rs.Mn) CAGR +35% • Through Structured Market Research & Systematic approach ingraining seeds of 553 558 Gabriel India competencies worldwide 415 429 • Created presence across Colombia, 382 Venezuela, USA, Iran, Japan, African 292 mark
Slide 12: Strategic Manufacturing Footprint
Strategic Manufacturing Footprint Ashok Leyland SML Isuzu Honda Cars GIL Presence Tata Motors Honda Motorcycles TVS Motors Parwanoo GIL Plants ICML Yamaha India Maruti Suzuki Khandsa GIL Satellite Locations Suzuki Motorcycles AMW GM Sanand Dewas Tata Motors Hindustan Motors Honda Motorcycles Nashik
Slide 13: Manufacturing Facilities: 2/3 Wheelers
… Manufacturing Facilities 2/3 Wheelers Client Key Features • Commenced production in 1990 Nashik • Products: Shock Absorbers & Front Forks • TC with Yamaha Motors Hydraulic System • Commenced production in 1997 • Products: Shock Absorbers & Front Forks Hosur • TC with KYB Japan & Yamaha Motors Hydr
Slide 14: Manufacturing Facilities: Passenger Cars and Commercial Vehicles
… Manufacturing Facilities Passenger Cars Client Key Features • Commenced production in 1997 Chakan • Segment Serviced : Passenger Cars, Utility Vehicles and Railway • Products: Shock Absorbers & Struts • Khandsa Commenced production in 2007 • Products: Shock Absorbers & Struts • TC with KYB Japan C
Slide 15: Strong In-house R&D & Global Technology Partners
Strong In-house R&D & Global Technology Partners In-house Research & Development Proven Engineering Capabilities - Product • Well equipped State-of-the-art R&D • First to introduce adjustable rear suspension for 2W centres • Designed & developed Remote Canister Shock – Chakan, Hosur & Nashik Absorbe
Slide 16: Signed Technical License Agreement with KONI
Signed Technical License Agreement with KONI… • KONI, Netherland based company and part • Under arrangement, KONI will provide of New York-based ITT Corp, has more than technology to design, develop and manufacture innovative damper products for 150 years of experience in area of Shock Commercial Ve
Slide 17: Strategy Ahead
Strategy Ahead Head Office, Pune, India 17
Slide 18: To grow…
To grow… - Debt Reduction - BEP Reduction - Simplification TECHNOLOGY & - Automation INNOVATION EFFICIENCY IMPROVEMENT - R & D Focus - Sustainable Manufacturing - Innovation Culture SALES GROWTH - Exports Focus - In Organic Growth - Global Manufacturing Footprint - Customer Focus 18
Slide 19: With SBU Approach
… With SBU Approach SBU Structure for focused approach • Created Strategic Business Units for each automotive segment : 2Wheelers/ 3Wheelers, Passenger Cars & Commercial Vehicles / Railways and After-Market Channel • To derive benefits in • Customer & Product Focus • Export Push • After market expan
Slide 20: Financial Highlights
Financial Highlights Head Office, Pune, India 20
Slide 21: Quarterly Profit & Loss Highlights
Quarterly Profit & Loss Highlights % of % of % of % of Rs. Mn Q3 FY16 Q3 FY15 YoY% 9M FY16 9M FY15 YoY% FY15 Sales Sales Sales Sales Revenue 3,548 100.0% 3,595 100.0% (1%) 10,719 100.0% 10,957 100.0% (2%) 14,441 Raw Material 2,496 70.4% 2,610 72.6% 7,653 71.4% 7,940 72.5% 10,434 Employee Expenses 32
Slide 22: Quarterly Performance Trend
Quarterly Performance Trend Revenue EBITDA EBITDA Margin% (Rs.Mn) 3,752 350 9.9% 3,595 329 3,484 3,548 8.8% 3,419 288 284 283 8.2% 8.3% 8.0% Q3FY15 Q4FY15 Q1FY16 Q2FY16 Q3FY16 Q3FY15 Q4FY15 Q1FY16* Q2FY16Q3FY16** Q3FY15 Q4FY15 Q1FY16* Q2FY16Q3FY16** PBT Before Exceptional Item & Margin (%) 300 6.7%
Slide 23: Balance Sheet Highlights
Balance Sheet Highlights Rs. Mn Sep-15 Mar-15 Rs. Mn Sep-15 Mar-15 Shareholder’s Fund 3,544 3,254 Non-current assets 2,973 2,958 Share capital 144 144 Fixed assets 2,676 2,708 Reserves & Surplus 3,400 3,111 Long-term loans and advances 233 226 Non-current liabilities 279 260 Other non-current assets
Slide 24: Improving Dividend Profile
Improving Dividend Profile Dividend Per Share (Rs.) 1.05 • Continuous Dividend 0.85 since 1998 0.75 • Improving Dividend 0.5 0.5 Payout Ratio 0.45 • Declared Interim Dividend of Rs. 0.45 per share, amounting to 45% FY11 FY12 FY13 FY14 FY15 YTD FY16 of Face Value 15% 21% 32% 33% 31% Pay out Ratio 24
Slide 25: Historical Profit & Loss Highlights
Historical Profit & Loss Highlights Rs.Mn FY15 FY14 FY13 Revenue 14,441 12,866 12,053 Raw Material 10,432 9,266 8,644 Employee Expenses 1,075 982 911 Other Expenses 1,769 1,714 1,672 EBITDA 1,164 904 826 Margin 8.1% 7.0% 6.9% Other Income 43 56 40 Interest & Finance Charges 55 90 123 Depreciation 31
Slide 26: Reduction in Borrowings
Reduction in Borrowings 1,276 17 Others 288 Finance Lease Term Loan 920 7 Working Capital 83 Public Deposit 653 7 716 666 461 131 255 4 32 164 185 95 Mar’12 Mar’13 Mar’14 Mar’15 26
Slide 27: Profitability Highlights
Profitability Highlights Revenue EBITDA (Rs.Mn) CAGR +16% CAGR +15% 14,441 1,164 12,866 12,053 941 11,282 888 904 9,700 826 6,970 573 FY10 FY11 FY12 FY13 FY14 FY15 FY10 FY11 FY12 FY13 FY14 FY15 EBITDA Margin% PAT CAGR +20% 9.2% 600 8.2% 8.3% 8.1% 531 6.9% 7.0% 453 426 381 240 FY10 FY11 FY12 FY13 FY1
Slide 28: Balance Sheet Highlights
Balance Sheet Highlights (Rs.Mn) Networth D:E Ratio 3,254 1.00 2,852 2,569 0.80 2,312 1,865 0.53 1,493 0.31 0.23 0.04 FY10 FY11 FY12 FY13 FY14 FY15 FY10 FY11 FY12 FY13 FY14 FY15 Capital Employed ROCE 3,676 3,607 25.5% 3,513 3,534 3,485 3,492 19.0% 18.0% 17.0% 16.0% 11.0% FY10 FY11 FY12 FY13 FY14 FY1
Slide 29: Corporate Overview
Corporate Overview Head Office, Pune, India 29
Slide 30: Gabriel Evolution
Gabriel Evolution • Expanded in all segments with new plants at Parwanoo, Khandsa , Sanand & Malur • Single Unit Manufacturing to Multi Location segment wise • Installed “Dynachrome manufacturing : Passenger car Automation Machine” for • Incorporated Gabriel s segment with plant at plating, 1st in A
Slide 31: Led by Experienced Professionals
Led by Experienced Professionals Mr. Deepak Chopra – Group CEO, Anand Group • Chartered Accountant & Company Secretary, with 37 years of experience across Industries • Associated with Anand Group since 1976 • Rich experience in Finance, Tax, Operations, Secretarial, and Project Management Mr. Manoj
Slide 32: Led by Experienced Professionals
Led by Experienced Professionals Mr. Rajendra Abhange, CTO Mr. Atul Jaggi , COO, TWBU Mr. Amitabh Srivastava, COO, AMBU Mr. Sumit Bhatnagar, COO, PCBU Mr. Umesh Shah , COO, CVRBU 32
Slide 33: Board of Directors
Board of Directors Mrs. Anjali Singh – Chairperson, Gabriel India • Joined Anand Group in 2005 • Studied Business Management at University of Westminster, UK, and Fine Arts at Central Martin’s School of Arts and Design, UK • Also serves as Chairperson, Supervisory Board, Anand Group since 2011 Mr. J
Slide 34: Board of Directors
Board of Directors Mr. Aditya Vij – Non Executive Independent Director • Over 3 decades of experience in the corporate world with a proven track record of developing and turning around businesses in various leadership positions. • Served as the Chief Executive Officer at Fortis Healthcare Limited fr
Slide 35: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : Gabriel India Ltd. Strategic Growth Advisors Pvt. Ltd. CIN : L34101PN1961PLC015735 CIN : U74140MH2010PTC204285 Mr. Rajendran Arunachalam Ms. Sanjita Ghosh / Mr. Shogun Jain rajendran.arunachalam@gabriel.co.in gsanjita@s
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