Gabriel India Limited · NSE:GABRIEL
Gabriel India — Q2 FY22 Earnings Presentation
47 slides from Gabriel India's earnings presentation, Nov 14, 2021
Slide 1: Exchange disclosure cover letter
ANAND>> SINCE 1961 November 12, 2021 BSE Limited National Stock Exchange of India Limited 251h Floor, P. J. Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Street, Bandra (E), MUMBAI - 400 001 MUMBAI -400 051 (Company Code: 505714) (Company Code: GABRIEL) Sub: Disclosure under Regulation 30(2) o
Slide 2: Gabriel India Ltd. Investor Presentation
Gabriel India Ltd. Investor Presentation 15th Nov 2021 Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 1
Slide 3: Safe Harbor
SAFE HARBOR 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 th
Slide 4: COVID-19: Update
COVID‐19: Update Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 3
Slide 5: Our Response to COVID
OUR RESPONSE TO COVID Employee Strength: 2415 Number of Locations: 7 Vaccinated : 1850 nos. (2nd Dose) 77% Daily Monitoring of Health Status via Google • On time action ‐ reducing the risk of employees getting sick form || 70% response across Gabriel || • Supporting employees & their families report
Slide 6: Anand COVID Care Support Initiatives
ANAND COVID CARE || SUPPORT INITIATIVES ANAND COVID CARE 24*7 GROUP VACCINATION HELPLINE POLICY One COVID helpline at Group level Group Vaccination Policy ‐ to ensure all ANAND available 24*7 to help with admission for Group employees are vaccinated for COVID‐19 COVID infected employees & their fami
Slide 7: Table of Contents
TABLE OF CONTENTS 1 Q2 & H1 FY22 Result Update 2 Corporate Overview 3 Business Overview 4 Strategy Going Forward Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 6
Slide 8: Q2 & H1 FY22 Result Update
Q2 & H1 FY22 Result Update Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 7
Slide 9: Financial Highlights – Q2 FY22
FINANCIAL HIGHLIGHTS – Q2 FY22 Q2 FY22 Revenue EBITDA PBT Rs. 430 Mn Rs. 361 Mn Rs. 5,897 Mn 7.3% 6.1% Q1 FY22 Rs. 4,518 Mn Q1 FY22 Rs. 232 Mn / 5.1% Q1 FY22 Rs. 158 Mn / 3.5% Q4 FY21 Rs. 5,783 Mn Q4 FY21 Rs. 468 Mn / 8.1% Q4 FY21 Rs. 407Mn / 7.0% Gabriel India Ltd. | www.anandgroupindia.com/gabriel
Slide 10: Financial Highlights – H1 FY22
FINANCIAL HIGHLIGHTS – H1 FY22 Revenue EBITDA PBT Rs. 10,415 Mn Rs. 662 Mn (6.4%) Rs. 519 Mn (5.0%) as compared to Rs. 5,817 Mn in as compared to Rs. 181 Mn in as compared to Rs. 45 Mn FY21 (Y‐o‐Y 79.0%) FY21 (Y‐o‐Y 265.0%) in FY21 (Y‐o‐Y 1,047.5%) Balance Sheet Cash Flow Capex Net Cash position of
Slide 11: Financial Track Record
FINANCIAL TRACK RECORD P&L (Rs. Mn) Q2 FY22 Q2 FY21 YoY Q1 FY22 QoQ FY21 FY20 YoY Revenue from Operations 5,897 4,590 28.5% 4,518 30.5% 16,948 18,699 ‐9.4% Gross Margin (%) 24.0% 26.1% ‐2.1% 24.9% ‐0.9% 25.3% 26.8% ‐1.5% EBITDA Margin (%) 7.3% 7.7% ‐0.4% 5.1% 2.2% 6.0% 7.4% ‐1.4% Net Margin (%) 4.2%
Slide 12: Quarterly Performance Trend
Quarterly Performance Trend Revenue (Mn) Margins 20,765 8.0% 7.7% 7.7% 8.1% 7.1% 7.0% 7.3% 18,133 18,699 6.6% 15,206 16,948 5.1% 6.3% 6.7% 5,103 14,305 5.0% 2.7% 4.3% 4.6% 4.2% 4,246 3.9% 3.9% 4,968 5,783 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 3,882 5,100 10,415 3,634 EBITDA
Slide 13: Profit & Loss Statement
PROFIT & LOSS STATEMENT Particulars (Rs. Mn) Q2 FY22 Q2 FY21 YoY Q1 FY22 Q‐o‐Q H1 FY22 H1 FY21 Y‐o‐Y Revenue from Operations 5,897 4,590 28.5% 4,518 30.5% 10,415 5,817 79.0% Raw Material 4,480 3,392 3,395 7,875 4,257 Employee Expenses 397 364 393 789 702 Other Expenses 590 480 499 1,089 677 EBITDA 4
Slide 14: Balance Sheet
Balance Sheet Assets (Rs. Mn.) Sep‐21 Mar‐21 Mar‐20 Equity & Liabilities Sep‐21 Mar‐21 Mar‐20 (Rs. Mn.) Non‐current assets 5,740 4,175 4,677 Equity 7,239 6,963 6,518 Current assets 6,402 7,780 5,056 Non‐Current Liabilities 421 429 335 Current liabilities 4,483 4,563 2,880 TOTAL ASSETS 12,142 11,955
Slide 15: Financial Track Record
Financial Track Record Revenue (Rs Mn) EBITDA (Rs Mn) & EBITDA Margin (%) PAT 9.3% +4.1% 9.0% 8.6% +5.1% 8.1% 9.6% 20,765 18,699 7.4% 942 950 18,331 7.0% 1,713 1,778 827 847 14,441 16,948 752 15,206 1,461 6.4% 14,305 1,293 1,376 6.0% 600 603 12,866 1,168 10,415 904 1,025 426 369 662 FY14 FY15 FY16 F
Slide 16: Cash Flows
CASH FLOWS Cash Flow from Operations (Rs. Mn) Cash Flow used in Investing (Rs. Mn) Cash Flow used in Financing (Rs. Mn) 2043 980 962 919 847 749 311 1201 261 278 1038 217 928 152 294 FY18 FY19 FY20 FY21 H1FY22 FY18 FY19 FY20 FY21 H1FY22 FY18 FY19 FY20 FY21 H1FY22 4500 1006000 150 3000 Working Capita
Slide 17: Key Ratios
Key Ratios Return on Equity (%) Return on Assets (%) Fixed Asset Turnover (x) 18.0% 10.4% 5.9 5.8 9.8% 5.1 5.4 16.1% 8.8% 4.4 13.0% 10.2% 6.1% 8.7% 5.0% FY18 FY19 FY20 FY21 H1FY22 FY18 FY19 FY20 FY21 H1FY22 FY18 FY19 FY20 FY21 H1FY22 Current Ratio (x) Debt : Equity Ratio Dividend* (Rs/share) & Pay‐o
Slide 18: Revenue Mix (Inc. Trading)
REVENUE MIX (INC. TRADING) Segment Mix Channel Mix Aftermarket 1% 4% 2% 4% 3% 5% 1% 2% 2% 2% 13% 12% 16% 14% 15% 13% 12% 10% 9% 10% 11% 13% 13% 14% 7% 14% 8% 9% 7% 7% 20% 21% 20% 22% 24% 38% 40% 35% 34% 37% 85% 85% 83% 83% 81% 68% 67% 67% 66% 61% 41% 41% 42% 47% 40% FY19 FY20 FY21 Q2 FY 21 Q2 FY 22
Slide 19: YTD Segment Performance – 2W & 3W
YTD SEGMENT PERFORMANCE – 2W&3W (INCL. AM) Performance • Growth was primarily driven by efforts in terms of improving market share with key customers, higher efforts in terms of developing new products and on account of strong acceptance of end products in the market Recent Launches 66% % to Total S
Slide 20: YTD Segment Performance – Passenger Vehicles
YTD SEGMENT PERFORMANCE – PASSENGER VEHICLES(INCL. AM) Performance • Growth impacted by discontinuation of Maruti Omni due to safety norms and replacement of Wagon R with newer model where GIL is not the supplier New Program 22% % to Total Sales 21% Market Share • Maruti Suzuki: Y0M, YWD, YFG Market
Slide 21: YTD Segment Performance – Commercial Vehicles
YTD SEGMENT PERFORMANCE – COMMERCIAL VEHICLES (INCL. AM & RAILWAYS) Performance • Moderate growth coming back slowly reflecting in better production volumes by OEMs 10% % to Total Sales 75% Market Share New Program • WABCO‐ Air suspension, MTBD‐ ICV 16T & Force Motors – T1 3350 Market Update Revenue
Slide 22: Aftermarket
AFTERMARKET Strong Brand Extensive Distribution Recent Widest Presence Through Equity Network Highlights Product Range Allied Products • Brand “Gabriel” • 11 CFA locations & 660+ • Successful Launch of Brake • Launched 150 SKU’s • Leveraging Brand synonymous with dealer network Pads 276 Sku’s Streng
Slide 23: Creating Global Presence Through Exports
CREATING GLOBAL PRESENCE THROUGH EXPORTS Export Sales ‐ Quarter Leveraging relationship Resource in Europe Caters to Export order from DAF with Global OEMs in for exploring demand from Netherlands, 303 276 India to penetrate their opportunities in OEM & VW Russia commenced Global Operations Overseas
Slide 24: Electric 2W/3Ws: At an Inflection Point
ELECTRIC 2W/3WS: AT AN INFLECTION POINT Current EV penetration is low (<1% of auto market in FY20) Brand ‘Gabriel’ well‐entrenched amongst all key 2W / 3W EV players +24X +15X +75X +15X 3,000,000 1,540,000 270,000 6,000 FY19 FY20 FY25E FY19 FY20 FY25E FY19 FY20 FY25E FY19 FY20 FY25E Source: SMEV, Fr
Slide 25: Consistently Outperforming Industry
CONSISTENTLY OUTPERFORMING INDUSTRY Two Wheelers Three Wheelers Passenger Cars Commercial Vehicles +2.6% +3.6% +1.3% +1.5% 11.3 32.2 34.3 7.5 210.4 7.0 9.5 Industry 184.9 Production Volumes (CAGR%) 2014‐15 2019‐20 2014‐15 2019‐20 2014‐15 2019‐20 2014‐15 2019‐20 Revenue (CAGR%) +6.5% +12.6% 0.1% +6.9
Slide 26: Core 90 Cost Reduction Drive
CORE 90 CORE 90 COST REDUCTION DRIVE Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 25
Slide 27: Vision 2025
VISION 2025 Exports Domestic Dominance Mergers & Acquisitions Technology Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 26
Slide 28: Corporate Overview
Corporate Overview Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 27
Slide 29: Gabriel at a Glance
GABRIEL AT A GLANCE Corporate Profile GIL Plants Parwanoo GIL Satellite Locations • Incorporated in 1961 Manesar Khandsa • Pioneer of Ride Control Products in India with state‐of‐the‐art integrated operations • Strong R&D focus, employing 60 specialists, highest in the industry • Experienced, profes
Slide 30: Strategic Manufacturing Footprint
STRATEGIC MANUFACTURING FOOTPRINT Plant Location Segment Served Commencement Year Products Clients Bajaj Auto, HMSI , Suzuki, Yamaha, Nashik 2W / 3W 1990 Shock absorbers, front forks Piaggio, M&M, Atul Auto TVS, HMSI, Royal Enfield, Hosur 2W / 3W 1997 Shock absorbers, front forks Yamaha, Suzuki, M&M
Slide 31: Competitive Advantages
COMPETITIVE ADVANTAGES Strong Parentage of Strong Focus on R&D and 6 Decades of Presence Anand Group Technology Partnerships • Flagship company of ANAND Group, a one‐stop • Home grown (‘Atmanirbhar’) player with deep • Best‐in‐class R&D facilities in the country with 60 solution provider for custome
Slide 32: Relationships with Marquee OEM Customer Base
RELATIONSHIPS WITH MARQUEE OEM CUSTOMER BASE 2/3 Wheelers Passenger Cars CV & Railways Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 31
Slide 33: Safety Development
SAFETY DEVELOPMENT Accident First Aid 7 5 6 6 4 4 5 5 3 3 3 3 4 4 3 3 3 2 2 2 2 1 1 1 0 0 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 FY19 FY19 FY19 FY19 FY20 FY20 FY20 FY20 FY21 FY21 FY21 FY21 FY22 FY22 FY19 FY19 FY19 FY19 FY20 FY20 FY20 FY20 FY21 FY21 FY
Slide 34: Human Resources
HUMAN RESOURCES In‐depth sectoral knowhow Key Metrics Mar’21 Mar’20 Mar’19 Seasoned Resources Revenue per employee (Rs Cr) 0.43 0.51 0.53 Strong employee Average employee experience 9.0 8.0 7.0 connect (person years) Investment in training programmes 0.42 2.21 1.45 Partnership‐oriented (Rs Cr) appro
Slide 35: Great Place to Work – 5th Consecutive Year
“GREAT PLACE TO WORK” – 5TH CONSECUTIVE YEAR 2019 • Rank #90 among Top 100 Companies to work for in India 2018 • Rank #89 among Top 100 Companies to work for in India 2017 • Ranked in Top 25 workplaces in • Ranked #2 in Auto & Auto manufacturing in India Component Industry • Rank #52 among Top 100 2
Slide 36: Strong In-House R&D & Technology Partnerships
STRONG IN‐HOUSE R&D & TECHNOLOGY PARTNERSHIPS End‐to‐End Product Development Capabilities Key Initiatives • In‐house facility for customers for ride tuning of vehicles • Advanced damper technology for the enhanced user experience • CO2 footprint reduction through product light weighting and use of g
Slide 37: Environmental Sustainability
ENVIRONMENTAL SUSTAINABILITY Reduction in Carbon Footprint 40 0.89 36.0 33.9 35 31.3 0.90 0.78 28.1 30 24.9 26.2 26.7 0.80 21.7 0.46 25 20.0 0.65 0.47 0.37 0.41 19.5 0.54 0.48 0.48 0.70 CUSTOMER Stakeholder 20 17.3 15.6 15.5 13.5 VALUE 14.1 13.4 12.9 12.8 0.60 15 12.5 13.3 Value 10 0.50 Creation 5 0
Slide 38: Achieving Engineering Excellence
ACHIEVING ENGINEERING EXCELLENCE Laser Welding Technology, Friction Designed & Developed Remote Welding Technology, Water based Canister Shock Absorber Autophoretic Paint System Adjustable Electronic‐Hydraulic Shock Absorbers with Shock Absorber for a leading SUV Floating Piston vehicle in Aftermark
Slide 39: CSR Initiatives 2020-21
CSR INITIATIVES 2020‐21 Focus Area Parwanoo Gurugram Dewas Jawai Nashik Hosur • Scholarships to 4 • Free education delivered to • Free education delivered underprivileged girls (3‐6 270 govt. school students • Free education to 430+ govt. school • Free education delivered to years) to pursue their d
Slide 40: Board of Directors
Board of Directors Anjali Singh Manoj Kolhatkar Atul Jaggi Jagdish Kumar Executive Chairperson Managing Director Deputy Managing Director Group President & Group CFO Gabriel India Gabriel India Gabriel India ANAND Group Aditya Vij Pradeep Banerjee Matangi Gowrishankar Pallavi Joshi Bakhru Non‐Execut
Slide 41: Executive Leadership
EXECUTIVE LEADERSHIP Manoj Kolhatkar Managing Director Atul Jaggi Deputy Managing Director Amitabh Srivastava Rishi Luharuka Manoj Sharma Umesh Shah Puneet Gupta R. Vasudevan Prashant Shah CR Vijaykumar Chief Operating Officer, Chief Financial Officer Chief Human Chief Strategy Head Chief Operating
Slide 42: Customer Awards & Accolades
CUSTOMER AWARDS & ACCOLADES Special Award by Volvo Eicher ZERO KM PPM and Quality certification Best Supplier of the Year Commercial Vehicles Limited by Toyota Kirloskar Motor by TVS Motor Company Best Vendor Support Award by Honda QC North Zone by Honda Kaizen Competition Consolation Motorcycle and
Slide 43: Industry Awards & Accolades
INDUSTRY AWARDS & ACCOLADES 45th International Convention Gabriel 45th International Convention Gabriel Gold in Manufacturing Excellence in Very India, Pune received Platinum Award India, Nashik received Platinum Award Large Category by Automotive by ICQCC Dhaka by ICQCC Dhaka Components Manufacture
Slide 44: Strategy Going Ahead
Strategy Going Ahead Gabriel India Ltd. | www.anandgroupindia.com/gabrielindia/ 43
Slide 45: Growth Strategies
GROWTH STRATEGIES ₹ Financial Worthiness Customer Focus Aftermarket Technology & Innovation • Debt reduction • Enhancing customer • Product development • Improvement in quality • Break even point (BEP) delight and deepening • Expanding reach • R & D focus reduction relationships • Exports focus • Su
Slide 46: Strengthening Focus Areas
STRENGTHENING FOCUS AREAS Cultural Sustainability Financial Manufacturing Research & Transformation Robustness Excellence Development • Increasing organizational • Reducing energy • Leverage brand and • Customer centricity • Investments in competencies and consumption per unit diverse product • Deep
Slide 47: 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. Nilesh Jain Mr. Jigar Kavaiya / Mr. Varun Divadkar secretarial@gabriel.co.in jigar.kavaiya@sgapl.net / v