Bajaj Electricals Limited · NSE:BAJAJELEC
Bajaj Electricals — Q4 FY2023 Earnings Presentation
31 slides from Bajaj Electricals's earnings presentation, May 23, 2023
Slide 1: Exchange intimation letter on results presentation
May 23, 2023 To, BSE Limited : Code No. 500031 Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai 400 001. National Stock Exchange of India Limited : BAJAJELEC – Series: EQ Exchange Plaza, Bandra Kurla Complex, Bandra (East), Mumbai 400 051. Dear Sir/Madam, Sub.: Presentation on the Financial Results o
Slide 2: Investor Presentation Q4 FY'23 and FY'23
Investor Presentation Q4 FY’23 and FY’23 May 23, 2023
Slide 3: Disclaimer
Disclaimer The material that follows is a Presentation of general background information about the activities of Bajaj Electricals Limited (“Company”) or its subsidiary or joint venture or associate (together with the Company, the “Group”) as at the date of the Presentation or as otherwise indicated
Slide 4: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 3
Slide 5: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 4
Slide 6: FY'23 – Performance Overview
FY’23 – Performance Overview Revenue Core FMEG* EPC INR 5,429 Cr INR 4,889 Cr INR 540 Cr 12.8% YoY 11.2% YoY 29.5% YoY EBIT Highest-ever PAT CFO INR 352 Cr INR 216 Cr INR 450 Cr 6.5% EBIT Margin 4.0% PAT Margin 41.1% YoY 73.8% YoY *Core FMEG comprises of Consumer Products and Lighting Solutions segm
Slide 7: Consistent and robust growth in Core FMEG
Consistent and robust growth in Core FMEG Core FMEG (INR Cr) 4,889 4,395 3,679 3,854 FY20 FY21 FY22 FY23 3Y CAGR: 10% • Consistent and robust growth in Consumer Products and Lighting Solutions segments solidifies Company’s aspiration to be a leading FMEG player • Brand investments, premiumisation an
Slide 8: Q4 FY'23 – Performance Overview (1/2)
Q4 FY’23 – Performance Overview (1/2) Revenue Core FMEG* EPC INR 1,490 Cr INR 1,292 Cr INR 198 Cr 11.7% YoY 6.8% YoY 59.8% YoY EBIT PAT CFO INR 93 Cr INR 52 Cr INR 75 Cr 6.3% EBIT Margin 3.5% PAT Margin 16th consecutive quarter 40.4% YoY 34.1% YoY of positive CFOs *Core FMEG comprises of Consumer Pr
Slide 9: Q4 FY'23 – Performance Overview (2/2)
Q4 FY’23 – Performance Overview (2/2) Core FMEG* Performance (6.8% growth on YoY basis in a challenging market) • Consumer Products (CP) Segment: Strong momentum witnessed in appliances • Lighting Solutions (LS) Segment: Overall growth flattish, c.15% YoY growth in professional lighting • Operating
Slide 10: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 9
Slide 11: FY'23 – Profit & Loss Statement and Segment Details
FY’23 – Profit & Loss Statement and Segment Details (INR Cr) Particulars FY’23 FY’22 YoY (%) Segment Revenue Revenue from Operations 5,429 4,813 12.8% Less : COGS 3,766 3,425 9.9% Particulars FY’23 (Cr) FY’22 (Cr) YoY (%) Gross Margin 1,663 1,388 19.8% Consumer Products 3,764 3,315 13.5% Staff Cost
Slide 12: Q4 FY'23 – Profit & Loss Statement
Q4 FY’23 – Profit & Loss Statement (INR Cr) Particulars Q4 FY’23 Q4 FY’22 YoY (%) Q3 FY’23 Commentary Revenue from Operations 1,490 1,334 11.7% 1,484 Gross Margin: 230 bps margin improvement driven by Core FMEG Less : COGS 1,069 988 8.2% 1,006 Gross Margin 421 346 21.5% 478 Other Income: Includes IN
Slide 13: Q4 FY'23 – Segment Details
Q4 FY’23 – Segment Details Segment Revenue Commentary Q4 FY’23 Q4 FY’22 Q3 FY’23 Consumer Products Segment : Particulars YoY (%) (Cr) (Cr) (Cr) • High single digit growth on account of Consumer Products 987 908 8.7% 1,039 brand investments, premiumisation and better product mix Lighting Solutions 30
Slide 14: Q4 FY'23 – Operational Highlights
Q4 FY’23 – Operational Highlights Category Growth Growth (YoY): (YoY): CP CP Segment Segment Commentary Appliances : • >15% YoY growth in an overall muted demand environment Fans : Appliances: 16.2% Fans: 2.3% MR : -10.0% • Witnessed subdued demand amidst high channel Receivables (net of channel fin
Slide 15: Cashflow Summary: Mar'23
Cashflow Summary: Mar’23 Particulars INR Cr Commentary Profit Before Tax 303 Cash Flow from Operating Activities (CFO) : Adjustments for : • Non-Cash items 126 • Positive CFO of INR 450 Cr contributed • (Increase) / Decrease in Working Capital 43 by operating profits and release of WC • Taxes Paid (
Slide 16: Cash Position
Cash Position (INR Crores) Particulars As on Mar’23 As on Dec’22 As on Mar’22 Cash & Cash Equivalent 342 192 119 Investment (surplus funds) 70 188 24 Sub-Total 412 380 143 Gross Debt - 3 45 Net Position 412 377 98 Net Worth 1,907 1,850 1,705 CRISIL ratings : 1. Total Bank Loan Facilities for INR 2,1
Slide 17: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 16
Slide 18: New Product Launches: Consumer Products
New Product Launches: Consumer Products ENERGON PRIME ADONIS AIR PLUS • Super5Tuff ™ Technology • Silent BLDC Motor • 5-Year Product Warranty • BEE 5-Star Rated • Aerodynamically Designed ABS • Decorative trims Blades & Pointed Tip Airfoil for • >60% Savings in power bills Low Air Cutting Noise • Un
Slide 19: New Product Launches: Consumer Lighting
New Product Launches: Consumer Lighting New Product Launches: Consumer Lighting HYPERION IVORA SURFACE NEOSWIVEL Full Glow Panel Series Downlight Series | 6W, 12W 5W, 10W, 15W Perfect balance of high brightness and Housing made from directional lighting superior engineering plastic 47* IVORA NEOCOB
Slide 20: New Product Launches: Professional Lighting
New Product Launches: Professional Lighting BLITHE BED LIGHT • Suitable for hospitals, nursing homes and rehab centres • Wall mount with key-hole TUNEL LIGHT arrangement • Ensures patient comfort & safety • Uniform illumination across each zone of tunnel • Provides max traffic safety • Modular desig
Slide 21: EPC: Key orders bagged and Project updates
EPC: Key orders bagged and Project updates Power Transmission (PT) – Key orders bagged • Construction of 220 kilovolt (kV) bays at 765/400 kV Dharam Jaigarh substation with Installation of 2x500 Mega Volt Amp (MVA), 400/220 kV ICTs along with associated bays – INR c.28 Cr • Diversion of 220 kV M/C B
Slide 22: Brand Campaigns: BAJAJ (Built for Life)
Brand Campaigns : BAJAJ (“BUILT FOR LIFE”) PAN India Multimedia Air Coolers Campaign – TVC, Print, Digital and BTL 21
Slide 23: Digital Influencer Interventions
Digital Influencer Interventions Chef Kunal Kapur (PAN India) and Chef Vismai (South Centric) Multi-Platform Digital Influencer campaign 22
Slide 24: Brand Launch: Nex
Brand Launch: Nex Ceiling fans with 20% higher Air Thrust (compared to conventional fans) Powered by Aeirology™ Based on Fluidic Design Language developed along with an international design studio Soft-launch of ‘Nex’ brand post Q4 FY’23 – Key milestone in evolution of BEL into house of brands adopt
Slide 25: Awards & Recognitions (1/2)
Awards & Recognitions (1/2) NASSCOM SME Inspire Awards 2023 Frost & Sullivan Golden Peacock International Best demonstrated Technology Quality Enterprise Leadership Award 2023 Adoption (Manufacturing Sector, for the year 2022) (for innovation in transport packaging) (Nirlep Appliances & IT/ Digital)
Slide 26: Awards & Recognitions (2/2)
Awards & Recognitions (2/2) WorldStar Packaging Award Business World – Finance Certified Great Place To Work Strategy Awards (2023) (Transport Package for 45 Kgs Stadium (for the 3rd consecutive year) Light - Electronics category) (Finance Innovation and Healthy Balance Sheet Management) 25
Slide 27: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 26
Slide 28: Updates on corporate restructuring and consolidation
Updates on corporate restructuring and consolidation BAJEL Projects Limited (BPL) Nirlep Appliances Private Limited (NAPL) • Scheme of demerger awaiting approval from • First motion order passed by Hon’ble NCLT, Hon’ble NCLT, Mumbai Bench Mumbai Bench on 12th Apr, 2023 • Final hearing is scheduled o
Slide 29: Table of Contents
Table of Contents 1 FY’23 and Q4 FY’23 – Performance Overview 2 Financial Highlights 3 Business Highlights and Brand Launch 4 Updates on corporate restructuring and consolidation 5 Stock Information and Dividend Update 28
Slide 30: Stock Information and Dividend Update
Stock Information and Dividend Update Shareholding Pattern as on March 31, 2023 M-Cap Market Capitalization (INR Cr) 12,105 13.5% March 31, 2023 No. of Shares Outstanding (Cr) 11.51 11.2% Proposed Dividend Proposed dividend per share (INR) 4.0 Proposed dividend (%) 200% 12.4% 62.9% Proposed dividend
Slide 31: Bajaj Electricals Limited
Bajaj Electricals Limited CIN: L31500MH1938PLC009887 Regd. Office: 45/47, Veer Nariman Road, Fort, Mumbai 400023 Corporate Office: Rustomjee Aspire, 7th Floor, Bhanu Shankar Yagnik Marg, Sion East, Mumbai 400022 Website: www.bajajelectricals.com IR related queries: Suketu Shah (suketu.shah@bajajelec