Blue Star Limited · NSE:BLUESTARCO
Blue Star — Q4 FY22 Earnings Presentation
39 slides from Blue Star's earnings presentation, May 6, 2022
Slide 1: Exchange filing cover letter
Blue Star Limited ~ BLUE STAR Band Box House, 4th Floor, 254 D, Dr Annie Besant Road, Worli, Mumbai 400 030, India. T : +91 22 6654 4000 F : +91 22 6654 4001 www.bluestarindia.com May 6 , 2022 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers , Exchange Plaza, C-1 , Bloc
Slide 2: Investor Presentation – Q4FY22 & FY22
Blue Star Limited Investor Presentation – Q4FY22 & FY22 May 6, 2022 1
Slide 3: About Blue Star
About Blue Star • India’s leading air-conditioning, commercial refrigeration and MEP contracting company • Total Revenue from Operations: ~ Rs. 6046 crores • Employee Strength: ~2400 • 5 existing manufacturing facilities and 2 new facilities being set up • 31 offices; ~3950 channel partners • Presen
Slide 4: Blue Star – Vision & Credo
Blue Star – Vision & Credo Vision : “To dream, to strive, to care and, above all to be the best in everything we do.” Credo : “I am Blue Star. I take pride in delivering a world- class customer experience.” 3
Slide 5: Governance Structure
GovernanceStructure Governance Structure Chairmen Emeriti Ashok M Advani Suneel M Advani Board of Directors Shailesh Haribhakti Vir S Advani B Thiagarajan Chairman Vice Chairman & Managing Director Managing Director Sam Balsara Anil Harish Arvind K Singhal Rajiv R Lulla Sunaina Murthy Dinesh Vaswani
Slide 6: Business Segments
Business Segments 5
Slide 7: Business Segments
Business Segments Electro-Mechanical Unitary Products Professional Electronics Projects (Room ACs, Air Coolers, Air and Industrial Systems & Purifiers, Water Purifiers and (Handled by a wholly owned Commercial Air Commercial Refrigeration subsidiary, Blue Star Conditioning Systems Products & Systems
Slide 8: Segment I Electro-Mechanical Projects and Commercial Air Conditioning Systems
Segment I Electro-Mechanical Projects and Commercial Air Conditioning Systems 7
Slide 9: Electro-Mechanical Projects
Electro-Mechanical Projects • Design, engineering, procurement and execution of MEP projects in buildings (including Airports), factories (including Data centres) and infrastructure (Metro rail, Electrical substations & Water MEP) segments • Large central air conditioning & ventilation projects • El
Slide 10: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Complete range of energy-efficient Packaged and Ducted split air conditioners • Innovative New range of Packaged & Ducted Split air conditioners with Special Filters and UVGI • Innovative new generation Inverter ducted system • VRF V Plus, the fifth generation V
Slide 11: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Highly efficient 5 Star rated Configured Oil Free chillers • Mix and Match Configured Series- Air- Cooled and Water-Cooled Screw chillers • Energy-efficient 5 Star VFD Screw Chillers • Energy-efficient 3 Star Inverter scroll chillers • Process chillers for indus
Slide 12: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Large Capacity Mix and Match Configured Series- Screw chillers • 5th Generation Side discharge VRF 11 11
Slide 13: After Sales Service
After Sales Service • India’s largest air conditioning and refrigeration service provider • Maintaining around 2 million tonnes of air conditioning and refrigeration equipment • Backed by our value proposition “Gold Standard service delivery”, we extensively expanded our service reach to Tier 2, 3 &
Slide 14: International Business
International Business • Headquartered and managed by the Company’s wholly owned subsidiary, Blue Star International FZCO at Dubai Airport Free Zone (DAFZA) Dubai • Offers Air Conditioning and Refrigeration products, installations and services in the global markets • Product portfolio includes Unita
Slide 15: Some of our prestigious projects
Some of our prestigious projects Bangalore Metro Gift City CEAT - Nagpur TCS - Pune Chhatrapati Shivaji International Airport-T2 Parliament House 14
Slide 16: Some of our prestigious international projects
Some of our prestigious international projects HVAC works in Doha Live, Qatar Al Bayt International Stadium PAVILLION 2, BUKIT JALIL MALL, Malaysia HOSPITAL CYBERJAYA, Malaysia BB TOWER, Malaysia Bowyer Wick Office & Warehouse 15
Slide 17: Segment II Unitary Products
Segment II Unitary Products 16
Slide 18: Room Air Conditioners
Room Air Conditioners • Wide range of highly-affordable split ACs offering state-of-the-art features and premium build quality • Installed base of over two million units. • Products available in 7500 outlets in more than 650 locations across the country. • Focus on inverter technology, energy effici
Slide 19: Low penetrated market and growing middle class purchasing power offer immense opportunity
Low penetrated market and growing middle class purchasing power offer immense opportunity for growth… Market Size (Units in millions) – FY22 Penetration % - FY22 140 60.0% 80 30.0% 6 6.0% Global China India Global China India Blue Star Market Share (%) 12.3% 13.0% 13.3% 12.5% 11.5% FY18 FY19 FY20 FY
Slide 20: Commercial Refrigeration Products
Commercial Refrigeration Products • Wide range of commercial refrigeration equipment • Market leader in most of the segments • Products having latest technology with innovative features: – Deep Freezers – Bottle Coolers – Visi Coolers/Freezers – Storage Water Coolers/Dispensers – Bottled Water Dispe
Slide 21: State-of-the-Art Manufacturing Facilities
State-of-the-Art Manufacturing Facilities Himachal Pradesh 1 Himachal Pradesh 2 New world-class manufacturing facility being set up at Sri City for Room ACs where the Company intends to Ahmedabad manufacture certain components in-house Dadra Setting up a second plant at Wada to Wada expand the Bird’
Slide 22: Manufacturing Facilities
Manufacturing Facilities • Specialise in manufacturing a variety of highly engineered and custom- built products. • Manufacturing footprint of 1 lakh square meter. • Over 300 models manufactured across 25 product lines. • Lean manufacturing and world-class practices. • Green Building initiative - Wa
Slide 23: Manufacturing Facilities
Manufacturing Facilities • Automation of processes using robots and Cobots • Using Product Life Cycle Management to improve New product Introduction process • Improved efficiency of operations through Digital Work Instruction, Augmented reality, Auto guided vehicle, Additive manufacturing, Poka Yoke
Slide 24: Research & Development
Research & Development • Consistent investment in R&D to enhance company’s product offerings and technical capabilities • Focus on energy efficient and sustainable products and technologies • Cost innovation through Total Cost Management and Design to Value, initiative for highly affordable air cond
Slide 25: Segment III Professional Electronics & Industrial Systems
Segment III Professional Electronics & Industrial Systems 24
Slide 26: Professional Electronics & Industrial Systems
Professional Electronics & Industrial Systems • Managed by the Company’s wholly owned subsidiary, Blue Star Engineering & Electronics Ltd • Lines of Business include: – Healthcare Systems: MRI & CT Scanner – Data Security Solutions: Payment HSM, PKI, Encryption – Communication Systems: Satellite Tes
Slide 27: BLUE STAR
BLUE STAR 26
Slide 28: ESG Principles Embedded in Blue Star's Business Practices
ESG Principles Embedded in Blue Star’s Business Practices ENVIRONMENT • Industry leader in energy-efficiency for Room ACs, Deep Freezers and Screw Chillers with VFDs • Number 1 in E-Waste compliance in the Room AC industry • Part of the India-EU Climate Dialogue panel coordinated by TERI • Focus on
Slide 29: Financial Performance Q4FY22
Financial Performance Q4FY22 28
Slide 30: Financial Performance – Q4FY22
Financial Performance – Q4FY22 Revenue (Rs Cr) EBITDA (Rs Cr) Growth of 39% Growth of 40% 2248 143 1612 102 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Profit before tax (Rs Cr) Earnings per share (EPS)* (Rs ) Growth of 9% 114 7.92 104 7.06 Q4FY21 Q4FY22 Q4FY21 Q4FY22 *Not Annualized 29
Slide 31: Segment Performance – Q4FY22
Segment Performance – Q4FY22 Segment Revenue (Rs Cr) Segment 1 Segment 2 Segment 3 Growth of 46% Growth of 32% Growth of 56% 1136 1034 782 780 78 50 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Q4FY21 Q4FY22 Segment Result (Rs Cr) Segment 1 Segment 2 Segment 3 Growth of 56% Growth of 16% Growth of 99% 76 72 62 49 14
Slide 32: Financial Performance FY22
Financial Performance FY22 31
Slide 33: Financial Performance – FY22
Financial Performance – FY22 Revenue (Rs Cr) EBITDA (Rs Cr) Growth of 42% Growth of 44% 6046 346 4264 240 FY21 FY22 FY21 FY22 Profit before tax (Rs Cr) Earnings per share (EPS) (Rs ) Growth of 70% Growth of 67% 251 17.44 148 10.42 FY21 FY22 FY21 FY22 32
Slide 34: Balance Sheet indicators – FY22
Balance Sheet indicators – FY22 Net Borrowing (Rs Cr) Debt / Equity (times) 67 0.07 -151 * FY21 FY22 FY21 FY22 Capital Turns (times) Return on Capital Employed (%) 25% 6.9 34% 5.5 27% FY21 FY22 FY21 FY22 *Net Positive Cash Balance 33
Slide 35: Segment 1: EMP and Commercial Air-Conditioning systems
Segment 1: EMP and Commercial Air-Conditioning systems Segment Revenue (Rs Cr) Segment Result (Rs Cr) Growth of 44% Growth of 83% 3194 195 2219 106 FY21 FY22 FY21 FY22 Capital Employed (Rs Cr) Return on Capital Employed (%) 424 51% 333 24% FY21 FY22 FY21 FY22 34
Slide 36: Segment 1: Orders Booked and Carried forward Orders
Segment 1: EMP and Commercial Air-Conditioning systems Orders Booked Carried forward Orders (Rs Cr) (Rs Cr) Growth of 40% Growth of 7% 3034 3145 2839 2245 Growth of 11% FY21 FY22 FY21 FY22 35
Slide 37: Segment 2: Unitary Products
Segment 2: Unitary Products Segment Revenue (Rs Cr) Segment Result (Rs. Cr) Growth of 39% Growth of 43% 2604 1868 156 109 FY21 FY22 FY21 FY22 Capital Employed (Rs Cr) Return on Capital Employed (%) 41% 35% 656 229 FY21 FY22 FY21 FY22 36
Slide 38: Segment 3: Professional Electronics & Industrial Systems
Segment 3: Professional Electronics & Industrial Systems Segment Revenue (Rs Cr) Segment Result (Rs. Cr) Growth of 40% Growth of 26% 247 177 42 34 FY21 FY22 FY21 FY22 37
Slide 39: Thank you
Thank you 38