Kansai Nerolac Paints Limited · NSE:KANSAINER
Kansai Nerolac Paints — Q2 FY2024-25 Earnings Presentation
26 slides from Kansai Nerolac Paints's earnings presentation, Nov 7, 2024
Slide 1: Q2 FY2024-25 Financial Results Conference Call – Investor Presentation
Page 1 of 26 7th November, 2024 1. Corporate Relationship Department 2. Manager – Listing BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Bandra Kurla Complex, Bandra (E), Mumbai - 400001 Mumbai - 400051. Sub.: Q2 FY 2024-25 Fi
Slide 2: Investor Presentation Q2 2024-25
Page 2 of 26 Investor Presentation Q2 2024-25 (8 November 2024) th All rights for this presentation are reserved with Kansai Nerolac Paints Limited.
Slide 3: Disclaimer
Disclaimer Page 3 of 26 This presentation may contain statements which reflect management’s current views and estimates and could be construed as forward making statements. The future involves certain risks and uncertainties that could cause actual results to differ materially from the current views
Slide 4: Agenda
Page 4 of 26 1 Nerolac Story 2 Business Environment 3 Business Update 4 Financial Performance 5 Risk and Outlook Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 5: 1. Nerolac Story
Page 5 of 26 1. Nerolac Story Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 6: Purpose, Vision and ESG
Purpose: Create environments for a healthy and beautiful future. Page 6 of 26 Vision: We design solutions that protect, inspire and touch lives everyday ESG: Water Positive, Emission reduction, Green energy Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paint
Slide 7: We Are a Powerhouse of Paint
Page 7 of 26 WE ARE A POWERHOUSE OF PAINT BRAND NEROLAC: EXPERTISE AND LEGACY: 2nd STRONGEST BRAND THE NEROLAC JINGLE INNOVATOR’S SPIRIT: JAPANESE TECHNOLOGY LEADERS IN INDUSTRIAL PAINT+ PRODUCTS IN DECORATIVE Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Pa
Slide 8: 2. Business Environment
Page 8 of 26 2. Business Environment Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 9: Business Environment Q2 2024-25
Business Environment Q2 2024-25Page 9 of 26 Stable Demand in Automotive Infrastructure Growth Decrease in Crude Oil Price Good Monsoon Geopolitical Challenges Rupee Depreciated Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-2
Slide 10: 3. Business Update
Page 10 of 26 3. Business Update Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 11: Marketing and Media Campaigns
Marketing and Media Campaigns Page 11 of 26 Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 12: Decorative – New Products Launched in H1
Decorative – New Product Launched in H1 Page 12 of 26 EXTERIOR EMULSION WOW WHITE RANGE INTERIOR EMULSION Nerolac Perma NeroSelf XL WOOD FINISH & CONSTRUCTION CHEMICAL Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 13: Decorative Highlights
Decorative Highlights Page 13 of 26 ❑ New Product ➢ New product contribution >10% of Decorative Business ➢ Launched 10 New Products in Q2 ❑ Paint+ ➢ Uptick in saliency ❑ New Business ➢ Continued strong performance in Construction chemicals, Water proofing & Premium Wood-finishes. ❑ Project/ Institut
Slide 14: Innovation – Leveraging new technologies in product development
Innovation – Leveraging new technologies in product development Page 14 of 26 Decorative Industrial ▪ Wow White range of Exterior Emulsion ▪ Developed SFX PU High Solid Clear Coat having superior Whiteness & 15% higher to achieve high aesthetics on premium coverage. model of 2W ▪ Nxt Gen product por
Slide 15: Marquee Projects
Marquee Projects Page 15 of 26 India International Conventional Centre - Railway Station (Delhi) YASHO Bhoomi (Delhi) Mausam Bhawan (Delhi) Airport Flyover (Varanasi,UP) Wankhede Stadium(Mumbai,MH) Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited
Slide 16: Decorative Media Accolades
Decorative Media Accolades Page 16 of 26 3 E4M Real Time Awards (1 Gold & 2 Silver) 2 Imagexx Awards (1 Gold & 1 Silver) ▪ Best Paid Search Ad Campaign ▪ Best Omnichannel Marketing campaign ▪ Best use of Technology ▪ Emerging Technology Integration ▪ Best Digital Campaign Front Benchers 2024 (Bronze
Slide 17: Industrial Highlights
Industrial Highlights Page 17 of 26 Automotive Auto Refinish ▪ Witnessed higher Retail traction and Improved Channel Participation in conventional segment Performance Coating Liquid ▪ Witnessed strong growth led ▪ KNP gained market share. by High Performance ▪ Deployed Superior technologies to provi
Slide 18: Prominent Projects in Industrial
Prominent Projects in Industrial Page 18 of 26 Mumbai Coastal Road (Mumbai, MH) Trans Harbour Link (Mumbai, MH) Bullet Train Bridges Vande Bharat Train Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 19: CSR Initiatives
CSR Initiatives Page 19 of 26 Community Development Support to Devotees visiting Shri Goindwal Sahib Mela Annapurna Project – Focused on developing women farm entrepreneurs among marginal women farmers in Juvaad Island, Chiplun, Ratnagiri, Maharashtra. Free First Aid Camp for 4 days Vibrant painting
Slide 20: 4. Financial Performance
Page 20 of 26 4. Financial Performance Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 21: Financials Standalone Q2 & H1 FY 24-25
Financials Standalone Q2 & H1 FY 24-25 Page 21 of 26 Q2 % to Q2 % to H1 % to H1 % to Rs. In Millions Net Net Net Net 2023-24 2024-25 2023-24 2024-25 Revenue Revenue Revenue Revenue Net Revenue 18456 100.0 18638 100.0 39167 100.0 39141 100.0 Material Cost 11873 64.3 12310 66.0 25273 64.5 25228 64.5 O
Slide 22: Financials Consolidated Q2 & H1 FY 24-25
Financials Consolidated Q2 & H1 FY 24-25 Page 22 of 26 Q2 % to Q2 % to H1 % to H1 % to Rs. In Millions Net Net Net Net 2023-24 2024-25 2023-24 2024-25 Revenue Revenue Revenue Revenue Net Revenue 19565 100.0 19514 100.0 41133 100.0 40844 100.0 Material Cost 12600 64.4 12884 66.0 26561 64.6 26362 64.5
Slide 23: Subsidiaries
Subsidiaries Page 23 of 26 Nepal Bangladesh Sri Lanka • Registered sales growth despite challenging environment • Net Sales de-grew during the quarter • Slight improvement in economic due to socio-political and socio- • Net Sales de-grew conditions economic issues and floods in the • Margins are imp
Slide 24: 5. Risk and Outlook
Page 24 of 26 5. Risk and Outlook Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
Slide 25: Risk and Outlook
Risk and Outlook Page 25 of 26 Risk • Rupee depreciation will increase cost of imports • Uncertain Geopolitical conditions Outlook • As per RBI bulletin, • Rural demand is trending upwards while urban demand continues to hold firm. • Investment activity remains buoyant, with government capex rebound
Slide 26: Thank You
Page 26 of 26 THANK YOU Investor Presentation All rights for this presentation are reserved with Kansai Nerolac Paints Limited. 8th November 2024-25
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