Mirc Electronics Limited · NSE:MIRCELECTR
Mirc Electronics — Onida Electronics — H1 FY2019 Earnings Presentation
18 slides from Mirc Electronics's earnings presentation, Nov 19, 2018
Slide 1: Q2 & H1 FY19 Investor Update
OWNER'’S PRIDE 7 Q2 & H1 FY19 Soles INVESTOR UPDATE
Slide 2: Our Purpose
Our Purpose Our aim is to make Indians proud of the Made-In-India label by providing highly innovative products, which are better than the competition, which simplify our lives and provide an unmatched customer experience 2
Slide 3: Macro Economic Environment
Macro Economic Env ironment The quarters are not comparable as Diwali falls in Q3 this year. We expect to grow by more than 40% in Q3 Dollar appreciation led to increase in input cost Increase in custom duty and changes in GST rate of appliances, led to frequent price changes which in turn imp
Slide 4: Panels
Panels Successful launch of the google certified television The panel assembly plant successfully commissioned and expanded, which had resulted in margin growth in the business Investment in the Sound platform (KY series), will pay dividends in the long run 84% of panels sold were with panel
Slide 5: Air Conditioners
Air Conditioners Offloaded inventory left in Q1 FY18 Will increase sales substantially in Q3 over LY Launched 80 new models during the current year Have done complete line up for the next year At current prices and $/INR @ 73 able to match the dom landed price Currently planning to put a
Slide 6: Washing Machines
Washing Machines Washing machine plant at Roorkie is come on full stream and is currently running at 80% of capacity utilisation GST rate cut had a positive impact Washing machine plant is completely on-stream Crude increase impacted material cost, were able to pass on the cost increase and
Slide 7: Washing Machines (contd.)
Washing Machines ( c o n t d . ) Custom duty increase were also passed on partly Expect to close Q3 with a 50% growth We have launched 18 new models during the current year 6
Slide 8: Segment wise contribution to revenues
Segment wise contribution to revenues Category by Qty H1 ‘18 Category by value H1 ‘18 Micro-wave Micro-wave Ovens Ovens 2% 3% Washing Machines 16% Washing Panel Panel Machines 40% 45% 35% Air Conditioner s Air 22% Conditioners 37% Panel Air Conditioners Washing Machines Micro-wave Ovens Panel Air Co
Slide 9: Growth Drivers
Growth Drivers INVESTING NON-CAPTIVE SIGNIFICANTLY MANUFACTURING IN B R A N D BUILDING
Slide 10: Investing In Brand Building and Consumer Insights
Investing In Brand Building and Consumer Insights
Slide 11: Targeting the right consumer groups
Targeting the right consumer groups Education of CWE Literate Some but no formal School: College (incl Grad/ PG: Grad/PG: No. of school/ Diploma) but Illiterate 5 to 9 SSC/ HSC Durables School up to not Grad General Professional years Owned 4 yrs 1 2 3 4 5 6 7 None E3 E2 E2 E2 E2 E1 D2 1 E2 E1 E1 E1
Slide 12: A&P Investments
A&P ~Doubled ad spend compared to Investments LY at H1 level for brand building Focusing Effective Smart BTL Focus on on brand creatives and media mix visibility driv ing depth and building communication deployment width in all channels
Slide 13: Non-Captive Manufacturing
Non-Captive Manufacturing Started manufacturing for Reliance and other leading brands in the country Expecting revenues Rs. 50 crore in FY 19 and going forward Rs.150 crore in FY 20 With the commissioning Liquid Crystal Module (LCM) line would open up this facility to third- party manufacturin
Slide 14: Key Financials
Key Finangialsi A 89.635 632.438 | 2.569
Slide 15: H1 FY19 Financial Highlights
H1 FY19 Financial Highlights ( Rs. In Crore) Description H1 FY 19 H1 FY 18 FY 18 Net Sales 327.96 408.38 728.12 Other Income 1.96 0.93 4.72 Total Income 329.92 409.31* 732.84* COGS 233.83 290.86 521.23 Contribution 96.09 118.45 211.61 Contribution (%) 29% 29% 29% EBIDTA 8.10 28.28 47.05 EBIDTA (%) 2
Slide 16: Investment Highlights
Investment Highlights Brand building to step up further across digital, online and other media Build on market shifting to high-end 4K and smart TVs Firm plan to exceed last year turnover in ACs by Q3 FY18 Complete line up done for next year Focus on Washing Machine growth - to achieve 50%
Slide 17: Disclaimer
Disclaimer Some of the statements in this communication may be forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially from those expressed or implied. Important developments that could affect the Company’s operations include change
Slide 18: Thank You
Thank You