Crompton Greaves Consumer Electricals Ltd. · NSE:CROMPTON
Crompton Greaves Consumer Electricals — Investor Presentation (August 2022)
17 slides from Crompton Greaves Consumer Electricals's investor presentation, Aug 30, 2022
Slide 1: Intimation of Schedule of Institutional Investor Meetings
Crompton Greaves Consumer Electricals Limited Registered & Corporate Office: Tower 3, 1st Floor, East Wing, Equinox Business Park, LBS Marg, Kurla (West), Mumbai - 400 070.India T: +91 22 6167 8499 F: +91 22 6167 8383 W: www.crompton.co.in CIN: L31900MH2015PLC262254 Date: August 30, 2022 To, To, BSE
Slide 2: Investor Presentation August 2022
Investor Presentation August 2022
Slide 3: Disclaimer
Disclaimer This presentation is issued by Crompton Greaves Consumer Electricals Limited (the “Company”) for general information purposes only, without regard to specific objectives, suitability, financial situations and needs of any particular person or entity. This presentation does not constitute
Slide 4: Crompton Overview (1/2)
Crompton Overview (1/2) Crompton is the #1 electrical consumer durables company with an 80+ year old brand and a pan-India footprint Large market with Leading brand in Consumer Market leading Highly experienced secular growth Electricals distribution reach management team #1 in Fans INR 41,000 Cr. e
Slide 5: Crompton Overview (2/2)
Crompton Overview (2/2) Crompton has cemented its position as the market leader in fans and residential pumps while delivering long term industry-leading profitable growth through strengthened product portfolio Fans Lighting Pumps Appliances 13% (Water Heater) Market Share 28% 8% (LED Lighting) 17%
Slide 6: Crompton has acquired Butterfly - A transformational step in Small Domestic Appliances
Crompton has acquired Butterfly - A transformational step to becoming a leading player in Small Domestic Appliances Creates a platform for a full kitchen play – a strong connect with every home ►Immediately achieves scale in kitchen appliances, increasing share of SDA in mix Foray into new markets w
Slide 7: Complete SDA portfolio with a strong presence in kitchen segment
Complete SDA portfolio with a strong presence in kitchen segment #1 #2 #3 #4 Immediate scale in key …backed by capabilities in …a strong distribution and …and a ready manufacturing & kitchen segments… existing appliance segments... pan-India presence… R&D infrastructure… Mixer #2 Heaters #3 Grinders
Slide 8: Butterfly is a leading kitchen appliances player with a strong foothold in South India
Butterfly is a leading kitchen appliances player with a strong foothold in South India 35+ year old brand Top 3 No 1 Well reputed brand with high In core categories of Mixers, cookers, In South India for Wet Grinders and consumer recall in South, known for stoves in South-India LPG Stoves Aesthetics
Slide 9: Butterfly's portfolio covers a significant breadth of the kitchen appliances market
Butterfly's portfolio covers a significant breadth of the kitchen appliances market Kitchen Appliances LPG Stoves Mixer Grinder Wet Grinder Juicer Mixer Electric Rice Chimney Power Hobs Built In Hobs Grinder Cookers Cooker & Cookware Others Core Hand Electric Pop Up Blender Kettles Toaster Pressure
Slide 10: Butterfly's core categories account for >50% of the branded kitchen appliances market
Butterfly’s 3 core categories account for >50% of the branded kitchen appliances market at ~5% market share representing tremendous opportunity for growth Category FY22 Est. Market Size (INR Cr) FY22 Butterfly Sales (INR Cr) FY22 Butterfly Market Share Mixers Grinders 3,500-3,800 401 ~11% (incl. Wet
Slide 11: Favourable demographics & changes in consumer behaviour will further grow the addressable market
Favourable demographics & changes in consumer behaviour will further grow the addressable market 1 2 Increasing Urbanization Rise in number of nuclear households (% of total population) – Statista (% of total population) – NHFS Survey 37.7% 71.0% 66.0% 35.4% 57.0% 33.2% 2016 2021 2026E 1999 2010 201
Slide 12: Butterfly has made a strong start in Q1 FY23
Butterfly has made a strong start in Q1 FY23; 85% revenue growth and >3x EBITDA growth YoY Q1 FY22 Actuals Q1 FY23 Actuals Growth INR Cr % to sales INR Cr % to sales Net Revenue1 136.5 253.5 1.9x Gross Margin2 35.1 25.7% 71.1 28.1% 2.0x EBITDA 7.7 5.6% 26.1 10.3% 3.4x PBT 1.4 1.0% 20.4 8.0% 14.6x PA
Slide 13: Butterfly has strengthened its organizational capabilities
Over the last few months, Butterfly has strengthened its organizational capabilities People Commitment Operational Excellence Employee Pulse Check Survey ►Long-term Security & Stability ►Robust review mechanism deployed Have confidence that "the ►Launch of employee travel in sales, NPD and quality n
Slide 14: Key capability gaps bridged to prepare the organization for future growth
Key capability gaps bridged to prepare the organization for future growth Managing Director R. Sriram Sales Production Procurement HR / IR Finance Safety Balachandran R. Vishwanath C. Sundaraj G Pandian R. Nagarajan Lawrence T.B Change Marketing Quality R&D Compliance Champion K. Anil G Parthasarthy
Slide 15: Leadership in core categories with 15-20% share pan India
Our goal is to become a pan India leading brand in kitchen appliances in 5 years Leadership in core Industry Swift profit categories1 with 15- leading margins to cashflow conversion 20% share pan India 1. 3 core categories - mixers (including wet grinders), stoves, cookers - 80% of FY22 revenue 13
Slide 16: Five key levers to reach leadership position pan-India
Going forward, our focus is on five key levers to reach leadership position pan-India Portfolio Expand Distribution Build Brand Excellence Strengthen Operations Premiumization • Premiumize portfolio in • Grow retail footprint 3x • Invest in brand building • Invest in building core categories in Sout
Slide 17: Thank You!
Thank You!
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