Jk Tyre & Industries Limited · NSE:JKTYRE
Jk Tyre & Industries — Investor Presentation (November 2023)
30 slides from Jk Tyre & Industries's investor presentation, November 2023
Slide 1: Investor's Presentation – November 2023
Investor’s Presentation – November 2023
Slide 2: Company Overview
Company Overview
Slide 3: JK Tyre at a Glance
JK Tyre at a Glance One of the leading tyre manufacturing company in India with a wide range of products FY23 Consolidated Financials INR 14,681 Cr. INR 1,334 Cr. INR 263 Cr. ❖ One of the pioneers of radials in India, JK Tyre is also one of the leading players in YoY Growth 22% YoY Growth 20% YoY Gr
Slide 4: Management Team
Management Team Dr.Raghupati Singhania Chairman & Managing Director Anshuman Singhania Arun K. Bajoria Anuj Kathuria A. K. Kinra Sanjeev Aggarwal V. K. Misra Managing Director Director & President President - India Financial Advisor CFO Technical Director – Int. Dr. R. Mukhopadhyay A. K. Makkar Srin
Slide 5: Key Marketing Initiatives
Key Marketing Initiatives LEVITAS ULTRA (UHP TYRE) - Better ride quality & experience - Lower cabin noise & high cornering stability - Shorter braking distance in dry & wet conditions - Speed Rating – W and Y with 5 star fuel savings Launch of “ The Levitas Ultra (Ultra High Performance) – Made for
Slide 6: Brand Accolades
Brand Accolades Recognised for “ET ICONIC BRANDS OF INDIA 2022” Conferred “SUPER BRANDS 2023” 6
Slide 7: 1) Robust outlook for tyre Industry in India
1) Robust outlook for tyre Industry in India
Slide 8: JK Tyre is well placed to benefit from premiumization led industry growth
JK Tyre is well placed to benefit from premiumization led industry growth in the medium term.. Indian Tyre Industry is on growth path ..with overall demand growing at 7-8% during FY23-FY28P FY2023 Size of Industry FY2028P Demand for Tyres in India (Million Units) Rs.90K cr. (USD 10.8 bn) Rs.130-150K
Slide 9: …supported by robust demand across segments
…supported by robust demand across segments Higher demand in CV and PV tyre segments expected to drive the volume growth during FY23-FY28P CV Tyre demand PV Tyre demand (Million Units) (Million Units) 85 - 92 36 - 42 61 27 FY23 FY28P FY23 FY28P ✓ Driven by robust economic activities and higher infra
Slide 10: 2) Diverse Product portfolio and premiumization supported by robust sales channel
2) Diverse Product portfolio and premiumization supported by robust sales channel: Key growth drivers
Slide 11: Diversified product portfolio catering to consumers across segments
Diversified product portfolio catering to consumers across segments.. Portfolio of Products catering across vehicle segments One of the leading players in truck and bus radial tyres in India. Truck/Bus Truck/Bus LCV/SCV LCV/SCV Farm Passenger Car Radial Bias Radial Bias Radial & Bias Radial & Bias O
Slide 12: JK Tyre is premiumizing products across its portfolio
JK Tyre is premiumizing products across its portfolio Truck/Bus Passenger ✓ Premiumization in both Radial & Bias categories ✓ Ultra-high-performance tyres “Levitas Ultra” ✓ Has vast range of fuel-efficient next generation ✓ Low resistance and noise level “Ranger HPe” premium SKUs like “Jetsteel JDC-
Slide 13: Backed by launch of various innovative products
Backed by launch of various innovative products.. Innovative tyres in line with market requirements TBR - JUH XF & JDE XF Puncture Guard Tyre Levitas Ultra (UHP) ✓ Fuel Saver Technology Design ✓ Self-repair multiple punctures ✓ Utmost Comfort ✓ Low RRC & Low Noise ✓ Hassle-free ride throughout life
Slide 14: ..complemented by new generation products
..complemented by new generation products Smart Tyres Puncture Guard Tyres Acquired smart tyre technology company in 2019 – One of the leading players to launch Tyre Pressure Monitoring System (TPMS) based on sensor technology. Reduces fuel bills by Enhances tyre life increasing fuel efficiency Real
Slide 15: 3) International markets: Offering huge potential
3) International markets: Offering huge potential
Slide 16: JK Tyre capturing opportunities in the international markets
JK Tyre capturing opportunities in the international markets….. JK Tornel: Gateway to Americas JK Tornel – Revenue from Operations (INR Cr) 3,50 0 ✓ The company’s Mexican operations are carried out through JK Tornel ✓ One of the leading players in Mexico for Passenger car radial 3,00 0 2,50 0 2,00 0
Slide 17: 4) Strong R&D and Manufacturing capabilities in place
4) Strong R&D and Manufacturing capabilities in place to maintain the growth momentum
Slide 18: Innovative products conceptualized indigenously by strong R&D team
Innovative products are conceptualized indigenously by strong R&D team “Raghupati Singhania Centre of Excellence (RPSCOE), Mysore, Karnataka ✓ Highly versatile and State-of-the-art Tyre / Elastomer Institute having Anechoic Chamber for Noise and Vibration analysis ✓ Over 200 R&D Technology scientist
Slide 19: Combined Installed capacity of 34 million tyres/annum
Combined Installed capacity of 34 million tyres/annum 1 Presence in Mexico (JK Tornel) Kankroli (Rajasthan) 3 Laksar (Uttarakhand) Bus/Truck Farm Others 2/3-Wheeler Bus/Truck Farm 1 1 Hidalgo Banmore (Madhya Pradesh) 1 1 Tultitlan Passenger (Radial) Azcapotzalco 3 1 Bus/Truck Passenger Others Mysuru
Slide 20: Strategy ahead: Robust outlook with ongoing expansions
Strategy ahead: Robust outlook with ongoing expansions
Slide 21: Strategy for Growth
Strategy for Growth Management remains fully committed to implement its strategy to further expand its market presence Strengthen Increase Product Maximizing Market Global Deleverage Portfolio Benefits of Position across Presence Balance Sheet Premiumization Acquisitions Segments 1. Focus on increas
Slide 22: ESG initiatives ensure sustainable growth trajectory
ESG initiatives ensure sustainable growth trajectory
Slide 23: Sustainability at JK Tyre
Sustainability at JK Tyre The Company strengthened its ESG initiatives around 5P’s sustainability platform Productivity (Resource Conservation) People (Safety Peace & & Wellbeing) Partnership 5Ps Sustainability* Poverty Protect (Standard of (Environment) living) * Conceptualized by JK Tyre 23
Slide 24: JK Tyre secured 'Best in Class' rating on ESG performance - CareEdge
JK Tyre secured ‘Best in Class’ rating on ESG performance - CareEdge JK Tyre’s ESG performance is driven by strong commitment and performance on majority themes to ensure ESG integration. JK Tyre ESG Score Vs. Avg. Industry Score 78 65 Industry Average Industry Best - JK Tyre Environment (89) – Long
Slide 25: Sustainability Initiatives at JK Tyre
Sustainability Initiatives at JK Tyre….. Sustainability initiatives & practices leading to resource conservation and manufacturing excellence Research & ▪ Usage of Bio sourced materials Development Led ▪ Higher usage of recycled material Product Development ▪ Continuous improvement in RRC ( Rolling
Slide 26: Financial Performance
FINANCIAL PERFORMANCE
Slide 27: Financial Performance | P&L Statement (Consolidated)
Financial Performance | P&L Statement (Consolidated) (INR Cr) FY21 FY22 FY23 H1FY24 Net Sales and Other Income 9,145 12,020 14,681 7,632 Raw Material Consumed 5,247 8,170 9,600 4,371 Purchase of Stock In Trade 118 221 472 83 (Inc.) / Dec. Inventories of FG, WIP and SIT 104 -351 -61 213 Employee Bene
Slide 28: Financial Performance | Balance Sheet (Consolidated) (1/2)
Financial Performance | Balance Sheet (Consolidated) (1/2) (INR Cr) FY21 FY22 FY23 H1FY24 Equity Share Capital 49 49 49 49 Other Equity 2,624 2,799 3,347 3,715 Equity Attributable to owners of Parent 2,673 2,848 3,396 3,764 Minority Interest 106 100 100 111 Total Equity (A) 2,779 2,947 3,496 3,875 B
Slide 29: Financial Performance | Balance Sheet (Consolidated) (2/2)
Financial Performance | Balance Sheet (Consolidated) (2/2) (INR Cr) FY21 FY22 FY23 H1FY24 Property, Plant and Equipment 6,019 6,198 6,209 6,186 Capital Work in Progress 286 101 191 447 Investments Accounted Using Equity Method 60 62 65 64 Other Investments 87 71 68 61 Deferred Tax Asset (Net) 46 87
Slide 30: JK Tyre & Industries Ltd.
&K Skerry ree TOTAL CONTROL JK TYRE & INDUSTRIES LTD. HEAD OFFICE | REGISTERED OFFICE AND WORKS 3, Bahadur Shah Zafar Marg, | Jaykaygram, PO-Tyre Factory New Dethi-110002 | Kankroli - 313 342, Rajasthan T:491-11-66001112 « F: +91-11-23322059 | T: 02952-302400/330011 « F: 02952-232018 CIN:L67120RJ195
JK Tyre & Industries — Investor Presentation (November 2023) on 6ix