Popular Vehicles And Services Limited · NSE:PVSL
Popular Vehicles And Services — Q2 & H1 FY25 Earnings Presentation
40 slides from Popular Vehicles And Services's earnings presentation, Nov 14, 2024
Slide 1: Regulation 30 intimation letter to exchanges
Popular Vehicles and Services Ltd Kuttukaran Centre Mamangalam, Kochi 682025 t 0484 2341134 e cs@popularv.com www.popularmaruti.com CIN L50102KL1983PLC003741 KERALA – GSTIN 32AABCP3805G1ZW TAMIL NADU- GSTIN 33AABCP3805G1ZU Date: 14th November, 2024 To, To, BSE Limited (“BSE”), National Stock Exchang
Slide 2: Q2 & H1 FY25 – Investor Presentation
Commercial Vehicles Popular Vehicles and Services Limited Q2 & H1 FY25 – Investor Presentation November 2024
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Popular Vehicles and Services Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe
Slide 4: Quarterly Business Update
Quarterly Business Update 3
Slide 5: Management Commentary
Management Commentary Commenting on the performance Mr. Naveen Philip, Promoter & Managing Director said, “Over the past few quarters, the auto industry, specifically Passenger Vehicle segment, has seen an increase in inventory levels due to subdued demand. The festive season has also not bought the
Slide 6: Operational Performance Highlights – Half Yearly
Operational Performance Highlights – Half Yearly New Vehicles Particulars H1FY25 H1FY24 YoY Comments • Income impacted due to lower volume offtake specially for low and mid-range Volume (In units) 22,566 23,993 -5.9% vehicles which are volume lifter. It was partially offset by better realization on
Slide 7: Financial Performance Highlights – Half yearly
Financial Performance Highlights – Half yearly EBITDA* (INR Crs) EBITDA Margin* (%) Revenue from Operations (INR Crs) -23% 144 5.1% -1% 2,835 2,804 111 3.9% H1FY24 H1FY25 H1FY24 H1FY25 PBT^ (INR Crs) PBT^ Margin (%) H1FY24 H1FY25 -62% 1% 5% 52 1.8% PV (incl. luxury) CV 33% H1 FY25 EV 20 0.7% Spare P
Slide 8: Other Business Highlights
Other Business Highlights ▪ Network Expansion: o Will be launching our first NEXA Studio at CHAVAKKAD, Thrissur. Expect to inaugurate by end of November 2024. o Prabal Motors Pvt. Limited (PMPL), our subsidiary • Inaugurated a service centre in the state of Maharashtra • Will inaugurate a new 3S fac
Slide 9: Result Performance
Result Performance Particulars (INR Crs) Q2FY25 Q2FY24 YoY Q1FY25 QoQ H1FY24 H1FY24 YoY Revenue from Operations 1,512.7 1,629.0 -7.1% 1,291.4 17.1% 2,804.2 2,835.0 -1.1% Other Income 5.6 9.1 7.0 12.5 13.2 Total Income 1,518.3 1,638.1 -7.3% 1,298.4 16.9% 2,816.7 2,848.2 -1.1% Cost of Goods Sold 1,301
Slide 10: Balance Sheet
Balance Sheet Particulars (INR Crs) Sept-24 Mar-24 Particulars (INR Crs) Sept-24 Mar-24 Property, Plant & Equipments 339.8 328.8 Share Capital 14.2 14.2 Capital Work-in-progress 0.8 14.3 Other Equity 647.6 638.9 Goodwill 11.5 11.5 Other Intangible assets 11.9 13.9 Total Equity 661.9 653.2 Intangible
Slide 11: Cash Flow Statement
Cash Flow Statement Particulars (INR Crs) Sept-24 Sept-23 Net Profit Before Tax 20.1 52.3 Adjustments for: Non - Cash Items / Other Investment or Financial Items 81.9 82.1 Cash generated from operations before working capital changes 102.0 134.4 Changes in working capital -94.7 -282.4 Cash generated
Slide 12: Business Vertical Performance
Business Vertical Performance New Vehicles Pre-owned Vehicles Services & Repairs business Spare Parts Distribution business Volumes (In units) -9% -3% -4% 14,119 2,887 2,790 2,72,550 2,62,630 12,890 Q2FY24 Q2FY25 Q2FY24 Q2FY25 Q2FY24 Q2FY25 -10% Flat +5% Flat 1,251 226 Total Income* 97 97 216 68 68
Slide 13: Business Overview
Business Overview 12
Slide 14: Company Snapshot
Company Snapshot Part of diversified Kuttukaran Group 1984 As one amongst the 1st Batch of Dealers appointed by Maruti 75+ Suzuki in India years of experience in the automobile industry Presence across spectrum of Integrated Business model Auto segments Buying New Vehicle Presence in 10,000+ 445+ Em
Slide 15: Our Story
Our Story 01. Longstanding presence in 03. Comprehensive Ecosystem 05. Development strategy 07. Experienced Board of directors the automotive industry for Mobility over the years and specialist leadership team 04. High delta proposition • Services & Repairs business 06. Market penetration 08. Sustai
Slide 16: Long Standing Presence: Major Events and Milestones
Long Standing Presence : Major Events and Milestones 1984 1997 2002 2005 1939 The Group entered the automobile Commenced automobile Commenced dealership for Commenced spare dealership with first Maruti Commenced Tata Motors CV industry with the commencement Maruti Suzuki PV in Chennai, parts distrib
Slide 17: Partnerships with leading OEMs
Partnerships with leading OEMs Years Rank# Rank# OEM Category Touchpoints^ of Relationship Sales Volume Service Provider Economy to Passenger Vehicles 40 9 1 208 Premium Economy to (PV) 16 8 3* 21 Premium Luxury 14 5 3 6 Commercial CV 27 3 3 75 Vehicles Commercial Vehicles (CV) CV 12 2 - 41 3W 2 5 5
Slide 18: Building a comprehensive Ecosystem for Mobility
Building a comprehensive Ecosystem for Mobility High margin business + Faster growing segments: +ve impact on Profitability and Return ratios Sale of new Service Distribution of Exchange/ sale of Facilitating sale of Third- Driving vehicles & repairs spare parts pre-owned vehicles party financial sc
Slide 19: Services & Repairs Business – High delta proposition
Services & Repairs Business – High delta proposition Our Offerings Among the top service and repairs providers Periodic maintenance Auto Body Repair Services, repairs and maintenance under service #1 #3^ each of the dealerships include: • Work undertaken during warranty period AC or Electrical • Out
Slide 20: Spare Parts Distribution Business – High delta proposition
Spare Parts Distribution Business – High delta proposition 44 26 ~70 Retail Outlets Warehouses Touchpoints Spare parts distribution across Kerala & Karnataka Revenue from Spare Parts Distribution Business ~3,200 Kerala Karnataka (INR Crs) 25,000+ No. of customers portfolio SKUs (Includes active sell
Slide 21: Development Strategy over the years
Development Strategy over the years Key Strategic Acquisitions FY 2015 4.0 FY312016 FY 18 2019 120 FY 2021 FY 2023 Acquired the entire Acquisition of 1 Acquired Tata Motors Acquired an existing Took over 11 service showroom, 1 sales outlet operations of a sizeable (Commercial) dealership in ‘Honda c
Slide 22: Market Penetration: Extensive Network
Market Penetration: Extensive Network Increasing footprints • 44 Showroom Kerala • 108 Sales outlets & booking offices 340^ • 106 Service centers touchpoints • 29 Showrooms, sales outlets & booking offices only for pre-owned vehicles Commercial Vehicles • 2 Showrooms Karnataka Maharashtra 30# • 3 Se
Slide 23: Experienced Board Members
Experienced Board Members John K. Paul Francis K. Paul Naveen Philip Promoter and WTD Promoter and MD Executive Promoter and WTD Director Education: B.E. Education: B.E. Education: B.E., PGD in Management from XIM Experience: 48+ years of experience in Experience: 48+ years of experience in Experien
Slide 24: Strong Leadership Team
Strong Leadership Team Mr. Naveen Philip Mr. Raj Narayan Mr. John Verghese Mr. Biju Jose Thomas Mr. A Suresh Kumar Promoter and MD CEO Group CFO CEO (Vision Motors Limited) CEO - PAWL (JLR Dealership) Education: B.E., PGD in Education: B.Com, MBA from Education: Associate member of Education: Associ
Slide 25: Well defined Corporate Structure
Well defined Corporate Structure Popular Vehicles and Services Ltd (PVSL) ‘Popular’ 99.99% 99.99% 99.99% 99.99% 99.99% 99.99% Popular Autoworks Pvt Popular Auto Dealers Pvt Popular Mega Motors Keracon Equipments Pvt Kuttukaran Cars Pvt Ltd Kuttukaran Green Pvt Ltd Ltd Ltd (PADL) (India) Pvt Ltd (PMM
Slide 26: Business Vertical Performance
Business Vertical Performance New Vehicles Pre-owned Vehicles Services & Repairs business Spare Parts Distribution business Volumes (In units) +10% +2% +18% 47,820 46,665 11,806 10,53,545 10,098 10,594 10,698 9,57,148 37,871 35,105 7,21,400 6,46,280 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22
Slide 27: Category-wise Performance
Category-wise Performance INR Crs PVs (incl. luxury) CVs Total Revenue from Operation +17% 3307 +41% 1954 3014 1570 2340 2070 5,616 959 691 +25% 4,875 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 3,466 2,894 EVs Spare Parts Distribution Business# +27% 85 270 +309% 234 56 161 132 FY21 FY22 FY23 FY24 5 0 F
Slide 28: Growing Profitability
Growing Profitability EBITDA* & EBITDA Margin* (%) PAT & PAT Margin (%) 6.0% 5.1% 4.8% 5.1% 1.1% 1.0% 1.3% 1.3%^ 286 76 +18% 235 64 +33% 175 179 33 34 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24^ *Includes Other Income ^Includes exceptional income of Rs. 1.6 crores towards gain on sale of land 27
Slide 29: Healthy Balance Sheet
Healthy Balance Sheet Particulars (Rs. Cr) FY21 FY22 FY23 FY24 Working Capital Cycle (No. of days) Total Equity 246.0 279.9 343.0 653.2 Net Working Capital days 45 43 41 48 Total Borrowings 353.0 371.9 505.0 444.6 Capital Expenditure 29.5 48.1 85.3 80.7 47 45 45 Debt to Equity 1.4x 1.3x 1.5x 0.7x 38
Slide 30: Strategic Priorities
Strategic Priorities 29
Slide 31: Way-forward
Way-forward Diversification Focus on High Margin Business Deeper Penetration • De-risking Revenue Model • Increase Automotive Distribution business • Inorganic Growth Opportunities • New Dealerships • Increase sale of Services & Repairs business • Organic Growth Opportunities • Increase Product offe
Slide 32: Diversification: De-risking revenue
Diversification Kerala Non-Kerala De-risking revenue 26% 38% In next FY21 FY24 50% 50% 2-3 years 62% 74% New Dealerships Increase Product Offerings • Strategically diversifying existing product offerings by • Setting up new dealerships to capitalize on the increasing introducing new additional brand
Slide 33: Focus on High Margin Business
Focus on High Margin Business Stability in Revenue Increase Automotive Distribution business o Highly localized business with high SKUs – High Margin business o Focus on Balance sheet led profitable growth Higher after sales service Increase sale of Services & Repairs business o Increasing the no. o
Slide 34: Deeper Penetration
Deeper Penetration Inorganic growth Organic Growth Digital Growth Geographic penetration Customer penetration • Enhancing digital and online • Taking over/merging business • Open opportunities by OEM in presence, making it more user of weak dealers with consent newer states/locations friendly & info
Slide 35: Business Verticals: Adding value at each stage
Business Verticals: Adding value at each stage Contribution to Company’s Consolidated Performance* 74% • New Vehicles sale business: High Volume OEMs relationships is 38% important to establish an Low Margin integrated business model; it New Vehicles enables to drive the business in pre-owned and Se
Slide 36: Historical Performance
Historical Performance 35
Slide 37: Profit & Loss Statement
Profit & Loss Statement Particulars (INR Crs) FY24 FY23 FY22 FY21 Revenue from Operations 5,615.5 4,875.0 3,465.9 2,893.5 Other Income 31.2 17.6 18.3 25.7 Total Income 5,646.7 4,892.6 3,484.2 2,919.3 Cost of Goods Sold 4,758.3 4,142.6 2,916.8 2,433.0 Gross Profit 888.4 750.0 567.4 486.2 Gross Profit
Slide 38: Balance Sheet
Balance Sheet Particulars (INR Crs) Mar-24 Mar-23 Mar-22 Mar-21 Particulars (INR Crs) Mar-24 Mar-23 Mar-22 Mar-21 Property, Plant & Equipments 328.8 293.5 246.4 224.4 Share Capital 14.2 12.5 12.5 12.5 Capital Work-in-progress 14.3 7.7 12.3 17.3 Other Equity 638.9 330.5 267.3 233.5 Goodwill 11.5 11.5
Slide 39: Cash Flow Statement
Cash Flow Statement Particulars (INR Crs) Mar-24 Mar-23 Mar-22 Mar-21 Net Profit Before Tax 96.1 84.9 48.5 47.3 Adjustments for: Non - Cash Items / Other Investment or Financial Items 161.1 141.9 116.8 108.0 Cash generated from operations before working capital changes 257.3 226.8 165.3 155.2 Change
Slide 40: Thank You
Company: Investor Relations Advisors: Thank CIN: L50102KL1983PLC003741 CIN: U74140MH2010PTC204285 You Mr. Varun T. V. CS & Compliance Officer Ms. Neha Shroff / Mr. Vineet Shah neha.shroff@sgapl.net / vineet.shah@sgapl.net cs@popularv.com +91 77380 73466 / +91 97688 39349 www.popularmaruti.com www.sg
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