Linc Limited · NSE:LINC
Linc — Linc Pen & Plastics — Q3 FY2018-19 Earnings Presentation
11 slides from Linc's earnings presentation, Feb 18, 2019
Slide 1: Cover letter to Calcutta Stock Exchange
18" February, 2019 The Listing Department, The Calcutta Stock Exchange Ltd. 7, Lyons Range Kolkata — 700 001 il Dear Sir, Re : Presentation on Financial Results Please find enclosed herewith the Presentation on the Financial Results for the quarter ended 31°‘ December, 2018. Thanking You Yours faith
Slide 2: Presentation on the financial results for Q3, FY 2018-19
Linc Pen & Plastics Limited Presentation on the financial results for Q3, FY 2018-19
Slide 3: Introduction
Introduction Linc Pen & Plastics Limited. One of India’s most prominent writing instrument brands. Respected for pioneering marketing and branding initiatives. Exporting products to more than 40 countries. 2
Slide 4: Quarterly update
Revenues (Rs. crore) EBITDA (%) 103.35 8.7 91.23 7.8 86.02 7.4 83.46 6.7 Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY19 Quarterly PAT (Rs. crore) Exports (% of total revenue) update 3.12 30.3 27.2 19.5 20.2 1.72 1.64 1.45 Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY
Slide 5: Performance highlights: Export performance
Export performance • Linc enjoys a presence in 40 countries. Performance • Linc focuses on increasing throughput in existing markets than foraying into new highlights territories. Q3, FY2018-19 • Linc generated export revenues worth Rs.23.42 crore in Q3 of FY2018-19 compared to Rs. 19.46 crore in Q3
Slide 6: Performance highlights: Domestic performance
Domestic performance • Linc is one of the leading players in the Indian writing instruments industry. Performance • Linc reported Rs. 62.60 crore in domestic sales in highlights Q3 of FY2018-19 compared to Rs. 62.92 crore in Q3 of FY2017-18. Q3, FY2018-19 • Linc reported Rs.202.54 crore in domestic
Slide 7: Price-based product segments
Price-based product segments The <Rs. 10 pen segment accounted for Share of revenues 75% of revenues in Q3 from the value-added of FY19 revenues while segment projected to the value added increase to 50% by segment (≥Rs. 10) FY20. accounted for the rest. 6
Slide 8: Managing Director's message
Managing Director’s message GST has helped bridge the price gap between organised and unorganised players, resulting in increased opportunities for Linc. Despite an increase in the use of computers and smartphones, people still continue to actively use pen and paper. Experts predict that the writing
Slide 9: Performance overview and quarterly highlights
Performance overview • Our Q3 FY19 performance could have been better but for some sectoral challenges. We reported a 4% topline growth over the same quarter in the previous fiscal. • We reported a 14% nine-month revenue growth; bottomline growth was impacted due to a rise in polymer prices by Rs. 3
Slide 10: Quarterly challenges and counter-responses; Outlook
Quarterly challenges and counter-responses • Surge in polymer prices. • Intensifying competition dented profitability. • We phased out low-margin and low-volume products. • The unused capacity was allocated towards Pentonic. • Pentonic emerged as the corporate and sectoral game-changer. Outlook • Pr
Slide 11: Road ahead
Road ahead “I am optimistic that our performance will improve over the next few quarters. Moreover, with our strategic volume- value play gaining steam, we expect our prospects to brighten significantly.” – Deepak Jalan, Managing Director 10
Linc Pen & Plastics — Q3 FY2018-19 Earnings Presentation on 6ix