Ifb Industries Ltd · NSE:IFBIND
Ifb Industries — Q2 FY2025 Earnings Presentation
60 slides from Ifb Industries's earnings presentation, Nov 4, 2024
Slide 1: Intimation letter for investors call
Il*lTI nduatries Limited Gorporate Office Plot No.-INlJ-5, Seclor1 East Kolkala ”7owfiship, Kolkata - 700 107 Telephnne: (91) (33) 39849475/9524 Fax: (51) (31) 30849676 wuu : www.ifbind istrius com 4thh November, 2024 4' The Manager Department of Corporate Services ofCorporate BSE BSE Limited, Phiro
Slide 2: Conference call invitation, 2QFY25 results
NIRMAL BANG INSTITUTIONAL EQUITIES Cordially invites you to a conference call to discuss the 2QFY25 results of IFB Industries Ltd. On Thursday, 7 November 2024 at 5:00 pm IST IFB Industries management will be represented by: Mr. Bikramjit Nag (Chairman), Mr. P.H. Narayanan (Managing Director – Engin
Slide 3: ere
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Slide 4: Performance Report Q2 FY'25
@2 Financial Report Quarter Ended 30 September, 2024 II PeAomzsance Repos Q2 FY’25 Performance Snapshot (7inCrore) Performance Overview—Q2 FY ’25 P¥ztfez@afs Q2. FY @ ..Q2.PY:24 Cz4 w@s Ok • Revenue growth forthequarter has been1 196. Flat revenue Revenue 189.24 1 074.12 1›« growth inJuly and August
Slide 5: Performance Report H1 FY'25
@2 Financial Report Quarter Ended 30 September, 2024 II Pe‹Yormsazsce Repos H1 FY’25—Growth inEBITDA level propelled by margin improvement Performance SnapshD (7 in Crore) Performance Overview—HI FY ’25 • Revenue growth forthe first half of the year was 1496. Revenue 24Zl68 2136.97 1496 • EBITDA gro
Slide 6: Financial Trend for Q2
Q2| Financial Report Quarter Ended 30 September, 2024 11 Financial Trend for Q2 Total Revenue (7inCrore) Operating Profit/EBITDA (¢ in Crore) 74 75 79 FY21 FY 22 FY 23 FY24 FY 23 FY 21 FY 22 FY 23 FY 24 FY 25 Q2 Profit After Tax PAT (T in Crore) 52.04 33.30 23.63 24.18 28.69 FY 21 FY 22 FY 23 FY 24
Slide 7: Parameters of Q2 FY'25
Q2 Financial Report Quarter Ended TO September, 2024 Paz•ametez•s of Q2 FY ’25 Total Revenue RevenuefnomOperations EBITDA 7\,189 Crore [1.177 Crow T79 Crore (+)ll%O (+) 1 (+)60/o EBITDA Margin 96 Net Profit Margin 9L EPS 6 696 2 89b F8.21 (—) 32 bps (+) 13 bps (+) 169b Receivables Inventories Accoun
Slide 8: Parameters of H1 FY'25
Q2| Financial Report Quarter Ended 30 September, 2024 Parameter's of HI FY *25 Total Revenue Revenue from Operations EBITDA ¢2,434 Crore Z2,4J4 Crore ¢166 Crore (+) 14% (+) l4°d (+) 43%â EBiTDA Margin 96 Net Profit Margin 9'o EPS 6 896 T 17.80 (+)140 bps (+) l5O bps (+))300/o Receivables Inventories
Slide 9: Key Divisional Highlights
92 Financial Report Quarter Ended 30 September, 2024 11 Key Divisional Highlights HAD Engineering Steel Motors • Revenue Z929 Crore • Revenue T2 17 Crore • Revenue T47 Crore • Revenue (Automotive Motors) EBITDA Z46 Crore EBITDA T35 Crore EBITDA T2.3 Crore T18 Crore EBITDA (Automotive Motors) To boos
Slide 10: Insignificant Debt Burden
Q2 Financial Report Quarter Ended 30 September, 2024 Insignificant Debt Buz•den Possibility of leveraging for future business expansion Total borrowing was T35.12 Crore as on quarter end date which includes only term loan amount. Break-up of term loan borrowings& itsposition as on 3Oth September, 20
Slide 11: Net Zero Debt, Positive Cash Balance
Financial Report Quarter Ended 30 SepteiJJber, 2024 ‘Net Zero’ Debt Real focus on building up Positive Cash Balance Against the aforesaid borrowing as on 3Oth September, 2024, our Cash and Bank Balances (including investments in Mutual Funds) were atZ327.56 Crore. Hence the Company's net cash balanc
Slide 12: Refrigeration Plant, Pune
92 Financial Report Quarter Ended 30 September, 2024 Refrigera£oz• Plant:, Pune IFBIndustries Limited invested 07 Crore in IFB Refrigeration Limited, now holdinga 41.4096 equity stake, with potential plans to increase this later in the year. The plant was completed in record time arid began commerci
Slide 13: Home Appliances Division
Quarter and Half Year Ended 30th September, 2024 os seme ‘a8 ms = Home Appliances Division }11
Slide 14: Business Updates: Home Appliances Division
92 Financial Report Quarter Ended 30 September, 2024 II Business Updates Home Appliances Division Despite a robust gain in Air Conditioners (289b) and Refrigerators (69a), the consumer durables market saw flat or muted growth in the first half of FY ’25, especially in the Washer category. Given that
Slide 15: Business updates
92 Financial Report Quarter Ended 30 September, 2024 11 Business updates In the industrial segment, our full range of Washer Extractors and Dryers targeted at commercial laundry applications have significantly increased its order hook over the past two Quarters. Key growth drivers include launderett
Slide 16: Range of Products Home Appliances: Washers
92 Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances The updates at the end of Q2 FY '25 for each of the product categories are given below: Washers Market Trends and Consumer Preferences (T in Crore) Value Sales Q2 FY 25 Q1 FY 25 Q2 FY 24 Front Load Washer 374.7
Slide 17: Washer Dryers
92 Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances IT'S A SOFA. Presenting IFB NOTA DRYER. Awesome in every mausam A Laundry Revolution Imagine the convenience of having your clothes washed. dried nnd refreshed ina single appliance. Our innovative Refresh Mode
Slide 18: Deep Clean Front Load Washers
92 Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances Launched a new range of Deep Clean Front Load Washing Machines (FL) Designed to make your clothes last longer. DeepClean Technology Increases the life of your clothes fry 30Pé. Keeps them looking like new ‘Even
Slide 19: Top Load Washing Machine
92 Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances Top Load Washing Machine (TL) Launched with Advanced Features and Performance Innovative Technology Equipped with steam technology, inverter technology, and WiFi connectivity, our Top Load Washer offersa range
Slide 20: Clothes Dryers
Q2| Financial Report Quarter Ended 30 September, 2024 II Range of Products Home Appliances Clothes Dryers (CD) Cloth drying machines with advanced technologies, such as heat pump systems and smart features, typically come with higher initial costs compared to Traditional drying methods and basic mod
Slide 21: Microwave Ovens
@2 Financial Report C!uarter Ended 30 Septernber,.2024 Range of Products Home Appliances Microwave Ovens (MWO) TheMicrowavü.Ovdri rnarket has stabilised with limited growth,. mainly from pent-up demand in the lower-end solo category. AFB holds the second position in the market as öf the ertd of Q2 o
Slide 22: Built in Ovens, Dishwashers, Chimneys and Hobs
Q2 Filial Re{aort Quarter Ended 30 Septernber,.2024 Range of Products Horne Appliances Built in Ovens, Built in Dishwashers, Built in MWO, Chimneys snd Hohs. There is a dedícaied and.immediate fo:cus to..ensure that the gaps in areas like exclusive manning; ñght model placements.and displays, puttin
Slide 23: Modular Kitchens
Q2| Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances Modular Kitchens Here we have completely failed, we are re-working strategy and we will come back. Particulars Q2 FY 25 Ql FY25 Q2 FY 24 Value Sales inZ Crore 1.42 1.21 l.l] Note: All the pror/‹/ct/pures are a
Slide 24: Dishwashers
Q2| Financial Report Quarter Ended 30 September, 2024 11 Range of Products Home Appliances Dishwashers (DWs) The domestic dishwasher market is now stabilised, with sales of 15,0D0 units per month, dominated by three key brands, including IFB. The product range in Dishwasher is right, we have to work
Slide 25: Air Conditioners
Q2 Financial Report Quarter Ended 30 September, 2024 Range of Pz•oducts Home Appliances Air Conditioners (ACs) To Strengthen our AC range further, a new range with very good cooling performance and host of new features are being planned for the upcoming season. Our range includes3 and 5-star models
Slide 26: Industrial Segments—Laundry and Dishwashing Equipment
Q2 j Financial Report Quarter Ended 30 September, 2024 Indust:riaI Segments—Laundry and Dishwashing Equipmen£ Innovation Driven Excellence—Enhancing Sustainability and Customer Satisfaction IFB Industrial business oPers comprehensive solutions to different sectors by expertly addressing the specific
Slide 27: Service Network
92 Financial Report Quarter Ended 30 September, 2024 11 Service Network We strongly believe that our service franchise network is our most valuable asset. We added15 franchisee in the last quarter. We presently have1 482 franchisees pan India covering all the geo-locations. We are focusing an Qualit
Slide 28: Performance Report HAD for Quarter 2
Financial Report Quarter Ended 30 SepteiJJber, 2024 Performance Report HAD forQuarter2 Performance Snapshot (I in Crore) Performance Overview PartiCM/WKX Q2 FY 25 Q2 FY 24 GOOwth TO • We now havea complete range of products and there is HAD HAD HDD no reason for us not to excel and achieve 20°4 plus
Slide 29: Financial Summary of Home Appliances Division
Q2 Financial Report Quarter Ended 30 September, 2024 Financial Summary ofHome Appliances Division (ZinCrore) Particulars Q2FY25 Q2FY24 YEDFY25 YTD FY 24 Revenue 928.82 848.78 1956.72 169957 EBITDA 45.98 34.5 106.21 80.79 EBITDA 9bon Revenue 4.95 6.42 T48 4.75 EBT 16.48 2548 47.94 22.67 EBT 96on Reve
Slide 30: HAD Quarterly Results Q2 FY'25 vs Q2 FY'24
Q2 Financial Report Quarter Ended 30 September, 2024 HAD QuaAerly Results C!2FY ’25vs Q2 FY ’24 (Z in Crore) Revenue EBITDA EBT GROWTH YOY yOy +g+o YOY -166o YOY -359L 54.51 25.48 45.98 16.48 Note: YOY means Year on Year—comparison between current year and lost yeai. 20
Slide 31: Segmental Sales Home Appliances Division
@2 Financial Report Cțuarter Ended 30 Sept/ernber,.2024 Segmental fiales Home Appliances Division Q2 FY ’25 Product-wise spread in Home Appliances;.Division AC .63.O2 6.896 Front Loader 398:65 43.196 SerWce 1'5239 16.5% Top Loader 1Ö5.57 1 1.49b Microwave .72.47 7.896 Refrigerator ’41..57 4.59b IndI
Slide 32: Steady improvements in Inventory Holding Days—HAD
Q2| Financial Report Quarter Ended 30 September, 2024 11 Focussed approach resulting in consistent improvement in Inventory Days Steady improvements in Inventory Holding Days over last eight quarters—HAD Inventory Days (On Sales) 62 57 48 48 49 48 42 37 The gradual reduction in Inventory Days—witnes
Slide 33: Engineering Division
Q2 Fig tal Report Quarter Ended 30 September, 2024
Slide 34: Moderate performance in all business verticals
Financial Report Qunrter Ended 30 SepteiJJber, 2024 Moderate performance y a ii business verticals needs further improvement —marketing to be pushed for the same Performance Snapshot (t in Crore) Particulars Q2 FY 25 Q2 FY 24 Growth9 Performance Overview Engineering Engineering Engineering Witnessed
Slide 35: Industry outlook on automobile business
92 Financial Report Quarter Ended 30 September, 2024 11 Industry outlook on the business perspectives of automobile business INDUSTRY OVERVIEW Q2 FY ’25 Four Wheeler Two Wheeler Subdued growth was observed forthe Four Wheeler Two Wheeler sales surged to 3.2 Million units, segment in QOQ with 39b whe
Slide 36: Vehicle Sales Volume Growth in India
@2 Financial Report C!uarter Ended 30 Sept/ernber,.2024 Vehicle Sales Volume Growth InIndia Two Wheeler Four Wheeler Commercial Vehicles Electric Two Wheeler 29.186 -4.4% -1.69b -9.696 QOQ. YOY YOY Two Wheeler FÖur Wheelér TO.5’:’ 10.26 28% 10.74 -44% Commerical Vüht«les ’22J’ 224 ’-l6%’ 24’8 -96% E
Slide 37: Steady Improvement in ROCE
Q2 Financial Report Quarter Ended 30 September, 2024 Steady Improvement inROCE ROCE % 53.9 49.7 44.7 28.7 30.9 . - -“” Q2 FY 24 Q3FY24 Q4FY24 QlFY2s O2FY2s Improvement inROCE is mainly due to the following reasons • Optimisation of working capital deployed, leading to lowering of capital employed ba
Slide 38: Leverage at comfortable level of 0.09X
Q2 F inaiJcin( Report Quarter Ended 30 September, 2024 11 Leverage at a comfortable level of O.O9X—Net Debt/EBITDA (Std 3X) Leverage Ratio (¢ in Crore) (T in Crore) Repayment schedule of 14D.OO 040 term loan as on 30th 0.35 September 24 120.00 O3O 1DD.OO 0.25 80.00 0.20 60.00 0.M A.00 OIO ZO.OO OOO
Slide 39: Consistent improvement in inventory days
92 Financial Report Quarter Ended 30 September, 2024 Focused approach z’esul£ing in consistent impz’ovemen£ in inventory days Steady Improvements inInventory Holding Days Over Last Twelve Quarters Inventory Days (On Sales) 51 35 34 ” 33 ” 32 The gradual reduction in inventory days—witnessed sharp fa
Slide 40: Engineering Performance Q2 FY'25 vs Q2 FY'24
Q2| Financial Report C!uarter Ended 30 Sept/ernber,.2024 Engineez•ing PeAozmsarsce (Business VeAical Wise) Cf2FY ’25vsQ2 FY ’24 (T In:Crore) Revenue Growth YOY Fine Blanking :Stampfng After Market Total Engineering 17J18 l5D.B9 24 Z5 21.17 2££51 , FY24 FY.25. FY24 FY25. EBITDA Growth YOY (T in Crore
Slide 41: Engineering Performance H1 FY'25 vs H1 FY'24
Financial Report Quarter Ended 30 September, 2024 Engineez•ing PeAozmsance (Business VeAical Wise) H1 FY ’25vs H1 FY '24 (T in Crore) Revenue Growth YOY Fine Blanking Stamping After Market Total Engineering Z31.45 47.D6 40.14 FY25 FYZ4 FY25 FY24 FY25 FY25 EBITDA Growth YOY (T in Crore) 65.47 5610 6.
Slide 42: Financials—Quarterly and Half Yearly
Q2| Financial Report C!uarter Ended 30 Sept/ernber,.2024 Financials-QuaAez•Iy and Half Yearly (' in Crore) EBIT@itt. Fine Blanking (FBD) .15.0:89 .252s’ Stamping Z0:51 120’ .After Market 19.:10 ’053’: Engineering T9O:5O 2867 1596 .:’216:7O OO. 4696 Consolidated (' in Crore) Fine Blanklng (FBD) 295.5
Slide 43: Quarterly Performance Analysis
@2 Filial Re{aort Quarter Ended 30 September,.2024 Moderate gmzwth inRevenues, with continuous impz•ovement in EBITDA level thz•ough maz•gin impmswements—Quarterly Performance. Analysis Finanz:ial Performance Q2 FY *25 (T in Crore) Revenue EBITDA EBT YOY .+14.%| QOQ +1O96 35.20 28.55 6totes: 7. YOV
Slide 44: Financial Summary of Engineering Division
92 Financial Report Quarter Ended 30 September, 2024 11 Financial Summary ofEngineez•ing Division (TinCrore) Particulars Q2FY25 Q2FY24 HlFY25 HI FY 24 Revenue 216.70 190sO 4lZ0O g69.g2 EBITDA 55.20 28.67 6Z47 sl 10 EBITDA % on revenue 16.24 1305 15.83 isg4 EBT 28.55 19.20 0.40 Zl62 EBT % on revenue
Slide 45: Appliance Motors Division BLDC Project
92 Financial Report Quarter Ended 30 September, 2024 11 APPLIANCE MOTORS DIVISION BLDC Project • Our Division has madea strategic commitment to energy conservation by transitioning all appliance motors to energy-efficient BLDC {Brushless DC) motors. These BLDC motors are engineered to reduce energy
Slide 46: Financial Summary of the Automotive Motors Division
92 Financial Report Quarter Ended 30 September, 2024 11 Financial Summary oftheAutomotive Motors Division (¢ in Crore) Particulars Q2FY25 Q2 FY 24 Nl A25 HI FY 24 Revenue 17.66 lv44 â4.20 Zl 78 EBITDA -054 -0S4 01] EBITDA °Aon revenue -506 -1 36 -1 58 0.41 EBT -107 -O56 EBT % on revenue -4.5? -314 -
Slide 47: Financial Summary of Steel Division
92 Financial Report Quarter Ended 30 September, 2024 11 Financial Summary of5£eeI Division (¢ in Crore) Particulars Q2FY25 Q2 FY 24 HI FY 24 Revenue 47Z6 37.67 92.94 75.US EBITDA 2.26 -0.0 535 -0.2J EBITDA °Aon revenue 4.77 158 EBT 0.79 -l . 1 5 051 EBT % on revenue 1 67 0.35 • In Q2 of FY '24-'25,
Slide 48: GAAL Global Automotive & Appliances Pte Ltd
Q2| Financial Report Quarter Ended 30 September, 2024 11 GAAL Global Automotive& Appliances Pte Ltd CnCore) Particulars Q2 FY 25 Q2FY24 HlFY25 H1 FY24 Revenue 27.23 18.03 4547 Z555 EBITDA 319 2.01 4.83 S 5Z EBITDA % on revenue 11 72 10.62 9.93 EBT 319 201 4.83 553 EBT % on revenue 11 72 lll5 10.62 9
Slide 49: TAAL Thai Automotive & Appliances Limited
@2 Financial Report Quarter Ended 50 September, 2024 II TAAL Thai Automotive& Appliances Limited (T in Crore) Q¥AZ5 Q2 FV.24 HI FY 25 HI FY 2‘$ Revenue ]599 15.33 29.70 29.16 EBIDA 0.99 1.61 O’ EBITDA 9Lon revenue 6.19 1.57 S.42 o EBT 040 —0.40 0.49 -0.61 EBT 96 on revenue 250 —2.61 I .65 -2.09 TAAL
Slide 50: Note on
Note on
Slide 51: Note on Acquisition of Steel Division
Q2| Financial Report Quarter Ended 30 September, 2024 11 Note on Acquisition of Steel Division The key challenges of this business were ° The unit was running at poor capacity utilisation and low order booking. ° Plant equipment and electricals were notonly outdated but obsolete at the same time. °
Slide 52: Note on Automotive Motors Division takeover
Q2| Financial Report Quarter Ended 30 September, 2024 11 Note on Automotive Motors Division takeover The Motor Division acquired the Automotive Motor Division from IFBAutomotive Pvt. Ltd in October 2019. The objective was to bring in synergy between thetwo divisions which could result in substantial
Slide 53: Standalone Income Statement
Q2| Financial Report Quarter Ended 30 September, 2024 11 FINANCIAL STATEMENTS Stzzndalone Income Statement (Quarterly and Half—yearly Results) Key Indices as on (¢ in Crore) 30 September, 2024 Quarterly YTD YTD Standalone Income Statement 30 Sep 24 30 Sep 23 30 Sep 24 30 Sep 23 Total Sale of Product
Slide 54: Standalone Balance Sheet
92 Financial Report Quarter Ended 30 September, 2024 11 FINANCIAL STATEMENTS Standalone Balance Sheet (7 in Crore) Key Indices as on 30 September, 2024 Standalone Balance Sheet as at 30 Sep, 24 30 Sep, 23 Half Yearly ASSETS Property, Plant and Equipment* 608.68 67308 Investment in Subsidiaries 118.6
Slide 55: Standalone Key Ratios
Q2| Financial Report Quarter Ended 30 September, 2024 I1 FINANCIAL STATEMENTS Standalone Key Ratios (T in Crore) Key Indices as on 30 September, 2024 QTR YTD Quarterly Standalone Key Ratios 30 Sep, 24 30 Sep, 23 30 Sep, 24 30 Sep, 23 Earnings Per Share (in T) (Nat Annualised) 8.21 7.08 17.80 7.7] Bo
Slide 56: Standalone Cashflow Statement
Q2| Financial Report Quarter Ended 30 September, 2024 11 FINANCIAL STATEMENTS Standalone Cashflow Statement (Annual) (7 in Crore) Key Indices as on 30 September, 2024 YTD YTD Standalone Cashflow Statements 30 Sep, 24 30 Sep, 23 CASHFLOWS FROM OPERATING ACTIVITIES Profit Before Tax 97.04 41.75 Non Ca
Slide 57: Consolidated Income Statement
92 Financial Report Quarter Ended 30 September, 2024 11 FINANCIAL STATEMENTS Consolidated lncoma Stntament (Quarterly and Half—yearly Results) (T in Crore) Key Indices as on 30 September, 2024 QTR YTD Quarterly Consolidated Income Statement 30 Sep, 24 30 Sep, 23 30 Sep, 24 30 Sep, 23 Total Sale of P
Slide 58: Consolidated Highlights
92 Financial Report Quarter Ended 30 September, 2024 11 CONSOLIDATED HIGHLIGHTS (Quarterly and Half—yearly Results) (MnCore) Nl FYZ5 Hl FY24 Q2FY25 Q2FY24 Total Income 2,30831 2,200.67 l2<2O6 1106.98 Earning Before Depreciation, Interest and Tax 164â2 106.92 78.26 68.65 Earning Before Interest and T
Slide 59: Consolidated Balance Sheet
92 Financial Report Quarter Ended 50 September, 2024 II CONSOLIDATED BALANCE SHEET (7inCrore) 30 Sep, 24 Z1 Bâar, 2J ASSETS Property, Plant and E9^pment" 6Z4.91 64545 Investment in Equity Shares 68.13 70.86 Inventories 62LO6 53919 Investment in Mutual Funds 233.37 l92nl Trade Receivables 472.31 4630
Slide 60: Contact
O V ER MILLION S ATIS F IE D C U S T 0 ME R S Microwave Oven Built-in-Oven Dishwasher DC6 IT- Refrigeraiors ChimneyI Built-i0-Hot Top Load From Load 100h Cloihes Dryer Air Condiiioner Contact Phone +91 53 39849475/9524° Email investor relation@ifbglobal.com