Uno Minda Limited · NSE:UNOMINDA
Uno Minda — Minda Industries — Q1 FY20 Earnings Presentation
43 slides from Uno Minda's earnings presentation, August 2019
Slide 1: Investor Presentation – August 2019
. Investor Presentation – August 2019 Minda Industries Ltd. Investor Presentation – August 2019
Slide 2: Safe Harbor
Safe Harbor 2/6 2 /2/43 46 This presentation and the accompanying slides (the “Presentation”), has been prepared by Minda Industries Limited (the “Company”), solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and
Slide 3: Quarterly Update Presentation
3/6 3 /3/43 46 Quarterly Update Presentation
Slide 4: Performance Highlights for the Quarter
Performance Highlights for the Quarter 4/6 4 /4/43 46 Favourable Factors Un-Favourable Factors • Robust sales despite industry wide Volume cuts • Volumes impacted due to weak demand across segments • Cost Management and Austerity measures kept overheads in check. • Expansions in Gujarat led higher i
Slide 5: Business Review
Business Review 5/6 5 /5/43 46 Secured Business from new customer Switches 01 4W in line with OE, improved SOB in 2W Better volumes in some of new launches Lighting 02 Growth higher due to high LED content Domestic business upbeat despite volume cuts Acoustics 03 Clarton Horn ( Mexico) under stabilz
Slide 6: Consolidated Financial Highlights
Consolidated Financial Highlights 6/6 6 /6/43 46 Revenue ($ Mn) EBITDA ($ Mn) +1% +1% 24.7 25.0 207.5 208.9 11.2 15.7 10.3 7.1 1.9 3.5 Q1FY19 Q1FY20 Q1FY19 Q1FY20 PBT Depreciation Interest PAT* ($ Mn) Margin (%) -24% 10.2 11.89% 11.96% 7.8 4.90% 3.71% Q1 FY19 Q1 FY20 Q1FY19 Q1FY20 EBITDA PAT * PAT =
Slide 7: Revenue Bridge – Q1 FY20
Revenue Bridge – Q1 FY20 7/6 7 /7/43 46 In $ Mn (1) 4 (2) 6 (6) 208.9 207.5 Q1FY19 Lighting Others Acoustics Light Metal Switches Q1FY20 Technology
Slide 8: Division Wise Revenue Mix
Division Wise Revenue Mix 8/6 8 /8/43 46 Revenue - Q1FY19 Revenue - Q1FY20 Others Others 10% 13% Switches 40% Switches LMT 37% 16% LTM 14% Acousics Acousics 12% 13% Lighting Lighting 24% 21%
Slide 9: Division Wise EBITDA Mix
Division Wise EBITDA Mix 9/6 9 /9/43 46 EBITDA - Q1 FY19 EBITDA - Q1 FY20 Others Others 12% 14% Switches 32% Switches 36% LTM LTM 32% 29% Lighting Lighting Acousics 18% Acousics 12% 9% 6%
Slide 10: Revenue Mix – Q1 FY20
Revenue Mix – Q1 FY20 10/6 1010/43 / 46 Geography-wise Breakup Channel-wise Breakup Segment -wise Breakup India International OEM Replacement 2Wheeler 4Wheeler 8% 17% 47% 53% 83% 92% Diversification across Categories and Geographies
Slide 11: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement 11/6 1111/43 / 46 Particulars ($ Mn) Q1 FY20 Q1 FY19 YoY % Q4 FY19 QoQ % FY19 Revenue from Operations (Net of Excise) 208.91 207.47 1% 215.69 -3% 857.26 Raw Material 126.55 128.05 130.44 525.62 Employee Cost 31.22 27.36 29.39 114.82 Other Expenses 26.16 27.38 28.
Slide 12: About Us
12/6 1212/43 / 46 About Us
Slide 13: Vision
—4 UNO (100) GRoup VISION = 80B Group Turnover (FY19) 62 Plants Globally 15 Joint Ventures To bea Sustainable, fe, Globalae anization 4 Acquisitions 8 R&D Centers 20+ Product lines 215+ Product Patents 230+ Design Registrations Sustainable | Global | _-. ..... | Employee Care
Slide 14: Leadership Team
Leadership Team 14/6 1414/43 / 46 BOARD OF DIRECTORS TOP MANAGEMENT TEAM Mr. Nirmal K Minda Chairman & Managing Mr. Anand K Minda Mr. Anand K Minda Director Mr. Sunil Bohra CEO , Aftermarket Mr. Rajiv Kapoor Group CFO Domain Group HR Head Mr. Satish Sekhri Mr. K K Jalan Mr. J.K. Menon Mr. Pradeep Ti
Slide 15: Strategy for Growth
Strategy for Growth 15/6 1515/43 / 46 Regulatory Norms Premiumization BS-VI expected implementation by Indian Automobile market is likely to 2020 will benefit UNO MINDA as it undergo premiumization of vehicles and ready with products which are likely UNO MINDA is Poised to strongly benefit. to see s
Slide 16: Mobility Change Drivers – Global and India
Mobility Change Drivers – Global and India 16/6 1616/43 / 46 GLOBAL INDIA COMFORT & SAFETY & CONNECTED AUTONOMOUS CONNECTED CONVINIENCE SECURITY GREEN SHARED MOBILITY ELECTRIC SHARED MOBILITY REGULATIONS TECHNOLOGY 5/23
Slide 17: Change Drivers - India
Change Drivers - India 17/6 1717/43 / 46 COMFORT & SAFETY & GREEN CONNECTED CONVINIENCE SECURITY SHARED MOBILITY REGULATIONS TECHNOLOGY Fleet Management, Larger Displays, Collision Warning & Car Sharing, Bike BS-6 : Emission Hybrid Electric Vehicle Apps, UBI Infotainment Avoidance Sharing, On Demand
Slide 18: Future Technology Areas for UNOMINDA
Future Technology Areas for UNOMINDA 18/6 1818/43 / 46 Body, Exterior and Safety Technologies Cockpit Electronics and Advanced Technologies Lighting Advanced Infotainment & Telematics Electric Vehicle Controllers Driver Assist Connectivity & IOT Technologies Power Management Distributed & Digital La
Slide 19: Group Technical Centre Overview
Group Technical Centre Overview 19/6 1919/43 / 46 • First Flagship Technical Center of UNOMINDA Group • Located in Pune, Phase II in Gurgaon • 170+ Engineers • Center of Competency for Hardware & Software • Electronics Lab functional since Oct 2018 CREAT: Manpower Mix Software Hardware, Software Cen
Slide 20: Pioneer in localization: Through JVs & Associations
Pioneer in localization: Through JVs & Associations 20/6 2020/43 / 46 We have partnered with global technology leaders in the respective product segments Panel & Control Switches Speakers Seatbelts Steering Wheels with Air Bags Acquisition Embedded Systems Gear Shifters Body Sealing Fuel Caps Hoses
Slide 21: Shareholding Pattern
Shareholding Pattern 21/6 2121/43 / 46 Corp Bodies / Corp Bodies / Others Others Retail Retail 5.2% 5.2% 8.5% 7.9% Insitutions 16.1% Institutions 15.5% Mar ‘19 June ‘19 Promoters Promoters 70.8% 70.8%
Slide 22: Strong Balance Sheet
Strong Balance Sheet: 22/6 2222/43 / 46 Building Shareholder Value year on year… EBITDA EBITDA Margin% ROCE Adjusted ROCE* Sales Sales Growth 21% 12% 12% 39% 20% 11% 32% 20% 32% 19% 19% 19% 491 649 857 54 77 105 FY17 FY18 FY19 FY17 FY18 FY19 FY17 FY18 FY19 Growth without stressing the Balance Sheet…
Slide 23: Business Overview
23/6 2323/43 / 46 Business Overview
Slide 24: Advent of EVs: Our Hedged Product Portfolio
Advent of EVs: Our Hedged Product Portfolio 24/6 2424/43 / 46 Technologies S. No Product Lines Company Name BS VI PEV BEV Approximate timelines Revenue March 19 Apr-20 2022-25 2025-2030 1 Alternate Fuel Systems METL 41 X X 2 Engine & Air Filtration Systems Roki Minda D D X 400 3 Transmission Canis
Slide 25: Group product portfolio – 2 Wheeler
Group product portfolio – 2 Wheeler 25/6 2525/43 / 46 Horns Handle Bar Assemblies Sensors Combined Breaking system Filter/ Canisters Lamps Battery Switches 2 W Alloy Wheel Noise Suppresser Cap Equalizer Assembly Die Casting Brake Hoses Components
Slide 26: Kit Value – 2 Wheelers
Kit Value* – 2 Wheelers 26/6 2626/43 / 46 Values in $ 99 101 84 76 75 66 68 63 52 40 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 Up to 110 CC 110 -135 CC > 135 CC All scooters All Mopeds *Contribution from Group Companies which are not yet consolidated is not included in the Kit Value
Slide 27: Group product portfolio – 4 Wheeler
Group product portfolio – 4 Wheeler 27/6 2727/43 / 46 Air Duct PWS Auto HVAC Controllers Headlamp levelling Spoiler motor Fuel cap Horns CNG Kit Speakers RPAS Batteries Alloy Wheel Electronic accelerator Air Filter LED lamps Hoses Steering Wheels with Air bags pedal module
Slide 28: Kit Value – 4 Wheeler PVs & Tractor
Kit Value* – 4 Wheeler PVs & Tractor 28/6 2828/43 / 46 Values in $ 1,174 1,101 998 924 732 633 639 477 376 289 49 50 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 2018 2019 Up to $ 3.2k $ 3.2k – 6.5k $ 6.5k – 12k $ 12k – 23.2k >$ 23.2k Off Road *Contribution from Group Companies which are not ye
Slide 29: Customer led and Customer Oriented: Customer Mix (FY 2019)
Customer led and Customer Oriented: Customer Mix ( FY 2019) 29/6 2929/43 / 46 Switching Systems Lighting Systems Acoustics Systems 4W 2W Bajaj BMW MSIL Auto Others 13% 42% 34% 29% MSIL VW Others Tata 32% 13% 32% Others Motors Others 40% 6% 52% HYUNDAI TVS 9% 11% Renault M&M TGMI HMSI 12% TKML 9% 4%
Slide 30: Switching Systems
Switching Systems 30/6 3030/43 / 46 In $ Mn Indian’s Largest Manufacturer 400 12.6% 15% 11.9% 300 9.8% • World leader in 2W Switches by Volume. 10% • 2W switches Market Share in India ~65% 200 • Independent in-house R&D 5% • Exports to USA, France, Italy, Austria and others 100 contributing ~6% to S
Slide 31: Lighting Systems
Lighting Systems 31/6 3131/43 / 46 In $ Mn Leading automotive lighting Systems 250 10.2% 12% 9.8% 9.1% 10% 200 • Strong R&D capabilities with Design centre in Taiwan 8% 150 and Technical Arrangement with Korean Company 6% • Exports to Italy, Indonesia, France, Japan and others 100 4% Contributing ~9
Slide 32: Acoustic Systems
Acoustic Systems 32/6 3232/43 / 46 In $ Mn One of India’s Largest Players in Horns 9.7% 120 9.4% 10% 9% • With 47% market share in India 80 8.1% • Strong in-house R&D capabilities 8% • Clarton Horn, a wholly owned subsidiary of MIL is technology leader in Horns and No 2 in market share 40 7% globall
Slide 33: Light Metal Technology
Light Metal Technology 33/6 3333/43 / 46 Products Revenue* $ Mn 150 23.4% 25% Alloy Wheel 23.2% • Market Leader in PV segment with 45% market share ( 24% installation ) in India 100 23% • Kosei - Strong Technology Leader as JV partner 21.5% • Moulding and Tooling Capability for high end wheels 22% A
Slide 34: Other Products
Other Products 34/6 3434/43 / 46 Products Revenue* $ Mn 150 10% 12% Other products 9% 10% • Blow Molding • Sensors and Controllers 8% • Speakers & Infotainment 100 8% • Fuel Caps 6% • Air Filtration System 88 50 77 4% 59 • Hoses • Batteries 2% 17 18 21 0 0% End Use Segment FY17 FY18 FY19 Blow Mouldi
Slide 35: MDSL: Strong Presence in Replacement Market
MDSL : Strong Presence in Replacement Market 35/6 3535/43 / 46 Over 50,000 FY19 % of total After Product($ Mn) Jammu and Kashmir: 8 After Market Sales Market Sales Retail Points Himachal Pradesh: 24 Switches 26 31% Punjab: 26 Uttarakhand: 6 Haryana: 41 Lighting 26 32% Delhi: 33 Rajasthan: 51 UP: 62
Slide 36: Historical Financials
36/6 3636/43 / 46 Historical Financials
Slide 37: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement 37/6 3737/43 / 46 Particulars ($ Mn) FY19 FY18 YoY % Revenue from Operations (Net of Excise) 857.26 648.68 32% Raw Material 525.62 400.94 Employee Cost 114.82 85.14 Other Expenses 111.34 85.14 EBITDA 105.48 77.46 36% EBITDA Margin 12.30% 11.94% 36bps Other Income
Slide 38: Consolidated Balance Sheet
Consolidated Balance Sheet 38/6 3838/43 / 46 Assets ($ Mn) Mar-19 Mar-18 Liabilities Mar-19 Mar-18 1 Non Current Assets Equity & Liabilities Property, Plant And Equipment 236.43 174.03 Equity Capital Work in Progress 19.08 27.88 Equity Share Capital 7.61 2.53 Intangible Assets 9.70 5.71 Other Equity
Slide 39: Improving Dividend Profile
Improving Dividend Profile 39/6 3939/43 / 46 In $ Mn 12.7% 10.9% 10.4% 24 37 41 FY17 FY18 FY19 PAT Dividend Payout Ratio * Dividend payout ratio after considering dividend distribution tax
Slide 40: Awards & Recognitions
Awards & Recognitions 40/6 4040/43 / 46 Minda Industries Ltd won the “Most Promising Company of the Mr. N K Minda conferred with EY Entrepreneur of the Year”at the Indian Business Leader Awards Year for the year 2018 ( Manufacturing Category)
Slide 41: Awards & Recognitions
Awards & Recognitions 41/6 4141/43 / 46 CERTIFICATIONS RECENT AWARDS: 2018-19 “Special Support “Delivery Management Award” “Supplier Business M J Casting Ltd. Capability Award” “Comprehensive Award” “ Best QCDDM Performance” Excellence” – UNO MIL – Switch Division Roki Minda Co. Pvt. Ltd. MIL – Ligh
Slide 42: MIL Holding Structure
MILHolding Structure 42/6 4242/43 / 46 MIL'S SUBSIDIARIES, JOINT VENTURES AND ASSOCIATES DOMESTIC SUBSIDIARIES OVERSEAS SUBSIDIARIES JOINT VENTURES & ASSOCIATES MKL (68%) Sam Global (100%) METL (49%) MJ Casting (100%) MIVCL (100%) Riduco (50%) (via LSTC) MACL (100%) PTMA (100%) ROKI (49%) PTMT (100%
Slide 43: Contact Us
Contact Us 43/6 4343/43 / 46 For further information, please contact: Company : Investor Relations Advisors : Minda Industries Ltd. Strategic Growth Advisors Pvt. Ltd. CIN : L74899DL1992PLC050333 CIN : U74140MH2010PTC204285 Mr. Tripurari Kumar Mr. Jigar Kavaiya GM Finance +91 99206 02034 tripurarik@