Menon Bearings Limited · NSE:MENONBE
Menon Bearings — Q4 FY2023 Earnings Presentation
35 slides from Menon Bearings's earnings presentation, Apr 29, 2023
Slide 1: Exchange filing cover letter
29th April, 2023 To, To, The Manager (CRD) The Manager – Listing Department BSE Limited, National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Street, Fort Bandra (East), Mumbai – 400001 Mumbai – 400051 Scrip Code: 523828 Symbol: MENONBE Dear S
Slide 2: Menon Bearings Limited Investor Presentation – April 2023
Menon Bearings Limited Investor Presentation – April 2023
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Menon Bearings Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secur
Slide 4: Financial & Operational Performance Q4 & FY23
Financial & Operational Performance Q4 & FY23
Slide 5: Update on Capex in Product Diversification – Brakes
Update on Capex in Product Diversification – Brakes Diversification of product portfolio by starting manufacturing of new production line in auto component segment i.e., eco-antifriction (asbestos free) materials to begin with products like brake lining, brake shoes etc. Key Highlights of the Invest
Slide 6: Key Financial Highlights – Q4 & FY23
Key Financial Highlights – Q4 & FY23 Revenue (Rs. in Crs) EBIDTA (Rs. in Crs) PAT (Rs. in Crs) +11% +26% +33% 216.94 50.41 32.60 195.40 40.08 24.53 +4% +25% +35% 51.61 53.87 13.72 9.18 10.97 6.78 Q4FY22 Q4FY23 FY22 FY23 Q4FY22 Q4FY23 FY22 FY23 Q4FY22 Q4FY23 FY22 FY23 Gross Profit Margin (%) EBIDTA M
Slide 7: Product-Wise Highlights – Q4 & FY23
Product-Wise Highlights – Q4 & FY23 Bimetal (Rs. in Crs) Alkop – Aluminum (Rs. in Crs) Total Revenue* (Rs. in Crs) 5.8% 28.6% 11.0% 159.57 57.37 216.94 150.78 195.40 44.61 3.9% 5.9% 4.4% 38.40 39.89 13.21 13.98 51.61 53.87 Q4FY22 Q4FY23 FY22 FY23 Q4FY22 Q4FY23 FY22 FY23 Q4FY22 Q4FY23 FY22 FY23 Bimet
Slide 8: Revenue Break up – Product Wise
Revenue Break up – Product Wise Bimetal (Rs. in Crs) Alkop - Aluminum (Rs. in Crs) Total* (Rs. in Crs) +6% +29% +11% 150.78 159.57 57.37 216.94 195.40 44.61 97.59 113.75 37.98 151.72 16.6% 23.3% 128.38 18.2% 30.79 53.20 (-13.9%) 45.83 13.82 40.3% 19.39 67.02 (-2.7%) 65.22 FY22 FY23 FY22 FY23 FY22 FY
Slide 9: A message from the Chairman
A message from the Chairman Commenting on the Q4 & FY23 performance of the company Mr. Nitin Menon, Executive Chairman for Menon Bearings Limited said, “Our company has delivered strong results for the quarter and financial year ending 31st March 2023 with growth in revenues & margins being encourag
Slide 10: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Profit and Loss (Rs. in Crs) Q4FY23 Q4FY22 Y-o-Y FY23 FY22 Y-o-Y Revenue from Operations 53.87 51.61 4.4% 216.94 195.40 11.0% Operating Expenses 28.77 30.80 122.85 116.22 Gross Profit 25.09 20.80 20.6% 94.09 79.17 18.8% Gross Profit Margin 46.6% 40.3% 627 bps 43.
Slide 11: Historical Financial & Operational Performance
Historical Financial & Operational Performance
Slide 12: Revenue Break up – Product Wise
Revenue Break up – Product Wise Bimetal (Rs. in Crs) Alkop – Aluminum (Rs. in Crs) Total (Rs. in Crs) +21% +21% 159.57 +23% 57.37 216.94 150.78 195.40 44.61 109.89 37.98 147.87 FY21 FY22 FY23 FY21 FY22 FY23 FY21 FY22 FY23 FY21 FY22 FY23 Bearings Alkop - Aluminum 26% 23% 27% 74% 77% 73% Menon Bearing
Slide 13: Revenue Break up – Geography Wise
Revenue Break up – Geography Wise Bimetal (Rs. in Crs) Alkop – Aluminum (Rs. in Crs) Total (Rs. in Crs) 150.78 159.57 57.37 216.94 195.40 44.61 109.89 37.98 147.87 97.59 113.75 37.98 151.72 128.38 72.98 23.38 30.79 95.69 36.91 53.20 45.83 14.60 13.82 19.39 52.18 67.02 65.22 FY21 FY22 FY23 FY21 FY22
Slide 14: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Profit and Loss (in ₹ Crs) FY23 FY22 FY21 Revenue from Operations 216.94 195.40 147.87 Operating expenses 122.85 116.22 79.42 Gross Profit 94.09 79.17 68.45 Gross Profit Margin 43.4% 40.5% 46.3% Employee Cost 32.10 28.81 25.18 Other Expenses 11.58 10.28 10.38 EBI
Slide 15: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (in ₹ Crs) Mar-23 Mar-22 Equity & Liabilities (in ₹ Crs) Mar-23 Mar-22 Non - Current Assets 87.23 79.78 Total Equity 133.32 111.98 Property Plant & Equipment's 76.45 78.71 Share Capital 5.60 5.60 Capital Work in Progress 8.30 0.00 Reserves & Surplus 127.72 106.38 In
Slide 16: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Particulars (in ₹ Crs) FY23 FY22 Net Profit after Tax 32.54 24.47 Adjustments for: Non -Cash Items / Other Investment or Financial Items 9.66 9.68 Operating profit before working capital changes 42.20 34.16 Changes in working capital 7.89 -9.94 Net Cash from Operatin
Slide 17: About Menon Bearings
About Menon Bearings
Slide 18: About Menon Bearings
About Menon Bearings India’s Leading Bearing Manufacturer with Zero PPM Defects Introducing a New Product Line : Bi-Metal Products Alkop Brakes 3 Plants in Kolhapur • Bearings Aluminum Die-Cast Asbestos-Free • Brake Lining 1 Office & Warehouse in Indianapolis, USA 4 • Bushes Products • Brake Shoes •
Slide 19: State of the Art Manufacturing Facilities
State of the Art Manufacturing Facilities In-House Design & Among the few companies to have Development Facilities Strategically located manufacturing Warehouse & an Office in facilities to produce next generation facilities in Kolhapur, Maharashtra, Indianapolis, USA. parts through lead-free materi
Slide 20: Diversified Products: Bi-Metal Products
Diversified Products: Bi-Metal Products Bearings Bushes Thrust Washers • Bearings for Connecting Rods • Truncated Bushes for Connecting Rods • Washers with Thrust Face Contours • Ball Indented Bushes • Bearings for Crank shafts • Ring Type Thrust Washers • Bushes for Connecting Rods • Flanged Bearin
Slide 21: Diversified Products: Aluminum Die-Cast
Diversified Products: Aluminum Die-Cast Aluminum Products with wide range of applications Up to 4.5 Kgs./Piece High Pressure Aluminum Die Cast & Machined Component Up to 15 Kgs./Piece Gravity/ Tilt Gravity Aluminum Die Cast & Machined Components Applications Engines Compressors 2W/3W Oil & Gas Pumps
Slide 22: Diversified Products: Brakes
Diversified Products: Brakes New Product Line in eco-antifriction (asbestos free) materials and products like Brake Lining, Brake Shoes • Eco-friendly brake friction materials are formulated without copper, lead, tin, antimony trisulfide to minimize their potential negative environmental impacts. •
Slide 23: Current Capacities & Capex Plan
Current Capacities & Capex Plan Bi-Metals Capacity (in lakhs) Alkop Capacity (in MT) +7% 0% 486.00 1,440.00 1,440.00 456.00 Planned a capex of ₹ 30 Cr till FY25 on Plant & Machinery of which FY22 FY23 FY22 FY23 40% 60% for Bi-Metal Division to cater to be allocated to higher 70% 68% 70% 70% to incre
Slide 24: In-House Engineering & Development
In-House Engineering & Development In house Machine In-House Tool Room Building Capability for faster Development 21 BFC Machines 200+ Special Purpose (16 - 400 MT Capacity) Machines Dedicated team of Experienced Engineers having Engineering Department to Design SPM, Tooling, In-house Tool Room cons
Slide 25: Quality Assurance
Quality Assurance Online & Quality at MBL is an online & continuous activity integrating people, communication, process Continuous Activity controls, designing, engineering, production & inspection departments Co-ordinate Measuring Comprehensive & Begins with an attitude we inculcate via comprehensi
Slide 26: Diversified Industry Application with growing Exports
Diversified Industry Application with growing Exports Revenue from Exports (Rs. in Crs) Exporting to24+ Countries & +12% plans to reach Africa & Latin America through large distributor network 67.0 65.2 Our office & warehouse in Indianapolis, USA has been helping to 52.2 serve customers in & around
Slide 27: Formidable Reach & Brand Equity in the After-Market
Formidable Reach & Brand Equity in the After-Market Products present at Retail field relationships build & 10,000+ nurtured for retail outlets across India over 2 decades Robust network of 1,000 dealers & distributors Strong marketing team of 40 executives across India trained to provide technical O
Slide 28: Diversified Marquee Clientele across Industries
Diversified Marquee Clientele across Industries Industry diversified revenue thereby reducing dependency on any Industry Engine & Commercial Vehicle (HCVs & LCVs) Tractors Electrical & Industrial Applications Exports No single customer contributes more than 10-12% of business The Brand Names mention
Slide 29: Customer Recognitions, Awards & Accolades
Customer Recognitions, Awards & Accolades Menon Bearings Limited 28
Slide 30: CSR & ESG Initiatives
CSR & ESG Initiatives Constructed an Auditorium at Gokul Shirgaon MIDC For promoting education & employment and enhancing vocational skills among children, working C professionals & women Financial Assistance provided S For promotion of rural sports & development of traditional arts & crafts For COV
Slide 31: Industry Growth Drivers
Industry Growth Drivers Inclement factors driving • Uptrend in per-capita income and breach of $2,450 level by FY23 will trigger auto demand demand and providing • Middle class segment to constitute ~62% of India’s population by FY25 and drive consumption growth tailwinds • India cementing its posit
Slide 32: EV Shift – Far from a Risk
EV SHIFT – FAR FROM A RISK Catering to HCV & Industrial Industries & Applications We cater to heavy segments like Mines, Tractors, LCV/HCV etc. which are less challenged from the EV Segment which will have low impact from change in shift to Electric Vehicles Long standing Relationship We enjoy stron
Slide 33: Experienced Board of Directors
Experienced Board of Directors Nitin Menon R. D. Dixit Arun Aradhye Executive Chairman Managing Director Whole Time Director & CFO Mr. Nitin Menon is an industrialist and Mr. Dixit has worked with the Menon Mr. Aradhye is associated with the has rich and varied experience in Group for more than 54 y
Slide 34: Key Takeaways
Key Takeaways Higher gestation in product approval cycle among suppliers due to technical nature of the products High Entry Land parcel available for future growth Barrier expansion in newer products segments to capture market growth No Capacity We build our own Tools and In-house Constraint Machine
Slide 35: Thank You
Menon Bearings Limited CIN: L29130PN1991PLC062352 Mr. Arun Aradhye - Whole Time Director & CFO admin@menonbearings.in Thank You Strategic Growth Advisors Private Limited CIN: U74140MH2010PTC204285 Mr. Sagar Shroff / Mr. Vatsal Shah sagar.shroff@sgapl.net / vatsal.shah@sgapl.net +91 98205 19303 / +91