Slide 1: Q3 FY20 – Investor Presentation
An Group Company Q3 FY20 – Investor Presentation | 22nd January, 2020
Slide 2: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,
Slide 3: Table of Contents
Table of Contents Section 1: RPG Group Overview 5-6 Section 2: Business Overview 8-17 Section 3: Operational & Financial Overview 19-26
Slide 4: Section 1: RPG Group Overview
Section 1: RPG Group Overview
Slide 5: RPG Group: Powered by Passion, Driven by Ethics
RPG Group: Powered by Passion, Driven by Ethics RPG Enterprises was founded in 1979. The group currently operates in various UNLEASHTALENT industries - Infrastructure, Technology, Life Sciences, Plantations and Tyre Manufacturing. The group has a history of business dating back to 1820 AD in TOUCHLI
Slide 6: RPG Group: Key Financials
RPG Group: Key Financials FY15-19 FY15-19 CAGR: Gross Total Income (Rs Cr.) EBITDA PAT CAGR: 5.6% EBITDA 9.8% PAT 10.4% 2,423 23,833 2,218 21,766 2,014 2,045 19,183 19,271 20,052 1,668 1,031 1,099 879 980 739 FY15 FY16 FY17 FY18 FY19 FY15 FY16 FY17 FY18 FY19 Net Worth ROE ROCE Market Cap 9,000.00 40
Slide 7: Section 2: Business Overview
Section Section2:4:Business BusinessOverview Overview
Slide 8: Board of Directors
Board of Directors Harsh Vardhan Goenka Anant Goenka Arnab Banerjee Atul C. Choksey Chairman, Non Executive Director Managing Director COO and Whole Time Director Non Executive Independent Director Pierre E. Cohade Haigreve Khaitan Mahesh S. Gupta Paras K. Chowdhary Non Executive Non Executive Non E
Slide 9: Leadership Team
Leadership Team Anant Goenka Kumar Subbiah Arnab Banerjee Milind Apte Senior Vice President Managing Director Chief Financial Officer Chief Operating Officer – Human Resources Tom Thomas Dilip Modak Vijay Gambhire Peter Becker Executive Director – Projects & Senior Vice President Managing Director –
Slide 10: Overview
Overview India’s leading tyre company with over 50 yrs of presence Distribution Network : 4,500+ dealers, 500+ exclusive CEAT franchisees 6 Manufacturing facilities - Bhandup, Nasik, Halol, Nagpur, Ambernath & Sri Lanka 100+ countries where products are sold with strong brand recall #No 1 player in
Slide 11: Strategy
Strategy Differentiated Product OEM Relationships Strong Brand World Class R&D Extensive Distribution Global Reach 11
Slide 12: Differentiated Products
1 Differentiated Products New Entries and Supplier to OEM’s Key developments ▪ Focus on OEM, recent entries in new models – Royal Enfield Classic 350 (BSVI) and Himalayan, Honda Activa (BSVI), Honda CB Shine SP (BSVI), Hero MotoCorp Splendor iSmart (BSVI), Hero MotoCorp HF Deluxe (BSVI), Hero Dare 1
Slide 13: Strong Brand
2 Strong Brand CEAT Ltd launched range of tyres at Tubeless GRIPP XL Zoom X3 & Zoom X3 F Tubeless India Bike Week 2019 Superior Grip for all-terrain Superior control at High Speeds CEAT is associate sponsor of Dadagiri Season 8 CEAT is associate sponsor of Big Boss Tamil 13
Slide 14: Extensive Distribution
3 Extensive Distribution CEAT Shoppe Shop in Shop (SIS) Multi Brand Outlet CEAT Bike Shoppe CEAT District Coverage 4500+ 280+ 612 Dealers 2W Distributors 464 212 500+ 400+ CEAT Franchisees MBO / SIS FY12 FY15 FY19 14
Slide 15: Deep OEM Partnerships
4 Deep OEM Partnerships TATA Motors Ashok Leyland VECV Escorts AMW TAFE Mahindra Daimler Eicher SML Isuzu JBM Group Maruti Suzuki TATA Motors Mahindra Renault Hyundai KIA Force Motors Datsun Skoda Peugeot Volkswagen Morris Garage Honda Royal Enfield Bajaj Yamaha Suzuki Hero Hero Electric Piaggio LML
Slide 16: World Class R&D
5 World Class R&D State-of-the-Art R&D Center, Halol R&D Office, Germany ▪ Significant investment on tyre testing infrastructure like Anechoic Chamber, Flat Track Test Machine ▪ Focus on upcoming technologies like Electric Vehicle, Sustainability and Smart Tyres 16
Slide 17: Expanding Global Reach
6 Expanding Global Reach Key Export Clusters Emerging markets ▪ Exports to 90+ Countries in 7 Europe Cluster clusters US Cluster ▪ Sri Lanka: Manufacturing facility and Leadership position Middle East in the market and with 50+% Cluster market share Far East 1 Cluster Far East 2 Cluster ▪ Focused pr
Slide 18: Section 3: Operational & Financial Overview
Section Section3:5:Operational Operational&&Financial Financial Overview Overview
Slide 19: Q3 FY20 Operational Highlights
Q3 FY20 Operational Highlights Improving Customer Experience OEM Model Entry Won the CII Award of Digital Transformation for the e-Claims initiative BS VI Compliant BS VI compliant Honda Activa Hero Splendour iSmart M&M Jawa ‘Perak’ Hero MotoCorp Duet E 19
Slide 20: Consolidated: Q3 FY20 Financial Highlights
Consolidated: Q3 FY20 Financial Highlights Q3 FY20 v/s Q2 FY20 (Q-o-Q) Q3 FY20 v/s Q3 FY19 (Y-o-Y) ▪ Net revenue from operations grew by 4.2% at INR 1,762 ▪ Net revenue from operations grew by 1.8% at INR 1,762 Crs from INR 1,692 Crs Crs from INR 1,730 Crs ▪ Gross margin expanded to 43.0% from 41.1%
Slide 21: Consolidated: Financial Trends – Revenue growth
Consolidated: Financial Trends Revenue growth 6,985 6,283 5,508 5,705 5,447 5,722 5,205 Net Sales (Rs Cr) FY 14 FY15 FY16 FY17 FY18 FY19 YTD Dec'19 14.9% 11.9% 11.9% 809 12.0% 9.5% 10.2% 10.3% Margin trends 680 685 EBITDA (Rs Cr) 658 638 663 535 EBITDA to Net Sales % FY 14 FY15 FY16 FY17 FY18 FY19 Y
Slide 22: Consolidated: Financial Trends – PAT trends
Consolidated: Financial Trends 500 8.0% 9.0 % 450 8.0 % 400 6.3% 7.0 % 350 5.6% 4.9% 6.0 % PAT (Rs Cr) 3.6% 300 PAT trends 3.7% 5.0 % 250 3.4% 200 438 4.0 % 317 361 3.0 % PAT to Net Sales% 271 150 233 251 2.0 % 178 100 1.0 % 50 - 0.0 % FY 14 FY15 FY16 FY17 FY18 FY19 YTD Dec'19 Notes FY16 onwards the
Slide 23: Consolidated: Q3 FY20 Financials
Consolidated: Q3 FY20 Financials All figures in INR Cr Parameter Q3 FY19 Q2 FY20 Q3 FY20 QoQ YoY YTD Dec'18 YTD Dec'19 YoY Net Revenue from operations 1,730 1,692 1,762 4.2% 1.8% 5,224 5,205 -0.4% Raw Material 1,013 996 1,005 0.9% -0.8% 3,113 3,060 -1.7% Gross margin 717 696 757 8.8% 5.6% 2,112 2,14
Slide 24: Consolidated: Leverage / coverage Profile
Consolidated: Leverage / coverage Profile Total Debt (INR Cr) 775 663 924 872 1498 1890 200 0 180 0 160 0 1506 LT Debt (Rs Cr) Debt breakup 140 0 1274 120 0 100 0 ST Debt (Rs Cr) 630 0.65 866 800 0.46 676 0.54 600 503 0.38 0.32 0.33 400 D/E 200 272 34 58 224 384 0 196 FY 15 FY 16 FY 17 FY18 FY19 Dec
Slide 25: Standalone: Q3 FY20 Financials
Standalone: Q3 FY20 Financials All figures in INR Cr Parameter Q3 FY19 Q2 FY20 Q3 FY20 QoQ YoY YTD Dec'18 YTD Dec'19 YoY Net Revenue from operations 1,689 1,645 1,709 3.8% 1.2% 5,114 5,057 -1.1% Raw Material 1,002 976 981 0.6% -2.0% 3,087 3,004 -2.7% Gross margin 687 670 727 8.6% 5.8% 2,026 2,053 1.
Slide 26: Equity Shareholding & Price trends
Equity Shareholding & Price trends Share Price (INR) Total Volume 1,400 3,000,000 1,200 2,500,000 1,000 2,000,000 800 1,500,000 600 1,000,000 400 200 500,000 - - Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Source : Capitaline. The above data is updated till 31
Slide 27: 800006
800006 000