Butterfly Gandhimathi Appliances Limited · NSE:BUTTERFLY
Butterfly Gandhimathi Appliances — Q2 FY21 Earnings Presentation
33 slides from Butterfly Gandhimathi Appliances's earnings presentation, Nov 5, 2020
Slide 1: Cover letter to stock exchanges
BUTTERFLY GANDHIMATHI APPLIANCES LIMITED November 5, 2020 General Manager — DCS, Manager, Dept. of Corporate Services, National Stock Exchange of India Ltd BSE Ltd, Exchange Plaza, Floor I, P.J. Towers, BandraKurla Complex, Dalal Street, Bandra (E), Mumbai — 400 001 Mumbai — 400 051 Scrip: 517421 Sc
Slide 2: Q2 & H1 FY21 Results Presentation
(www.butterflyindia.com) Butterfly Gandhimathi Appliances Limited Q2 & H1 FY21 Results Presentation
Slide 3: Safe Harbour
Safe Harbour Certain statements in this presentation concerning our future growth prospects are forward looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertaintie
Slide 4: Company At A Glance
Company At A Glance #1 19% In the top 3 In India for SS LPG Stoves & Table Top Wet Revenue CAGR In India for Domestic Kitchen Appliances Grinders FY17-20 Now present in all 29 679 Crore 500+ States in India Sales of Branded Products in FY20 Exclusive Distributors across India 45.8 Crore 4% 23% Net D
Slide 5: Agenda
01 Quarter Highlights 02 Company Overview Agenda 03 Historical Financial Overview 04 Outlook © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Slide 6: Quarter Highlights
QUARTER HIGHLIGHTS © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Slide 7: Q2 FY21 – Performance Highlights
Q2 FY21 – Performance Highlights Total Income (Net) (Rs. crore) EBITDA (Rs. crore) PBT (Rs. crore) PAT (Rs. crore) 288.8 34.7 26.4 17.2 21.4 241.4 12.4 8.4 Q2FY20 Q2FY21 Q2FY20 Q2FY21 Q2FY20 Q2FY21 Q2FY20 Q2FY21 ▪ Total Income (Net) during Q2 FY21 stood at Rs. 288.8 crore, as against Rs. 241.4 crore
Slide 8: Q2 - Abridged Profit & Loss Statement
Q2 - Abridged Profit & Loss Statement Particulars (Rs. crore) Q2FY20 Q2FY21 Total Net Revenues (Incl. OI) 241.8 289.2 The Branded revenue grew - Branded Net Revenues 241.4 288.8 by 19.6%, across all channels except Modern - Other Income 0.3 0.4 Trade and Gas Dealer Material Cost 145.2 166.8 Channels
Slide 9: Branded Sales
Branded Sales YoY Particulars (Rs. crore) Q2FY20 Q2FY21 Growth Kitchen Appliances 189.6 221.5 16.8% Cooker/Cookware 42.9 51.8 20.6% Others 8.8 15.5 76.3% Total 241.4 288.8 19.6% ▪ The Company has grown across all the product categories. © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserve
Slide 10: Balance Sheet Trends
Balance Sheet Trends Particulars (Rs. crores) Sep-17 Sep-18 Sep-19 Sep-20 ASSETS Non-Current Assets 177.1 171.1 172.5 173.2 Property, Plant and Equipment 122.6 123.8 132.2 130.4 Capital Work-in-Progress 3.4 2.7 1.5 2.4 Other Intangible Assets 43.1 40.2 37.3 34.1 Financial Assets 2.5 4.4 1.4 1.6 Othe
Slide 11: Balance Sheet Trends
Balance Sheet Trends Particulars (Rs. crores) Sep-17 Sep-18 Sep-19 Sep-20 EQUITY & LIABLITIES Shareholders’ Funds 181.9 187.8 199.6 200.9 Non-current Liabilities (NCL) 68.1 41.9 37.3 36.8 Long-term Borrowings 64.9 39.2 34.5 33.3 The short-term borrowing Other NCL 3.2 2.8 2.8 3.5 has come down substa
Slide 12: H1 - Abridged Profit & Loss Statement
H1 - Abridged Profit & Loss Statement Particulars (Rs. crore) H1FY20 H1FY21 Total Net Revenues (Incl. OI) 394.0 366.1 - Branded Net Revenues 393.5 365.5 - Other Income 0.4 0.6 Material Cost 233.9 210.7 - Cost of Materials Consumed 170.7 122.9 - Purchases of Stock-in-Trade 61.8 50.7 - Changes in Inve
Slide 13: Reduction in Debt and Interest Cost
Reduction in Debt and Interest Cost Gradual decline in Debt (Rs crore) FY18 FY19 FY20 Q2FY20 Q2FY21 Short Term 145 104 127 136 24 Long Term** 63 50 43 45 51 ▪ Debt decreased drastically due to lower working capital days. Interest Cost has reduced significantly ▪ Interest cost reduced due to Channel
Slide 14: Significant Improvement in Debtors Days
Significant Improvement in Debtors Days Debtors Days Debtors Days* 102 77 88 84 60 63 61 63 FY17 FY18 FY19 FY20 H1FY18 H1FY19 H1FY20 H1FY21 ▪ Relentless focus on improving debtors days have now started yielding results ➢ Currently stands at 63 days in H1FY21 vs 102 days in H1FY20 ▪ Measures driving
Slide 15: Optimizing Working Capital Management
Optimizing Working Capital Management Working Capital Days ▪ Net working capital days has come down considerably in last 3 years from 123 days in FY18 to 46 days in H1FY21 123 94 98 ➢ Debtors days (explained in slide 14) 87 ➢ Inventory days 46 • Real Time tracking of inventory has helped the Company
Slide 16: New Model Launches
New Model Launches Duo Plus 2B SS Frame Trio Plus 3B SS Frame Bloom 2.0 TTG Flora 2.0 TTG Blossom 2.0 TTG Choppers Premium Vegetable Premium Vegetable Chopper 600 Chopper 900 Reflection Plus ▪ 60CM & 90CM ▪ Motion sensor Desire Plus ▪ 60CM & 90CM ▪ SS oil collector ▪ Suction power: 1200 m3/h ▪ Heat
Slide 17: Company Overview
COMPANY OVERVIEW © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Slide 18: Butterfly Gandhimathi Appliances Limited
Butterfly Gandhimathi Appliances Limited ▪ Established in 1986 by late Shri V. Murugesa Chettiar, the Company is one of the leading manufacturer of Kitchen and Electrical Appliances in the country ▪ The Company sells its products branded as “Butterfly” across the country through distributors, direct
Slide 19: Revenue Profile
Revenue Profile Annual Net Revenue* (Rs. crore) 901 730 764 652 679 590 433 303 529 541 332 261 84 402 652 679 541 461 445 468 398 402 329 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Branded Sales Govt Order *Further break down of branded sales is given in next slide © 2020 Butterfly Gandhimathi Ap
Slide 20: Branded Retail Sales
Branded Retail Sales Branded Sales through Retail channel (Rs. crore) Branded Sales through Gas dealer channel (Rs. crore) 14.5% ~90% of Total Sales CAGR 609 123 131 Free distribution of product in Tamil Nadu led to moderate 118 125 growth during FY13 to FY16 527 107 92 101 440 354 353 350 331 71 70
Slide 21: Milestone
Milestone ▪ Bagged the TNCSC order for the 4th ▪ Year of Incorporation ▪ Awarded patent for 3 conical ▪ First in India to receive “GREEN consecutive year – latest order amounting to ▪ Imported machinery to set up stone Table Top Wet Grinder LABEL‟ Certification for high thermal Rs. 510 crore for man
Slide 22: State of the Art Manufacturing Capability
State of the Art Manufacturing Capability The Company has 1 state of the art R&D facility, with in- Manufactures the following 5 products: house design studio with a dedicated team of 15 people 1. LPG Stoves ▪ Entire function operated on SAP environment ( All modules). 2. Mixer Grinders ▪ Product wi
Slide 23: Strong R&D Capabilities
Strong R&D Capabilities R&D focused Company with a demonstrated track record in innovation • To introduce Stainless Steel Pressure Cookers in India 1 st • To manufacture Stainless Steel LPG Stoves in India • To introduce Stainless Steel Vacuum Flasks in India which deliver enhanced heat retention up
Slide 24: Augmenting Organic Growth
Augmenting Organic Growth Increased Product Categories For Wider Product Portfolio And Higher Market Share Product Categories (Nos.) SKUs (Nos.) 651 687 702 20+ 20+ 20+ 20+ 20+ 20+ 20+ 619 552 554 500 320 6 6 6 250 250 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2011 2012 2013 2014 2015 2016 2
Slide 25: Historical Financial Overview
HISTORICAL FINANCIAL OVERVIEW © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Slide 26: Key Financials
Key Financials Revenue from Operations (Rs. crore) EBITDA (Rs. crore) Profit After Tax (Rs. crore) 48 41 652 679 36 5 9 4 541 402 -24 -56 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 EPS (Rs.) Net Debt - Equity Ratio Net Worth (Rs. crore) 3.0 5.0 193 1.8 1.2 189 0.9 0.8 180 0.5 175 -3
Slide 27: Historical Profit & Loss
Historical Profit & Loss Particulars (Rs. crore) FY17 FY18 FY19 FY20 Company lost Rs. 40 Total Net Revenues (Incl. OI) 407 542 654 680 crores sales due to - Branded Net Revenues 405 541 652 679 Covid-19 - Government Net Revenues - - - - - Other Income 2 2 2 2 Branded Net Revenue Material Cost 247 31
Slide 28: Balance Sheet Trends
Balance Sheet Trends Particulars (Rs. crore) FY17 FY18 FY19 FY20 ASSETS Non-Current Assets 178 172 176 179 Current Assets 241 296 287 313 Inventories 109 125 142 170 Trade Receivables- TNCSC/PCWS 22 17 4 4 Trade Receivables-Branded 66 113 113 113 Cash & cash equivalents 31 23 10 4 Others 12 18 18 21
Slide 29: Balance Sheet Trends
Balance Sheet Trends Particulars (Rs. crore) FY17 FY18 FY19 FY20 EQUITY & LIABLITIES Shareholders’ Funds 175 180 189 193 Non-current Liabilities (NCL) 63 46 42 36 Long-term Borrowings 63 46 39 32 Other NCL - - 3 3 Current Liabilities (CL) 181 242 232 264 Short-term Borrowings 84 145 104 127 Trade Pa
Slide 30: Outlook
OUTLOOK © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Slide 31: Outlook
Outlook FY21 ▪ Earlier guidance of achieving 85 to 90% of revenue of FY20 in FY21 is now revised upwards ▪ Expected to grow revenue min. 10% in FY21 vs FY20 Medium term ▪ Revenue: Greater than Rs. 1,000 crore in 24 to 36 months ▪ EBITDA margins: Greater than 10% in 24 to 36 months ▪ Net debt / EBITD
Slide 32: Commercials
Commercials ▪ Butterfly Opal Mixer Grinder Diwali Film 35Sec With Offer Tamil HD ▪ Butterfly Matchless Mixer Grinder Malayalam ▪ Butterfly Standard Plus Pressure Cooker Tamil ▪ Butterfly Blue Flame Malayalam ▪ Butterfly Reflections Stove Tamil ▪ Butterfly Power Hob Malayalam ▪ Butterfly Matchless Ta
Slide 33: Thank You
Thank You Mayuresan VMG Vice President – Finance & Strategy Butterfly Gandhimathi Appliances Limited Email: vmgm@butterflyindia.com © 2020 Butterfly Gandhimathi Appliances Ltd, All Rights Reserved.
Butterfly Gandhimathi Appliances — Q2 FY21 Earnings Presentation on 6ix