Setco Automotive Limited · NSE:SETCO
Setco Automotive — Q2 FY2019 Earnings Presentation
18 slides from Setco Automotive's earnings presentation, Oct 23, 2018
Slide 1: Setco Automotive exchange filing cover letter: Q2 FY-19 Results
CERTIFIED TS 16949/1S0 14001 EMS OHSAS 18001 6) SETCO CINNo. -L359996J1982PLC005203 AUTOMOTIVE TOF LIPE October 23, 2018 To, BSE Limited, National Stock Exchange of India Ltd, Dept. of Corporate Services, Listing Department Phiroze Jeejeebhoy Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Stree
Slide 2: Results Q2 FY19
Results Q2 FY19 Setco Automotive Limited EFFICIENT ENGINEERING Conference Call 4:00PM October 24, 2018 - Mumbai EFFICIENT ENGINEERING 10/23/2018 Setco Automotive Q2FY19 1
Slide 3: Disclaimer
Disclaimer NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES This presentation has been prepared by Setco Automotive Limited (the “Company”) solely for information purposes without regard to any specific objectives, financial situations or informational needs
Slide 4: Agenda
Agenda 1 Financial Results Q2FY19 & H1FY19 2 Business Overview 3 Outlook 10/23/2018 Setco Automotive Q2FY19 3
Slide 5: Robust H1 results – On track to achieve targets for FY19
1 Financial Results Q2FY19 Robust H1 results – On track to achieve targets for FY19 Standalone H1FY18 H1FY19 Key Aspects In INR Cr 1 Sales has increased >50% in H1FY19 vs H1FY18 Sales 203.31 305.83 EBITDA • In H1FY19 has jumped ~3x as compared to H1FY18 EBITDA 15.37 44.44 2 • H1FY19 performance, des
Slide 6: Key Figures Q2FY19 - Standalone
1 Financial Results Q1FY19 Key Figures Q2FY19 - Standalone In INR crores H1FY18 H1FY19 H1FY19 Q2FY18 Q1FY19 Q2FY19 Q2FY19 Q2FY19 vs. H1FY18 vs. Q1FY19 vs. Q2FY18 Sales 203.31 305.83 50.4% 134.65 137.33 168.50 22.7% 25.1% EBITDA 15.37 44.44 189.1% 18.78 20.67 23.77 15.0% 26.6% EBITDA % 7.6 14.5 - 13.
Slide 7: Strong profitable growth in Q2: Sales Growth Q2FY19 ~25%
1 Financial Results Q2FY19 Strong profitable growth in Q2: Sales Growth Q2FY19 ~25% Sales Sales In INR Crs In INR Crs 175.80 168.50 321.45 305.83 145.65 137.33 134.65 203.31 68.66 Q1 Q2 Q3 Q4 Q1 Q2 H1 H2 H1 FY18 FY19 FY18 FY19 1) H1FY19 revenue is almost at same level as H1FY18 10/23/2018 Setco Auto
Slide 8: EBITDA margin in Q2FY19 higher than Q2FY18
1 Financial Results Q2FY19 EBITDA margin in Q2FY19 higher than Q2FY18 EBITDA Key aspects In INR Crs EBITDA margin of 14.1% in Q2FY19 vs 13.9% in Q2FY18; Despite expiry of Uttarakhand exemption benefit (impact 28.86 ~200bps, INR 3crs) 23.77 21.78 20.67 EBITDA margin of 14.1% in Q2FY19 vs 15.1% in
Slide 9: Operating PBT H1FY19 -56.3% above prior year
1 Financial Results Q2FY19 Operating PBT H1FY19 -56.3% above prior year Operating PBT Operating PBT In INR Crs In INR Crs 16.72 11.11 26.09 9.37 7.11 7.27 18.38 Q1 Q2 Q3 Q4 Q1 Q2 H1 H2 H1 (15.21) (8.10) FY18 FY19 FY18 FY19 10/23/2018 Setco Automotive Q2FY19 8
Slide 10: Profit After Tax
1 Financial Results Q2FY19 Profit After Tax Key aspects PAT H1FY19 PAT at INR 16.98 crs against INR 1.87 crs in the In INR Crs corresponding period last year Q2FY19 PAT of INR 8.80 crs against INR 13.76 crs of Q2FY18 • Higher one time, non operating Other Income in Q2FY18 15.66 of INR 4.53 crs 1
Slide 11: Management Message
2 Business Overview Management Message Strong economic fundamentals continue to drive M&HCV segment growth. This growth trend is seen for the last 5 quarters in a row and the growth cycle is expected to continue for the foreseeable future driven by Government’s thrust in rural sector and investment
Slide 12: The Setco Advantage
2 Business Overview The Setco Advantage Market Advantage Manufacturing Advantage Technology Advantage Strong relations built over last 15 years with 4 manufacturing facilities - 2 India| 2 R&D centre at India and UK are poised to various OEM players. International play a key role in national a
Slide 13: Growth Strategy
2 Business Overview Customer focus and growth Growth Strategy OEM Business Aftermarket International Business Lava Cast Turnaround 1 2 3 4 Cost Optimization Enhance productivity and asset Build culture of innovation Continuous improvement in Win together with all our utilization & performance Workin
Slide 14: OEM Business
2 Business Overview OEM Business 1 MHCV Industry Production Company’s OEM sales grew by ~65% in H1FY19 compared to MHCV industry production growth of In ‘000 ~57% . 2 125 Development on BSVI migration from April 2020 on 114 111 99 track and in line with different customers 88 55 3 All key drivers to
Slide 15: Aftermarket and International Subsidiaries performance & outlook
2 Business Overview Aftermarket and International Subsidiaries performance & outlook Aftermarket International Subsidiaries 1 1 Post GST visible shift to organized sector manifesting more The growth improvement noticed in last 4 quarters is strongly with each passing quarter. After market sales expe
Slide 16: Subsidiary performance & outlook – Lava Cast Private Limited
2 Business Overview Subsidiary performance & outlook – Lava Cast Private Limited 1 Continuous ramp-up in capacity utilization with ~60% utilization in Q2FY19 2 Supply to external customers such as TATA Motors, Ashok Leyland and others has commenced. Also received approval from Daimler for supply of
Slide 17: Guidance – On track to achieve FY19 targets
3 Outlook Guidance – On track to achieve FY19 targets Guidance FY19 Sales Growth ~35% over FY18 EBIDTA Margin Higher Teens Outlook H2FY19 sales would be higher by 30-35% over H1FY19, resulting in improved margins & higher profitability 10/23/2018 Setco Automotive Q2FY19 16
Slide 18: We Invite You To Visit Setco
IR Contact We Invite You To Visit Setco Setco Automotive Perfect Relations Vinay Shahane Ashish Samal Mail : vshahane@setcoauto.com Mail : ashish.samal@perfectrelations.com Tel : 022-4075 5555 Tel : +91 9920778076 Anurag Jain Mail : anurag.jain@setcoauto.com Tel : 022-4075 5555 10/23/2018 Setco Auto