Symphony Limited · NSE:SYMPHONY
Symphony — Investor Presentation (September 2021)
66 slides from Symphony's investor presentation, Sep 21, 2021
Slide 1: Investor Presentation filing letter to stock exchanges
September 21, 2021 To, National Stock Exchange of India Limited BSE Limited Symbol – Symphony Security Code – 517385 Sub.: Investor Presentation – Updates Dear Sir, This is in reference to the above-mentioned subject line; we are enclosing herewith updated Investor Presentation. The same is also ava
Slide 2: Corporate Presentation 2021
CORPORATE PRESENTATION 2021
Slide 3: Table of Contents
Table of Contents Particulars Slide Number 27oC World 3 Symphony Limited - India 4-7 Household Air Coolers 8-12 Innovation & New Launches 13-22 Large Space Venti-Cooling 23-33 COVID- 19 Measures 34-35 Symphony Limited – Global Company 36-40 Overseas Subsidiaries 41-58 Financials 59-63 SLIDE 2
Slide 4: 27°C World vision
• As the World’s largest Air Cooling solutions company, We wish to make the world cool and comfortable at 27 degree Celsius • World is becoming increasingly warmer • Heat and increase in temperature lead to lower performance • Symphony is a global Air Cooling solutions (HC to IC & CC) company HC = H
Slide 5: Symphony Limited - India
27°C world Symphony Limited - India
Slide 6: About Us
About Us Founded in 1988, headquartered in Ahmedabad, Gujarat, Symphony Limited established a new category of evaporative air-cooling in India & Worldwide Founded by Achal Bakeri, advocate for green and environment friendly cooling solutions and popularized the aesthetically and ergonomically de
Slide 7: Symphony at a Glance
Symphony at a Glance 11 3 70+ Manufacturing Different Product Household cooler Facilities Categories models + wide range of Industrial & Commercial coolers 50 22 Branches Distribution Depots SLIDE 6
Slide 8: Business Model
Business Model 01 02 03 Positioning Design-driven Brand-focused Focused on offering cutting-edge Best-in-class design, a significant The world and India’s leading cooling technology advantage over competitors air-cooler brand Progressively product-agnostic Next generation coolers with 16 robust sub-
Slide 9: Household Air Coolers
27°C world Household Air Coolers e)
Slide 10: Household Air Coolers
Household Air Coolers Aesthetically Innovative Honeycomb or appealing cooler Technology Aspen Cooling Pads designs Water Tank Capacity Cooling area range Variety of Desert, from 6L to 115L from 12 M² TO Room & Personal 50 M² Coolers SLIDE 9
Slide 11: India Air Cooler Market - Overview
India Air Cooler Market - Overview Air-cooler growth Volume wise (2010-2020) market share AC: 6 Industry Symphony Organized Unorganized Air-coolers: 14 10 2 mn 25% No fans: 11 15 6 mn 75% Fans: 89 0 5 10 15 20 25 30 35 40 45 Cooling pyramid (HH in %) Shift to organized sector Source: Company Researc
Slide 12: India Air Cooler Market - Long Runway for growth
India Air Cooler Market - Long Runway for growth Households Households with % penetration of Zone (Mn) Air-coolers (Mn) Air-coolers North 66.5 18.6 28 East 61.8 2.5 4 West 57.9 6.9 12 South 60.2 3.0 5 Low penetration Air-cooler penetration to double by 2025 Source: Edelweiss Industry Research Source
Slide 13: India Air Cooler Market – Strong Brand Recall
India Air Cooler Market – Strong Brand Recall Market Share of 50% in India – Highest in the Organized sector Symphony’s share of voice (SOV) is 43% (Source: BAARC). SOV conveys the brand visibility share amongst the consumers Focused on single product - Air Coolers and created a strong brand n
Slide 14: Innovation & New Launches
27°C world Innovation & New Launches e)
Slide 15: Innovation – Key Firsts: Formats
Innovation – Key Firsts Key Firsts- Formats Key Firsts 2009 2012 2016 2017 2021 Introduced Introduced Introduced Introduced Introduced Tower Format Air Tower Format Desert Wall Mounted Touch range with 4-side DUET Cooler Air Cooler Air Cooler removable pads and double Cooling fan blower SLIDE 14
Slide 16: Innovation – Key Firsts: Features
Innovation – Key Firsts Key Firsts - Features 1994 2007 2016 2016 2016 Remote control Power Saver Technology i-Pure – Multistage Magic Fill for automatic Voice Assist Air Purification water filling 2016 2017 2020 2020 2021 Digital Touchscreen Gesture Control Pop-Up Easy-Fill Surround cooling Touchsc
Slide 17: New Launch
New Launch DiET3> Pop-up Touchscreen Easy-to-use touchscreen control panel that pops up 3D Cooling 3-side cooling pads for superior cooling experience Magnetic remote Sticks on the cooler body
Slide 18: New Launch
New Launch New SUMO) ‘ ;. I ‘Easy-Fill’ for hassle-free i-Pure console with water filling multistage air purification filters Specially designed High efficiency honeycomb +Air fan for more air pads for superior cooling
Slide 19: New Launch
03000 Powerful air throw Cool flow dispenser High efficiency honeycomb pads for superior cooling i-Pure technology Large 27L water-tank capacity New Launch Hi Flo
Slide 20: New Launch
Series Lia Cooling Fan from the house of Symphony
Slide 21: New Launch: Cooling Fan Series
New Launch Cooling Fan Series Currently available exclusively on e-commerce platforms, Symphony Duet is a personal cooling fan that boasts dual functionality of a fan and a cooler. It is available in two variants: Pedestal & Table. Detachable pedestal for dual usage - on the table or floor-standing
Slide 22: New Campaign
New Campaign For Household air coolers Objective: To put across a view that cool air can bring new perspectives in people’s lives. SLIDE 21
Slide 23: SLIDE 22
SLIDE 22
Slide 24: Large Space Venti - Cooling
27°C world Large Space Venti - Cooling
Slide 25: LSV – Large Space Venti - Cooling
LSV – Large Space Venti - Cooling Symphony Large Space Venti-Cooling (formerly known as Industrial and Commercial Segment) is a unique concept of air-cooling plus ventilation. A combination not offered by any other cooling technology. One does not have to close a space to employ this cooling. Th
Slide 26: LSV – A Fast Growing segment
LSV – A Fast Growing segment Forayed into the Industrial Air Cooler segment in 2009 and Commercial Air Cooler Segment in 2014-15 by gaining the technology through IMPCO, Mexico and GSK, China respectively No. of Installations increased by 34x 3400 100 FY14 FY21 SLIDE 25
Slide 27: Products Portfolio
Products Portfolio Universal air cooler – top and Four-side high bottom discharge in Powerful air throw efficiency the same cooler honeycomb pads Robust weather- One Industrial Air Commercial Air resistant body Cooler can cool upto Coolers with Tank 2500 sq. ft. capacity upto 200L SLIDE 26
Slide 28: New Launches – Products
New Launches – Products VENTI COOL 10 U VENTI COOL 08 U Suitable for 300-800 SQ.FT Suitable for 200-600 SQ.FT 0.45 KW Motor , 2 Speed 0.37 KW Motor , 2 Speed 3 Side Pads 3 Side Pads 17” Fan 17” Fan 31 Litre Tank 23 Litre Tank SLIDE 27
Slide 29: New Launches – Accessories
New Launches – Accessories Stand Mouthpiece Elbow Duct Grill Air Outlet grill with damper VFD Controller SLIDE 28
Slide 30: Global Customers
Global Customers LSV : Working with esteemed brands SLIDE 29
Slide 31: India: Installations
India: Installations BOSCH, BENGALURU HERO SHOWROOM, CHHATTISGARH RK MARBLES, RAJASTHAN KENT RO, NOIDA SLIDE 30
Slide 32: Overseas: Installations
Overseas: Installations RENAULT FACTORY, MOROCCO F&B INDUSTRY, NIGERIA GASPER MASS STADIUM, MEXICO JD.COM WAREHOUSE, CHINA SLIDE 31
Slide 33: New Campaign
New Campaign For Commercial air coolers (Movicool) Objective: To create awareness about the Movicool range of air coolers & communicate its usage in various sorts of large spaces. SLIDE 32
Slide 34: SLIDE 33
SLIDE 33
Slide 35: COVID-19 Measures
27°C world COVID-19 Measures
Slide 36: Measures undertaken to combat COVID-19 Impact
Measures undertaken to combat COVID-19 Impact Sales Promotion Launched “Book a Cooler” Campaign during 2020 lockdown Lead generation campaign through digital media which connected customers with nearby dealers who can supply the coolers. This also helped dealers to liquidate covid-hit inventor
Slide 37: Symphony Ltd. - Global Company
Symphony Ltd. - Global Company
Slide 38: Wide Portfolio of Global Brands
Wide Portfolio of Global Brands SLIDE 37
Slide 39: Strengths as a Global Leader
Strengths as a Global Leader Wide range of coolers for all applications Management Asset Light with 3 decade of business model experience in air cooler Symphony Ltd. Strong Global Strong R&D team Brand and facility Low cost of manufacturing in India SLIDE 38
Slide 40: Foraying into International Markets
Foraying into International Markets Established Symphony Climatizadores, a 100% owned Acquired Guangdong Symphony Keruilai subsidiary Air-coolers Co. Ltd (GSK) in China Focused only Import coolers from Symphony India Opened market for Industrial Cooler on domestic and GSK China to distribute
Slide 41: De-risking Strategy
De-risking Strategy Volatility in Quarterly Revenue (Consolidated) 44% Selling in international markets, such as Australia to counter seasonality nature 37% of the business 21% 22% 19% 18% 16% 12% Reduced geographic concentration risk 6% through increase in Sales from RoW (32% CAGR FY15-20) FY12 FY1
Slide 42: Overseas Subsidiaries
27°C world Overseas Subsidiaries e)
Slide 43: Geography wise Revenue
Geography wise Revenue Revenue from RoW grew at 32% Increasing Share of Revenue from CAGR from FY15-FY20 outside India 1200 1103 22% 17% 22% 22% 1000 45% 41% 452 52% 800 600 526 114 83% 400 78% 78% 78% 651 59% 55% 48% 200 411 0 2015 2020 2015 2016 2017 2018 2019 2020 2021 India RoW Total India RoW S
Slide 44: Climate Technologies Pty. Ltd. (CT), Australia
Climate Technologies Pty. Ltd. (CT), Australia SLIDE 43
Slide 45: Range of Products
Range of Products Household cooler Commercial cooler Rooftop Cooler Window air cooler Air conditioner Ducted heating unit SLIDE 44
Slide 46: New launches: Roof mounted air coolers
New launches Roof mounted air coolers EAC 2 cabinet sizes, Reduce 10 SKUs of existing range. Low height, Sits snug on the roof. Installation compatible with all existing products. 3 different colours to match roof colours SLIDE 45
Slide 47: New launches: Household air coolers
New launches Household air coolers All in one including, ventilation, humidification and purification. Full function remote with 7.5 hours timer Fully closeable horizontal louvers 3 wind speeds with auto vertical louver swing Two air delivery modes High Efficiency Cooling Pads Dust fil
Slide 48: Financials - Symphony Australia
Financials - Symphony Australia* ₹ Cr Particulars FY2021 FY2020 FY2019 (9M) Revenue 337 287 206 EBITDA 14.6 18.6 (6.4) PBT # 2.2 7.7 (9.4) PAT 0.7 6.4 (14.4) Cash Profit # 4.9 11.6 (4.3) Margins (%) Gross margin 36.2 41.7 37.4 EBITDA margin 4.3 6.5 (3.1) PAT margin 0.2 2.2 (7.0) # Excluding interest
Slide 49: Revenue Breakup
Revenue Breakup FY 2020-21 FY 2019-20 1% 1% 17% 26% 73% 82% Sales in Australia Sales in USA Other Exports Sales in Australia Sales in USA Other Exports SLIDE 48
Slide 50: Impco S.De R.L. de C.V. (IMPCO), Mexico
Impco S.De R.L. de C.V. (IMPCO), Mexico SLIDE 49
Slide 51: Last 12 years (cumulative)
Last 12 years (cumulative) ~ ₹879 cr ~ ₹178 cr ~ ₹116 cr ₹3.5 cr Access to Sales India export to PAT (India + Equity Industrial IMPCO IMPCO) investment air coolers Profit by Symphony India on exports of coolers to Impco (Approx. ₹ Cr) FY2021 FY2020 FY2019 Profit 3 10 7 SLIDE 50
Slide 52: Industrial air coolers sourced from GSK, China
Industrial air coolers sourced from GSK, China SLIDE 51
Slide 53: New launches: Window air coolers
New launches Window air coolers R28SW R38W New Control Panel Design New Control Panel Design Rust free plastic side panels Rust free plastic side panels Float valve for uninterrupted cooling Float valve for uninterrupted cooling High efficiency cooling pads High efficiency cooling pa
Slide 54: New launches: HT Series air coolers
New launches HT Series air coolers SHT Movil SHTMovilXL Weatherproof engineering plastic Weatherproof engineering plastic High efficiency cooling pads High efficiency cooling pads Easy cleanable water tank Easy cleanable water tank Free installation kit Large water tank capacity Fu
Slide 55: Financials
Financials ₹ Cr Particulars FY2021 FY2020 FY2019 Revenue 75 100 92 EBITDA after exceptional item (0.1)* 6.2 7.5 PAT 1.9 2.9 6.5 Cash Profit (2.5) 4.1 7.5 Margins (%) Gross margin 37.9 30.4 33.5 EBITDA margin (0.1) 6.2 8.2 PAT margin 2.5 2.9 7.1 * After Provision for doubtful debt of ₹ 7.2 Cr SLIDE 5
Slide 56: Guangdong Symphony Keruilai Air-coolers Co. Ltd (GSK), China
Guangdong Symphony Keruilai Air-coolers Co. Ltd (GSK), China SLIDE 55
Slide 57: Household air coolers: New Launches
Household air coolers New Launches CROWN i CROWN-M All in one including, ventilation, humidification and purification. All in one including, ventilation, humidification and purification. 3-side high efficiency cooling pads 3-side high efficiency cooling pads Full function remote with 7.5-h
Slide 58: Industrial air coolers, Commercial air coolers
Industrial air coolers Commercial air coolers SLIDE 57
Slide 59: Financials
Financials ₹ Cr Particulars FY2021 FY2020 FY2019 Revenue 39 42 58 EBITDA (3.1) (3.1) 1.4 PAT (8.6) (7.7) (1.6) Cash Profit (6.8) (6.2) 0.2 Margins (%) Gross margin 35.4 35.7 36.3 EBITDA margin (7.8) (7.3) 2.4 SLIDE 58
Slide 60: Financials
27°C world Financials e)
Slide 61: Financials
Financials ₹ Cr Consolidated Standalone Particulars FY2021 FY2020 FY2019 FY2021 FY2020 FY2019 Gross Revenue 931 1157 883 524 763 557 EBIDTA (excl. exceptional item) 170 266 171 152 248 168 PAT 107 182 91 112 186 101 Margins (%) Gross margin 45 47 46 48 50 50 EBIDTA margin # 18 23 19 29 33 30 PAT mar
Slide 62: Consolidated Financials (₹ Cr)
Consolidated Financials (₹ Cr) Consolidated Revenues Consolidated EBITDA Consolidated PAT 1,157 273 266 193 242 182 883 158 166 852 209 808 171 621 91 FY16* FY17 FY18 FY19 FY20 FY16* FY17 FY18 FY19 FY20 FY16* FY17 FY18 FY19 FY20 * FY16 data is annualized for better comparison SLIDE 61
Slide 63: Capital Employed & ROCE
Capital Employed & ROCE Standalone Capital Employed# (ROCE %) : Consolidated Capital Employed# (ROCE %) : Core Business Core Business ₹ 282 Cr ₹ 50 Cr ₹ 45 Cr (237%) (41%) (292%) ₹ 226 Cr (57%) ₹ 197 Cr (104%) ₹-16 Cr (Negative Capital Employed - Infinite ROCE) FY19 FY20 FY21 FY19 FY20 FY21 Air cool
Slide 64: Dividend Payout and Treasury
Dividend Payout and Treasury Cumulative PAT and Dividend Payout Treasury # (₹ Cr) (₹ Cr) 739 494 503 408 Last 5 years dividend payout has been 45.6% 337 Last 5 years Consolidated Last 5 years Dividend FY19 FY20 FY21 PAT Payout* *Including Dividend Distribution Tax till FY20. # Excluding loans & inve
Slide 65: Disclaimer Safe Harbour Statement
Disclaimer Safe Harbour Statement This presentation contains forward-looking statements which may be identified by their use of words like “plans,” “expects,” “will,” “anticipates,” “believes,” “intends,” “projects,” “estimates” or other words of similar meaning. All statements that address expectat
Slide 66: www.symphonylimited.com
www.symphonylimited.com MEXICO CHINA AUSTRALIA USA Impco S de R L de C V Guangdong Symphony Climate Technologies Bonaire USA LLC Keruilai Air Coolers Co. Ltd. Pty. Ltd. AYAX 611, Parque Taiying Industrial Area, 26 Nylex Avenue 3774, West Cheyenne Industrial Kalos Hongmei Town, 523160 Salisubury Sout