Ppap Automotive Limited · NSE:PPAP
Ppap Automotive — Q3 FY2018 Earnings Presentation
38 slides from Ppap Automotive's earnings presentation, February 2018
Slide 1: PPAP Automotive Limited
PPAP Automotive Limited Taking Challenges, Together
Slide 2: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 2
Slide 3: Quarterly Highlights
QUARTERLY HIGHLIGHTS 84.81 *Total Income 97.46 ₹ Crore 90.22 100.00 - 1.21 - 0.05 1.98 Highlights of results of Q3FY18 compared with Q3FY17 70.00 9.89 Part Sales increased by 17.85% EBITDA increased by 15.27% , EBITDA Margin increased by 8.36% PAT increased by 22.91%, PAT Margin increase by 15
Slide 4: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 4
Slide 5: Brief Profile and Management Profile
BRIEF PROFILE MANAGEMENT PROFILE Mr. Ajay Kumar Jain PPAP Automotive Limited (PPAP) is a leading manufacturer of Automotive Sealing Systems, Interior and Exterior Injection parts in India Chairman & Managing Director •Commerce graduate from the Shri Ram College of Commerce, DU •Associated with the c
Slide 6: General Information
GENERAL INFORMATION SHARE HOLDING AS ON 31ST DEC 2017 1.61 1.05 2.67 22.51 8.56 63.60 Promoters Bodies Corporate Individuals Foreign Companies Foreign Portfolio Investor (Corporate) Others 6
Slide 7: Company Focus
COMPANY FOCUS TO BE A DOMINANT SUPPLIER OF BODY SEALING, INTERIOR & EXTERIOR PARTS TO BE OUR CUSTOMERS' NO. 1 SUPPLIER TRUSTWORTHINESS MUTUAL RESPECT CREATIVITY COOPERATION EXCELLENCE FOUNDATION ON STRONG HUMAN CAPITAL DEVELOPMENT 7
Slide 8: Journey
JOURNEY 1978 1985 1989 1996 2002 •Company Incorporated •Start of the Automotive •Technological tie up with •Established Plant - I •Certification of TS 16949 Business Tokoi Kogyo Co., Japan (Noida) and ISO 140001 •Added Maruti Suzuki as •Added Honda Cars as customer customer 2007 2006 2005 2004 2003
Slide 9: Technology Partners
TECHNOLOGY PARTNERS NISSEN CHEMITEC CORPORATION, JAPAN Established: 1951 TOKAI KOGYO CO. LTD, JAPAN Global Presence: USA, Thailand, Indonesia, Established: 1947 Singapore Global Presence: USA, Thailand, Indonesia, China, Mexico, Vietnam AUTOMOTIVE EXTERIOR & SEALING PRODUCTS AUTOMOTIVE INTERIOR PROD
Slide 10: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 10
Slide 11: Core Strengths
CORE STRENGTHS Leadership Position Strong Customer Base India’s leading Leading OEM manufacturer of manufacturers in Indian Automotive Sealing Market are customers Systems Access to Global Technology State-of-the-art manufacturing facilities Relationship with Focus on Kaizen towards Japanese Technol
Slide 12: Development Strategy
DEVELOPMENT STRATEGY 1 2 Improve Operational Efficiency Optmization of Asset Utilization • International Benchmarking Impossible for • Our Mantra - "Every Paisa Counts" • Improve margin realization driven • Improve OEE (Overall Equipment Efficiency) Competition to by cost optimization & operating le
Slide 13: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 13
Slide 14: Product - Milestones
PRODUCT - MILESTONES • New Category parts 1989 – Plastic Sealing System <Technology partnership with Tokai 2019 Kogyo> 2007 – Injection parts 2017 • Injection Moulded Parts – <Technology partnership with Nissen • Introduction of Chemitech> Interior & Exterior – Door 2015 Instrument Panel, Lining Ass
Slide 15: Sealing Systems
SEALING SYSTEMS ROOF MOULDING TRIM DOOR OPENING BACK DOOR / TRUNK SEAL MOULDING WINDSHEILD DOOR OPENING SEAL AIR SPOILER GLASS RUN PVC CHANNEL TPO OUTER BELT SLIDE RAIL PRODUCTS MADE INNER BELT EPDM BLACK/BRIGHT BY PTI (JV) 15
Slide 16: Injection Molding Products
INJECTION MOLDING PRODUCTS FR-PILLAR CTR-PILLAR RR -PILLAR PARTITION REAR TRAY UNDER HOOD PRODUCTS LINING RR PANEL IN CABIN PRODUCTS SIDE PROTECTORS 16 SPLASH GUARD DOOR LINING FENDER INNER TRUNK LINING
Slide 17: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 17
Slide 18: Business Share as on 31/12/2017
BUSINESS SHARE AS ON 31/12/2017 NISSAN OTHERS TATA 8% 4% 3% TKML 6% MSIL 48% HCIL 31% 19
Slide 19: Parts Developed by PPAP in Following Models
PARTS DEVELOPED BY PPAP IN FOLLOWING MODELS 19
Slide 20: Development Infrastructure
DEVELOPMENT INFRASTRUCTURE DESIGN TOOL MANUFACTURING VALIDATION • Product Design • Tool Design In House manufacturing of : • Checking Fixture Design Extrusion Parts - Dies & Tools Raw Material Testing • Design Validation Checking Fixtures Part Performance Testing • Special Purpose Machines Special P
Slide 21: Manufacturing Infrastructure
MANUFACTURING INFRASTRUCTURE PLASTIC EXTRUSION RUBBER EXTRUSION INJECTION MOLDING JV COMPANY – PPAP TOKAI INDIA RUBBER PRIVATE LIMITED 38 Machines PVC / TPO MATERIAL EPDM & TPV MATERIAL 3 locations 2 Locations; 10 Extrusion Lines 1 Kneader Mixing Plant (2nd Mixing) Range: 60 Tons – 2500 Tons 1 separ
Slide 22: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 22
Slide 23: Customer Appreciation: Accolades for 2017
CUSTOMER APPRECIATION ACCOLADES FOR 2017
Slide 24: Customer Appreciation
CUSTOMER APPRECIATION TOYOTA MOTOR CORPORATION HONDA CARS INDIA LIMITED TOYOTA KIRLOSKAR MOTOR INDIA PVT LIMITED MARUTI SUZUKI INDIA LIMITED 24
Slide 25: Index
INDEX Quarterly Highlights Company Overview Core Strengths & Growth Strategy Our Products Facilities & Customers Awards Financial Overview 25
Slide 26: Summary
SUMMARY 21.56% 21.34% 19.70% 90.00 15.63% 15.03% 70.00 13.63% In ₹ Crore 9.07% 9.45% 7.85% 50.00 84.81 97.46 90.22 30.00 Q3FY17 Q2FY18 Q3FY18 TOTAL INCOME EBITDA MARGIN EBIT MARGIN PAT MARGIN Total Income is net of Excise 26
Slide 27: Total Income (Net of Excise)
Total Income (Net of Excise) (₹ crore) 84.81 97.46 90.22 100.00 - 1.21 0.00 0.05 1.98 9.89 70.00 40.00 96.25 88.24 74.88 10.00 Q3FY17 Q2FY18 Q3FY18 Parts Tools Others Total Income is net of Excise 27
Slide 28: Major Expenses
Major Expenses (₹ crore) Materials Employee Benefits 16.07% 17.03% 49.63% 48.55% 48.13% 15.43% 42.09 47.32 43.42 13.09 15.66 15.37 Q3FY17 Q2FY18 Q3FY18 Q3FY17 Q2FY18 Q3FY18 Other Expenses Depreciation 15.24% 13.82% 13.49% 7.23% 6.67% 7.01% 12.93 13.47 12.17 6.13 6.51 6.33 Q3FY17 Q2FY18 Q3FY18 Q3FY17
Slide 29: Interest & Earnings
Interest & Earnings(₹ crore) Interest EBITDA 21.56% 21.34% 19.70% 1.76% 1.17% 1.18% 1.49 1.14 1.07 16.71 21.01 19.26 Q3FY17 Q2FY18 Q3FY18 Q3FY17 Q2FY18 Q3FY18 EBIT PAT 9.45% 15.63% 9.07% 15.03% 7.85% 13.63% 11.56 15.23 13.56 6.66 9.21 8.18 Q3FY17 Q2FY18 Q3FY18 Q3FY17 Q2FY18 Q3FY18 29
Slide 30: Nine Months Performance – Income & Major Expenses
Nine Months Performance – Income & Major Expenses 248.82 270.00 280.00 51.38% 48.43% 230.00 180.00 ₹ crore 130.00 16.77% 15.32% 14.75% 13.98% 80.00 7.26% 7.13% 1.94% 1.27% 30.00 FY17 FY18 TOTAL INCOME MATERIALS EMPLOYEE COST OTHER EXPENSES DEPRECIATION INTEREST Total Income is net of Excise 30
Slide 31: Nine Month Performance - Profitability
Nine Month Performance - Profitability . ₹ in Crore Margin % 300.00 300.00 56.20 250.00 250.00 20.81% 46.16 18.55% 200.00 200.00 39.06 14.47% ₹ crore 150.00 29.72 150.00 11.94% 23.32 100.00 8.64% 100.00 16.45 6.61% 50.00 50.00 248.82 270.00 248.82 270.00 - - FY17 FY18 FY17 FY18 TOTAL INCOME EBITDA M
Slide 32: EPS & Market Capitalization (BSE)
EPS & MARKET CAPITALIZATION(BSE) 14.29 21.81 22.90 11.75 16.66 6.58 5.84 4.76 Q3FY17 Q2FY18 Q3FY18 9MFY17 9MFY18 EPS TTM ₹ EPS ₹ ₹ EPS PERIOD 220.78 499.45 914.55 653.25 356.75 157.70 Q3FY17 Q2FY18 Q3FY18 Market Cap ( ₹ in crores) Share Price ₹ 32
Slide 33: Financial Performance Snapshot (Previous 3 years)
FINANCIAL PERFORMANCE SNAPSHOT (Previous 3 years) ₹ Crs. Operating Income Fixed Assets (Gross Block) 306.64 320.88 349.62 318.50 302.75 342.70 3.18 1.81 0.21 0.45 19.20 0.15 2.33 30.44 18.38 16.69 35.12 7.81 283.23 292.61 310.45 289.74 302.05 327.24 FY 2015 FY 2016 FY 2017 FY 2015 FY 2016 FY 2017 Pa
Slide 34: Financial Performance Snapshot (Previous 3 years)
FINANCIAL PERFORMANCE SNAPSHOT (Previous 3 years) ₹ Crs. EBITDA 40.36 52.06 64.46 PAT 12.03 15.27 23.91 18.81% 17.20% 6.98% 12.67% 5.04% 3.78% FY 2015 FY 2016 FY 2017 FY 2015 FY 2016 FY 2017 PAT Margin EBITDA Margin Earning Per Share (₹) Market Capitalization (BSE) 126.14 218.40 321.40 235.60 8.59 1
Slide 35: Consolidated Financial Performance FY 2017
CONSOLIDATED FINANCIAL PERFORMANCE FY 2017 ₹ Crs. Operating Income Fixed Assets (Gross Block) 366.10 348.73 382.00 318.63 6.40 1.86 1.21 20.42 2.34 30.36 19.36 7.76 328.16 355.18 308.53 333.88 FY 2016 FY 2017 FY 2016 FY 2017 Parts Tools Others Tangilbe Asstes Intangible Assets CWIP Net Worth Debt 22
Slide 36: Consolidated Financial Performance FY 2017
CONSOLIDATED FINANCIAL PERFORMANCE FY 2017 ₹ Crs. EBITDA PAT 14.02 26.21 52.97 68.89 7.16% 18.82% 16.63% 4.40% FY 2016 FY 2017 FY 2016 PAT Margin FY 2017 EBITDA Margin Market Capitalization (BSE) Earning Per Share (₹) 126.14 218.40 321.40 10.02 18.72 235.60 229.57 185.00 135.01 156.00 122.10 90.10 8
Slide 37: Disclaimer
DISCLAIMER Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those s
Slide 38: Contact: Manish Dhariwal, CFO
Mr. Manish Dhariwal (Chief Financial Officer) PPAP Automotive Limited Ph: +91-120-2462552 / 53 Email: manish.dhariwal@ppapco.com Mr. Snighter Albuquerque / Ms. Ruchi Bhadra Concept Investor Relations Mo: +91 98191 23804 / 9867637838 Email: snighter@conceptpr.com / ruchi.bhadra@conceptpr.com Website