Indigo Paints Ltd · NSE:INDIGOPNTS
Indigo Paints — Q2 FY2024 Earnings Presentation
25 slides from Indigo Paints's earnings presentation, Nov 6, 2023
Slide 1: Investor Presentation (Q2FY24)
INDIGO Paints Ltd Investor Presentation (Q2FY 24) 1
Slide 2: Disclaimer
Disclaimer Certain statements and opinions with respect to the anticipated future performance of Indigo Paints Ltd (“Indigo”) in the presentation (“forward-looking statements”), which reflect various assumptions concerning the strategies, objectives and anticipated results may or may not prove to be
Slide 3: Agenda for discussion
Agenda for discussion Corporate Update Standalone Financials (Q2/H1 FY24) Consolidated Financials (Q2/H1 FY24) KPI - Distribution Network 3
Slide 4: Agenda for discussion: Corporate Update
Agenda for discussion Corporate Update 4
Slide 5: Corporate Update
Corporate Update • Sales grew at more than 3x-4x the industry growth rate for two quarters in a row indicating significant market share gain • Sales growth at Tier 1,2 cities continues to outstrip the growth at Tier 3,4 cities and rural areas. Installation of Tinting Machine rising sharply, leading
Slide 6: New Water Based Plant | Pudukkottai, Tamil Nadu
New Water Based Plant | Pudukkottai, Tamil Nadu 6
Slide 7: Agenda for discussion: Standalone Financials (Q2/H1 FY24)
Agenda for discussion Standalone Financials (Q2/H1 FY24) 7
Slide 8: Q2 & H1 FY24 financials (Standalone)
Indigo Paints | Q2 & H1FY 24 financials (Standalone) Statement of unaudited standalone financial results for the quarter and six months ended September 30, 2023 (All amounts in rupees lakhs, unless otherwise stated) Quarter ended Six months ended Year ended Sep 30, 2023 Jun 30, 2023 Sep 30, 2022 Sep
Slide 9: Q2 FY24 financial Analysis
Indigo Paints | Q2 FY 24 financial Analysis Quarterly Financial Highlight (Standalone) RS. Cr Quarterly % Change Particulars Q2 Q1 Q2 (Rs. Crs) FY 24 FY 24 FY 23 Operational Income 270.46 277.02 242.61 11.48% Other Income 2.97 3.52 3.19 Total 273.43 280.54 245.80 Gross Profit 123.64 131.80 101.21 Gr
Slide 10: Analysis | Q2 FY24 (Standalone)
Analysis | Q2 FY24 (Standalone) • Q2 FY 24 Operational Income has expanded by 11.48% at Rs. 270. 46 Cr from Rs. 242.61 Cr of Q2 FY 23 • Gross Margins expanded to 45.72% in Q2 FY24 compared to 41.72% in Q2 FY23 • EBITDA increased by 23.72% to Rs. 41.78 Cr compared to Rs. 33.77 Cr in Q2 FY23, while th
Slide 11: Analysis | Q2 FY24 (Standalone)
Analysis | Q2 FY24 (Standalone) • Growth in Net revenue for the quarter was significantly higher than the industry, indicating market share gain by the Company. • Gross margin continues to be the highest in the industry at 45.72%. Raw material prices continues to remain stable aiding the company to
Slide 12: H1 FY24 financial Analysis (Standalone)
Indigo Paints | H1 FY 24 financial Analysis (Standalone) Half Yearly Financial Highlight (Standalone) RS. Cr Half Yearly % Change Particulars H1 H1 (Rs. Crs) FY 24 FY 23 Operational Income 547.48 466.60 17.33% Other Income 6.50 3.67 Total 553.97 470.27 Gross Profit 255.44 202.43 Gross Margin % 46.66
Slide 13: Analysis | H1 FY24 (Standalone)
Analysis | H1 FY24 (Standalone) • H1 FY24 Operational Income increased by 17.33% to Rs. 547.48 Cr from Rs. 466.60 Cr in H1 FY23 • Gross Margins expanded to 46.66% in H1 FY24 from 43.39% in H1 FY23 • EBITDA increased by 29.64% to Rs. 89.51 Cr compared to Rs. 69.05 Cr in H1 FY23, while the EBITDA marg
Slide 14: Analysis | H1 FY24 (Standalone)
Analysis | H1 FY24 (Standalone) • Growth in Net revenue for the 6 months ending Sep’ 23 was 3x-5x of that of the industry growth rate. • Gross margin continues to be the highest in the industry at 46.66%. Expecting the gross margins to inch up further in the H2 FY24 as the product mix becomes more f
Slide 15: Agenda for discussion: Consolidated Financials (Q2/H1 FY24)
Agenda for discussion Consolidated Financials (Q2/H1 FY24) 15
Slide 16: Q2 & H1 FY24 financials (Consolidated)
Indigo Paints | Q2 & H1FY 24 financials (Consolidated) Statement of unaudited financial results for the quarter and six months ended September 30, 2023 (All amounts in rupees lakhs, unless otherwise stated) Consolidated Quarter ended Six months ended Year ended Sl. No Particulars Sep 30, 2023 Jun 30
Slide 17: Q2 FY24 financial Analysis (Consolidated)
Indigo Paints | Q2 FY 24 financial Analysis (Consolidated) Quarterly Financial Highlight (Consolidated) RS. Cr Quarterly % Change Particulars Q2 Q1 Q2 (Rs. Crs) FY 24 FY 24 FY 23 Operational Income 279.02 288.42 242.61 15.01% Other Income 3.17 3.82 3.19 Total 282.19 292.24 245.80 Gross Profit 127.14
Slide 18: Analysis | Q2 FY24 (Consolidated)
Analysis | Q2 FY24 (Consolidated) • Sales growth was 15.01% on y-o-y basis. • Gross Margin expanded to 45.57% from 41.72% in Q2 FY23 • EBITDA increased by 24.76% to Rs. 42.13 Cr compared to Rs. 33.77 Cr in Q2 FY23, while the EBITDA margin expanded to 15.10% from 13.92% in Q2 FY23. • After adjusting
Slide 19: H1 FY24 financial Analysis (Consolidated)
Indigo Paints | H1 FY 24 financial Analysis (Consolidated) Half Yearly Financial Highlight (Consolidated) RS. Cr Half Yearly % Change Particulars H1 H1 (Rs. Crs) FY 24 FY 23 Operational Income 567.44 466.60 21.61% Other Income 6.99 3.67 Total 574.43 470.27 Gross Profit 263.64 202.43 Gross Margin % 4
Slide 20: Analysis | H1 FY24 (Consolidated)
Analysis | H1 FY24 (Consolidated) • H1 FY24 Operational Income increased by 21.61% over H1 FY23 • Gross Margins expanded to 46.46% in H1 FY24 from 43.39% in H1 FY23 • EBITDA increased by 32.14% to Rs. 91.24 Cr compared to Rs. 69.05 Cr in H1 FY23, while the EBITDA margin expanded to 16.08% from 14.80
Slide 21: Agenda for discussion: KPI – Product Mix, Distribution Network
Agenda for discussion KPI – Product Mix, Distribution Network 21
Slide 22: Value / Volume Growth (Q2 FY24 vs Q2 FY23)
Value / Volume Growth (Q2 FY 24 vs Q2 FY 23) Value Volume Product Category Growth Growth Cement Paints + Putty 47.9% 50.6% Emulsions 15.4% 20.0% Enamels + Wood Coatings 3.0% 5.4% Primers + Distempers + Others 26.6% 28.8% 22
Slide 23: Network expansion
Network expansion 30.09.21 31.12.21 31.03.22 30.06.22 30.09.22 31.12.22 31.03.23 30.06.23 30.09.23 No. of Depots 44 45 47 47 47 47 47 49 51 Active Dealers 14,716 15,242 15,787 16,526 16,758 16,785 16,496 16,693 17,148 Tinting m/c 6,383 6,749 7,101 7,435 7,716 7,978 8,273 8,657 9,114 • Added two more
Slide 24: Future guidance
Future guidance • Company is building a team for entering Project sales in several states. Separate team for construction chemicals & water proofing also being setup in all depots. • Witnessed exceptionally good sales in Oct’23, with timely monsoon withdrawal and long festive season. • On B2B front,
Slide 25: Thank You
Thank You INDIGO