Crompton Greaves Consumer Electricals Ltd. · NSE:CROMPTON
Crompton Greaves Consumer Electricals — Q2 FY25 Earnings Presentation
33 slides from Crompton Greaves Consumer Electricals's earnings presentation, Nov 14, 2024
Slide 1: Exchange filing cover letter: Investor Presentation
Crompton Greaves Consumer Electricals Limited Registered & Corporate Office: Tower 3, 1st Floor, East Wing, Equinox Business Park, LBS Marg, Kurla (West), Mumbai - 400 070.India T: +91 22 6167 8499 F: +91 22 6167 8383 W: www.crompton.co.in CIN: L31900MH2015PLC262254 Email: crompton.investorrelations
Slide 2: Q2 FY25 Investor Presentation
Q2 FY25 Investor Presentation 14th November 2024
Slide 3: Disclaimer
Disclaimer This presentation does not constitute an offer from Crompton Greaves Consumer Electricals Ltd. or any of its affiliates (“Crompton”) to any party and the information contained herein will not form the basis of any contract. Neither Crompton nor any of their respective affiliates, sharehol
Slide 4: Index
Crompton 2.0 Environment Scan Q2 FY25 Performance Index Financial Statements CSR Initiatives
Slide 5: Crompton 2.0
Crompton Crompton 2.0
Slide 6: Crompton 2.0 continues to deliver results: 5th quarter of double-digit growth
Crompton 2.0 continues to deliver results: Consecutive 5th quarter of double-digit revenue growth and healthy EBIT margins Standalone revenue growth % (YoY) Strong revenue growth for consecutive 18.2% quarters 15.0% 15.2% o Growth momentum maintained in Q2 FY25 12.0% 11.5% 10.9% - Revenue at Rs. 1,6
Slide 7: Lighting growth strengthens; ECD robust growth across segments
Crompton 2.0 continues to deliver results: Lighting growth trajectory strengthens; ECD segment witnessed robust growth across segments Q2 FY25 ECD revenue grew by 12.5% YoY; Q2 FY25 lighting revenue grew by 6.0% YoY; EBIT margins expanded by 60 bps to 14.8% EBIT margins expanded by 20 bps to 10.7% E
Slide 8: 2.0: Key tenets to drive future growth
Crompton 2.0: Key tenets to drive future growth Crompton 2.0 Enabled & empowered organization Crompton 1.0 Consumer need led innovation Pole position in core categories Premiumization of the portfolio XXXX Successful foray into the kitchen Supply chain excellence (quality, cost) Innovation capabilit
Slide 9: Crompton 2.0: Q2 FY25 Update
Crompton 2.0: Q2 FY25 Update Premiumisation Go-To-Market Excellence Brand Investments Innovation ▪ 2 patents granted in Q2 FY25 ▪ Growth in Lighting led by premium ▪ Alternate channel continue to perform ▪ Launched a strong TV and digital ▪ ‘SilentPro Blossom Smart Fan’ has products especially in ce
Slide 10: Environment Scan
Crompton Environment Scan
Slide 11: Current macroeconomic environment: Moderate demand for consumer durables
Current macroeconomic environment: Moderate demand for consumer durables Private consumption, the largest component of GDP (~55-60%), Household consumption expenditure towards consumer durables has remained stable over last couple of quarters goods has grown significantly over the years Private Fina
Slide 12: Consumer discretionary spends: Potential inflection going forward
Consumer discretionary spends: Potential inflection going forward ▪ Discretionary spend per capita is estimated to witness more than 3x expansion, growing at CAGR of 15% over 2022-2030E ▪ Consumer wallet will likely look very different in the next decade with discretionary categories benefiting from
Slide 13: Quarter Highlights
Crompton Quarter Highlights
Slide 14: Q2 Highlights: Continued revenue momentum coupled with margin expansion
Q2 Highlights: Continued revenue momentum coupled with margin expansion 1 Standalone revenue at Rs. 1,645 Cr delivering growth of 11% YoY in Q2 FY25 and 15% YoY in H1 FY25 • Led by robust growth in ECD with revenue at Rs. 1,393 Cr growing at 13% YoY o In Fans, we have witnessed sustainable growth al
Slide 15: Segment Performance (Standalone)
Crompton Segment Performance (Standalone) Revenue Q2 FY25 Q2 FY24 YoY Q1 FY25 QoQ H1 FY25 H1 FY24 YoY ECD 1,393 1,238 13% 1,727 -19% 3,119 2,667 17% Lighting 253 238 6% 233 8% 485 467 4% EBIT Q2 FY25 Q2 FY24 YoY Q1 FY25 QoQ H1 FY25 H1 FY24 YoY ECD 206 176 18% 259 -20% 465 357 30% EBIT % 14.8% 14.2%
Slide 16: Crompton Performance
Crompton Crompton Performance
Slide 17: ECD performance: Strong growth of 13% YoY led by Pumps and Appliances
ECD performance: Strong ECD growth of 13% YoY in Q2 led by Pumps and Appliances; EBIT margin at 14.8% Performance Highlights Revenue (Rs. Cr) 1 Fans: Growth across ceiling and non-ceiling fans o Key launches in premium segment such as Swirl, Aura, Santos led to better premium mix o Smooth BIS transi
Slide 18: Lighting performance: Revenue growth of 6% YoY in Q2
Lighting performance: Consistent delivery with revenue growth of 6% YoY in Q2; Strong delivery in B2C segment Performance Highlights Revenue (Rs. Cr) Industry leading Q2 revenue growth in lighting (excl. discontinued conventional business) 1 despite price erosions 467 485 B2C segment: o Amid price e
Slide 19: Marketing activities: Several initiated in Q2 to strengthen brand awareness
Marketing activities: Several marketing activities initiated in Q2 to strengthen brand awareness Mixers Campaign: Ameo Pro – The Secret of Fine Taste Social Media Ameo Blend Launch & Vibrant creatives that Celebrating trade Reaching out to wider consumers and Smoothie recipe contest captivate throug
Slide 20: Marketing activities: Glimpses of H1 activities
Marketing activities: Glimpses of H1 activities focused on brand awareness Fans Campaign Mixers Campaign West Bengal TV 14mn reach @ 3+ HSM - Digital 19mn reach @ 4+ Cumulative followers Celebrity Association-Genelia Deshmukh + 6 other mega & celeb influencers. 24mn+ 60% reach @5+ freq. in key High
Slide 21: New product launches in Q2
New product launches in Q2 Avancer 2.0 - Swirl Farrata 18" MBG Eco Series Including thermal overload Efficient design with high Star rated (energy efficient), Premium protection, sturdy base, torque winding for jam free double ball bearing, exhaust fan copper and aerodynamic blades, operation, Fitte
Slide 22: New product launches in Q2 (continued)
New product launches in Q2 (continued) HS Plus 3-Star & 5-Star (EN Santos Induction Fan Openwell Series HS Duro) Wider blades, 55W fan with Wide voltage design with Premium active power technology anti-rust paint, efficient Star rated (energy exhaust efficient), fan electrical & hydraulic double bal
Slide 23: Awards & Accolades
Awards & Accolades 1 1 3 Prestigious Green-Pro Certification SilentPro Blossom Smart has been Best Website Award for the in the Consumer Products category honoured with the prestigious Good most exceptional and user-friendly for ceiling fans Design Award, Japan 2024 website with engaging content Con
Slide 24: Butterfly Performance
Crompton Butterfly Performance
Slide 25: Butterfly Performance: Significant improvement in sequential EBITDA margins
Butterfly Performance: Significant improvement in sequential EBITDA margins led by pricing and process interventions Performance Highlights Revenue (Rs. Cr) Revenue stood at Rs. 258 Cr, strong of 42% QoQ across categories and channels led by 1 ongoing festive season 527 o Retail channel continued it
Slide 26: Financial Performance
Crompton Financial Performance
Slide 27: Standalone Q2 FY25 Financial Performance
Crompton Standalone Q2 FY25 Financial Performance: Revenue growth of 11% YoY with robust EBITDA margins at 11% Rs. Cr Particulars Q2 FY25 Q2 FY24 Y-o-Y Q1 FY25 Q-o-Q H1 FY25 H1 FY24 Y-o-Y Highlights Net Sales 1,645 1,476 11% 1,959 -16% 3,605 3,134 15% ▪ Double-digit revenue growth Less: Material Cos
Slide 28: Consolidated Q2 FY25 Financial Performance
Crompton Consolidated Q2 FY25 Financial Performance: Robust performance with revenue growth of 6% YoY and EBIT growth of 16% YoY Rs. Cr Particulars Q2 FY25 Q2 FY24 Y-o-Y Q1 FY25 Q-o-Q H1 FY25 H1 FY24 Y-o-Y Net Sales 1,896 1,782 6% 2,138 -11% 4,034 3,659 10% Less: Material Cost 1,276 1,224 4% 1,456 -
Slide 29: CSR Initiatives
Crompton CSR Initiatives
Slide 30: CSR Initiatives
CSR Initiatives Saksham: Empowering women in manufacturing sector Jai- Jeevan: Promoting sustainable agriculture In collaboration with Vanarai, women Self-Help Groups in Ukkadgaon and Kolhewadi, Maharashtra learned to produce Dashparni Ark, a bio- pesticide, on World Environment Day. This eco-friend
Slide 31: Key Strategic Tenets
Crompton Key Strategic Tenets
Slide 32: Continued to focus on Crompton 2.0
Continued to focus on Crompton 2.0 Crompton 2.0: Accelerated growth at healthy margins to deliver strong TSR Protect and grow Transform Foray into new Win in the Kitchen the core Lighting business segments • Fans: Strengthen the core & • Small domestic appliances: • Product innovation & positioning
Slide 33: Registered Office and contact details
Registered Office: Crompton Greaves Consumer Electricals Limited, Equinox Business Park, 1st Floor, Tower 3, LBS Marg, Kurla (W), Mumbai - 400070, Maharashtra, India +91 22 6167 8499 For any query, please write us at: Company: KPMG in India: crompton.investorrelations@crompton.co.in Dikshita Jain /
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