Linc Limited · NSE:LINC
Linc — Q3 FY24 Earnings Presentation
18 slides from Linc's earnings presentation, Feb 8, 2024
Slide 1: Cover letter to stock exchanges: Earning Presentation
8th February, 2024 The Listing Department, The Manager The Manager, The Calcutta Stock Exchange Ltd. The Department of The Listing Department, 7, Lyons Range, Corporate Services, National Stock Exchange of India Limited, Kolkata – 700001 BSE Limited, Exchange Plaza, P. J. Towers, Dalal Street, Bandr
Slide 2: Q3 FY24 Earnings Presentation
Q3 FY24 EARNINGS February 2024 PRESENTATION. NSE : LINC BSE : LINC Linc Limited Bloomberg : LINC:IN (formerly Linc Pen and Plastics Limited) 1
Slide 3: Safe Harbour Statement
Safe Harbour Statement. This presentation may contain certain “forward-looking statements” within the meaning of applicable securities laws and regulations, which may include those describing the Company’s strategies, strategic direction, objectives, future projects and/or prospects, estimates etc.
Slide 4: Inside This Presentation
Inside This Presentation. Executive 1. 5. . 9. Operational Summary . Highlights Why Linc? 16 04 . 11 - 12 . . . . . 2. Management Quarterly Commentary 05 . . 6. Profit & Loss 13 . . 10. Thank You 17 . Focus on 3. Key Highlights 06 . . 7. Shareholder Value Creation 14 . 4. Quarterly Highlights 07 - 1
Slide 5: Executive Summary
Executive Summary. ➢ Among Top 3 brands ➢ New Writing Instrument ➢ Global brand from ➢ Asia’s largest stationery in India for Writing brand launched in FY19 by Mitsubishi Pencil Co. Ltd, giant. • Linc Ltd. is one of India’s Instruments. Linc in MRP ₹10 and above Japan. largest writing instrument seg
Slide 6: Management Commentary
Management Commentary. “Operating income in Q3 FY24 stood at ₹ 12,396 lacs, a slight degrowth of 0.5% against the corresponding quarter previous year. Pentonic revenue, however, grew 4.7% YoY and 4.8% sequentially. Export / Overseas revenue recovered sharply, registering a growth of 32.8% QoQ, buoye
Slide 7: Key Highlights
Key Highlights. Operating Income down 0.5% YoY & Gross Profit down 5.4% YoY and up 2.4% down 5.5% QoQ at ₹ 12,396 lacs. QoQ at ₹ 3,903 lacs and Margin stood at Pentonic Revenue however grew by 4.7% 31.5% as against 29.0% in Q2 FY24 YoY & 4.8% QoQ Operating EBITDA down 23.4% YoY at ₹ 'Pentonic' Sales
Slide 8: Quarterly Highlights
Quarterly Highlights. ₹ Lacs Operating Gross Operating PBT PAT Cash Income Profit EBITDA Profit1 12,396 3,903 1,393 1,024 756 1,130 Growth YOY (0.5%) (5.4%) (23.4%) (31.3%) (32.1%) (23.0%) Growth QOQ (5.5%) 2.4% 10.7% (0.3%) (1.9%) (1.7%) Margin2(%) 31.5% 11.2% 8.2% 6.1% Margin –YoY (164 bps) (337 b
Slide 9: Quarterly Highlights (Cont.)
Quarterly Highlights (Cont.). ₹ Lacs ROE(%)2 ROCE(%)2 Particulars 31-Dec-22 31-Mar-23 30-Sep-23 31-Dec-23 Net Worth 16,526 17,722 18,470 19,404 21.7% 23.4% 27.9% 30.2% 21.8% 21.3% 16.7% 16.3% Gross Debt - - - 504 Cash & Cash equivalent 1,604 760 597 2,636 Net Debt (1,604) (760) (597) (2,132) Dec'22
Slide 10: Quarterly Highlights (Cont..)
Quarterly Highlights (Cont..). ₹ Lacs Writing Instruments Other Products Writing Instruments Other Products Revenue Own Brands Licensed Brands Own Brands Licensed Brands Pentonic Linc & Others Uni-Ball Pentonic Linc & Others Deli Q3 FY24 3,838 5,076 1,875 226 646 708 Sales Contribution (%) 31.0
Slide 11: Quarterly Highlights (Cont..)
Quarterly Highlights (Cont..). ₹ Lacs Writing Instruments Trade Channel Other Products Revenue General Trade Corporate Modern Trade E-Commerce Exports Q3 FY24 7914 1,171 470 266 2,548 Sales Contribution (%) 64.0% 9.5% 3.8% 2.2% 20.6% Q2 FY24 9,509 580 688 486 1,918 Sales Contribution (%) 72.1% 4.
Slide 12: Operational Highlights
Operational Highlights. Increasing touch points Focus on brand building 2,41,424 2,49,354 3.1% 2,18,471 48,676 39,996 2.8% 1,48,898 1,45,110 36,694 35,496 36705 1,41,970 ₹ LACS 1,16,963 2.1% 25,666 1.7% 65,000 1.5% 50,000 56,553 1.6% 539 1,242 414 602 1380 754 FY 19 FY 20 FY 21 FY 22 FY 23 9M FY24 F
Slide 13: Operational Highlights (Cont..)
Operational Highlights (Cont..). Growth in average realization of Pens1 Focus on higher margin products - 8.2% 29.9% 33.1% 1,894 5.53 5.62 5.57 5.62 5.80 5.79 1,739 25.5% 595 31.2% 30.9% 4.9 5.67 641 37 In Lacs 4.52 5.42 4.32 41 3.96 ₹ 3.65 7.0% 1,262 23.8% 1,057 21.8% 20.3% 0.0% FY 18 FY 19 FY 20 F
Slide 14: Quarterly Profit & Loss
Quarterly Profit & Loss. ₹ Lacs Particulars Q3 FY 24 Q3 FY 23 YoY Change Q2 FY 24 QoQ Change 9M FY 24 9M FY 23 YoY Change FY 23 Operating Income 12,396 12,455 (0.5%) 13,122 (5.5%) 36,705 34,947 5.0% 48,676 Gross Profit 3,903 4,126 (5.4%) 3,811 2.4% 11,330 10,488 8.0% 15,197 Gross Profit (%)
Slide 15: Focus on Shareholder Value Creation
Focus on Shareholder Value Creation. Net Cash from Operating Activities Vs Dividend Payout 5,000 60.0% 52% 4,723 4,000 50.0% 4,338 • NCOA1 continues to be strong in 9M FY24 3,835 40.0% 3,705 ₹ LACS 3,000 3,317 • Consistent Dividend Pay-out track record (Other than Covid years 33% 30.0% 2,000 20% 12%
Slide 16: Shareholding Pattern
Shareholding Pattern. 24.8% Promoters 2.1% Mitshubishi Pencil Co Ltd 0.2% IEPF 59.4% 13.4% NRI, FII, AIF etc. Other Public As on December’23 15
Slide 17: Why Linc?
Why Linc?. Education sector Strong Balance Sheet with experiencing strong tail zero debt and free cash in winds in India; hence hand; strong top & bottom- demand for company’s line growth products will continue to grow Presence over all categories Strong in-house – Roller Pen, Gel Pen & Ball manufac
Slide 18: Thank You
Thank You. For further details please contact Director Finance & CFO Investor Relations Advisor N.K.Dujari Email: investors@linclimited.com Landline: +91 33 68262100 Sanjeev Sancheti Email: ir@uirtus.in Website: www.uirtus.in 17