Lumax Industries Limited · NSE:LUMAXIND
Lumax Industries — Investor Presentation (July 2018)
53 slides from Lumax Industries's investor presentation, July 2018
Slide 1: Lumax Industries Limited Investor Presentation July 2018
Lumax Industries Limited Investor Presentation- July 2018
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Lumax Industries Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 3: DK Jain Group
DK Jain Group Leader in Automotive Lighting & Seven Decade Strong Gear Shifters 14 Entities in 8 States 27 Manufacturing Facilities 3 R&D Centres (India) Over 9,000 Employees & 1 Design Centre (Taiwan) 3
Slide 4: Two Listed Entities
Two Listed Entities Lumax Industries Limited Group Revenue Break Up (%) Products & Services FY18 Revenue of Rs. 2,950 Cr End-to-end Automotive Lighting Solutions Partnerships • Stanley – Japan 6% • SL Corporation - Korea 56% Lumax Auto Technologies Limited Products & Services Intake Systems, Integra
Slide 5: Purpose, Vision & Values
Purpose, Vision & Values GROUP PURPOSE We deliver pride and progress with positivity VISION Building an admired high performance global organisation in whom all stakeholders have absolute trust VALUES Respect | Integrity | Passion | Excellence 5
Slide 6: Diversified Product Range – 4-wheelers & CV
Diversified Product Range – 4-wheelers & CV ▪ Destination Boards & Urea Tanks for Commercial Vehicle ▪ Telematics Products & Services Aftermarket products 6
Slide 7: Diversified Product Range – 2-wheelers
Diversified Product Range – 2-wheelers Aftermarket products 7
Slide 8: Fostering Partnerships to Deliver Excellence
Fostering Partnerships to Deliver Excellence Japan Korea Italy Japan JV for Lighting and other JV for Gear Shifters JV for Lighting JV for Emission Systems automotive parts Relationship Since 1984 Relationship Since 1997 Relationship Since 2007 Relationship Since 2008 37.5% in Lumax Industries 78.72
Slide 9: 27 Locations close to Customers
27 Locations close to Customers State Mfg Locations # Haryana Bawal 1 Dharuhera 1 Gurugram 2 Manesar 3 Maharashtra Pune 8 Waluj 2 Karnataka Bengaluru 2 Gujarat Sanand 1 Facilities Location Mehsana 1 Gurugram, Manesar, R&D Centre Tamil Nadu Sriperumbudur 1 Pune Design Centre Taiwan Uttarakhand Haridw
Slide 10: Enhanced 360° Customer View
Enhanced 360°Customer View Understand the Customer ▪ A real understanding of varying customer needs & the capability to deliver outstanding results Environmental Conscious Experienced Team ▪ Environment-conscious work ▪ Highly Qualified & Experienced practices workforce of dedicated professionals Te
Slide 11: Relationships with Diversified Customers
Relationships with Diversified Customers Two Wheeler Four Wheeler Commercial Vehicle Tier 1 11
Slide 12: Relationships with Diversified Customers … Strong After Market Exports Presence
Relationships with Diversified Customers Tractor/FES Export Defence & Aero Space … Strong After Market Exports Presence 12
Slide 13: Lumax Industries Limited: Driving Leadership in Automotive Lighting
Lumax Industries Limited Driving Leadership in Automotive Lighting
Slide 14: Milestone
Milestone 1985: Setup a manufacturing unit in 1981: Lumax Industries Gurugram, Haryana. Pvt Limited established The company went 1945: Founded a after taking over partnership firm public & is listed on partnership firm Globe the stock exchange 1997-98 ‘Globe Auto Industries’ Auto Industries as a Tra
Slide 15: Milestone
Milestone …2005 -2017 a period of strategic expansion 2010: Setup a manufacturing plant in Haridwar, Uttarakhand 2007: Further Equity participation by Stanley, 2011: Setup Japan manufacturing plants in Bawal, Haryana; Sanand, 2008: Setup Gujarat & Bidadi, 2017 manufacturing plant in Karnataka. Also
Slide 16: Competitive Advantages
Competitive Advantages Market Leaders Leadership in Lighting Partnerships With more than 3 decades of partnership Product Portfolio with Stanley, Japan, the only global auto One of the few players with largest lighting company to manufacture LED range of lighting solutions worldwide, having presence
Slide 17: Product Mix
Product Mix Product wise Sales FY18 (Rs. 1,507 Crores)* Product wise Sales Q1FY19 (Rs. 482 Crores)* 11% 12% 23% 22% 66% 66% Front Lighting Rear Lighting Others Front Lighting Rear Lighting Others Front Lighting – Head Lamp & Fog Lamp Rear Lighting –Tail Lamp & High Mount Stop Lamp * Excludes Mould S
Slide 18: Segment Mix
Segment Mix Segment Wise Sales FY18 (Rs. 1,507 Crores)* Segment Wise Sales Q1FY19 (Rs. 482 Crores)* 6% 6% 26% 29% 68% 65% Passenger Vehicles 2-Wheelers Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 18
Slide 19: Customer Mix
Customer Mix Customer wise sales FY18 (Rs. 1,507 Crores)* Customer wise sales Q1FY19 (Rs. 482 Crores)* 483, 32% 155, 32% 287, 19% 105, 22% 107, 7% 35, 7% 169, 11% 44, 9% 154, 10% 44, 9% 176, 12% 131, 9% 81, 17% 18, 4% Figures in Rs. Crores MSIL M&M HCIL HMSI HML TATA Others MSIL M&M HCIL HMSI HML TA
Slide 20: SL Lumax Limited
SL Lumax Limited Sales Breakup SL Lumax Limited FY18 – Rs. 1,084 Crores Associate Company with 21.28% holding 31% Plant in Sriperumbudur (Chennai) In partnership with SL Corporation, Korea, a multinational automotive player with presence in Asia-Pacific, Europe & US 69% Lamps Others Products Lamps K
Slide 21: Strong Customer Base
Strong Customer Base … Four Wheeler Two Wheeler Commercial Vehicle Export Tractor /FES … Servicing almost 90% of OE Customers in India … 21
Slide 22: From Strategic Locations in Key Auto Belts of India
… From Strategic Locations … Pantnagar Dharuhera Bawal Haridwar Gurugram Chakan Sanand Chinchwad SL Lumax Ltd Bengaluru Chennai R&D Centre & Design Centre Gurugram R&D Centre Pune Design … in Key Auto Belts of India Centre Taiwan Map not to scale. All data, information and maps are provided “as is”
Slide 23: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 23
Slide 24: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 24
Slide 25: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 25
Slide 26: In-house R&D & Validation Facility
…In-house R&D & Validation Facility 26
Slide 27: In-house Design Studio
.. In-house Design Studio 27
Slide 28: Share Holding as of 30th June, 2018
Share Holding as of 30th June, 2018 Shareholding breakup Stanley Electric Company Ltd Over three decades of strong technical & financial collaboration with Stanley Electric Company Ltd, DK Jain Japan Others 25.07% Family 37.43% A world leader in Vehicle Lighting & Illumination products for Automobil
Slide 29: Promoter Group
Promoter Group Mr. Dhanesh Kumar Jain Mr. Deepak Jain Mr. Anmol Jain Chairman Emeritus Chairman & Managing Director Jt. Managing Director ▪ He is 75 years of age & holds a MBA ▪ He is 43 years of age & is a Business Graduate ▪ He is 39 years of age & holds degree from Delhi university & has from Ill
Slide 30: Promoter Group
Promoter Group Mr. Tadayoshi Aoki Mr. Koji Swada Mr. Toru Tanabe Senior Executive Director Executive Director Non-Executive Director ▪ He is 52 years old & is a ▪ He is 55 years old & ▪ He is 58 years old & is a Mechanical Engineering from graduated from Osaka graduate from Hosei Tokoyo Denki Univer
Slide 31: Supported by Strong Independent Directors
…Supported by Strong Independent Directors Mr. A P Gandhi Mr. Rajeev Kapoor Mr. M.C. Gupta Mr. Dhiraj Dhar Gupta Mr. Ratan Kapur Ms. Ritika Modi • He is 79 years old & is a • He is 66 years old and • He is 80 years old and is • He is 68 years old and • He is 60 years old & is • She has an industry m
Slide 32: Professional & Experienced Team
Professional & Experienced Team Mr. Vineet Sahni Mr. Sanjay Mehta Mr. Naval Khanna Mr. Vikas Marwah Mr. Shrutikant Rustagi CEO & Senior Executive Director Group – Chief Financial Officer Corporate Head – Taxation Chief Strategy Officer Chief Financial Officer Age: 53 years Age: 50 years Age: 59 year
Slide 33: The Path Ahead
LUMAX The Path Ahead
Slide 34: Rear Lamp – Technology Evolution
Rear Lamp – Technology Evolution Split type Tail Lamp Tail Lamp with LED All LED Tail Lamp 3D LED Tail lamp Adaptive rear Lighting Signature and Tail function 2011-12 2013-mid of 2014 End of 2014 - 2015 2016 2017 onwards • Tail lamps were • New Styling • Penetration of • Almost all the new • All the
Slide 35: Head Lamp – Technology Evolution
Head Lamp – Technology Evolution Head Lamp with Bulb Projector Head Lamp All LED Head Lamp Head Lamp with bulb + Led Head Lamp with LED Projector DRL and LED DRL 2011-13 2014-15 2016-17 2017-18 • Head Lamps with Halogen Bulbs • Introduction of Projector Lamps • Almost all the models were • The futur
Slide 36: Leveraging on our Strengths for LED Market
Leveraging on our Strengths for LED Market The Market Scenario Increased styling demands Creating revenue Influencing the cost of by OEMs to individualise & opportunities for Tier I lighting cluster differentiate suppliers Partnership with Stanley Electric - Stanley is one of the Auto Lighting compa
Slide 37: Financials
LUMAX Financials
Slide 38: Expansion funded through Internal Accruals
Expansion funded through Internal Accruals Gross Block Long Term Loan 973 138.0 812 713 760 103.0 649 661 68.0 36.0 13.0 5.0 FY13 FY14 FY15 FY16 FY17* FY18* FY13 FY14 FY15 FY16 FY17* FY18* Capex Reducing Long Term Debt / Equity 162.0 0.88 0.69 87.0 0.45 70.0 52.0 52.0 0.21 21.0 0.05 0.02 FY13 FY14 F
Slide 39: Revenue & Healthy Margins
Revenue & Healthy Margins Revenue EBITDA 5.71% +243 Bps 8.14% +9% 1,650 +17% 134.3 1,255 1,271 1,070 1,117 1,143 100.3 88.6 61.1 59.3 51.1 FY13 FY14 FY15 FY16 FY17* FY18* FY13 FY14 FY15 FY16 FY17* FY18* PAT Cash PAT 1.30% +253 Bps 3.83% +20% 111.7 +36% 63.2 87.5 46.1 75.3 37.4 52.7 45.2 44.3 13.6 16
Slide 40: Healthy Return Ratios
Healthy Return Ratios ROE (%) ROCE (%) 22.0 32.0 18.3 18.0 25.6 26.0 9.2 12.6 13.2 8.0 8.6 4.4 FY13 FY14 FY15 FY16 FY17* FY18* FY13 FY14 FY15 FY16 FY17* FY18* Dividend (% of Face Value) EPS (in Rs.) 230 67.7 49.3 145 40.0 120 55 14.5 17.7 45 35 8.2 FY13 FY14 FY15 FY16 FY17* FY18* FY13 FY14 FY15 FY16
Slide 41: Consolidated Performance
Consolidated Performance PAT* EPS (in Rs.) 20.0 21.4 17.4 18.6 15.2 16.2 9.3 9.9 Q1FY18 Q1FY19 Q1FY18 Q1FY19 Q1FY18 Q1FY19 Q1FY18 Q1FY19 Standalone Standalone Consolidated Consolidated Standalone Standalone Consolidated Consolidated Net Worth* ROE^ (%) 381.0 22.0 21.0 337.0 310.0 18.0 256.0 14.5 Q1F
Slide 42: YTD Highlights - Consolidated
YTD Highlights - Consolidated Revenue * EBIDTA * PAT * +46% +65% +32% 496 41 20 15 340 25 Q1FY18 Q1FY19 Q1FY18 Q1FY19 Q1 FY18 Q1 FY19 *Rs. Crores # Numbers updated as per IND-AS 42
Slide 43: Consolidated P&L Statement
Consolidated P&L Statement Particulars (Rs. in Crores.) Q1FY19 Q1FY18 Y-o-Y FY18 Total Revenue (Net of Excise duty) 496.20 340.43 45.8% 1,649.92 Raw Material 332.73 223.14 1,090.14 Employee Expenses 53.77 43.37 188.93 Other Expenses 68.93 49.25 236.55 EBITDA 40.76 24.67 65.2% 134.30 EBITDA Margin 8.
Slide 44: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. in Crores.) Mar-18 EQUITY & LIABILITIES Mar-18 Non-current assets Equity Property, plant and equipment 527.77 Equity Share capital 9.35 Capital work-in-progress 33.83 Other intangible assets 4.35 Non Controlling Interest 0.00 Other equity 352.65 Investments acc
Slide 45: Awards & Recognitions
LUMAX Awards & Recognitions
Slide 46: Awards & Recognition
Awards & Recognition Award received from Maruti Suzuki India Ltd - May 2018 For Tier 2 Upgradation For Gujarat Localization For Overall Vendor Performance 46
Slide 47: Awards & Recognition
Awards & Recognition HMSI Awards for New Product Development
Slide 48: Awards & Recognition
Awards & Recognition ICQC Phillipines – Gold Award- Received on 26th October 2017 by both Bawal and Haridwar plant teams 48
Slide 49: Awards & Recognition
Awards & Recognition Overseas Supplier Association-‘Special Recognition Award’ from Toyota Motor Corporation, award being given by Mr. Takeshi Uchiyamada, Chairman, Toyota Motor Corporation 49
Slide 50: TPM Award
TPM Award JIPM-TPM Excellence Award Pantnagar Plant, March 2014 JIPM-TPM Excellence Award Bawal Plant, November 2017 50
Slide 51: Future Ready: New Design Centre in Taiwan
Future Ready: New Design Centre in Taiwan Mr. C K Tao, Director, TAITRA-Taiwan Office, Mr. David Ho, Ex-President, TYC Group, Taiwan, along with Mr. D K Jain, Chairman and Mr. Vineet Sahni, CEO, Lumax Industries Limited 51
Slide 52: CSR Initiatives
CSR Initiatives Towards its endeavour to give back to society, the group has taken various initiatives towards Education of the underprivileged. Four schools in the NCR region, close to its facilities have been adopted, starting with improving its infrastructure, to facilitating the annual fee so as
Slide 53: For further information, please contact:
For further information, please contact: Company: Investor Relations Advisors: Lumax Industries Limited Strategic Growth Advisors Pvt. Limited CIN: L74899DL1981PLC012804 CIN: U74140MH2010PTC204285 Ms. Priyanka Sharma Mr. Rahul Agarwal / Mr. Shrikant Sangani priyanka.sharma@lumaxmail.com rahul.agarwa