Lumax Industries Limited · NSE:LUMAXIND
Lumax Industries — Investor Presentation (August 2019)
58 slides from Lumax Industries's investor presentation, August 2019
Slide 1: Lumax Industries Limited Investor Presentation - August 2019
Lumax Industries Limited Investor Presentation - August 2019
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 29 Manufacturing Facilities 4 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 FY19 Revenue of Rs. 3,370 Cr End-to-end Automotive Lighting Solutions Partnerships • Stanley – Japan 5% • SL Corporation - Korea 55% Lumax Auto Technologies Limited Products & Services Intake Systems, Integra
Slide 5: Purpose, Vision & Values
Purpose, Vision & Values LUMAX # 1K JAIN sna manna OUR GROUP OUR VALUES OUR VISION PURPOSE Resovect Buising vt admired We celiver . high performance ; Integrity pride gnty phal orqarisetion ir and Passion whom all scekebalde = progress ‘ veh Excellence Lee apen ee a positivity * x LUMAX — ral
Slide 6: Diversified Product Range – 4-wheelers & CV
Diversified Product Range – 4-wheelers & CV 6
Slide 7: Diversified Product Range – 2-wheelers
Diversified Product Range – 2-wheelers 7
Slide 8: Fostering Partnerships to Deliver Excellence
Fostering Partnerships to Deliver Excellence Japan Korea Italy JV FOR LIGHTING JV FOR LIGHTING AND OTHER JV FOR EMISSION SYSTEMS AUTOMOTIVE PARTS Relationship Since 1984 Relationship Since 1997 Relationship Since 2007 50% 37.5% in Lumax 78.72% in SL Lumax in Lumax Cornaglia Auto Industries Limited L
Slide 9: Fostering Partnerships to Deliver Excellence
Fostering Partnerships to Deliver Excellence JAPAN ISRAEL SPAIN EXCLUSIVE DISTRIBUTORSHIP JV FOR SALE OF TELEMATICS JV FOR OXYGEN SENSORS AGREEMENT PRODUCTS AND SERVICES Relationship Since 2014 Relationship Since 2017 50% in Relationship Since 2017 49% in Lumax Lumax Ituran Telematics Pvt. Ltd. FAE
Slide 10: 29 Locations close to Customers
29 Locations close to Customers State Mfg Locations # Haryana Bawal 1 Dharuhera 1 Gurugram 2 Manesar 3 Maharashtra Pune 9 Waluj 3 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 11: 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 12: Relationships with Diversified Customers
Relationships with Diversified Customers Two Wheeler Four Wheeler Commercial Vehicle Tier 1 12
Slide 13: Relationships with Diversified Customers … Strong After Market Exports Presence
Relationships with Diversified Customers Tractor/FES Export Defence & Aero Space … Strong After Market Exports Presence 13
Slide 14: Driving Leadership in Automotive Lighting
Lumax Industries Limited Driving Leadership in Automotive Lighting
Slide 15: 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 16: Milestone
Milestone …2005 -2019 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 2017-19 Bawal, Haryana; Sanand, 2008: Setup Gujarat & Bidadi, manufacturing plant in Karnataka. Al
Slide 17: 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 presen
Slide 18: Product Mix Q1FY20
Product Mix Q1FY20 Product wise Sales Q1FY19 (Rs. 468 Crores)* Product wise Sales Q1FY20 (Rs. 391 Crores)* 12% 7% 26% 22% 66% 67% 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 M
Slide 19: Segment Mix Q1FY20
Segment Mix Q1FY20 Segment wise Sales Q1FY19 (Rs. 468 Crores)* Segment wise Sales Q1FY20 (Rs. 391 Crores)* 6% 6% 29% 29% 65% 65% Passenger Vehicles 2-Wheelers Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 19
Slide 20: Customer Mix Q1 FY20
Customer Mix Q1 FY20 Customer wise Sales Q1FY19 (Rs. 468 Crores)* Customer wise Sales Q1FY20 (Rs. 391 Crores)* 155, 33% 68, 18% 150, 38% 93, 20% 23, 6% 35, 8% 39, 10% 44, 9% 44, 9% 59, 15% 35, 9% 81, 17% 18, 4% 17, 4% Figures in Rs. Crores MSIL M&M HCIL HMSI HML TATA Others MSIL M&M HCIL HMSI HML TA
Slide 21: LED Lighting vs Conventional Lighting
LED Lighting vs Conventional Lighting Product wise Sales FY19 (Rs. 1,802 Crores)* Product wise Sales Q1FY20 (Rs. 391 Crores)* 33% 35% 67% 65% Conventional Lighting LED Lighting Conventional Lighting LED Lighting * Excludes Mould Sales 21
Slide 22: SL Lumax Limited
SL Lumax Limited Sales Breakup SL Lumax Limited FY19 – Rs. 1,255 Crores Associate Company with 21.28% holding 30% Plant in Sriperumbudur (Chennai) In partnership with SL Corporation, Korea, a multinational automotive player with presence in Asia-Pacific, Europe & US 70% Lamps Others Products Lamps K
Slide 23: Strong Customer Base
Strong Customer Base … Four Wheeler Two Wheeler Commercial Vehicle Export Tractor /FES … Servicing almost 90% of OE Customers in India … 23
Slide 24: From Strategic Locations in Key Auto Belts of India
… From Strategic Locations … Pantnagar Dharuhera Bawal Haridwar Gurugram Chakan Manesar Chinchwad Sanand SL Lumax Ltd Chennai R&D Centre & Design Centre Bengaluru 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
Slide 25: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 25
Slide 26: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 26
Slide 27: State of Art Manufacturing Facilities
State of Art Manufacturing Facilities 27
Slide 28: In-house R&D & Validation Facility
…In-house R&D & Validation Facility 28
Slide 29: In-house Design Studio
.. In-house Design Studio LUMNAX 29
Slide 30: Share Holding as of 30th June, 2019
Share Holding as of 30th June, 2019 Shareholding breakup Stanley Electric Company Ltd Over three decades of strong technical & financial collaboration with Stanley Electric Company Ltd, DK Jain Japan Others 25.00% Family 37.50% A world leader in Vehicle Lighting & Illumination products for Automobil
Slide 31: Promoter Group
Promoter Group Mr. Dhanesh Kumar Jain Mr. Deepak Jain Mr. Anmol Jain Chairman Emeritus Chairman & Managing Director Jt. Managing Director ▪ He is 76 years of age & holds a MBA ▪ He is 44 years of age & is a Business Graduate ▪ He is 40 years of age & holds degree from Delhi university & has from Ill
Slide 32: 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 33: 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 80 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 61 years old & is • She is 38 years old a
Slide 34: 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: 54 years Age: 52 years Age: 61 year
Slide 35: The Path Ahead
LUMNAX The Path Ahead
Slide 36: 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 37: 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 2017-19 • Head Lamps with Halogen Bulbs • Introduction of Projector Lamps • Almost all the models were • The futur
Slide 38: 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 39: Financials
LUMNAX Financials
Slide 40: Strong Growth in Total Income with Healthy Margins
Strong Growth in Total Income with Healthy Margins Revenue Reported EBITDA# 5.68% +423 Bps 9.65% +13% 1,851.5 1,649.4 178.7 1,255.2 1,270.9 +29% 1,142.6 143.6 106.8 92.9 64.9 FY15 FY16 FY17* FY18* FY19* FY15 FY16 FY17* FY18* FY19* PAT Cash PAT 1.45% +436 Bps 5.80% 167.7 107.4 +34% +60% 111.1 63.2 87
Slide 41: Expansion funded through Internal Accruals
Expansion funded through Internal Accruals Gross Block Long Term Loan 1,047 68.0 973 760 812 713 36.0 13.0 5.0 2.7 FY15 FY16 FY17* FY18* FY19* FY15 FY16 FY17* FY18* FY19* Capex Reducing Long Term Debt / Equity 162.0 0.45 94.0 70.0 0.21 52.0 52.0 0.05 0.02 0.01 FY15 FY16 FY17* FY18* FY19* FY15 FY16 F
Slide 42: Healthy Return Ratios
Healthy Return Ratios ROE (%) ROCE (%) 21.6 21.1 32.0 32.0 18.3 18.0 25.6 26.0 9.2 13.2 FY15 FY16 FY17* FY18* FY19* FY15 FY16 FY17* FY18* FY19* Dividend (% of Face Value) EPS (in Rs.) 350 114.9 230 67.7 145 49.3 120 40.0 55 17.7 FY15 FY16 FY17* FY18* FY19*^ FY15 FY16 FY17* FY18* FY19* ^ Total Divide
Slide 43: Q1FY20 Highlights - Consolidated
Q1FY20 Highlights - Consolidated Revenue EBIDTA* Adj. PAT 8.5% 9.8% 482 41 20 39 402 17 Q1FY19 Q1FY20 Q1FY19 Q1FY20 Q1FY19 Q1FY20 # Numbers updated as per IND-AS Rs. Crores * Including other income 43
Slide 44: Standalone P&L Statement
Standalone P&L Statement Particulars (Rs. in Crores) Q1 FY20 Q1 FY19 YoY Q4F Y19 QoQ FY19 Manufacturing Revenue 391.04 468.13 417.99 -6.4% 1,802.41 Molds Revenue 10.98 13.78 14.66 -25.1% 49.04 Total Operating Revenue (Net of Excise duty) 402.02 481.91 -16.6% 432.65 -7.1% 1,851.45 Other Income 1.09 0
Slide 45: Standalone Balance Sheet
Standalone Balance Sheet ASSETS (Rs. in Crores) Mar-19 Mar-18 EQUITY & LIABILITIES Mar-19 Mar-18 Non-current assets Equity Property, plant and equipment 544.12 514.02 Equity Share capital 9.35 9.35 Capital work-in-progress 49.00 33.83 Investment property 0.72 0.00 Non-Controlling Interest 0.00 0.00
Slide 46: Consolidated P&L Statement
Consolidated P&L Statement Particulars (Rs. in Crores) Q1 FY20 Q1 FY19 YoY Q4F Y19 QoQ FY19 Manufacturing Revenue 391.04 468.13 -16.5% 417.99 -6.4% 1,802.41 Molds Revenue 10.98 13.78 -20.3% 14.66 -25.1% 49.04 Total Operating Revenue (Net of Excise duty) 402.02 481.91 -16.6% 432.65 -7.1% 1,851.45 Oth
Slide 47: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. in Crores) Mar-19 Mar-18 EQUITY & LIABILITIES Mar-19 Mar-18 Non-current assets Equity Property, plant and equipment 544.12 514.02 Equity Share capital 9.35 9.35 Capital work-in-progress 49.00 33.83 Investment property 0.72 0.00 Intangible assets 4.61 4.35 Other
Slide 48: Awards & Recognitions
LUMNAX Awards & Recognitions
Slide 49: Awards & Recognition
Awards & Recognition Lumax Industries Limited won the Overall Performance (Shield) Award from Maruti Suzuki India Limited in May, 2019.
Slide 50: Awards & Recognition
Awards & Recognition Lumax Industries bagged four prestigious awards from ACMA for Manufacturing Excellence, Excellence in Technology - Product Innovation and Excellence in Supplier Development in 2019.
Slide 51: Awards & Recognition
Awards & Recognition Award received from Maruti Suzuki India Ltd - May 2018 For Tier 2 Upgradation For Gujarat Localization For Overall Vendor Performance 51
Slide 52: Awards & Recognition
Awards & Recognition HMSI Awards for New Product Development
Slide 53: Awards & Recognition
Awards & Recognition SML Isuzu Award for Design and Development
Slide 54: Awards & Recognition
Awards & Recognition Team Sankalp from Lumax Industries Limited, Bawal won the 'Best Overall Project' Award at the ICQCC, Singapore, 2018. It was the highest award of the competition. Team Sankalp also bagged the 'Star Award'. While both Team Sankalp and Team Jagriti from Lumax Industries Limited, D
Slide 55: TPM Award
TPM Award JIPM Award for Excellence in Consistent TPM Commitment Pantnagar Plant, 2019 JIPM-TPM Excellence Award Bengaluru Plant, 2019 55
Slide 56: TPM Award
TPM Award JIPM-TPM Excellence Award Pantnagar Plant, March 2014 JIPM-TPM Excellence Award Bawal Plant, November 2017 56
Slide 57: 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 58: 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. Shogun Jain / Mr. Pratik R. Shah priyanka.sharma@lumaxmail.com shogun.jain@sgap
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