V-guard Industries Limited · NSE:VGUARD
V-guard Industries — Q1 FY2019 Earnings Presentation
22 slides from V-guard Industries's earnings presentation, 2018
Slide 1: V-Guard Industries Q1 FY2019 Earnings Presentation
V-Guard Industries Q1 FY2019 Earnings Presentation
Slide 2: Disclaimer
Disclaimer 2 Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those
Slide 3: Table of Contents
Table of Contents 3 MD’s Message 04 Key Highlights 05 Financial Highlights 6-7 Segment-wise/Geographical Breakup of Revenues 8-9 Business Outlook 10 Annexure 11
Slide 4: Managing Director's Message
Managing 4 Director’s Commenting on the performance for Q1 FY19, Mr. Mithun Chittilappilly, Managing Message Director – V-Guard Industries Limited said, “We have made a steady start to the year delivering a topline growth of ~19% in Q1 FY19, adjusted for the GST-related price impact, on a low base l
Slide 5: Key Highlights – Q1 FY2019
Key Highlights – Q1 FY2019 5 • Reported growth of 11.6% YoY to Rs. 634.9 crore - driven by Digital UPS, Kitchen Appliances, Fans, Water Heaters, Wires and Switchgear segments GST adjusted • Weak summer adversely impacted growth in Stabilizer and Pump categories revenue growth of • Non-South markets
Slide 6: Financial Highlights (Q1 FY19 vs Q1 FY18)
Financial Highlights (Q1 FY19 vs Q1 FY18) 6 Chart Title Chart Title 635 193 569 154 Key ratios (%) Q1 FY19 Q1 FY18 Gross Margin 30.4% 27.0% EBITDA Margin 7.8% 6.3% Q1 FY18 Q1 FY19 Q1 FY18 Q1 FY19 Net Margin 5.4% 4.1% Ad Expenditure (incl. promotions)/Total Revenues 6.4% 4.7% Chart Title Chart Title
Slide 7: Financial Highlights – Balance Sheet Perspective
Financial Highlights – Balance Sheet Perspective 7 Balance Sheet Snapshot (Rs. cr) 30 June 2018 31 Mar 2018 30 June 2017 Net worth 790.5 751.6 662.1 Gross debt 11.6 2.4 4.9 Current Investments 145.2 75.2 143.4 Cash and cash equivalents 4.5 4.7 6.5 Net Cash Position (Rs. crore) 138.2 77.5 145.2 Fixed
Slide 8: Segment-wise Breakup of Revenues – Q1 FY19 vs Q1 FY18
Segment-wise Breakup of Revenues – Q1 FY19 vs Q1 FY18 8 Q1 FY19 Contribution Q1 FY18 Contribution YoY growth Like-to-like Products (Rs. Cr) (%) (Rs. Cr) (%) (%) Growth (%) Electronics 240.5 38% 226.8 40% 6% 11% Electricals 261.4 41% 236.6 42% 10% 20% Consumer Durables 133.0 21% 105.7 19% 26% 36% Gra
Slide 9: Geographical Breakup of Revenues
Geographical Breakup of Revenues 9 Q1 FY19 Contribution Q1 FY18 Contribution YoY growth Like-to-like Region (Rs. Cr) (%) (Rs. Cr) (%) (%) growth (%) South 354.6 55.9% 340.3 59.8% 4.2% 12% Non-South 280.3 44.1% 228.8 40.2% 22.5% 30% Total Revenue 634.9 100% 569.1 100% 12% 19%
Slide 10: Business Outlook
Business Outlook 10 • The Company is confident of achieving a volume growth of 15% over the next few years driven by expansion into non-South markets and introduction of new product categories. Revival in consumer demand post the short term disruption caused by GST and demonetisation, moderate infla
Slide 11: Annexure
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Slide 12: Company Overview
Company Overview 12 • Electronics – Stabilizers, UPS, Solar Inverter; Electricals – Cables & Wires, Pumps, Switchgears, Comprehensive portfolio catering to Modular Switches; Consumer Durables – Fans, Water Heaters, Kitchen Appliances, Air Coolers the mass consumption market • Household consumption m
Slide 13: Production Model
Production Model 13 PVC Cable Factory Solar Water Heater Factory Stabilizer Manufacturing Units Product No. of Units Location Outsourcing Objectives Own Manufacturing Facilities • Asset light model outsourcing ~58% products PVC Wiring Cables 2 Coimbatore, Kashipur Pumps & Motors 1 Coimbatore • Compl
Slide 14: Financial Highlights (FY13-18)
Financial Highlights (FY13-18) 14 Revenue EBITDA and EBITDA Margins PAT and PAT Margins 0.068 6.0% 0.057 2,321 9.9% 10.5% Rs. crore 2,114 8.4% 0.085 4.7% 4.6% 8.3% 4.1% Rs. crore 1,746 1,862 7.9% Rs. crore 1,360 1,518 114 127 138 185 222 198 63 70 71 112 145 133 FY13 FY14 FY15 FY16 FY17 FY18 FY13 FY
Slide 15: Operational Highlights (FY13-18)
Operational Highlights (FY13-18) 15 Ad & Promo Spends and as a % of Sales Expanding Geographic Presence 153 25% 30% 33% 33% 35% 37% 95 80 60 69 75% 70% 58 67% 67% 65% 63% 6.6% 4.3% 3.9% 4.0% 4.3% 4.5% FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 South Non-South
Slide 16: Segment-wise Breakup of Revenues – FY18 vs FY17
Segment-wise Breakup of Revenues – FY18 vs FY17 16 FY18 Contribution FY17 Contribution YoY growth Products (Rs. Cr) (%) (Rs. Cr) (%) (%) Electronics 729.2 31.4% 664.8 31.4% 9.7% Electricals 1,017.1 43.8% 940.9 44.5% 8.1% Consumer Durables 575.0 24.8% 508.5 24.0% 13.1% Grand Total 2,321.3 100.0% 2,11
Slide 17: Geographical Breakup of Revenues
Geographical Breakup of Revenues 17 FY18 Contribution FY17 Contribution YoY growth Region (Rs. Cr) (%) (Rs. Cr) (%) (%) South 1,462.8 63% 1,385.5 66% 5.6% Non-South 858.5 37% 728.7 34% 17.8% Total Revenue 2,321.3 100% 2,114.2 100% 9.8%
Slide 18: Market Size (Rs. Crore)
Market Size across Product Segments 18 Products STABILIZERS PVC CABLES COOKTOPS MOTOR PUMPS Organized 700.00 5,500.00 420.00 – 450.00 5,500.00 Market Size (Rs. Crore)* Unorganized 550.00 4,000.00 180.00 – 200.00 5,000.00 Total 1,250.00 9,500.00 600.00 – 650.00 10,500.00 Micro tech, Livguard, Prestig
Slide 19: Market Size (Rs. Crore)
Market Size across Product Segments 19 Products WATER HEATERS FANS UPS Digital UPS Market Size (Rs. Organized 1,325.00 5,000.00 160.00 4,500.00 Crore)* Unorganized 700.00 1,500.00 240.00 750.00 Total 2,025.00 6,500.00 400.00 5,250.00 A.O. Smith, Racold, Bajaj, Crompton, Usha, Bajaj Microtek, Luminou
Slide 20: Market Size (Rs. Crore)
Market Size across Product Segments 20 Products SOLAR WATER HEATER SWITCHGEAR GAS STOVES MIXER GRINDERS Market Size (Rs. Organized 420.00 1,400.00 1,000.00 1,500.00 Crore)* Unorganized 180.00 600 1,000.00 1,000.00 Total 600.00 2,000.00^ 2,000.00 2,500.00 Racold, Emmvee Solar, Butterfly (glass top),
Slide 21: About V-Guard Industries
About V-Guard Industries 21 V-Guard Industries Limited (BSE:532953, NSE: VGUARD) is a Kochi based company, incepted in 1977 by Kochouseph Chittilapilly to manufacture and market Voltage stabilizers. The Company has since then established a strong brand name and aggressively diversified to become a m
Slide 22: Thank You
THANK YOU