Blue Star Limited · NSE:BLUESTARCO
Blue Star — Q1 FY2024 Earnings Presentation
37 slides from Blue Star's earnings presentation, Aug 4, 2023
Slide 1: Exchange filing cover letter for Q1FY24 investor presentation
August 4, 2023 BSE Limited National Stock Exchange of India Ltd Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Bandra Kurla Complex, Bandra (East), Mumbai – 400 001 Mumbai – 400 051 BSE Scrip Code: 500067 NSE Symbol: BLUESTARCO Dear Sir/Madam, Sub: Investors’ Presentations fo
Slide 2: Blue Star Limited Investor Presentation – Q1FY24
Blue Star Limited Investor Presentation – Q1FY24 August 4, 2023 1
Slide 3: About Blue Star
About Blue Star • India’s leading air-conditioning, commercial refrigeration and MEP contracting company • Total Revenue from Operations: Rs. 7977 crores • Employee Strength: 3132 • 7 manufacturing facilities • 30 offices; 4040 channel partners • Present in select markets in the Middle East, Africa,
Slide 4: Blue Star – Vision & Credo
Blue Star – Vision & Credo Vision : “To dream, to strive, to care and, above all to be the best in everything we do.” Credo : “I am Blue Star. I take pride in delivering a world- class customer experience.” 3
Slide 5: Governance Structure
GovernanceStructure Governance Structure Chairmen Emeriti Ashok M Advani Suneel M Advani Board of Directors Shailesh Haribhakti Vir S Advani B Thiagarajan Chairman Vice Chairman & Managing Director Managing Director Sam Balsara Anil Harish Anita Ramachandran Arvind K Singhal Rajiv R Lulla Sunaina Mu
Slide 6: Business Segments
Business Segments 5
Slide 7: Business Segments
Business Segments Electro-Mechanical Unitary Products Professional Electronics Projects (Room ACs, Air Coolers, Air and Industrial Systems & Purifiers, Water Purifiers and (Housed under a wholly Commercial Air Commercial Refrigeration owned subsidiary, Blue Star Conditioning Systems Products & Syste
Slide 8: Segment I Electro-Mechanical Projects and Commercial Air Conditioning Systems
Segment I Electro-Mechanical Projects and Commercial Air Conditioning Systems 7
Slide 9: Electro-Mechanical Projects
Electro-Mechanical Projects • Design, engineering, procurement and execution of MEP projects in buildings (including Airports), factories (including Data centres) and infrastructure (Metro rail, Electrical substations, Railway electrification & Water MEP) segments • Large central air conditioning &
Slide 10: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Complete range of energy-efficient Packaged and Ducted split air conditioners • Innovative New range of Packaged & Ducted Split air conditioners with Special Filters and UVGI • Innovative new generation Inverter ducted system • VRF V Plus, the fifth generation V
Slide 11: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Highly efficient 5 Star rated Configured Oil Free chillers • Mix and Match Configured Series- Air- Cooled and Water-Cooled Screw chillers • Energy-efficient 5 Star VFD Screw Chillers • Energy-efficient 3 Star Inverter scroll chillers • Process chillers for indus
Slide 12: Commercial Air Conditioning Systems
Commercial Air Conditioning Systems • Large Capacity Mix and Match Configured Series- Screw chillers • 5th Generation Side discharge VRF 11 11
Slide 13: After Sales Service
After Sales Service • India’s largest air conditioning and refrigeration service provider • Maintaining around 2 million tonnes of air conditioning and refrigeration equipment • Backed by our value proposition “Gold Standard service delivery”, we extensively expanded our service reach to Tier 2, 3 &
Slide 14: International Business
International Business • The Company’s wholly owned subsidiary, Blue Star International FZCO at Dubai Airport Free Zone (DAFZA) Dubai manages businesses in the Middle East, Africa, ASEAN and SAARC regions • Focus on building a larger international footprint by appointing new distributors and going d
Slide 15: Some of our prestigious projects
Some of our prestigious projects Yotta Data Centre - Noida Wistron Infocomm - Bengaluru Bangalore Metro Rail Corporation Freudenberg Plant - Punjab Jockey Factory - Cuttack Hines Group 14
Slide 16: Some of our prestigious international projects
Some of our prestigious international projects Al Wasl Shopping Centre - Dubai Vox Cinema - Dubai Al Bayt International Stadium Al Salam - Dubai PAVILLION 2, BUKIT JALIL MALL, Malaysia Bowyer Wick Office & Warehouse 15
Slide 17: Segment II Unitary Products
Segment II Unitary Products 16
Slide 18: Room Air Conditioners
Room Air Conditioners • Wide range of highly-affordable split ACs offering state-of-the-art features and premium build quality • Installed base of over two million units. • Products available in 8000 outlets in more than 650 locations across the country. • Focus on inverter technology, energy effici
Slide 19: Low penetrated market and growing middle class offer opportunity for growth
Low penetrated market and growing middle class purchasing power offer immense opportunity for growth… Market Size (Units in millions) – FY23 Penetration % - FY23 150 60.0% 85 30.0% 8 7.0% Global China India Global China India Blue Star Market Share (%) 13.0% 13.3% 13.5% 12.3% 12.5% FY19 FY20 FY21 FY
Slide 20: Commercial Refrigeration Products
Commercial Refrigeration Products • Wide range of commercial refrigeration equipment • Market leader in most of the segments • Products having latest technology with innovative features: – Deep Freezers – Bottle Coolers – Visi Coolers/Freezers – Storage Water Coolers/Dispensers – Bottled Water Dispe
Slide 21: State-of-the-Art Manufacturing Facilities
State-of-the-Art Manufacturing Facilities Himachal Pradesh 1 Himachal Pradesh 2 New world-class manufacturing facility for Room ACs at Sri City under Blue Star Climatech Limited, a wholly owned subsidiary commenced commercial production in Ahmedabad FY23 Dadra Second plant at Wada Wada commenced Bir
Slide 22: Manufacturing Facilities
Manufacturing Facilities • Specialise in manufacturing a variety of highly engineered and custom-built products. • Manufacturing footprint of 1.3 lakh square meter. • Over 300 models manufactured across 25 product lines. • Lean manufacturing and world-class practices. • Green Building initiative - W
Slide 23: Manufacturing Facilities
Manufacturing Facilities • Automation of processes using robots and Cobots • Using Product Life Cycle Management to improve New product Introduction process • Improved efficiency of operations through Digital Work Instruction, Augmented reality, Auto guided vehicle, Additive manufacturing, Poka Yoke
Slide 24: Research & Development
Research & Development • Consistent investment in R&D to enhance company’s product offerings and technical capabilities • Focus on energy efficient and sustainable products and technologies • Cost innovation through Total Cost Management and Design to Value, initiative for highly affordable air cond
Slide 25: Segment III Professional Electronics & Industrial Systems
Segment III Professional Electronics & Industrial Systems 24
Slide 26: Professional Electronics & Industrial Systems
Professional Electronics & Industrial Systems • Managed by the Company’s wholly owned subsidiary, Blue Star Engineering & Electronics Ltd • Bringing world class technology led solutions to customers across a wide range of industries • Evolved from being only a distributor of leading global manufactu
Slide 27: Professional Electronics & Industrial Systems
Professional Electronics & Industrial Systems • Lines of Business include: – MedTech Solutions – Data Security Solutions – Industrial Solutions • Non-Destructive Testing Solutions • Material Testing Systems • Warehouse Automation • Metrology Solutions 26
Slide 28: BLUE STAR
BLUE STAR 27
Slide 29: ESG Principles Embedded in Blue Star's Business Practices
ESG Principles Embedded in Blue Star’s Business Practices ENVIRONMENT • Industry leader in energy-efficiency for Room ACs, Deep Freezers and Screw Chillers with VFDs • Number 1 in E-Waste compliance in the Room AC industry • Focused initiatives for reducing energy and water consumption • Focus on Ci
Slide 30: Financial Performance Q1FY24
Financial Performance Q1FY24 29
Slide 31: Financial Performance – Q1FY24
Financial Performance – Q1FY24 Revenue (Rs Cr) EBITDA (Rs Cr) 145 2226 123 1977 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Profit before tax (Rs Cr) Earnings per share (EPS)* (Rs ) 4.33 114 3.86 101 Q1FY23 Q1FY24 Q1FY23 Q1FY24 *Not Annualized 30
Slide 32: Balance Sheet indicators – Q1FY24
Balance Sheet indicators – Q1FY24 Net Borrowing (Rs Cr) Net Debt / Equity (times) 283 0.20 -81 * Q1FY23 Q1FY24 Q1FY23 Q1FY24 Capital Turns (times) Return on Capital Employed (%) 7.3 40% 6.1 34% Q1FY23 Q1FY24 Q1FY23 Q1FY24 *Net Positive Cash Position 31
Slide 33: Segment 1: EMP and Commercial Air-Conditioning systems
Segment 1: EMP and Commercial Air-Conditioning systems Segment Revenue (Rs Cr) Segment Result (Rs Cr) 949 67 797 45 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Capital Employed (Rs Cr) Return on Capital Employed (%) 527 71% 54% 308 Q1FY23 Q1FY24 Q1FY23 Q1FY24 32
Slide 34: Segment 1: Orders Booked and Carried forward Orders
Segment 1: EMP and Commercial Air-Conditioning systems Orders Booked Carried forward Orders (Rs Cr) (Rs Cr) 5106 1366 1225 3655 Growth of 11% Q1FY23 Q1FY24 Q1FY23 Q1FY24 33
Slide 35: Segment 2: Unitary Products
Segment 2: Unitary Products Segment Revenue (Rs Cr) Segment Result (Rs. Cr) 1198 1128 91 89 Q1FY23 Q1FY24 Q1FY23 Q1FY24 Capital Employed (Rs Cr) Return on Capital Employed (%) 696 53% 49% 439 Q1FY23 Q1FY24 Q1FY23 Q1FY24 34
Slide 36: Segment 3: Professional Electronics & Industrial Systems
Segment 3: Professional Electronics & Industrial Systems Segment Revenue (Rs Cr) Segment Result (Rs. Cr) 78 53 10 6 Q1FY23 Q1FY24 Q1FY23 Q1FY24 35
Slide 37: Thank you
Thank you 36