Aditya Vision Ltd. · NSE:AVL
Aditya Vision — Q3 FY2024 Earnings Presentation
38 slides from Aditya Vision's earnings presentation, Feb 7, 2024
Slide 1: Submission of Investor Presentation to BSE
R R R Aditya Vision Limited R R R R R Date- February 07, 2024 BSE Limited Phiroze Jeejeebhoy Towers Dalal Street Mumbai-400 001 SCRIP Code: 540205 Sub: - Submission of Investor Presentation Dear Sir(s) With reference to the above captioned subject, please find attached herewith Investor Presentation
Slide 2: North & East India's Largest Consumer Electronics Retailer
North & East India’s Largest Consumer Electronics Retailer Investor Presentation February 2024
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), have been prepared by Aditya Vision Limited (the “Company”) solely for information purposes and do not constitute any offer, recommendation, or invitation to purchase or subscribe for any securities and shall not form the
Slide 4: Table of Contents
Table of Contents 4-8 Q3 & 9MFY24 Highlights 9-19 Business Overview 20-26 Historical Performance 27-29 Industry Overview 30-37 Appendix Q3FY24 Earnings Presentation 3 3
Slide 5: Q3 & 9MFY24 Highlights
Q3 & 9MFY24 Highlights
Slide 6: Q3 & 9MFY24 Snapshot
Q3 & 9MFY24 Snapshot Financial Performance Operational Performance Growth Drivers • Sustainable growth in revenue • Total store count as of Dec-23 is 132. • High demand due to festive due to increasing contribution of Added two new stores in 3Q24 (1 in season and World Cup fever new stores and high
Slide 7: Q3 & 9MFY24 Financial Performance
Q3 & 9MFY24 Financial Performance Revenue EBITDA PBT PAT 30% 20% 21% 14% 413 43 22 29 318 Q3FY24 24 20 36 Q3FY23 Q3FY24 Q3FY23 Q3FY24 Q3FY23 Q3FY24 Q3FY23 Q3FY24 35% 24% 26% 21% 130 1,368 91 69 104 57 9MFY24 1,016 72 9MFY23 9MFY24 9MFY23 9MFY24 9MFY23 9MFY24 9MFY23 9MFY24 (Rs. in Cr) Q3FY24 Earnings
Slide 8: 9MFY24 Operational Performance
9MFY24 Operational Performance Product Mix (%) Store Count (Nos.) Retail Footprint (Sq ft) 42% 36% 14% 15% 9MFY24 132 5,53,600 19% 21% 93 4,07,100 67% 64% 9MFY23 9MFY24 9MFY23 9MFY24 9MFY23 9MFY24 Home and Entertainment Solutions Digital Gadgets Others 33% 35% 12% 12% FY23 17% 19% 105 4,32,900 79 3,
Slide 9: Q3 & 9MFY24 Financial Performance
Q3 & 9MFY24 Financial Performance Particulars (Rs in Cr) Q3FY24 Q3FY23 YoY% 9MFY24 9MFY23 YoY% Revenue from Operations 413.3 317.9 30% 1,367.6 1,015.9 35% Total Expenditure 369.8 281.7 31% 1,237.8 911.6 36% EBITDA 43.5 36.2 20% 129.8 104.3 24% EBITDA Margin % 11% 11% --- 9% 10% --- Other Income 0.89
Slide 10: Business Overview
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Slide 11: Aditya Vision at a Glance
Aditya Vision at a Glance Patna Headquarters 50%+ Mkt Share Largest Electronic 100% Retail 10,000+ In Bihar as per Crisil Report Retailer Sales Products sold at our Outlets 138 in Jharkhand Showrooms Till Date 100+ 1st Consumer 4,000+ Long Term Relationships with Electronics Retailer 2016 Rs 5.8 cr
Slide 12: Our Journey: 7 Year Revenue CAGR – 28%
Our Journey: 7 Year Revenue CAGR – 28% Average Store Format: 4,000+ Sq Ft SKUs: 10,000+ OEM Relationship: 100+ No Private Labels 2014: Initiated Expansion in 2019: Revenues INR 500+ Cr 2021: Covered all major districts 2022: Revenues INR 1,000+ Cr Bihar of Bihar - 50%+ Market Share 2022: Started exp
Slide 13: Stakeholder Value Creation
Stakeholder Value Creation: High Growth Trajectory while maintaining Return Ratios Gross Margin % ROCE & ROE* (%) 16% 16% 12% 10% 11% 60% 48% 55% 46% 2019 2020 2021 2022 2023 43% 33% With Size, our Gross Margins have improved keeping 29% 28% customer value in focus. 24% 25% ROCE ROE PAT Margin % 5%
Slide 14: Our Driving Principles
Our 5 Driving Principles Customer-centric Large Supplier Scaling up business Prudent Capital Technology driven approach based on base (Brands) to pass on better Allocation with business backed by providing Best selling their prices to customers Strong Corporate Customer focused Range, Lowest Price,
Slide 15: Unique Business Model
Unique Business Model OEM Supply Customer Service ▪ 80% Direct OEM Supply leading ▪ Aditya Seva - One-stop solution for to higher margins after-sales services. ▪ 20% Distributors/C&F Agents ▪ Aditya Suraksha – Allows customers to ▪ Long-term relationships with enjoy an extended warranty 100+ brands
Slide 16: Store Unit Economics At A Glance
Store Unit Economics At A Glance Rs 50-60 lacs 138 (Till date) 12-15% Average Capex per Store Outlets in Bihar + Jharkhand + UP Gross Margin Range --------------------------------------------------- ----------------------------------------------- ----------------------------------------- Rs 2 – 2.25
Slide 17: Common Store Economics
Common Store Economics (% of Sales) FY17 FY18 FY19 FY20 FY21 FY22 FY23 Gross Margin (%) 7% 9% 10% 11% 12% 16% 16% Gross Margin has increased with scale Employee Cost 2% 3% 3% 3% 3% 3% 3% Low store-level employee cost Rent* 1% 1% 1% 1% 3% 3% 2% Average rent of Rs 2 lacs p.m/store. Advertisement
Slide 18: Strategic Focus on Hindi Heartland Region
Strategic Focus on Hindi Heartland Region BIHAR - 100 STORES (37 Districts Covered out of 38 Districts) JHARKHAND - 22 STORES People living in Bihar, Jharkhand & UP (18 Districts Covered out of 24 Districts) UTTAR PRADESH - 16 STORES constitute 30% of India’s Population (12 Districts Covered out of
Slide 19: Revenue Seasonality of the Business
Revenue Seasonality of the Business (5 yrs avg.) Quarterly Share of Revenue(%) Peak Summer Season + Marriage Season + Strong Q1 30% Demand for Cooling Products + Major Stocking up prior to this quarter Q2 18% Weaker Quarter owing to Monsoon + Shraadh months Q3 28% Festive Season with attractive Bran
Slide 20: Roadmap Ahead
Roadmap Ahead Targeting to grow at 20-25% Revenue CAGR over the next 3 – 5 years. Business is ready to scale beyond Bihar, Jharkhand & Uttar Pradesh to adjoining states in the “Hindi Heartland” over the next 3-5 years based on “Creeping Cluster Approach” Reinvest our Cash Flows at a High ROIC to tar
Slide 21: Historical Performance
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Slide 22: H1FY24 Operational Performance
H1FY24 Operational Performance Same Store Sales Growth (%) Bill Cuts (000 in Nos.) Average Selling Price (Rs.) 31% 6% 68% 416 22,491 H1FY24 318 21,124 19% H1FY23* H1FY24 H1FY23 H1FY24 H1FY23 H1FY24 44% 5% 32% 617 21,156 FY23 429 20,173 4% FY22** FY23 FY22 FY23 FY22 FY23 For SSSG of FY23, we have con
Slide 23: H1FY24 Balance Sheet Highlights
H1FY24 Balance Sheet Highlights Working Capital Days Net Debt to EBITDA (x) Net Debt to Equity (x) Earnings Per Share (Rs.) 24% 70 1.47 65 39 53 1.17 0.7 0.7 52 31 H1FY24 17 13 H1FY23 H1FY24 H1FY23 H1FY24 FY22 FY23 H1FY23 H1FY24 Inventory Days Payable Days WC Days 83% 98 83 1.6 53 66 1.54 FY23 53 45
Slide 24: Historical Financial Highlights
Historical Financial Highlights EBITDA (Rs.) EBITDA Margin(%) PAT (Rs.) 64 133 10% 9% 83 7% 35 53 20 3% 3% 14 25 17 6 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 PAT Margin (%) Net Debt to EBITDA (x) Net Debt to Equity (x) 1.6 1.5 5% 1.4 1.4 1.3 4% 1.2 3% 0.8 0.7 2% 0.
Slide 25: Historical Operational Performance
Historical Operational Performance Working Capital Days* 106 98 87 83 66 66 54 45 53 41 24 17 19 17 12 FY19 FY20 FY21 FY22 FY23 *Receivable Days are less than 0 since the Company has negligible Trade Receivables **Payables & Inventory Days is calculated based on Purchases and Cost of Goods Sold resp
Slide 26: Annual Income Statement
Annual Income Statement FY21 FY22 FY23 Particulars (Rs in Cr) FY20 (Post IndAS) (Post IndAS) (Post IndAS) Revenue from Operations 797 748 899 1,322 Total Expenditure 772 695 816 1,189 EBITDA 25 53 83 133 EBITDA Margin % 3% 7% 9% 10% Other Income 9 4 1 3 Depreciation 2 13 16 20 Profit Before Interest
Slide 27: Annual Balance Sheet
Annual Balance Sheet Particulars (Rs in Cr) 31 March 2023 31 March 2022 Particulars (Rs in Cr) 31 March 2023 31 March 2022 Equity and Liabilities Assets Equity Non-Current Asset (a) Equity Share Capital 12 12 Property, Plant and Equipment 56 39 (b) Other Equity 124 67 Capital Work in Progress 8 Tota
Slide 28: Industry Overview
Industry Overview
Slide 29: 2x Electrification in Hindi Heartland – Impetus for Growth
2x Electrification in Hindi Heartland – Impetus for Growth Electricity Consumption in Hindi Heartland States Consumer Electronics Market in India grew by vs Other States has grown by ~2x times 29% in value in 2022 Electricity Consumption (Bn Units) 173 187 ~1.4x 45% 95% 158 155 Major Domestic Applia
Slide 30: Market Penetration & Opportunity in Hindi Heartland
Market Penetration & Opportunity in Hindi Heartland Source: www.statsofindia.in , Business Standard Q3FY24 Earnings Presentation 29
Slide 31: Appendix
Appendix
Slide 32: Our Trade Partners
Our Trade Partners Q3FY24 Earnings Presentation 31
Slide 33: Our Consumer Finance Partners
Our Consumer Finance Partners ~35% Sales Financed Q3FY24 Earnings Presentation 32
Slide 34: Board of Directors
Board of Directors Yashovardhan Sinha Nishant Prabhakar Yosham Vardhan Sunita Sinha Chairman & Managing Director Whole Time Director Whole Time Director Non-Executive Director ✓Promoter, Chairman and ✓ Promoter and Whole-time ✓ Promoter and Whole-time ✓ Promoter, and Non-Executive Managing Director
Slide 35: Independent Directors
Independent Directors Ravinder Zutshi Nusrat Syed Hassan Apeksha Agiwal Atul Sinha Rahul Kumar Independent Director Independent Director Independent Director Independent Director Independent Director ✓45+ years of experience in ✓Managing Director at ✓Highly qualified ✓35+ years at UCO Bank in ✓Quali
Slide 36: Awards & Recognition
Awards & Recognition Carrier Carrier AISEN No.1 Bajaj Most Bajaj Highest Carrier – Third Daikin – Highest Daikin – Outstanding Dell –Best Appreciation Superstar Cooler Sales Preferred Partner Growth for Year Highest RAC Sales RA Sales Sales RLFR of Excellence Achiever RAC Hitachi – Best HDB – O/S HD
Slide 37: In-Store Photo Gallery
In-Store Photo Gallery Newly Opened Ayodhya Store 36 Q3FY24 Earnings Presentation
Slide 38: Thank You
Thank You For further information, please get in touch with: Aditya Vision Ltd. Ms. Akanksha Arya-Company Secretary Tel: +91-612-2520854 | Email:cs@adityavision.in www.adityavision.in Investor Relations Contact: Tanya Verma – Manager, IR Tel: +91-972-7030985 Email: tanya@goindiaadvisors.com Sheetal