Kansai Nerolac Paints Limited · NSE:KANSAINER

Kansai Nerolac Paints — Q2 FY2022-23 Earnings Presentation

20 slides from Kansai Nerolac Paints's earnings presentation, Nov 2, 2022

  1. Slide 1: Cover letter to stock exchanges: Q2 FY2022-23 Investor Presentation

    Page 1 of 20 [ ( KANSAI PAINT NEROLAC 2nd November, 2022 1. Corporate Relationship Department 2. Manager – Listing BSE Limited, National Stock Exchange of India Ltd. PhirozeJeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, BandraKurla Complex, Bandra (E), Mumbai - 400001. Mumbai - 40005

  2. Slide 2: Q2 FY22 Investor Presentation

    Page 2 of 20 Q2 FY22 Investor Presentation 3rd November 2022

  3. Slide 3: Agenda

    Page 3 of 20 1 Business Environment 2 Business Update 3 ESG & CSR Initiatives 4 Financial Performance All rights for this presentation are reserved with Kansai Nerolac Paints Limited. Investor Presentation 3rd Nov 2022

  4. Slide 4: Disclaimer

    [ ( KANSAI PAINT Page 4 of 20 NEROLAC Disclaimer This presentation may contain statements which reflect management’s current views and estimates and could be construed as forward making statements. The future involves certain risks and uncertainties that could cause actual results to differ material

  5. Slide 5: 1. Business Environment

    Page 5 of 20 1. Business Environment All rights for this presentation are reserved with Kansai Nerolac Paints Limited. Investor Presentation 3rd Nov 2022

  6. Slide 6: Recap of Business Environment Q2 2022-23

    [ ( KANSAI PAINT Page 6 of 20 NEROLAC Recap of Business Environment Q2 2022-23 Geo political Challenges & Ukraine war Crude oil price Currency Depreciation I Good Demand in Automotive Decorative-Extended Monsoon Rural demand uptick Investor Presentation 3rd Nov 2022

  7. Slide 7: 2. Business Update

    Page 7 of 20 2. Business Update All rights for this presentation are reserved with Kansai Nerolac Paints Limited. Investor Presentation 3rd Nov 2022

  8. Slide 8: Marketing and Media Campaigns

    KANSAl. - - - - - - - - - - - - - - - - - - - - - - - - - -Page 8 of -20 [ ( PAINT --- ------------------------7 NEROLAC Marketing and Media Campaigns Associate Sponsor for Presence in popular News Social Media Communication & Entertainment channels Indian idol Season 22 NEROLAC + 4.-, ,ti•,tl •!!;

  9. Slide 9: Decorative Highlights

    [ ( KANSAI PAINT Page 9 of 20 NEROLAC Decorative Highlights New Product Launched in H1 True sheen Impressions Epoxy Primer • 3 % Price increase was taken in H1 Exterior Emulsion Kashmir • New business: Momentum maintained • Emulsion Salience continues to increase • Introduction of new products has i

  10. Slide 10: Industrial Highlights

    [ ( KANSAI PAINT Page 10 of 20 NEROLAC Industrial Highlights • Demand in the Auto industry continues to be on a upward trajectory • Passenger Vehicle (PV) OEM segment is back on track • Demand in Two wheeler & Tractor segment remained subdued • Price increase was obtained from many Auto customers in

  11. Slide 11: 3. ESG & CSR Initiatives

    Page 11 of 20 3. ESG & CSR Initiatives All rights for this presentation are reserved with Kansai Nerolac Paints Limited. Investor Presentation 3rd Nov 2022

  12. Slide 12: ESG - Sustainability

    [ ( KANSAI PAINT Page 12 of 20 ~---------------------------------------------------~ NEROLAC ESG - Sustainability Recognition Sustainability & ESG Assessments CRISIL An S&P Global Company FTSE 4 Good • Participated in S&P Global DJSI CSA 2022 CRISIL ESG Compendium (Corporate Sustainability Assessmen

  13. Slide 13: Environment, Health and Safety – Key Highlights

    [ ( KANSAI PAINT Page 13 of 20 NEROLAC Environment, Health and Safety – Key Highlights Greenbelt Development Certification • Conducted a tree planting activity in Jainpur Plant with a • Nerofix Private Limited, Dadra plant successfully total of 2357 trees planted in a day. achieved the certification

  14. Slide 14: 4. Financial Performance

    Page 14 of 20 4. Financial Performance All rights for this presentation are reserved with Kansai Nerolac Paints Limited. Investor Presentation 3rd Nov 2022

  15. Slide 15: Financials Standalone Q2 & H1 FY 22-23

    [ ( KANSAI PAINT Page 15 of 20 NEROLAC Financials Standalone Q2 & H1 FY 22-23 Q2 % to Q2 % to H1 % to H1 % to Rs. In Millions 2021-22 Net Sales 2022-23 Net Sales 2021-22 Net Sales 2022-23 Net Sales Net Revenue 15,207 100.0 18,143 100.0 28,424 100.0 37,588 100.0 Contribution 3,514 23.1 4,269 23.5 7,2

  16. Slide 16: Financials Consolidated Q2 & H1 FY 22-23

    [ ( KANSAI PAINT Page 16 of 20 NEROLAC Financials Consolidated Q2 & H1 FY 22-23 Q2 % to Q2 % to H1 % to H1 % to Rs. In Millions 2021-22 Net Sales 2022-23 Net Sales 2021-22 Net Sales 2022-23 Net Sales Net Revenue 16,196 100.0 19,309 100.0 30,224 100.0 39,823 100.0 Contribution 3,758 23.2 4,609 23.9 7

  17. Slide 17: Financial Analysis Q2 & H1 FY 22-23

    [ ( KANSAI PAINT Page 17 of 20 NEROLAC Financial Analysis Q2 & H1 FY 22-23  Positive Factors • Good Demand momentum witnessed in Auto • Improvement in Industrial Profitability • Operating cost control Initiatives continued • Though Inflation Continues , raw materials prices easing off  Negative Fa

  18. Slide 18: Subsidiaries – International and Domestic

    [ ( KANSAI PAINT Page 18 of 20 NEROLAC Subsidiaries – International Nepal Bangladesh Sri Lanka • Net Sales grew by double digit for • Net Sales grew by more than 20% • Net Sales grew more than 50 % Q2 • Price increase taken on select • Margin Improvement Witnessed • Economy exterior primer range of

  19. Slide 19: Risk and Outlook

    [ ( KANSAI PAINT ,---------------------------------------------, Page 19 of 20 NEROLAC Risk and Outlook  Risk  Strengthening of USD  Uncertain geopolitical conditions could be detrimental.  Outlook  New business is expected to maintain momentum  Project business is expected to gain from the re

  20. Slide 20: Thank you

    Page 20 of 20 Thank you All rights for this presentation are reserved with Kansai Nerolac Paints Limited.

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