Uno Minda Limited · NSE:UNOMINDA
Uno Minda — Minda Industries — Investor Presentation (May 2017)
34 slides from Uno Minda's investor presentation, May 2017
Slide 1: Minda Industries Limited FY 2016-17 Investor Presentation
MINDA INDUSTRIES LIMITED FY 2016-17 Investor Presentation May 2017
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), has been prepared by Minda Industries 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
Slide 3: Driving Excellence; backed by a winning product portfolio
Driving Excellence; backed by a winning product portfolio …… Geographies Products Operations across 4 Continents Over 20 products supplied to leading OEMs Manufacturing Facilities R&D Across the Globe 32 Plants in India 5 R&D Centres; 14 Design Centres Customers Intellectual Property Over 50 OEMs se
Slide 4: An Industry Leader
An Industry Leader Strong R&D Capabilities 1 UNO MINDA has R&D centres across six locations globally enabling the Company to develop products for OEMs. 2 Strategic Manufacturing Locations Strategically located in all automotive hubs in India Global Presence with acquisition of Clarton Horn, Rinder a
Slide 5: Proven Product Leadership
Proven Product Leadership Automotive Switches Automotive Horns Automotive Lighting World’s 2nd largest Horns Player (post acquisition of Clarton Horns) 2 1 India’s largest Switch Player, 3 India’s 3rd largest Automotive Lighting Player, post-acquisition of Rinder Group. diversified across the 2W and
Slide 6: Focused on Value Creation
Focused on Value Creation… Investment in a Future Ready Organization We continue to invest in: Realignment of Our • In House R&D Business • Latest Technologies • People Development Complete realignment is expected Hedged presence in by March 2018 end user segments 4 Present in multiple end user Mark
Slide 7: Staying Ahead of The Curve
Staying Ahead of The Curve 1 2 3 Building Human Capital Focused R&D to Ensure Manufacturing Excellence for a Future Ready Organization technology readiness & Capability Building • Patents – 147 • Strong Process Capabilities : • Strong Leadership for Focussed State of the art SMT Lines & Scalabilit
Slide 8: Pioneer in localization of Auto Components: Through Joint Ventures
Pioneer in localization of Auto Components: Through Joint Ventures We have partnered with global technology leaders in the respective product segments JV with Roki Co. for Air • JV with Toyoda Gosei JV with TTE (Taiwan) for Filters (Japan) for Hoses Driving Assistance Systems JV with Tokai Rika (Jap
Slide 9: Re-Aligning Group Structure... Unified Uno Minda
“Re-Aligning” Group Structure... Unified Uno Minda Consolidate product lines across UNO MINDA Group under MIL Rationale: Creation of single entity with better financial strength resulting in improved competitive position of the businesses of combined entity Help in cost optimization / operating
Slide 10: Re-Aligning Group Structure: Details Phase 1
“Re-Aligning” Group Structure: Details Phase 1 Phase 1, Stage 1 - Increasing MIL stake through Investment in JV Phase 1, Stage 2 - Increasing MIL stake in JV companies & Group companies & Group Companies Companies ASEAN has been consolidated from 51% to 100% from April 2017 for a Additional 50%
Slide 11: Hedged presence in end user segments
Hedged presence in end user segments Geography-wise Breakup FY17 Channel-wise Breakup FY17 Segment -wise Breakup FY17 India International OEM Replacement 2Wheeler 4Wheeler 19% 14% 39% 61% 81% 86% 11
Slide 12: Strengthening our Balance Sheet
Strengthening our Balance Sheet 21% Building Shareholder Value year on year… 19% 11% 9% 38% 39% 12% 7% Sales Growth % 13% EBITDA % ROCE % FY15 FY16 FY17 FY15 FY16 FY17 FY'15 FY'16 FY'17 Growth without stressing the Balance Sheet… 727 1033 0.7 0.6 697 0.6 472 365 Net Worth 420 Debt:Equity Net Fixed A
Slide 13: Business Overview
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Slide 14: Key Milestones for MIL
Key Milestones for MIL Strategic focus & Excellence Leap Going Forward … 39% Revenue growth Complete realignment of our group structure FY16 – FY17 Invest in the latest technology, focus 30% Revenue CAGR on R&D and work with the best Group Business Consolidation people Acquisition: Continue our hedg
Slide 15: Strong Drivers for Growth
Strong Drivers for Growth Regulatory Norms BS-VI expected implementation by 2020 1 Indian Passenger Vehicles Segment India’s low vehicle penetration (32 vehicles per 1000 people in 2015) currently makes it one of the world’s most attractive auto markets. 2 Inflow of Global Investment 3 India becomin
Slide 16: Evolution of Our Product Portfolio
Evolution of Our Product Portfolio The evolution continues… Speakers & Infotainment Hoses 2017 ….. - Fuel Caps 2015-16- EMS Services 2010-14 Alloy Wheels DAPS Blow Moulding Aluminum Die Casting 2001-08 - Air Filtration Systems Batteries Automotive Lighting CNG/LPG Kits 1950-2000 Automotive Horns Org
Slide 17: Group product portfolio – 2 Wheeler
Group product portfolio – 2 Wheeler Handle Bar Assemblies Horns Sensors Filter/ Canisters Lamps Battery Switches. Noise Suppresser Cap Die Casting Equalizer Assembly Components Switch business Horns business Light business Others 17
Slide 18: Group product portfolio – 4 Wheeler
Group product portfolio – 4 Wheeler PWS Auto HVAC Spoiler Headlamp levelling motor Fuel cap Electronic Horn CNG Kit LED lamps Hoses Alloy wheels Electronic accelerator Batteries pedal module Switch business Horns business Light business Others 18
Slide 19: Product Mix
Product Mix Revenue FY17 EBIDTA FY17 Rs. 3,505 Crs. Rs. 384 Crs. Others 26% Others 32% Switches 30% Switches 32% Lighting 22% Horns 17% Horns 17% Lighting 25% Note: Consolidated Data 19
Slide 20: Customer led and Customer Oriented
Customer led and Customer Oriented Switching Systems Lighting Systems Acoustics Systems Bajaj Daimler Maximize Customer Value Auto MSIL Hyundai Others 19% 9% 7% 28% PSA 40% 4% Bajaj TVS Auto 7% Toyota 4% Bajaj Others Boshoku Auto TVS 52% HMSI Automo Others Hedged 16% Motors 7% tive 73% Continuously
Slide 21: Switching Systems
Switching Systems Rs. In Crs Indian’s Largest Manufacturer 9.8% 1200 9.4% 10.0% • Market Share of ~67% • Independent in-house R&D 1000 9.0% • Exports to USA, France, Italy, Austria and others contributing ~6% to Switch sales in FY17 800 8.0% 1035 1167 600 7.0% FY16 FY17 End Use Segment Revenue EBIDT
Slide 22: Lighting Systems
Lighting Systems Leading automotive lighting Systems Rs. In Crs. 1000 9.1% 7.5% 9.0% • Strong R&D capabilities with Design centre in Taiwan 800 and Technical Arrangement with Korean Company 7.0% 600 • Exports to Italy, Indonesia, France, Japan and others 5.0% 400 Contributing 8% to Lighting Sales in
Slide 23: Acoustic Systems
Acoustic Systems One of India’s Largest Players in Horns Rs. In Crs 700 10.2% 11.0% 9.5% 10.0% • With 47% market share 600 • Strong in-house R&D capabilities - Developed 9.0% technology with FIAMM, Italy 500 8.0% • Acquired Clarton Horn which has Revenue of Rs. 396 400 Crs in FY17 7.0% 520 623 300 6
Slide 24: Other Products
Other Products Products Revenue Rs. In Crs 1000 13.0% 933 • India’s largest manufacturer of Alloy Wheels for 4Wheelers 800 9.2% 409 10.0% 637 • Other products 600 • Blow Molding • Fuel Caps 362 129 • Dye Casting • Air Filtration System 400 5.0% • Speakers & Infotainment • Hoses 200 92 395 • Batterie
Slide 25: MDSL: Strong Presence in Replacement Market
MDSL : Strong Presence in Replacement Market % of total Product FY17 After Market Jammu and Kashmir: 8 (Rs.Crs) After Market Sales Sales Himachal Pradesh: 24 Switches 147 32% Punjab: 26 Uttarakhand: 6 Haryana: 41 Lighting 136 29% Delhi: 33 Rajasthan: 51 UP: 62 Assam: 10 Horns 78 17% Bihar: 55 MP: 45
Slide 26: Historical Financials
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Slide 27: Improving Profitability with Strong Balance Sheet
Improving Profitability with Strong Balance Sheet Rs.Crs Revenue EBITDA & EBITDA Margin (%) Consolidated 500 10.9% 12.0% 3,505 9.4% 400 2,527 2,227 6.9% 384 8.0% 300 7.0% 1,706 5.1% 1,340 200 238 4.0% 100 154 93 88 - 0.0% FY13 FY14 FY15# FY16 FY17 FY13 FY14* FY15 FY16 FY17 Debt : Equity ROCE (%) 0.9
Slide 28: Strong Cash Flows
Strong Cash Flows Rs. Crs Consolidated PAT Consolidated OCF 168 339 111 68 156 146 95 28 42 7 FY13 FY14 FY15 FY16 FY17 FY13 FY14* FY15 FY16 FY17 28 28
Slide 29: Improving Dividend Profile
Improving Dividend Profile Dividend as % of Face Value Highest ever Total Dividend @ 110% 110% 70% 60% 30% 30% 30% FY12* FY13 FY14 FY15 FY16 FY17 Board has recommended Final Dividend of Re. 1 per share (50% of FV) The total Dividend for FY17 is Rs. 2.20 per share (110% of FV) 29 29
Slide 30: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Rs. Crs Q4 FY17 Q4 FY16 YoY FY17 FY16 YoY Sales 930 710 3,467 2,506 Other Operating Income 18 8 38 21 Total Operating Income 948 717 32% 3,505 2,527 39% Cost of Material consumed 584 447 2,174 1,610 Employee Cost 125 87 462 326 Other Expenses 128 102 485 353 Oper
Slide 31: Consolidated Balance Sheet
Consolidated Balance Sheet Rs. Crs. Mar-17 Mar-16 Rs. Crs. Mar-17 Mar-16 Shareholder’s Fund 727 472 Non-Current Assets 1,158 787 Share capital 16* 19 Fixed assets 1,033 697 Reserves & Surplus 609 452 Goodwill 0 6 Capital reserve on consolidation 103 0 Share application money pending Non Current Inve
Slide 32: Leadership Team
Leadership Team Board Of Directors Top Management Team Mr. Nirmal K Minda Mr. Sudhir Jain Mr. Anand K Minda Mr. Rajeev Kapoor Chairman & Managing Director Group CFO ED & CEO , Battery & Group Head Aftermarket Business Human Resources Mr. Anand K Minda Mr. Satish Sekhri Mr. J.K. Menon Mr. Pradeep Tiw
Slide 33: Group Holding Structure
Group Holding Structure MIL'S SUBSIDIARIES, JOINT VENTURES AND ASSOCIATES DOMESTIC SUBSIDIARIES OVERSEAS SUBSIDIARIES JOINT VENTURES ASSOCIATES MKL (72%) ASEAN METL (49%) MRPL (27%) Roki Minda (49%) MJ Casting (98%) Sam Global (100%) KMAC (30% ) MIVCL Minda Onkyo (50%) Auto Component (49% ) MACL (10
Slide 34: For further information, please contact
For further information, please contact: Company : Investor Relations Advisors : Minda Industries Ltd. Strategic Growth Advisors Pvt. Ltd. CIN : L74899DL1992PLC050333 CIN : U74140MH2010PTC204285 Mr. Tripurari Kumar Mr. Jigar Kavaiya / Ms. Samantha Francis DGM Strategy & Finance +91 22 6116 6609 / +9