Symphony Limited · NSE:SYMPHONY
Symphony — Investor Presentation (August 2016)
34 slides from Symphony's investor presentation, August 2016
Slide 1: Corporate presentation 2016
Corporate presentation 2016
Slide 2: Air cooling simplified
Symphony Limited Corporate presentation 2016 Air cooling simplified WATER DISTRIBUTOR COOL FILTERED AIR HOT DRY AIR FAN EVAPORATIVE MEDIA WATER RESERVOIR 2
Slide 3: Widest product range
Symphony Limited Corporate presentation 2016 Widest product range Cloud – World’s First Wall Mounted Air Cooler Window Air Cooler Range Portable Air Cooler Range 3
Slide 4: Widest product range
Symphony Limited Corporate presentation 2016 Widest product range Central Air Cooling Solution Range of Packaged Air Coolers 4
Slide 5: Multi-stage Air Purification
Symphony Limited Corporate presentation 2016 Multi-stage Air Purification i-Pure Range 5
Slide 6: Air cooling edge
Symphony Limited Corporate presentation 2016 Air cooling edge Runs at the operating Works on Use it outside, Delivers fresh, cost of a fan inverter power use it inside. filtered cool air. 6
Slide 7: Milestones
Symphony Limited Corporate presentation 2016 Symphony - milestones Established in 1988 Pre-2000s, Ventured into the Suffered financial with a portfolio positioning: ‘Many manufacture of ACs, stress and comprising one air products – One washing machines restructured cooler model market’ and other dur
Slide 8: Business model
Symphony Limited Corporate presentation 2016 Business model Positioning Design-driven Brand-focused Focused on offering cutting- Best-in-class design, a World and India’s leading edge cooling technology significant advantage over air-cooler brand competitors Progressively product- 15 robust sub-bran
Slide 9: Innovations
Symphony Limited Corporate presentation 2016 Innovations 1988 1994 2000 2004 2005 2007 Marketed the first Introduced an air Unveiled e-flow Equipped air Introduced Launched air coolers branded plastic cooler with technology for coolers with four- humidity control with Power Saver air cooler in India
Slide 10: Sectoral entry barriers
Symphony Limited Corporate presentation 2016 Sectoral entry barriers Leader in terms Leader in brand Leader in Leader in of innovation and category management customer-centric status • Technology, design, • Focused approach • Entrenched experience • Expanding portfolio quality, features and (what to
Slide 11: Revenue break-up 2015-16 (9M)
Symphony Limited Corporate presentation 2016 Revenue break-up 2015-16 (9M) (Consolidated) Revenue break up Aircooler revenue break up Gross Revenue Air Cooler Sales Rs.466 cr Rs.444 cr India: 84% Rest of World: 16% Residential Air Cooler 93% Industrial & Ducted 7 % Rs.389 cr Rs. 77 cr Rs.413 cr Rs.3
Slide 12: Accelerates performance
Symphony Limited Corporate presentation 2016 Accelerates performance Profit and Loss Statement Segmental Consolidated Standalone Segmental Consolidated Standalone Particulars ((Rs. Cr.) FY14 FY15 9MFY15* 9MFY16 9MFY15* 9MFY16 Revenue (Rs. Cr.) FY14 FY15 9MFY15* 9MFY16 9MFY15* 9MFY16 India 349.7 411.
Slide 13: Accelerates performance: Return on capital employed
Symphony Limited Corporate presentation 2016 Accelerates performance Return on capital employed EBIT Capital Employed ROCE (Rs. Cr) (Rs. Cr) (%) 188.5 180.4 152.9 138.5 108.5 138.3 132.1 108.9 14.5 14.1 7.7 5.4 Air Coolers Corporate Funds Air Coolers Corporate Funds Air Coolers Corporate Funds 9MFY2
Slide 14: Accelerates performance
Symphony Limited Corporate presentation 2016 Accelerates performance Financial Performance for 9M FY2015 V/s 9M FY2016 (Rs. Cr) Margins Dividend Payout (%) (Rs. Cr) 105.3 466.4 * 33.6 31.7 58.9 397.9 320.6 318.6 24.7 21.0 FY2015 9MFY2016 Dividend Payout (%) 156.9 126.0 88.9# 118.4 83.7 91.6 91.1 50.
Slide 15: Financials - Statement of Profit & Loss
Symphony Limited Corporate presentation 2016 Accelerates performance Financials - Statement of Profit & Loss Gross Revenue# Profit after tax PBT % (Rs. crore) (of gross revenue) (Rs. crore) 23.47% CAGR* 560 25.01% CAGR* 31.4 32.7 116 118 503 28.8 106 27.5 26.9 466 24.7 25.1 364 9 months 9 months 9 m
Slide 16: Financials - Balance Sheet
Symphony Limited Corporate presentation 2016 Accelerates performance Financials - Balance Sheet Shareholders Fund Capital employed Capital employed Debt (Rs. crore) Air coolers (Rs. crore) Corporate funds (Rs. crore) (Rs. crore) 141.0 138.3 318.6 306.2 246.1 275.8 112.7 194.7 222.2 180.4 86.4 9 mont
Slide 17: Financials - Shareholder value creation
Symphony Limited Corporate presentation 2016 Accelerates performance Financials - Shareholder value creation EBIDTA margin % Dividend payout Dividend payout % Book value (Rs. crore) (Rs.) 88.9# 91.1 33.6 105.3* 87.5 32.4 29.7 78.8 27.9 27.7 26.6 26.2 63.5 9 months 9 months 9 months 9 months 50.3 50.
Slide 18: Comparison between air-cooling appliances
Symphony Limited Corporate presentation 2016 Comparison between air-cooling appliances Parameters Fans Air coolers Air-conditioners Capital cost Low Low High Recurring cost Low 90% lower than ACs Very high Indoor air quality Circulates same air 100%-fresh filtered cool air Recirculates stale dry air
Slide 19: Residential air coolers
Symphony Limited Corporate presentation 2016 Residential air coolers Symphony - the hallmark of trust Using all forms of advertisement modes Below-the-line marketing Internet Electronic Print Radio (since 2010) activities The result: Symphony has cemented its identity as a generic name for air coole
Slide 20: Centralised air cooling solutions – fact and figures
Symphony Limited Corporate presentation 2016 Centralised air cooling solutions – fact and figures “90% of American firms named cool air as the single biggest factor determining their productivity.” “Cooling raised productivity by a quarter. On factory floors it cut absenteeism and stoppages.” (Sourc
Slide 21: Impco, S.de R.L. de C.V., Mexico
Symphony Limited Corporate presentation 2016 Impco, S.de R.L. de C.V., Mexico Centralised air cooling solutions and Symphony • Acquired IMPCO (2009-11) and entered the centralised air cooling solutions business • IMPCO possessed in-depth expertise in manufacturing large metallic air coolers and prov
Slide 22: The Symphony-IMPCO synergy
Symphony Limited Corporate presentation 2016 The Symphony-IMPCO synergy • Symphony leverages IMPCO’s relationships with large format stores to market residential coolers • Commercial and industrial coolers available for Symphony to distribute in India and internationally (through dedicated distribut
Slide 23: Centralised air cooling solutions – long runway
Symphony Limited Corporate presentation 2016 Centralised air cooling solutions – long runway Opportunity and size Offices Universities Residences Lecture halls The centralised air-conditioning Shops and showrooms Service stations market in India is estimated to be worth Rs. 40,000 million Religious
Slide 24: Centralised air cooling solutions - domestic presence
Symphony Limited Corporate presentation 2016 Centralised air cooling solutions - domestic presence • IMPCO’s multi-decadal knowledge allowed Symphony to execute multiple prestigious centralised air cooling solution projects in India • These projects were undertaken across diverse spaces including fa
Slide 25: Centralised air cooling solutions – enterprise customers
Symphony Limited Corporate presentation 2016 Centralised air cooling solutions – enterprise customers Working with esteemed brands 25
Slide 26: International markets – long runway
Symphony Limited Corporate presentation 2016 International markets – long runway Air cooler seen as a Green Product Global warming accelerating – gaining popularity demand AC global market size expected to Air cooler market potential should be 150 million by 2017 (industry logically be greater repor
Slide 27: Global installations – Central Air Cooling
Symphony Limited Corporate presentation 2016 Global installations – Central Air Cooling 27
Slide 28: World's Largest Air Cooling Project
Symphony Limited Corporate presentation 2016 World’s Largest Air Cooling Project Air-cooled entire Mecca Complex in Saudi 100 Million CFM of air cooling done. 28
Slide 29: Air Cooling Solutions - our international presence
Symphony Limited Corporate presentation 2016 Air Cooling Solutions - our international presence Direct Presence 29
Slide 30: Guangdong Symphony Keruilai Air Coolers Co. Ltd (GSK)
Symphony Limited Corporate presentation 2016 Guangdong Symphony Keruilai Air Coolers Co. Ltd (GSK) Symphony - foraying into a third geography Inorganic presence in China Symphony’s opportunities •Acquisition of 100% equity in Guangdong •Cutting-edge R&D expertise Symphony Keruilai Air Coolers Co. Lt
Slide 31: Rise in temperature
Symphony Limited Corporate presentation 2016 Rise in temperature Temperature is rising globally and making global headlines 31
Slide 32: Looking forward to attractive growth rates
Symphony Limited Corporate presentation 2016 Looking forward to attractive growth rates Multiple revenue streams •Symphony earlier serviced only one customer group – the residential buyer; the Company now services commercial and industrial customers as well •Symphony was earlier simply an air-cooler
Slide 33: Disclaimer
Symphony Limited Corporate presentation 2016 DISCLAIMER This presentation contains forward-looking statements which may be identified by their use of words like “plans,” “expects,” “will,” “anticipates,” “believes,” “intends,” “projects,” “estimates” or other words of similar meaning. All statements
Slide 34: www.symphonylimited.com
Symphony Limited Corporate presentation 2016 www.symphonylimited.com USA MEXICO CHINA Symphony USA, Inc. Impco, S.de R.L. de C.V. Guangdong Symphony Keruilai Air Coolers Co. Ltd 6520 N. 7th Street Suite #235 Avenida Miguel Aleman #6061, Phoenix, AZ 85014 Col. America, Guadalupe N.L. Taiying Industri