presentation on interim unaudited consolidated financial ...€¦ · proud to be part of....
TRANSCRIPT
Proud
to be
part of.
Presentation on Interim Unaudited
Consolidated Financial Results
For the period ended December 31, 2016
The presentation has been prepared from interim unaudited consolidated financial statements for nine months ended Dec 31, 2016, prepared in accordance with International Financial Reporting Standards (“IFRS”) as adopted by the European Union (“IFRS EU”)
2
Key highlights
• On January 02, 2017 SMRP BV through its subsidiaries acquired 100% of
the issued share capital of Kobek Siebdruck GmbH & Co. KG (hereinafter
‘Kobek’).
• The total purchase consideration amounts to € 1.6Mio as follows–
€ 1.5Mio - 100% shares of Kobek Siebdruck GmbH & Co. KG
acquired for
€ 0.1Mio - certain machinery and equipment from the erstwhile
owner which were leased to Kobek Siebdruck GmbH & Co. KG
before acquisition
Recent developmentsAcquisition of Kobek Siebdruck GmbH & Co. KG
Kobek –Specialist in lighting
• Specialist in silk-screen printing and forming to three-dimensional items
• Expertise in the lighting for automotive industry application
• Solution provider from CAD data processing to turnkey printed products
Investment rationale
• SMRP BV would be able to leverage the potentials of the unique lighting
technology of Kobek combined with it’s product portfolio to add value and
provide innovative solutions to its customers
• SMP Group through one of its subsidiaries already delivers illuminated/non-
illuminated interior in-mold decoration parts for some of the Global platforms.
• This acquisition will enhance product portfolio with more value addition and
increased vertical integration.
Products and Technology
LED Solutions
• Unique LED-based solution that provides
shadow-free and uniform diffused lighting
over an entire slim-mount panel
Acrylic Glass
• Processing of Plexiglas or other plastics
including dust-free printing, scratchproof
coatings and precise milling or laser
cutting.
Silk-Screen Printing
• Shaping and forming of Plexiglas in a
downstream process for design applications
• Painted or powder-coated instrument panels
• Labels and manufacturer's nameplates
• Self-adhesive front foils and membrane
keyboards on the basis of high-precision
plotting
Lightning
• Realization of individual lightning items for
living with a design partner.
Kobek Siebdruck
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• CEFA was treated as a joint venture in the consolidated financial statements
of the Company prior to December 20, 2016 and accounted for using equity
method.
• With effect from December 20, 2016, being the date of acquisition of control,
the assets and liabilities of CEFA have been consolidated.
• The assets and liabilities of CEFA have been consolidated using provisional
amounts as the exercise for determining fair valuation of the assets and
liabilities (other than cash) was still in progress as on the date of issue of
these interim unaudited condensed consolidated financial statements.
• There were no significant revenue transaction from Dec 20, 2016 to Dec 31,
2016 and therefore income statement has not been consolidated from Dec
20, 2016 to Dec 31, 2016.
Key highlights
• SMRPBV Group (hereinafter ‘the Company’) holds 50% shareholding in
Celulosa Fabril (Cefa) S.A. (hereinafter ‘CEFA’). On Dec 20, 2016, the
Company through its subsidiaries acquired majority control over the board of
directors of CEFA.
• As a result of above event, the Company through its subsidiaries is regarded
parent of CEFA and accordingly CEFA along with its subsidiary Modulos
Ribera Alta S.L.U. (MRA) is treated as a subsidiary of the Company with
effect from December 20, 2016.
• The acquisition of additional control did not involve payment of any further
purchase consideration.
Recent developmentsAcquisition of control in Celulosa Fabril (Cefa) S.A
Products and Technology
• CEFA, Celulosa Fabril SA, produces polymer-based parts for
Passenger Cars, Commercial Vehicles and Light Trucks.
• CEFA’s portfolio is focused in interiors, being Instrument
Panels, Door Panels, Floor Consoles and Trunk Trims.
Accounting Implication
CELULOSA
FABRIL S.A.
Módulos Ribera
Alta S.L.U
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SMRP BV Group Structure
Corporate Structure as at February 14, 2017 and is not a legal structure
Samvardhana Motherson Global Holdings Ltd Cyprus
Samvardhana Motherson Polymers LtdIndia
Motherson Sumi Systems Limited
Kobek Siebdruck GmbH & Co. KG
100%
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Global Presence
23,400+ Workforce.
Module
Centers.
Countries.18
48 Manufacturing
Plants.
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Above information is as at December 31, 2016
6
Q3 15-16 Q3 16-17
44
.8
51
.8
6.6%6.8%
Q3 15-16 Q3 16-17
37
.9
46
.3
10.7%
11.4%
Q3 15-16 Q3 16-17
1,0
36
.2
1,1
63
.2
Q3 15-16 Q3 16-17
68
1.7
75
6.8
Q3 15-16 Q3 16-17
35
5.2
40
7.0
Revenue & EBITDA For the quarter ended Dec 31, 2016
SMRP BV.+12 %
Adjusted EBITDA*
€ Mio.% to Revenue.
SMP. SMR.+11 % +15 %
+19 % +16 % +22 %
* Refer slide 8 for details
Q3 15-16 Q3 16-17
82
.7
98
.1
8.0%
8.4%
Revenue.€ Mio.
7
9M 15-16 9M 16-17
97
.5
11
4.8
9.5%
9.9%
9M 15-16 9M 16-17
12
4.3
15
0.8
6.4%
6.9%
9M 15-16 9M 16-17
22
1.8
26
5.6
7.5%
8.0%
9M 15-16 9M 16-17
1,9
42
.0
2,1
75
.8
9M 15-16 9M 16-17
1,0
29
.7
1,1
55
.4
9M 15-16 9M 16-17
2,9
70
.1
3,3
29
.5
SMRP BV.+12 %
Adjusted EBITDA*
€ Mio.% to Revenue.
SMP. SMR.+12 % +12 %
+20 % +21 % +18 %
* Refer slide 8 for details
Revenue.€ Mio.
Revenue & EBITDA For nine months ended Dec 31, 2016
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Adjusted EBITDA overview
1. Start-up cost incurred for new plants & facilities under construction 2. Net gain/(loss) recognised on final settlement of insurance claim resulting from business interruption at SMP’s paint facility in Polinya, Spain
For the quarter ended Dec’ 31.
For nine months ended Dec’ 31.
Income Statement
€ millions SMRPBV SMP SMR SMRPBV SMP SMR
Revenue 1,036.2 681.7 355.2 1,163.2 756.8 407.0
EBITDA 76.4 38.5 37.9 91.5 45.2 46.3
% to Revenue 7.4% 5.6% 10.7% 7.9% 6.0% 11.4%
Startup cost for greenfield1 (6.3) (6.3) - (6.6) (6.6) -
Adjusted EBITDA 82.7 44.8 37.9 98.1 51.8 46.3
% to Revenue 8.0% 6.6% 10.7% 8.4% 6.8% 11.4%
3M ended Dec 31, 20163M ended Dec 31, 2015
Income Statement
€ millions SMRPBV SMP SMR SMRPBV SMP SMR
Revenue 2,970.1 1,942.0 1,029.7 3,329.5 2,175.8 1,155.4
EBITDA 209.5 112.0 97.5 249.1 134.3 114.8
% to Revenue 7.1% 5.8% 9.5% 7.5% 6.2% 9.9%
Startup cost for greenfield1 (12.9) (12.9) - (16.5) (16.5) -
Net gain/(loss) Insurance Claim2 0.6 0.6 - - - -
Adjusted EBITDA 221.8 124.3 97.5 265.6 150.8 114.8
% to Revenue 7.5% 6.4% 9.5% 8.0% 6.9% 9.9%
9M ended Dec 31, 2015 9M ended Dec 31, 2016
9
25%
8%
12%
10%8%
9%
5%
5%
5%3%
2%8%
Audi25%
Daimler13%
VW10%Seat
8%
Hyundai/Kia8%
BMW7%
Porsche6%
Renault /Nissan5%
Ford5%
GM4%
JLR2%
Others 7%
Revenue Split - By CustomerFor nine months ended Dec’ 31, 2016
Diversified Customer Profile
Moving towards 3CX15.
+ 15%
+12 %
9M 15-16
€2,970.1 Mio
9M 16-17
€3,329.5 Mio
10
Germany37%
Spain17%UK
3%
Europe (Others)
12%
USA8%
Mexico4%
Brazil2%
China8%
APAC (Excl China)9%
Germany38%
Spain18%
UK4%
Europe (Others)
12%
USA7%
Mexico3%
Brazil2%
China6%
APAC (Excl China)10%
9M 16-17.
Revenue Split - By GeographyFor nine months ended Dec’ 31, 2016
9M 15-16.
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Dec 15 Mar 16 Dec 16
Capital Creditors (2) (3) (6)
Trade Payables (41) (49) (44)
Receivables - non current 5 5 7
Trade Receivables 44 45 47
Inventory 16 15 15
13 22 19
Trade Working Capital
€ Millions. No of Days.
Dec 15 Mar 16 Dec 16
Capital Creditors (23.2) (28.6) (69.7)
Trade Payables (447.3) (545.9) (543.0)
Receivables - non current 57.8 57.5 90.3
Trade Receivables 485.3 497.4 572.9
Inventory 174.1 165.1 186.2
145.5 246.7
236.7
Above figures exclude the impact of consolidation of CEFA as at 31st Dec 2016 to facilitate comparison.
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Capital ExpenditureFor nine months ended Dec’ 31, 2016
Expenditure on new facilities/expansion –
€ 117.6 million (approx. 72%)
€ 157 Million
€ 57 Million
Greenfield/Brownfield
€ 141 Million
Approx. 66%
USA32%
Hungary26%
Germany 15%
Mexico10%
China3%
Spain3%
Others11%
€ 214 Millions
USA
47%
Hungary
35%
Mexico
10%
Korea
5%India
2%China
1%
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Summary of Cash FlowFor nine months ended Dec’ 31
Statement of Cash Flows (€ millions)April 1, 2015 to
Dec 31, 2015
April 1, 2016 to
Dec 31, 2016
Cash flow from operating activities before changes in
working capital and income tax 204.9 251.8
Changes in working capital (170.7) (157.6)
Income tax paid (47.6) (42.0)
Cash flow from operating activities (13.4) 52.2
Purchase of property, plant and equipment (including Pre-
Payments) (179.2) (171.2)
Others 12.4 (2.2)
Cash flow from investing activities (166.8) (173.4)
Proceeds from issue of bond 100.0 352.3
Net Proceeds/(Repayment) of borrowings/finance
leases 40.8 (51.5)
Interest Paid (18.2) (27.3)
Others (6.2) (11.7)
Cash flow from financing activities 116.4 261.8
Net increase in cash and cash equivalents (63.8) 140.6
Cash and cash equivalents at the beginning of the period 184.1 192.5
Variation in cash and cash equivalents from change in
Cons Group (CEFA/MRA) - 2.4
Variation in cash and cash equivalents from translation
in foreign currencies (1.5) 1.8
Cash and cash equivalents at the end of the period 118.8 337.3
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Cash & Debt Status
Cash.
Net debt & leverage.
Gross debt.
31.12.2015 31.03.16 31.12.16
RCF 1 80.7 58.0 4.0
Finance Lease 13.0 13.4 7.4
Working Capital 37.3 26.7 40.1
Term Loan 11.1 10.7 20.5
HY Bond 585.1 585.7 963.3
694.5
1,035.3
727.2
118.8 192.5
337.3
31.12.2015 31.03.16 31.12.16
608.4
502.0
698.0
2.24
1.77
2.16
31.12.2015 31.03.16 31.12.16
€ Mio. € Mio.
€ Mio.
15
52 6 8
867
103
Gross Debt € Million
1 year 1 to 2 years 2 to 4 years 4 to 5 years > 5 years
Liquidity StatusAs at Dec’ 31, 2016
Available Liquidity*.
Leverage Ratio .Maturity profile.
€ in MillionsSanctioned
Limit
Utilised as at
Dec 31, 2016
Liquidity
Available
RCF 1 (including Ancilary facility) 250.0 4.0 246.0
RCF 2 100.0 - 100.0
Cash and Cash Equivalents 337.3
Total Liquidity Available 683.3
* Available liquidity subject to headroom under leverage ratios
Key Ratios# Allowed Dec 31, 2016
Gross Leverage Ratio: Indenture 3.50x 3.18x
Net Leverage Ratio : RCF 3.25x 2.16x
# Computed as per definitions given in Indenture & RCF agreements
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Status of upcoming facilitiesTuscaloosa, USA
Company : SMP
Location: Tuscaloosa, AL (USA)
Type: Greenfield Plant
Product: Bumpers, Door panels,
spoilers and other exterior parts
Operational : Q1 FY18-19
Q1 FY15-16
New
Development
Q3 FY15-16 Q1 FY16-17
17
Company : SMR
Location: San Luis Potosí, Mexico
Type: Expansion / Paint Shop
Product: Exterior Rear View mirrors
Operational : Q4 FY 16-17 (expansion)
Q1 FY16-17
Status of upcoming facilitiesSan Luis Potosi, Mexico
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Company : SMP
Location: Kecskemet, Hungary
Type: Greenfield plant
Product: Bumpers & Door Panels
Operational : Q4 FY 17-18
Q1 FY15-16
New
Development
Q3 FY15-16 Q1 FY16-17
Status of upcoming facilitiesKecskemet, Hungary
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Company : SMR
Location: Mosonszolnok, Hungary
Type: Expansion / New Paint Shop
Product: Exterior Rear View mirrors
Operational : Q4 FY 17-18
Q1 FY16-17
Status of upcoming facilitiesMosonszolnok, Hungary
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Company : SMR
Location: Incheon city, South Korea
Type: Relocation of plant
Product: Mirror parts, powerfold,
Operational : Q1 FY 17-18
Q1 FY16-17
Status of upcoming facilitiesIncheon city, South Korea
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360 degrees value creation.
Proudto bepart of.
Customerssuccess.
Investorvalue.
Employeelives.
Partnercollaborations.
Communitystrength.
22
Safe harbour
Safe harbour
This presentation contains forward-looking statements based on the currently held beliefs and assumptions of the management of the Company, which
are expressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other
factors, which may cause the actual results, financial condition, performance, or achievements of the Company or industry results, to differ materially
from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. Given these risks,
uncertainties and other factors, recipients of this presentation are cautioned not to place undue reliance on these forward-looking statements. The
Company disclaims any obligation to update these forward-looking statements to reflect future events or developments.
Thank you.