Finolex SELECTED Cables Limited INDIA 2009-10 CONSUMER VALIDATED AN IS/ISO 9001 COMPANY FCL:SEC:SE:19:23 4 19th November, 2019 BSE Limited National Stock Exchange of India Ltd Luxembourg Stock Exchange Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements) Ref: � Regulations, 2015 (the "Regulations"), Dear Sirs, Sub: Conference Call organized for 19th November, 2019 We refer our earlier letter Ref.No. FCL:SEC:SE:19:233 dated 18th November, 2019 and enclose a copy of presentation of the Company in which its representatives were Mr D K Chhabria, Executive Chairman and Mr Mahesh Viswanathan. This is for your kind information and updation on the website of the Exchange. Thanking you, Yours faithfully For FINOLEX CABLES LIMITED R G D'SILVA Company Secretary & President (Legal) Encl: As stated above. Regd. Office : 26-27, Mumbai-Pune Road, Pimpri, Pune - 411 018. India. Tel.: 91-20-27475963. Email : sales@finolex.com � Fax : 020-27470344, 27472239, Website : www.finolex.com Finolex gets people together CIN No.: L31300MH1967PLC016531
Finolex Cables Limited Earnings Presentation November 2019
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Finolex Cables Limited (the “Company”), have been prepared 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 basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Certain matters discussed in this Presentation may contain statements regarding the Company’s market opportunity and business prospects that are individually and collectively forward‐looking statements. Such forward‐looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the industry in India and world‐wide, competition, the company’s ability to successfully implement its strategy, the Company’s future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company’s market preferences and its exposure to market risks, as well as other risks. The Company’s actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward‐looking information contained in this Presentation. Any forward‐looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections.
TABLE OF CONTENT 4 Executive Summary 6 Company Overview 9 Category & Product Portfolio 13 Key Management 14 Timeline 16 Geographical Footprint SWOT Analysis 17 Financial Overview 20 31 Capital Market Data
One of India’s leading Electricals brand ‐ a market leader in India’s Wires & Cables (W&C) industry and fast growing player in the FMEG category Diversified product portfolio Widespread distribution network • 800 distributers • Wires and cables : Light duty cables, power and control • 4000+ dealers cables and communication cables. • 30000+ retailers • FMEG: Electric switches, switchgears, LED Lightings, • Launched our own e‐retail site Fans, water heaters. • Leveraging the brand equity of Finolex, extended our FY19 Financial (Cr) brand offerings to home appliances 3,199.62 Revenue Multi location manufacturing 573.33 EBITDA • 5 manufacturing plants • 28 depots 344.09 PAT • JV with Sumitomo, Japan for EHV cables 22.50 EPS • Marketing JV with Corning for Optic Fibre technology • Technical collaboration with NSW, Germany for manufacture of cables for submersible pump industry.
Premium Player – Cables and Wires Industry Electrical Cables and Wires Communication Cables • Leader in the electrical housing wires segment and • commands a premium over its peers Revenues growth was led by ramp up of its communication cables business. • Strong brand positioning and superior product quality • Rising volume of mobile data traffic coupled with enabled the company to achieve higher margins government’s thrust on digitization has led to a surge in • This segment accounts for 80% of the company’s demand. revenues and offers a wide range of products in each • OFCs accounts for 70% of communication cables and is of the segments largely B2B business. • • The company managed to report 80.91% in electrical Finolex is increasing its OFC capacity to 60% as its W&C segment. current unit is operating close to capacity. Others , 2% Communication Cables, 12% Electric Copper Cables, 62% Rods, 24%
Emerging Player ‐ FMEG • Finolex entered the FMEG segment to capitalize on the strong brand recall and sales network • The company first entered the electrical switches and lighting segment, leveraging its widespread distribution network in the country. The company than introduced switchgears, fans and water heaters • New products within FMEG sector grew by more than 10% y‐o‐y each in FY19 • These products have been well accepted, along with that the distributors have expanded and continued presence in visual media have contributed to the Finolex brand recognition. • For these products the company has setup a different channel and is using asset light model.
Category & Product Portfolios • Jelly Filled Telephone Cables (JFTC) WIRES & CABLES FANS • LAN cables Light Duty Cables • Ceiling fans • Telephone cables • Table fans • FR PVC insulated industrial cables • Optic Fibre cables • Wall fans • Flexible cables • Pedestal fans LIGHTING • Solar cables • Exhaust fans • CFL range • Elevator cables • T5 & T8 tubes WATER HEATERS • 3CF & WW cables for agricultural sector • Ballast Fittings • Instant • Luminaries • Auto & Battery cables for automobile • Storage • LED products sector Power & Control Cables ELECTRICAL SWITCHES • LT & HT Power and Control cables • Switch range Communication Cables • Mounting boxes • Co‐axial cables SWITCHGEAR • Speaker cables • MCB • CCTV cables • RCCB • DB
• Electrical Cables • 1100 V PVC Insulated Cables Electrification of industrial establishments, used by construction industry, electrical panel wiring and consumer electrical goods • Motor winding PVC insulated Submersible pumps and electrical motors • Automotive/battery cables Wiring harness for automobile industry and battery cables for various applications • UPS cables For providing power from the UPS to the computer / appliances in the networking environment • Heavy duty, underground, low voltage and control cables Connection to the user point from main supply of power • Heavy duty, underground, high voltage, power cable Intra‐city power distribution network • Elevator cables For use by Elevator industry • Solar Cables Specially insulated cables for use in solar parks
• Copper Rods Electrical Raw material for manufacturing copper‐ • CCC rods of 8 mm diameter based Cables Switches Lamps • Premium and classic switches, For power supply to equipment in domestic, sockets, regulators, etc commercial and industrial environment • Retrofit/non‐retrofit CFL lamps Lighting for homes, hotels, shops, offices and and T5 Tube Lights and factories (both indoor and outdoor Fittings, LED based lighting applications). Also available for street light solutions applications • • Electrical Fans Ceiling Fans, Portable Fans, For use in domestic, commercial and industrial Exhaust Fans environment • Miniature Circuit Breakers For use in voltage surge protection and safety (MCB), Residual Current Circuit applications in domestic and commercial Breakers (RCCB), Moulded environment Current Circuit Breakers (MCCB) and Distribution Boxes For use in domestic and commercial • Water Heaters • Instant and Storage Water environment Heaters
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