Gulf Oil Lubricants India Ltd Investor Presentation
Table of content 1 An Iconic Global Brand 2 Fastest Growing Lubricants Brand in India 3 Key Business Levers 4 Financial Information 5 Maximizing Shareholder Value
Gulf Oil Legacy Hinduja Group Acquired by Hinduja Group 1984 (Except USA, Spain & Portugal) Flagship company Gulf Oil International Worlds First High Volume oil well 1901 Off shore floating drill platform 1910 Drive through station 1913 Leading Global Lubricants Brand Houghton International Acquired in 2012 Global Market Leader in Metal Working Fluids Multinational company Blending Plants in 20 countries Fuel retailing stations in 12 countries Gulf Oil Marine, established in 2008, is present in 900 ports across 80 countries
Gulf Oil International Operations in more than 100 countries Gulf Oil present directly or through its entities in more than 100 countries GOI has Marketing rights Gulf owned by Chevron in US and Total in Spain and Portugal
Gulf Oil International Leading Global OEM Approvals
Indian Lubricants Market Structure Indian Lubricants Market (2,300 MnL) Automotive + Industrial (1,600 MnL) Process Oils (700 MnL) Automotive Lubes (950 MnL) Industrial Lubes (B2B) (650 MnL) 4.7% OEM Factory-fill (100 MnL) Replacement Demand (850 MnL) 95.3% 6.8% Fuel Stn > 50 MnL Franchise Workshops > 100 MnL Bazaar > 700 MnL 93.2% Gulf Source: Internal Estimates
Route to market (Based on FY16) Gulf Oil Lubricants India Limited 98% 2% Domestic Exports 35% 65% B2B Automotive Channel Distributor Industrial (OEM+ STUs+ Direct) Infra Mining & Fleet (Roughly 9% of Total Volume) Marine Retailer/ Mechanics/ Workshops / Spare parts Consumer Source: Internal
Journey So Far. # L : Lube Market Volume Growth B : Bazaar Market Volume Growth Consolidation Phase High Growth Phase Economic Slowdown Phase Back to High Growth Phase 180 160 # L : 2-3% B : 3-4% L : 3-4% B : 4-5% L : -ve 2-3% B : -ve 5-6% L : Flat to 2% B : 1-3% 18% 16% Q1 FY17 140 YOY Growth % 14% Revenue 283.58 23.1% 120 EBITDA 48.47 39.7% PBT 47.29 52.0% 100 PAT 31.16 52.2% 80 60 40 20 - FY06-07 FY07-08 FY08-09 FY09-10 FY10-11 FY11-12 FY12-13 FY13-14 FY14-15 FY 15-16 PBT (in Crs) 14 25 18 34 73 103 110 106 116 153 Volume (in KL) 38 40 37 46 53 61 65 64 68 75 EBITDA (in %) 5.25% 7.81% 9.72% 8.62% 12.84% 12.70% 12.84% 12.57% 13.60% 15.90% Advertisement & Investments: 3% 6-7% 6-7% 6-7% 12% 10% 8% 6% 4% 2% 0% Source: Internal Estimates
OEM Tie Ups - so far 2006-07 : Co branded oils for CVs 2006-07 : Genuine Oil for Stationery Engines 2010-11 : Co branded range for Passenger Cars 2011-12 : Co branded Oil for LCV 2011-12 : Genuine Oil for Construction Equipment 2011-12 : Co branded range for CVs 2012-13 : Genuine Oil for CVs 2013-14 : Co branded Oil for Tractors 2013-14 : Co branded Oil for Tractors 2014-15 : Hydraulic Oil Co branded range 2014-15 : Exclusive representation 2015-16 : Genuine Engine Oil
Innovative Brand Building Efforts
Distribution Strength Channel Network 55000 Retailers 300+ Auto Distributors 30 Depots Silvassa Plant Gurgaon ( Northen Regional Office ) Lucknow ( Central Regional Office ) B2B Industrial 200+ Direct Industries 35+ Distributors 10+ STUs IMF More than 350 Infrastructure, Mining & Fleet Customers Mumbai (Registered Office, Western Regional Office) Banglore (Southern Regional Office) New Plant ( Chennai) Kolkata ( Eastern Regional Office ) Source: Internal
Production Facility and Capacity Silvassa (Existing) 90000 MT Ramped up from 75000 MT to 90000 MT in 2014-15 Installed additional Imported state of art Fast Filling Lines and other balancing equipment /storage Chennai (New) 50000 MT Capacity planned 50000 MT - in phases Close proximity to India s biggest Auto hub and port facilities Around 15 acres land already acquired Construction started in Q1 of 2016-17 and to be completed in Q2 17-18
Rs. In Lakhs Rs. In Lakhs Rs. In Lakhs An Iconic Global Brand Fastest Growing Lube Brand Key Business Levers Financial Information Maximizing Shareholder Value Key Financials Quarterly Trend PBT PBT % 5,000 4,000 3,000 2,000 1,000-16.9% 11.8% 11.9% 11.6% 12.7% 13.5% 14.5% 15.5% 16.7% 4,586 4,729 4,024 3,342 3,606 2,657 2,844 3,110 2,761 Q I 2014-15 Q II 2014-15 Q III 2014-15 Q IV 2014-15 Q I 2015-16 Q II 2015-16 Q III 2015-16 Q IV 2015-16 Q I 2016-17 20.0% 15.0% 10.0% 5.0% 0.0% PAT PAT % 4000 3000 2000 1000 8.0% 8.1% 7.6% 8.2% 8.9% 9.5% 10.1% 2618 1803 1940 2175 2362 1824 2047 11.0% 11.0% 3004 3116 15.0% 10.0% 5.0% 0 6000 4000 2000 0 Q I 2014-15 Q II 2014-15 Q III 2014-15 Q IV 2014-15 Q I 2015-16 Q II 2015-16 Q III 2015-16 Q IV 2015-16 Q I 2016-17 EBIDTA EBIDTA% 13.3% 13.5% 13.8% 15.1% 15.6% 16.0% 16.8% 17.1% 13.6% 4557 4847 2995 3222 3292 3585 3470 3861 4154 Q I 2014-15 Q II 2014-15 Q III 2014-15 Q IV 2014-15 Q I 2015-16 Q II 2015-16 Q III 2015-16 Q IV 2015-16 Q I 2016-17 0.0% 20.0% 15.0% 10.0% 5.0% 0.0%
Balance Sheet BALANCE SHEET as at 31-03-16 31-03-15 01-04-14* Rs Crs USD Mn Rs Crs USD Mn Rs Crs USD Mn Fixed Assets Incl. CWIP 109 16 98 15 82 13 Total Current Assets 345 52 286 44 294 45 Total Current Liabilities 199 30 156 24 119 18 Net Current Assets 146 22 130 20 175 27 Total Assets 255 38 228 35 257 39 Reserve & Surplus 249 37 187 29 144 22 Non Current Liabilities 6 1 5 1 3 0 Net Borrowing - - 35 5 111 17 Total Liabilities 255 38 228 35 257 39 * - Opening Balance sheet post demerger
Shareholding Pattern 31 st July, 2014 30 th June, 2016 Residential & Non- Resident Individuals & Others 25.64% OCBs 2.69% Residential & Non- Resident Individuals & Others 13.81% FIIs 2.89% OCBs 2.69% Finacial Institutions & Banks 1.78% FIIs 5.11% Finacial Institutions & Banks 1.90% Promoters 59.95% Mutual Fund 10.18% Promoters 68.65% Mutual Fund 4.71%
Thank You! Disclaimer :This presentation has been prepared by Gulf Oil Lubricants India Limited. The information, statements and analysis made in this presentation describing company s objectives, projections and estimates are forward looking statements and progressive within the meaning of applicable security Laws and Regulations. The analysis contained herein is based on numerous assumptions. Actual result may vary from those expressed or implied depending upon economic conditions, government policies and other incidental factors. No representation or warranty, either expressed or implied, is provided in relation to this presentation. This presentation should not be regarded by recipients as a substitute for the exercise of their own judgment.