Results     08-Feb-23
Analysis
Minda Corporation
Sales up 44.7%
For the quarter ending dec 2022, consolidated Net sales (including other operating income) of Minda Corporation has increased 44.70% to Rs 1068.29 crore compared to quarter ended Dec 2021.   Operating profit margin has jumped from 10.66% to 10.68%, leading to 44.96% rise in operating profit to Rs 114.10 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 57.61% to 60.30%.   Purchase of finished goods cost fell from 5.83% to 4.82%.   Employee cost decreased from 15.75% to 14.72%.   Other expenses fell from 10.24% to 9.49%.   

Other income rose 6.82% to Rs 4.7 crore.  PBIDT rose 42.94% to Rs 118.8 crore.  Provision for interest rose 28.50% to Rs 10.91 crore.  

PBDT rose 44.59% to Rs 107.89 crore.  Provision for depreciation rose 26.01% to Rs 34.01 crore.  

Profit before tax grew 55.11% to Rs 73.88 crore. EO income was Rs 0 compared to Rs 32.74 crore. Provision for tax was expense of Rs 19.45 crore, compared to Rs 12.64 crore.  Effective tax rate was 27.12% compared to 15.32%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company decreased 25.18% to Rs 52.26 crore.  

Promoters’ stake was 64.73% as of 31 December 2022 ,compared to 64.73% as of 31 December 2021 .  

For year-to-date (YTD) results analysis.

Net sales (including other operating income) of Minda Corporation has increased 59.04% to Rs 3225.59 crore.  

Operating profit margin has jumped from 9.21% to 10.68%, leading to 84.43% rise in operating profit to Rs 344.56 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 57.61% to 61.06%.   Purchase of finished goods cost fell from 4.92% to 4.43%.   Employee cost decreased from 16.91% to 14.14%.   Other expenses fell from 11.35% to 9.75%.   

Other income fell 31.68% to Rs 13.39 crore.  PBIDT rose 73.41% to Rs 357.95 crore.  Provision for interest rose 23.06% to Rs 28.87 crore.  

PBDT rose 79.86% to Rs 329.08 crore.  Provision for depreciation rose 25.73% to Rs 99.5 crore.  

Profit before tax grew 121.13% to Rs 229.58 crore.  Provision for tax was expense of Rs 59.14 crore, compared to Rs 27.62 crore.  Effective tax rate was 26.68% compared to 19.23%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 40.11% to Rs 162.56 crore.  

Promoters’ stake was 64.73% as of 31 December 2022 ,compared to 64.73% as of 31 December 2021 .  


Full year results analysis.

Net sales (including other operating income) of Minda Corporation has increased 25.68% to Rs 2975.94 crore.  Operating profit margin has jumped from 9.16% to 9.90%, leading to 35.74% rise in operating profit to Rs 294.56 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 59.11% to 58.23%.   Purchase of finished goods cost rose from 4.33% to 4.63%.   Employee cost increased from 15.99% to 16.01%.   Other expenses fell from 11.52% to 11.19%.   

Other income fell 27.26% to Rs 24.15 crore.  PBIDT rose 27.38% to Rs 318.71 crore.  Provision for interest fell 13.63% to Rs 30.93 crore.  Loan funds declined from Rs 527.66 crore as of 31 March 2021 to Rs 505.98 crore as of 31 March 2022.  Inventories rose to Rs 478.88 crore as of 31 March 2022 from Rs 395.90 crore as of 31 March 2021.  Sundry debtors were higher at Rs 568.80 crore as of 31 March 2022 compared to Rs 441.99 crore as of 31 March 2021.  Cash and bank balance declined from Rs 499.31 crore as of 31 March 2021 to Rs 333.41 crore as of 31 March 2022.  Investments declined from Rs 180.46 crore as of 31 March 2021 to Rs 64.18 crore as of 31 March 2022.  

PBDT rose 34.23% to Rs 287.78 crore.  Provision for depreciation rose 19.65% to Rs 112.04 crore.  Fixed assets increased to Rs 826.57 crore as of 31 March 2022 from Rs 600.51 crore as of 31 March 2021.  Intangible assets increased from Rs 29.93 crore to Rs 92.93 crore.  

Profit before tax grew 45.53% to Rs 175.74 crore.  Share of profit/loss was 89.31% higher at Rs 7.44 crore.  Provision for tax was expense of Rs 24.04 crore, compared to Rs 31.16 crore.  Effective tax rate was 11.13% compared to 24.99%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 105.15% to Rs 191.88 crore.  

Equity capital stood at Rs 47.82 crore as of 31 March 2022 to Rs 47.82 crore as of 31 March 2021.  Per share face Value remained same at Rs 2.00.  

Promoters’ stake was 64.73% as of 31 March 2022 ,compared to 64.73% as of 31 March 2021 .  

Cash flow from operating activities increased to Rs 166.87 crore for year ended March 2022 from Rs 85.55 crore for year ended March 2021.  Cash flow used in acquiring fixed assets during the year ended March 2022 stood at Rs 108.54 crore, compared to Rs 134.99 crore during the year ended March 2021.  

Other Highlights

Board has declared an Interim dividend of 20% on the face value of Rs 0.40 per equity share. Record Date for the purpose is 18th Feb 2023.

During 9M FY23, company won 24% of its Lifetime EV orderbook.


Management Comments :
Mr. Ashok Minda, Chairman and Group CEO said: “During the quarter, the auto industry grew steadily on YoY basis with growth across segment on the back of robust festive season, improved customer sentiments and higher production. The rural demand saw weakness on the back of uneven monsoon, higher finance cost and tepid rural sentiments. Semiconductor supplies have eased out but long lead time still continues. Commodity prices saw an increasing trend in Q3FY23 after softening in Q2FY23. Our teams work closely with customers to mitigate the effect of these challenges. We are proud to announce that Minda Corporation continues to outperform the industry on both YoY and QoQ with Revenue from Operations of Rs. 1,068 crores during the quarter. We achieved robust growth of 45% YoY (22% on like to like basis excluding MIL). EBITDA for the quarter stood at Rs. 114 crores with EBITDA Margin of 10.7% and PAT of 52 crores with PAT margin of 4.9%. The company’s resilient performance is the result of various cost control initiatives, increased efficiencies and increase in business across verticals with existing customers and addition of new customers. Happy to share that the has company filed 5 patents during the quarter in various business verticals taking the total no. of patents to 229. With the focus on innovation and being in line with the emerging trends in the auto industry, Minda Corporation entered into Technology License and Assistance Agreement with LocoNav India Private Limited for Telematics Software for both Web & Android/iOS Platform. This partnership with LocoNav will help us strengthen our existing relationship with the leading OEMs by integrating LocoNav’s proprietary telematics software into Spark Minda devices making us “a complete telematics solution provider”. This will also help us expand our product portfolio with existing customers and acquire new customers. During the quarter, we have also inaugurated one more Wiring Harness plant in Chakan, Pune spread across 1.9 lakhs square feet with the factory equipped with advanced machines backed by cutting-edge technology.”



Minda Corporation : Consolidated Results
 Quarter endedYear to DateYear ended
Particulars202212202112Var.(%)202212202112Var.(%)202203202103Var.(%)
Net Sales (including other operating income)1,068.29738.3044.703,225.592,028.1859.042,975.942,367.9425.68
OPM (%)10.6810.662 bps10.689.21147 bps9.909.1673 bps
OP114.1078.7144.96344.56186.8284.43294.56217.0135.74
Other Inc.4.704.406.8213.3919.60-31.6824.1533.20-27.26
PBIDT118.8083.1142.94357.95206.4273.41318.71250.2127.38
Interest10.918.4928.5028.8723.4623.0630.9335.81-13.63
PBDT107.8974.6244.59329.08182.9679.86287.78214.4034.23
Depreciation34.0126.9926.0199.579.1425.73112.0493.6419.65
PBT73.8847.6355.11229.58103.82121.13175.74120.7645.53
Share of Profit/(Loss) from Associates-2.172.12PL-7.887.08PL7.443.9389.31
PBT before EO71.7149.7544.14221.7110.999.91183.18124.6946.91
EO Income032.74-032.74-32.740-
PBT after EO71.7182.49-13.07221.7143.6454.34215.92124.6973.17
Taxation19.4512.6453.8859.1427.62114.1224.0431.16-22.85
PAT52.2669.85-25.18162.56116.0240.11191.8893.53105.15
Minority Interest (MI)00-00-00-
Net profit52.2669.85-25.18162.56116.0240.11191.8893.53105.15
P/(L) from discontinued operations net of tax00-00-0-40.73-
Net profit after discontinued operations52.2669.85-25.18162.56116.0240.11191.8852.8263.41
EPS (Rs)*2.191.7723.666.803.7680.826.813.9174.19
* EPS is on current equity of Rs 47.82 crore, Face value of Rs 2, Excluding extraordinary items.
# EPS is not annualised
bps : Basis points
EO : Extraordinary items
Figures in Rs crore
Source: Capitaline Corporate Database


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