Exide Industries Ltd
Auto Parts & Equipment
FV – Rs 1; 52wks H/L – 240.55/134.65; TTQ – 7.81 Lacs; CMP – Rs 238 (As On April 20, 2017);
Market Cap – Rs 20310 Crs
Consolidated Financials and Valuations for FY16 (Amt in Rs Crs unless specified)
Equity Capital |
Net worth |
Long Term Debt | Total Sales |
PAT | BV (Rs) |
EPS (Rs) |
P/E |
Industry P/E |
P/BV |
Promoter’s Stake |
Beta |
| 85 | 4330 | 2 | 9615 | 713.7 | 51 | 8.4 | 28.33 | 22.59 | 4.7 | 45.99 | 0.87 |
Standalone Financials and Valuations for 9Mnths FY17
Equity Capital |
Net worth |
Long Term Debt | Total Sales |
PAT | BV (Rs) |
EPS (Rs) |
P/E |
Industry P/E |
P/BV |
Promoter’s Stake |
Beta |
| 85 | 5340 | – | 6390 | 528.86 | 63 | 6.22 | 38.26 | 22.59 | 3.8 | 45.99 | 0.87 |
Valuation Parameters:
- Long Term Debt to Equity – NA
- ROE % – 16
- Market Cap/Sales – 0.5
- Exide can produce around 34.2 million units of automobile batteries (including batteries for motorcycle applications) annually, and over 2824 million ampere-hours of industrial power every year.
- The company has a planned capital expenditure of over Rs. 1400 Crs for technology up-gradation, making the organisation more cost-efficient and driving higher automation
- The company is implementing a large scale CastOn-Strap (COS) line at Hosur, which will be manufacturing large-size batteries in FY 2016-17, enabling faster turnaround and output. At Haldia plant, they have commenced operations of another COS line for much larger batteries (traction cells).
- Exide is one of the few battery manufacturers who are capable of manufacturing submarine batteries for a wide range of submarine designs. During FY 2015-16, submarine batteries recorded an impressive growth of around 42% over the previous year.
- Despite a gloomy Global Automotive outlook, export of Automotive Batteries registered a marginal growth of around 2% in value. The export of Industrial Batteries, Home UPS and Solar Systems recorded a volume growth of around 6.5% over the previous year.
Overview:
- Exide Industries Ltd is a storage battery company.
- The Company designs, manufactures, markets and sells a range of lead acid storage batteries.
- It operates through Storage Batteries & allied products, Life Insurance Business and Others segments.
- Storage batteries & allied products segment includes the holding company and some of its subsidiaries manufacture lead acid storage batteries and allied products.
- The Life Insurance business segment is engaged in life insurance business carried by its subsidiaries.
- It offers a range of products, including automotive batteries, solar batteries, submarine batteries, industrial batteries, genset batteries, inverter batteries and home uninterruptible power supply systems.
- The Company manufactures batteries for the automotive, power, telecom, infrastructure projects, computer industries, as well as the railways, mining and defense sectors.
- Its manufacturing units are located in West Bengal, Haryana, Maharashtra, Tamil Nadu and Uttarakhand.
Management:
- R. G. Kapadia – Chairman
- G. Chatterjee – MD & CEO
- A. K. Mukherjee – CFO
The Equity Capital is @ Rs 85 Crs consisting of 850000000 equity Shares of FV Rs 1 currently held as under
None Of the Promoter’s Holding is pledged.
Major Non – Promoter Holdings:
| Sr. No | Non – Promoters | No. of Shares held | % of shares held |
| 1 | ICICI Prudential Value | 12606036 | 1.48 |
| 2 | The New India Assuance Co. Ltd | 17731080 | 2.09 |
| 3 | LIC of India | 32566143 | 3.83 |
| 4 | Government Pension Fund Global | 29059854 | 3.42 |
| 5 | HDFC Standard Life Insurance Co. Ltd | 10084463 | 1.19 |
| 6 | Hathway Investments Ltd | 36752730 | 4.32 |
Consolidated Financial Trends (In Rs. Crs) :
| Particulars | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
| Equity Paid Up | 85 | 85 | 85 | 85 | 85 | 85 |
| Networth | 4330 | 3841 | 3450 | 3080 | 2687 | 2385 |
| Total Debt | 110 | 54 | 15 | 50 | 28 | 101 |
| Net Sales | 9615 | 9630 | 8380 | 6422 | 5360 | 4822 |
| Other Income | 135 | 95 | 71 | 56 | 41 | 56 |
| PAT | 713.7 | 614.55 | 544.66 | 549.35 | 446.06 | 618.82 |
| Book Value (Rs) | 51 | 45 | 41 | 36 | 32 | 28 |
| EPS (Rs) | 8.40 | 7.23 | 6.41 | 6.46 | 5.25 | 7.28 |
Sales of Automotive Batteries had a growth rate of 4.3% by volume in 2015-16.
The aftermarket sales of four wheeler batteries witnessed an overall growth of 10% in units from the previous year.
In the two wheelers aftermarket, the growth rate during the year was nearly 14%. Sale of batteries in the four wheeler OEM division was however lower by about 2% in units during the year.
In the OEM two wheelers, the Company witnessed a growth rate of 3% in sales as compared to that of previous year
