mahindra agri business - micro irrigation · mahindra rise: house of mahindra accepting no limits...

37
Copyright ©2013 Mahindra Agri Business. All rights reserved. AGRI BUSINESS Mahindra Agri Business

Upload: others

Post on 17-Jul-2020

4 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

1Copyright © 2013 Mahindra Agri Business. All rights reserved.

AGRI BUSINESS

Mahindra Agri Business

Page 2: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

2Copyright © 2013 Mahindra Agri Business. All rights reserved.

AGRI BUSINESSContents

§ Micro Irrigation

§ Need for Micro Irrigation

§ Industry size & opportunity

§ EPC Industriè ltd.

§ EPC Product & Service Portfolio

§ Financial Performance F-15

§ Financial Performance for Q-IV & YTD Mar 2015

§ Future Plans

§ The Mahindra Group

§ Mahindra Agri Business

Page 3: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

3

Micro Irrigation Industry

Page 4: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

4

Need for Micro Irrigation

§ India a water stressed economy ; will be water scarce by 2050

§70% of the water available used for agriculture

§Need for water efficient methods of irrigation

§Benefits of Micro Irrigation: – Water saving: 30% - 40%;

– Labour saving: 30% - 50%;

– Power saving: 20% - 40%;

– Fertilizer & Nutrition saving: 30%

– Productivity improvement: 10% - 30%.

Page 5: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

5

Industry Size & Opportunity

§Strong potential for growth – Almost 60% of cultivable land is still Rain fed in India.

– 70 million Hectare Irrigated; Only 6 Million is under MIS

Are

a (

x1000 H

a)

Source: Raman 2010

Page 6: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

6

Industry Size & Opportunity

§ Industry becoming more structured &

streamlined– Gujarat & AP Project markets; use Tripartite agreements

– Use of IT to streamline ‘application to subsidy disbursal’

cycle

§ Bank support

– Banks Financing MIS systems aggressively.

– SBI, DENA, ICICI & IDBI initiators

– Loan availability has increased business potential

Page 7: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

7

EPC Industriè ltd.

§Pioneered Micro-Irrigation Systems (MIS)

in India in 1986

§Registered in 15 states under subsidy

program in India

§More than 600 channel partners; 11

regional offices.

§M & M Ltd. holds majority stake &

Management Control

§Revenue

0

2

4

6

8

10

12

Revenue in Rs. Cr.

Page 8: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

8

Click icon to add picture Open Markets

Project Markets*

Newly Opened Markets

Strong All India Network

Page 9: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

9

Product & Service Portfolio

Page 10: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

10

Strong Presence in Various segments

§Drip irrigation System: Targeted, intelligent application of water, fertilizer, and chemicals directly to the plant roots

§Sprinkler Irrigation System: Suitable for modern farming as they offer quality, high yield and cost efficiency

Page 11: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

11

Product Differentiators

§Superior Product Quality

§Good Brand Equity in Indian market

§All the products comply to Indian

Standards

Page 12: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

12

Product Portfolio: Drip Irrigation

§Online Drippers

§ Inline Drippers– Round Inline drippers

– Flat Inline drippers

§ Irrigation laterals

Page 13: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

13

Product Portfolio: Drip Irrigation

§Drip Fittings

§Drip Filters§Filters

Page 14: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

14

Product Portfolio: Drip Irrigation

§Fertigation Equipment

Page 15: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

15

Product Portfolio: Sprinkler Irrigation

§Sprinkler Irrigation pipes

§Pipe fittings

§Sprinkler Nozzles

Page 16: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

16

Field Services

§Survey: Surveys of individual farms to collect data on crops to be irrigated, its water & fertilizer requirements and agronomical practices to be followed

§Design: Complete designing of drip / sprinkler Irrigation layouts for individual farms as well as for large plantation projects

§ Installation & Commissioning: Installation & commissioning of micro-irrigation (drip & sprinkler) systems by trained and experienced team

Page 17: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

17

Field Services

§Agronomy service

§ Demo Plots to explain & establish best practices

§ Soil and water testing

§ Crop Suitability recommendation

§ Fertigation & Irrigation schedules as per crop need

§ Farmer & Dealer training for – Operation & maintenance of irrigation systems– Fertigation– Suitable chemical treatments

Page 18: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

18

Field Services

Agronomy training Demo Plots

Page 19: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

19

Consumer Engagement

Page 20: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

20

Click icon to add picture

Click icon to add picture

Click icon to add picture

Click icon to add picture

§ Farmers Training Program § Van Campaign

§ Rural Exhibition Participation § Demo Plot

Consumer Engagement

Page 21: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

21Copyright © 2013 Mahindra Agri Business. All rights reserved.

AGRI BUSINESS

Financial Performance F-15

Page 22: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

22

Click icon to add picture

Performance at Glance F-15Figures in Rs. Cr.

Revenue

EBIDTA

Capital Employed

PAT

7.7

1.8

-

2.0

4.0

6.0

8.0

10.0

F-14 F-15

177.3

171.8

160.0

165.0

170.0

175.0

180.0

F-14 F-15

113.8 114.8

70.0

90.0

110.0

130.0

F-14 F-15

12.9

6.6

-

4.0

8.0

12.0

16.0

F-14 F-15

Page 23: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

23Copyright © 2013 Mahindra Agri Business. All rights reserved.

AGRI BUSINESS

Financial Performance for Q-IV

Page 24: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

24

Click icon to add picture

Performance at Glance Q-IV

Revenue

EBIDTA

Capital Employed

PAT

Figures in Rs. Cr.

2.2

0.6

-

0.5

1.0

1.5

2.0

2.5

Q-IV F-14 Q-IV F-15

3.9

2.4

-

1.0

2.0

3.0

4.0

5.0

Q-IV F-14 Q-IV F-15

46.4 47.9

20.0

30.0

40.0

50.0

Q-IV F-14 Q-IV F-15

113.8 114.8

80.0

100.0

120.0

140.0

Q-IV F-14 Q-IV F-15

Page 25: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

25

Industry Environment

§At the start of F ’15, because of change

from NMMI to NMSA there was lack of

policy clarity across many states

§This led to considerable slowdown in

business and industry dropped by around

20% in H1 over F ’14

§ In Qtr 4, many markets including Tamil

Nadu, Andhra Pradesh, & Chhattisgarh

have announced their policies and

business has picked up in these markets

§Few other states are expected to

announce their policies shortly; this will

give a further boost to business in F ’16

Page 26: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

26

New Initiatives started

Page 27: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

27

Customer Centricity: Enabling increased customer reach

Agri Helpline

Page 28: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

28

New Allied Businesses

Greenhouse Pumps

Page 29: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

29

Reducing Subsidy Dependence

Large Community Projects

Landscaping

Exports

Page 30: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

30

The Mahindra Group

Page 31: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

31

The Mahindra Group

§ Founded in 1945 as a steel trading company

§ Diversified into manufacturing Willy’s jeeps

§ India’s 7th Largest Group - From Automotive to Defense to Construction to IT to Agriculture

§ Recognised as a global leader in Utility Vehicles and Tractors

§ More than 120,000 people across 110 subsidiaries, 6 JVs and 11 Associates, in more than 100 countries

K.C. MahindraJ.C. Mahindra

Page 32: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

32

Mahindra Rise: House of Mahindra

Accepting No Limits

Alternative Thinking

Driving Positive Change

“We will challenge conventional thinking and innovatively use all our resources to drive positive change in the lives of our stakeholders and

communities across the world, to enable them to Rise.”

CORE PURPOSE

CORE VALUES : Good Corporate Citizenship | Professionalism | Customer First | Quality Focus | Dignity of the Individual

Page 33: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

33

Mahindra Agri Business

Page 34: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

34

BHAG: Big Hairy Audacious Goal

DeliveringFarmTech Prosperity

Page 35: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

35

Agri Business Performance: Revenue

6 X

In Rs. Cr

0

100

200

300

400

500

F '11 F '12 F '13 F '14

Page 36: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

36

Disclaimer

EPC Industrié Limited. (A Mahindra Group Company), herein referred to as EPC provide a wide array of presentations and reports, with the contributions of various professionals. These presentations and reports are for informational purposes and private circulation only and do not constitute an offer to buy or sell any securities mentioned therein. They do not purport to be a complete description of the markets conditions or developments referred to in the material. While utmost care has been taken in preparing the above, we claim no responsibility for their accuracy. We shall not be liable for any direct or indirect losses arising from the use thereof and the viewers are requested to use the information contained herein at their own risk. These presentations and reports should not be reproduced, re-circulated, published in any media, website or otherwise, in any form or manner, in part or as a whole, without the express consent in writing of EPC. Any unauthorized use, disclosure or public dissemination of information contained herein is prohibited. Unless specifically noted, EPC is not responsible for the content of these presentations and/or the opinions of the presenters. Individual situations and local practices and standards may vary, so viewers and others utilizing information contained within a presentation are free to adopt differing standards and approaches as they see fit. You may not repackage or sell the presentation. Products and names mentioned in materials or presentations are the property of their respective owners and the mention of them does not constitute an endorsement by EPC. Information contained in a presentation hosted or promoted by EPC is provided “as is” without warranty of any kind, either expressed or implied, including any warranty of merchantability or fitness for a particular purpose. EPC assume no liability or responsibility for the contents of a presentation or the opinions expressed by the presenters. All expressions of opinion are subject to change without notice.

Copyright © 2012 Mahindra Agri Business. All rights reserved.

Thank you

§ “Investors don't invest in businesses, they invest in People."

Page 37: Mahindra Agri Business - Micro Irrigation · Mahindra Rise: House of Mahindra Accepting No Limits Alternative Thinking Driving Positive Change “We will challenge conventional thinking

37

AGRI BUSINESS