KDDL Limited/Earnings transcript

December 18, 2024

decpptin

Issuer IR

KDDL Limited · FY 2024

KDDL LIMITED

Looking Ahead

KDDL LIMITED

CONTENTS

EIGEN

Precision Engineering

TARATEC

Watch Components

ORNAPAC

Packaging for Luxury

ESTIMA

Swiss Manufacture

FAVRE LEUBA

EIGEN

Precision Engineering

EIGEN

Current Update

FY24 vs FY25 BUSINESS ENVIRONMENT

AS PER H1 ACTUALS

Revenue

+46% Strong demand surge continues

EBITDA

+100% Export segment most buoyant

PBT

>+233% China +1 positive, but waning

Domestic segments growing slower than expected

EIGEN

Market & Product Segments

MAIN MARKET SEGMENTS

BESS

Energy Source EV: Electrical Vehicles AD: Aerospace & Defense EE: Electricals & Electronics

MAIN PRODUCT GROUPS

Busbars Connectors Relays

EIGEN

New Technologies

Friction Stir Welding Flexible busbars Reel Plating Carbide Stamping Tool

EIGEN

Outlook

Mid-Long Term

PRODUCT GROUPS MARKET SEGMENTS GOALS

Busbars and related US Market is highest priority. Revenue : Rs 750cr – 1000cr

Then Europe and Asia in 7-10 years. Organic and

Connectors and related Inorganic routes

Export

BESS & EV Segments

Electrical/Electronic Integration of New

assemblies relays India

Aerospace & Defense; Technologies

Electrical and Electronic

Integration of new Set up Sales Organization in technologies USA and Europe

TARATEC

Watch Components

TARATEC

Watch Components

Current Update

FY24 VS FY25 BUSINESS ENVIRONMENT

AS PER H1 ACTUALS

Revenue

-21% Global slowdown in Swiss watches. Short- term stagnation in dials and hands business

EBITDA

-39%

Export demand for bracelets is growing.

PBT

-44% Strong ask for other components

China+1 thinking is strong but appeal of

India is diminishing

Domestic watch assembly growth is moderate

TARATEC

Watch Components

Outlook

Mid-Long Term

DIALS & HANDS BRACELETS CASES & RELATED PARTS

Low volume growth in Swiss High volume and value High growth potential in

& Indian market growth in Swiss market Swiss market

High potential to among Continued focus on mid-high Focus on mid end market to

Japanese brands end, not the Indian brands grab China+1 opportunity

High potential in high-value Expansion planned in Open to tech. collaboration artisanal products capacity and cost effective or JV for cost effective technologies technology

Overall growth est 8-10%

CAGR Overall growth est 20-25% Rs 50-75 Cr opportunity

CAGR

TARATEC

Watch Components

New Technologies & Skills

Laser Semi-Precious Guilloche Enamel Pvd

Stone

Lumiblock Buckles Cases, Crowns & Sapphire Glass

Pushers

TARATEC

Watch Components

Vision & Goals

To be the worlds best supplier of high-quality appearance parts of watches (habillement).

Create a cluster of high-quality component production through collabs and JVs; make India as a preferred alternative to China and Thailand.

Revive and develop traditional Indian artisan skills to serve the high luxury market in watches.

Pursue and realize revenue potential of Rs 500 Cr +/-

ORNAPAC

Packaging for Luxury

ORNAPAC

Packaging for Luxury

Current Update

FY24 VS FY25 BUSINESS ENVIRONMENT

AS PER H1 ACTUALS

Revenue

+5%

New Factory starts production

Initial ramping up costs.

EBITDA

+8%

Steady domestic demand;

PBT

-28% moderate growth.

First orders from international brands. Strong future potential

ORNAPAC

Packaging for Luxury

Outlook

Mid-Long Term

MARKETS & GOALS

Watch Industry-Domestic

Moderate Potential

Jewelry & Accessories–Domestic : High Potential

Export Segment –Swiss watch brands and global

jewelry brands

Very High Potential

Focus on eco-friendly packaging solutions

Revenue Potential

Rs 80-100 cr

ESTIMA

Swiss Manufacture

ESTIMA

Current Environment

FINANCIALS CHALLENGES

Revenue

CHF 2.5 - 3.0 mill Entry into high-end

(Rs. 25-30 crs) customers

EBITDA

Break-even Workforce challenges

PBT

CHF (-) 500k Inducting new skills

ESTIMA

Opportunities & Prospects

FINANCIALS MARKETS & PRODUCTS

Revenue

CHF 6.0-7.0 mill Special high-value products for high-end brands (gold hands,

PBT

10%-12% stone dials)

Special small series dials and hands

Hybrid solution

India + Swiss for mid-end Swiss brands

FAVRE LEUBA

Conquering Frontiers

FAVRE LEUBA

New Product Families

Launch January 2025

FAVRE LEUBA

Media Launch Geneva

September 2024

THANK YOU

decpptin — KDDL Limited