Honda Atlas Cars (Pakistan) Limited
Financial Year ended March 31, 2020
Corporate Briefing Session
Date: August 13, 2020 Macro-economic environment Macro-economic environment
SBP Policy Rate Current account Inflation rate deficit US$-B 10.75% 11.00% 8.60% 10.20% 10.3 14 13.25 14.6 12.5 (July-March FY 14 12.7 13 12.25 11.4 12 2019) 12 10.5 10.2 11 11 10 10 10.75 8 9 2.8 6 8 (July-March FY Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 2020)
USD-PKR Parity Current account JPY-PKR Parity 141.5 166.58 deficit- % of GDP 1.27 1.54 3.7% 170 166.58 (July-March FY 1.60 1.5383 163.24 1.516 165 2019) 157 1.50 160 155.8 155.05 1.4342 1.4176 155 1.40 1.3604 150 148.24 17.7% 21.3% 145 devaluation 1.1% 1.30 devaluation 140 (July-March FY 1.20 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 2020) Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
Federal Excise Duty Additional Customs Duty
5% on 1,001 CC to 10% on 1700CC 7% on imports 1799 CC 2% on imports and above (From July-2019) (From July-2019)
Source: sbp.org.pk, fbr.gov.pk, Economic survey 2019-20 Automobile industry Organized Passenger Car Market 2019-20
Cars Units Sold in last 12 months 205,648 179,019 Data Source: PAMA 207,842 210,000 195,239 177,712 129,141 KIA Sportage & Industry sales reduced Picanto 160,491 launched 180,000 by 37% from FY 18-19 to 152,771 19-20
146,716 150,000 132,906 46% 49% 49% 47% 52% 55% 113,076 45% 120,000 103,934 43% Prince 45% Pearl launched 41% Suzuki Alto VXR & VXL 90,000 launched Suzuki 45% 26% 49% 26% 29% 29% 60,000 34% 30% Toyota Altis 1.6L 37% launched Toyota 40% 35% 41% 28% 30,000 29% 25% 24% 19% 24% 25% 17% Honda 20% 21% 22% 18% 17% 18%
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Jul-14 Jul-15 Jul-16 Jul-17 Jul-18 Jul-19
Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20
Jun-19 Jun-14 Jun-15 Jun-16 Jun-17 Jun-18
Oct-14 Oct-15 Oct-16 Oct-17 Oct-18 Oct-19
Feb-14 Apr-14 Feb-15 Apr-15 Feb-16 Apr-16 Feb-17 Apr-17 Feb-18 Apr-18 Feb-19 Apr-19 Feb-20
Sep-14 Sep-15 Sep-16 Sep-17 Sep-18 Sep-19
Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19
Aug-19 Aug-14 Aug-15 Aug-16 Aug-17 Aug-18
Nov-14 Nov-15 Nov-16 Nov-17 Nov-18 Nov-19
Mar-16 Mar-14 Mar-15 Mar-17 Mar-18 Mar-19 Mar-20
May-16 May-14 May-15 May-17 May-18 May-19
Suzuki’s new Alto launched in June-19 captured a fair amount of market share Company’s Financial Review PERFORMANCE FOR THE YEAR ENDED MAR 31, 2020 Operating Highlights 2020 2019 % Change
Vehicle Production Units 22,729 48,608 (53%) Vehicle Sales Units 22,418 48,648 (54%) Net Revenue Rs in Million 55,046 95,128 (42%) Gross Profit Rs in Million 4,091 7,304 (44%) Gross Profit % 7.43% 7.68% (3%) Profit Before Tax Rs in Million 1,547 5,594 (72%) Profit Before Tax % 2.81% 5.88% (52%) Earnings Per Share Rs 4.77 26.97 (81%) Dividend Payout Ratio % 20.90% 45.1% (54%) At The End of Period Total Assets Rs in Million 31,842 32,101 (1%) Shareholders' Equity Rs in Million 16,557 17,627 (6%) Share Performance Price Per Share Rs 133 240 (45%) Market Capitalization Rs in Million 18,922 34,266 (45%) Earnings per share and dividend
Earnings per share (Rs) Dividend payout ratio (%) 59.20
45.10
39.90 45.50 43.00
30.30 28.10 22.60 26.97 21.00 17.60 24.90 22.10
7.50 1.70 4.77
2013 2014 2015 2016 2017 2018 2019 2020
HACPL has maintained a handsome dividend payout Significant events during the year MOU Between HACPL And Banks
Memorandum of Understanding Signing between HACPL & Various Banks To Boost Sales of Honda Cars with the Help of Objective Huge Client Base & Wide Area Coverage of Banks
MOU Bank Offerings Habib Bank Ltd • Free Registration on All Models Bank Of Punjab • Free first year Insurance All Models • 50 % registration and Maintenance packages 20K on all models MCB excluding Turbo. • Extended warranty on Turbo • Free registration on city all variants. • Free Leather on civic, maintenance package 20K, extended Bank Al Habib Ltd warranty. • 300 liter fuel on Turbo, Extended warranty • 300 liter fuel on BRV, Extended warranty, and maintenance Launch of New Model
Two new models of Civic were launched during FY19-20
Honda Civic RS Turbo in Honda Civic Turbo Oriel in April-19 January-20 Launch of New Model – Minor Model Change Honda BR-V
BR-V’s facelift unveiled in October-19 Dealership Network (August 13, 2020)
3S Dealers: 33 New Dealership in Karachi, Abbottabad and 2S Dealers: 18 Multan Abbottabad Islamabad 1S Dealers: 6 Peshawar 1 2 2 Total : 57 Dealers in 23 1 Rawalpindi 1 2 1 Cities Mardan Mirpur 1 1 Gujrat Jhelum 1 1 Sialkot Sargodha 1 1 Gujranwala Faisalabad 1 3 2 Lahore Dera Ghazi Sahiwal 1 4 5 2 Khan 1 Okara 1 Multan 2 1 1 Bahawalpur Sukkur Rahimyar 1 1 Hyderabad Khan 1 1 Mirpur Khas 1 Karachi 9, 1, 2
Further Dealerships are being added to strengthen country wide presence Q & A THANK YOU