IFB Industries Limited

4 crore

ccount of the Covid-l9 Second Wave. 04 EBITDA amount for the Quarter was {jO crore as against il l4 crore during the coresponding period of the last year. This was for the following reasons: ' Material co

22291 crore

s not been passed through. . lncrease in operating expenditures. Balance Sheet Total bonowing was <22291 crore as on Quarter end date, including term loan amount of ?l 74.1O crore. The break-up of bonowing is

28.32 crore

an taken from SCB for our AC plant came down to its cuffent position after making a pre-payment of ?28.32 crore in January 2021 as well as the first principal payment in October 2O21. The rerm loan taken from DB

318.94 crore

g, as on December 31,2021, our Cash and Bank Balances (including investments in Mutual Funds) were ?318.94 crore. Hence, the Company remained debt free on a net basis as on the last day of Quarter 3 of FY 21-22.

2 crore

reak-up of cash & bank balances (including invesrments in Mutual Fund) Cash and Bank Balances t82.i2 crore lnvestments in MutualFund {2i6.62 crore Total ?318-94 crore We have in-effciencies of ?10O crore i

6.62 crore

uding invesrments in Mutual Fund) Cash and Bank Balances t82.i2 crore lnvestments in MutualFund {2i6.62 crore Total ?318-94 crore We have in-effciencies of ?10O crore in working capital as on December il, 202

94 crore

utual Fund) Cash and Bank Balances t82.i2 crore lnvestments in MutualFund {2i6.62 crore Total ?318-94 crore We have in-effciencies of ?10O crore in working capital as on December il, 2021, due to lower sale

rs,

es etc. 1-t a7 ln Q3, the product range in the market was expanded by the company. ln Front Loaders, the company upgraded all its models with a Steam feature, which helps in hygienic washing. Top Loade

20%

os technotogy with lower water, detergent and chemical consumption. IFB Point sales growt} YTD is >20% with a growth in conversion ratios" The new format of the IFB points has been executed on a pilot b

7%

ted to improve going forward as investments in lnfrastructure increase. lt is expected to grow by 5-7% YOY. . Electric Vehicles will grow in the scooter segment while facing challenges in new vehicle la

69%

owth: l. 2\A/ : (-l25.4 over last yeals conesponding Quarter as compared to Market Growth is (-) 22"69%. 2.4W :5.7% over last year's conesponding Quarter as compared to Market Crowth is (-) 'l 1.0i%. 3.

5.7%

A/ : (-l25.4 over last yeals conesponding Quarter as compared to Market Growth is (-) 22"69%. 2.4W :5.7% over last year's conesponding Quarter as compared to Market Crowth is (-) 'l 1.0i%. 3. CY:43.7% ove

“Thereafter, principal payments were made during the year and the cunent balance is {54.5i crore" The first instalment of the Stamping Division Loan taken from lClCl Bank will be due in May 2022.”

“Market Conditions Home Appliances Division ' Market demand dropped in the November and December 202'l period" post a healthy Diwali season, However, the overall demand scenario in the medium term remains healthy and there is growth in demand for higher end capacities across the-ller 2 and 5 towns.”

“There are projects internally ongoing to mitigate the impact of the cost increases which will be completed by Q1 of the next financial year.”

“This will be extended to 7 metro cities over the next two euarrers and will cover 100 plus existing stores.”

“CV demand is expected to improve going forward as investments in lnfrastructure increase.”

“Electric Vehicles will grow in the scooter segment while facing challenges in new vehicle launches erc.”

“We do not have machines in 9 Kg plus category-this category is 5OK to 60K volume at present-this gap will be fixed in Ql of next FY.”

“The new Xeros technology enabled washer extraftors will be ramped up in Q4 and will offer significant savings in water, power and energy consumption-with additional savings on fabric by increasing its life almost twice over, especially for hoteliers.”

“The Company's efforts in e4 will be aimed at increasing our presence in Defence and other sector business.”

“We expect a turnaround in the demand scenario in the 4th Quarter, including tender based sales, for which we have a healthy order pipeline.”

This was for the following reasons

1

The break-up of bonowing is as follows

1

This is the break up

1

Following are the important points

1

Engineering Division

1

Market Growth

1

This was for the following reasons

' Material cost increase on account of hike in commodity prices which has not been passed through. . lncrease in operating expenditures. Balance Sheet Total bonowing was <22291 crore as on Quarter end date, including term loan amount of ?l 74.1O crore.

The break-up of bonowing is as follows

Borrowing ECB Rupee Term Loan Rupee Term t-oin Working Capital Total 104_sv 34.55 55.00 48.81 222.91 Standard Chartered DBS Bank lClClBank SCB ({ in crore) AC Five Years Engineering Division Five Years Stamping Division Seven Years The ECB Loan taken from SCB for our AC plant came down to its cuffent position after making a pre-payment of ?28.32 crore in January 2021 as well as the first principal payment in October 2O21. The rerm loan taken from DBS for our Engineering business was partly pre-paid in Decembe r 2O2O to reach a balance of ?47.'lO crore. Thereafter, principal payments were made during the year and the cunent balance is {54.5i crore" The first instalment of the Stamping Division Loan taken from lClCl Bank will be due in May 2022. losi Against the aforesaid bonowing, as on December 31,2021, our Cash and Bank Balances (including investments in Mutual Funds) were ?318.94 crore. Hence, the Company remained debt free on a net basis as on the last day of Quarter 3 of FY 21-22.

This is the break up

Break-up of cash & bank balances (including invesrments in Mutual Fund) Cash and Bank Balances t82.i2 crore lnvestments in MutualFund {2i6.62 crore Total ?318-94 crore We have in-effciencies of ?10O crore in working capital as on December il, 2021, due to lower sales in the AC category. This will improve by end of Q4, The mar{<et has positive sentiment, though tftere were some market disruptions in Qi due to the Third Wave. So we hope that sales will keep rheir momentum in e4. Market Conditions Home Appliances Division ' Market demand dropped in the November and December 202'l period" post a healthy Diwali season, However, the overall demand scenario in the medium term remains healthy and there is growth in demand for higher end capacities across the-ller 2 and 5 towns. ' The pressure on inputs remains high and has effected the Q5 performance negatively. We have initiated price hikes post the festival and in Q4-the impact on demand needs to be seen in e4. l06l trffi ' Supply chain pres

Following are the important points

. Both 4W and 2W are expected to have single digit growth in Q4 of FY'22. . Vehicle scrapping policy will lead to an increase in demand for 4W . CV demand is expected to improve going forward as investments in lnfrastructure increase. lt is expected to grow by 5-7% YOY. . Electric Vehicles will grow in the scooter segment while facing challenges in new vehicle launches erc. Overall, the automotive segment is expected to have moderate growth in the coming Quarter. losi Business Updates

Engineering Division

ln Q3, sales were dampened in the Automotive mar.ket . semi conductor shortages severely affected the 4w segment from July onwards. . High end 2W segment was also affected due to chip shorrage. ' Though steel prices softened a bit in this Quarter" OEM-increased vehicle prices based on steel price increases which happened in previous Quarters-specially 2W sales being very price sensitive were severely affected. . The rising price of fuel was also a factor that affected the end customer's decision to buy.

Market Growth

l. 2\A/ : (-l25.4 over last yeals conesponding Quarter as compared to Market Growth is (-) 22"69%. 2.4W :5.7% over last year's conesponding Quarter as compared to Market Crowth is (-) 'l 1.0i%. 3. CY:43.7% over last yeay's conesponding Quarter as compared to Market Growth is 17.46%. loel 3 RANGE OF PRODUCTS (Home Appliances Division) The Division's range of products covers both domestic and industrial application categories. The updates at the end of the 5rd Quarter for each of the product categories are given below: . Front Load Washing Machine The range addresses all unique customer nEeds and is well differentiated in the market based on features, aesthetics and performance. The significant rise in commodity pricing has led to a steep increase in prices in the beginning of this calendar year. Q'l of this year was also affected due to the Second Wave as there were market disruptions from mid April to the end May 21. December '21 and now the January '22 period has also seen an impact o