MOSL: ANNUAL REPORT THREADBARE (ART) | MOTHERSON SUMI FY19-Higher receivable discounting supports cash flows in weak operating environment
ANNUAL REPORT THREADBARE (ART) | MOTHERSON SUMI FY19: Higher receivable discounting supports cash flows in weak operating environment
MSS’ FY19 annual report analysis highlighted muted EBITDA growth of 4.4% to INR53.5b, impacted by the startup cost of greenfield plants and the weak operating environment. Net unamortized expense capitalized to the balance sheet increased by INR3.7b, 11.8% of PBT (FY18: INR3.0b, 9.1% of PBT), to INR7.3b (FY18: INR3.6b). Earnings to cash flow conversion improved to 100% (FY18: 83%), led by an increase in receivables discounting (on a non-recourse basis) from INR32.0b in FY18 to INR47.3b in FY19. Unbilled revenue on tooling increased to INR39.6b, 6.2% of revenue (FY18: INR33.5b, 6% of revenue). FCF post interest (adjusted for receivable discounting) remained negative at INR10.4b (FY18: -INR14.0b) due to continued capex and Rydel’s acquisition. High capital intensity and the muted operating performance led to a decline in pre-tax RoCE to 16.4% (FY18: 19.1%). Leverage at SMRPBV increased to EUR1,153m (FY18: EUR864m) on account of EUR150m loan availed from Samvardhana Motherson Global Holding (a 51% MSS Subsidiary) – a related party – at 5.99%.
Motherson Sumi Systems is engaged in the manufacturing of rearview vision systems, interior and exterior modules and wiring harness. Co.'s business portfolio comprises electrical distribution systems (wiring harnesses), automotive rearview mirrors, polymer processing and tooling, elastomer processing, metal machining, and information technolgy, engineering & design. Co. also provides manufacturing support, including compressors, paint coating equipment, auxiliary equipment for injection moulding machines and automotive manufacturing engineering services.
Motilal Oswal Financial Services Ltd. is a reputed name in Financial Services and Online Trading with group companies providing services such as Private Wealth Management, Retail Broking and Distribution, Institutional Broking, Asset Management, Investment Banking, Private Equity, Commodity Broking, Currency Broking, Principal Strategies & Home Finance.
Motilal Oswal Securities is a group company of Motilal Oswal Financial Service Limited which started as a stock trading company and has blossomed into well diversified firm offering a range of financial products and services. Motilal Oswal has built a reputation as the source for best stock trading company and this has taken a wealth of experience, knowledge and expertise, constantly working in tandem, over the years.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.