X

JTEKT India Ltd. Stock Analysis

Small Cap
Evaluated by 728 users | BSE: 520057 | NSE: JTEKTINDIA |
Auto Ancillary
Sona Koyo Steering Systems, established in 1985, is the group's flagship company and the largest manufacturer of steering systems in India catering to passenger cars, utility vehicles and light commercial vehicles. Sona Koyo has technical and financial collaboration with JTEKT Corporation,...

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Value Creation
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 13.98%14.6%10.49%8.87%6.6%6.99%8.29%11.08%10.4%5.09%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 1,0351,1411,1191,0431,0791,0771,1651,5251,7731,531
Y-o-Y Gr. Rt.-10.2%-1.9%-6.8%3.4%-0.1%8.1%31%16.2%-13.7%
Adjusted EPS (Rs.) 1.752.041.491.310.880.891.442.882.791.18
Y-o-Y Gr. Rt.-16.6%-27%-12.1%-32.8%1.1%61.8%100%-3.1%-57.7%
Book Value per Share (Rs.) 10.2511.4512.2313.4113.1913.8515.0226.623.4523.47
Adjusted Net Profit 34.840.529.726.117.617.728.657.368.328.9
Net Op. Cash Flow (Rs. Cr.) 76.113456.996.312989.2150164170107
Debt to Cash Flow from Ops 2.781.765.412.861.983.131.641.411.110.69
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
JTEKT India Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 4.5%7.3%9.5%-13.7%
Adjusted EPS -4.3%6%-6.4%-57.7%
Book Value per Share 9.612.2160.1
Share Price 20.2% 5.7% -10.3% -16.6%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 18.0918.7912.6110.256.646.69.9513.8612.45.04
Operating Profit Margin (%) 10.1410.6810.559.5111.3610.811.4312.8111.337.84
Net Profit Margin (%) 3.373.552.652.51.631.652.453.763.851.89
Debt to Equity 1.041.031.271.030.981.020.820.440.330.13
Working Capital Days 6875839181848599116123
Cash Conversion Cycle -7-9-39557223137
Entity Percentage Holding
Promoters 75.00%
Institutions 6.06%
Non-Institutions 18.94%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)
Data is not available for this company.

The 5-year analysis of JTEKT India's performance infers:

JTEKT India earnings have grown by 6%, whereas share price has appreciated 5.7% CAGR over the past five years, indicating the company's share price is likely undervalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of JTEKT India share prices over the last 10 years. Here is what we found out:

JTEKT India share price has appreciated 13.9% annually over the past ten years.

Sona Koyo Steering Systems, established in 1985, is the group's flagship company and the largest manufacturer of steering systems in India catering to passenger cars, utility vehicles and light commercial vehicles.

Sona Koyo has technical and financial collaboration with JTEKT Corporation, Japan (formally known as Koyo Seiko Co), the largest producer of passenger vehicles' steering systems in the world. The company also has a technical collaboration with Mando Corporation, Korea. As part

Sona Koyo Steering Systems, established in 1985, is the group's flagship company and the largest manufacturer of steering systems in India catering to passenger cars, utility vehicles and light commercial vehicles.

Sona Koyo has technical and financial collaboration with JTEKT Corporation, Japan (formally known as Koyo Seiko Co), the largest producer of passenger vehicles' steering systems in the world. The company also has a technical collaboration with Mando Corporation, Korea. As part of Sona Koyo Steering Systems’ (SKSSL) globalization strategy, the company has acquired a position in Fuji Autotech France, SAS, the 4th largest steering system supplier in Europe. Via Fuji Autotech, the Sona Group's footprint extends to Eastern Europe and South America.

Sona Koyo Steering Systems has three plants located in Gurgaon, Chennai and Dharuhera.

The Sona Group firmly believes in creating strong partnerships. The Group consists of nine automobile components manufacturing companies and three services companies in the areas of engineering design and mobility. The Sona Group has technical and marketing alliances with many domestic and international majors. The Group today employs over 3500 people, and has revenues a little in excess of $ 760 million.

Products:

• Carrier Differential Assy

• Column Type Electronic Power Steering Assy

• Intermediate Drive Shaft Assy  

• Intermediate Shaft Assy with Rubber Isolator 

• Intermediate Shaft Assy with Rubber Isolator Car 

• Manual Steering Column Assy with Ea Bracket 

• Manual Steering Column Assy with Lower Tilt-car

• Manual Steering Column Assy with Upper Tilt 

• Propeller Shaft Assy â€¢ Rack & pinion Type Hydraulic Steering Gear Assy.-uv 

• Rack pinion Type Manual Steering Gear Assy with Integral Housing-uv 

• Rack pinion type manual steering Gear Assy with Integral Housing-uv 

• Rack pinion Type Hydraulic Steering Gear Assy with Integral Housing-car 

• Rear Axle Assy 

• Recirculating Ball Screw Type Manual Gear Assy 

• Recirculating Ball Screw Type Manual Gear Assy

• Tilt and Telescopic Column HCV  

Joint Ventures:

• JTEKT Sona Automotive India (JSAI) • Sona FUJI KIKO Automotive • Arjan Stampings • AAM Sona Axle

Group companies:

• Sona Okegawa Precision Forgings • Sona BLW Prazisionsschmiede • Sona Somic Lemforder Components • Mahindra Sona • Sona Mobility Services (Sixt India) • Sona e-Design and Technologies

Milestones:

• January 1985 - Technical Collaboration Agreement with Koyo Seiko Co., Japan, for manufacturing

• October 1987 - Commencement of Production - Manual Steering Gear - Manual Steering Column

• September 1994 - ISO-9002 Certificate by TUV-CERT, Germany

• July 1996 - Production of Hydraulic Power Steering Gear

• December 1998 - Established plant in Chennai

• October 2003 - Established Export Oriented Unit (EOU) in Chennai

• November 2003 - 'Deming Award' by JUSE, Japan

• October 2004 - Acquired 21% stake in Fuji Autotech France

• March 2006 - Started production of column-type Electric Power Steering

• February 2007 - Established plant at Dharuhera, Haryana

• July 2007 - JTEKT-Sona Automotive India Ltd. (JSAI)
 
• Sep 2007 - Sona-Fuji Kiko India Ltd (SFAI)
 
• Jan 2008 - TPM Excellence Award
 
• Mar 2010 - US Patent for Torque Sensor for EPAM
 
• Aug 2010 - Arjan Stampings Ltd. renamed as Sona Stampings Ltd.
 
• Sep 2010 - US Patent for Electric Power Assist Motor (EPAM)
 
• Feb 2011 - Production starts at SKSSL Sanand, Gujarat plant
 
Awards and achievements:

• 2003 – Deming Application Prize

• 2004 – Technology Innovation Award by ACMA, Manufacturing Excellence Award by Frost & Sullivan

• 2005 – Best Tier - II Vendor upgradation Award by MUL

• 2006 – Award for 'Best Efforts for Cost Optimisation' & 'Quick Response to Customer's Requirements' by Toyota

• 2007 – TERI Environment Excellence Award, TERI CSR Commendation for Strong Commitments,  National Training Award by ISTD, Golden Peacock National Training Award by Institute of Directors, CII - ITC Sustainability Commendation for Strong Commitment

• 2008 – Sona Koyo Wins the Corporate Gold Award, Sona Koyo Wins the Qimpro Convention Award for “Retention Strategies in Today's Organisation”, Sona Koyo Wins the Employer Branding Award for 'Best HR Strategy In Line With Business', Sona Koyo Wins the Employer Branding Award for 'Innovation Retention Strategy'.

• 2012 Sona Koyo Steering Systems Ltd. was honoured with two awards by Institute of Economic Studies (IES), one of India's premiere research institutes.
Sona Koyo honored with two prestigious awards by Institute of Economic studies.

• 2013 Sona koyo bags ACMA trophy for excellence in innovation

Customers:

Domestic:                       

• Maruti Suzuki India • Hyundai Motors â€¢ Toyota Kirloskar Motors • Tata Motors • Tatra Victra • Suzuki Power Train India • Mahindra & Mahindra • Hindustan Motors • Reva Electric Car • Swaraj Mazda • Mando India • General Motors India • Mahindra Renault

Overseas:

• JTEKT USA • MANDO USA • SIGMA ASL UK • Transaxle Manufacturing, USA • MAVAL, USA • LOTUS, UK • JTEKT, Japan • EZGO Textron, USA • Fuji Autotech, Brazil • Fuji Autotech, France • Fuji Kiko, Japan • JCB, UK • Toyota Motors, Japan

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323
Research Analyst - INH000000719

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