X

JTEKT India Ltd Stock Analysis

Small Cap
Evaluated by 782 users | BSE: 520057 | NSE: JTEKTINDIA |
Auto Ancillary

Established in 1984, JTEKT India Limited (formerly known as Sona Koyo Steering Systems Limited) is a subsidiary of JTEKT Corporation Japan and operates as part of JTEKT Group India. It is leading automotive components manufacturer. The globally recognised...

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 22.9% 11.3% -8.4% 73.5%
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 7.96%
Non-Institutions 17.04%
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 Ltd's performance infers:

JTEKT India Ltd earnings have grown by 6%, whereas share price has appreciated 11.3% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

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

JTEKT India Ltd share price has appreciated 17.1% annually over the past ten years.

Established in 1984, JTEKT India Limited (formerly known as Sona Koyo Steering Systems Limited) is a subsidiary of JTEKT Corporation Japan and operates as part of JTEKT Group India. It is leading automotive components manufacturer. The globally recognised manufacturer of steering systems and automotive components, JTEKT India, caters to most vehicle manufacturers nationally as well as internationally. Some of the major original equipment manufacturers (OEMs)

Established in 1984, JTEKT India Limited (formerly known as Sona Koyo Steering Systems Limited) is a subsidiary of JTEKT Corporation Japan and operates as part of JTEKT Group India. It is leading automotive components manufacturer. The globally recognised manufacturer of steering systems and automotive components, JTEKT India, caters to most vehicle manufacturers nationally as well as internationally. Some of the major original equipment manufacturers (OEMs) namely Maruti Suzuki, Toyota, Tata Motors, Mahindra & Mahindra, General Motors, Fiat India, Isuzu Motors, Renault India, Honda and Nissan procure ancillary equipment from JTEKT India.

The company also exports its products to the USA, Europe, and Japan independently as well as through overseas partners. Over the last three decades, the Company has successfully strengthened its presence in two core product technologies – steering systems and driveline components. Spread geographically to seven manufacturing units across India, JTEKT India has five Plants in Haryana (the automotive hub of India), one in Gujarat, and one in Tamil Nadu.

Business area of the company

The company is engaged in the business of manufacturing / production, supply and sale of steering systems, axles and other auto ancillaries to almost all Indian passenger car and utility vehicle manufacturers.

Products

The product portfolio of the company includes High-performance Rack and Pinion Manual Steering Gear, Hydraulic Power Steering System, Recirculating Ball Screw Assembly, Column type Electric Power Steering, Tilt & telescopic steering column, intermediate shaft, Advanced Column & telescopic intermediate shaft, Electric Power-Assist Module (EPAM), Rear Axle Assembly and other Driveline products.

Awards

2009-10:

  • The company was awarded by Tata Motors for its ‘Pursuit of Excellence in Quality’.
  • The being conferred with ‘Supply Chain Leader Award’ by 9.9 media publication.

2010-11:

  • The company was awarded, by Maruti Suzuki, Excellence Award under the categories of ‘Research & Development’ and ‘Tier 2 Up-gradation’.

2011-12:

  • Maruti Suzuki awarded the company with Production System Excellence Award & Human Resource Excellence Award.
  • The company was also awarded with 2nd prize in Kaizen competition for Mahindra Supplier group.

2012-13:

  • General Motors awarded the company with the ‘Best Practices Recognition Award’ during the year.
  • Awarded Tier-2 Upgradation Award from Maruti Suzuki. The company is participating in MACE (Maruti Centre for Excellence) program for Tier-2 (supplier) upgradation.
  • The Institute of Economic Studies (IES), one of India’s premiere research institutes, conferred ‘Excellence Award’ to the company for its prominent position in Auto Component Industry.
  • The company’s Dharuhera Plant-2 is the NCR’s first certified green building as acknowledged by Indian Green Building Council.

2013-14:

  • The company’s continuing emphasis on research and development was recognized by ACMA’s ‘Award for Excellence in Technology - Large Category’.
  • Recognized as Best Vendor Support and Best Delivery by Toyota Kirloskar Motor for its outstanding performance during FY14.

2015-16:

  • Toyota Kirloskar Motor 'Zero PPM' award for achieving Zero Defect Supplies for the year 2015.
  • Maruti Suzuki Quality Award for the year 2015.

2016-17:

  • Infosec Maestros Award 2016.
  • Business Tech Award 2016 (DQ Live)

2017-18:

  • The company has been recognised by its customer Toyota Kirloskar Motor with four awards. It received awards in the categories: (a) For achieving zero defect supplies (b) Best Gemba Improvement Activity (c) Achieving targets in the category of Quality and (d) Achieving targets in the category of Delivery.
  • Japan Institute of Plant Maintenance (JIPM) has recognised the company with an award for TPM excellence, ‘Category A’.
  • Received Global Safety Excellence Award from JTEKT Corporation, Japan among all JTEKT companies across the globe.
  • Received Zero PPM Award from Toyota Kirloskar Motor Limited.
  • Received the ‘Comprehensive Excellence Award’ from Maruti Suzuki.
  • Garnered the ‘Best Vendor System Audit Award’ from Maruti Suzuki.

Milestones

  • 1985: Technical Collaboration Agreement with Koyo Seiko Co., Japan, for manufacturing
  • 1987: Commencement of Production - Manual Steering Gear - Manual Steering Column
  • 1994: ISO-9002 Certificate by TUV-CERT, Germany
  • 1996: Production of Hydraulic Power Steering Gear
  • 1998: Established plant in Chennai
  • 2003: Established Export Oriented Unit (EOU) in Chennai
  • 2003: 'Deming Award' by JUSE, Japan
  • 2004: Acquired 21% stake in Fuji Autotech France
  • 2006: Started production of column-type Electric Power Steering
  • 2007: Established plant at Dharuhera, Haryana
  • 2007: JTEKT-Sona Automotive India Ltd. (JSAI) 
  • 2007: Sona-Fuji Kiko India Ltd (SFAI)
  • 2008: TPM Excellence Award
  • 2010: US Patent for Torque Sensor for EPAM
  • 2010: Arjan Stampings Ltd. renamed as Sona Stampings Ltd.
  • 2010: US Patent for Electric Power Assist Motor (EPAM)
  • 2011: Production starts at SKSSL Sanand, Gujarat plant
  • 2015-16: Accomplished smooth start of production of C-EPS for Mahindra’s KUV1OO
  • 2016-17: JTEKT, Japan, has now become its principal shareholder. This new development will help further consolidate its position in the Indian market by strengthening its technological know-how and innovation capabilities
  • 2016-17: Sona Koyo and its subsidiaries have now become members of the JTEKT Group
  • 2017-18: Accomplished smooth ‘Start of Production’ (launch) of Jacket Column Assembly for TMKL YAARIS
  • 2017-18: Achieved 100% OTIF delivery for its star customer JSAI
  • 2017-18: The Board of Directors of the Company have, vide resolution dated 9th February, 2018 have approved Scheme of Amalgamation of involving JTEKT SONA Automotive India Limited (Amalgamating Company) and JTEKT India Limited (Amalgamated Company) and their respective shareholders and creditors.
  • 2018-19: JTEKT Corporation’s strong global branding and a strategic merger with a group company in India in FY2019 to achieve business synergies and operational efficiencies.
  • 2019-20: The company closed FY2020 with the completion of Phase-1 of Technical Centre involving setting up of a state of art component testing facility
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

Callback