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Market Research Report : Bearings Market in India 2013

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Market Research Report : Bearings Market in India 2013 Powered By Docstoc
					Bearings Market – India 
February 2013
Executive Summary

                  Bearings market in India is expected to witness robust growth owing to huge investments in 
  Market           infrastructure by the government

               Drivers                                               Challenges
                 • Growing demand for automobiles and                      • Counterfeit products
                   auto components                                         • Stiff competition in the market 
                 • Increased investment in wind turbines                   • Rise in steel price
                 • Robust construction & mining equipment 
 Drivers & 
                   market
Challenges       • Expanding railway sector
                 • Well established foundry industry 
                 • Healthy economic outlook


                  Global collaboration
  Trends          Changing customer preferences
                  Focus on technology development

                                                             Major Players
                              Company 1                                                Company 2 
Competitive 
                              Company 3                                                Company 4
 Landscape
                              Company 5                                                Company 6

                                       BEARINGS MARKET IN INDIA 2013.PPT                                         2
•Macro Economic Indicators
•Introduction
•Market Overview
•Bearings Manufacturing Process
•Bearing Hubs
•Export ‐ Import
•Drivers and Challenges
•Trends
•Competitive Landscape
•Strategic Initiatives
•Appendix
      BEARINGS MARKET IN INDIA 2013.PPT   3
Macro Economic Indicators (1/3)
GDP at Factor Cost: X

     INR tn
                                                                                             y4
    14                                                                    y3                 z4
              x1                 x2
    13                                                                    z3
              y1                 y2                                                          k4
    12        z1                 z2                                       k3

              k1                 k2
    11

    10
          Q ‐                    Q‐                                       Q‐                 Q‐
                           20‐‐         20‐‐       20‐‐        20‐‐

Inflation Rate: Y

          %
    1.0            x1                                x3

    0.8
    0.6                   x2                                                   x4     x5
    0.4
    0.2
    0.0
                   20‐‐   20‐‐                      20‐‐                       20‐‐   20‐‐


                                      BEARINGS MARKET IN INDIA 2013.PPT                           4
Focus on infrastructure development presents a huge 
growth opportunity to the Indian bearings market
Bearings Market India – Overview                                   Bearing Market Structure (20‐‐)
• Bearings market in India is characterized by the                           A     B
  presence of a large number of established domestic 
  and foreign players leading to high competitive rivalry                                   x1
• Unorganized sector of the Indian bearings industry 
  primarily caters to the requirement of the 
  replacement market
• Growing demand from diverse sectors is expected to 
  ensure a robust market growth                                                                          x2


                                         Market Size & Growth
         INR bn
       150                                                                                        x6
                                                            Z%
                                                                                       x5
       100                                                          x4
                                                  x3
                   x1             x2
        50

         0
                  20‐‐            20‐‐           20‐‐e            20‐‐e            20‐‐e         20‐‐e



                                               BEARINGS MARKET IN INDIA 2013.PPT                              5
Despite steady growth in exports, India continues to remain 
import…
                                       Exports – X Bearings

                                                                                 Country wise Exports
                  Total Exports
                                                                                        (20‐‐)

 INR bn
                                                                           x7
 20                                      x4                                                 x1          Country 1
                         Z%
                                                                                                        Country 2
                                  x3
 15                                                                                                     Country 3
             x1
                                                                  x6                                    Country 4
 10                x2
                                                                   x5                                   Country 5
  5                                                                     x4                              Country 6
                                                                                           x2           Others
  0
                                                                                x3
          20‐‐    20‐‐        20‐‐      20‐‐




 • Point 1
 • Point 2



                                       BEARINGS MARKET IN INDIA 2013.PPT                                            6
Drivers & Challenges – Summary 



  Drivers
  Growing Demand for Automobiles and 
  Auto Components                                                  Challenges
  Increased Investment in Wind                                     Counterfeit Products
  Turbines

  Robust Construction & Mining                                     Stiff Competition in the Market 
  Equipment Market
                                                                   Rise in Steel Price
  Expanding Railway Sector

  Well Established Foundry Industry 

  Healthy Economic Outlook




                                        BEARINGS MARKET IN INDIA 2013.PPT                             7
 Automotive sector in India accounts for the largest share in 
 demand of bearings in the Indian market 
 Growing Demand for Automobiles and Auto Components                                          Impact
 • Finding 1
 • Finding 2




                                        Point 1



     Growing Demand for Automobiles                            Automotive – Share of Bearings Demand
   000’ units
                                                                            A    B
50,000                                       x5
40,000                   Z%

30,000                           x4
                         x3                                                 y1
                  x2
20,000      x1
10,000                                                                                  y2
    0
           20‐‐   20‐‐   20‐‐   20‐‐e      20‐‐e



                                        BEARINGS MARKET IN INDIA 2013.PPT                              8
Trends – Summary 


                            Global Collaboration




                                      Key 
                                     Trends

     Focus on Technology                                        Changing Customer 
        Development                                                Preferences




                            BEARINGS MARKET IN INDIA 2013.PPT                        9
Players operating in the market are focusing on alliances 
with global majors to strengthen their market presence
Global Collaboration
• Point 1
                                                                             Collaboration 
• Point 2
                                                                              with global 
• Point 3
                                                                            players to drive 
                                                                            market growth




Company                                                    Collaboration 
Company 1                                                  Company 1
Company 2                                                  Company 2
Company 3                                                  Company 3 
Company 4                                                  Company 4
Company 5                                                  Company 5 
Company 6                                                  Company 6
Company 7                                                  Company 7
Company 8                                                  Company 8


                       BEARINGS MARKET IN INDIA 2013.PPT                                   10
Competitive Benchmarking (1/5)
Public Trading Comparables (FY 20‐‐) 


                                        Company 1                           Company 2   Company 3



Market Capitalization (INR mn)                ‐                                 ‐           ‐




Share Price (INR)                             ‐                                 ‐           ‐




EV/EBITDA (x)                                 ‐                                 ‐           ‐



EV/Revenue (x)                                ‐                                 ‐           ‐



PE Ratio                                      ‐                                 ‐           ‐




                                        BEARINGS MARKET IN INDIA 2013.PPT                           11
Public: Domestic Company – Company 1 (1/4)
Company Information                                                         Offices and Centres – India 
                        Address
Corporate Address

Tel No.                 91 ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐
Fax No.                 91 ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐
Website                 website
Year of Incorporation   19‐‐
Ticker Symbol           ‐‐‐‐‐‐
Stock Exchange          ‐‐‐



Products and Services
                                                                                                               Head Office
      Category                        Products/Services
                                                                            Key People
Segment                 Product 1, product 2, product 
                        3,………………….                                                      Name               Designation
                                                                             Person 1            Designation
                                                                             Person 2            Designation

                        Product 1, product 2, product 3………                   Person 3            Designation
Others
                                                                             Person 4            Designation



                                                      BEARINGS MARKET IN INDIA 2013.PPT                                      12
 Public: Domestic Company – Company 1 (2/3)
 Financial Snapshot                                                                          Key Ratios
                                                                                                                             y‐o‐y change 
                                                                                                       Particulars                           20‐‐   20‐‐   20‐‐   20‐‐
  Total Income                                                              Profit                                              (20‐‐‐‐)
                                     Total Income
    INR mn                                                                 INR mn            Profitability Ratios
                                     Profit / Loss                 y4
10,000                                                                          600           Operating Margin                    ‐           ‐      ‐      ‐      ‐‐
                                                     y3                                       Net Margin                          ‐           ‐      ‐      ‐      ‐
            y1
                                y2                                              400           Profit Before Tax Margin            ‐           ‐      ‐      ‐      ‐
 5,000                                                              x4
                                                 x3                             200           Return on Equity                    ‐           ‐      ‐      ‐      ‐
                 x1             x2                                                            Return on Capital Employed          ‐           ‐      ‐      ‐      ‐
     0                                                                          0             Return on Working Capital           ‐           ‐      ‐      ‐      ‐
             20‐‐           20‐‐                 20‐‐              20‐‐                       Return on Assets                    ‐           ‐      ‐      ‐      ‐

 Financial Summary                                                                            Return on Fixed Assets              ‐           ‐      ‐      ‐      ‐
                                                                                             Cost Ratios
 • The company earned a net profit of INR  x  mn in FY 20‐‐, as                               Operating costs (% of Sales)        ‐           ‐      ‐      ‐      ‐
   compared to net profit of INR  y mn in FY 20‐‐                                             Administration costs (% of 
                                                                                                                                  ‐           ‐      ‐      ‐      ‐
 • The company reported total Income of  INR x mn in FY 20‐‐                                    Sales)
   registering an increase of x% over FY 20‐‐                                                 Interest costs (% of Sales)         ‐           ‐      ‐      ‐      ‐
                                                                                             Liquidity Ratios
 • The company earned an operating margin of x% in FY 20‐‐,  a 
                                                                                              Current Ratio                       ‐           ‐      ‐      ‐      ‐
   decrease of y percentage points over FY 20‐‐
                                                                                              Cash Ratio                          ‐           ‐      ‐      ‐      ‐
 • The company reported debt to equity ratio of x in FY 20‐‐, an                             Leverage Ratios
   increase of y% over FY 20‐‐                                                                Debt to Equity Ratio                ‐           ‐      ‐      ‐      ‐
                                                                                              Debt to Capital Ratio               ‐           ‐      ‐      ‐      ‐
Financial Summary 
                                                                                              Interest Coverage Ratio             ‐           ‐      ‐      ‐      ‐
         Indicators                                       Value                              Efficiency Ratios
 Market Capitalization (INR)                                ‐                                 Fixed Asset Turnover                ‐           ‐      ‐      ‐      ‐
                                                                                              Asset Turnover                      ‐           ‐      ‐      ‐      ‐
 Total Enterprise Value (INR)                               ‐                                 Current Asset Turnover              ‐           ‐      ‐      ‐      ‐
 EPS (INR)                                                  ‐                                 Working Capital Turnover            ‐           ‐      ‐      ‐      ‐
 PE Ratio (Absolute)                                        ‐                                 Capital Employed Turnover           ‐           ‐      ‐      ‐      ‐



                                                                         BEARINGS MARKET IN INDIA 2013.PPT                                                              13
Public: Domestic Company – Company 1 (3/4)
Key Business Segments                                            Key Geographic Segments

                    A                                                                 X
100%                                                             100%
                                                                  80%
                          Company operates                                                    Country 1  is the only 
                          under a single large                    60%                     geographic segment in which 
50%            x1                                                              y1
                           segment in India                       40%                        the company operates
                                                                  20%
 0%                                                                0%
           20‐‐                                                                20‐‐


Business Highlights

Description             News
                        • A leading manufacturer of bearings conforming to stringent global standards and is a 
Overview
                          leading supplier to the automotive industry in both the domestic and the foreign market
                        • Company has a vast distributor and dealer network spanning across x states and y 
                          districts
Company Network
                        • Distributor network of the company is also present in Country 1, Country 2and Country 3 
                          to service after market
                        • In 19‐‐, company entered into a X alliance with Company 2 and obtained Y  from Company 
Alliance
                          3


                                           BEARINGS MARKET IN INDIA 2013.PPT                                         14
Public: Domestic Company – Company 1 (4/4)



 • XX                                                    • XX




 • XX                                                    • XX




                     BEARINGS MARKET IN INDIA 2013.PPT          15
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                                                       BEARINGS MARKET IN INDIA 2013.PPT                                                     16

				
DOCUMENT INFO
Description: For the complete report, get in touch with us at : info@netscribes.com The Bearings Market inIndiais part of Netscribes’ Manufacturing Series reports. Infrastructure expansion coupled with industrial growth will have a favorable impact on the Indian bearings market. The report begins with an overview of the major macro economic indicators which highlights the present economic scenario prevalent inIndia. It is followed by an introduction section provides a classification of the Indian bearings market. It also includes a snapshot of the different categories of bearings that find an extensive application in the In dian market. The market overview section begins with an overview of the market structure of the Indian bearings market. This section provides a brief snapshot of the Indian bearings industry. It also contains a brief description of the after market supply chain of the Indian bearings market. The next section provides a brief description of the bearing manufacturing process including the major operations used in bearings production. The report then focuses on the major production hubs for bearings and the hubs for manufacturing bearings components inIndia It also provides detailed information about the exports and imports of bearings inIndiain terms of value. Factors driving the growth of bearings market inIndiaare also explained in detail. Growing demand for automobiles and auto components are one the major factors influencing the growth of the bearings market. Increased investment in wind turbines inIndiaprovides a major opportunity for market growth. Robust construction & mining equipment market has also facilitated further development of the market. Expanding railway sector boosts the demand for bearings in the market. Healthy economic outlook also stimulates the growth of the Indian bearings industry.