Highlights of the Financials 1. Signify India( Formerly Philips Lighting) has registered de-growth of 19% (Previous year growth of 1.8%). In FY19-20, the company has generated the revenue of 2901 Crores as compared to 3592 Crores last year. The decline was mainly contributed due to the following reasons. a) Due to decline in professional lighting and Government business, slowdown in infrastructure spending, liquidity crunch in Indian markets due to defaults by few NBFCs, price erosions due to competitiveness in market. b) Due to COVID-19, the consumer markets and supply chains got disrupted badly. And the demands for products were also severely affected on account of lockdown. Therefore, the Month of March-20 has not contributed much in the company. 2. In FY19-20, Signify India( Formerly Philips Lighting) has generated an EBIT of 261 Crores as compared to 281 Crores last year. 3. Despite decline of revenue, the EBITDA Margins have improved from 9% in FY18-19 to 11.7% in FY20. 4. Signify India( Formerly Philips Lighting) has clocked an EPS of 32 in the FY19-20. 5. Signify India( Formerly Philips Lighting) has excellent ROE of 36% and ROCE of 46%. 6. Signify India( Formerly Philips Lighting) has issued dividend of Rs 7.5 per share. Acquisition of Cooper Lightning This year Signify India has acquired “Cooper Lighting”, from “Eaton India”, by way of a slump sale, for a lump sum consideration of 93.9 Crores. Business Highlights 1. In FY19-20, the LED products have generated 83% of the revenue under lightning business which is almost same as that of last year. 2. In FY19-20, Signify India( Formerly Philips Lighting) has launched 70 new exclusive Philips Smart light hubs with increasing urbanization & focus towards Home connected lighting solutions. 3. About 92% of what company sell in India is made in India and this de-risks the production from external factors. 4. Signify India( Formerly Philips Lighting) has manufacturing unit in Vadodara which exports conventional and LED lamps to 29 countries across the world, and is also one of the most cost competitive conventional lamp manufacturing facilities in the world for Signify. 5. Signify India( Formerly Philips Lighting) has R&D lab in Noida. In FY19-20, the company has designed products such as - Philips T-beamer, Philips T-bulb to name few. 6. The Professional lighting solutions witnessed a de-growth of 28%, owing to reduced EESL tenders, limited government projects post the general elections in 2019, & economic slowdown especially in Infrastructure category. However, despite this, company got prestigious projects such as; a) Motera stadium in Ahmedabad, the world’s largest cricket stadium. b) Illuminating the iconic Qutub Minar in the capital city New Delhi c) Illuminating the Howrah Bridge in Kolkata. Shareholding Pattern Signify Holding B.V. (Formerly Philips Lighting Holding B.V.) holds 96.13% shares in the company. Famous investor Mr. Vallabh Roopchand Bhanshali holds 0.05% stakes in the company. Valuation of Signify India( Formerly Philips Lighting) in the unlisted market Currently, it is available at Rs.650 per share in the market. No. of shares outstanding = 5.75 Crores Valuation = ~3700 Crores Mcap/Revenue = 1.26x P/E = 20x