Market Research Report : Telecom equipment market in india 2013 sample
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Transcript of Market Research Report : Telecom equipment market in india 2013 sample
Telecom Equipment Market IndiaTelecom Equipment Market ‐ India
July 2013
Executive Summary
MarketOverview
As per 20‐‐ ‐ ‐‐, telecom equipment worth INR x1 bn was consumed in India Segment1 accounts for around x2% of the total telecom equipment industry in India Telecom equipment import had grown at a CAGR of around x3% between 20‐‐ and 20‐‐
Drivers:
Currently segment2 generates maximum revenue, though future of segment3 looks promising
Challenges:
Security ConcernsGrowth in Wireless Subscriber BaseDrivers & Challenges
High Telecom Equipment ImportsNext Generation Voice and Data ServicesGovernment Initiatives and Progressive Reforms in the Industry IPv4 to IPv6 Migration
Market Trends
Telecom Equipment Certification
Android Smartphones and Tablets
Strengthening of R&D
Competitive L d
Infrastructure Sharing
Major Players
Company A Company B Company C
2TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
LandscapeCompany D Company E Company F
•Economic Indicators•Economic Indicators
•Introduction
•Market Overview•Market Overview
•Drivers and Challenges
•Market Trends•Market Trends
•Competitive Landscape
St t i I i ht•Strategic Insights
•Appendix
3TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Introduction
Telecom Equipment ‐ Overview
• Economic and social development of India is significantly influenced by its telecom industry
•Modern and robust telecommunication systems demand state‐of‐the‐art telecom equipmenty q p
• Cellular network technology such as 3G and 4G, broadband internet services, telephony services, network requirements and other telecom products and services has led to increased demand for telecom equipment
• Telecom equipment can be broadly classified in carrier equipment enterprise equipment and user devices segments• Telecom equipment can be broadly classified in carrier equipment, enterprise equipment and user devices segments
• Alternatively, it can also be classified in two categories in terms of type of consumer End‐user equipment are meant for general consumers and telecom network equipment find its takers amongst industrial and institutional consumers
• In telecom network equipment category fixed and mobile switches base stations routers & transmissionIn telecom network equipment category, fixed and mobile switches, base stations, routers, & transmission equipment largely represent active equipment, whereas towers, shelters & cables falls under passive equipment
Category1Segment1
Telecom Equipment
Category1
Segment3
Segment2
4TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Category2 Segment4
Segment5
Majority of the countries are import‐dependent excepting few which supply telecom equipment to the rest
Market Overview – Global
•Global telecom equipment market is expected to be affected by aspect1 in the coming years Spending on element1 will be around INR x1 in 20‐‐, as compared to INR x2 in 20‐‐
•The country1, country2, country3 are the few countries distinctively leading in global telecom equipment production
•Country4, country5, country6 and country7 are the major countries driven by exports
•Majority of the other countries including country8 country9 country10 country11 and country12 are largely import•Majority of the other countries including country8, country9, country10, country11 and country12 are largely import dependent
Telecom Equipment Import‐Export, Production and Usage Levels – Global
Country Imports Exports Production Consumption
China Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
France Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
Germany Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
Japan Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
South Korea Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
5TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
UK Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
US Low/Medium/High Low/Medium/High Low/Medium/High Low/Medium/High
Significant demand exists for telecom equipment in India but they are being catered by element1
Market Overview – India (‐/‐)
G th i t l t h bl d t l i t i t fl i h i I di dl f 1•Growth in telecom sector has enabled telecom equipment companies to flourish in India, regardless of segmen1, segment2 or segment3
• While majority of the domestic telecom equipment companies started off as entity1, the focus is gradually shifting to element2
•As per 20‐‐ ‐ ‐‐, telecom equipment worth INR x1 bn was consumed in India
• Segment1 accounts for around x2% of the total telecom equipment industry in India
•Country1 and Country2 telecom equipment products dominate the market in India at present
INR bnb1
Telecom Equipment – Market Size & Growth Telecom Equipment – Domestic Consumption
b1a5
a4a3a2a1
6TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
2016e2015e2014e2013e2012 c2c1
Drivers & Challenges
Drivers
Growth in Wireless Subscriber Base
Next Generation Voice and Data
Challenges
Security Concerns
Next Generation Voice and Data Services
Government Initiatives and Progressive Reforms in the Industry
High Telecom Equipment Imports
IPv4 to IPv6 Migration
7TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
SAMPLEMarket Trends (‐/‐)SAMPLE Mobile Battery
• Finding 1 Sub‐finding 1
• Finding 2
• Finding 3
Telecom Equipment Certification
• Finding 4
Fi di 5Strengthening of
• Finding 5
• Finding 6
g gR&D
• Finding 7• Finding 8
• Sub‐finding 2
• Finding 9
8
• Finding 9
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
SAMPLEPorter’s Five Forces AnalysisSAMPLE Threat of New Entrants
Impact
Impact
Impact
Impact
Competitive Rivalry Bargaining Power of BuyersBargaining Power of Suppliers
ImpactThreat of Substitutes
Impact
9TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Competitive Benchmarking (‐/‐)
Public Trading Comparables (FY 20‐‐)
Company1 Company2 Company3
Market Capitalization (INR mn) X1 Y1 Z1
SShare Price (INR) X2 Y2 Z2
SAMPLE EV/EBITDA (x) X3 Y3 Z3
/EV/Revenue (x) X4 Y4 Z4
PE Ratio X5 Y5 Z5
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Note: Top 3 Public companies based on the Market Capitalization; Market Capitalization and product segments, Share Price and PE ratio is as of ‐‐/‐‐/20‐‐
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Competitive Benchmarking (‐/‐)
Key Ratios of Top 3 Companies – Operational Basis (FY 20‐‐) (‐/‐)
a
%
a
d
c
b
e
• Finding 1• Finding 1
• Finding 2
• Finding 3
• Finding 4
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g
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Major Public Companies – Summary
Profit/Loss (INR mn)
Size of the Bubble represents Market Capitalization in INR mn
Total Income(INR mn)
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The list is not exhaustive
company1 company2 company3 company4
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
SAMPLE Public: Domestic Company – company1 (1/4)
Company Information Offices and Centres – India
Corporate Address Company Address
Tel No. +91‐xx‐ yyyyyyyyy
Fax No. +91‐ww‐zzzzzzzz
Website www.companyA.com
Year of Incorporation 19‐‐
Products and Services
p
Ticker Symbol ‐‐‐‐‐‐
Stock Exchange Exchange Name Head Office
Key People
Products and Services
Category Products/Services
• Product 1 N D i ti
Service
Product 1
• product 2
• product 3
Name Designation
Person 1 Designation
Person 2 Designation
Person 3 Designation
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Note: The list of products and services is not exhaustive
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
SAMPLE Public: Domestic Company – company1 (2/4)
i i l S h K iFinancial Snapshot Key Ratios
Net Profit/LossTotal Income
jkia
RevenueINR mn
ProfitINR mn
d
Particulars y‐o‐y change (2011‐10)
2011 2010 2009 2008
Profitability RatiosOperating Margin ‐2.99 35.05% 38.03% 47.29% 49.95%
20‐‐ 20‐‐20‐‐
h
g
fb
c
e
20‐‐
Net Margin ‐3.81 30.66% 34.47% 39.25% 45.23%
Profit Before Tax Margin ‐2.07 31.01% 33.08% 38.38% 49.98%
Return on Equity ‐0.50 23.82% 24.33% 38.05% 31.21%
Return on Capital Employed 1.34 17.73% 16.39% 23.84% 16.70%
Return on Working Capital 0.41 18.62% 18.21% 24.31% 19.18%
Return on Assets ‐0.53 12.87% 13.40% 18.29% 14.25%
Financial Summary
• The company earned a net profit of INR x4 mn in FY 20‐‐, as compared to net profit of INR x3 mn in FY 20‐‐
• The company reported total Income of INR y4 mn in FY 20‐‐registering an increase of x% over FY 20
Return on Fixed Assets 156.69 296.80% 140.10% 232.55% 173.54%
Cost RatiosOperating costs (% of Sales) 7.62 17.84% 10.22% 16.89% 16.51%
Administration costs (% of Sales)
‐1.24 11.68% 12.93% 8.55% 5.13%
Interest costs (% of Sales) ‐1.67 4.27% 5.93% 6.09% 2.32%registering an increase of x% over FY 20‐‐
• The company earned an operating margin of p% in FY 20‐‐, a decrease of y percentage points over FY 20‐‐
• The company reported debt to equity ratio of q in FY 20‐‐, an increase of r% over FY 20‐‐
Interest costs (% of Sales) 1.67 4.27% 5.93% 6.09% 2.32%
Liquidity RatiosCurrent Ratio ‐40.67% 5.05 8.52 10.97 13.98
Cash Ratio 1.02% 3.54 3.51 5.06 11.04
Leverage RatiosDebt to Equity Ratio 4.39% 0.85 0.82 1.08 1.19
b lKey Financial Performance Indicators
Indicators Value (dd/mm/2013)Market Capitalization (INR bn) z1Total Enterprise Value (INR bn) z2EPS (INR)
Debt to Capital Ratio ‐10.53% 0.35 0.39 0.48 0.52
Interest Coverage Ratio 28.66% 8.40 6.53 8.02 22.36
Efficiency RatiosFixed Asset Turnover 137.15% 9.47 3.99 5.74 3.69
Asset Turnover 7.52% 0.41 0.38 0.45 0.30
Current Asset Turnover 4.02% 0.48 0.46 0.55 0.38
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EPS (INR) z3PE Ratio (Absolute) z4
Improved Decline
Working Capital Turnover 14.45% 0.59 0.52 0.60 0.41
Capital Employed Turnover 9.64% 0.76 0.69 0.94 0.66
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
SAMPLE Public: Domestic Company – company1 (3/4)
Key Business Segments Key Geographic Segments
i j kh
xyzabcabc
Company filed revenue e
f
g
n
i
m
j
p
kh
ld
c
a
b
Company filed revenue under single business
segment
Key Information
g
20‐‐20‐‐20‐‐20‐‐20‐‐
c
Description Details
Overview• Company1 engages in the manufacture and sale of telecommunication equipment primarily in India
Extended Product Portfolio
• It offers a range of telecom products and solutions, including switching, transmission, access, and subscriber premises equipment
• The company offers global system for mobile products, such as Base Trans‐Receiver Station (BTS), BTS Shelter, roof top towers, transceivers, code division multiple access
15
products based on digital wireless technology to provide mobile communication
TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Public: Domestic Company – company1 – SWOT Analysis (4/4)
•Strength 1 •Weakness 1
S W
•Strength 2
• Strength 3•Weakness 2
•Weakness 3
S W
TO TO•Threat 1
•Threat 2
•Opportunity 1
•Opportunity 2
SAMPLE•Threat 3•Opportunity 3
16
SAMPLE TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Strategic Insights (‐/‐)
•Finding 1
• Finding 2
• Finding 3
Recommendation1
Finding 3
• Finding 4
• Finding 5
Finding 6
Finding 7
Finding 8
17TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
Finding 9
Thank you for the attentionThe Telecom Equipment Market – India 2013 report is a part of Netscribes’ Telecom Series.For more detailed information or customized research requirements please contact:
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18TELECOM EQUIPMENT MARKET IN INDIA 2013.PPT
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