Nippon Life India Asset Management Ltd

Nippon Life India Asset Management Ltd

₹ 447 1.17%
05 Dec 9:57 a.m.
About

Nippon Life India Asset Mgt. is engaged in managing mutual funds including exchange traded funds (ETFs); managed accounts, including portfolio management services, alternative investment funds and pension funds; and offshore funds and advisory mandates.(Source : 202003 Annual Report Page No: 01)

Key Points

Part of Nippon Insurance, Japan[1] The Company is promoted by Nippon Life Insurance Company, one of the leading private life insurers in Japan, with assets of over US$ 723 bn as of March 31, 2020.

Industry Data[2] The Indian MF industry remains largely consolidated in the top 10 AMCs, which account for >80% of the industry’s total AUM. Currently, the Top 10 players manage 26.6 lakh crore, which accounts for 82.7% of the industry AUM.
The Co. is one of the largest asset management companies in India with over 25 years of track record, and a total AUM of 3.45 lakh crore as of December 31, 2021.[3]

The services offered by the company are:
A) Mutual Funds & ETFs[1] Nippon India Mutual Fund (NIMF) offers a well-rounded portfolio of products i.e. Equity, Debt, Liquid as well as ETF for investors to meet varying requirements.
The Company managed QAAUM of 280'600 cr. catering to an investor base of 10 mn+ unique investors.[4] As of March 31, 2021, Nippon India Mutual Fund (NIMF) manages 68 open ended schemes (including 21 ETFs) and 81 close-ended and interval schemes.

  • Market Cap 27,951 Cr.
  • Current Price 447
  • High / Low 450 / 197
  • Stock P/E 31.6
  • Book Value 57.1
  • Dividend Yield 2.58 %
  • ROCE 26.6 %
  • ROE 20.7 %
  • Face Value 10.0

Pros

  • Company is almost debt free.
  • Company has been maintaining a healthy dividend payout of 87.8%

Cons

  • Stock is trading at 7.73 times its book value
  • The company has delivered a poor sales growth of -2.72% over past five years.
  • Earnings include an other income of Rs.296 Cr.

* The pros and cons are machine generated. Pros / cons are based on a checklist to highlight important points. Please exercise caution and do your own analysis.

Peer comparison

Sector: Finance Industry: Finance & Investments

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Quarterly Results

Consolidated Figures in Rs. Crores / View Standalone

Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021 Dec 2021 Mar 2022 Jun 2022 Sep 2022 Dec 2022 Mar 2023 Jun 2023 Sep 2023
259 268 302 302 328 339 338 316 332 354 348 354 397
122 122 136 125 135 126 130 137 138 141 140 152 156
Operating Profit 136 147 166 177 193 212 208 179 194 213 209 202 241
OPM % 53% 55% 55% 59% 59% 63% 62% 57% 58% 60% 60% 57% 61%
64 130 60 67 97 30 34 -17 82 62 40 117 78
Interest 1 1 1 1 1 1 1 1 1 1 1 1 2
Depreciation 8 8 7 7 7 6 7 7 7 8 8 8 7
Profit before tax 191 269 218 236 283 235 234 155 268 266 239 310 310
Tax % 24% 21% 24% 23% 25% 26% 25% 26% 23% 23% 17% 24% 21%
145 212 167 182 214 174 175 114 206 205 198 236 244
EPS in Rs 2.37 3.46 2.71 2.94 3.44 2.80 2.81 1.83 3.31 3.29 3.18 3.78 3.91
Raw PDF

Profit & Loss

Consolidated Figures in Rs. Crores / View Standalone

Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 TTM
733 774 951 1,311 1,435 1,735 1,647 1,192 1,419 1,533 1,512 1,454
432 434 484 787 837 1,082 940 594 505 516 555 588
Operating Profit 301 340 468 524 598 653 707 598 914 1,017 957 866
OPM % 41% 44% 49% 40% 42% 38% 43% 50% 64% 66% 63% 60%
1 4 3 3 1 14 3 1 1 2 5 296
Interest 0 0 0 0 0 2 0 6 4 4 4 5
Depreciation 9 14 7 4 18 9 10 33 33 27 30 31
Profit before tax 293 330 464 522 581 656 700 560 877 989 928 1,126
Tax % 21% 18% 24% 24% 31% 30% 30% 26% 23% 25% 22%
230 271 354 396 402 457 487 415 680 744 723 883
EPS in Rs 199.97 234.92 307.69 344.12 348.92 7.45 7.94 6.78 11.04 11.96 11.61 14.16
Dividend Payout % 68% 123% 40% 36% 0% 81% 76% 74% 72% 92% 99%
Compounded Sales Growth
10 Years: 8%
5 Years: -3%
3 Years: 8%
TTM: 10%
Compounded Profit Growth
10 Years: 12%
5 Years: 10%
3 Years: 20%
TTM: 32%
Stock Price CAGR
10 Years: %
5 Years: 20%
3 Years: 14%
1 Year: 65%
Return on Equity
10 Years: 21%
5 Years: 21%
3 Years: 22%
Last Year: 21%

Balance Sheet

Consolidated Figures in Rs. Crores / View Standalone

Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Sep 2023
Equity Capital 11 11 11 12 12 612 612 612 616 622 623 625
Reserves 1,446 1,543 1,495 1,750 1,831 1,753 1,958 1,981 2,484 2,857 2,892 2,942
Preference Capital 0 0 30 30 30 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0 0 0 0
104 155 196 169 209 357 206 288 291 318 345 360
Total Liabilities 1,561 1,709 1,702 1,931 2,051 2,722 2,776 2,881 3,392 3,797 3,861 3,927
20 14 7 12 251 258 256 324 301 296 305 327
CWIP 0 0 0 0 0 3 1 2 1 0 2 2
Investments 603 741 835 911 947 993 1,290 1,885 2,550 2,942 3,023 3,052
939 954 860 1,008 854 1,469 1,229 671 540 559 530 547
Total Assets 1,561 1,709 1,702 1,931 2,051 2,722 2,776 2,881 3,392 3,797 3,861 3,927

Cash Flows

Consolidated Figures in Rs. Crores / View Standalone

Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023
-42 218 556 376 386 605 456 580 584
441 -25 -316 -260 -35 37 -402 -125 101
-404 -174 -300 -92 -359 -468 -239 -426 -712
Net Cash Flow -5 19 -61 24 -7 174 -185 29 -27

Ratios

Consolidated Figures in Rs. Crores / View Standalone

Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023
Debtor Days 8 5 7 17 11 8 23 18 12 18 23
Inventory Days
Days Payable
Cash Conversion Cycle 8 5 7 17 11 8 23 18 12 18 23
Working Capital Days -3 284 127 115 124 -36 25 -25 -19 -5 -4
ROCE % 22% 30% 31% 32% 31% 28% 22% 31% 30% 27%

Shareholding Pattern

Numbers in percentages

88 Recently
Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
75.81% 74.46% 74.23% 73.97% 73.82% 73.80% 73.74% 73.68% 73.66% 73.66% 73.64% 73.47%
5.41% 5.92% 6.21% 6.60% 7.16% 6.69% 6.52% 6.37% 5.77% 4.95% 4.84% 5.06%
6.60% 6.70% 7.46% 8.81% 8.37% 8.83% 9.24% 9.12% 9.06% 9.41% 10.24% 14.57%
12.17% 12.92% 12.10% 10.63% 10.65% 10.68% 10.50% 10.82% 11.52% 11.97% 11.28% 6.92%
No. of Shareholders 1,77,3381,67,5431,63,9331,60,8401,69,2621,69,2181,73,1201,76,5191,84,2851,88,7221,89,0771,71,968

* The classifications might have changed from Sep'2022 onwards. The new XBRL format added more details from Sep'22 onwards.

Classifications such as banks and foreign portfolio investors were not available earlier. The sudden changes in FII or DII can be because of these changes.

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