Market Research Report : Gps tracking and navigation market in india 2012

GPS Tracking and Navigation Market in India

August 2012

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Executive Summary

Market

GPS market in India is at an initial stage but is growing rapidly owing to an increased use of technology across various sectorsGPS systems are predominantly categorized into 2 segments namely tracking and navigationA modified version of GPS technology is that of A‐GPS technology that promises to overcome the glitches that normal GPS system possesses and finds its usage in mobile phones

Drivers & Challenges

Competition

Drivers–Growth in logistics vertical–Growth in radio cabs– Increasing penetration of high end phones

–Demand from the BPO sector– Increasing sale of luxury cars–Entry of mapping portals

Challenges–Customer retention

–Fragmented logistics sector

–Lack of awareness and consumer perception

–Operational issues

Major Players

Advanced Micronic Devices CE Infosystems Garmin India

Navteq India SatNav Technologies TomTom India

GPS providers cement bond with automobile manufacturers GPS providers look at partnering with storesMobile phone players rendering free servicesEmergence of new applications in the sector

Trends

GPS system introduced for bikesEntertainment options offered with GPS devices India to have its own GPSGPS installed in public transport system

GPS TRACKING AND NAVIGATION MARKET IN INDIA 2012.PPT

3GPS TRACKING AND NAVIGATION MARKET IN INDIA 2012.PPT

•Introduction•Market Overview•Product Categories•GPS Benefits•Mobile Phone GPS Technology•GPS for SMBs•Drivers & Challenges•Government Regulations•Trends•Major Players•Strategic Recommendation•Appendix

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SAMPLE India has woken up to the technology and is fast catching up with the advancements made in this domain

GPS – Indian Market Overview

•GPS market in India is at an initial stage but is growing rapidly owing to an increased use of technology across various sectors Rapidly growing market of GPS enabled vehicles is the primary support for this market in India

•Emergence of GPS oriented services from telecom companies and easily affordable GPS enabled mobile phones is further fueling growth in the market Players like BlackBerry has strategically targeted the corporate segment of the market Government of India is also playing a crucial part in boosting the market, with its pipeline projects of equipping airports withGPS

• It primarily finds its implementation across various sectors, some of the major sectors include logistics, sales, taxi and fleet management companies

•Many local and international GPS companies have entered the market and are competing to grab a share in this market, especially in logistics for tracking cargo and trucks across India

GPS – Market Size & Growth Market Structure (2012e)

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SAMPLE Digital mapping for navigation is the chief stimulant for this market to grow

GIS – Indian Market Overview

• Emerging market as India is continuing with its trend of investing in infrastructure fro electric power distribution, water and wastewater and telecommunications

• The Indian market is waking up to the adoption of GIS in utilities in order to improve infrastructure management processes

• Recently, v1 is considering using GIS maps and population data to penetrate rural India and identify its varied communities of interest

Market Size &

Growth

GIS – Segments

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p1

p6

p5

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Drivers & Challenges – Summary

Drivers

Growth in logistics vertical

Growth in radio cabs

Increasing penetration of high end phones

Demand from the BPO sector

Increasing sale of luxury cars

Entry of mapping portals

Challenges

Customer retention

Fragmented logistics sector

Lack of awareness and consumer perception

Operational issues


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SAMPLE

As luxury car makers introduce GPS systems in their cars to make it a cut above the rest, demand for GPS soars

•Sale of luxury cars (cars priced above INR 2 mn) have witnessed a steady increase during 2011

• Key players in the market include Mercedes Benz, Audi, BMW, Skoda, Volvo and Toyota

•GPS systems are a popular aftermarket accessory in luxury cars It also helps owners nab thieves in case the car gets stolen and has a GPS system installed in it

• Volvo Car India, the Indian arm of the Swedish car major Volvo Car Corporation is offering on‐board GPS navigation system on both its r1 and r2

•With the rising sales of luxury passenger cars, demand for such a navigational GPS devices are expected to witness simultaneous growth

ImpactIncreasing sale of luxury cars

Luxury Car – Growth In‐car Navigation Market – Growth


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GPS providers cement bond with automobile manufacturers

GPS providers look at partnering with stores

Entertainment options offered with GPS devices

GPS system introduced for bikes

Mobile phone players rendering free services

Trends – Summary

Key Trends

Emergence of new applications in the sector


GPS installed in public transport systems

India to have its own GPS

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SAMPLE GPS finds its way to public transport systems to render safety to plebians

• Public transport in India is witnessing sea‐change owing to the installation of GPS systems in transport means such as buses

• ‐ has become a city to boast of having buses that are GPS enabled to render commuters with safety, security as well as good ambience

GPS installed in public transport systems


•u1 has launched 70 non‐air‐conditioned 32‐42

seat buses in ‐

•These buses are plying at a frequency of 5

minutes that look at bringing a safe and

comfortable ride for its commuters

•A significant factor in this regard is that the

buses are equipped with latest technology in

the likes of GPS systems

t2

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t1

Advantages

TREND

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SAMPLE Public: Domestic Company – Company 1 (1/3)

Key People

Products and Services

Company Information Offices and Centres – India

Corporate Address

Tel No.

Fax No.

Website

Year of Incorporation

Ticker Symbol

Stock Exchange

Category Products/Services

Products & Services S1, s2Name Designation

P1 D1

P2 D2

P3 D3

India Head Office


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SAMPLE Financial Snapshot Key Ratios

Financial Summary

Key Financial Performance Indicators

Indicators Value (dd/mm/yyyy)Market Capitalization (INR mn)

Total Enterprise Value (INR mn)EPS (INR)

PE Ratio (Absolute)

Improved Decline

Net Profit/Loss

Total Income

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ProfitINR mn

RevenueINR mn

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• The company incurred a net profit of INR ‐mn in FY 2011 and INR ‐mn in FY 2010

• The company reported total Income of INR ‐mn in FY 2011, registering an increase of ‐% over FY 2010

• The company earned an operating margin of ‐% in FY 2011 a decrease of ‐ percentage points over FY 2010

• The company reported debt to equity ratio of ‐ in FY 2011, a decrease of ‐% over FY 2010


Public: Domestic Company – Company 1 (2/3)

Particulars y‐o‐y change (2011‐10)

2011 2010 2009 2008

Profitability RatiosOperating Margin ‐2.54 4.32% 6.86% 8.35% 11.77%

Net Margin 1.96 2.35% 0.39% 2.47% 1.92%

Profit Before Tax Margin ‐1.66 2.56% 4.21% 5.72% 8.38%

Return on Equity 5.59 6.64% 1.05% 6.08% 4.58%

Return on Capital Employed ‐6.92 15.10% 22.02% 25.23% 32.97%

Return on Working Capital 11.47 13.65% 2.18% 14.86% 10.55%

Return on Assets 2.43 2.82% 0.38% 1.79% 1.34%

Return on Fixed Assets 17.67 20.73% 3.06% 18.22% 14.35%

Cost RatiosOperating costs (% of Sales) 2.43 95.56% 93.12% 91.38% 87.78%

Administration costs (% of Sales)

‐0.58 19.32% 19.91% 21.41% 22.07%

Interest costs (% of Sales) ‐0.23 2.14% 2.36% 2.77% 3.44%

Liquidity RatiosCurrent Ratio 4.78% 1.31 1.25 1.16 1.17

Cash Ratio 55.22% 0.11 0.07 0.08 0.10

Leverage RatiosDebt to Equity Ratio ‐18.27% 1.60 1.95 2.62 2.64

Debt to Capital Ratio ‐1.12% 0.33 0.33 0.33 0.35

Interest Coverage Ratio ‐28.50% 2.08 2.91 3.12 3.55

Efficiency RatiosFixed Asset Turnover 9.52% 8.57 7.82 7.14 7.20

Asset Turnover 18.83% 1.16 0.98 0.70 0.67

Current Asset Turnover 19.73% 1.35 1.13 0.80 0.76

Working Capital Turnover 1.49% 5.64 5.55 5.82 5.29

Capital Employed Turnover 2.53% 2.74 2.68 2.38 2.30

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SAMPLE Key Business Segments Key Geographic Segments

Key Information

Description Details

Overview

• ‐ is hailed as being the first company to bring GPS technology in India

• ‐ activities are categorized under ‐ different divisions namely p1, p2, p3

• Strategic Electronic Division operates with focus on three technology areas including p4, p5, p6

• It supplies and supports GPS products from globally acclaimed manufacturers for applications in control and guidance, navigation, tracking, timing and network synchronization, survey, ionospheric research and others

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Geographic segments for the company for the last 3 years are

not available


Public: Domestic Company – Company 1 (3/3)

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SAMPLE

Key People

Products and Services

Company Information Offices and Centres – India

Registered Address

Tel No.

Fax No.

Website

Year of Incorporation

Registered Address

Category Products/Services

Services S4

Private: Domestic Company – Company 2 (1/3)

Name Designation

P1 D1

P2 D2

P3 D3

P4 D4


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SAMPLE Financial Snapshot Key Ratios

Financial Summary

• Company incurred a net profit of INR ‐mn in FY 2011, as compared to net loss of INR ‐mn in FY 2010

• It reported total Income of INR ‐mn in FY 2011, registering a decrease of ‐% over FY 2010

• Earned an operating margin of ‐% in FY 2011, an increase of ‐ percentage points over FY 2010

• The company reported a debt to equity ratio of ‐ in FY 2011, a decrease of ‐% over FY 2010

Improved Decline

Total Income

Profit / Loss

m

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ProfitINR mn

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Particulars y‐o‐y change (2011‐10)

2011 2010 2009 2008

Profitability RatiosOperating Margin 26.98 21.74% ‐5.24% 1.97% 8.38%

Net Margin 20.42 15.11% ‐5.31% 0.54% 4.93%

Profit Before Tax Margin 26.98 21.74% ‐5.24% 1.97% 8.38%

Return on Equity 70.32 46.90% ‐23.42% 1.30% 12.93%

Return on Capital Employed 260.78 101.96% ‐158.81% 4.72% 31.35%

Return on Working Capital 68.86 46.14% ‐22.71% 1.35% 17.57%

Return on Assets 46.31 32.16% ‐14.16% 0.87% 9.97%

Return on Fixed Assets 145.86 106.12% ‐39.74% 2.49% 26.84%

Cost RatiosOperating costs (% of Sales) ‐26.98 78.26% 105.24% 98.03% 91.62%

Administration costs (% of Sales)

N.A. N.A. N.A. N.A. N.A.

Interest costs (% of Sales) N.A. N.A. N.A. N.A. N.A.

Liquidity RatiosCurrent Ratio 35.24% 2.28 1.68 3.00 2.24

Cash Ratio ‐33.63% 0.21 0.31 0.69 0.47

Leverage RatiosDebt to Equity Ratio ‐30.87% 0.43 0.62 0.45 0.24

Debt to Capital Ratio ‐21.64% 0.30 0.38 0.31 0.19

Interest Coverage Ratio N.A. N.A. N.A. N.A. N.A.

Efficiency RatiosFixed Asset Turnover ‐6.09% 7.03 7.48 4.61 5.44

Asset Turnover ‐20.12% 2.13 2.67 1.62 2.02

Current Asset Turnover ‐1.33% 1.71 1.74 1.66 1.97

Working Capital Turnover ‐28.57% 3.05 4.28 2.50 3.56

Capital Employed Turnover ‐29.57% 3.11 4.41 2.41 2.62

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SAMPLE Key Recent Developments

Description News

Overview

•Has established its name in the fields of a1,a2,a3

•Has also been involved in GNSS related research and development since ‐‐

• Boasts of developing GPS receiver core technology based on both fixed and floating point DSP platforms

•More than 40 employees are trained by a4 and a5

Services • Its GNSS products is known for its coverage and include receivers for a6, a7, a8, a9• Its GNSS products can be categorized under y1, y2, y3, y4, y5

Recent Update

•Has announced the launch of a10 which is a miniature, high performance, multi‐constellation sensor targetted towards varied market segments as automotive, consumer electronics, wireless infrastructure and healthcare It offers splendid performance in positioning and timing even under obstructed sky view



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