Mahindra Logistics Ltd. · NSE:MAHLOG
Mahindra Logistics — Non-Deal Roadshow (August 2023)
39 slides from Mahindra Logistics's roadshow presentation, Aug 19, 2023
Slide 1: Outcome of meeting with Analysts/Institutional Investors/Funds
mahindra Mahindra Logistics Limited Arena Space, 10th & 11th Floor, LOGISTICS Plot No. 20, Jogeshwari Vikhroli Link Road, Near Majas Bus Depot, Jogeshwari (East), Mumbai - 400060, Maharashtra. Tel +91 22 6836 7900 Email enquiries-mll@mahindra.com www.mahindraLogistics.com ON: L63000MH2007PLC173466 R
Slide 2: Annexure I: Management team and participants
mahindra LOGISTICS ANNEXURE I “Mahindra Logistics Limited - Warehouse Site Visit at Bhiwandi, Thane, Maharashtra” 19 August 2023 MANAGEMENT TEAM OF THE COMPANY: Sr. No. Name Designation 1. Mr. Rampraveen Swaminathan Managing Director & CEO 2. Mr. Prasanna Pahade Vice President – Auto & Farm Business
Slide 3: Annexure I: Participants (continued)
mahindra LOGISTICS 15. Prithvi Finmart 16. Ageas Federal Life Insurance 17. ASK Investment Managers 18. Nuvama Wealth 19. Elara Capital 20. Sharekhan 21. Quest Investment 22. ICICI Prudential AMC 23. Kotak Life Insurance 24. Nippon India Asset Management 25. Steinberg Asset Management 26. White Oak
Slide 4: Mahindra Logistics Investor Meet
Ignj es ANNEXURE II Mahindra Logistics Investor Meet Bhiwandi 19 August 2023 mahindra LOGISTICS
Slide 5: MLL Leadership Team
Igniting Success Welcome to BOM1-02 MLL Leadership Team 4 1 t Rampraveen Swaminathan Sreeram V Ankur Singhai Kannan Chakravarthy Vishal Barnabas Prasanna Pahade Saurav Chakraborty MD & CEO, MLL CEO, MESPL Head, Ecom & LMD CEO, MLL Mobility Head, Consumer & Head, Auto & Farm CEO, Lords Manufacturing
Slide 6: Safe Harbor
Ignj es Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Mahindra Logistics Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe fo
Slide 7: Agenda
Ignj es AGENDA Business Overview • Purpose and Vision • Value proposition • Segment Overview Network Strategy & Facility Overview • Network strategy • Facility overview: BOM1-02 Bhiwandi Site Tour • Distribution Centre – M&M • Integrated Solutions – CHEP • MESPL Express Hub • Automation & Tech Initi
Slide 8: MLL Vision, Purpose & Strategic Platform
Ign es MLL Vision, Purpose & Strategic Platform Vision Purpose Strategic Platforms Our purpose Strategic Platforms 0 ACCELERATING Grow in profitable markets COMMERCE EMPOWERING 1 2 3 4 Rise to be an INR 10,000 crore COMMUNITIES TO Expand Integrated Operations Digitization R SC Logistics Service Prov
Slide 9: Logistics in India – What is the problem we are trying to solve?
Igniting Success Logistics in India – What is the problem we are trying to solve? (6) • Cost Productivity Capacity Sustainability I Point of Cost Incidence is different from Point of Benefit mahinclra LOGISTICS
Slide 10: Complexity in supply chain has increased due to Multi-modal & Multi-channel
Igniting Success Complexity in supply chain has increased due to Multi-modal & Multi-channel % Channel Share 2020 0 2025 gO 1 General Trade 80-85% 70-75% Distributor Wholesaler/ Retailer Customer .7. 2 Modern Trade 5-10% 10-15% Distributor/ Modern Trade / Customer Dedicated Stockist Cash & Carry Por
Slide 11: Segment wise spends on different parts of logistics value chain
Ign ess Segment wise spends on different parts of logistics value chain zz Estimated Market Size (Rs. Crore) ₹ 44,000 Cr ₹ 46,000 Cr ₹ 32,000 Cr ₹ 27,000 Cr ₹ 25,000 Cr ₹ 16,700 Cr CIM MMM a Freight Inbound Warehousing & VAS Distribution B2B Last Mile Forwarding Tpt. Express Delivery mahindra LOGIST
Slide 12: Focus on converting individual services into solutions
Igniting Success Focus on converting individual services into solutions • 0 Integrated Warehousing & •• ,:„A .,:, 0 Inbound to Manufacturing 00 00 00 a Distribution End-to-end Outsourcing Returns & Refurbishment 0oa Transport Desk Management sO o, Multi-modal logistics solution CIO Sort Centre & Ful
Slide 13: Contract Logistics (3PL)
Ignj es Contract Logistics (3PL) Key Value Drivers Operating Highlights 19 Mn. Sq. Ft. 500+ Annuity income stream Space under Management Operating Locations 1,500+ 15,000+ Business Trucks Associates deployed p.m. Continuous cost improvement & process capability Financials 11.1 % 12.7 % 11.4 % 1,004
Slide 14: Last Mile Delivery
Last Mile Delivery Key Value Drivers Operating Highlights 6,000+ 300,000+ vehicles per orders per day day Operating Leverage Volume handled Fleet deployed 4,000+ Pin- 140+ codes Last mile Geographic stations Reach Flexible capacity and pay per use services Financials 6.3 % 4.2 % 7.0 % 48 42 Own flee
Slide 15: Cross Border/Freight Forwarding
Cross Border/Freight Forwarding Key Value Drivers Operating Highlights 11 ~3,000 TEUs in Q1FY24 Strong network of agents Operating locations Pan Ocean Freight across major lanes India Volume 50+ Globally ~2,150 Tonnes in Q1 FY24 No. of Forwarding Air Freight Lanes SON Volume 0 0 Integrated customer
Slide 16: B2B Express
Ignj es B2B Express Key Value Drivers Operating Highlights 30,000+ 19,000+ Tonnes Operating Leverage Pin-code reach Average volume 1,100+ trucks 300+ Line Hauls & Transhipment Mid-mile hubs & DCs Zero-defect operations Financials (14.7%) 85 (0.8%) (2.8%) Tech-first approach 47 33 Q1 FY22 Q1 FY23 Q1
Slide 17: Case Study | IWD for a leading consumer company
Igniting Success Case Study | IWD for a leading consumer company Customer context Proposed Solution Impact Observed Hyderabad ▪ 1 CDC created serving entire AP & 2 DCs, serving similar >50% Tpt. cost territories run by Telangana reduction due to client Vijayawada milk-runs ▪ 100% courier converted t
Slide 18: Case Study | Integrated solution for a leading pharma player in India
Igniting Success Case Study | Integrated solution for a leading pharma player in India Context MLL solution Impact ▪ Channel-wise multiple WH at Multi-service, Multi-channel Integrated WH • different locations, away from close to manufacturing location ~20% reduction in manufacturing hub per pallet
Slide 19: Agenda
Ignj es AGENDA Business Overview • Purpose and Vision • Value proposition • Segment Overview Network Strategy & Facility Overview • Network strategy • Facility overview: BOM1-02 Bhiwandi Site Tour • Distribution Centre – M&M • Integrated Solutions – CHEP • MESPL Express Hub • Automation & Tech Initi
Slide 20: Supply chain is served by four different networks
Igniting Success Supply chain is served by four different networks O ■■ NEER O 00 0 4. Warehousing & Express & Part Last Mile Inventory Management Full Truck Load truck load Distribution mahinclra LOGISTICS
Slide 21: Network design enables integration in a seamless way
Network design enables integration in a seamless way Common Transportation Infrastructure connecting 3PL > Integrated Solutions these networks ▪ Increase focus on TCO vs Be-spoke purchased cost MLL Built-to-Suit MLL Express customer • warehouse network network network ▪ Create a MOAT with clients ▪
Slide 22: 1st Layer | Common spine of ~10 Mn. Sq. ft. MLL BTS Warehouses by 2026
Ign" s 1st Layer | Common spine of~10 Mn. Sq. ft. MLL BTS Warehouses by 2026 Large format Sustainable Warehouses Driving Scale Multi-client, Multi-service capability Enabling flexibility & interoperability Operational Efficiency Better Yields & synergy Sustainability mahindra LOGISTICS
Slide 23: 2nd Layer | Be-spoke 3PL customer network
Ign" 2nd Layer | Be-spoke 3PL customer network G. Exclusive fit-for-purpose warehouses a Customised as per requirement n Dedicated operations cia With standard operating metrics Integration capabilities With client network mahindra LOGISTICS
Slide 24: 2nd Layer | PTL/Express network driving deeper penetration
Igniting Success 2nd Layer | PTL/Express network driving deeper penetration 0 Network of Processing centers 0 ~17 locations 0 0 0 rin' 0 0 AL AL 0 0 0 o 0 0 0 Network of Branches & Retail Partners r1 Ire o : 0 0 Driving density across ~200 locations AL 0 0 O 0 Fl 0 0 AL Best-in-class reach 0 AL AL C
Slide 25: 3rd Layer | Last Mile Distribution Network reaching end consumer
Igniting Success 3rd Layer | Last Mile Distribution Network reaching end consumer Delivery as Service Tech enabled fleet for doorstep delivery Distribution as a Service Cross dock DC management + delivery Fulfillment as a service Multi brand FC with delivery capability mahinclra LOGISTICS
Slide 26: Long term vision | Integration & Optimization of these networks
Ignj es Long term vision | Integration & Optimization of these networks Pre-scheduled & Dynamic Mesh Part-Load movement at FTL cost Express Hub within BTS Warehouse Eliminating Pick-up costs & TAT for Express Operational Efficiency Multiple GTM / Omnichannel from one facility Purchasing Leverage Bac
Slide 27: MLL Integrated Network Sample
Igniting Success MLL Integrated Network Sample FTL Load FTL Load FTL Load Distribution Center IN•••MI IN•••MI IN•••MI Integrated rl C IN•••MI IN•••MI PTL Load Warehousing & IN•••MI IN•••MI Distribution rl C IN•••MI 0 0 0 PTL Load 3 PTL Load PTL Load E Sort Center Fulfilment Express Hub Center 3 33 3
Slide 28: Current Warehousing Network
Ignj es Current Warehousing Network Space under management (Mn. Sq. ft.) 18.6 19.0 19.0 19.0 18.0 17.5 14.5 13.9 15.3 15.3 15.0 13.4 4.1 4.1 4.1 3.7 3.7 4.0 FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 ■ Stockyard Warehouse Note: Numbers above for WH include dry access, not contracted to customers yet ma
Slide 29: Current BTS Warehousing Network
I n ess Current BTS Warehousing Network Chennai: Gurgaon: Nashik: 3.6 Lakh Sq Ft 15 Lakh square feet 1.8 Lakh square feet rhe I m hodra LOGISTICS -- - sr ,114 WiPEXOUSING PVT, M. -A ISA Pune: Bhiwandi: Hyderabad 4 Lakh Sq Ft 9.3 Lakh square feet 8.5 Lakh square feet .... rifloarstlaaa I — r Under Co
Slide 30: Overview of BOM1-02: World class Grade A Warehousing Facility in Western India
Igniting Success Overview of BOM1-02: World class Grade A Warehousing Facility in Western India 6,50,000 sq. ft WH space IGBC Platinum Certification Number of docks: 84 co% 0 Skylights for Natural Lighting Floor load bearing capacity: 8 tons/sqm =DIM Solar Powered Warehouse with DG aoO backup 13 m C
Slide 31: Overview of BOM1-02: Locational Advantage
Overview of BOM1-02: Locational Advantage Strategically located Great connectivity Proximity to Easy access close to the Mumbai to major national and state airports & ports to industrial clusters & Metropolitan Region highways consumption centers in western India
Slide 32: Overview of BOM1-02: Operational Advantage
Ignj es Overview of BOM1-02: Operational Advantage 0 00 Integrated Warehousing & O High level of adherence to safety OO 1:113 Distribution Solutions & compliance O d dOh Custom built spaces to Reduced transition time due to Bugg • tj suit every need 0 operational readiness Abundant availability of E
Slide 33: Mahindra Logistics Investor Meet: Tech Vision
Ignj es Mahindra Logistics Investor Meet Tech Vision Bhiwandi 19 August 2023 mahindra LOGISTICS
Slide 34: Business Landscape: Varied platforms and variability of customers
Igniting Success Business Landscape: Varied platforms and variability of customers Multiple Services Diverse Scope Multi sector Auto & Farm 0 Transportation HE'D 3PL services DD Engineering & Freight Manufacturing Network Services FMCG & Inventory Olt Durables Management '11 • • Telecom Mobility O O
Slide 35: LogiOne – A logistics tech eco system
Igniting Success LogiOne – A logistics tech eco system Service Layer Integration Layer Optimization Layer LOGIsHIP LOGIFREIGHT L(4GIONE Freight Forwarding FTL Transport Management Integrated Logistics Interface system System Platform LOGIOPT Optimization Tools LOGIxps LOGIPicK B2B Express Warehouse
Slide 36: Logi Freight - FTL Transport Management System
Igniting Success Logi Freight - FTL Transport Management System Capabilities f CO O myca rgo360.rnahlndralogistioscomfconsignmBois LA itr /I El tip 0,I• , sod I oo[5. I ImpLD.Q.c 5 PRAPETSH RAHF_SH KUMAR Logout LIGIFREIGHT MARINDRA LOGISTICSLTD last to m:29-DE-2022 MI5 PM Home Bookings Deliveries Ve
Slide 37: Logi Pick – Warehouse management system
Igniting Success Logi Pick – Warehouse management system Capabilities CO ilmIlwrrisRahindralogistics.comiinboundigrnFormiregistration tr ft 3 Search for anything PRATYUSH LOGIPICK 1110 Guided Put-aways & Picking FOSSIL INDIA I Date 8 Type" Invoice No* Invoice Value Invoice Date 8 Vehicle No Dock No
Slide 38: Our roadmap …
Igniting Success Our roadmap … Where we are – Services for existing Where we want to be? customers 1,100+ TEU per month 50,000+ trips a month UGIONE LGIGIFREIGH LogiOne as an open 60,000 Tons processed per architecture which will month connect with external 3rd party system 10,000 order per day LOGI
Slide 39: Question & Answers
Ignj es Question & Answers mahindra LOGISTICS