Tata Motors Passenger Vehicles Ltd · NSE:TMPV
Tata Motors Passenger Vehicles — Tata Motors Group — Q4 FY24 Earnings Presentation
53 slides from Tata Motors Passenger Vehicles's earnings presentation, May 2024
Slide 1: Tata Motors Group Results for the quarter and year ended March 31, 2024
Tata Motors Group Results for the quarter and year ended March 31, 2024
Slide 2: Safe harbour statement
Safe harbour statement Other Details • Presentation format : The results provided represent the details on consolidated segment level. The operating segment comprise of Automotive segment and Statements in this presentation describing the objectives, projections, estimates others. and expectations o
Slide 3: FY24 – Tata Motors Business highlights
FY24 – Tata Motors Business highlights BS6 Phase 2 transition completed Unveiled state of art facilities Fleet edge digitally connects Intra V70 pickup, Intra V20 Gold successfully for development of hydrogen over 600,000 vehicles pickup and Ace HT+, Magic Bi-fuel propulsion technologies launched Po
Slide 4: FY24 – JLR Business highlights
FY24 – JLR Business highlights Consistently strong financial Reimagine transformation strategy Sustainable projects continue Ratings upgrades from S&P and performance progressing Moody’s Higher production volumes during Further strengthening of Tata JLR products continue to win awards £1.8bn of debt
Slide 5: FY24 - Corporate actions
FY24 - Corporate actions Successful IPO of Tata Technologies – Multiple Acquisition of ~27% stake in Freight Tiger Platform-sharing partnership with JLR to records broken accelerate development of Avinya ADRs delisted DVR simplification - shareholder approval Demerger of Tata Motors into two separat
Slide 6: Q4: Revenue ₹120K Cr, EBITDA ₹17.9KCr, PBT(bei) ₹9.5K Cr, FCF ₹14.1K Cr
Q4:Revenue ₹120K Cr, EBITDA ₹17.9KCr, PBT(bei) ₹9.5K Cr, FCF ₹14.1K Cr Robust performance continues – FY24 Revenue ₹ 438K Cr, EBITDA ₹ 63K Cr, Auto FCF ₹ 27K Cr F Y 2 4 | C o n s o l i d a t e d | IndAS, ₹ K C r Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q4 FY23 Y-o-Y FY24 FY23 Y-o-Y Global wholesales (K units
Slide 7: Dividend ₹ 3+3 per share recommended
Dividend ₹ 3+3 per share recommended • The Board has recommended a dividend of • ₹ 3 per share for Ordinary share holders (150% of face value) and • ₹ 3.10 per share for DVR share holders • The Board has also recommended a special dividend of • ₹ 3 per share for Ordinary share holders (150% of face
Slide 8: FY24: The best-ever performance delivered
FY24: The best-ever performance delivered HIGHEST EVER HIGHEST EVER INDIA BUSINESS REVENUE EBITDA TURNS NET CASH ₹ 437.9K Cr ₹ 62.8K Cr ₹ 1.0K Cr HIGHEST EVER PBT HIGHEST EVER FCF HIGHEST EVER (bei) (auto) DIVIDEND^ ₹ 28.9K Cr ₹ 26.9K Cr ₹ 2,310 Cr payout * Represents data on consolidated basis unle
Slide 9: Consolidated trends
Consolidated trends Revenue (₹ K Cr) EBITDA (₹ K Cr) EBIT % PBT (bei) (₹ K Cr) 62.8 15.0% 438 60.0 11.7% 13.0% 10.9% 28.9 346 50.0 8.1% 11.0% 21.9 8.3% 19.8 291 302 40.0 9.0% 14.4 16.6 263 273 270 261 250 278 11.5 233 3.7% 0.0% 0.7% 7.0% 10.3 189 30.0 5.0% 14.4 -1.5 2.9 1.8 166 9.7 -1.8 93 122 20.0
Slide 10: EBIT 9.1%; Net Auto Debt reduces to ₹ 16.0K Cr
EBIT 9.1%; Net Auto Debt reduces to ₹ 16.0K Cr TML India is net debt free; Overall on track to become net debt free in FY25 Q 4 F Y 2 4 | C o n s o l i d a t e d | IndAS Revenue ₹ KCr Profitability (EBIT) ₹ C r 0.2 3.6 0.4 9.9 120.0 105.9 9.3% 0.2% 3.4% 0.4% 13.3% increase Q4FY23 Volume & Mix Price
Slide 11: Jaguar Land Rover Automotive PLC
JAGUAR LAND ROVER AUTOMOTIVE PLC R I C H A R D M O LY N E U X Chief Financial Officer Results for the quarter and year ended March 31, 2024 11
Slide 12: Q4 Revenue £7.9b, EBIT 9.2%, PBT(bei) £661m
Q4 Revenue £7.9b, EBIT 9.2%, PBT(bei) £661m FY24 Revenue £29b, EBIT 8.5%, PBT(bei) £2.2b. Significantly improved v FY23 F Y 2 4 | J a g u a r L a n d R o v e r | I F RS , £ m Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q4 FY23 Y-o-Y FY24 FY23 Y-o-Y Wholesale (K units) 93.3 96.8 101.0 110.2 94.6 16.4% 401.3 321.
Slide 13: Q4 & FY24 Performance highlights
Q4 & FY24 Performance highlights VOLUME & REVENUE - Q4 wholesales of 110k, up 16% YoY and 9% QoQ, the highest wholesales in 12 quarters - Full year wholesales of 401k for FY24, up 25% YoY - Q4 retails of 114k, up 11% YoY and 4% QoQ; FY24 retails of 432k, up 22% YoY - Revenue for the quarter was £7.9
Slide 14: Q4 Wholesales of 110K, up 16% YoY and up 9% QoQ
Q4 Wholesales of 110K, up 16% YoY and up 9% QoQ YTD wholesales of 401k, up 25% year-on-year, with the highest ever full year Defender volumes FY24 | Wholesales | Brands | Units in 000’s RANGE ROVER DEFENDER DISCOVERY JAGUAR TOTAL 110.2 58.3 52.9 47.8 101.0 27.5 27.1 28.7 94.6 Q4 12.1 13.5 9.6 8.9 9.
Slide 15: Q4 wholesales up in UK, North America & Overseas compared to Q3
Q4 wholesales up in UK, North America & Overseas compared to Q3 YTD Wholesales higher in all regions compared to the prior year FY24 | Wholesales* | Regions | Units in 000’s UK NORTH CHINA OVERSEAS JLR POWERTRAIN EUROPE AMERICA MIX(RETAILS) 30.4 27.8 26.5 22.0 24% 21% 20.3 21.2 20.4 18.9 21.0 20.1 2
Slide 16: Q4 FY24 PBT £661m up £293m YoY
Q4 FY24 PBT £661m up £293m YoY Q4 FY24 EBIT increased significantly to 9.2% due to improved volumes and easing of material cost pressures Q4 FY24 | IFRS, £m Volumes 239 Pricing 118 Other (47) VME (0.5)% (64) (182) to (3.0)% (38) 267 FMI & Selling (80) (64) Other 16 192 Material costs 276
Slide 17: Record full year free cash flow of £2.3b
Record full year free cash flow of £2.3b Free cash flow positive £892m in Q4 FY24 Working capital detail Payables 761 FY24 | IFRS, £m Free cashflow before working capital £428m Receivables (329) Inventory (157) ( 95 ) 791 Other 189 ( 929 ) Q4 1,357 464 892 661 D&A (565) PBT Non-cash Cash Cas
Slide 18: Total FY24 investment spend £3.3b
Total FY24 investment spend £3.3b Engineering capitalisation rate 62%, reflecting expected maturation of vehicle programmes FY24 | IFRS, £m 930 3,263 880 2,333 1,453 Capitalised Expensed Total Capital Total Engineering Engineering Engineering Investment Investment Q4 FY24 389 248 637 292 929 FY23 72
Slide 19: Business Update
BUSINESS UPDATE J A G U A R L A N D R O V E R A U T O M O T I V E P L C 19
Slide 20: Model developments – coming soon
Model developments – coming soon RANGE ROVER SPORT - RANGE ROVER ELECTRIC DEFENDER- OCTA STEALTH • Uncamouflaged prototypes demonstrate • A curated combination of dark and • V8 Twin Turbo mild-hybrid petrol power build quality of prototypes dramatic finishes and class-leading 6D Dynamics air suspens
Slide 21: Looking ahead
Looking ahead Remain committed to sustainable, cash generative growth - EBIT margin to be around FY24 level - Investment spend of £3.5bn in FY25 FY25 OUTLOOK - Net debt zero during FY25 - Free cash flow to be broadly break even in Q1 - Customer Love to be at the heart of what we do PRIORITIES - Cont
Slide 22: Tata Commercial Vehicles
Tata Commercial Vehicles Girish Wagh & PB Balaji (Includes Tata CV India, Tata Cummins JO results and Tata CV International) 22
Slide 23: Registration (Vahan) market share
Registration (Vahan) market share Truck market share continues to remain strong; Small Commercial Vehicle market share starting to improve Tata Commercial Vehicles | Domestic market share* Commercial Vehicles 41.7% 39.1% 39.7% 39.0% 39.1% 38.7% FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 FY24 HGV+HMV MGV L
Slide 24: Q4: Revenue ₹ 21.6K Cr, EBITDA 12.0%, PBT(bei) ₹ 2.0K Cr
Q4: Revenue ₹ 21.6K Cr, EBITDA 12.0%, PBT(bei) ₹ 2.0K Cr Pivot to demand pull strategy delivering results; Business clocks the highest ever Revenues and PBT (bei) in FY24 F Y 2 4 | T a t a C o m m e r c i a l V e h i c l e s | IndAS, ₹ K C r Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q4 FY23 Y-o-Y FY24 FY23 Y-
Slide 25: EBIT at 9.6% (+100) bps; PBT (bei) ₹ 2.0K Cr
EBIT at 9.6% (+100) bps; PBT (bei) ₹ 2.0K Cr Margins continue to improve on higher realisations despite lower volumes Q 4 F Y 2 4 | T a t a C o m m e r c i a l V e h i c l e s | IndAS, ₹ Cr ₹ Cr. IndAS D&A ₹(180) Cr Employee cost ₹ (45) Cr Others incl PDC : ₹ (129) Cr EBIT % 8.6% (0.7)% 4.1% (0.7)%
Slide 26: Tata Commercial Vehicles – Overall update
Tata Commercial Vehicles – Overall update Key Highlights Bright Spots Focus areas • Domestic Volumes: Wholesale volumes grew by • HCVs grew by 5% YoY in FY24, Passenger carriers • Continue to drive realization improvement and ~14% QoQ in Q4 FY24, however declined 7% in grew by 26% YoY in FY24 and 38
Slide 27: Tata Commercial Vehicles – New business update
Tata Commercial Vehicles – New business update Electric Mobility TML Smart City Mobility Solutions Ltd Digital E Buses: • TML e-bus fleet cumulatively crossed 140 • Fleet Edge has now more than 600 K vehicles on million Kms with >95% uptime till Q4 FY24. platform • 1700+ EV buses deployed up in FY24
Slide 28: Tata Passenger Vehicles
Tata Passenger Vehicles Shailesh Chandra & PB Balaji (Includes Tata PV, EV India, FIAPL JO results and International business(PV+EV)) 28
Slide 29: #2 player in H2 FY24
#2 player in H2 FY24 Penetration of CNG cars & EVs at 29%; Portfolio emissions well below CAFÉ norms Tata Passenger Vehicles |India business | Volumes VAHAN Domestic Market share(1) Powertrain Mix Tata Motors PV CAFÉ Compliance (CO2 in g/km) Petrol Diesel EV CNG TML PV Emissions CAFE Target 3% 5% 8%
Slide 30: EV growth trajectory continues at ~48% YoY volume increase
EV growth trajectory continues at ~48% YoY volume increase Tata.ev exclusive channel to drive growth in focus markets; Open collaboration to help expand charging infra Tata Passenger Electric Vehicles Wholesales (incl. exports ) EV Volumes VAHAN registration market share(1) (K units) YoY 47.5% 5 EV
Slide 31: Q4: Revenue ₹ 14.4K Cr, EBITDA 7.3%, PBT(bei) ₹ 0.5K Cr
Q4: Revenue ₹ 14.4K Cr, EBITDA 7.3%, PBT(bei) ₹ 0.5K Cr Consistently delivering volumes growth, positive EBIT margins and PBT F Y 2 4 | T a t a P a s s e n g e r V e h i c l e s | IndAS, ₹ K C r Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q4 FY23 Y-o-Y FY24 FY23 Y-o-Y Global wholesales ( K units) 140.4 139.0 13
Slide 32: Q4 EBIT at 2.9% (+150 bps); PBT (bei) 0.5K Cr
Q4 EBIT at 2.9% (+150 bps); PBT (bei) 0.5K Cr PV(ICE) reaches double digit EBITDA; EV is EBITDA +ve before investments; ₹ Cr. IndAS Q 4 F Y 2 4 | T a t a P a s s e n g e r V e h i c l e s | IndAS, ₹ Cr FME : ₹29Cr PV (ICE) and EV financials split Employee cost : ₹(58) Cr D&A and PDE : ₹(14)Cr PV Oth
Slide 33: Business update – Q4 FY24
Business update – Q4 FY24 Highest-ever Wholesale and Vahan in Q4 and FY24; 2 out of 5 highest-selling models in FY24 are Tata PVs T a t a P a s s e nge r a nd E l e c t r ic V e hic l e s Key Highlights Bright spots Challenges • In FY24, industry recorded highest-ever • Market growth rate likely to
Slide 34: Tata Motors (CV+PV)
Tata Motors (CV+PV) *TML, TMPVL, TPEML and Joint operations TCL and FIAPL.
Slide 35: Q4 FY24 Free Cash Flows ~₹ 4.9K Cr
Q4 FY24 Free Cash Flows ~₹ 4.9K Cr Strong cash profits driving positive cash flows despite increasing investments Q 4 F Y 2 4 | T a t a M o t o r s D o m e s t i c B u s i n e s s ( C V + P V ) | I n d A S , ₹ C r (1) Payables, acceptances ₹ 2,162 Cr Trade receivables ₹ 1,190 Cr Inventories ₹ 2,596
Slide 36: Investment Spending in FY24 ~₹ 8.3K Cr
Investment Spending in FY24 ~₹ 8.3K Cr FY25 investments to be in line with FY24 focused on electrification, products, technologies and infrastructure F Y 2 4 | T a t a M o t o r s D o m e s t i c B u s i n e s s (1) | I n d A S , ₹ C r PV+EV CV 630 2,262 232 736 1,632 398 864 378 632 896 358 254 1,3
Slide 37: TMF: Pivot to Quality yielding desired results
TMF: Pivot to Quality yielding desired results Prudent sourcing and concerted collection efforts continues to drive up portfolio quality F Y 2 4 | T a t a M o t o r s F i n a n c e ( C o n s o ) | IndAS, ₹ ( C r I N R ) • Collection Efficiency continues to improve with Q4 FY24 coming at 101.8% IndAS
Slide 38: Credit ratings continue to improve
Credit ratings continue to improve S&P and CARE upgrade rating by 2 notches; Moody’s, CRISIL and ICRA upgrade rating by 1 notch Rating Agencies FY23 rating FY24 rating Improvement S&P BB- / Stable BB+ / Positive CARE AA- / Stable AA+ / Stable Moody’s B1 /Stable Ba3 / Positive CRISIL AA- / Stable AA
Slide 39: Looking ahead
Looking ahead We remain committed to consistent, competitive, cash accretive growth whilst deleveraging the business Outlook • Remain cautiously optimistic on domestic demand over the full year; expect H1 to be relatively weaker • Expect premium luxury segment demand to be resilient despite emerging
Slide 40: Investor day
Investor day JLR Tata Motors India Investor Day Jaguar Land Rover Investor Day Tuesday, June 11, 2024 Wednesday, June 19, 2024 Mumbai, India Gaydon, Warwick, UK. 40
Slide 41: Q&A session Thank you
Q&A session Thank you Please submit your questions in the Q&A textbox Please mention your name and name of the organization you represent along with the questions 41
Slide 42: Tata Motors Group : Additional details
Tata Motors Group : Additional details Results for the quarter ended March 31, 2024 42
Slide 43: Tata Motors Group Financials
Tata Motors Group Financials Consolidated Rs Cr. IndAS Quarter ended March 31, 2024 Tata Tata JLR Commercial Passenger Others* Consolidated Vehicles Vehicles Revenue from operations 82,988 21,590 14,431 978 119,986 Grant income / incentives 598 46 66 8 717 Expenses : Cost of materials consumed (47,5
Slide 44: Tata Motors Group Financials
Tata Motors Group Financials Consolidated Quarter ended March 31, 2023 Rs Cr. IndAS Tata Tata JLR Commercial Passenger Others* Consolidated Vehicles Vehicles Revenue from operations 71,463 21,240 12,093 1,136 1,05,932 Grant income / incentives 833 107 77 28 1,045 Expenses : Cost of materials consume
Slide 45: Tata Motors Group Financials
Tata Motors Group Financials Consolidated Year ended March 31, 2024 Rs Cr. IndAS Tata Tata JLR Commercial Passenger Others* Consolidated Vehicles Vehicles Revenue from operations 3,02,825 78,790 52,353 3,959 4,37,928 Grant income 2,354 242 332 43 2,971 Expenses : Cost of materials consumed (1,76,325
Slide 46: Tata Motors Group Financials
Tata Motors Group Financials Consolidated Year ended March 31, 2023 Rs Cr. IndAS Tata Tata JLR Commercial Passenger Others* Consolidated Vehicles Vehicles Revenue from operations 2,22,860 70,816 47,868 4,424 3,45,967 Grant income 2,133 316 431 33 2,913 Expenses : Cost of materials consumed (1,36,032
Slide 47: Tata Motors Group Financials
Tata Motors Group Financials Jaguar Land Rover Q 4 F Y 2 4 & F Y 2 4 | I F RS , £ m Q4 v Q4 YoY Q4 v Q3 QoQ FY24 v FY23 Q4 FY23 Q3 FY24 Q4 FY24 FY23 FY24 Change Change YoY Change Revenues 7,102 7,375 7,860 22,809 28,995 758 485 6,186 Material and other cost of sales (4,327) (4,237) (4,535) (14,008)
Slide 48: Strong Full Year Performance
Strong Full Year Performance Trend of improving financial performance F Y 2 4 | I F RS , £ m EBIT MARGIN REVENUE 7,860 9.2% 7,375 6,903 6,857 8.6% 8.8% 7.3% Q1 FY24 Q2 FY24 Q3 FY24 Q4FY24 Q1 FY24 Q2 FY24 Q3 FY24 Q4FY24 PBT (bei)* FREE CASH FLOW 627 661 892 435 442 626 451 300 Q1 FY24 Q2 FY24 Q3 FY24
Slide 49: China JV continues to deliver improved financial performance
China JV continues to deliver improved financial performance Q 4 F Y 2 4 | I F RS , £ m (Presented on 100% basis) Q4 Q3 Q4 Q4 v Q4 YoY Q3 v Q4 QoQ FY23 v FY24 FY23 FY24 FY23 FY24 FY24 Change Change YoY Change Retail volumes ('000 units) 12.7 13.4 10.8 50.9 50.2 (1.9) (2.6) (0.7) Wholesale volumes ('
Slide 50: Q4 YoY operational FX unfavourable, offset partially by hedging
Q4 YoY operational FX unfavourable, offset partially by hedging Total Q4 FX and commodity impact £(38)m unfavourable YoY, primarily reflecting lower favourable FX revaluation YoY Q4 FY24 YoY | IFRS, £m (25) (38) (55) (23) (7) 17 (157) 132 Operational Exchange Realised FX hedges FX Impact on EBIT FX
Slide 51: Q4 retails of 114k, up 11% Yoy and up 4% QoQ
Q4 retails of 114k, up 11% Yoy and up 4% QoQ YTD Retails of 432k, up 22% year-on-year FY24 | Retails* | Brands | Units in 000’s RANGE ROVER DEFENDER DISCOVERY JAGUAR TOTAL 51.5 55.9 114.0 50.9 109.1 28.8 27.9 23.6 102.9 15.4 17.1 18.1 12.9 12.2 Q4 11.7 Q4 Q3 Q4 Q4 Q3 Q4 Q4 Q3 Q4 Q4 Q3 Q4 Q4 Q3 Q4 FY
Slide 52: Q4 retails higher in UK and North America compared to Q3
Q4 retails higher in UK and North America compared to Q3 YTD Retails were higher in all regions compared to the prior year FY24 | Retails* | Brands | Units in 000’s UK N. AMERICA EUROPE CHINA OVERSEAS JLR POWERTRAIN MIX(RETAILS) 27.3 27.0 27.8 25.0 25.3 22.3 23.0 20.6 19.3 19.2 18.9 19.1 18.0 17.9 2
Slide 53: Debt profile
Debt profile Strong liquidity; debt maturities well spread out; gross debt reduction Jaguar Land Rover Tata Domestic Business* IFRS, £m Debt maturity profile IndAS Total Debt maturity profile Total ₹ Crores 4,886 9,254 1,520 730 1,028 Undrawn RCF 1,046 905 1,520 4154 10,241 3,110 7,321 164 757 125 9