Hi-tech Gears Limited · NSE:HITECHGEAR
Hi-tech Gears — The Hi-Tech Gears — Q2 FY24 Earnings Presentation
27 slides from Hi-tech Gears's earnings presentation, 2023
Slide 1: The Hi-Tech Gears Ltd. Earnings Presentation Q2/H1-FY24
THE HI-TECHPRESENTATION EARNING GEARS LTD. Q2/H1-FY24 1
Slide 2: Snapshot
S N A P S H OT 5 10+ 37 Years Manufacturing 2,500+ Exports to Of Experience Plants Employees Countries Strategic 17% Marquee Partners 3 Year 41% Global Customers to Major Auto Revenue CAGR 3 Year PAT CAGR OEMs 2
Slide 3: Company Overview
C O M PA N Y O V E R V I E W • The Hi-Tech Gears Ltd. (THGL) was incorporated in 1986 and has grown to be an auto CONSOLIDATED REVENUE (INR MN) & component manufacturer of high repute, supplying engine and transmission EBITDA MARGINS (%) components to diverse marquee customers across the globe. 11,6
Slide 4: Key Strengths
KEY STRENGTHS One of the leading manufacturers One of the very few component Strategically located state-of-the- of critical high-precision gears, manufacturers catering to diverse art manufacturing facilities in shafts and Transmission segments of automobiles and India, Canada and USA components en
Slide 5: Board of Directors – Executive/Non Executive Directors
BOARD OF DIRECTORS –EXECUTIVE/NON EXECUTIVE DIRECTORS DEEP KAPURIA Executive Chairman Engineering (Hons) Graduate from B.I.T.S., Pilani, advanced Management Programme from IIM-A, and owner Management Programme from Harvard, USA, with over 40 years of experience. ANANT JAIVANT TALAULICAR PRANAV KAPUR
Slide 6: Board of Directors – Independent Directors & Key Management Personnel
BOARD OF DIRECTORS –INDEPENDENT DIRECTORS & KEY MANAGEMENT PERSONNEL EMINENT INDEPENDENT DIRECTORS KRISHNA CHANDRA VERMA VINIT TANEJA SANDEEP DINODIA Independent Director Independent Director Independent Director Experienced Indian Police Service officer, with A Mechanical Engineer from IIT Delhi an
Slide 7: Global Footprint and Marquee Customers
G L O B A L F O OT P R I N T A N D M A R Q U E E C U S TO M E R S Daimler A.G. JCB Power Cummins Robert Bosch Magna UK Powertrain Perkins GERMANY Daimler Fuso JAPAN Cummins CANADA Robert Bosch CHINA SOUTH KOREA Cummins USA Foton Cummins Daimler American Axle GKN Magna MEXICO Powertrain Robert Bosch
Slide 8: Diversified Business Presence
DIVERSIFIED BUSINESS PRESENCE TWO-WHEELER MEDIUM & HEAVY COMMERCIAL VEHICLES PASSENGER CARS AGRI, ENGINES AND OFF-HIGHWAY Association with Top players in each segment 8
Slide 9: Plants Across India and North America
PLANTS ACROSS INDIA AND NORTH AMERICA Manufacturing facilities in India Manufacturing facilities overseas Plant-I, Bhiwadi Plant-II, Manesar Plant-III, Bhiwadi Plant-I, Guelph, Canada Plant-II, Emporium USA Est. 1986 Est. 2005 Est. 2011 Acquired 2017 Acquired 2017 DUAL SHORE PRESENCE 9
Slide 10: Product Portfolio
PRODUCT PORTFOLIO Commercial & Off- Sintered Two-Wheeler Car Transmission & Engine Power Take Off Precision Forging & Highway Vehicles Transmission Driveline Gears Components Machining Components Transmission 10
Slide 11: Thrust on EV and New Technologies
THRUST ON EV AND NEW TECHNOLOGIES Electric Vehicle Components EV-Differential Assembly – EV deliver higher torque and power curve with fewer gear with higher rotational speed. THGL Initiatives: TW : Gear Component Final Assembly & Counter Assembly and Gear Drive PC : Helical Gear Components Advance
Slide 12: Financial Overview
FINANCIAL OVERVIEW
Slide 13: Q2/H1-FY24 Financial Highlights
Q2/H1-FY24 FINANCIAL HIGHLIGHTS Q2-FY24 Consolidated Highlights Q2-FY24 Standalone Highlights INR 2,836 Mn INR 351 Mn INR 722 Mn* INR 2,033 Mn INR 255 Mn INR 101 Mn Operational Income EBITDA Net Profit Operational Income EBITDA Net Profit (9.6)% YoY (9.3)% YoY 1,963% YoY (5.8)% YoY (14.7)% YoY (31.3
Slide 14: Q2-FY24 Operational Highlights
Q 2 - F Y 2 4 O P E R AT I O N A L H I G H L I G H T S • Decline in Revenue compared to previous year was on account of lower take-off in the Passenger Car (PC) and Two- Wheeler segments in Standalone business and lower offtake by one of the customers in the North American business. • In Q2-FY24, St
Slide 15: New Business Wins: India and North America
NEW BUSINESS WINS: INDIA AND NORTH AMERICA New business won ~ ₹ 1,754 Mn annualized New business won ~ ₹ 461 Mn annualized Current Customer New Customer Current Customer New Customer FY 22-23 ₹ 1,081 Mn ₹ 673 Mn H1-FY24 ₹ 151 Mn ₹ 310 Mn EV Business ICE Business Entry into Indian Passenger Car Segme
Slide 16: Quarterly Consolidated Financial Performance
Q U A R T E R LY C O N S O L I D AT E D F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) Q2-FY24 Q2-FY23 Y-O-Y Q1-FY24 Q-O-Q Operational Revenue 2,836 3,138 (9.6)% 2,635 7.6% Total Expenses 2,485 2,751 (9.7)% 2,303 7.9% EBITDA 351 387 (9.3)% 332 5.7% EBITDA Margin (%) 12.38% 12.33% 5 Bps
Slide 17: Quarterly Standalone Financial Performance
Q U A R T E R LY S TA N D A L O N E F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) Q2-FY24 Q2-FY23 Y-O-Y Q1-FY24 Q-O-Q Operational Revenue 2,033 2,159 (5.8)% 1,802 12.8% Total Expenses 1,778 1,860 (4.4)% 1,565 13.6% EBITDA 255 299 (14.7)% 237 7.6% EBITDA Margin (%) 12.54% 13.85% (131)
Slide 18: Half Yearly Consolidated Financial Performance
H A L F Y E A R LY C O N S O L I D AT E D F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) H1-FY24 H1-FY23 Y-O-Y Operational Revenue 5,471 6,055 (9.6)% Total Expenses 4,788 5,352 (10.5)% EBITDA 683 703 (2.8)% EBITDA Margin (%) 12.48% 11.61% 87 Bps Depreciation and amortisation 300 433 (3
Slide 19: Half Yearly Standalone Financial Performance
H A L F Y E A R LY S TA N D A L O N E F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) H1-FY24 H1-FY23 Y-O-Y Operational Revenue 3,835 4,095 (6.3)% Total Expenses 3,343 3,522 (5.1)% EBITDA 492 573 (14.1)% EBITDA Margin (%) 12.83% 13.99% (116) Bps Depreciation and amortisation 161 156 3.2
Slide 20: Historical Consolidated Income Statement
H I S TO R I C A L C O N S O L I D AT E D I N C O M E S TAT E M E N T Particulars (INR Mn) FY21 FY22 FY23 H1-FY24 Revenue from Operations 7,455 9,706 11,692 5,471 Expenses 6,556 8,889 10,278 4,788 EBITDA 899 817 1,414 683 EBITDA Margins (%) 12.06% 8.42% 12.09% 12.48% Depreciation and amortisation 43
Slide 21: Historical Standalone Income Statement
H I S TO R I C A L S TA N D A L O N E I N C O M E S TAT E M E N T PARTICULARS (INR MN) FY21 FY22 FY23 H1-FY24 Revenue from Operations 5,224 6,446 7,818 3,835 Expenses 4,400 5,497 6,725 3,343 EBITDA 824 949 1,093 492 EBITDA Margins (%) 15.77% 14.72% 13.98% 12.83% Depreciation and amortisation 252 304
Slide 22: Historical Consolidated Balance Sheet
H I S TO R I C A L C O N S O L I D AT E D B A L A N C E S H E E T PARTICULARS (INR MN) FY22 FY23 H1-FY24 PARTICULARS (INR MN) FY22 FY23 H1-FY24 NON-CURRENT ASSETS 5,924 5,390 5,068 EQUITY 3,307 3,544 4,348 a) Property, plant and equipment 3,871 3,853 3,502 Equity Share Capital 188 188 188 b) Capital
Slide 23: Historical Standalone Balance Sheet
H I S TO R I C A L S TA N D A L O N E B A L A N C E S H E E T PARTICULARS (INR MN) FY22 FY23 H1-FY24 PARTICULARS (INR MN) FY22 FY23 H1-FY24 NON-CURRENT ASSETS 4,266 4,089 3,993 EQUITY 3,493 3,976 4,137 a) Property, plant and equipment 1,935 1,840 1,741 Equity Share Capital 188 188 188 b) Capital wor
Slide 24: Historical Consolidated Financial Highlights
H I S TO R I C A L C O N S O L I D AT E D F I N A N C I A L H I G H L I G H T S OPERATIONAL REVENUE (INR MN) EBIDTA (INR MN) & EBITDA PAT (INR MN) & PAT MARGINS (%) MARGINS (%) 1, 000 11,692 1,414 50. 00% 815 9,706 800 45. 00% 40. 00% 7,455 899 817 600 35. 00% 5,471 30. 00% 683 25. 00% 400 288 14.90
Slide 25: Capital Market Information
C A P I TA L M A R K E T I N F O R M AT I O N 120.0% SHARE PRICE PERFORMANCE 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% -20.0% Oct-22 Nov-22 Dec-22 Feb-23 Mar-23 May-23 Jun-23 Aug-23 Sep-23 Sensex The Hi- Tech Gears Ltd MARKET DATA (INR) AS ON 30TH SEPTEMBER, 2023 SHAREHOLDING PATTERN AS ON 30TH SEPTEMBER,
Slide 26: Disclaimer
DISCLAIMER The Hi-Tech Gears Limited Disclaimer: No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are
Slide 27: Thank You
2) THANK YOU