Hi-tech Gears Limited · NSE:HITECHGEAR
Hi-tech Gears — The Hi-Tech Gears — FY2022-23 Earnings Presentation
42 slides from Hi-tech Gears's earnings presentation, 2023
Slide 1: The Hi-Tech Gears Limited Financial Year 22-23 Earnings Presentation
The Hi-Tech Gears Limited (THGL) Financial Year 22-23 Earnings Presentation future engage deliver
Slide 2: Safe Harbour Statement
Safe Harbour Statement • The views expressed here may contain information derived from publicly available sources that have not been independently verified by The Hi-Tech Gears Limited. • No representation or warranty (express or implied) is made as to, and no reliance should be placed on, the accur
Slide 3: Table of Contents
Table of Contents • About THGL • Financial Update • Management Perspective future engage deliver 3
Slide 4: Table of Contents
Table of Contents • About THGL • Financial Update • Management Perspective future engage deliver 4
Slide 5: THGL – Vision & Mission
THGL – Vision & Mission Hi-Tech Gears Vision “Be A Global Footprint Company and A Benchmark For World Class Manufacturing Systems” Hi-Tech Gears Mission “We will be the preferred partner in delivering engineering products and design solutions through lean philosophy with a focus on: Building a cus
Slide 6: Board of Directors
Board of Directors Deep Kapuria Anant Jaivant Talaulicar Pranav Kapuria Executive Chairman Vice Chairman & Non-Executive Managing Director Director Anuj Kapuria Subir K. Chowdhury Bidadi Anjani Kumar Executive Director Executive Director & President Non-Executive Director Krishna Chandra Verma Sande
Slide 7: Management Team
Management Team Subir K. Chowdhury Sumeet Kumar Jawaid Ashraf Executive Director & President Group CFO Group CHRO B.E. (Mech.); 38 years experience across MBA; 30 years of leadership experience PGDM (H.R.); 35 years of HR experience Off Highway, Cons Durables, Pass Car & across entire spectrum of Fi
Slide 8: Strengths and Differentiators
Strengths and Differentiators Established track record of more than three decades as one of the leading manufacturers of critical high-precision gears, shafts and transmission components across segments One of the very few components’ manufacturers catering to diverse segments of Two Wheelers, Passe
Slide 9: Global Footprint and Marquee Customers
Global Footprint and Marquee Customers EUROPE Daimler A.G. JCB Power Cummins Robert Bosch Magna Powertrain Perkins NORTH AMERICA Cummins American Axle GKN Magna Powertrain Robert Bosch ASIA (excl. India) Borg Warner Daimler Fuso IFA Cummins Navistar Robert Bosch Dana INDIA Cummins ZF Hero MotoCorp D
Slide 10: Portfolio of Businesses across Automotive Segments
Portfolio of Businesses across Automotive Segments Medium & Heavy Passenger Cars Agri, Engines and Off- Two-Wheeler Commercial Vehicles highway Top OE Coverage – Top OE Coverage-HMCL, # 1 in the World Daimler, GM, Ford, Top Players in the M&M, Honda Audi, Chrysler Segment Association with Top player
Slide 11: Plants across India and North America
Plants across India and North America Manufacturing facilities in India Manufacturing facilities overseas Organization Plant-III, Bhiwadi Plant-I, Guelph, Plant-II, Emporium Plant-I, Bhiwadi Plant-II, Manesar Canada USA Est. 1986 Est. 2005 Est. 2011 Acquired 2017 Acquired 2017 Dual Shore Presence fu
Slide 12: Well Diversified Product Portfolio
Well Diversified Product Portfolio Commercial & Off- Engine Sintered Two-Wheeler Car Transmission & Power Take Off Precision Forging & Highway Vehicles Transmission Driveline Gears Components Machining Components Transmission Manufacturer of critical gears, shafts and transmission components across
Slide 13: Process Infrastructure
Process Infrastructure Forging Finishing • Hot Forging • Gear Grinder • Warm Forging • Honing, • Cold Forging • Gear Honing, • Cold Extrusion • Hard Turning, • Coining • Grinding, etc. Machining Tool Room & Die Manufacturing • CNC Turning • Vertical Machining Center EDM etc. • Gear Cutting (Wet & Dr
Slide 14: Listing Information (as on 31st March 2023)
Listing Information (as on 31st March 2023) : • NSE / BSE Code NSE- HITECHGEAR BSE- 522073 • Share Capital – 1,87,68,000 equity shares @ Rs. 10/- each • Shareholding Pattern Sr. No Particulars % of holding 1. Promoters 56.22% 2. Bodies Corporate 6.25% 3. Public 37.52% future engage deliver
Slide 15: Table of Contents
Table of Contents • About THGL • Financial Update • Management Perspective future engage deliver 15
Slide 16: Standalone Performance Highlights (FY21-22 vs FY22-23)
Standalone Performance Highlights (FY21-22 vs FY22-23) (₹ Mn) Revenue 9,000 Total sales Rs. 6517 7,906 8,000 7,000 6,517 6,000 5,000 4,000 3,000 2,000 1,000 - Total sales Rs. 7906 Revenue FY 21-22 FY 22-23 • Turnover has increased by ₹ 1389 Mn or 21.31 % driven by more than 17% on account of volume
Slide 17: Standalone Performance Highlights (FY21-22 vs FY22-23)
Standalone Performance Highlights (FY21-22 vs FY22-23) (₹ Mn) EBIDTA PBT PAT 1,181 1,200 1200 1200 1,019 1,000 1000 1000 800 800 800 694 600 600 537 600 503 385 400 400 400 200 200 200 - 0 0 EBIDTA PBT PAT FY 21-22 FY 22-23 FY 21-22 FY 22-23 FY 21-22 FY 22-23 • EBITDA has increased by ₹ 161 Mn and E
Slide 18: Financials Summary – THGL Standalone
Financials Summary – THGL Standalone (FY21-22 vs FY22-23) (₹ Mn) Grow th Grow th % FY 21-22 FY 22-23 (YOY) (YOY) Total Revenue 6,517 7,906 1,389 21.31% EBIDTA 1,019 1,181 161 15.84% EBIDTA% 15.64% 14.94% Interest Cost 179 171 (8) Depreciation 304 316 12 PBT 537 694 157 29.32% PBT% 8.23% 8.78% PAT 38
Slide 19: Standalone Performance Highlights (Q4 FY21-22 vs Q4 FY22-23)
Standalone Performance Highlights (Q4 FY21-22 - vs - Q4 FY22-23) (₹ Mn) Revenue 2100 1871 1902 1800 Total sales Rs. 1871 1500 1200 900 600 300 Total sales Rs. 1902 0 Revenue Q4 FY 21-22 Q4 FY 22-23 • Turnover has increased by ₹ 31 Mn or 1.63 %. • Export has decreased by ₹ 165 Mn or 26.62 % on accoun
Slide 20: Standalone Performance Highlights (Q4 FY21-22 vs Q4 FY22-23)
Standalone Performance Highlights (Q4 FY21-22 - vs - Q4 FY22-23) (₹ Mn) EBIDTA PBT PAT 350 350 350 300 300 310 300 265 250 250 250 186 200 200 200 137 137 150 150 128 150 100 100 100 50 50 50 - - - EBIDTA PBT PAT Q4 FY 21-22 Q4 FY 22-23 Q4 FY 21-22 Q4 FY 22-23 Q4 FY 21-22 Q4 FY 22-23 • EBITDA has de
Slide 21: Standalone Performance Highlights (Q3 FY22-23 vs Q4 FY22-23)
Standalone Performance Highlights (Q3 FY22-23 - vs - Q4 FY22-23) (₹ Mn) Revenue 2100 Total sales Rs. 1858 1858 1,902 1800 1500 1200 900 600 300 Total sales Rs. 1902 0 Revenue Q3 FY 22-23 Q4 FY 22-23 • Turnover has increased by ₹ 43 Mn or 2.33 %. • Export has decreased by ₹ 84 Mn or 15.58 % on accoun
Slide 22: Standalone Performance Highlights (Q3 FY22-23 vs Q4 FY22-23)
Standalone Performance Highlights (Q3 FY22-23 - vs - Q4 FY22-23) (₹ Mn) PBT PAT EBIDTA 350 350 350 300 300 292 300 265 250 250 250 200 173 200 200 150 137 150 128 120 150 100 100 100 50 50 50 0 0 0 PBT PAT EBIDTA Q3 FY 22-23 Q4 FY 22-23 Q3 FY 22-23 Q4 FY 22-23 Q3 FY 22-23 Q4 FY 22-23 • EBITDA has de
Slide 23: THGL Standalone - Key Ratios
THGL Standalone - Key Ratios – FY 21-22 – vs – FY 22-23 • Long term Debt equity improved during the year. • (Long term Debt / Equity) • Total Net Debt / EBIDTA improved during the year, due to higher EBIDTA & Debt Repayments • (Total Net Debt / EBIDTA) future engage deliver 23
Slide 24: THGL Standalone - Key Ratios
THGL Standalone - Key Ratios – FY 21-22 – vs – FY 22-23 In Times • Inventory turn improved during the year (Sales /Inventory) future engage deliver 24
Slide 25: Consolidated Performance Highlights (Q4 FY21-22 vs Q4 FY22-23)
Consolidated Performance Highlights (Q4 FY21-22 - vs - Q4 FY22-23) (₹ Mn) Revenue 3,000 2,908 2,875 2,700 2,400 2,100 1,800 1,500 1,200 900 600 300 - Revenue Q4 FY 21-22 Q4 FY 22-23 • Turnover has decreased by ₹ 34 Mn or 1.15 % due to softening of demand in Overseas entity in Q4 future engage delive
Slide 26: Consolidated Performance Highlights (Q4 FY21-22 vs Q4 FY22-23)
Consolidated Performance Highlights (Q4 FY21-22 - vs - Q4 FY22-23) (₹ Mn) EBIDTA PBT PAT 400 368 341 400 400 350 350 350 300 300 300 250 250 250 200 200 200 166 140 150 150 150 112 103 100 100 100 50 50 50 0 0 0 PBT PAT EBIDTA Q4 FY 21-22 Q4 FY 22-23 Q4 FY 21-22 Q4 FY 22-23 Q4 FY 21-22 Q4 FY 22-23 •
Slide 27: Consolidated Performance Highlights (Q3 FY22-23 vs Q4 FY22-23)
Consolidated Performance Highlights (Q3 FY22-23 - vs - Q4 FY22-23) (₹ Mn) Revenue 2793 2875 2800 2400 2000 1600 1200 800 400 0 Revenue Q3 FY 22-23 Q4 FY 22-23 • Turnover has increased by ₹ 81 Mn or 2.91 %. future engage deliver 27
Slide 28: Consolidated Performance Highlights (Q3 FY22-23 vs Q4 FY22-23)
Consolidated Performance Highlights (Q3 FY22-23 - vs - Q4 FY22-23) (₹ Mn) EBIDTA PBT PAT 500 500 500 400 400 400 400 341 300 300 300 200 200 200 166 103 100 100 78 100 26 0 0 0 EBIDTA PBT PAT Q3 FY 22-23 Q4 FY 22-23 Q3 FY 22-23 Q4 FY 22-23 Q3 FY 22-23 Q4 FY 22-23 • EBITDA has decreased by ₹ 58 Mn an
Slide 29: Consolidated Performance Highlights (FY21-22 vs FY22-23)
Consolidated Performance Highlights (FY21-22 - vs - FY22-23) (₹ Mn) Revenue 14000 11772 12000 9785 10000 8000 6000 4000 2000 0 Revenue FY 21-22 FY 22-33 • Turnover has increased by ₹ 1986 Mn or 20.30 % on account of improved turnover in India & Overseas. future engage deliver 29
Slide 30: Consolidated Performance Highlights (FY21-22 vs FY22-23)
Consolidated Performance Highlights (FY21-22 - vs - FY22-23) (₹ Mn) EBIDTA PBT PAT 1493 1400 1400 1400 1200 1200 1200 1000 1000 1000 896 800 800 800 600 600 600 400 339 400 400 231 200 109 200 200 0 0 0 PBT -11 PAT EBIDTA -200 -200 -200 FY 21-22 FY 22-23 FY 21-22 FY 22-23 FY 21-22 FY 22-23 • EBITDA
Slide 31: Financials Summary – THGL Consolidated
Financials Summary – THGL Consolidated (FY21-22 - vs - FY22-23) (₹ Mn) Growth Growth % Key Metrics FY 2021-22 FY 2022-23 (YOY) (YOY) Total Revenue 9,785 11,772 1,986 20.30% EBIDTA 896 1,493 596 66.50% EBIDTA% 9.16% 12.68% Interest Cost 264 332 67 Depreciation 523 822 299 PBT 109 339 230 211.10% PBT%
Slide 32: THGL Consolidated - Key Ratios
THGL Consolidated - Key Ratios – FY 21-22 – vs – FY 22-23 • Long term Debt equity improved during the year. • (Long term Debt / Equity) • Total Net Debt / EBIDTA improved during the year, due to higher EBIDTA & Debt Repayments • (Total Net Debt / EBIDTA) future engage deliver 32
Slide 33: THGL Consolidated - Key Ratios
THGL Consolidated - Key Ratios – FY 21-22 – vs – FY 22-23 In Times • Inventory turn improved during the year (Sales /Inventory) future engage deliver 33
Slide 34: THGL Balance Sheet as on 31st March 2022 & 2023
THGL Balance Sheet as on 31st March 2022 & 31st March 2023 (₹ Mn) Standalone Consolidated Particulars st st st 31 March 2022 31 March 2023 31 March 2022 31st March 2023 Property, plant and equipment 2,375.34 2,236.84 5,661.65 5,088.54 Investments 1,670.97 1,671.03 122.00 122.06 Non-Current Assets 21
Slide 35: Table of Contents
Table of Contents • About THGL • Financial Update • Management Perspective future engage deliver 35
Slide 36: Commentary on Standalone Performance for FY22-23
Commentary on Standalone Performance for FY22-23 • Revenue Highlights : • Year on year revenue growth in FY 22-23 is >21% (volume growth and product mix ~ 17% and remaining on account of steel inflation and forex). • Revenue share of Two-Wheeler (TW) ~ 38%; Commercial Vehicle (CV), Agriculture and O
Slide 37: Commentary on Overseas Performance for FY22-23
Commentary on Overseas Performance for FY22-23 • The consolidated performance for FY 22-23 has improved significantly due to improvement in the Overseas operations. • Improvement achieved in our Overseas operations on account of the followings : • Internal efficiency improvements on throughput, reje
Slide 38: Thrust on EV and New Technology
Thrust on EV and New Technology 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 Te
Slide 39: FY 22-23 – New Business Wins – India Operations
FY 22-23 – New Business Wins – India Operations New Customers • New business won ~ ₹ 1,481 Mn annualized Current Customer ₹ 931 Mn New Customer ₹ 550 Mn • New business won ~ ₹ 1,481 Mn annualized EV Customers EV Business ₹ 360 Mn ICE Business ₹ 1,121 Mn Pivot on EV and new customer additions future
Slide 40: Recent Awards
Awards and Recognitions Recent Awards Manufacturing & Quality & Zero Organizational Export Excellence Supply Chain IGBC & TPM Defect Excellence • Hero Moto • SHINGO Prize • ACMA Gold • Hero Moto • Japan Corp – Silver Corp Institute of • ACMA Silver Plant • Tata Cummins • ACMA – Gold • Daimler Mainte
Slide 41: For any further details, please contact
For any further details, please contact: investor.relations@thehitechgears.com Website – www.thehitechgears.com future engage deliver 41
Slide 42: Thank you for your attention
Thank you for your attention Disclaimer: This presentation is being provided for the sole purpose of providing the recipients with background information about The Hi-Tech Gears business. This presentation, including the information contained in this disclaimer, does not constitute an offer, invitat