Valeo Se · EURONEXT:FR
Valeo — Investor Day (December 2019)
88 slides from Valeo's investor day presentation, December 2019
Slide 1: Slide 1
Slide 2: Leadership in Electrification: Driving Greener Mobility
LEADERSHIP IN ELECTRIFICATION DRIVING GREENER MOBILITY
Slide 3: Powertrain Systems business group president and CTO
XAVIER DUPONT POWERTRAIN SYSTEMS BUSINESS GROUP PRESIDENT MICHEL FORISSIER POWERTRAIN SYSTEMS CHIEF TECHNOLOGICAL OFFICER
Slide 4: Valeo Powertrain Systems
VALEO POWERTRAIN SYSTEMS 121
Slide 5: Our mission: Greener mobility
OUR MISSION GREENER MOBILITY 122
Slide 6: Electrification is a fundamental technological shift
ELECTRIFICATION IS A FUNDAMENTAL TECHNOLOGICAL SHIFT CONVENTIONAL INCREASING ELECTRIFICATION MILD HYBRID FULL HYBRID PLUG-IN HYBRID ELECTRIC On-Board 48V / HV Charger DCDC 48V 48V /HV Generator eMotor 48V 48V /HV HV Engine Full e-drive Gearbox 48V Battery 12V 48V 48V /HV 123
Slide 7: Electrification is a fundamental technological shift
ELECTRIFICATION IS A FUNDAMENTAL TECHNOLOGICAL SHIFT CONVENTIONAL INCREASING ELECTRIFICATION MILD HYBRID FULL HYBRID PLUG-IN HYBRID ELECTRIC Joint Venture with Siemens Pioneer and Leader On-Board 48V / HV In 48V Systems Charger #1 in electrical DCDC 48V 48V /HV systems today Generator eMotor 48V 48V
Slide 8: Electrification is not an option: CO2 regulation
ELECTRIFICATION IS NOT AN OPTION REASON #1 = CO2 REGULATION EU CO2 EMISSIONS REDUCTION POLICY (g/km) -27% 120 130 118 ~118 117 ACTUAL OEM CO2 -37.5% EMISSIONS 95 59 2015 2016 2017 2018 2019 2020 2025 2030 125
Slide 9: Electrification is not an option: CO2 regulation
ELECTRIFICATION IS NOT AN OPTION REASON #1 = CO2 REGULATION ICE alone cannot match CO2 targets. 2018 118 g CO2/km 103 CO2/km 2020 95 g CO2/km 91 CO2/km 2019 82 ICE 81 g CO2/km CO2/km GAP 2025 2030 59 g CO2/km Best Gasoline* Best Diesel* Best Hybrid* 126 (*) : Best performer in C-segment
Slide 10: Electrification is not an option: cities ban diesel
ELECTRIFICATION IS NOT AN OPTION REASON #2 = CITIES BAN DIESEL 2019 2020 2024 2025 2030 Oslo Oxford Paris Madrid Auckland Milano Copenhagen Roma Brussels Barcelona Quito Amsterdam Capetown Seattle Mexico Los Angeles Vancouver 127
Slide 11: Electrification is not an option: countries ban thermal engines
ELECTRIFICATION IS NOT AN OPTION REASON #3 = Countries Ban all Thermal engines 2025 2030 2040 Norway Denmark France Finland Germany 2032 Uk India Scotland Ireland Spain Israel Taiwan Netherlands Sweden 128
Slide 12: Electrification is not an option: diesel decline
ELECTRIFICATION IS NOT AN OPTION REASON #4 = DIESEL DECLINE % OF DIESEL TAKE RATE IN EUROPE 52% 50% 45% 37% 32% 2015 2016 2017 2018 09 2019 YTD 129
Slide 13: Electrification is not an option: China
ELECTRIFICATION IS NOT AN OPTION REASON #5 = CHINA NEV Minimum Market Share 40% 20% 2.5% 3% 2019 2020 2025 2030 130
Slide 14: Electrification is not an option: a new user experience
ELECTRIFICATION IS NOT AN OPTION REASON #6 = A NEW USER EXPERIENCE ZERO EMISSIONS LUDICROUS NO NOISE … AND MOREOVER (No CO2 ,CO, NO3, HC, ACCELERATION NO VIBRATIONS COOL DRIVING particulates…) 131
Slide 15: Electrification is not an option: electric car offer taking off
ELECTRIFICATION IS NOT AN OPTION REASON #7 = ELECTRIC CAR OFFER IS TAKING OFF … NOW 300 250 200 CUMULATED NUMBER OF NEW ELECTRIC CAR SILHOUETTES 150 100 50 0 2019 2020 2021 2022 2023 2024 2025 132
Slide 16: Electrification: Growth is there
ELECTRIFICATION GROWTH IS THERE 133
Slide 17: Growth for both 48V and high voltage solutions
ELECTRIFICATION: GROWTH IS THERE FOR BOTH 48V AND HIGH VOLTAGE SOLUTIONS 45% 74% 74% 45% 16% 16% 23% 22% 40% 7% 9% 34% 84% 55% 26% 2020 2025 2030 48V ELECTRIFICATION* * Incl. 48V and 12V+12V HIGH VOLTAGE ELECTRIFICATION** ** Incl. HV BEV, PHEV, FCEV & FHEV 134 Passenger Car & Light Commercial vehicl
Slide 18: Smart mobility is going all-electric
ELECTRIFICATION: GROWTH IS THERE SMART MOBILITY €44Bn IS GOING e-Bike ALL-ELECTRIC 3-Wheeler 4-Wheeler Droid e-Truck e-Scooter €12Bn e-Bus 2018 2030 Smart e-Mobility Market 135
Slide 19: Electrification market of €131Bn in 2030
ELECTRIFICATION: GROWTH IS THERE SMART e-MOBILITY (Mainly 48V) 2030 ELECTRIFICATION MARKET* 44 €131Bn 48V 15 2030 72 HIGH VOLTAGE * Valeo addressable market, excluding batteries 136
Slide 20: 48V electrification: growth is there
48V ELECTRIFICATION: GROWTH IS THERE 2030 48V ELECTRIFICATION X2 MARKET MAX Content per car €15Bn €7.5Bn ORDER INTAKE 137
Slide 21: We invented and pioneered the 48V electric market
WE HAVE INVENTED AND PIONEERED THE 48V ELECTRIC MARKET 12 V / 48 V Converter Integrated Electronics E-Machine 138
Slide 22: We have built 48V technological platforms
WE HAVE BUILT 48V TECHNOLOGICAL PLATFORMS 139
Slide 23: 48V e-machine platform
48V e-MACHINE PLATFORM >300 000 >40% Key enabler Machines shipped Market Share in 2022 For CO2 reduction 140
Slide 24: 48V e-machine: a complex electronic system
48V e-MACHINE A COMPLEX ELECTRONIC SYSTEM ON-BOARD DIAGNOSIS CYBERSECURITY SIMPLE GENERATOR SAFETY SIMPLE REGULATOR POWER ELECTRONICS EMBEDDED SOFTWARE NO SOFTWARE ALGORITHMS 600 000 LINES OF CODE 141
Slide 25: Next generations are based on the same platform
NEXT GENERATIONS ARE BASED ON THE SAME PLATFORM Starter Generator Electric motor Full Electric rear axle 4-12 kW 15 kW 25 kW 142
Slide 26: 48V DC/DC platform
48V DC/DC PLATFORM 10 000 000 units 50% All 48V cars Already booked Market Share in China Need one 143
Slide 27: Valeo 48V inside 60 vehicles
48V ELECTRIFICATION: GROWTH IS THERE 2020 - 2022 Valeo 48V inside 60 vehicles 144
Slide 28: 48V electrification: sales growth
48V ELECTRIFICATION: GROWTH IS THERE 1.1 CAGR Valeo Sales in Billions € 59% >40% Market Share in 2022 0.2 2019* 2022 145 *Estimated 2019.
Slide 29: We leverage our technological platforms with new value spaces
WE HAVE BUILT SUCCESSFUL TECHNOLOGICAL PLATFORMS WE LEVERAGE OUR TECHNOLOGICAL PLATFORMS WITH NEW VALUE SPACES 146
Slide 30: Smart e-mobility is more than cars
SMART e-MOBILITY IS MORE THAN CARS 147
Slide 31: Smart e-mobility based on 48V platform
SMART e-MOBILITY BASED ON 48V PLATFORM Same 48V e-motor 148
Slide 32: Smart e-mobility: growth is there
SMART e-MOBILITY: GROWTH IS THERE 2030 SMART e-MOBILITY 1.000€ MAX MARKET Content per €44Bn vehicle ALREADY SEVERAL AWARDS 149
Slide 33: We are already entering smart e-mobility market
WE ARE ALREADY ENTERING SMART e-MOBILITY MARKET European Indian European OEM OEM OEM SOP SOP SOP Q1 2020 Q2 2020 Q3 2020 Expected in 2021 150
Slide 34: High voltage electrification: growth is there
HIGH VOLTAGE ELECTRIFICATION: GROWTH IS THERE 2030 HV ELECTRIFICATION MARKET X9 MAX €72Bn Content per car €11Bn ORDER INTAKE 151
Slide 35: Valeo Siemens eAutomotive has built high voltage platforms
VALEO SIEMENS e-AUTOMOTIVE HAS BUILT HIGH VOLTAGE TECHNOLOGICAL PLATFORMS 152
Slide 36: A strong investment in development
A STRONG INVESTMENT IN DEVELOPMENT EMBEDDED ON BOARD DIAGNOSIS CYBERSECURITY PROOFED Best products ISO 26262 on the market FUNCTIONAL SAFETY HIGH POWER More than ELECTRONICS 2000 engineers A FULL SOFTWARE LIBRARY Unique ALGORITHMS 2017 2020 test equipment 1 000 000 LINES OF CODE Development EXTENSI
Slide 37: High voltage inverter platform
HIGH VOLTAGE INVERTER PLATFORM €4.4Bn 51% The BRAIN Order Intake Sales CAGR 18-24 Of the electric car 154
Slide 38: High voltage on-board charger platform
HIGH VOLTAGE ON-BOARD CHARGER PLATFORM 9 customers 3 to 22 kW Vehicle-to-Grid already trust us Charging Power For 2022 155
Slide 39: High voltage e-drive platform
HIGH VOLTAGE e-DRIVE PLATFORM 60 to 340 kW Full propulsion system Up to 4 000€ Peak Power Motor + Inverter + Transmission Per electric car 156
Slide 40: Investment in software allows cost reduction
THE INVESTMENT IN SOFTWARE ALLOWS COST REDUCTION GROSS R&D EXPENDITURE 100 1ST PROJECT BASE 100 75 50 > 70% re-use for new programs 25 CUSTOMER PROJECT 1 2 3 4 5 AFTER SOP AFTER SOP AFTER SOP SOP 2020 SOP 2020 1 000 000 > 1 000 Fully configurable Lines of Code Software engineers Software architectur
Slide 41: Unique test and validation capabilities
UNIQUE TEST AND VALIDATION CAPABILITIES 154 250 Zero Defect Test beds in parallel Vehicles in test On functional tests Including Summer and Winter tests 158
Slide 42: High voltage electrification: growth is there
HIGH VOLTAGE ELECTRIFICATION: GROWTH IS THERE > 2 Bn€ in 2024 CAGR VSeA Sales > 1.4 in Billions € 67% We are outperforming the market by a factor of 3 CAGR Market 0.3 18% 2019 2022 159
Slide 43: Valeo-Siemens is accelerating
VALEO-SIEMENS IS ACCELERATING DS7 Crossback e-tense Renault Master ZE Peugeot 3008 BMW 5.30e Opel GrandLand X Launches on 90 vehicles BMW 3.30e LEV TX5 BAIC C10 up to 2022 Tata Nexon Smart For2 GAC Trumpchi GE3 eGO Life VW ID3 Renault Clio Smart For4 BAIC EU400 Volvo XC60 Land Rover Discovery Renaul
Slide 44: Valeo-Siemens success is already visible today
VALEO-SIEMENS SUCCESS IS ALREADY VISIBLE TODAY OUTSIDE New Smart Sales in Billions € Volvo S90 Land Rover Defender New Smart Renault New VW iD3 Master New Renault ZOE New DS7 E-TENSE 161 BMW 330e
Slide 45: We have created a leader in electrification
WE HAVE CREATED A LEADER IN ELECTRIFICATION €18Bn €13Bn Order Intake to date < €5Bn < €5Bn Source: Public announcement & Valeo estimates 1 of every 3 69% new car worldwide has Sales CAGR a Valeo electric machine 2018-2022 162
Slide 46: Slide 46
Slide 47: Leadership in ADAS: Driving safer and smarter mobility
LEADERSHIP IN ADAS DRIVING SAFER AND SMARTER MOBILITY
Slide 48: Comfort & Driving Assistance Systems president and CTO
MARC VRECKO COMFORT & DRIVING ASSISTANCE SYSTEMS BUSINESS GROUP PRESIDENT JOACHIM MATHES COMFORT & DRIVING ASSISTANCE SYSTEMS CHIEF TECHNOLOGICAL OFFICER
Slide 49: Our mission: Safer & smarter mobility
OUR MISSION SAFER & SMARTER MOBILITY 166
Slide 50: Towards a safer mobility
TOWARDS A SAFER MOBILITY 1.35 million people die in traffic accidents every year, as if an Airbus A320 with 150 people on board was crashing every hour of every day, every month in the year J. KRAFCIK (Waymo CEO) 167
Slide 51: ADAS & AD: what do we mean?
ADAS & AD WHAT DO WE MEAN? 168
Slide 52: Safer mobility will be driving ADAS market growth
SAFER MOBILITY WILL BE DRIVING ADAS MARKET GROWTH DRIVERLESS AUTOMATED DRIVING DRIVER SUPPORT ACTIVE SAFETY 169
Slide 53: SAE J3016 levels of driving automation
SAE J3016 LEVELS OF DRIVING AUTOMATION TM ADAS AD LEVEL 0 LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 LEVEL 5 You are driving You are not driving Driver is whenever these driver support features when these automated driving Liability passes responsible to OEM are engaged –even if you feet are off the pedals and
Slide 54: Safer mobility will be driving ADAS market growth
SAFER MOBILITY WILL BE DRIVING ADAS MARKET GROWTH Driverless These are driver support features These are automated driving features LEVEL 0 LEVEL 1 LEVEL 2 LEVEL 2+ LEVEL 3 LEVEL 4 THERMAL IMAGING Main AD hurdles: LIDAR LIDAR LIDAR RADAR RADAR RADAR RADAR Regulatory CAMERA CAMERA CAMERA CAMERA CAMER
Slide 55: China can act as the catalyst for automation
NEW VALUE SPACES - CHINA CAN ACT AS THE CATALYST FOR AUTOMATION Established players in the western hemisphere... [&] ... agile ecosystem / favourable government Favorable Regulations Opportunities Massive data collection Megacities boost demand for local innovation Mobility and Delivery Platforms Go
Slide 56: ADAS & AD: Growth is there
ADAS & AD GROWTH IS THERE 173
Slide 57: Three main drivers
THREE MAIN DRIVERS Regulators are pushing Consumers want it Technology gets ready 174
Slide 58: Regulation drives active safety towards standard fitment
REGULATION DRIVES ACTIVE SAFETY TOWARDS STANDARD FITMENT Regulators are pushing 175
Slide 59: Take rates for ADAS systems continue to increase
TAKE RATES FOR ADAS SYSTEMS CONTINUE TO INCREASE 100% Lane Departure Warning 75% Regulators are pushing. Lane Keeping Assist AEB Inter-Urban 50% Adaptive Cruise Control Consumers want it 25% Automated Driving Systems Regulators are pushing 0% 2018 2020 2022 2024 Source: Advanced Driver Assistance Sy
Slide 60: OEMs make ADAS & AD a backbone in vehicle architecture
OEMS MAKE ADAS & AD A BACKBONE IN VEHICLE ARCHITECTURE Connectivity Technology gets ready Interior Cocoon Consumers want it Regulators are pushing Exterior Cocoon 177
Slide 61: Higher autonomy level, higher content for Valeo
THE HIGHER AUTONOMY LEVEL, THE MORE FUNCTIONS, THE HIGHER CONTENT FOR VALEO Valeo content Premium [in 2025] L4 L2 L3 2 500 € 13 Park4U Garage Beyond NCAP Auto Lane Change 3 48 Park4U Home Emergency Evasion Stop on Hard Shoulder 25 7 AVP ready (mapped area) VoyageXR ready Mainstream L2 ‒ L2 600€ 7 36
Slide 62: A fast growing market
A FAST GROWING MARKET Park Assist only Driverless 3-star NCAP Driverless Level 3 Park Assist only 5-star NCAP Level 2+ Park Assist only Level 2+ 3-star NCAP Level 2 Level 4 3-star NCAP 10-12 bn€ 15-20 bn€ 35-40 bn€ Level 2 5-star NCAP Level 3 Level 2 5-star NCAP Level 2+ 2019 2022 2030 179
Slide 63: We have built successful technological platforms
WE HAVE BUILT SUCCESSFUL TECHNOLOGICAL PLATFORMS 180
Slide 64: Broadest sensor portfolio for exterior and interior cocoons
THE BROADEST SENSOR PORTFOLIO ON THE MARKET FOR EXTERIOR AND INTERIOR COCOONS INTERIOR COCOON Driver and cabin monitoring EXTERIOR COCOON Perception and Situational Awareness 181
Slide 65: Ultrasonic platform
ULTRASONIC PLATFORM >170mio >1.1 bn A.I. ready sensors in 2019 sensors since 1990 new generation in 2021 182
Slide 66: Artificial intelligence is powering Valeo's perception systems
ARTIFICIAL INTELLIGENCE IS POWERING VALEO’S PERCEPTION SYSTEMS A global network A dedicated team of researchers of 200+ AI Experts 183
Slide 67: Surround view camera platform
SURROUND VIEW CAMERA PLATFORM 35% XtraVue Trailer 12% market share in 2019 system launched in 2019 camera CAGR 2019-2022 184
Slide 68: Front camera platform
FRONT CAMERA PLATFORM >€4bn 50 World’s 1 st order intake since 2017 model launches in 2019/2020 Stand-alone SAE Level 2 in 2019 185
Slide 69: Valeo's smart front camera Level 2 ADAS system
VALEO’S SMART FRONT CAMERA LEVEL 2 ADAS SYSTEM Honda’s Fit abolishes millimeter-wave radar, changed from Bosch to Valeo Nikkei Automotive Technology 2019, October 1st Computer Vision Adaptive Cruise Control Host Computer Camera Vehicle Lane Centering System Steering/Braking Frontend Peripherals Comm
Slide 70: Driver monitoring platform
DRIVER MONITORING PLATFORM World’s 1st World’s 1st Selfie A-pillar Emotion Function Driver Monitoring System Detection System for 2021 SOP 187
Slide 71: Lidar SCALA platform
LIDAR SCALA® PLATFORM >100 000 €500mio Key enabler Valeo SCALA® shipped order intake for safe automated driving 188
Slide 72: Lidar is a key enabler for safe automated driving
LIDAR IS A KEY ENABLER FOR SAFE AUTOMATED DRIVING overhead objects Valeo SCALA ® road debris can detect road markings offset static objects
Slide 73: Scalable software system
ADAS & AD SCALABLE SOFTWARE SYSTEM 190
Slide 74: We are a full system supplier
WE ARE A FULL SYSTEM SUPPLIER From architecture, design to validation and manufacturing DRIVERLESS AUTOMATED DRIVING Scalable System Automated Driving Scalable System Automated Parking DRIVER SUPPORT ACTIVE SAFETY Full NCAP Roadmap Compliance solutions 191
Slide 75: Scalable ADAS software system
SCALABLE ADAS SOFTWARE SYSTEM AUTOMATED AUTOMATED PARKING SYSTEM DRIVING SYSTEM 100mio 70 3 500+ lines of code in validated re-configurable SW developers System and Software software modules worldwide library 192
Slide 76: Key assets in system validation
WE HAVE DEVELOPED KEY ASSETS IN SYSTEM VALIDATION 193
Slide 77: Key assets in system validation
WE HAVE DEVELOPED KEY ASSETS IN SYSTEM VALIDATION AUTOMATION DATA MANAGEMENT AI-based labeling Big data storage and archiving Automatic KPI generation GDPR / China compliance VIRTUALIZATION SIL strategy STANDARDIZATION (Software In the Loop) Modular Tool Chain Simulation of sensors and systems and R
Slide 78: Key assets in system validation
WE HAVE DEVELOPED KEY ASSETS IN SYSTEM VALIDATION Deterministic Statistical Reprocessing Virtual World testing testing of recorded data testing test track scenarios worldwide campaigns in SIL/HIL environment in simulation environment 12 6 >100 Petabyte Recorded Data Vehicle Test Tracks Test vehicles
Slide 79: Key assets in system validation: data management
WE HAVE DEVELOPED KEY ASSETS IN SYSTEM VALIDATION Data Archiving Automated KPI KPI extraction Analysis >40% Ground Truth Extraction HiL Replay cost reduction 80% SiL in 2022 Tool chain Standardization Data Synthetic Data >70% in 2020 Acquisition Creation DATA MANAGEMENT SYSTEM 196
Slide 80: We leverage our technological platforms with new value spaces
WE HAVE BUILT SUCCESSFUL TECHNOLOGICAL PLATFORMS WE LEVERAGE OUR TECHNOLOGICAL PLATFORMS WITH NEW VALUE SPACES 197
Slide 81: We are a key partner to new mobility players
WE ARE A KEY PARTNER TO NEW MOBILITY PLAYERS PERCEPTION: FULL SENSOR PORTFOLIO INTEGRATION, DRIVERLESS CLEANING AND PERCEPTION ALGORITHMS FUNCTIONS: MAPPING AND LOCALIZATION AUTOMATED DRIVING TELEOPERATION DRIVER SUPPORT ACTIVE SAFETY 198
Slide 82: Ensuring availability of service through automotive grade quality
WE ARE A KEY PARTNER TO NEW MOBILITY PLAYERS ENSURING AVAILABILITY OF SERVICE THROUGH AUTOMOTIVE GRADE QUALITY 199
Slide 83: Smart mobility is more than cars
SMART MOBILITY IS MORE THAN CARS 200
Slide 84: 30 years of successful innovation
30 YEARS OF SUCCESSFUL INNOVATION Rain-Light-Humidity Sensor 2009 Multi-function Front Camera 2015 Laser Scanner w/ increased vFoV 2020 Multi-beam Automotive-grade Radar 3D Laser Scanner 2006 Cross Traffic Alert 2017 2009 Front Camera Mirror-integrated 3D Surround View w/ 100° lens Camera design Rai
Slide 85: The leader in ADAS & AD
THE LEADER IN ADAS & AD >€11bn 18% ~€3.2bn order intake CAGR Sales in 2017-2019 2019-2022 2022 202
Slide 86: It is just the beginning
IT IS JUST THE BEGINNING 203
Slide 87: Safe harbor statement
SAFE HARBOR STATEMENT Statements contained in this document, which are not historical fact, constitute “forward-looking statements”. These statements include projections and estimates and their underlying assumptions, statements regarding projects, objectives, intentions and expectations with respec
Slide 88: Slide 88