Schaeffler India Ltd · NSE:SCHAEFFLER
Schaeffler India — Q2 2022 Earnings Presentation
20 slides from Schaeffler India's earnings presentation, Jul 27, 2022
Slide 1: Investor Presentation – Q2 and 6M 2022
Picture to be updated Schaeffler India Limited Investor Presentation – Q2 and 6M 2022 July 27, 2022 PUBLIC
Slide 2: Agenda
Agenda 1 Economy & Industry 2 2 Business Highlights Q2 and 6M 2022 6 3 Financial Highlights Q2 and 6M 2022 10 4 ESG at Schaeffler India 15 Schaeffler India Limited | Q2 and 6M 2022 Investor Presentation PUBLIC
Slide 3: Economy | Rising inflation slows growth, outlook remains positive
1 2 Economy & Industry Market Economy | Rising inflation slows growth, outlook remains positive 2020 2021 YTD CY2022 Growth GDP 1) 3) IIP 1) 3) 5.9% • For CY2021, GDP is expected to grow by 20.1 44.4 8.3% • Moderate growth in industrial sector; YTD CY 2022 growth of 5.9% in mining, 5.4% 8.4 in manuf
Slide 4: Core sector performance | Moderate growth
1 Economy & Industry Core sector performance | Moderate growth 2020 2021 YTD CY2022 Growth Key comments Cement Production (mn T) 11.6% Steel Production (mn T) 6.1% Overall core sector index performance for CY22 is 8.2% compared to the 38 previous year 34 32 12 32 32 11 11 10 10 31 35 30 30 30 31 32
Slide 5: Automotive sector performance | Seeing recovery, PVs picking up
1 Economy & Industry Automotive sector performance | Seeing recovery, PVs picking up 2020 2021 YTD CY2022 Growth Two and three wheelers (mn Units) 1) 1.7% Passenger Vehicles (Th Units) 2) 15.1% • Low growth in two wheelers due to 351 353 349 367 sluggish rural demand, higher prices 373 338 1.7 1.8 1
Slide 6: Agenda
Agenda 1 Economy & Industry 2 2 Business Highlights Q2 and 6M 2022 6 3 Financial Highlights Q2 and 6M 2022 10 4 ESG at Schaeffler India 15 Schaeffler India Limited | Q2 and 6M 2022 Investor Presentation PUBLIC
Slide 7: Q2 2022 | Continuing the positive trajectory
2 Business Q4 / 12MHighlights Q2 and 6M 2022 2021 Performance Q2 2022 | Continuing the positive trajectory Key Messages Sales growth EBIT 1) margin Strong sales development across businesses due to our diversified portfolio 41.8% vs Q2’21 15.7% Q2’22 Continued wins in both Automotive and Industrial
Slide 8: Q2 Business developments | Key business wins
2 Business Q4 / 12MHighlights Q2 and 6M 2022 2021 Performance Q2 Business developments | Key business wins Automotive Technologies Automotive Aftermarket Industrial Reliability and emission reduction Increased market coverage Precision and Efficiency 1 1 Product diversification continues, New win fo
Slide 9: Sale of chain drive business: carve-out rationale and transaction details
2 Business Highlights Q2 and 6M 2022 Textboxes Executed Business Transfer Agreement for the sale of chain drive business Chain Drive System Carve-out rationale Chain drive business • Strategic global divestment with transaction details focus on technology shift in Automotive Technologies division 1,
Slide 10: Agenda
Agenda 1 Economy & Industry 2 2 Business Highlights Q2 and 6M 2022 6 3 Financial Highlights Q2 and 6M 2022 10 4 ESG at Schaeffler India 15 Schaeffler India Limited | Q2 and 6M 2022 Investor Presentation PUBLIC
Slide 11: Revenue from operations | Robust performance
3 Financial Highlights Q2 and 6M 2022 Revenue from operations | Robust performance Total revenue 2021 2022 Key aspects mn INR 17,488 • Revenue uptick across all divisions 15,675 14,876 15,232 Q2 2022 vs Q2 2022 vs H2 2022 vs 13,168 12,329 Growth Q1 2022 Q2 2021 H1 2021 Automotive Technologies 11.5%
Slide 12: Earnings Quality | Sustained
3 2 Financial Highlights Q2 and 6M 2022 Q1 2022 Highlights Earnings Quality | Sustained EBIT1) %Margin 2021 2022 Key aspects mn INR 2,602 2,741 2,451 2,216 • Margins remain consistent for the quarter, despite input cost pressure 1,806 1,708 1,604 • Volume gains and sustained countermeasures helped a
Slide 13: Working capital, Capex | Delivering on our strategy
3 Financial Highlights Q2 and 6M 2022 Working capital, Capex | Delivering on our strategy Working Capital 2021 2022 Key aspects mn INR 12,526 11,413 8,713 10,101 9,869 • Working Capital marginally higher due to higher receivables 6,485 • Delivering on our capex strategy, 8.0% of sales in Q2’22 • Fre
Slide 14: Performance Indicators
3 2 Financial Q4 / 12MHighlights Q2 and 6M 2022 2021 Performance Performance Indicators Unit Q2 2022 Q1 2022 Q2 2021 6M 2022 6M 2021 12M 2021 12M 2020 Revenue mn INR 17,488 15,675 12,329 33,163 25,497 55,605 37,619 Revenue growth (YoY) % 41.8% 19.0% 180.9% 30.1% 86.5% 47.8% -13.7% Revenue growth (Qo
Slide 15: Agenda
Agenda 1 Economy & Industry 2 2 Business Highlights Q2 and 6M 2022 6 3 Financial Highlights Q2 and 6M 2022 10 4 ESG at Schaeffler India 15 Schaeffler India Limited | Q2 and 6M 2022 Investor Presentation PUBLIC
Slide 16: Climate Action Day | A step to sensitize and create climate awareness
4 ESG at Schaeffler India Climate Action Day | A step to sensitize and create climate awareness Lead & Guide Create Inspire Connect Sensitivity & Foster Commit towards 90 min workshop Global Schaeffler engagement change and impact for all SIL family – around Climate on personal employees Experience
Slide 17: Social Innovator Fellowship Program
4 ESG at Schaeffler India Social Innovator Fellowship Program | Rewarding solutions that have the potential to positively impact the society Education Health & Nutrition Renewable Energy and Environment Water Conservation Waste Management Financial aid Mentorship program, CIIE India network & partne
Slide 18: In Summary
In Summary Increased volumes and new business developments contributed to 1 the positive sales trend with record revenues Committed to sustainable 2 Volume gains and countermeasures helped deliver resilient and responsible growth, margins driven by our strong customer connect, ensuring all round 3 C
Slide 19: Thank you
Thank you Schaeffler India Limited | Q2 and 6M 2022 Investor Presentation PUBLIC
Slide 20: Disclaimer
Disclaimer The information contained in this presentation is provided by Schaeffler India Limited (“the Company”), to you solely for your reference. This document is being given solely for your information and for your use and may not be retained by you and neither this presentation nor any part the