Sona Blw Precision Forgings Ltd. · NSE:SONACOMS
Sona Blw Precision Forgings — Q3 FY25 Earnings Presentation
37 slides from Sona Blw Precision Forgings's earnings presentation, Jan 23, 2025
Slide 1: Exchange filing cover letter: Investor Presentation for quarter and nine months ended 31 December 2024
Date: - 23rd January, 2025 BSE Ltd. National Stock Exchange of India Ltd. Regd. Office: Floor - 25, Listing Dept., Exchange Plaza, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (East), Dalal Street, Mumbai-400 001. Mumbai - 400 051 BSE Scrip Code: 543300 NSE Scrip: SONACOMS Subject: Invest
Slide 2: Q3 & 9M FY25 Earnings Presentation
Q3 & 9M FY25 Earnings Presentation 23 January 2025
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sona BLW Precision Forgings Ltd. (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for a
Slide 4: Our Management
Our Management Mr. V. Vikram Verma Mr. Sat Mohan Gupta CEO, Driveline Business CEO, Motor Business Mr. Praveen Mr. Rohit Nanda Chakrapani Rao Group CFO Group CTO Mr. Vivek Vikram Singh Mr. Amit Mishra MD & Group CEO Head, Investor Relations 3
Slide 5: Business Performance Highlights
Business Performance Highlights Complete Drivetrain of an Electric Vehicle
Slide 6: Q3 FY25 Financial Performance Highlights
Q3 FY25 Financial Performance Highlights 8,680 mn | 12% 2,342 mn | 3% 1,512 mn | 14% Revenue | YoY Growth EBITDA | YoY Growth PAT1 | YoY Growth 27.0% EBITDA Margin 17.4% PAT Margin2 3,291 mn | 48% 39% BEV Revenue | YoY Growth Q3 FY25 Product Revenue Share from BEV Notes: 1. PAT includes an impact of
Slide 7: 9M FY25 Financial Performance Highlights
9M FY25 Financial Performance Highlights 26,861 mn | 17% 7,403 mn | 13% 4,371 mn | 19% Revenue | YoY Growth EBITDA | YoY Growth PAT1 | YoY Growth 27.6% EBITDA Margin 16.2% PAT Margin2 CY23 CY24 CY23 CY24 8.1% 8.8% 4.2% 4.4% Global Market Share Global Market Share of Differential Gears3 of Starter Mo
Slide 8: Update on our Strategic Priorities
Update on our Strategic Priorities Tool and Die Shop in our Gurgaon Plant
Slide 9: Update on our Strategic Priorities
Update on our Strategic Priorities Electrification Global Market Diversification Technology Significance 8
Slide 10: Sizeable and Increasing Presence in EVs
Sizeable and Increasing Presence in EVs 36% 9,291 mn 52% 9M FY25 Product Revenue 9M FY25 BEV segment 9M FY25 BEV revenue Share from BEV revenue YoY growth 56 57 +1 (13+14+29)1 (15+14+28)1 EV Programs1 awarded across EV Programs1 awarded across 32 customers as at the end of 32 customers as at the end
Slide 11: ₹3,000 mn new differential assembly program win
We have won another program for differential assembly for electric passenger vehicles for the Indian market For Electric Differential Assembly Passenger Vehicles Existing Customer ₹ 3,000 mn addition in our orderbook Indian OEM of PVs, CVs, OHVs, and EVs Q2 FY27 Start of Production 10
Slide 12: Our Strategic Priorities
Our Strategic Priorities Electrification Global Market Diversification Technology Significance 11
Slide 13: Net order book stands at ₹232 billion
Our net order book1 stands at ₹232 billion (7.3x FY24 revenue) 231 bn 6 bn Orders consumed from 7 bn 232 bn Orderbook at the end of Orders added for Orderbook at the end of matured and ramp-up Q2 FY25 programs won in Q3 FY25 Q3 FY25 programs during Q3 FY25 Non-EV EV Rs. 176 Billion (76%) Rs. 56 Bill
Slide 14: Our Strategic Priorities
Our Strategic Priorities Electrification Global Market Diversification Technology Significance 13
Slide 15: Diversified Product Revenue Mix – By Powertrain
Diversified Product Revenue Mix – By Powertrain Battery EV increasing as 36% of our revenue continues to be our dominant and secular theme Our pure ICE dependence continues to reduce steadily going from 18% in FY22 to 9% in 9M FY25 FY22 FY23 FY24 9M FY25 25% 26% 29% 36% 26% 21% 24% 20% 31% 38% 37% 3
Slide 16: Diversified Revenue Mix
Diversified Revenue Mix By Geography By Product By Market segment 5% 1% 3% 5% 1% 1% FY24 9M FY25 24% PV 10% 26% 40% 70% 72% FY24 FY24 CV 14% 10% 32% 24% 28% E2W/E3W 2% 0.2% 6% 0.4% 8% 5% 8% 3% 43% 28% 23% 9% Non-Automotive 9M 9M 10% 8% FY25 FY25 Semiconductors 30% 20% & Embedded SW 28% 1.0% 1.5% 15
Slide 17: Our Strategic Priorities
Our Strategic Priorities Electrification Global Market Diversification Technology Significance 16
Slide 18: Board approved $4 million investment in ClearMotion
Our board has approved $4 million investment in ClearMotion’s current fundraising round Our Rationale for Investment 1. Differentiated Technology ClearMotion’s active suspension technology controlled by our BLDC motor-controller- based actuator has 5x lower latency compared to the other existing alt
Slide 19: Q3 product commercialized and two new future products added to technology roadmap
In Q3 we commercialized one product and added two new future products to our technology roadmap Connected Zone Monitoring Intelligent Sensors 360˚ Short-range Radar Sensors Electric HV e-Axle Robotics/EVTOL Gearbox 4 LSD EDL Spool/Epicyclic Gears Reduction In-cabin Sensors Non-ferrous Drive Unit 4 P
Slide 20: Breakthrough in short-range radar sensors with 180-degree field of view
With 180-degree field of view, we have made a breakthrough in short-range radar sensors Single Sensor for Park Assist and More 180-degree view Radar Sensor vs. Ultrasonic Sensor • Replaces 4 ultrasonic sensors for park assist with a single hardware; hides behind bumper for better aesthetics than dri
Slide 21: Q3 & 9M FY25 Financial Update
Q3 & 9M FY25 Financial Update Cross Sectional View of Hub Type EV Traction Motor
Slide 22: Q3 FY25 Financials
Q3 FY25 Financials Revenue (Rs. mn)1 EBITDA (Rs. mn) EBITDA Margin (%) PAT (Rs. mn) PAT Margin (%)2 BEV YoY: 3% YoY: 3% YoY: 12% YoY: 14% YoY: 17% 1,512 1,601 8,680 2,273 2,342 2,331 2,404 1,327 1,371 7,766 29.3% 30.0% 27.7% 27.0% 17.2% 17.4% 17.8% 18.4% 3,291 2,219 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 Q
Slide 23: 9M FY25 Financials
9M FY25 Financials Revenue (Rs. mn)1 EBITDA (Rs. mn) EBITDA Margin (%) PAT (Rs. mn) PAT Margin (%)2 BEV YoY: 13% YoY: 15% YoY: 17% YoY: 19% YoY: 23% 7,403 7,630 4,666 4,371 26,861 6,540 6,606 3,801 3,686 22,995 28.4% 27.6% 28.7% 28.4% 16.1% 16.2% 16.6% 17.3% 6,133 9,291 9M FY24 9M FY25 9M FY24 9M FY
Slide 24: Key Ratios
Key Ratios VA/Employee cost RoCE (%) RoE (%) 6.4 6.2 5.7 5.8 5.2 36.1% 32.4% 34.6% 36.3% 30.4% 31.0% 26.6% 28.5% 19.7% 17.6% Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Net Debt to EBITDA Working Capital Turnover Fixed Asset Turnover 5.1 5
Slide 25: Q&A
Q&A
Slide 26: Appendix
Appendix Our Stall at Bharat Mobility Global Expo 2024
Slide 27: Our story so far…
Our story so far… Phase - 1 Phase - 2 Phase - 3 Phase - 4 • 18 Customers • 22 Customers • Acquisition of Comstar • Became publicly listed • 2 Plants • 2 Plants • 47 Customers (37+10) • 74 customers • 1 Product • 2 Products • 9 Plants (5+4) • 11 plants • 10 Products (5+5) • 21 products Revenue in INR
Slide 28: One Vision
One Vision To become one of the World’s most Respected and Valuable Mobility Technology companies for our Customers, Employees & Shareholders. 27
Slide 29: Guided by Values
Guided by Values 35.4% Agility Growth 5-year Revenue CAGR 27.1% Vitality Margins Integrity 5-year Avg. EBITDA >25% Returns Frugality ROE Each Year (FY20-FY24) 28
Slide 30: Established Global Presence to Serve Customers Locally
Established Global Presence to Serve Customers Locally USA Location Capacity3 Germany China Location Capacity3 Tecumseh, MI 1 mn starter motors Belgium Cologne Hangzhou - Ypsilanti, MI Genk 7 of the world’s top 10 PV OEMs1a Serbia Belgrade 3 of the world’s top 10 CV OEMs1b Novi Sad Mexico Location C
Slide 31: Revenue share from BEV has grown 18x over 5 years
Revenue share from BEV has grown 18x over 5 years, with absolute BEV revenue growth at 53x Revenue from BEV (%) BEV Segment Revenue (Rs. mn) 18x 53x 12,388 9MFY25 Annualized 8,859 29% 36% 6,707 25% 26% 5,042 14% 9,291 9MFY25 2,057 2.0% 234 FY20 FY21 FY22 FY23 FY24 9M FY25 FY20 FY21 FY22 FY23 FY24 FY
Slide 32: 57 EV programs across 32 different customers
57 EV programs across 321 different customers No. of North America Europe2 Asia programs customers 7 Customers 4 Customers 6 Customers 5 13 3 3 2 4 28 10 3 3 8 8 18 5 1 3 2 1 18 6 3 3 13 10 1 1 1 1 - - 5 26 +1 India Programs in fully ramped-up production 18 Customers Programs in ramp-up or not yet i
Slide 33: Market Shares for Differential Gears and Starter Motors
Market Shares for Differential Gears and Starter Motors Global Market Share CY19 4.5% CY20 5.0% CY21 6.3% CY22 7.2% CY23 8.1% CY24 8.8% of Differential Gears1 Global Market Share of Starter Motors1 CY19 2.5% CY20 3.0% CY21 4.6% CY22 4.1% CY23 4.2% CY24 4.4% Passenger Vehicles Commercial Vehicles Tra
Slide 34: Product Summary
Product Summary Passenger Vehicles 10 Electronically Locking Spool Gears Differential (EDL) 9 13 12 360° Short Range 15 8 In-Cabin Radar Radar Sensors* 7 Sensors 11 15 Epicyclic 6 1 Geartrain Limited Slip 4 5 2 Differential (LSD)* 3 Intermediate Gears Commercial Vehicles Steering Bevel Box* Integrat
Slide 35: Product Summary
Product Summary Off Highway Vehicles Buses 6 Differential Bevel Gears Spiral Bevel Gears 5 In-Cabin Radar Sensors 3 7 8 4 1 4 2 1 3 Portal Axle Gears 2 5 7 Traction Motor 360° Short Range Radar Sensors* Controller Light Commercial Vehicles /3-Wheeler (Cargo) Controller* Steering 360° Short Bevel Box
Slide 36: Product Summary
Product Summary Industrial Automation, Electric 2-Wheelers AGVs & Robots 1 Hub Wheel Motor Integrated Drive Motor 4 5 Robotics Gears* & Controller 1 3 360° Short Range 4 2 Radar Sensors* 6 Integrated Hub Motor & Controller* 2 Zone Monitoring Sensors* Drive Motor 3 Bot Motors* Electric 3-Wheelers 360
Slide 37: ESG Performance Highlights
ESG Performance Highlights 14.3 Low Risk Top 9% We have published our third sustainability report in Negligible Low Medium High Severe Out of 15,104 December 2023 0-10 10-20 20-30 30-40 40+ global companies ESG Risk Rating (Core) Click on the image to read the report • 10% and 15% improvement in emi
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