Endurance Technologies Ltd. · NSE:ENDURANCE
Endurance Technologies — Investor Presentation (February 2024)
31 slides from Endurance Technologies's investor presentation, Feb 8, 2024
Slide 1: Corporate Presentation 08th February 2024
Corporate Presentation 08th February 2024
Slide 2: Disclaimer
The presentation may contain, without limitation, certain statements that could be considered forward- looking. Such forward-looking statements do not guarantee future performance; and may involve risks and uncertainties that could cause actual performance or results to be materially different from
Slide 3: Company highlights and strengths
Commenced operations in 1985 (1) Largest Aluminium die-casting player in India(2) Largest 2W/3W auto-comp company in India(3) Leader in Suspension, Braking , Transmission Presence in Advanced Electronics through Maxwell Leading 4W aluminium die casting player in Europe Financial Strength: Profitabil
Slide 4: Technology Leader, Four Wheelers, Profitable Growth, EV strategy
Technology Leader Four Wheelers (4W) • Introduce high-end technologies • Reach 45% of Consolidated Turnover in FY30 for premium segment. from 27% in FY23 • Expand premium offerings to mid • Ensure continued growth of our profitable and low segment. European operations serving marquee • Ensure contin
Slide 5: Endurance Technologies Ltd. (ETL) group structure
Promoter Group - 75% Endurance Technologies Ltd. Aluminium Castings, Suspension, Public- 25% (ETL) Transmission and Braking Systems 95% Wholly Owned Maxwell Energy Systems Endurance Overseas Srl Endurance GmbH 5% Private Limited (MESPL), India (EOSrl, Turin, Italy) (Massenbachhausen, Germany) Embedd
Slide 6: Plants and R&D across India, Europe and Africa
31 plants in multiple Locations across India , Europe and Africa Pantnagar R&D 2 Facilities Sanand and Halol Massenbachhausen, Germany Plants 2 3 Test Track Aurangabad 2 4 9 Technical Pune Centre 1 3 Kolar Hammas Sousse, Tunisia 1 1 Grugliasco (1) Italy Chivasso (2) Chennai 8 Lombardore (1) 2 Cirie
Slide 7: Corporate history and milestones
Endurance Veicoli Adler IPO- public 17.5%. Endurance Maxwell, Full exit to PE. Castings SpA FY22 Frenotecnica, Newfren Partial promoter dilution FY21 FY19 FY23 FY17 EESRL FY14 OFS- Public 25%. Further promoter dilution SCPE stake acquired by Actis EOSRL Indian operations Endurance SpA FY12 consolida
Slide 8: Facility and collaboration timeline
Chennai-Casting R&D Facility: Casting Pantnagar- Casting, Suspension, Transmission B22 Pune- FY0 FY09 Casting, Machining 8 FY07 Collaboration with KTM- Inverted Front Forks, Monoshox B1/2, 1/3 Pune Casting, Machining L6/3 A’bad- Casting, Machining R&D Facility- Braking K226/2 A’bad- Braking, FY06 R&
Slide 9: Facility and collaboration timeline (continued)
L6/3 A’bad- Driveshaft A12 Pune- Alloy Wheels (Brownfield) L6/3 A’bad- K226/2 A’bad- ABS (Brownfield) Electronics SMT line E 71 A’bad- Braking FY23 FY24 FY22 R& D facility: Driveshaft Vallam- Casting Kolar- Suspension FY21 FY20 Halol- Suspension FGM Collaboration- FY19 AI. Forgings Sanand- Casting,
Slide 10: Endurance Proving Ground
T7 T8 T1 High Speed Performance Track T3 T5 T2 Ride and Evaluation Track T3 ABS and Evaluation Track T1 B1 T4 Handling Track T2 T4 T5 Gradient Track T6 Steering pad T6 T7 Mud, Water trough and Dust Tunnel T8 Country Track B1 Admin Building, Control Tower & Workshop EPG enables us to test our product
Slide 11: QCDDM focus leading to customer satisfaction
Structured product development to get "first time right" products Develop Focus on developing Facilities (including Proving innovative, lean and cost ground) for material, competitive designs to component, product and maintain a technological edge Testing & Design vehicle level testing across produc
Slide 12: Legacy, recently added and future products
FUTURE RECENTLY ADDED PRODUCTS PRODUCTS LEGACY PRODUCTS Electronic Suspension for 200cc+ motorcycles 2W ABS Modulator Aluminium Die-castings Embedded Electronic products 2W Aluminium 2W - 2 & 3 Pot Brake BMS Caliper Assembly 3W Driveshaft Alloy Wheels APTC (Assist & Slip) Transmission for 200cc+ mot
Slide 13: Products supplied to 2W/3W/4W OEMs
Endurance supplies a diverse range of technology-intensive products to 2W / 3W / 4W OEMs 2 3 Front Forks WHEELERS WHEELERS Master Cylinder Clutch Cylinder Cylinder Hydraulic Shock Drum Brake Drum Brake Cylinder Head Block Absorbers Assembly Head Shock Absorbers Clutch Tandem Master Drive Shaft ABS A
Slide 14: Castings in OEM light-weighting and Hybrid/EV plans
Endurance is a Tier 1 Supplier for multiple technology intensive products to 4W OEMs STRUCTURAL AND BODY PARTS ENGINE PARTS Steel Wheel Hub Head Axle Cam Carrier Specialty Plastic Cover Exhaust Manifold Cross Member Steering Housing EGR Plastic Pipe Oil Pan Various Brackets EV PARTS TRANSMISSION PAR
Slide 15: Brake, transmission and friction parts for aftermarket
Endurance is building a strong presence in technology intensive products for 2W, particularly for the Aftermarket BRAKE SYSTEM PARTS TRANSMISSION & FRICTION PARTS Brake Discs Drum Clutch, Gear and Friction Plates Gear Brake Pads Steering Housing Clutch Actuator Torque Limiter 15
Slide 16: Product line exposure to ICE, BEV and Hybrid
In India, based on current indications, it is believed that EV penetration in scooters and 3W would be ~75% by 2030 and much lower in motorcycles, at around 10-15%. In Europe, the transition to EV in high-end vehicles, and to Hybrid in mass segment is seen as fast-paced. % of Consol Product Line Sal
Slide 17: Market share in India and Europe
52% India 41% 36% 34% Market share based on internal estimates of 2W market size in India 15% (for our product categories) and quantity of parts sold in ETL in FY23 Front Fork Rear Shox Disc Brake Brake Discs Clutches Systems(1) (1) (2) (1) Percentage calculated on estimated 2W production in India,
Slide 18: Business transformation between 2013 and 2023
Endurance has consistently outperformed growth in the broader industry by successfully expanding its customer base, focus on R&D, ability to manage costs and reducing new product development time. India Production (‘000s) Motorcycles Scooter Moped 2W Industry 3W Industry FY13 11,926 3,027 792 15,744
Slide 19: Revenue, EBITDA, PAT and ratios FY16-FY23
PAT and PAT Margin(2) (Before Minority Interest) Total Revenue (INR mn) EBITDA and EBITDA Margin (INR mn / %) (INR mn / %) CAGR FY16-23: 7.7% 13.5% 14.0% 14.9% 15.3% 16.9% 16.3% 13.2% 12.2% 5.7% 5.9% 6.1% 6.6% 8.1% 7.9% 6.1% 5.4% CAGR FY16-23 : 6.1% CAGR FY16-23: 6.9% 75,375 11,784 5,655 65,777 10,0
Slide 20: Focus on high-end casting products
Focus on High-end Casting Products Focus on profitable growth • Long-standing relationships with renowned PV/CV High margin products OEMs. Engine Suspension and Transmission • Large orders in Expansion Cover / cam carrier Body Hub Clutch Housing EV/hybrid Strategy • Sole supplier status Marquee cust
Slide 21: Aftermarket sales
Aftermarket Sales (Net Revenue from Operations INR mn) 4.7% 5.5% 4.9% 2001 Higher Margin 4.3% Established 3.6% B2C Business Model Aftermarket Business 3.7% 3.8% KEY 4189 4311 2384 2707 2977 3116 32 HIGHLIGHTS Branding Program for increasing retailers / mechanics contact & loyalty towards the brand 2
Slide 22: Faster-than-industry growth framework
Operations Technology/R&D • Operational Excellence • Technological Leadership • Winning new orders • Product Development with focus • Supply Chain Management on cost, durability & performance • Innovation • Customer Centricity • Quality • Delivery performance leading to Profitable, People Governance
Slide 23: Delivering a larger impact: values
Delivering a Larger impact SERVICE Achieving ETL’s goals by living the values Integrity & Transparency Honestly, accountability, work ethic, clarity, INTERNAL COHESION communication, openness, trust Innovation Value Creation & continuous improvement TRANSFORMATION Customer Centricity Result orientat
Slide 24: Management of change, culture and diversity
MANAGEMENT OF CHANGE CULTURE Prioritization of human life & environment in Proactive, hardworking, result- decisions oriented, passionate, committed Certification from EHS team for all material/ team players who lead by example, design / layout changes, expansions, greenfield/ believe in continuous
Slide 25: Driving carbon neutrality and zero waste
DRIVING CARBON NEUTRALITY DRIVING ZERO WASTE TO » Effective utilization of natural resources. LANDFILL & HAZARDOUS » Creating carbon sinks by developing WASTE REDUCTION dense forests and driving plantation. » Reduced hazardous waste generation by » Transitioning to renewable energy with switching fr
Slide 26: GRI Parameters for India business
GRI Parameters Unit FY23 Achievement for India business Carbon neutrality % 22.6 Specific electrical energy 4.2% Reduction in Kwh/ INR Sales consumption Specific thermal energy Reduction in Mkcal/ INR Sales 5.1% consumption Specific water footprint 3.8% Reducton in kL/INR Sales reduction Water recov
Slide 27: Community initiatives: education, healthcare, environment, livelihoods
HEALTHCARE & EDUCATION ENVIRONMENT LIVELIHOODS SANITATION Trained 1500+ individuals at Renovated 34 schools with libraries, Organized health camps for 5236 Deepened 40kms of natural canals, ECOVE (collectively earn Rs.34Cr.+ computer labs, and toilets villagers with 137 cataract surgeries creating w
Slide 28: Awards and recognition
Gold category Award in the India Manufacturing Excellence Awards 2019 by ‘Frost & Sullivan’ Grand Award for QCDDM Recognized amongst India’s performance in 2016-17 by “Best Managed Companies- HMSI 2022” by Deloitte. Awarded as ‘Most Innovative, Disruptive Supplier Quality Excellence & Transformation
Slide 29: Innovatively Agile
4 —"\" E> '™ ~ INNOVATIVELY AGILE
Slide 30: India entities history
Incorporated High Technology Transmission Incorporated Endurance Systems Systems (India) Private Limited – HTTS, a JV (India) Private Limited. (ESIPL with Adler S.p.A., Italy for clutch assemblies merged with ETL in FY10) and CVTs. (merged with ETL in FY14) ESIPL HTTS FY95 FY02 FY82 FY97 FY23 ESSIPL
Slide 31: Overseas entities history
Incorporated Endurance ESOrl acquired 15% & later Assets & liabilities of Grana EOSrl acquired 99%, and Overseas Srl (EOSrl) Italy, full stake in FOA SpA.Italy. Srl, Italy acquired by later full stake in Adler SpA, an SPV for making strategic (since renamed as Endurance Engineering Srl- Italy (since
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