Cyient Limited · NSE:CYIENT

Cyient — Investor Day (November 2022)

38 slides from Cyient's investor day presentation, Nov 19, 2022

Slide 1: Investor Day intimation letter to exchanges
19 November 2022 The BSE Limited The National Stock Exchange of India Ltd PJ Towers, 25th Floor, Exchange Plaza, Dalal Street Bandra-Kurla Complex, Bandra (E) Mumbai 400001. Mumbai-400 051. Scrip Code: 532175 Scrip Code: CYIENT Dear Sir/ Madam, Sub: Investor Day The company conducted its 9th Investo
Slide 3: S3 Strategy: Strengthening Services and Accelerating Solutions
S3 Strategy: Strengthening Services and Accelerating Solutions Solutions Offering Maturity Services Design Build Operate/Maintain Product Value Chain SDx Powering smart cloud- Accelerating hyper-automation Powering Software Defined Accelerating network rollout connected Medical devices Everything th
Slide 4: Execution Focus
Execution Focus Strengthen Expand on Accelerate the Core 5 Pillars Megatrends Key Account Growth Digital Smarter Ops Accelerate Large Deals Networks Intelligent Mobility Optimizing Automation Geo-Spatial Sustainability Talent Embedded Digital Healthcare Culture VLSI Space Systems 3 © CYIENT 2022 | C
Slide 5: What went well?
What went well? ‸ Strong client Diversified Domain Focus Execution Rigor relationships Industry Portfolio 4 © CYIENT 2022 | Confidential
Slide 6: What didn’t go well?
What didn’t go well? Where we What we were Efficiency Capex were selling selling challenges control 5 © CYIENT 2022 | Confidential
Slide 7: What has changed?
What has changed? Sales focus on existing Focus on large Focus on IT/OT accounts and deals convergence new accounts Focus on new Synergy in Good became industries operations a great team 6 © CYIENT 2022 | Confidential
Slide 9: Cyient Investor Day: Accelerating Toward Megatrends
CYIENT INVESTOR DAY NOV 18 ACCELERATING TOWARD 20 2 2 ° MEGATRENDS Karthik Natarajan
Slide 10: Agile & Scalable to deliver industry leading growth
Agile & Scalable to deliver industry leading growth Aero Mining Organic Rail Energy crow o Comms Utilities = 5 =) a z Inorganic = Crown Mechanical / Networks / Industrial / Data/ Plant Engineering Geospatial EBIT% ogo 2 © CYIENT 2022 | Confidential Healthcare & HiTech Digital Engineering pen e Auto
Slide 11: 75% of Services Business growing @ 21-22% YoY
75% of Services Business growing @ 21-22% YoY Rev. Growth in CC 174.8 150.1 156.9 124.6 Be I il ii I al5 Non-Transport Services Group mQ2FY 22 Q2 FY 23 Group (Including Acq) * Services Revenue growth (incl acquisitions): + Group Revenue growth (incl acquisitions): Business Unit iia Growth in CC Heal
Slide 12: SIP Sales Incentive Plans
SIP Sales Incentive Plans 4 © CYIENT 2022 | Confidential To lead the customer journey transformation Sales Focus and Acceleration - Large Deals Factory - 5 Pillars - Key Account Plans Sales Training & Tools and SIP plans for incremental revenue growth Long-term customer relationships & CXO connects
Slide 13: Continuous Operational improvements & Future-ready Delivery
Continuous Operational improvements & Future-ready Delivery Futuristic Delivery Model - Agile - Scalable - Pod based structure Increase in Increase in Cost of Delivery Utilization Offshoring - Automation / Price Hikes / » Change Request / Utilization / Cease & Cure Automation / Re-skilled Talent rea
Slide 14: Industry Leading Benchmarks
Industry Leading Benchmarks FROM Supplier Innovation Award (9 times in last 11 years) Supplier Highest Productivity Award (5 times in last 11 years) Pratt & Whitney Partner Level Status John Deere (2021) India Notable Supplier Award Bosch (2022) CUSTOMERS 6 © CYIENT 2022 | Confidential “Rising Star
Slide 15: Growth Engine for sustained outperformance
Growth Engine for sustained outperformance * To counter future wage inflation =) Gearing up for $ 1Bn run-rate in FY24 Segment Q2 FY23 Q2 FY22 20Mn+ 4 3 10Mn+ 12 10 SMn+ 37 32 AMn+ 98 92 Large Deals pipeline of $ 1Bn+ TCV of Deals H1 FY23: ~ $ 530Mn 2.5-3% improvement YoY Re-skilling & Upskilling Te
Slide 17: Index
Index Voice of Value Positioning Roadmap Investors Creation for Future to FY24 2 © CYIENT 2022 | Confidential
Slide 18: Voice of Investors - ISAT FY22
Voice of Investors - ISAT FY22 ISAT Score of 5.16 , an improvement of 19% from FY20 FY14 FY15 FY16 FY18 FY20 FY22 Leadership 5.29 5.47 5.49 5.67 4.85 5.28  Impact Drivers* FY14 FY15 FY16 FY18 FY20 FY22 Business Strategy 4.72 5.22 4.96 5.19  ISAT 4.15 4.76 Index = 5.16  FY14 FY15 FY16 FY18 FY20 FY
Slide 19: Index
Index Voice of Value Positioning Roadmap Investors Creation for Future to FY24 4 © CYIENT 2022 | Confidential
Slide 20: Double Digit Growth: Revenue, PAT, FCF, Market Cap
Double Digit Growth: Revenue, PAT, FCF, Market Cap 7609 PAT FCF M Cap 5719 INR Mn INR Mn INR Bn 102 Normalised 5223 3714 2311 71 1397 1126 371 18 19 FY11 FY13 FY21 FY22 27% 49% FCF Conversion on PAT 205% 110% Concrete plan in place to improve profitable growth & market cap 5 © CYIENT 2022 | Confiden
Slide 21: Consistent Shareholder Payout
Consistent Shareholder Payout 51% Shareholder Payout Ratio (%) 50% 53% 41% 41% • Consistent payout at avg * 50% for past 3 years 30% 29% 28% 25% 25% • Cyient Board approved the 20% change in dividend policy (in FY21) to a payout ratio 12% up to 50% of net profit FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY
Slide 22: Index
Index Voice of Value Positioning Roadmap Investors Creation for Future to FY24 7 © CYIENT 2022 | Confidential
Slide 23: Capital Allocation
Capital Allocation Focus on improvement of capital efficiency through strategic capital allocation Consistent Investing in Payout to Share Inorganic Holders Growth Avg payout of 51% 4 Acquisitions in past 3 years Debt closed in H1 FY23 Portfolio Management Changes Expected to be Expected to add 50%+
Slide 24: Portfolio Mix: Broadening The Base (Services)
Portfolio Mix: Broadening The Base (Services) Aerospace Communications Others Plant Engineering 46% Diversified • Aerospace contribution 44% has reduced by 14% from 43% 43% Portfolio 39% FY19, is expected to be 20% 34% 34% 27%28% 28% 28% • Diversification to Plant 26% 23% 23% Engineering to moderate
Slide 25: Index
Index Voice of Value Positioning Roadmap Investors Creation for Future to FY24 10 © CYIENT 2022 | Confidential
Slide 26: Equipped for the March
Equipped for the March Balance sheet to support company's business goal and maximize financial performance • Strong governance around aged items - AR, Inventory • Healthy mix of debt equity 01 • Optimum level of Working capital Building Robust Balancesheet • Comprehensive Risk Charter covering Cyber
Slide 27: Revenue Roadmap to FY24
Revenue Roadmap to FY24 $ Mn Exiting with $250 Mn run Boost from full rate quarter impact of Citec $174.8 $157.9 $156.7 $161.6 $143.5 $150.1 <-- Q3 FY23 Building momentum from Organic growth & Acquisition synergies --> Q4 FY24 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q
Slide 28: Roadmap to EPS: INR 60 (FY24)
Roadmap to EPs: INR 60 (FY24) INR ~ 60 Organic 47.7 Margin growth expansion 43.6 Accretion from Acquisition 33.9 33.8 Return on cash Focus on key operating levers Automation initiatives Cost optimization initiatives More prudent salary hikes FY19 FY20 FY21 FY22 FY24 F Levers geared to meet goal of E
Slide 30: Design Led Manufacturing (DLM) Outlook
CYIENT INVESTOR DAY NOV 18 ¢ ACCELERATING TOWARD 2; 0.2 2 © MEGATRENDS 4 Za ee 27 "<< — DESIGN LED oN \ MANUFACTURING ~~ yy * (DLM) OUTLOOK ‘ea Anthony Montalbano
Slide 31: Cyient Investor Day
CYIENT INVESTOR DAY NOV 18 @ ACCELERATING TOWARD 20.2 2° MEGATRENDS
Slide 32: Emerging technologies are driving a trillion-dollar market for electronics
Emerging technologies are driving a trillion-dollar market for electronics Key Tech Mega-Trends Driving Growth ° = oy i: ey ASA TE ° 5G and XaaS Metaverse Hyperconnectivity and SD-X =x) q t BD loT and Industry 4.0 Artificial Intelligence 3 © CYIENT 2022 | Confidential Industrials (Oz0) q loT Adoptio
Slide 33: Increasing electronification and OEMs’ evolving needs impacting the EMS market
Increasing degree of electronification and OEMs’ evolving needs impacting the EMS market 1 3 Enhanced S focus on core business areas y y Pressure on Total Shorter time Cost of Ownership to market Source: Expert Interviews, press search 4 © CYIENT 2022 | Confidential CYIENT INVESTOR DAY NOV 18 ¢ ACCE
Slide 34: Focus on de-risking supply chain leading to alternative manufacturing locations
Focus on de-risking supply chain is leading to development jyESTOR DAY of alternative locations for manufacturing outside China Novis « Accnenarme rowan "SOUTH KOREA 1 ama 4 wana 2 wena 26 (cansooin | aan [moons 2 Source: Expert Interviews, press search, Number of companies that have moved/extended
Slide 35: Strong outlook for the global EMS market
CYIENT This is driving a strong outlook for the global EMS market INVESTOR DAY NOV 18 ¢ ACCELERATING TOWARD 202 MEGATRENDS Global EMS Market in 2025E 2020 Increase in EMS market size ~$500B e Non-China regions expected to add $90- 120B/year to EMS market Global EMS by 2025 Market in 2020 (2) India's
Slide 36: Domestic demand for high-complexity electronics set to increase
Domestic demand for high-complexity electronics INVESTOR DAY set to exponentially increase over the next decade NOV18 » ACCELERATING TOWARD 2022 ° MEGATRENDS $50B -. | $10B =- India's def ital outl Market size of MedTech sector @ee® Te ange eel ee expected by 2025 growing at 15% a indigenous militar
Slide 37: Strong governmental incentives providing opportunities for EMS players
Strong governmental incentives are providing opportunities for cyjent EMS players to capture both India for India and India for Global INVESTOR DAY demand Strong government push to promote electronics manufacturing via PLI schemes On incremental sales : Players" Source: Ministry of Electronics & Man
Slide 38: Market trends and our distinct positioning create a significant opportunity
CYIENT INVESTOR DAY NOV 18 ¢ ACCELERATING TOWARD 2022 ° MEGATRENDS Market trends and our distinct positioning creates a significant market opportunity Focus on High Complex Electronics with strong B2S capability to address end to end requirements Specialization in Safety-Critical Electronics Experts

Cyient — Investor Day (November 2022) on 6ix

Cyient — Investor Day (November 2022)

Slide 1: Investor Day intimation letter to exchanges

Slide 2: Navigating for Future

Slide 3: S3 Strategy: Strengthening Services and Accelerating Solutions

Slide 4: Execution Focus

Slide 5: What went well?

Slide 6: What didn’t go well?

Slide 7: What has changed?

Slide 8: Thank You

Slide 9: Cyient Investor Day: Accelerating Toward Megatrends

Slide 10: Agile & Scalable to deliver industry leading growth

Slide 11: 75% of Services Business growing @ 21-22% YoY

Slide 12: SIP Sales Incentive Plans

Slide 13: Continuous Operational improvements & Future-ready Delivery

Slide 14: Industry Leading Benchmarks

Slide 15: Growth Engine for sustained outperformance

Slide 16: Value Creation for Shareholders

Slide 17: Index

Slide 18: Voice of Investors - ISAT FY22

Slide 19: Index

Slide 20: Double Digit Growth: Revenue, PAT, FCF, Market Cap

Slide 21: Consistent Shareholder Payout

Slide 22: Index

Slide 23: Capital Allocation

Slide 24: Portfolio Mix: Broadening The Base (Services)

Slide 25: Index

Slide 26: Equipped for the March

Slide 27: Revenue Roadmap to FY24

Slide 28: Roadmap to EPS: INR 60 (FY24)

Slide 29: Thank You

Slide 30: Design Led Manufacturing (DLM) Outlook

Slide 31: Cyient Investor Day

Slide 32: Emerging technologies are driving a trillion-dollar market for electronics

Slide 33: Increasing electronification and OEMs’ evolving needs impacting the EMS market

Slide 34: Focus on de-risking supply chain leading to alternative manufacturing locations

Slide 35: Strong outlook for the global EMS market

Slide 36: Domestic demand for high-complexity electronics set to increase

Slide 37: Strong governmental incentives providing opportunities for EMS players

Slide 38: Market trends and our distinct positioning create a significant opportunity