Zf Commercial Vehicle Control Systems India Limited · NSE:ZFCVINDIA
Zf Commercial Vehicle Control Systems India — Investor Presentation (May 2024)
37 slides from Zf Commercial Vehicle Control Systems India's investor presentation, May 28, 2024
Slide 1: Exchange filing cover letter for investor meet presentation
Commercial Vehicle Solutions Department Finance From Muthulakshmi M ZF Group · ZF Commercial Vehicle Control Systems India Limited, Chennai 600058 Phone +91 044-4224 2000 Email muthulakshmi.m@zf.com Date May 28, 2024 The Manager Listing Department BSE Limited, Phiroze Jeejeebhoy Towers Scrip code: 5
Slide 2: ZF Commercial Vehicle Control Systems India Limited
ZF Commercial Vehicle Control Systems India Limited May, 2024
Slide 3: Today's Presenters
Today’s Presenters Periakaruppa Kaniappan Sweta Agarwal MD & CEO CFO © ZF Friedrichshafen AG 2
Slide 4: About ZF Group
01 About ZF Group ZF confidential
Slide 5: ZF: A Global Technology Company & Solutions Provider
ZF : A Global Technology Company & Solutions Provider ZF is among the leading global technology groups and supplies advanced mobility products & systems for passenger cars, commercial vehicles and industrial technology. The company is a frontrunner in contributing to reducing emissions, protecting t
Slide 6: ZF's Leading Presence Globally Enables a Dense Network
ZF’s Leading Presence Globally Enables to Provide a Dense Network of Highly Qualified Contacts Close to Customers Key Highlights India(3) 2023A Europe Locations(1) 18 Locations(1) 75 Employees 15,400 Employees 95,725 Sales in €mn 1,092 Sales in €mn 20,289 74% 18% 8% Construction and Cars and light a
Slide 7: ZF CVS Division is the CV Industry's One-Stop-Shop
ZF CVS Division is the CV Industry’s One-Stop-Shop Vehicle Vehicle Repair & Upgrade & Fleet Operations Development Production Maintenance Update & Management Addresses diverse commercial transportation applications A powerful advantage for customers world-wide © ZF Friedrichshafen AG 6
Slide 8: ZF's Next Generation Mobility Strategy: Climate Neutrality
ZF’s Next Generation Mobility Strategy : Climate Neutrality A clean, safe, comfortable and affordable mobility for everyone, everywhere. Climate Neutrality: • Reduce CO2 emissions by 80% (compared to 2019) by using green energy until 2030 (Scope 1 and 2) • Reduce CO2 emissions of upstream value chai
Slide 9: ZF CVCS India: Introduction & Strategy
02 ZF Commercial Vehicle Control Systems India Limited (“ZF CVCS”): Introduction & Strategy ZF confidential
Slide 10: ZF CVCS: Building on a Strong Heritage
ZF CVCS : Building on a Strong Heritage ZF Group Integration Inauguration Inauguration of Ambattur Inauguration Expansion Jan 2022 Inauguration Inauguration of Technology plant and of Pant Nagar of MWC WABCO integrated of Oragadam of MWC Plant center 2022 Software Plant plant into CVS Division Plant
Slide 11: ZF CVCS: At a Glance
ZF CVCS : At a Glance Over 6 Decades as a Market Leader Pant Nagar 6 4 ~270 Lucknow Manufacturing Plants Global Engineering & Authorised Service Technology Centers Partners Jamshedpur 1 ~ 550 > 1,000 Test Track Aftermarket Dealers/ Engineers, Global center Distributors for Digitalization and Softwar
Slide 12: ZF Industrial Park, Oragadam
ZF Industrial Park, Oragadam • ZF Industrial Park Oragadam inaugurated on February 14, 2024 • Inaugurated by Dr TRB Raaja, Hon’ble Minster for Industries Govt of Tamil Nadu • ZF CVCS’ 6th manufacturing facility in India • Cornerstone of ZF’s strategic intent for Make in India, for India and for the
Slide 13: A Leading Supplier of Technologies and Services to the Indian CV Industry
ZFCVCS – A Leading Supplier of Technologies and Services to the Indian CV Industry 1 Six decades of market leadership with multiple growth levers 2 Well positioned to serve marquee clients through broad market focus 3 Customer centric, Total Quality Management (TQM) driven, lean organization 4 Stron
Slide 14: CVS India Leadership Team
CVS India Leadership Team Operations Sales Finance Engineering HR Quality Aftermarket Ramanathan Sweta Ganesamoorthy Joseph Muruganadham Ramachandra Ravikumar Visvanathan Agarwal Arumugam Panakkal Chelladurai Puttanna M.S. Driveline Chassis Chassis Bus & Trailer Strategy & Program Legal Technology S
Slide 15: Sustained Focus on Value Creation for Shareholders
Sustained Focus on Value Creation for Shareholders… Value creation New Innovation Pipeline Partner of Choice for Extensive Technology India’s OEMs Reservoir Global Electrified Capability Partners for fleet Excellence in Execution Connected Innovation & CoE for export Technology manufacturing and Lea
Slide 16: Riding on India's Growth & Increasing Penetration of Advanced Technologies
… by (1) Riding on India’s Growth & Increasing Penetration of Advanced Technologies Advanced technology adoption Advanced technology Applicable Content per Vehicle adoption ~$3200 ~$3000 Autonomous ~$1500 ~$1000 ~$1000 Connected ~$600 ~$300 Electric 2014 2021 Future * At constant FX © ZF Friedrichsh
Slide 17: Pioneering Customer & Market-oriented, Cost-optimized Solutions
(2) Pioneering Customer & Market-oriented, Cost- optimized Solutions Solving the industry's key challenges Focused on efficiency Focused on safety Focused on digitalization Product and system solutions for the Assistance systems (ADAS) for the Connectivity and software solutions reduction of operati
Slide 18: Preferred Technology and Systems Solutions Partner to CV OEMs and Fleets
(3) Preferred Technology and Systems Solutions Partner to CV OEMs and Fleets Digital fleet solutions Connectivity solutions Safety electronics ADAS / AD SYSTEMS Vehicle electronic systems Steering systems Suspension control solutions Brake & stability Electronic components control solutions Air mana
Slide 19: Leading the Path to ACE
(3A) Leading the Path to ACE Solutions for each technology path in place Leading player in ACE technologies and solutions FMS Extend Digital products eComp EBS & Solution offerings ECAPU AMT ECAS Transform braking, air Management technology S-CAM4T IPM Radar Extend intelligent control from ICE to eM
Slide 20: EV Market Poised for Exponential Growth
(3B) EV Market Poised for Exponential Growth EV Bus Sales India Factors Influencing the EV Penetration 3708 2008 1194 Infrastructure Climate Concern & Urbanization Government Initiatives initiatives of OEMs 492 development 378 147 FY 19 FY 20 FY 21 FY22 FY 23 FY 24 EV Penetration in Buses expected t
Slide 21: Technology Solutions Ready for EV Migration
(3B) Technology Solutions Ready for EV Migration Conventional ICE Electrified Engine Driven compressor Electric compressor solution dedicated to electric & hybrid CV applications eCompressor EBS based ESC with improved regen ABS Based ESC System efficiency & range EBS based ESC Electronic controlled
Slide 22: Advanced Driver Assistance Systems (ADAS)
(3C) Advanced Driver Assistance Systems (ADAS) Driving into the future • Advanced driver assisted system towards improving safety • Draft regulation approved by technology committee. Govt notification expected in H2 2024 (possible implementation time frame 24 to 36 months) • Launched in 2018 with TA
Slide 23: SCALAR: Digital Fleet Orchestration Solution
(3D) SCALAR : Digital Fleet Orchestration Solution Connectivity Digital services User portal ZF | PaaS | SaaS Connectivity Value Propositions Core services: ZF portal • Data Ingestion • Data Mapping PRODUCTIVITY UPTIME • GDPR • Uptime (99.98%) • Serviceability … COMPLIANCE SUSTAINABILITY Wl portal D
Slide 24: Connectivity Solutions to OEMs
(3E) Connectivity Solutions to OEMs Connected Vehicles Trend Highly secure hardware to meet the regulation 181,881 156,108 Data ingestion & API service to OEM cloud 117,996 SIM & KYC management 62,663 State level empanelment & vehicle tagging 15,163 Features in Pipeline 91 • Vehicle & prognostic ser
Slide 25: ZFCVCS: Key Moats
03 ZFCVCS: Key Moats ZF confidential
Slide 26: Trusted Innovation Partner for India's OEMs
Trusted Innovation Partner for India’s OEMs • First to bring advanced technology tailored for Indian CV • Launch of ECAS in EVs 2023 market • Launch of e-comp Gen 2 − ABS, AMT, ESC, ADAS, ECAS, Intelligent Trailer Program 2022 • Launch of Digital Fleet Solutions • Advancing trailer safety and effici
Slide 27: Excellently Positioned to Deliver Advanced Technologies at Best Cost
Excellently Positioned to Deliver Advanced Technologies at Best Cost Intelligent Trailer Frugal engineering expertise with an Skilled application engineers Program ability to redesign advanced technologies provide excellent customer connectivity and mature products for price sensitive and support fo
Slide 28: EBS and ESC for EV applications
EBS and ESC for EV applications Applicated across all OEMs thus improving safety and regen efficiency • Optimal grip under tough environmental conditions • Ensures driving stability and steering ability • Maintain control of vehicle even on slippery surface • Increased road safety • Control vehicl
Slide 29: Aftermarket Empowering Fleets with Retrofit and Digital Solutions
Aftermarket Empowering Fleets with Retrofit and Digital Solutions End-to-end solutions and services Spare parts along the lifetime of the vehicle Digital Services Fleet Management Solutions Genuine Spare Parts encompassing all requirements OE certified premium quality parts of the fleet eco-system D
Slide 30: Leveraging Digitalization & Data Analytics to Unlock Aftermarket Growth
Leveraging Digitalization & Data Analytics to Unlock Growth Opportunities in Aftermarket Analysis of Vaahan Registration State Wise and Category Wise Insights from Vehicle Age Data Analytics State Level Analysis of Opportunities Sales Analytics © ZF Friedrichshafen AG 29
Slide 31: Broad Market Focus Well-positioned for a Bright Future
Broad Market Focus Well-positioned for a Bright Future Truck & Bus Trailer Off-Highway Car Fleets Customers (illustrative): x x x x x © ZF Friedrichshafen AG 30
Slide 32: Recognition for Excellence in Execution
Recognition for Excellence in Execution • Strong relationship with customers for over six decades • Recognized by leading customers for innovation, technology partnership, cost competitiveness, quality and excellence • Recipient of 30+ customer awards over the last decade+ • 9 awards from Ashok Leyl
Slide 33: ESG Focused Business Model
ESG Focused Business Model Driving Decarbonization Empowering Communities Building Success Through for a Greener World Through Upskilling Governance • Implementing technologies to • Robust & effective corporate improve vehicle efficiency and • Focused on road safety; governance is the cornerstone of
Slide 34: ZFCVCS: Q4FY24 and FY24 Performance
04 ZFCVCS: Q4FY24 and FY24 Performance ZF confidential
Slide 35: ZF CVCS India Annual Performance
ZF CVCS India Annual Performance (Rupees in crore) Revenue from Operations EBITDA % on Product sales +23.1% +10.8% +35.4% +85.2% 19.4% 3,816 +36.5% 3,444 17.2% 2,543 1,854 +18.6% 1,598 1,864 12.6% 1,031 661 429 479 14.7% 537 685 334 260 1,100 1,074 290 944 245 722 234 318 409 197 FY21 FY22 FY23 FY24
Slide 36: ZF CVCS India Quarter Performance
ZF CVCS India Quarter Performance (Rupees in crore) Revenue from Operations EBITDA +0.6% +1.8% -8.0% +6.7% 18.2% 20.5% 19.4% 977 959 899 470 474 483 162 163 166 124 130 110 296 204 250 87 101 105 Q4 FY23 Q3 FY24 Q4 FY24 Q4 FY23 Q3 FY24 Q4 FY24 OEM Aftermarket Exports Service Income Constitutes produ
Slide 37: Thank you. Welcome your questions and feedback.
Thank you. Welcome your questions and feedback.
ZF Commercial Vehicle Control Systems India — Investor Presentation (May 2024) on 6ix