Exide Industries Limited · NSE:EXIDEIND
Exide Industries — Investor Presentation (April 2024)
49 slides from Exide Industries's investor presentation, Apr 30, 2024
Slide 1: JITENDRA KUMAR KUMAR MOHAN LAL MOHAN LAL
Digitally signed by JITENDRA JITENDRA KUMAR KUMAR MOHAN LAL MOHAN LAL Date: 2024.04.30 15:39:44 +05'30'
Slide 2: Exide Industries – Investor Presentation April 2024
Exide Industries – Investor Presentation April 2024
Slide 3: Agenda
Agenda 1 Company Overview 2 Automotive Vertical 3 Industrial Vertical 4 New Business: Green Technology Solutions 5 Key Financial Highlights 6 Sustainability Initiatives & CSR 2
Slide 4: Company Overview
Company Overview 3
Slide 5: Company snapshot
Company snapshot Legacy of 75+ years of Long-term rating: ICRA AAA/Stable operations in India Short-term rating: ICRA A1+ Diversified product portfolio, with batteries Debt-free company from 2.5Ah to 20,200Ah Exide Presence in 60+ Listed on stock Industries countries exchanges since 1979 Limited 10
Slide 6: Year in retrospect
Year in retrospect Manufacturing Financial Sustainability Prowess Strength Focus 66 million Rs.25,000 crore+* 20% renewable of Automotive Market Capitalisation energy consumption Batteries Capacity p.a. 6.7 billion AH Rs.16,000 crore+ 3/4th of lead & lead of Industrial Power Revenues alloys used are
Slide 7: Comprehensive product portfolio serving multiple applications
Comprehensive product portfolio serving multiple applications We manufacture batteries for multiple We are a reliable power solution provider for all applications in automotive sector industrial applications Vehicular Non- Vehicular Power Exports Solar 4-Wheeler 3-Wheeler Industrial applications Rai
Slide 8: Manufacturing plants: Proximity to clients drives agility & efficiency
Manufacturing plants: Proximity to clients drives agility & efficiency Bawal Haridwar & Roorkee MC battery plant Home UPS manufacturing Ahmednagar Shamnagar MC battery plant First Exide plant Auto & Industrial batteries Prantij, Gujarat Battery Charging facility CML, Haldia Taloja Haldia Auto batter
Slide 9: Strong R&D focus leading to advanced technical products & solutions
Strong R&D focus leading to advanced technical products & solutions Exide R&D Centre, Kolkata International technical collaborations Established in 1976, it’s one of the finest R&D centers in India • Moura • Furukawa Battery • East Penn • SVOLT Energy Batteries Company Manufacturing Technology Co. L
Slide 10: Capital market information and shareholding pattern
Capital market information and shareholding pattern Share price performance for FY2023-24 Shareholding pattern as on March 31, 2024 200 180 160 Others 140 21.87% 120 100 May-23 Jul-23 Sep-23 Oct-23 Dec-23 Jan-24 Feb-24 Apr-23 Jun-23 Aug-23 Mar-24 Nov-23 Promoters 45.99% Nifty 50 Exide Industries FII
Slide 11: Automotive Vertical
QEXIDE Automotive Vertical
Slide 12: Growing automotive production trend secures future of LAB
Growing automotive production trend secures future of LAB Vol in ‘000 Passenger Vehicle Commercial Tractor Three-Wheeler Two-Wheeler Vehicle +7% +3% -12% +16% +10% 4,902 1,071 959 19,459 21,469 4,587 1,036 1,066 947 824 2022-23 2023-24 2022-23 2023-24 2022-23 2023-24 2022-23 2023-24 2022-23 2023-24
Slide 13: Long-term drivers indicate strong demand for technologically advanced products & solutions
Long-term drivers indicate strong demand for technologically advanced products & solutions Rising urbanization to create demand for personal mobility: Passenger vehicle production is expected to double in next 4-5 years Increase in business activity and infrastructure development will improve intra
Slide 14: Automotive Vertical: Getting future ready
Automotive Vertical: Getting future ready A B Revenue Operational C Margin Growth Efficiency Expansion • New product launches with technologically advanced features • Digitalization initiatives: • Aim to create optimum Increasing operational product mix: higher • Expanding domestic reach efficiency
Slide 15: Key highlights of the automotive vertical for FY24
Key highlights of the automotive vertical for FY24 Industry dynamics Domestic demand has recovered, both for OEMs and the replacement market, especially in 2nd half of the financial year Performance highlights Volume growth and market share gains in the domestic market Positive response to the new r
Slide 16: Three powerful brands for automotive market with wide product range
Three powerful brands for automotive market with wide product range 15
Slide 17: Continue to enrich portfolio with technologically advanced eco-friendly products
Continue to enrich portfolio with technologically advanced eco- friendly products AGM batteries for the OEM Superior and eco-friendly range 3 E-rickshaw batteries range in 1 2 market for H-UPS market SF and Dynex • Higher efficiency • Advanced Features • Better Mileage • Unmatched • Durable and eco-
Slide 18: Expanding distribution network and empowering channel partners
Expanding distribution network and empowering channel partners Direct & indirect Pan-India distributors/ Empowering channel partners (dealer/distributors) dealers: sharp increase over the years through digitalization initiatives Hyperlocal marketing 115,000+ initiatives enable dealers 95,000+ in FY2
Slide 19: Regular engagement with channel partners for training and feedback
Regular engagement with channel partners for training and feedback Interactions and encouragements to dealers/distributors and mechanics Auto Dealer Interaction CV Dealer Interaction Mechanics Interaction 18
Slide 20: Expanding global footprints and enhancing customer experience
Expanding global footprints and enhancing customer experience Exports: strong focus on expanding global presence Customers: Multiple services for quicker ▪ New products with advanced features being launched and hassle-free solutions ▪ Increasing footprints in developed markets – America and Europe A
Slide 21: Digitalization initiatives across processes to increase operational efficiency
Digitalization initiatives across processes to increase operational efficiency Integrated business Sales force Logistics and planning efficiency Manufacturing warehouse • Better demand • Integrated data analysis • Real-time information on • Implemented industry 4.0 for forecasting provides 100% visi
Slide 22: Industrial Vertical
QEXIDE Industrial Vertical
Slide 23: Mega trends across verticals: In a strong position to capitalise on the opportunity
Mega trends across verticals: In a strong position to capitalise on the opportunity Energy Digitalisation Automation Infra Investment Transition • Data Centers: Increasing • Projects: Govt. impetus • Railways: 100% cloud adoption & per capita on infra spending3 - • Solar: India’s 500GW RE electrific
Slide 24: Key highlights of the industrial vertical in FY24
Key highlights of the industrial vertical in FY24 Industry dynamics Strong investment cycle coupled with Government focus on infrastructure development led to accelerated demand across verticals Performance highlights Double-digit volume growth in key verticals such as I-UPS, Solar, Traction, Teleco
Slide 25: Strategy framework: Our operating model uniquely positions us to deliver results
Strategy framework: Our operating model uniquely positions us to deliver results Sustained Profitable Growth Guided by our Target Growth Focussed Return Focussed 1 2 3 4 Anchored in our Strategic focus Revenue Customer Operational Margin Growth at Core Efficiency Expansion • Focus on growing • Custo
Slide 26: Our solutions are future ready to serve evolving requirements
Our solutions are future ready to serve evolving requirements Data Centre Battery Energy Solar Rooftop Traction Storage System (BESS) Increasing renewable PM Surya Ghar Muft Bijli MHE electrification Tailwinds 5G, Data localization penetration, Pollution Yojana, Ease of across industrial units norms
Slide 27: Leveraging multiple platforms to increase product awareness and customer reach
Leveraging multiple platforms to increase product awareness and customer reach Exide Solar Sunday - Marketing Building brand resonance in Technical seminars for Campaign through print media domestic and global markets customers of traction batteries Solar show Riyadh, Saudi Arabia Exhibition partici
Slide 28: Strengthening our global reach and focus on enhancing customer experience
Strengthening our global reach and focus on enhancing customer experience Exports: Showcasing our Solutions in global markets Exide Edge: Enhancing customer service through digital initiatives Digital customer service • One Stop Portal for all Industrial Customers xxx xxx • Online Complaint Tracking
Slide 29: Focusing on various levers to aid margin expansion
Focusing on various levers to aid margin expansion Cost Optimization Margin Expansion • Operational Excellence: Reducing the cost-to- serve through digitalised processes • Manage channel/product mix: Optimal product & distribution channel mix • Industry 4.0 initiatives aimed at continuous real- time
Slide 30: Green Technology Solutions: Lithium-ion Cells & Batteries
Green Technology Solutions: Lithium- ion Cells & Batteries 29
Slide 31: Mobility: India's electrification demand expected to be 150GWh by 2030
India’s electrification demand expected to be 150GWh by 2030 Expected lithium-ion demand (GWh) in India by 2030 Key growth drivers 2025 2030 Strong policy & regulatory support 2Ws 10 - 12 40 - 45 • Auto PLI 3Ws 1.2 – 1.7 5-6 • State EV policies 4-5 • Subsidies and benefits 4Ws 40 - 45 Mobility 0.9 –
Slide 32: Exide is ahead of the curve in its lithium-ion foray
Exide is ahead of the curve in its lithium-ion foray Exide Industries Limited 100% Subsidiary Exide Energy Solutions Limited (EESL) A B Lithium-ion Cell manufacturing Lithium-ion packs and module plant, Bengaluru facility, Prantij (Gujarat)* • Construction & project works under • Earlier a subsidiar
Slide 33: Exide is in advanced stages of setting up a lithium-ion cell manufacturing facility
Exide is in advanced stages of setting of a lithium-ion cell manufacturing facility Wholly owned subsidiary Exide Technical Collaboration with 4 lines planned for capacity of Energy Solutions Limited SVOLT Technology Solutions Ltd. 6Gwh by 2025 Cylindrical Cells: 4.2Ah & 5Ah ▪ Setting up the multi-g
Slide 34: Our competitive edge and value proposition
Our competitive edge and value proposition End-to-end “Cell to Pack” product portfolio • Multiple chemistries/form factors • Customizable module/pack solutions • Joint product development integrated with the new product development cycle High focus on offering competitive costing • Strategic raw mat
Slide 35: Significant progress across workstreams for timely completion
Significant progress across workstreams for timely completion Particulars Progress • 300+ professional supporting execution across key functions: Sales, manufacturing, procurement, R&D, IT, Organization finance, quality & safety etc. • Regular hiring review mechanism to ensure progress in-line with
Slide 36: EESL signs a non-binding MoU with Hyundai Motors and Kia
EESL signs a non-binding MoU with Hyundai Motors and Kia for the strategic cooperation in Indian EV market Both the parties will work together for development, production and supply of battery cells for Hyundai Motor's electric vehicles dedicated to the Indian market. 35
Slide 37: Onsite construction works is progressing well
Onsite construction works is progressing well Onsite construction is on track…. Final View post completion of Phase -1 (2025) Cell-manufacturing plant Administrative building Our readiness in the emerging EV battery space Click here for the video 36
Slide 38: Key Financial Highlights
QEXIDE Key Financial Highlights
Slide 39: Q4FY24 highlights - Strong quarterly performance
Q4FY24 highlights- Strong quarterly performance EBITDA & Revenues EBITDA Margin Q4FY23 Q4FY24 Q4FY23 Q4FY24 Rs.3,543 Cr. Rs.4,009 Cr. Rs.367 Cr. Rs.516 Cr. 13% (10.4%) (12.9%) 41% PBT & PAT & PBT Margin PAT Margin Q4FY23 Q4FY24 Q4FY23 Q4FY24 Rs.281 Cr. Rs.382 Cr. Rs.208 Cr. Rs.284 Cr. (7.9%) (9.5%)
Slide 40: FY24 performance highlights – Delivering profitable growth
FY24 performance highlights – Delivering profitable growth EBITDA & Revenues EBITDA Margin FY23 FY24 FY23 FY24 Rs. 14,592 Cr. Rs.16,029 Cr. Rs.1,568 Cr. Rs.1,871 Cr. 10% (10.7%) (11.7%) 19% PBT & PAT & PBT Margin PAT Margin FY23 FY24 FY23 FY24 Rs.1,215 Cr. Rs.1,410 Cr. Rs.904 Cr. Rs.1,053 Cr. (8.3%)
Slide 41: Strong balance sheet and positive cash flow generation
Strong balance sheet and positive cash flow generation Balance sheet Highlights Particulars Unit Mar-22 Mar-23 Mar-24 • Continue to maintain the Total Equity Rs. Crore 10,598 11,210 13,137 zero debt:equity Total Debt Rs. Crore Nil Nil Nil Debt : Equity X Nil Nil Nil • Healthy return ratios RoCE* % 1
Slide 42: Consistent financial performance delivered over the years
Consistent financial performance delivered over the years Revenues EBITDA Profit after tax (Rs. Cr.) (Rs. Cr.) (Rs. Cr.) 1,871 16,029 1,053 14,592 1,568 12,410 904 1,398 1,365 1,356 826 10,041 9,857 765 758 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 • Strategic initia
Slide 43: Aim to drive returns through multiple initiatives
Aim to drive returns through multiple initiatives Revenue Operational Improved Dividend Growth efficiency Profitability payment • Product launches and • Streamlining supply • Improving product • Regularly paid deeper market chain to optimise mix towards higher dividends to penetration in inventory m
Slide 44: Closing the year with a sound foundation
Closing the year with a sound foundation Sales Profit After Tax Market exceeds exceeds Capitalisation Rs.16,000 cr. Rs.1,000 cr. Exceeds Rs.25,000 cr. Pan India Industrial verticals (IUPS, Lithium-ion cell network of manufacturing >1,15,000 Solar, Telecom, Tractions) grew plant works on- automotive
Slide 45: Sustainability and CSR
QEXIDE Sustainability and CSR
Slide 46: ESG is the core of our business and strategy
ESG is the core of our business and strategy E S G • 20% green energy consumption in • Hybrid working policy for young • Highest standard of corporate FY24 mothers governance and risk management, in line with best practices • On the path to achieving zero- • Institutionalise ELB framework – waste-to
Slide 47: CSR initiatives: Nurturing communities for inclusive growth
CSR initiatives: Nurturing communities for inclusive growth Focus on 5 key pillars for socio-economic development Exide Exide Saksham Akshar Exide Exide Paryavaran Aarogya Exide Kaushal Impact created: • Nearly 3.1 lakh people benefited in FY24 • Rs.100+ crore invested in CSR initiatives in last 5 y
Slide 48: Disclaimer
Disclaimer In this document, we have disclosed forward-looking information to enable analysts and investors comprehend our prospects and take investment decisions. This document and other statements–written and oral–that we periodically make, contain forward-looking statements that set out anticipat
Slide 49: Thank You!
THANK YOU! Contact details: Chhavi Agarwal, CFA Head- Investor Relations & Sustainability E-mail: investor.relations@exide.co.in 48
Exide Industries — Investor Presentation (April 2024) on 6ix