Samvardhana Motherson International Limited · NSE:MOTHERSON
Samvardhana Motherson International — Q4 FY2023 Earnings Presentation
41 slides from Samvardhana Motherson International's earnings presentation, May 26, 2023
Slide 1: Exchange filing cover letter for audited results
Samvardhana Motherson International Limited (formerly Motherson Sumi Systems Limited) Head Office: C-14 A & B, Sector 1, Noida – 201301 Distt. Gautam Budh Nagar, U.P. India Tel: +91-120-6752100, 6752278, Fax: +91-120-2521866, 2521966, Website: www.motherson.com May 26, 2023 National Stock Exchange o
Slide 2: Cover letter signature page
The Board Meeting of the Company commenced at 1000 Hours (IST) and concluded at 1305 Hours (IST). The above is for your information and records. Thanking you, Yours truly, For Samvardhana Motherson International Limited (formerly Motherson Sumi Systems Limited) ALOK Digitally signed by ALOK GOEL GOE
Slide 3: Q4 FY 2022-23 Results Presentation
Proud to be part of. Samvardhana Motherson International Limited (Formerly Motherson Sumi Systems Ltd.) Q4 FY 2022-23 Results Presentation
Slide 4: Key Highlights 1/2
Key Highlights 1/2. Consistently delivering strong performance, Posted Highest Ever Quarterly and Yearly Revenues. Consolidated Growth Growth Amount (Rs in crores) QoQ YoY Revenue1 22,477 11% 30% Volumes recovering in Europe, North America and EBITDA 2,066 23% 61% India, China impacted PAT negativel
Slide 5: Key Highlights 2/2
Key Highlights 2/2. Continued Introducing Present contribution from Deleveraging Net Debt1 at Rs 7,474 supplies to Electric Vehicles3 crores SAMIL’s Net Debt to (Reduction in working capital automotive ~6% of revenues for FY23 EBITDA ratio days remains WIP with booked business2 ~7% of revenues for Q
Slide 6: Elevated Cost Structures seems like the 'New Normal'
Elevated Cost Structures seems like the ‘New Normal’.
Slide 7: Higher inflation, volatile commodity, elevated interest rates and wage pressure continue to be a challenge
Higher inflation, volatile commodity, elevated interest rates and wage pressure continue to be a challenge. Indicators turning favourable, Indicators like inflation, Interests rates and commodity prices energy prices still at inflated level remain challenging Energy prices 368 Germany in Euro /MWh2
Slide 8: Improvement in production volumes across most of our key geographies
Improvement in production volumes across most of our key geographies.
Slide 9: Volumes recovering in EU, NA and India
Volumes recovering in EU, NA and India; Though, still behind pre-covid level in developed market. Data represents automotive production volumes Legend YoY QoQ Global. Europe. North America. Light Vehicles Commercial Vehicles Light Vehicles Commercial Vehicles Light Vehicles Commercial Vehicles 17% 6
Slide 10: Consistently delivering strong performance with continued financial discipline
Consistently delivering strong performance with continued financial discipline.
Slide 11: Highest ever quarterly revenues 4th time in current FY
Highest ever quarterly revenues With consistent 4th time in current FY improvement in EBITDA. Revenue 1,2,7 Growth EBITDA1,2,3,4,5,6 Growth (Rs in Crores) 30% YoY / 11% QoQ (Rs in Crores) 61%YoY / 23% QoQ 22,477 9.0% 10. 0% 2,400 7.9% 8.3% 6 9. 0% 20,267 2,200 7.2% 7.1% 2,066 8. 0% 2,000 6.5% 35 18,
Slide 12: Lowest debt and leverage ratio in last 7 quarters; capex remains prudent
Lowest debt and leverage Capex spend ratio in last 7 quarters. remains prudent. Net Debt 1,2 Capex 3 (Rs in Crores) (Rs in Crores) 14,00 0 2.1 2,000 80% 1.9 1.9 2.0 1,800 67% 1.8 70% 2. 0 12,00 0 1,600 54% 1.5 60% 10,00 0 1.4 1,400 46% 1,292 1,520 1,426 1,503 1. 5 1,200 50% 8,000 1,270 1,369 1,627 3
Slide 13: Strong visibility on the future business
Strong visibility on the future business.
Slide 14: Introducing SAMIL's Automotive 'Booked Business'
Introducing SAMIL’s Automotive ‘Booked Business’* in billion USD. 20% e f so s from EV. s es ion 50.00 b usin divis V ) s RB 29% 29.6 ed es 69.1 45.00 ook usin SMP from EV. billion USD. (B er b an 40.00 h oth ther t Wiring billion USD. o Harness 35.00 (India and 39.5 30.00 Overseas) 25.00 billion US
Slide 15: Strategic acquisitions to support our customers and in line with 3CX10 strategy
Strategic acquisitions, to support our customers and in line with 3CX10 strategy.
Slide 16: Full growth potential to be unlocked in coming times
Full growth potential to be unlocked in coming times. since April 2022 Combined Proforma Revenue Additional New into Motherson family 07 acquisitions. USD ~1.1 bn. (Net) 40+ facilities. 8,000+ employees. USD ~4.9 bn. (Gross1,2) New Capability/ Closing Acquisitions. Rationale to support our customers
Slide 17: Diversification (3CX10) in line with Vision 2025
Diversification (3CX10) in line with Vision 2025. For FY 2023 Component wise. Customer wise. Country wise. (top 15 customers) Mercedes Benz 9.5% India** 22% Wiring Harness 29% Audi 8.9% USA 18% Vision Systems 19% Volkswagen 7.4% Germany 16% Bumpers* Suzuki /Maruti 6.1% China 9% PAT 14% BMW 4.9% from
Slide 18: Financial Highlights Q4 FY23
Financial Highlights Q4 FY23.
Slide 19: SAMIL Consolidated Q4FY23
SAMIL Consolidated Q4FY23. (Rs in Crores) Revenues 1 22,477 EBITDA2,3,5 8.3% 9.0% 30% YoY / 11% QoQ 61% YoY / 23% QoQ 7.1% 2,066 20,267 10. 0% 2,000 1,684 35 1,287 0 8. 0% 17,241 652 6. 0% 1,000 1,684 2,031 4. 0% 1,222 2. 0% - 0. 0% Q4 FY22 Q3 FY23 Q4 FY23 Q4 FY22 Q3 FY23 Q4 FY23 Adjustment 654 PBT
Slide 20: SAMIL Standalone Q4FY23
SAMIL Standalone Q4FY23. (Rs in Crores) 2 Revenues1 EBITDA. 15.9%3 22% YoY / 14% QoQ -23% YoY / -16% QoQ 2,067 14.7%2 1,820 13.4% 329 1,697 292 268 104 * 330 20. 0% 18. 0% 65 280 16. 0% 230 14. 0% 12. 0% 180 227 10. 0% 130 225 8. 0% 6. 0% 80 4. 0% 30 2. 0% (20) 0. 0% Q4 FY22 Q3 FY23 Q4 FY23 Q4 FY22
Slide 21: Financial Highlights 12MFY23
Financial Highlights 12MFY23.
Slide 22: SAMIL Consolidated 12MFY23
SAMIL Consolidated 12MFY23. (Rs in Crores) 1,4 1,2 Revenues. 78,701 EBITDA. 8.0% 23% YoY 63,777 33% YoY 7.5% 7,500 6,394 10. 0% 9. 0% 6,500 59 8. 0% 4,808 7. 0% 5,500 6,335 6. 0% 4,500 5. 0% 4. 0% 3,500 3. 0% 2. 0% 2,500 1. 0% 12M FY22 12M FY23 1,500 0. 0% 12M FY22 Adjustment 12M FY23 PBT. PAT. 1,3
Slide 23: SAMIL Standalone 12MFY23
SAMIL Standalone 12MFY23. (Rs in Crores) 2 Revenues 1 EBITDA 14.1% 36% YoY 26% YoY 13.1% 1,036 7,355 1,000 712 141 5,416 900 14. 0% 800 12. 0% 700 10. 0% 600 500 895 8. 0% 400 6. 0% 300 4. 0% 200 100 2. 0% - 0. 0% 12M FY22 12M FY23 12M FY22 12M FY23 PBT PAT 3 (before exceptional items) -3%YoY -6%YoY
Slide 24: Business Division Highlights
Business Division Highlights.
Slide 25: Business Divisions
Business Divisions. 01. 02. 03. 04. Wiring Modules & Vision Emerging Businesses harness Polymer Products Systems (Others) Elastomers Lighting & Precision Metals Technology & Aerospace Logistics Health & Services Electronics & Modules Industrial Solutions Solutions Medical Non-Auto 23 23
Slide 26: Divisional Overview FY 2022-23
Divisional Overview. FY 2022-23 21 01. 02. 18 countries Wiring 18% Vision countries 102 harness Systems 36 facilities 29% facilities 11 04. 7% 03. 46% countries Emerging Modules & 25 countries 75 Business Polymer facilities Products 101 facilities Note: Revenue spilt is based on the gross revenue nu
Slide 27: Financial Performance: Wiring Harness
Financial Performance : Wiring Harness. (all figures are Rs. in Crores) Revenues1,2 Growth QoQ highlights. Growth 21% 26% YoY / 14% QoQ 26,501 21,970 6,530 7,472 • Revenue growth is driven by 5,938 • Robust demand for agri-equipment and off- highway in North America • Sustained demand for heavy duty
Slide 28: Financial Performance: Modules and Polymer Products
Financial Performance : Modules and Polymer Products. (all figures are Rs. in Crores) Revenues1,2 Growth QoQ highlights. Growth 19% 31% YoY / 11% QoQ 12,114 42,256 10,957 9,266 35,420 • Revenue growth is driven by improved volumes in Europe and North America due to easing supply chain • Profitabilit
Slide 29: Financial Performance: Vision systems
Financial Performance : Vision systems. (all figures are Rs. in Crores) Revenues1,2 Growth QoQ highlights. Growth 23% 26% YoY / 1% QoQ 16,569 13,498 4,546 4,595 3,642 • Sustained revenues QoQ, volume decline in China offset by recovery in Europe • Commodity and energy prices dropped from peak levels
Slide 30: Division overview: Emerging businesses
Division overview : Emerging businesses. No of No of Businesses countries facilities Elastomer 02 05 04 Elastomers 05 Lighting & 06 Precision 07 Technology & Lighting and Electronics Metals & Modules Industrial Solutions 01 17 Electronics • Rubber Injection Moulded Parts • Lighting Systems (Headlamp
Slide 31: Financial Performance: Emerging businesses
Financial Performance : Emerging businesses. (all figures are Rs. in Crores) Re-orgainisation Revenues1,2 completed in Q4FY22, 22% YoY/ 12% QoQ hence, annual numbers Key highlights. are not comparable 6,827 Lighting and Electronics 1,824 1,628 • Vertical integration by setting up tool room for light
Slide 32: Financial Performance: Business Divisions under Emerging businesses
Financial Performance : Business Divisions under Emerging businesses. (all figures are Rs. in Crores) Business Divisions (FY23) Revenue1,2 EBITDA Automotive Lighting and Electronics 2,953 429 Precision Metal and Modules 1,726 271 Elastomer 673 82 Non- Automotive (Businesses still at incubation/ grow
Slide 33: Summary of divisional financial performance
Summary of divisional financial performance. Financials Q4 FY23 Amount in INR crores Q4FY23 FY23 Business Division Revenue3 EBITDA EBITDA% Revenue3 EBITDA EBITDA% Wiring Harness 7,472 715 9.6% 26,501 2,279 8.6% Modules & Polymer Products 12,114 871 7.2% 42,256 2,724 6.4% Vision Systems 4,595 606 13.
Slide 34: Debt Status
Debt Status. (Rs in Crores) Net Debt. A. Net Debt. (Consolidated) Rs. In 8,739 Dec-21 Mar-22 Jun-22 Sep-22 Dec- 22 Mar-23 Crores 8,546 8,442 8,269 Gross 7,768 Debt 13,457 12,761 12,356 12,671 12,968 12,166 7,474 Cash & 4,718 4,993 4,087 4,126 4,526 4,692 Bank Net 8,739 7,768 8,269 8,546 8,442 7,474
Slide 35: Reference Rates and Notes
Reference Rates and Notes. Copper Rates. Notes. Average Q4 FY22 Q3 FY23 Q4 FY23 1. This presentation has been prepared from the unaudited financial results for the quarter ended on 31st March 2023. Explanatory notes have been added with LME Copper (USD / MT ) 9985 8006 8,930 additional information C
Slide 36: Thank you
Thank you. Safe harbor The contents of this presentation are for informational purposes only and for the reader’s personal non-commercial use. The contents are intended, but not guaranteed, to be correct, complete, or absolutely accurate. This presentation also contains forward-looking statements ba
Slide 37: Annexure
motherson P| Annexure.
Slide 38: Details of core entities and JVs / associates under business divisions 1/2
Details of core entities and JVs / associates under business divisions 1/2. Sr No Divisions Key entities / businesses JVs and Associates • PKC and it associates • MSSL Wiring System INC. (MWSI) • Kyungshin Industrial Motherson Private Limited • MSSL GB Ltd, • Motherson Sumi Wiring India Limited • MS
Slide 39: Details of core entities and JVs / associates under business divisions 2/2
Details of core entities and JVs / associates under business divisions 2/2. Sr No Divisions Key entities / businesses JVs and Associates • Motherson Bergstrom HVAC Solutions Private Limited (MBSL) • Motherson Innovative Engineering Solutions (MINES) • Valeo Motherson Thermal Commercial Vehicles Indi
Slide 40: SMRP BV Booked Businesses
SMRP BV Booked Businesses. in billion Euro. Share of Electric Vehicles 29% 37% 39% € 36.9 bn € 17.2 bn € 2.8 bn € 19.7 bn € 18.2 bn (€ 1.4 bn) Yet to start production SOP H2 FY22 New Orders H2 FY22 Yet to start production Under production as of Total Booked business as (Order Book) as on (Order Book
Slide 41: Acquisitions History
Acquisitions History. Motherson Group has integrated 34 acquisitions since 2002 bringing a wide range of solutions to our customers. 08 29 05 Dagger Frost Tools Ichikoh* Huon Corporation India (Gear cutting tools) Rear view m irror business Australia (Door trim Strategic business units Japan busines
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