Hi-tech Gears Limited · NSE:HITECHGEAR
Hi-tech Gears — The Hi-Tech Gears — Investor Presentation (March 2024)
32 slides from Hi-tech Gears's investor presentation, Mar 5, 2024
Slide 1: Regulation 30 intimation cover letter to stock exchanges
CIN - L29130HR1986PLC081555 Corporate Office: Millennium Plaza, Tower-B, Sushant Lok-1, Sector-27, Gurugram -122009, Haryana, INDIA Tel.: +91(124) 4715100 E-mail: secretarial@thehitechgears.com March 05, 2024 The Manager, The Manager, Listing Department, Listing Department, National Stock Exchange o
Slide 2: The Hi-Tech Gears Ltd. Investor Presentation February 2024
THE HI-TECHPRESENTATION INVESTOR GEARS LTD. FEBRUARY 2024 1
Slide 3: Snapshot
S N A P S H OT 5 10+ 37 Years Manufacturing 2,500+ Exports to Of Experience Plants Employees Countries Strategic 17% Marquee Partners 3 Year 41% Global Customers to Major Auto Revenue CAGR 3 Year PAT CAGR OEMs 2 2
Slide 4: Company Overview
C O M PA N Y O V E R V I E W • The Hi-Tech Gears Ltd. (THGL) was incorporated in 1986 and has grown to be an auto CONSOLIDATED REVENUE (INR MN) & component manufacturer of high repute, supplying engine and transmission EBITDA MARGINS (%) components to diverse marquee customers across the globe. 11,6
Slide 5: History and Milestones
H I STO RY A N D M I L E STO N ES 1986 - 1995 1996 - 2000 2001 - 2005 2006 - 2010 2011 - 2014 2015 - 2020 2020-2023 The Beginning & Extending Building Resilience Technology Partnership to Growth for Business Moving up the Going Global and Calibrated Tie-Ups for Global Supply Domain Leadership Consol
Slide 6: Key Strengths
K E Y ST R E N G T H S One of the leading manufacturers One of the very few component Strategically located state-of-the- of critical high-precision gears, manufacturers catering to diverse art manufacturing facilities in shafts and Transmission segments of automobiles and India, Canada and USA comp
Slide 7: Board of Directors – Executive/Non Executive Directors
BOARD OF DIRECTORS –EXECUTIVE/NON EXECUTIVE DIRECTORS DEEP KAPURIA Executive Chairman Engineering (Hons) Graduate from B.I.T.S., Pilani, advanced Management Programme from IIM-A, and owner Management Programme from Harvard, USA, with over 40 years of experience. ANANT JAIVANT TALAULICAR PRANAV KAPUR
Slide 8: Board of Directors – Independent Directors & Key Management Personnel
BOARD OF DIRECTORS –INDEPENDENT DIRECTORS & KEY MANAGEMENT PERSONNEL EMINENT INDEPENDENT DIRECTORS KRISHNA CHANDRA VERMA VINIT TANEJA SANDEEP DINODIA Independent Director Independent Director Independent Director Experienced Indian Police Service officer, with A Mechanical Engineer from IIT Delhi an
Slide 9: Global Footprint and Marquee Customers
GLOBAL FOOTPRINT AND MARQUEE CUSTOMERS Daimler A.G. JCB Power Cummins Robert Bosch Magna UK Powertrain Perkins GERMANY Daimler Fuso JAPAN Cummins CANADA Robert Bosch CHINA SOUTH KOREA Cummins USA Foton Cummins Daimler American Axle GKN Magna MEXICO Powertrain Robert Bosch Borg Warner IFA BRAZIL INDI
Slide 10: Diversified Business Presence
DIVERSIFIED BUSINESS PRESENCE TWO-WHEELER MEDIUM & HEAVY COMMERCIAL VEHICLES PASSENGER CARS AGRI, ENGINES AND OFF-HIGHWAY 9 Association with Top players in each segment 9
Slide 11: Awards and Recognitions
AWA R D S A N D R ECO G N I T I O N S TESTIMONIALS OF BEING AN INDUSTRY PIONEER CUSTOMERS INDUSTRY & GOVERNMENT Manufacturing and Organizational Excellence Zero Defect and Quality Excellence • Hero Moto Corp • SHINGO Prize – Silver • Tata Cummins • ACMA – Gold • Navistar • Cummins • JCB India Export
Slide 12: Plants Across India and North America
PLANTS ACROSS INDIA AND NORTH AMERICA Manufacturing facilities in India Manufacturing facilities overseas Plant-I, Bhiwadi Plant-II, Manesar Plant-III, Bhiwadi Plant-I, Guelph, Canada Plant-II, Emporium USA Est. 1986 Est. 2005 Est. 2011 Acquired 2017 Acquired 2017 DUAL SHORE PRESENCE 11 11
Slide 13: Process Infrastructure
PROCESS INFRASTRUCTURE Forging Finishing • Hot Forging • Gear Grinder • Warm Forging • Honing, • Cold Forging • Gear Honing, • Cold Extrusion • Hard Turning, • Coining • Grinding, etc. Machining Tool Room & Die Manufacturing • CNC Turning • Vertical Machining Center EDM . • Gear Cutting (Wet & Dry H
Slide 14: Process Engineering Capabilities
P R O C E S S E N G I N E E R I N G C A PA B I L I T I E S Process Design & Parts Development Tool Manufacturing & Maintenance Ready Infrastructure for rapid expansion Over 25 dedicated engineers in Process Over 25 dedicated personnel for tooling Over 60,000 sq ft expansion space Design Team managem
Slide 15: Business Overview
BUSINESS OVERVIEW
Slide 16: Product Portfolio
PRODUCT PORTFOLIO Commercial & Off- Sintered Two-Wheeler Car Transmission & Engine Power Take Off Precision Forging & Highway Vehicles Transmission Driveline Gears Components Machining Components Transmission 15 15
Slide 17: Passenger Vehicles Products
PA S S E N G E R V E H I C L E S P R O D U C T S PV REVENUES (INR MN) • THGL is a renowned manufacturer specializing in passenger vehicle transmission gears, shafts, driveline components, and steering linkage components. 5,479 • The company's transmission gears and shafts are precision-engineered to
Slide 18: Two-Wheeler Products
TWO-WHEELER PRODUCTS • THGL specializes in manufacturing high-quality two-wheeler transmission gears and shafts. 2W REVENUES (INR MN) • The company's transmission components are precision-engineered to ensure seamless gear shifting 2,998 and optimal performance. 2,545 2,276 2,225 • Employing cutting
Slide 19: Commercial Vehicles Products: On and Off-Highway
C O M M E R C I A L V E H I C L E S P R O D U C T S : O N A N D O F F - H I G H WAY COMMERCIAL VEHICLES: ON-HIGHWAY AND • THGL specializes in manufacturing high-quality components for commercial vehicle – on and off OFF-HIGHWAY REVENUES (INR Mn) highway and Agri vehicle engines, transmission gears,
Slide 20: Strategic Overview
STRATEGIC OVERVIEW
Slide 21: Future Growth Strategy
F U T U R E G R O W T H S T R AT E G Y Industry Dynamics & Growth Drivers The Indian Automotive Industry is worth more than USD $222 Bn Future Plan of Action and is expected to reach USD $300 Bn by 2026 by expanding at a CAGR of 15%. It contributes 6% to India’s GDP and 8% of the country’s total
Slide 22: New Business Wins: India and North America
NEW BUSINESS WINS: INDIA AND NORTH AMERICA Pivot on EV and new customer additions New business won ~ ₹ 1,754 Mn annualized New business won ~ ₹ 461 Mn annualized Current Customer New Customer Current Customer New Customer FY 22-23 ₹ 1,081 Mn ₹ 673 Mn H1-FY24 ₹ 151 Mn ₹ 310 Mn EV Business ICE Busines
Slide 23: ESG
E N V I R O N M E N T S O C I A L G OV E R N A N C E E Adoption of Green as Social Commitment • THGL has decided to set up all new forthcoming facilities as “ECOFAC” i.e. Sustainable Green Manufacturing Plants OUR ECO MARK • Key areas to work on shall be Site Planning, Water Conservation, Energy Con
Slide 24: Financial Overview
FINANCIAL OVERVIEW
Slide 25: Historical Consolidated Income Statement
H I S T O R I C A L C O N S O L I D AT E D I N C O M E S TAT E M E N T Particulars (INR Mn) FY21 FY22 FY23 9M-FY24 Revenue from Operations 7,455 9,706 11,692 8,200 Expenses 6,556 8,889 10,278 7,109 EBITDA 899 817 1,414 1,091 EBITDA Margins (%) 12.06% 8.42% 12.09% 13.30% Depreciation and amortisation
Slide 26: Historical Consolidated Balance Sheet
H I S T O R I C A L C O N S O L I D AT E D B A L A N C E S H E E T PARTICULARS (INR MN) FY22 FY23 H1-FY24 PARTICULARS (INR MN) FY22 FY23 H1-FY24 NON-CURRENT ASSETS 5,924 5,390 5,068 EQUITY 3,307 3,544 4,348 a) Property, plant and equipment 3,871 3,853 3,502 Equity Share Capital 188 188 188 b) Capita
Slide 27: Historical Standalone Income Statement
H I S T O R I C A L S TA N D A L O N E I N C O M E S TAT E M E N T PARTICULARS (INR MN) FY21 FY22 FY23 9M-FY24 Revenue from Operations 5,224 6,446 7,818 5,770 Expenses 4,400 5,497 6,725 4,990 EBITDA 824 949 1,093 780 EBITDA Margins (%) 15.77% 14.72% 13.98% 13.52% Depreciation and amortisation 252 30
Slide 28: Historical Standalone Balance Sheet
H I S TO R I C A L S TA N D A L O N E B A L A N C E S H E E T PARTICULARS (INR MN) FY22 FY23 H1-FY24 PARTICULARS (INR MN) FY22 FY23 H1-FY24 NON-CURRENT ASSETS 4,266 4,089 3,993 EQUITY 3,493 3,976 4,137 a) Property, plant and equipment 1,935 1,840 1,741 Equity Share Capital 188 188 188 b) Capital wor
Slide 29: Historical Consolidated Financial Highlights
H I S TO R I C A L C O N S O L I D AT E D F I N A N C I A L H I G H L I G H T S OPERATIONAL REVENUE (INR MN) EBITDA (INR MN) & EBITDA PAT (INR MN) & PAT MARGINS (%) MARGINS (%) 1,000 964 11,692 1,414 50.00% 9,706 800 45.00% 8,200 1,091 7,455 40.00% 899 817 35.00% 600 30.00% 288 25.00% 400 12.06% 12.
Slide 30: Capital Market Information
C A P I TA L M A R K E T I N F O R M AT I O N 100.00% SHARE PRICE PERFORMANCE 80.00% 60.00% 40.00% 20.00% 0.00% -20.00% Jan-23 Feb-23 Mar-23 May-23 Jun-23 Aug-23 Sep-23 Nov-23 Dec-23 Sensex The Hi- Tech Gears Ltd MARKET DATA (INR) AS ON 31st December, 2023 SHAREHOLDING PATTERN AS ON 31ST DECEMBER, 2
Slide 31: Disclaimer
DISCLAIMER The Hi-Tech Gears Limited Disclaimer: No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are
Slide 32: Thank You
THANK YOU
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