Tata Motors Limited · NSE:TMCV
Tata Motors — Q2 FY13 Earnings Presentation
62 slides from Tata Motors's earnings presentation, Nov 16, 2012
Slide 1: Tata Motors Limited Form 6-K
Table of Contents FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 For the Month of November 2012 Commission File Number: 001-32294 TATA MOTORS LIMITED (Translation of registrant’s nam
Slide 2: Table of Contents
Table of Contents TABLE OF CONTENTS Item 1: Form 6-K dated November 7, 2012 along with the Press Release.
Slide 3: Signature
Table of Contents SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorised. Tata Motors Limited By: /s/ Hoshang K Sethna Name: Hoshang K Sethna Title: Company Sec
Slide 4: Jaguar Land Rover PLC Interim Report
Table of Contents Jaguar Land Rover PLC Interim Report for the three months and six months ended 30 September 2012
Slide 5: Table of contents
Table of Contents Table of contents Page JLR key metrics 2 Key events for Q2 FY13 Management’s discussion and analysis of financial condition and results of operations General trends in performance (including results of operations) 4 Business risks and mitigating factors 8 Employees 8 Liquidity and
Slide 6: JLR key metrics
Table of Contents JLR key metrics Retail volumes Revenue EBITDA Net income Guidance Notes: • Trading result is before providing for mark to market losses on un-hedged commodity and foreign exchange derivatives • Net Income is after providing for mark to market losses on un-hedged commodity and forei
Slide 7: Enthusiastic reception to new Range Rover
Table of Contents Enthusiastic reception to new Range Rover The Paris motor show saw the launch of one of our most eagerly awaited products, the all new Range Rover, the world’s most refined and capable SUV. “Launching the all-new Range Rover represents a major milestone for Land Rover, being the fi
Slide 8: Management's discussion and analysis
Table of Contents Management’s discussion and analysis of financial condition and results of operations The Company has performed strongly in the quarter, with revenue for the 3 months of £3,288 million, compared to £2,915 million in Q2 FY12. PBT for Q2 FY13 at £431 million is up £215 million over Q
Slide 9: Revenue and earnings
Table of Contents Revenue and earnings The Company generated revenue of £3,288 million in Q2 FY13, an increase of 13% over the £2,915 million in Q2 FY12. EBITDA for the Company increased by £66 million for the quarter to £486 million compared to £420 million for Q2 FY12. The EBITDA margin has remain
Slide 10: Performance in key geographical markets: United States
Table of Contents Performance in key geographical markets on retail basis United States The US economic situation is still showing signs of recovery in the current quarter, but uncertainty remains in an election year. The US premium car segment volumes remained broadly flat in the last 12 months, wi
Slide 11: Europe (excluding Russia and UK)
Table of Contents Europe (excluding Russia and UK) The Euro crisis is continuing to put pressure on European markets, with recession in a number of countries and a slowdown in Germany and France. Credit rating agencies continue to be negative about Euro area prospects, and the European car industry
Slide 12: Business risks, employees, liquidity and capital resources
Table of Contents Business risks and mitigating factors As discussed on pages 21-30, and elsewhere, of the Annual Report 2011-12 of the Company, Jaguar Land Rover is exposed to various business risks including the uncertainty of global economic conditions, fluctuations of currency exchange rates and
Slide 13: Cash flow data
Table of Contents Cash flow data Net cash provided by operating activities was £517 million in the quarter compared to £475 million during Q2 FY12. Net cash used in investing activities was £611 million in the quarter (Q2 FY12: £356 million). Of this, £200 million relates to bank deposits with a mat
Slide 14: Condensed Consolidated Income Statement, three months
Table of Contents Condensed Consolidated Income Statement for the three months ended 30 September 2012 (Unaudited) Three months ended Three months ended 30 September 2012 30 September 2011 Non Non Trading operating Trading operating result result result result Note £m £m Total £m £m Total Revenue 3,
Slide 15: Condensed Consolidated Income Statement, six months
Table of Contents Condensed Consolidated Income Statement for the six months ended 30 September 2012 (Unaudited) Six months ended Six months ended 30 September 2012 30 September 2011 Non Non Trading operating Trading operating result result result result Note £m £m Total £m £m Total Revenue 6,926.5
Slide 16: Condensed Consolidated Statement of Comprehensive Income
Table of Contents Condensed Consolidated Statement of Comprehensive Income for the three and six months ended 30 September 2012 Three months ended Three months ended Six months ended Six months ended 30 September 2012 30 September 2011 30 September 2012 30 September 2011 (Unaudited) (Unaudited) (Una
Slide 17: Condensed Consolidated Balance Sheet
Table of Contents Condensed Consolidated Balance Sheet at 30 September 2012 30 September 2012 31 March 2012 £m £m Note (Unaudited) (Audited) Non-current assets Investments 2.9 1.4 Other financial assets 291.6 106.9 Property, plant and equipment 2,038.5 1,585.9 Pension asset 17 1.4 1.9 Intangible ass
Slide 18: Condensed Consolidated Balance Sheet (continued)
Table of Contents Condensed Consolidated Balance Sheet (continued) at 30 September 2012 30 September 2012 31 March 2012 £m £m Note (Unaudited) (Audited) Equity attributable to equity holders of the company Ordinary shares 1,500.6 1,500.6 Capital redemption reserve 17 166.7 166.7 Reserves/(accumulate
Slide 19: Condensed Consolidated Statement of Changes in Equity
Table of Contents Condensed Consolidated Statement of Changes in Equity for the six months ended 30 September 2012 Capital Reserves / redemption accumulated Total Ordinary Shares reserve deficit Equity £m £m £m £m Balance at 31 March 2011 (Audited) 1,500.6 166.7 (191.9) 1,475.4 Net income for the si
Slide 20: Condensed Consolidated Cash Flow Statement
Table of Contents Condensed Consolidated Cash Flow Statement for the six months ended 30 September 2012 Six months ended Six months ended 30 September 30 September 2012 2011 (Unaudited) (Unaudited) £m £m Cash flows from operating activities Net income attributable to shareholders 541.1 392.1 Depreci
Slide 21: Condensed Consolidated Cash Flow Statement (continued)
Table of Contents Condensed Consolidated Cash Flow Statement (continued) for the six months ended 30 September 2012 Six months ended Six months ended 30 September 30 September 2012 2011 (Unaudited) (Unaudited) £m £m Cash flows (used in) / from financing activities Finance expense and fees paid (92.4
Slide 22: Notes: Accounting policies
Table of Contents Notes (forming part of the condensed interim financial statements) 1 Accounting policies Basis of preparation The information for the six months ended 30 September 2012 is unaudited and does not constitute statutory accounts as defined in Section 435 of the Companies Act 2006. The
Slide 23: Notes: Research and development, foreign exchange
Table of Contents Notes (continued) 2 Research and development Three months ended Three months ended Six months ended Six months ended 30 September 30 September 30 September 30 September 2012 2011 2012 2011 (Unaudited) (Unaudited) (Unaudited) (Unaudited) £m £m £m £m Total R&D costs 268.9 224.3 531.4
Slide 24: Notes: Finance income and expense
Table of Contents Notes (continued) 4 Finance income and expense Recognised in net income Three months ended Three months ended Six months ended Six months ended 30 September 30 September 30 September 30 September 2012 2011 2012 2011 (Unaudited) (Unaudited) (Unaudited) (Unaudited) £m £m £m £m Financ
Slide 25: Notes: Other financial assets, inventories
Table of Contents Notes (continued) 6 Other financial assets – current 30 September 2012 31 March 2012 (Unaudited) (Audited) £m £m Short term investments 375.0 — Advances and other receivables recoverable in cash 14.4 0.1 Derivative financial instruments 125.9 48.4 Restricted cash 100.3 131.4 Other
Slide 26: Notes: Other financial liabilities, provisions
Table of Contents Notes (continued) 11 Other financial liabilities 30 September 2012 31 March 2012 (Unaudited) (Audited) £m £m Current Liabilities for vehicles sold under a repurchase arrangement 167.6 153.7 Finance lease obligations 4.4 4.7 Interest accrued 36.4 46.5 Derivative financial instrument
Slide 27: Notes: Provisions (continued)
Table of Contents Notes (continued) 12 Provisions (continued) Product warranty 30 September 31 March 2012 2012 (Unaudited) (Audited) £m £m Opening balance 569.2 503.1 Provision made during the period 171.1 371.5 Provision used during the period (131.9) (298.5) Impact of discounting 1.3 (6.9) Closing
Slide 28: Notes: Provisions (continued)
Table of Contents Notes (continued) 12 Provisions (continued) Product warranty provision The group offers warranty cover in respect of manufacturing defects, which become apparent within a year and up to five years after purchase, dependent on the market in which the purchase occurred. Product liabi
Slide 29: Notes: Interest bearing loans and borrowings
Table of Contents Notes (continued) 14 Interest bearing loans and borrowings 30 September 31 March 2012 2012 (Unaudited) (Audited) £m £m Euro MTF listed bond 1,478.9 1,484.4 Loan from banks 260.3 332.6 Redeemable preference shares classified as debt — 157.1 Finance lease liabilities 17.7 19.8 1,756.
Slide 30: Notes: Other reserves (continued)
Table of Contents Notes (continued) 15 Other reserves (continued) Accumulated deficit: profit Total Reserves / Translation Hedging Pension and loss accumulated reserve reserve Reserve reserve deficit £m £m £m £m £m Balance at 1 April 2011 (383.3) 21.8 (535.2) 704.8 (191.9) Net income for the year —
Slide 31: Notes: Employee benefits
Table of Contents Notes (continued) 17 Employee benefits Jaguar Cars Limited and Land Rover, have pension arrangements providing employees with defined benefits related to pay and service as set out in the rules of each fund. The following table sets out the disclosure pertaining to employee benefit
Slide 32: Notes: Employee benefits (continued)
Table of Contents Notes (continued) 17 Employee benefits (continued) The range of assumptions used in accounting for the pension plans in both periods is set out below: September 2012 March 2012 % % Discount rate 4.6 5.1 Rate of increase in compensation level of covered employees 3.2 3.8 Inflation i
Slide 33: Notes: Commitments and contingencies
Table of Contents Notes (continued) 18 Commitments and contingencies In the normal course of business, the group faces claims and assertions by various parties. The group assesses such claims and assertions and monitors the legal environment on an ongoing basis, with the assistance of external legal
Slide 34: Notes: Capital management
Table of Contents Notes (continued) 19 Capital management The company’s objectives for managing capital are to create value for shareholders, to safeguard business continuity and support the growth of the company. The company determines the amount of capital required on the basis of annual operating
Slide 35: Notes: Related party transactions (continued)
Table of Contents Notes (continued) 20 Related party transactions (continued) Compensation of key management personnel Six months ended Six months ended 30 September 2012 30 September 2011 (Unaudited) (Unaudited) £m £m Short-term benefits 5.3 6.3 31
Slide 36: Front Cover Pictures
Table of Contents Front Cover Pictures All new Range Rover Jaguar XF Sportbrake Vehicles above Jaguar XF Sportbrake in ‘Maillot Jaune’ livery Land Rover Defender special edition For further details visit www.jaguarlandrover.com
Slide 37: Jaguar Land Rover PLC address
Table of Contents Jaguar Land Rover PLC Banbury Road Gaydon Warwickshire CV35 0RG
Slide 38: Jaguar Land Rover November 2012 Results
Table of Contents Jaguar 07 November Land Rover 2012 Results Under IFRS for the period ended 30 September 2012
Slide 39: Disclaimer
Table of Contents Statements Disclaimer “forward-looking the •regulations, 2Consolidated Q2Company’s H1 FY13 FY12 FY13 FY12 represents represents intax results this operations laws statements” presentation theof and 12 the Jaguar month other 3include, 6 month within Land statutes describing period p
Slide 40: Participants
Table of Contents Kenneth Participants Bennett Treasurer C. CFO Vijay 3Head Ramakrishnan Tata Jaguar of Somaiya Birgbauer Treasury Gregor Jaguar Motors LandLand &Rover Investor Rover Relations Tata Motors
Slide 41: Agenda
Table of Contents Key topics Agenda Financial Looking 4Closing Q&A ahead performance Page 17 / other developments 5 14
Slide 42: Q2 FY13 financial highlights
Table of Contents Q2 FY13 Retail Wholesale EBITDA PBT Maintained 5Cash up and volumes reflecting up financial volumes positive on up higher higher 29% deposits highlights and free volumes, from revenue cash EBITDA £2,176m prior flow with upyear and while 13% and EBITDA foreign from investing undrawn
Slide 43: Key financial metrics
Table of Contents Key Quarter (£ Retail Wholesale Revenues EBITDA Profit Free 1Cash million, financial metrics-IFRS cash (2) before after volumes ended 2deposits)Cash 2,176 486 %flow 3,288 volumes unless tax 14.8% tax 420 metrics from Includes30 305 (1) 1,340 (‘000 2,915 431 September stated) 66 106
Slide 44: Overall performance commentary
Table of Contents Overall Land Jaguar Evoque -EBITDA FY12) due PBT PAT 7recognising favourable offset to is includes Rover model up, retail by performance margin reflecting a aretail model geographic foreign volume changeover deferred £67mofvolume mix, 14.8%, for exchange down acontinues higher tax
Slide 45: Quarterly retail volumes by carline
Table of Contents Quarterly Jaguar Down 13,233 1,247 3,636 8,350 XF Total Land Up New 14,026 13,210 3,096 52,449 24,442 113 7,009 Rover Range Evoque 6,325 13,038 12,368 10,982 Freelander 5,114 Defender 10,864 8Q2 37% FY12 Range Rover 3,813 1,064 3,382 8,352 3% Rover –Discovery 12,798 Sport Range 71,
Slide 46: Quarterly retail volumes by geography
Table of Contents Quarterly UK 18,115 17,152 14,996 12,106 10,869 14,093 10,635 9,010 9,235 4,361 1,634 Europe Up All markets (ROW) Asia 16,025 14,578 12,458 (ex. Russia) 14,024 10,127 4,059 2,736 1,967 2,331 Q2 9Land 21% 29% FY12 other North America 19.1% Rover Russia) 18.9% 4,022 1,363 11,475 16.5
Slide 47: Consolidated income statement
Table of Contents Consolidated Quarter (£ Revenues Material Employee Other Product EBITDA Depreciation Foreign Net Profit Income million, finance expenses before after statement tax ended development exchange cost 486 3,288 costs unless tax expense income tax and of income 420 30 305 (634)(548)(86)(
Slide 48: Healthy consolidated cash flow
Table of Contents Healthy Consolidated Quarter (£ Working Other Free Investment Changes Dividend Finance Net 2,157 Cash Memo: deposits 11 million, change cash from flow and 1,383 (including Cash ended cash expenses 2,176 in capital cash paid(150) flow from operating unless in debt 774 including gene
Slide 49: Strong liquidity and key financial indicators
Table of Contents Strong Key (£ Cash 2012 Committed Other Total Netmillion, cash financial and liquidity equity debt undrawn financing /437 financial equity 1,739 unless revolving 3,465 456(19) indicators 3,203 committed 1,974(235) structure 12.6% stated) 2,924 deposits 3,286(83) credit 15.6% -541 3
Slide 50: Agenda
Table of Contents Key topics Agenda Financial Looking Closing 13 Q&A ahead performance Page 17 / other developments 5 14
Slide 51: Product developments
Table of Contents Launched Developments great The In an 14 Q3 AWD new acclaim FY13, version Jaguar thewe allF-TYPE will and new,start smaller all sports aluminium retailing engine carthe was variants Range 13revealed MYRover XFatand atthe the XJ, Paris Paris including motor motorshow ashow Sportbrak
Slide 52: Summary
Table of Contents Good Summary Going production -meet 15 starting launching continuing planned generating customer overall forward sales investments both strong toperformance of aspirations monitor focus refreshed new operating isRange inon: economic future and in the cash Rover regulatory new new f
Slide 53: Agenda
Table of Contents Key topics Agenda Financial Looking Closing 16 Q&A ahead performance Page 17 / other developments 5 14
Slide 54: Q&A
Table of Contents Q&A
Slide 55: Additional slides
Table of Contents Additional slides
Slide 56: Six-month retail volumes by carline
Table of Contents Jaguar 25,790 XK 2,701 8,003 15,082 XF Total Land Up 103,168 113 144,071 26,684 27,064 3,096 14,563 Rover 13,005 Range 26,023 Sport 21,530 22,496 Discovery Freelander 24,109 69,926 19month months 3% 40%Rover 2,004 7,844 7,242 Rover –Defender 26,436 16,588 New Evoque Range 51,388 re
Slide 57: Six-month retail volumes by geography
Table of Contents UK 35,617 32,598 29,609 25,663 20,812 Pacific 25,492 18,364 17,812 7,299 20.8% 20.9% Up All markets 35,403 (ROW) 29,269 26,271 Europe North 30,704 (ex. 21,709 Russia) 4,100 China 5,693 64,562 FY12 Land month months 27% 35% other North Rover 7,106 6,248 4,699 FY13 All Asia markets (
Slide 58: Quarterly wholesale volumes by carline
Table of Contents Quarterly Jaguar Down 13,306 1,294 9,832 3,441 2,090 8,567 Total Land Up New 14,963 12,273 7,772 23,340 54,694 14 6,558 4,422 Range 12,296 10,401 10,679 Freelander 5,116 Defender Q2 21 24% FY12 Range Rover 3,601 XJ 1,071 XF 6,671 Rover Evoque 26% Rover –10,869 XK Sport Range 67,610
Slide 59: Quarterly wholesale volumes by geography
Table of Contents Quarterly UK Up 16,374 10,848 15,413 Europe Down 13,944 14,659 15,549 13,202 13,102 2,226 2,952 2,447 726 Land Q2 All Asia 22 2% FY13 FY12 other North 832 Pacific Rover 3,115 1,457 6% 15,080 12,127 8,948 11,574 12,948 Up Asia 996 markets Q2 wholesale America Up 12% Jaguar 1,356 5.1
Slide 60: Six-month wholesale volumes by carline
Table of Contents Jaguar Up 105,441 14 Down 27,377 26,640 7,774 14,493 11,800 Range 24,616 XK 24,649 2,455 7,167 5,675 15,016 XF 6Total month months 32% 21,644 9,799 XJ 1,871 20,916 12% Rover –Evoque Rover Sport 21,606 14,059 50,547 139,288 wholesale 6FY12 months Range New 6,990 22,119 Discovery Fre
Slide 61: Six-month wholesale volumes by geography
Table of Contents UK 34,938 27,146 28,301(ROW) 20,845 24,774 4.8% 32,048 19,533 17,792 7,613 20.4% 21.7% Europe Up All markets Asia (ROW) 32,749 28,199 22,854 (ex. 29,113 23,601 6,272 4,839 China 64,598 FY12 Land month months 4% 16% other North America 17.6% Rover North 5,994 7,668 5,952 3,636 FY13
Slide 62: Product development and investment
Table of Contents Product Key Quarter (£ R&D Capitalised Expensed Investment Total assets Of 25 million, which financial R&D product expense ended and capitalised 51 unless in expense 218 other 34 and indicators tangible 30190 17September stated) other investment 91 269 28 444 61 and 433 investment