Tata Motors Passenger Vehicles Ltd · NSE:TMPV
Tata Motors Passenger Vehicles — Jaguar Land Rover — Investor Day (June 2024)
160 slides from Tata Motors Passenger Vehicles's investor day presentation, Jun 19, 2024
Slide 1: Investor Day 2024
JR INVESTOR DAY 2024 19 JUNE 2024
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Slide 4: Agenda
AGENDA IR 09:00 WELCOME 09:10 Overview of the Business Adrian Mardell, Chief Executive Officer 09:25 Modern Luxury, House of Brands Vision, Prof. Gerry McGovern OBE, Chief Creative Officer and Commercial Strategy and Future Jaguar Lennard Hoornik, Chief Commercial Officer Customer Love Nigel Blenkin
Slide 5: Disclaimer
IR JAGUAR LAND ROVER AUTOMOTIVE PLC. INVESTOR DAY ~ JUNE 2024 DISCLAIMER Consolidated results of Jaguar Land Rover Automotive ple and its subsidiaries ("JLR”) contained in the presentation are unaudited and presented under IFRS as adopted for use in the UK. + Qlrepresents the 3 month period from 1 A
Slide 6: Adrian Mardell
IR ADRIAN MARDELL Chief Executive Officer
Slide 7: Delivering our commitments
IR Delivering our commitments
Slide 8: We are delivering our Reimagine promises
WE ARE DELIVERING OUR REIMAGINE PROMISES Strong recovery through adverse conditions in the last three years Reimagine 2021 said FY24 REVENUE Increasing EBIT MARGIN 27.0% INVESTMENT c. £2.5b FREE CASHFLOW Positive NET CASH / (NET DEBT) 0 IR
Slide 9: Significant improvement in break even point and average revenue
SIGNIFICANT IMPROVEMENT IN BREAK EVEN POINT AND AVERAGE REVENUE Enabling improved financial performance with volumes now recovering CASH FLOW BREAK EVEN REDUCED AVERAGE REVENUE PER UNIT ABOVE £70K CHARGED) 75 FY19 FY20 Fy21 Fv22 FY23 FY24 70 REIMAGINE 65 R ocus 2 60 55 540 50 330 300 ss 40 35 FY20 F
Slide 10: Significant improvement in break even point and average revenue
SIGNIFICANT IMPROVEMENT IN BREAK EVEN POINT AND AVERAGE REVENUE Enabling improved financial performance with volumes now recovering CASH FLOW BREAK EVEN REDUCED AVERAGE REVENUE PER UNIT ABOVE £70K CHARGED) 75 FY19 FY20 Fy21 Fv22 FY23 FY24 70 REIMAGINE 65 R ocus 2 60 55 540 50 330 300 ss 40 35 FY20 F
Slide 11: Unlocking opportunities for growth
UNLOCKING OPPORTUNITIES FOR GROWTH
Slide 12: Unlocking opportunities for growth
FLEXIBLE MLA ARCHITECTURE MLA architecture allows us to align Range Rover and Range Rover Sport production with global EV adoption patterns UNLOCKING OPPORTUNITIES FOR GROWTH HALO PRODUCT STRATEGY Maximising EBIT growth through special products and collections - Range Rover SV and Defender OCTA and
Slide 13: Managing costs sustainably
MANAGING COSTS SUSTAINABLY Underlying cash generation of £400m per quarter Embedded business excellence operating model Value optimisation team prioritising opportunities GROWING RESPONSIBLY PEOPLE AND PARTNERS We have the best team in place to deliver Preparing our colleagues and partners for elect
Slide 14: Strategic imperatives
IR STRATEGIC IMPERATIVES Transform and enhance luxury experience by bringing House of Brands to life Focus on Halo products by brand Exploit growth through Customer Love and improved loyalty Address transition to BEV through flexible MLA architecture Successful launch of new products We recommit to
Slide 15: Thank you
JR THANK YOU ADRIAN MARDELL Chief Executive Officer
Slide 16: Prof. Gerry McGovern OBE
IR PROF. GERRY McGOVERN OBE Chief Creative Officer
Slide 17: Vision
IR VISION To become proud creators of the world’s most desirable automotive modern luxury brands for the most discerning clients
Slide 18: Range Rover Defender Discovery Jaguar
JR RANGE ROVER DEFENDER DISCOVERY JAGUAR
Slide 19: Objective
IR OBJECTIVE Four brands that will build sustainable long-term equity and value for JLR
Slide 20: Approach
IR APPROACH Create four unique Brand Worlds each with distinct interpretations of Modern Luxury Brand Worlds then define Product Design Strategies. Ultimately creating inspirational, exclusive, and exceptional products, services and experiences for our clients
Slide 21: Brand worlds
JR BRAND WORLDS WHAT IS A BRAND WORLD A set of intangibles and tangibles that help shape people’s perception of a brand and its products A luxury brand world maximises desirability and value. WHY IS IT IMPORTANT It allows people to build a relationship with your brand and turn them into loyal custom
Slide 22: Range Rover
RANGE ROVER
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Slide 24: Range Rover brand world
British Since Exemplary Utility to Iconic Originality 1970 Design Luxury Aesthetic Epitome of Creativity Finest Scarcity Luxury Sophistication Craftsmanship Experience Symbols of Luxury Refined & Cinematic Design Excellence Sustainability Peerless Jewel like Association
Slide 25: Product design strategy
PRODUCT DESIGN STRATEGY Refined Modernism Peerless Visionary Excellence
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JR
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Slide 29: Range Rover Sport
» RANGE ROVER sPORT
Slide 30: Defender
DEFENDER
Slide 31: Defender
DEFENDER
Slide 32: Defender brand world
BRITISH SINCE DESIGNED A BEACON ICONIC ADVENTURE ~ 1948 ——— TOROVE ~~ OFLIBERTY ~~ AESTHETIC THE LAND CREATIVITY BUBYVAUE NATURE MEETS PURPOSEFUL CRAFTSMANSHIP DEFENDER SCARCITY URBAN LUXURY DESIGN EXPERIENCE EPIC SYMBOLS OF SUSTAINABILITY HEROIC & NATURE MUSIC ACHIEVEMENT CONSERVATION CHARISMATIC M
Slide 33: Product design strategy
PRODUCT DESIGN STRATEGY DEFENDER BRUTALIST HEROIC CHARISMATIC INSPIRATIONAL MODERNISM
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JR
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JR
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Slide 37: Defender
DEFENDER
Slide 38: Discovery
JR DISCOVERY
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Slide 40: Discovery brand world
BRITISH SINCE INGENIOUS 1989 CREATIVITY ia ee peso CRAFTSMANSHIP DESIGN SYMBOLS OF SUSTAINABILITY TOGETHERNESS CIRCULARITY TOGETHERNESS DESIGNED FOR ANY FAMILY DISCOVERY & POSITIVITY ———— TOGETHERNESS VERSATILITY MODERN DAY FAMILIES CAPTURED MOMENTS JOYOUS UNIQUE AESTHETIC PLAYFUL LUXURY EXPERIENCE
Slide 41: Product design strategy
PRODUCT DESIGN STRATEGY OPTIMISTIC SOCIAL ADAPTABILITY INGENIOUS MODERNISM
Slide 42: JR
JR
Slide 43: Jaguar
JAGUAR
Slide 44: is K
is K
Slide 45: Jaguar brand world
JR british sinée copy of a true uhique creativity 1935 nothing original aesthetic visionary distinctive =. mF design craftsmanship FAGUAR iy Z UaEby experience uniquely symbolsiof sustainability fearless & expressive art change materiality creative bold & association unexpected
Slide 46: Product design strategy
product design strategy JAGUAR unique fearless progressive
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JR
Slide 48: Jaguars will be a copy of nothing
Jaguars will be a copy of nothing. When these Jaguars appear for the first time, they need to have that jaw dropping moment. That sense of wow, that sense of never been seen before, that sense of nothing else.
Slide 49: Summary
SUMMARY Four highly curated brand worlds Four unique product design strategies Four distinct interpretations of modern luxury Four brands that will build sustainable long-term equity and value for JLR IR
Slide 50: Thank you
JR THANK YOU PROF. GERRY McGOVERN OBE Chief Creative Officer
Slide 51: Lennard Hoornik
IR LENNARD HOORNIK Chief Commercial Officer
Slide 52: What's happening?
WHAT’S HAPPENING? JLR relevant segments growing with our share increasing year on year Total Industry Volume Development JLR relevant segment development & share too CAGR +4.2% ra CAGR +7.0% 50% 5 45% S 44% 4.2% eo -— — 2 | 3.9% € a aoe — 10 = = 70 =z 60 , = 30% 50 |] . if 40 20% 30 0 20 10% 2 10 °
Slide 53: What did we say last time?
JR WHAT DID WE SAY LAST TIME? Delivering to our strategy We will invest in creating desirability, not on incentives, building brand equity We will create this through our House of Brands, true growth through desirability Our Retail spaces will be unique, engaging, effortless and client centred drive
Slide 54: Our strategy is delivering
IR OUR STRATEGY IS DELIVERING Increasing luxury positioning Investor Day 2023 FY24 REVENUE EBIT MARGIN 75 70 65 60 55 50 45 40 35 AVERAGE REVENUE PER UNIT ABOVE £70K FY19 FY20 Fy21 Fv22 FY23 FY24
Slide 55: Q2 Q3 Q4
21.00% 20.00% 19.00% 18.00% 17.00% Q2 Q3 Q4
Slide 56: Modern luxury go-to-market strategy
R MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability Make House of Brands real The right partnerships Luxury at Retail Connected experience Halo strategy
Slide 57: Make House of Brands real
MAKE HOUSE OF BRANDS REAL JR Creating growth through desirability
Slide 58: House of Brands
IR HOUSE OF BRANDS Creating growth through desirability The Gentleman, Netflix Enriched people's lives for five decades - storytelling
Slide 59: Placeholder – Canada RR House film
PLACEHOLDER – CANADA RR HOUSE FILM
Slide 60: House of Brands
IR HOUSE OF BRANDS Creating growth through desirability r ie The Gentleman, Netflix Range Rover Electric, 38k+ waitlist
Slide 61: Range Rover Electric waitlist
We are not compr« RANGE ROVER ELECTRIC WAITLIST 38,000+ 186+ MILLION VIEWS ON SOCIAL CHANNELS
Slide 62: House of Brands
HOUSE OF BRANDS In Creating growth through desirability THE DEFENDER ESSENTIALS fora aan» - PURPOSE DEFENDER Destination Defender — Creating communities Music & Festivals — Glastonbury, Kano music artist
Slide 63: House of Brands
HOUSE OF BRANDS In Creating growth through desirability Focused on what our Discovery customers like and do Shared story-telling Discovery since 1989 For Dogs Biking Adventure Jon | F360 Pett Md . HSE | D300Diesel Mid Hybrid | € rroee SELECT THIS CURATION EXPLORE SELECT THIS CURATION ‘resus, ecret D
Slide 64: Future Jaguar
FUTURE JAGUAR IR Creating growth through desirability PHASE 1 ~~ APRIL 24 PHASE 2/3 ~ SEPT 24 TO JUNE 25 PHASE 4/5 @— oNsoaRDING —@® @—————— SEEDING THE BRAND & DESIGN VISION ———————@ @— LAUNCH ——@ > 6 8-@ 0 Focused on Creating Exceptional Experiences & Growing Client Intimacy ie ss ‘Owned metropoli
Slide 65: Modern luxury go-to-market strategy
R MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability The right partnerships J aa
Slide 66: The right partnerships
THE RIGHT PARTNERSHIPS JR Luxury British icons united for the first time <a] RANGE ROVER ‘ EFENDER DREAMVILLE
Slide 67: Modern luxury go-to-market strategy
IR MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability Luxury at Retail
Slide 68: Luxury at retail
LUXURY AT RETAIL IR Creating growth with retail partners, transforming and driving luxury EB f i oa
Slide 69: Modern luxury go-to-market strategy
IR MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability Seamless customer experience é: ( [ Ha RANGE ROVER
Slide 70: Seamless customer experience
SEAMLESS CUSTOMER EXPERIENCE IR Continuing delivery of digital customer experience in partnership with our Retailers ALREADY LIVE IN EUROPE AND SOUTH AFRICA FOR JLR OUR CUSTOMERS FOR RETAILERS Direct client relationships Seamless journeys Client focused experience Rebalanced value chain Enjoyable an
Slide 71: Seamless customer experience
INSPIRATION PERSONALIZE SUMMARY SEAMLESS CUSTOMER EXPERIENCE Go live in US by Q2 and UK by Q3 FY25 RANGE ROVER RANGE ROVER RANGE ROVER SE | P400Gas Mild Hybrid | $108,875 ——
Slide 72: Modern luxury go-to-market strategy
R MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability Connected experience
Slide 73: Connected experience
CONNECTED EXPERIENCE a Connected car + connected customer = connected and personalised experience Car-to- a Feature Connectivity Cloud OTA Commerce “complimentary . Analytics experience day Recommendation Engine
Slide 74: Modern luxury go-to-market strategy
IR MODERN LUXURY GO-TO-MARKET STRATEGY Driving growth through desirability
Slide 75: Halo strategy
HALO STRATEGY A significant opportunity HALO OFFERING ?) DEFENDER IR
Slide 76: Halo strategy
HALO STRATEGY The ultimate in each of our House of Brands RANGE ROVER DEFENDER DISCOVERY JAGUAR Bespoke Editions Halo Vehicles IR
Slide 77: Bespoke editions
SADAF EDITION BURFORD EDITION CARMEL EDITION 1 OF 20 1 OF 10 1 OF 17 SOLD ACROSS MENA MARKETS UK REGION US REGION 1.5M AED - $415K USD £275K GBP $370K USD
Slide 78: Halo strategy: Defender Octa
HALO STRATEGY Defender Octa is coming July ‘24
Slide 79: Halo strategy revenue contribution
JR HALO STRATEGY Revenue contribution from Halo Strategy CUMULATIVE HALO GROWTH % FY23 FY24 FY25
Slide 80: Our strategy is delivering
IR OUR STRATEGY IS DELIVERING Increasing luxury positioning Investor Day 2023 FY24 REVENUE EBIT MARGIN 75 70 65 60 55 50 45 40 35 AVERAGE REVENUE PER UNIT ABOVE £70K FY19 FY20 Fy21 Fv22 FY23 FY24
Slide 81: Evolving our strategy
EVOLVING OUR STRATEGY Relentless focus on customer experience CUSTOMER DESIRABLE DIGITAL SUSTAINABLE LOYALTY GROWTH GO-TO-MARKET FUTURE RANGE ROVER
Slide 82: Summary
SUMMARY Our value strategy is working House of Brands implementation is on track Renewed relentless focus on customer experience Connected web, app and car experience through data Significant Halo growth and even greater opportunity IR
Slide 83: Thank you
JR THANK YOU LENNARD HOORNIK Chief Commercial Officer
Slide 84: Nigel Blenkinsop
IR NIGEL BLENKINSOP Executive Director Enterprise Performance & Quality
Slide 85: Customer Love
IR CUSTOMER LOVE
Slide 86: Customer Love
Slide 87: Why and why now?
Slide 88: Quality benchmark rankings
APEAL (2023) IQS (2023) VDS (2024) Jaguar 887 Land Rover 883 Alfa Romeo 143 Porsche 883 Porsche 167 Cadillac 170 BMW 878 Genesis 877 Lexus 171 Genesis 176 Mercedes-Benz 876 Maserati 182 Lincoln 873 Jaguar 185 Premium 871 BMW 192 Cadillac 865 Mercedes-Benz 201 Lexus 864 Land Rover 203 Alfa Romeo 859
Slide 89: Our Customer Love goal
Slide 90: Opportunities to improve
Slide 91: Aftermarket
Slide 92: Key opportunities
Slide 93: Continuous improvement of sales, servicing and product performance workflows
Continuous Improvement of Sales, Servicing and Product Performance workflows
Slide 94: Summary
Slide 95: Thank you
Slide 96: Qing Pan
Slide 97: Import and domestic businesses have had differing experiences
Slide 98: JLR China strong import performance and stabilised domestic
Slide 99: Steady growth over past six years
Slide 100: Key success factors driving our sustained growth
Slide 101: China PV market continues to expand
Slide 102: Dynamic and evolving environment
Slide 103: Key focus areas for growth in China
Slide 104: Summary
• • •
Slide 105: Thank you
Slide 106: Q&A
Slide 107: Break
Slide 108: Thomas Müller
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Slide 110: We teased the Defender Octa
Slide 111: Significant product actions across brands
Slide 112: Vehicle architecture strategy
Slide 113: Major milestones for future vehicles achieved
Slide 114: Future platform capabilities
Slide 115: Customer love is at the heart of engineering
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Slide 117: Summary
Slide 118: Thank you
Slide 119: Barbara Bergmeier
Slide 120: Industrial operations team
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Slide 135: FY24 scope 1 & 2 emissions
FY24 absolute scope 1 & 2 emissions FY24 scope 3 combined purchased goods & services and (location-based). FY20 baseline 326 ktCO2e use of sold products per vehicle emissions. FY20 baseline 64.31 tCO2e/vehicle
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Slide 139: Jan 2024 Feb 2024 Dec 2022
Jan 2024 Feb 2024 Dec 2022 Nov 2022
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Slide 151: EBIT margin bridge to FY26
FY24 MLA full rate New platforms HALO Warranty Contribution costs Parts & accerssories Brand Investment FY26 10.0% 8.5%
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Slide 154: Flex BEV
FLEX BEV
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