Eicher Motors Limited · NSE:EICHERMOT
Eicher Motors — Q3 FY2025 Earnings Presentation
70 slides from Eicher Motors's earnings presentation, Feb 10, 2025
Slide 1: Regulation 30 Investor Presentation Submission Letter
February 10, 2025 Online intimation/submission The Secretary The Secretary BSE Limited National Stock Exchange of India Ltd Phiroze Jeejeebhoy Towers Exchange Plaza, 5th Floor, Plot No.C/1, Dalal Street G Block, Bandra Kurla Complex, Bandra (E) Mumbai-400 001 Mumbai-400 051 Security Code: 505200 Sym
Slide 2: Eicher Motors Ltd Q3 FY 2024-25 Investor Presentation
EICHER MOTORS LTD Q3 FY 2024-25 INVESTOR PRESENTATION February, 2025
Slide 3: Safe Harbour Statement
SAFE HARBOUR STATEMENT All statements included or incorporated by reference in this presentation, other than statements or characterisations of historical fact, are forward-looking statements. These forward-looking statements are based on our current expectations, estimates, and projections about ou
Slide 4: Contents
CONTENTS 1. EML Overview 2. Royal Enfield ● Company Overview ● India Business ● International Business ● Non-MC Business ● Operations Overview ● Brand ● Sustainability 3. JV Update - VECV 4. Financial Review INVESTOR PRESENTATION February 2025
Slide 5: Group Structure - Eicher Motors Ltd
GROUP STRUCTURE - EICHER MOTORS LTD Foreign Institutional Domestic Promoter Group Investors Institutional Investors Others 49.1% 26.4% 16.2% 8.3% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Eicher Motors Limited (EML) Joint Venture Business Unit 45.6% 54.4% Royal Enfield (RE) RENA (Royal Royal Enfield
Slide 6: EML Board
EML BOARD S Sandilya Siddhartha Lal B. Govindarajan Vinod K. Aggarwal Chairman, EML Managing Director and CEO, EML CEO - Royal Enfield, Whole Time Non-Executive Director Director Inder Mohan Singh Manvi Sinha S Madhavan Tejpreet Chopra Independent Director Independent Director Independent Director In
Slide 7: Royal Enfield
ROYAL ENFIELD INVESTOR PRESENTATION February 2025
Slide 8: Our Purpose
OUR PURPOSE Royal Enfield’s philosophy of Pure Motorcycling has always been about a constant search for balance between people, machine and terrain. Today, in a world out of sync with itself, we must extend this quest to our business – so that we can restore equilibrium between commercial objectives,
Slide 9: Rebalance: Long Term Strategic Vision
REBALANCE: LONG TERM STRATEGIC VISION 1. ICE and EV 3. Brand Led CX Brand led Customer Experience Balance EV as a game changer versus transactional focus along with ICE products 2. Growth Focus 4. Sustainability Balance Social & Commercial Balance Growth & Profitability objectives CREATE AN AGILE, RE
Slide 10: Strong Management Team
STRONG MANAGEMENT TEAM Siddhartha Lal B. Govindarajan Mark Wells Mohit Dhar Jayal Simon Warburton Mahesh Tripathi Managing Director & CEO, EML CEO – Royal Enfield Chief of Design Chief Brand Officer Chief Program Manager Chief Operations Officer Yadvinder S. Guleria Vidhya Srinivasan Rajeev Sharma Sudh
Slide 11: Expansive Product Portfolio
EXPANSIVE PRODUCT PORTFOLIO Engine Platform Heritage Roadster Scrambler Adventure Cruiser Retro Sport P Platform 650cc | Twin cylinder Interceptor INT650 Super Meteor 650 Continental GT650 Classic 650 Bear 650 Air-oil cooled 47 PS | 52.4 N-m Shotgun 650 K Platform 450cc | Single cylinder Liquid cool
Slide 12: India Business
‘7 Es A i - i ad < A es RIFREA DIICI 4 tea INDIA BUSINESS ..
Slide 13: Share of Mid-Size in Domestic Motorcycle Market Growing
SHARE OF MID-SIZE (250-750cc) IN THE DOMESTIC MOTORCYCLE MARKET GROWING 8.0% INVESTOR PRESENTATION 12 February 2025
Slide 14: Royal Enfield Leads the Mid-Size Industry in India
ROYAL ENFIELD LEADS THE MID-SIZE INDUSTRY IN INDIA Himalayan 450 | Shotgun 650 Transition of all 350 models to J Platform Launch of the twins Hunter 350 INT 650 / GT 650 Super Meteor 650 Guerrilla 450 Bear 650 | Classic 650 Launch of 411 New Classic 350 Goan Classic 350 Himalayan OG Scram 411 Contin
Slide 15: Gaining Market Share in Domestic Motorcycles
GAINING MARKET SHARE IN DOMESTIC MOTORCYCLES 29.1% 6.9% 12.6% 2.0% INVESTOR PRESENTATION 14 February 2025
Slide 16: Expansive Premium Dealership Network
EXPANSIVE PREMIUM DEALERSHIP NETWORK Royal Enfield expanded its pre-owned motorcycle Royal Enfield currently ranks #2 in the FADA business, RE Own to 236 cities across India. Dealer Satisfaction Survey 2024 INVESTOR PRESENTATION 15 February 2025
Slide 17: International Business
INTERNATIONAL BUSINESS
Slide 18: Royal Enfield's Global Footprint
ROYAL ENFIELD’s GLOBAL FOOTPRINT Europe Subsidiary Canada Subsidiary UK Subsidiary North America Tech Center Subsidiary Nepal (CKD) (Dis) Brazil CKD Bangladesh CKD & Brazil Subsidiary Thailand CKD Colombia (CKD) & Thailand Subsidiary India Tech Center Subsidiaries - 06 Manufacturing CKD units - 06 T
Slide 19: Global Mid-Size Market is Underserved & a Huge Opportunity
GLOBAL MID-SIZE MARKET IS UNDERSERVED & IS A HUGE OPPORTUNITY Americas Market Share^ APAC Market Share EMEA Market Share 8% 9% 9% ● Launch of Tours & Rentals, Riders Club of Europe Membership crossed 31,250. ● RE is the top 4 mid-weight motorcycle brands in many countries around the world. ^Reflects
Slide 20: Rapidly Growing International Network
RAPIDLY GROWING INTERNATIONAL NETWORK 1,085+ premium global touchpoints Subsidiary - USA, Brazil Technology Centers – UK Subsidiary : Thailand Assembly Unit – Argentina, Colombia, Brazil Subsidiary – UK Assembly Unit – Thailand Exclusive Multi Brand Exclusive Multi Brand Exclusive Multi Brand Store
Slide 21: Revenue from International Business Growing
REVENUE FROM INTERNATIONAL BUSINESS GROWING International Business – Stellar Financial Performance over last 8 years New Thailand Assembly plant Inauguration INVESTOR PRESENTATION 20 February 2025
Slide 22: Widening Reach in the Non-Motorcycle Business
WIDENING REACH IN THE NON-MOTORCYCLE BUSINESS INVESTOR PRESENTATION 21 February 2025
Slide 23: Spares and Service
SPARES AND SERVICE Royal Enfield Service Spares - 6 new product introduced No.1 After Sales Score in RE Essentials - FADA SURVEY, 2023 INVESTOR PRESENTATION 22 February 2025
Slide 24: Genuine Motorcycle Accessories
GENUINE MOTORCYCLE ACCESSORIES Genuine Motorcycle Accessories INVESTOR PRESENTATION 23 February 2025
Slide 25: Apparel Brand Store Opened in Gurgaon
APPAREL BRAND STORE OPENED IN GURGAON Gurugram Apparel Store Royal Enfield launched it’s exclusive apparel brand store at AIPL Joy Central Mall, Gurugram, marking a significant milestone in the brand's retail journey in the North region. The store offers a premium range of riding gear, helmets, and li
Slide 26: Apparel Announcements
APPAREL ANNOUNCEMENTS First ever digital cover with Royal Enfield Launches Overall Riding Jackets COSMOPOLITAN Lifestyle Accessories Royal Enfield has launched its first-ever Royal Enfield has launched its 'Anytime, Royal Enfield has launched a range of Lifestyle digital cover with COSMOPOLITAN magazine,
Slide 27: Operations Overview
OPERATIONS OVERVIEW
Slide 28: Production Capacity
PRODUCTION CAPACITY THIRUVOTTIYUR ORAGADAM VALLAM No Assembly operations; Plating & Auto buffing 600,000 600,000 motorcycles per annum motorcycles per annum capacity capacity INVESTOR PRESENTATION 27 February 2025
Slide 29: Building Global Capabilities for Future
BUILDING GLOBAL CAPABILITIES FOR FUTURE UK CHENNAI ▪ UK Tech Centre at Bruntingthorpe to be a hub for the ▪ The Chennai tech centre has the engineering and design product development and research activities, driving the teams working under one roof and houses state-of-the-art mid-range motorcycle pl
Slide 30: EML - Stark Future Partnership
EML - STARK FUTURE PARTNERSHIP 01 Common tenets of long term vision 02 Deep understanding of EVs and connected - tech Technical Collaboration 03 Agreement - potential for joint development and sourcing 04 World class team - Faster product development Sourcing relationships 05 Sourcing relationships
Slide 31: Brand
BRAND
Slide 32: Motoverse 2024
MOTOVERSE 2024 10,000 2.5 BN 70% FIRST-TIMERS 81 MN ENTHUSIASTS POTENTIAL REACH THROUGH PR AND MEDIA REACHED ON SOCIALS The 14th Royal Enfield Motoverse 2024 brought together nearly 10,000 enthusiasts, celebrating camaraderie and adventure. Featuring the launch of the Goan Classic 350, Scram 440, FT
Slide 33: Goan Classic 350 Launch
GOAN CLASSIC 350 LAUNCH Royal Enfield launched the Goan Classic 350 at Motoverse 2024, a bobber-inspired motorcycle that embodies the free-spirited essence of Goa’s '70s and '80s moto-culture. INVESTOR PRESENTATION 32 February 2025
Slide 34: Bear 650 First Global Ride and Price Unveil
BEAR 650 FIRST GLOBAL RIDE AND PRICE UNVEIL The Bear 650 is a symbol of the brand’s stylish ruggedness. Inspired by Eddie Mulder historic win at the 1960 Big Bear Run. Prices unveiled at EICMA post an embargoed media ride in LA. INVESTOR PRESENTATION 33 February 2025
Slide 35: Classic 650 Global Media Ride and Showcase
CLASSIC 650 GLOBAL MEDIA RIDE AND SHOWCASE The purest form of Royal Enfield’s DNA, craftsmanship with double the charm. Global showcase of the much-loved and anticipated masterpiece. INVESTOR PRESENTATION 34 February 2025
Slide 36: Scram 440 Launch
SCRAM 440 LAUNCH The Scram 440 is a crossover motorcycle. It offers elevated functionality for the best balance of urban commuting and off-road capabilities. INVESTOR PRESENTATION 35 February 2025
Slide 37: Thailand Assembly Plant Inauguration
THAILAND ASSEMBLY PLANT INAUGURATION Royal Enfield announced the inauguration of its first standalone motorcycle assembly plant in Thailand, marking a significant expansion in the Asia Pacific region. INVESTOR PRESENTATION 36 February 2025
Slide 38: Royal Enfield at EICMA 2024
ROYAL ENFIELD AT EICMA 2024 At EICMA 2024, Royal Enfield took center stage with the highly anticipated launch of the Bear 650, and global showcase and Europe launch of Classic 650, and global unveil of Flying Flea C6 and S7. Our pavilion stood as a tribute to motorcycling passion, featuring an inspir
Slide 39: Flying Flea Launch
FLYING FLEA LAUNCH A new chapter in Royal Enfield’s 123-year journey of evolution. Global unveil of the first-ever electric brand “The Flying Flea’ - FF C6 & FF S6. INVESTOR PRESENTATION 38 February 2025
Slide 40: Shotgun x Icon
SHOTGUN X ICON 12th February 2025 100 3 Launch date Limited-edition motorcycles Unique colour tone (Exclusively in Royal Enfield App) (with a complementary riding jacket) (with race-style graphics) INVESTOR PRESENTATION 39 February 2025
Slide 41: Brand Announcements
BRAND ANNOUNCEMENTS RE Art of Motorcycling 1:3 Scale Model launch Season 4 Conclusion GT Cup 2024 Culmination Royal Enfield reintroduced its limited-edition Royal Enfield’s #ArtOfMotorcycling Season 4 The Royal Enfield Continental GT Cup 2024, 1:3 scale models on October 15, 2024. Priced at concluded w
Slide 42: Brand Partnerships
BRAND PARTNERSHIPS Royal Enfield x Qualcomm Royal Enfield x SENA Collaboration with Qualcomm Technologies Royal Enfield partnered with SENA, the leader to integrate Snapdragon® QWM2290 SoC and in bike-to-bike communication, to introduce Car-to-Cloud Platform into Flying Flea the co-branded 50S Mesh Com
Slide 43: Rides and Community
RIDES AND COMMUNITY Hornbill Festival Ride & Cruiser The Tour of the Northeast 2025 Stack Ride Leveraged community rides to strengthen the culture of camaraderie, engaging enthusiasts from popular genres while highlighting the performance of Royal Enfield motorcycles and gear. INVESTOR PRESENTATION 4
Slide 44: Digitally Enabled Customer Experience
DIGITALLY ENABLED CUSTOMER EXPERIENCE RE App - 3D configurator Vehicle Health Report - motorcycle guide for service RE Mechanic App & experience REApp INVESTOR PRESENTATION 43 February 2025
Slide 45: Leading Premium Motorcycle Brand
LEADING PREMIUM MOTORCYCLE BRAND #1 84% Consideration Culture Community Driven Builder #1 52% Top of Mind Awareness SHARE OF VOICE* NET SENTIMENT 47.3% 30 percentage 92.8% 36 percentage points points ahead of our ahead of our closest closest competitor competitor ● Our Top of Mind Awareness (first br
Slide 46: 12.2 Million Social Media Community
12.2 MILLION ONE OF THE WORLD’s STRONGEST FULLY ORGANIC ❏ ❏ ❏ 89.8K - Average Engagement per Brand post 132M - Total Engagement 289M - Total Reach SOCIAL MEDIA COMMUNITY INSTAGRAM LINKEDIN YOUTUBE FACEBOOK X (TWITTER) INVESTOR PRESENTATION 45 February 2025
Slide 47: Sustainability
SUSTAINABILITY
Slide 48: Sustainability Focus
SUSTAINABILITY FOCUS Environmental ▪ Improve water positivity 80% targeted ( Scope 1 & 2) ▪ Commitments towards zero liquid discharge 01 emission intensity ▪ Eliminate utilisation of single use plastic reduction per motorcycle by ▪ Focus on increasing share of renewable energy FY 29-30*. ▪ Reducing
Slide 49: Social Mission Initiative | JATH
SOCIAL MISSION INITIATIVE | JATH Royal Enfield commemorated its enduring connection with the mountains through Journeying Across the Himalayas, a tribute to the people, stories, and traditions that render the Himalayas timeless. The 10-day festival provided an immersive exploration of Himalayan cultu
Slide 50: Among the Industry Leaders in Sustainability Practices
AMONG THE INDUSTRY LEADERS IN SUSTAINABILITY PRACTICES – EML is member of S&P Global LargeMidCap ESG Index – Among Top Automotive ESG leaders from India; Top 30%ile of Global Automakers in Corporate Sustainability Assessment. A 13.2 Low risk Among the top 10 Auto Rank #8 out of 90 in companies globa
Slide 51: Volvo-Eicher Commercial Vehicles
VOLVO-EICHER COMMERCIAL VEHICLES
Slide 52: 15 Years of Driving Modernisation
15 YEARS OF DRIVING MODERNISATION Leveraging the best of both worlds Respect Fair and Ethical ▪ Leadership in Light & Medium ▪ Global expertise Excellence Duty segments ▪ Leadership in product technology ▪ Frugal engineering & operations Customer Centric ▪ Well defined processes and ▪ After sales inf
Slide 53: VECV Board
VECV BOARD Leaders with proven track record Siddhartha Lal Sofia Helena Frandberg Joachim Rosenberg Vinod K. Aggarwal Chairman of the Board Chairperson - VE Commercial EVP and Executive Board Member, Managing Director & CEO VECV MD Eicher Motors Ltd Vehicles Ltd. Volvo Group Chairman of the Board, UD
Slide 54: Q3 FY25 - Highest ever Q3 and YTD for VECV
Q3 FY25 - Highest ever Q3 and YTD for VECV ● Highest ever third quarter sales of 21,012 units exceeding previous record of 20,706 units in Q3-FY’24. ● Eicher #1 in LMD Trucks – Q3 sales of 9,703 units (FY24 Q3 – 9,800 units) with market share of 36.0%. ● Eicher HD Trucks – Q3 sales of 5,428 units (F
Slide 55: Modernized Product Range
MODERNIZED PRODUCT RANGE Premium & Value segments with Electric, Natural Gas and Diesel Offerings INVESTOR PRESENTATION 54 February 2025
Slide 56: Swedish Ambassador & delegation visits to VECV
Swedish Ambassador & delegation visits to VECV Celebrating successful Sweden-India business relationship ~ Nov 19 2024 INVESTOR PRESENTATION 55 February 2025
Slide 57: VECV at Bharat Mobility 2025
VECV at Bharat Mobility 2025 ● Launched the Eicher Pro X aligned with commercial strategy. ● Showcased capabilities of VECV joint-venture ○ Distinct Eicher and Volvo perspectives ○ Make In India – For India & the World ○ Future readiness incl. Alternate Fuels, Mine Safety features ○ Services and Upt
Slide 58: Established Industrial Footprint
ESTABLISHED INDUSTRIAL FOOTPRINT VPS, IoT 4.0, Sustainability driven New Truck Plant – Bhopal Truck Plant – Pithampur Capacity 40,000 p.a. Parts Distribution Center - Capacity 90,000 p.a. Pithampur VE Powertrain – Pithampur Gear Box Unit – SEZ Capacity 80,000 p.a Pithampur Eicher Bus Plant – Baggad
Slide 59: Crossed Milestone of 1,000 Touch Points in India
CROSSED MILESTONE OF 1,000 TOUCH POINTS IN INDIA INVESTOR PRESENTATION 58 February 2025
Slide 60: Awards & Accolades
AWARDS & ACCOLADES ETB Pithampur & Bhopal team won “PAR Excellence” ETB Pithampur manufacturing award at QCFI National level competition & qualified for team won “Excellence” award International level. at QCFI INVESTOR PRESENTATION 59 February 2025
Slide 61: Growing Market Share in a Competitive Market
GROWING MARKET SHARE IN A COMPETITIVE MARKET Volvo Trucks India* Light & Medium Duty Trucks 96.4% 35.5% #1 #1 72.6% 25.3% FY 2009 3Q FY25 FY 2009 3Q FY25 *Market share in high end premium segment Buses (Combined) Heavy Duty Trucks (Combined) 20.6% 9.7% #3 2.0% #3 5.3% FY 2009 3Q FY25 FY 2009 3Q FY25
Slide 62: Q3 FY25 - Grew market share in all segments; recovery in exports
Q3 FY 25 - Grew market share in all segments; recovery in exports Q3 -Quarterly YTD Segments Volumes Market share (%) Volumes Market share (%) Growth % Growth % Q3'FY25 Q3'FY24 Q3'FY25 Q3'FY24 FY25 FY24 FY25 FY24 HD 5,428 5,627 -3.5 8.9 8.7 15,272 15,053 1.5 8.9 8.1 LMD 9,702 9,800 -0.1 36 34.7 27,1
Slide 63: Q3 FY25 VECV Financial Highlights
Q3 FY25 VECV FINANCIAL HIGHLIGHTS Total Revenue from Operations EBITDA^ and Margins Profit After Tax* EBITDA – Earning Before Interest ,Tax, Depreciation and Amortisation ^For the purpose of EBITDA computation, only operating Income has been considered. The figures in % indicate EBITDA Margins, EBITD
Slide 64: Eicher Motors Financial Review
EICHER MOTORS FINANCIAL REVIEW
Slide 65: Significant Value Creation for All Stakeholders
SIGNIFICANT VALUE CREATION FOR ALL STAKEHOLDERS Market Capitalisation (INR Billions) INVESTOR PRESENTATION 64 February 2025
Slide 66: Q3 FY25 Financial Highlights (Consolidated)
Q3 FY 25 FINANCIAL HIGHLIGHTS (Consolidated) Total Sales Revenue from operations Motorcycle Volumes ('000) EBITDA and Margin PAT All figures refer to EML Consolidated numbers and are in INR Crs unless specified INVESTOR PRESENTATION 65 February 2025
Slide 67: Profit & Loss Statement (Consolidated)
PROFIT & LOSS STATEMENT (Consolidated) Profit and Loss Account FY19 FY20 FY21 FY22 FY23 FY24 9M FY25 Sales Volume: Two Wheelers (Nos.) 822,724 697,582 609,403 595,474 824,066 912,003 722,092 Total revenue from operations (net of 9,797 9,154 8,720 10,298 14,442 16,536 13,629 excise) Manufacturing and
Slide 68: Balance Sheet (Consolidated)
BALANCE SHEET (Consolidated) Particulars FY19 FY20 FY21 FY22 FY23 FY24 H1 FY25 Net Fixed Assets (including CWIP and 2, 324 2,690 2,748 2,929 3,162 3,469 3,719 Pre-operative Expenditure) Investments 4,923 5,749 3,902 7,721 12,101 13,346 13,527 Other Non Current Assets 180 102 125 165 252 2,161 1,339
Slide 69: Statement of Cash Flows (Consolidated)
STATEMENT OF CASH FLOWS (Consolidated) Particulars FY19 FY20 FY21 FY22 FY23 FY24 H1 FY25 Profit before tax and after share of 3,297 2,355 1,798 2,203 3,800 5,202 2,803 profit of Joint venture Operating profit before changes in 2,941 2,236 1,912 2,172 3,552 4,404 2,295 working capital Net Changes in wor
Slide 70: Royal Enfield
Royal Enfield Royal Enfield Royal Enfield