Divgi Torqtransfer Systems Ltd. · NSE:DIVGIITTS

Divgi Torqtransfer Systems — Q3 FY2023-24 Earnings Presentation

47 slides from Divgi Torqtransfer Systems's earnings presentation, Feb 2, 2024

  1. Slide 1: Submission of Investor Presentation to stock exchanges

    Divgi TorqTransfer Systems Limited Divgi TorqTransfer Systems CIN: L32201MH1964PLC013085 75, General Block, MIDC, Bhosari, Pune 411 026, India Tel: (+91-20) 63110110 Web: www.divgi-tts.com Ref.: DTTS/Sec/23-24/103 February 02, 2024 To, To, BSE Limited, National Stock Exchange of India Limited, Phiro

  2. Slide 2: Investor presentation Third quarter, FY 2023-24

    Divgi TorqTransfer Divgi TorqTransfer Systems Limited Systems Limited Investor presentation Investor presentation Third quarter, FY 2023- Third 24 quarter, FY 2023-24

  3. Slide 3: Disclaimer and caution statement regarding forward-looking statements

    Disclaimer and caution statement regarding forward-looking statements This presentation and the accompanying slides (the “Presentation”), which have been prepared by Divgi TorqTransfer Systems Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer

  4. Slide 4: World of Divgi TorqTransfer Systems Limited

    World of Divgi TorqTransfer Systems Limited Vision To be recognized as a world- class Indian brand in automotive drivetrain Mission components and systems To help our customers and our people continually innovate and excel in building world- Values class drivetrain components • Respect for each othe

  5. Slide 5: Facilities

    Facilities BHOSARI SHIVARE Corporate Office & Plant 1 Bhosari, Pune, Maharashtra SHIRVAL Plant 2 Plant 3 Shivare, Pune Dist., Maharashtra Sirsi, Uttara Kannada Dist., Karnataka SIRSI Plant 4 Shirwal, Satara Dist., Maharashtra 4 Privileged & Confidential, © 2023, All Rights Reserved.

  6. Slide 6: Product Portfolio

    Product Portfolio 4WD/AWD Products Manual Transmissions and Synchronizers RWD Applications FWD Applications Axle Disconnect Applications Key components Electric Vehicle Transmission Automatic Transmissions 5 Privileged & Confidential, © 2023, All Rights Reserved.

  7. Slide 7: Application

    Application 4WD/AWD Products Manual Transmissions and Synchronizers Electric Vehicle Transmission Automatic Transmissions Representative Images 6 Privileged & Confidential, © 2023, All Rights Reserved.

  8. Slide 8: Global Footprint

    Global Footprint Transnational Customer Base 7 Privileged & Confidential, © 2023, All Rights Reserved.

  9. Slide 9: Our credible Board of Directors

    Our credible Board of Directors Individuals of proven Praveen Kadle Jitendra Divgi Hirendra Divgi Pradip Dubhashi capability and integrity Chairman and Independent Director Managing Director Executive Director Independent Director Bringing diverse competencies to the table Committed to uphold govern

  10. Slide 10: Management Team

    Management Team Zubair Kachi Prasanna Deepak Vani Deshpande Chief Operating Officer Rakesh Sharma Rupam Parwate Mktg., Sales & ABD Operational Excellence Engineering & Product & Purchase Mfg Engineering & Development Growth & Launch Jitendra Divgi Managing Director Mark John Nam Jun Kim Nilesh Shukl

  11. Slide 11: Agenda

    Agenda 1 Executive Summary 2 Revenue Walk 3 Financial Performance & Business Highlights 4 Updates on new manufacturing equipment & new programs 5 The big idea 10 Privileged & Confidential, © 2023, All Rights Reserved.

  12. Slide 12: Our Management

    Our Management Mr. Jitendra Divgi Managing Director Mr. Sudhir Mirjankar Chief Financial Officer Mr. Dipak Vani Chief Operating Officer 11 Privileged & Confidential, © 2023, All Rights Reserved.

  13. Slide 13: Executive Summary

    Executive Summary Revenue: Year-on-year, the nine-month revenue remains steady Q3FY24, quarterly revenue stands at Rs 676.76 million with 4% yoy growth and down 8% qoq Market headwinds in the third quarter; our principal customer accounts underperformed (Transfer case business / EV project / Defence

  14. Slide 14: Executive Summary

    Executive Summary Our New facility at Shirwal has achieved critical mass maturing with reliability of the testing facility The successfully launched drivetrain eProduct has the potential for penetrating and laterally expanding into the following markets: – Hatchback and Sedan Segments – Micro SUV Se

  15. Slide 15: Executive Summary

    Executive Summary What we achieved in Q3FY24: – Commissioning of FEV Transmission Dynamometer – Launch of Tata NOVA Project – Readiness on e-Jeeto – Readiness on export business acquired earlier – Acquisition of two new export business EBITDA – despite the challenges, our EBITDA margin at 25.91% rem

  16. Slide 16: Revenue Walk

    Revenue Walk

  17. Slide 17: Revenue Walk - Quarterly

    Revenue Walk - Quarterly Q3FY24 Q2FY24 Q-o-Q Q3FY23 Y-o-Y Particulars (₹ Cr) (₹ Cr) (₹ Cr) (₹ Cr) (₹ Cr) Transfer Case 39.41 42.23 (2.82) 45.22 (5.81) NexTrac 2.14 1.63 0.51 2.46 (0.32) ALH 0.79 0.78 0.01 1.46 (0.67) E-Gear Drive 5.29 10.34 (5.05) 0.03 5.26 Synchro 3.53 3.43 0.10 4.42 (0.89) Compone

  18. Slide 18: Revenue Walk – Nine-months

    Revenue Walk – Nine-months 9MFY24 9MFY23 Y-o-Y Particulars (₹ Cr) (₹ Cr) (₹ Cr) Transfer Case 120.70 136.34 (15.64) NexTrac 5.62 7.36 (1.74) ALH 2.88 5.45 (2.57) E-Gear Drive 16.31 0.15 16.16 Synchro 9.20 15.29 (6.09) Components 24.70 26.01 (1.31) After Market 1.00 0.90 0.10 Tooling & Other Operatin

  19. Slide 19: Quarterly and nine-month performance

    Quarterly and nine-month performance 18 Privileged & Confidential, © 2023, All Rights Reserved.

  20. Slide 20: Q3FY24 Financial highlights

    Q3FY24 Financial highlights Revenue Profitability Capital Employed Total revenue at Rs 677 million, Gross margin at 55%, vs. 59% Continued spending on growth down 8% qoq and up 4% yoy qoq and 60% yoy CapEx; CapEx and R&D spending EBITDA at Rs 175 million; EBITDA from issue proceeds - Rs 178 Market h

  21. Slide 21: Cash Reserves

    Cash Reserves Rs mn 3,500.00 3,113.47 3,000.00 2,598.72 2,500.00 2,000.00 1,732.25 1,589.01 1,499.74 1,500.00 1,000.00 500.00 0.00 FY20 FY21 FY22 FY23 9MFY24 CapEx 20 Privileged & Confidential, © 2023, All Rights Reserved.

  22. Slide 22: Updates on new manufacturing equipment – Q3FY24

    Updates on new manufacturing equipment – Q3FY24

  23. Slide 23: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… HMC Machine- Makino, Japan • Model: A61nX • No of Machine: 2 Nos. • Investment: 6.43 Cr 22 Privileged & Confidential, © 2023, All Rights Reserved.

  24. Slide 24: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… VMC Machine- Makino, Japan • Model: Slim 5N & Slim 3N • No of Machines: 2 • Investment: 2.12 Cr Makino – 3 Axis CNC Vertical Machining Centre: Slim 5n 23 Privileged & Confidential, © 2023, All Rights Reserved.

  25. Slide 25: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… Gear Grinding Machine- Klingelnberg, Germany • Model: SV 300 & SV2 180 • No of Machines: 1 each • Investment: 7.87 Cr & 8.95 Cr 24 Privileged & Confidential, © 2023, All Rights Reserved.

  26. Slide 26: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… PRE-HEATING SQF FURNACE • Investment: 1.65 Cr TEMPERING FURNACE WASHING M/C 25 Privileged & Confidential, © 2023, All Rights Reserved.

  27. Slide 27: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… OD & Face Grinding Machine- PMT, Pune • Model: AWH 600 • No of Machines: 2 • Investment: 1.81 Cr 26 Privileged & Confidential, © 2023, All Rights Reserved.

  28. Slide 28: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… Hobbing Machine- Liebherr, India • Model: LC250 • No of Machine: 1 No • Investment: 2.35 Cr • 8 Axis CNC Hobbing Machine • Combi-Hobbing i.e. Two Gear Sections Hobbing in one setup 27 Privileged & Confidential, © 2023, All Rights Reserved.

  29. Slide 29: State-of-the-art manufacturing equipment…

    State-of-the-art manufacturing equipment… Shot Peening Machine- Precicut, India • No of Machine: 1 • Investment: 0.48 Cr • Machine ETA: Feb 24 28 Privileged & Confidential, © 2023, All Rights Reserved.

  30. Slide 30: State-of-the-art manufacturing inspection & testing equipment…

    State-of-the-art manufacturing inspection & testing equipment… Gear Measuring Machine- Klingelnberg, Germany • Model: P26 • No of Machine: 1 • Investment: 2.38 Cr • Machine ETA: Feb 24 29 Privileged & Confidential, © 2023, All Rights Reserved.

  31. Slide 31: Dyno Durability Test Stand from FEV, Germany

    Dyno Durability Test Stand from FEV, Germany This test stand will increase capability of ₋ Transmission Durability Test ₋ Lubrication and Breather Evaluation Test DIVGI-TTS for inhouse validation of ₋ Transmission Efficiency Test ₋ Gear Contact Pattern Test Transfer Cases, MT, DCT and EV ₋ Different

  32. Slide 32: Growth CapEx FY20 to FY24(F)

    Growth CapEx FY20 to FY24(F) Cumulative CapEx Rs mn Rs 2,282 900 mn 811.9 800 700 684.31 600 500 399.26 400 300 255.68 200 130.92 100 0 FY20 FY21 FY22 FY23 FY24(F) CapEx 31 Privileged & Confidential, © 2023, All Rights Reserved.

  33. Slide 33: Updates on the new business progress

    Updates on the new business progress

  34. Slide 34: 4WD Export Components Business

    4WD Export Components Business Customer : Fortune’s World’s Most Admired Company in USA Project Status Business Enquiry : 31st March 2023 Upcoming milestones : Business Awarded on : 29th January 2024 Sample Submission : May 2024 Life Cycle Revenue : Rs 120 Crore Production Approval : October 2024 St

  35. Slide 35: 4WD Export Component Business

    4WD Export Component Business Customer : Fortune’s World’s Most Admired Company in USA Project Status Business Enquiry : 3rd January 2023 Upcoming milestones : Business Awarded on : 16th January 2024 Sample Submission : March 2024 Life Cycle Revenue : Rs 138 Crore Production Approval : June 2024 Sta

  36. Slide 36: 4WD Export Components Business

    4WD Export Components Business Customer : Fortune’s World’s Most Admired Company in Project Status Mexico Milestones completed : Business Enquiry : 10th February 2021 Sample Submission : November 2023 Business Awarded on : 31st August 2022 Upcoming milestones : Life Cycle Revenue : Rs 68 Crore Produ

  37. Slide 37: EV Transmission Business

    EV Transmission Business Project Status Customer : Leading Indian OEM Milestones completed : Business Enquiry : 16th April 2021 Sample Submission : November 2022 / March 2023 Business Awarded on : 23rd July 2022 Production Trial : October 2023 Capacity Installed for : 35500 Nos Annually Production A

  38. Slide 38: EV Transmission Business

    EV Transmission Business Customer : Leading Indian OEM Project Status Business Enquiry : 20th December 2022 Milestones completed : Business Awarded on : 10th August 2023 Sample Submission : 7th December 2023 Life Cycle Revenue : Rs 204 Crore Upcoming milestones : Production Approval : February 2024

  39. Slide 39: EV Transmission Components Business

    EV Transmission Components Business Customer : Leading Indian OEM Project Status Business Enquiry : 04th April 2022 Milestones completed : Business Awarded on : 25th August 2022 Sample Submission : 23rd January 2023 Life Cycle Revenue : Rs 15 Crore Production Approval : 7th December 2023 Start of Pr

  40. Slide 40: Manual Transmission

    Manual Transmission 5MT320 6MT420 39 Privileged & Confidential, © 2023, All Rights Reserved.

  41. Slide 41: Manual Transmission

    Manual Transmission 6MT250 40 Privileged & Confidential, © 2023, All Rights Reserved.

  42. Slide 42: Automatic Transmission

    Automatic Transmission 41 Privileged & Confidential, © 2023, All Rights Reserved.

  43. Slide 43: Automatic Transmission

    Automatic Transmission 42 Privileged & Confidential, © 2023, All Rights Reserved.

  44. Slide 44: The big idea at Divgi-TTS

    The big idea at Divgi-TTS Technology-led innovation The global automotive This is creating an Divgi-TTS is positioned as The Company is industry is trending unprecedented global a disruptive player in the leveraging its validated towards faster, more opportunity for superior global drivetrain soluti

  45. Slide 45: The big idea at Divgi-TTS

    The big idea at Divgi-TTS Technology-led innovation Our technology The advantages of this How we are deepening priority approach this commitment in FY 24 Engage in technology Specialise or outsource: enhance corporate brand clarity around Operated the Shirwal plant and development that was otherwise

  46. Slide 46: The big idea at Divgi-TTS

    The big idea at Divgi-TTS What this means New Business Business FY20 -23 Opportunity, NBO Development • 14% strike rate tracking Register, BDR in SAP • Rs 400 Cr worth of opportunities converted • Rs 2500 Cr being actively pursued 45 Privileged & Confidential, © 2023, All Rights Reserved.

  47. Slide 47: Thank You!

    Thank u You! PRODUCT LEADERSHIP LIKE NO OTHER 46 Privileged & Confidential, © 2023, All Rights Reserved.

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