Sansera Engineering Limited · NSE:SANSERA
Sansera Engineering — Q3 FY2023 Earnings Presentation
48 slides from Sansera Engineering's earnings presentation, Feb 6, 2023
Slide 1: Exchange cover letter: Investors Presentation
February 06, 2023 The National Stock Exchange of India Ltd The Department of Corporate Services Exchange Plaza, C-1, Block G BSE Limited, Bandra – Kurla Complex P.J. Towers, Dalal Street Mumbai 400051 Mumbai 400001 Scrip Symbol: SANSERA Scrip Code: 543358 Dear Sir/ Madam Subject: Investors Presentat
Slide 2: Sansera Engineering Limited Investors Presentation February 2023
DIVERSIFICATION. EXPANSION. PROGRESSION. SANSERA ENGINEERING LIMITED INVESTORS PRESENTATION FEBRUARY 2023 1
Slide 3: Safe harbour
Safe harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sansera Engineering Ltd. (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any sec
Slide 4: Performance Highlights
Performance Highlights
Slide 5: Performance Highlights
Performance Highlights Rs in Mln Total Income* EBITDA PAT Total Income* EBITDA PAT 15.6% 16.6% 4.9% 5.5% 17.5% 17.0% 6.6% 6.5% 16% 5,640 22% 23% 4,868 17,331 934 18% 31% 19% 14,237 759 2,942 313 1,129 2,491 945 239 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Q3FY22 Q3FY23 9MFY22 9MFY23 9MFY22 9MFY23 9MFY22 9MFY23 ›
Slide 6: Group CEO’s Message
Group CEO’s Message Commenting on the performance Mr. B R Preetham Group CEO, Sansera Engineering Limited said, “I am delighted to share with you that we have completed the construction of our new Aerospace and defence plant in Bengaluru. This plant will be fully operational by Mar-23 and has a pote
Slide 7: Recent Awards & Accolades
Recent Awards & Accolades BAJAJ_2022 Quality Award TOYOTA 2022 Quality Month Award 2022 Hero-Next Sustainability Award BAL Q “Platinum” Award My Product, My Responsibility Best Performance EARN Program 6$
Slide 8: New Aerospace & Defence Facility, Jigani Hobli, Bengaluru
New Aerospace & Defence Facility, Jigani Hobli, Bengaluru 140,000 sq ft Covered area 2/3 of the space dedicated 1/3 of the space dedicated for Aerospace for defence Rs. 3,500 Mln Rs. 634 Mln Revenue potential at full capacity 9MFY23 Revenue utilization 7
Slide 9: Strong and diverse business pipeline for future growth
Strong and diverse business pipeline for future growth 339 LOIs/Purchase Orders from 80 customers in the auto and 42 customers in the non-auto sector Orderbook (peak annual revenues for new business) Rs. 14.9 Bn Rs. 11.1 Bn Rs. 14.4 Bn Rs. 15.0 Bn Non-auto 16% 22% 20% 21% Auto-Tech 21% xEV 18% Agnos
Slide 10: Update on Electrification
Update on Electrification Sansera endeavors to be ahead of the curve in the EV space with a clear emphasis and focus on development of a new mobility world Wealth of experience in ICE providing solid foundation for growth in the EV space Strong R&D and design capabilities to meet the requirements of
Slide 11: Sales Mix: By End-Use Segments
Sales Mix: By End-Use Segments Sales mix (%) Q3FY23 Q3FY22 Q2FY23 9MFY23 9MFY22 FY22 Auto – ICE 76.5% 84.5% 80.1% 78.8% 83.6% 83.4% Auto-Tech Agnostic & xEV 11.0% 6.1% 10.3% 10.1% 5.7% 6.1% Auto-Tech Agnostic 6.2% 5.7% 7.4% 6.8% 5.5% 5.7% xEV 4.8% 0.4% 2.9% 3.3% 0.2% 0.4% Non-Auto 12.5% 9.4% 9.6% 11
Slide 12: Sales Mix: By Geographies
Sales Mix: By Geographies Sales mix (%) Q3FY23 Q3FY22 Q2FY23 9MFY23 9MFY22 FY22 India 69.2% 64.5% 77.4% 72.7% 63.0% 63.0% Europe 19.0% 22.9% 16.1% 17.3% 23.5% 23.7% USA 7.6% 8.9% 3.5% 6.5% 10.0% 9.4% Other Foreign Countries 4.2% 3.7% 3.0% 3.5% 3.5% 3.9% International 30.8% 35.5% 22.6% 27.3% 37.0% 37
Slide 13: Consolidated Profit & Loss Account
Consolidated Profit & Loss Account Particulars (Rs. in Mln) Q3FY23 Q3FY22 YoY 9MFY23 9MFY22 YoY Total Income* 5,639.5 4,867.9 16% 17,330.7 14,237.1 22% Cost of goods sold (incl power & fuel cost) 3,338.7 2,974.9 10,363.0 8,424.8 Gross Profit 2,300.9 1,893.0 22% 6,967.7 5,812.2 20% Gross Profit Margi
Slide 14: Company Overview
Company Overview
Slide 15: Sansera Engineering Ltd.: Today
Sansera Engineering Ltd.: Today An engineering-led integrated manufacturer of complex and critical precision forged and machined components catering to OEMs globally Well diversified business across…… Ready to capture upcoming opportunities with…. End-user applications Integrated manufacturing facil
Slide 16: Customer awards and recognition
Zero Defects Supplies From Both Toyota Industries Toyota Kirloskar Auto Parts and Best Targets Achieved Supplier in Delivery Toyota Kirloskar Motor of the year 2021 General HMSI Motors Honda Motorcycle & Scooter India Pvt. Ltd. 30th annual award for supplier Environmental of the year well recognized
Slide 17: Sansera’s Vision
Sansera’s Vision Sansera plans to continue to improve its market share, participate in the growing xEV opportunity and diversify into technology agnostic components and non-auto sectors Auto-Tech Agnostic & xEV 15% Auto-Tech Agnostic & xEV Long term Non-auto 10% (5 years) 3W Non-Auto 2W-Scooters 25%
Slide 18: Leading supplier of precision forged and machined components
Leading supplier of precision forged and machined components The critical applications of Sansera’s products and stringent quality requirements, act as a strong competitive advantage for the company Indian market International market (Connecting Rods) Sansera’s Market Share (LV) Two wheelers Light V
Slide 19: Emphasis on diversification for four decades
Emphasis on diversification for four decades Over the decades, adaptation and diversification into wider market has been the key for Sansera’s growth • Commenced development of components for PV braking Commissioned assembly and BEV (Battery Received • biggest plant in Electric Vehicle) drivetrain R
Slide 20: Wide range of product offerings: Auto (Including Tech-Agnostic and xEV)
Wide range of product offerings: Auto (Including Tech-Agnostic and xEV) Sansera has a track record of developing complex and critical precision engineered components for the automotive sector over multiple decades. Most of the products are sold directly to OEMs in finished (forged and machined) cond
Slide 21: Wide range of product offerings: Non-Auto
Wide range of product offerings: Non-Auto Over the years, the company leveraged its existing capabilities to manufacture precision components for several non- automotive sectors and established its presence in the aerospace, off-road and agriculture sectors Aerospace & Defence Off-road Agriculture O
Slide 22: Consistent track record of product development
Consistent track record of product development New products coupled with addition of product capabilities laying a strong foundation for future growth GSF (2W) Split Fractured GSF Integral Suspension Non-Auto Cabin Tilt Non-Auto/ Braking Drive train Connecting Connecting (PV) Crankshaft parts (2W) (
Slide 23: Diverse reach and customer base
Diverse reach and customer base Within India, Globally, relationship with relationship with Globally, 30+ years of 9 out of top 10 6 out of top 10 relationship with relationship with 2 W OEMs LV OEMs 3 out of top 10 the Leading PV MHCV OEMs OEM in India Sales Mix (9M FY23) (1) Customer Relationship
Slide 24: Strong in-house engineering capabilities (1/2)
Strong in-house engineering capabilities (1/2) 277 personnel working on design, engineering, machine building, automation & technical support functions In- House Machine Building Automation Capabilities Capabilities 34 Dedicated personnel in the automation division Automated 4 station special Intern
Slide 25: Strong in-house engineering capabilities (2/2)
Strong in-house engineering capabilities (2/2) Improved Productivity, Increased Automation, Reduced Manpower Case Study: Evolution of fractured connecting rod (CR) lines over six generations over 8 years Manpower / Shift “Takt” Time(1)” Output per day (# / shift) (seconds) (# of 23 18 pieces) 5200 1
Slide 26: Integrated manufacturing facilities
Integrated manufacturing facilities Sansera has 16 plants under operation across India, 1 in Sweden and 1 under construction in India All its facilities are located in close proximity to the client production facilities Manesar Shorter product (Gurgaon) (1) Pantnagar (1) development and delivery tim
Slide 27: Environment & Social Governance (1/2)
Environment & Social Governance (1/2) 26
Slide 28: Environment & Social Governance (2/2)
Environment & Social Governance (2/2) › Rejuvenation of Bommasandra Lake Environment › Waste Management › Distributed food packets › Donated Oxygen during COVID-19 Concentrators › Scholarship programme › Infrastructure support to › Donated beds and ECG › Encouraged blood donation › Science kit suppo
Slide 29: Way Forward
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Slide 30: Clear path to accelerate growth
Clear path to accelerate growth Diversify into tech-agnostic products and cater to the xEV opportunity Consolidate and strengthen global market share in existing portfolio and diversify into technology agnostic products Continue to leverage existing capabilities to diversify further into non-automot
Slide 31: Diversify into tech-agnostic products and cater to the xEV opportunity
Diversify into tech-agnostic products and cater to the xEV opportunity Technologically agnostic and EV / Hybrid components developed / under development for each segment 2W / e-2W PV / Hybrid / B-EV CV Phase 1 of setting up a dedicated facility for hybrid and electric components Drive Train Steering
Slide 32: Leverage existing capabilities to diversify into non-automotive businesses
Leverage existing capabilities to diversify into non- automotive businesses & expand addressable market Engine Casing Key Initiatives Suspension Components Aerospace / › Dedicated facility for aerospace & defence under construction in Bengaluru Defence › Secured orders from defence sector for applic
Slide 33: Strengthen technological leadership
Strengthen technological leadership Sansera focuses on providing high value-added and technology-driven components to capture shifts in customer preferences as well as evolving regulatory requirements, such as heightened emissions control standards. Further, this would increase opportunities for us
Slide 34: Historical Performance
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Slide 35: Historical Performance Highlights
Historical Performance Highlights Rs in Mln Margins Total Income* EBITDA PAT 18.6% 16.3% 18.8% 17.4% 17.0% 6.0% 5.4% 7.0% 6.6% 6.5% 20,045 16,408 17,331 14,731 15,724 3,491 1,319 3,055 2,952 2,942 1,099 1,129 2,407 981 799 FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21 FY22 9MF
Slide 36: Consolidated Statement of Profit and Loss
Consolidated Statement of Profit and Loss Particulars (Rs. in Mln) FY22 FY21 FY20 FY19 Total Income* 20,045.3 15,723.6 14,731.4 16,408.1 Cost of goods sold (incl power & fuel cost) 11,895.9 9,167.2 8,811.1 9,869.4 Gross Profit 8,149.4 6,556.4 5,920.3 6,538.7 Gross Profit Margin 40.7% 41.7% 40.2% 39.
Slide 37: Annexure
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Slide 38: Experienced Professional Management Team
Experienced Professional Management Team Sansera is an employee driven, professionally managed organization. Majority of the senior management has been with the Company for more than 10 years and have led the expansion of our product families and customer base, resulting in business growth and diver
Slide 39: Distinguished Board of Directors
Distinguished Board of Directors S Sekhar Vasan F R Singhvi Raunak Gupta Chairman and Managing Director Joint Managing Director Non-Executive, Nominee Director › 40 years of experience in the field of manufacturing › 40+ years of professional experience with 15+ years › Director at TRG Advisors of p
Slide 40: 2-Wheeler | Scooters
2-Wheeler | Scooters ICE scooter Electric scooter Suspension Parts Engine parts Suspension parts Drive Line Parts Connecting Rocker Rod Crankshaft STEM COM arms STEERING 39
Slide 41: 2-Wheeler | Motorcycle
2-Wheeler | Motorcycle EV ROTOR PARTS STEERING, SUSPENSION & CHASSIS PARTS ENGINE PARTS TRANSMISSION PARTS ALUMINIUM FORGED PARTS Step Holder Rider Rocker Arms Connecting Rod Arm Relay Gear Shifter Fork Step Holder Finger Follower Rider Crankshaft Assembly Boss Handle Step Folder Balancer Shaft Pill
Slide 42: 4-Wheeler | ICE
4-Wheeler | ICE ENGINE PARTS TRANSMISSION PARTS STEERING, SUSPENSION AND CHASSIS PARTS Housing Shift Lever Shaft Control Connecting Rod Shifter Fork Rocker Arms Attachment Lower Spacer Input Gear Shaft Propeller Ball Joint (LH & RH) Piece 5R Shift Adapter Sprocket Housing Shift Housing Shift Lever-2
Slide 43: 4-Wheeler | xEV
4Wheeler | xEV DRIVELINE PARTS BEV Clutch Assembly Part HYBRID PV TRANSMISSION PARTS Gear Counter Driven Gear Motor Pinion Differential Drive Motor Generator Shaft Counter Drive 42
Slide 44: Commercial Vehicle
Commercial Vehicle BRAKING ASSEMBLY PARTS Tilt cabin system Crankshaft Guide Bush ENGINE PARTS TRANSMISSION PARTS TRANSMISSION Connecting Support Intermediate Ring Bracket Valve Bridge Gear Rod Injector shifter Fork 43
Slide 45: Aerospace
Aerospace AERO STRUCTURE PARTS CARGO PARTS LIGHTING PARTS EQUIPMENT HOUSING PART SEATING PARTS ENGINE AUXILLARY ENGINE PART 44
Slide 46: Off Road
Off Road ATV ENGINE PARTS Crankshaft Assembly Connecting Rod Balancer Shaft SUSPENSION PARTS TRANSMISSION PARTS Taper Housing Bearing Housing 45
Slide 47: Agricultural and Other Non-Automotive Applications
Agricultural and Other Non-Automotive Applications AGRICULTURE ENGINEERING & CAPITAL GOODS Cam Shafts Pump Housing Connecting Rod Integral Crank Common Rail Valve Bridge Hub Body Flange POWER TOOLS OTHERS (POWER TRANSMISSION) Fuse cap Hand Tools (Residential and Industrial Applications) 46
Slide 48: Thank You
Thank You For more information please contact: Company: Investor Relations Advisor: Sansera Engineering Limited Strategic Growth Advisors Pvt Ltd. CIN: L34103KA1981PLC004542 CIN: U74140MH2010PTC204285 Mr. Rajesh Kumar Modi, Company Secretary & Compliance Officer Shikha Puri / Dharmik Kansara Email i
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