Hi-tech Gears Limited · NSE:HITECHGEAR
Hi-tech Gears — The Hi-Tech Gears — Q3 FY24 Earnings Presentation
25 slides from Hi-tech Gears's earnings presentation, Feb 15, 2024
Slide 1: Regulation 30 intimation cover letter
CIN - L29130HR1986PLC081555 Corporate Office: Millennium Plaza, Tower-B, Sushant Lok-1, Sector-27, Gurugram -122009, Haryana, INDIA Tel.: +91(124) 4715100 E-mail: secretarial@thehitechgears.com February 15, 2024 The Manager, The Manager, Listing Department, Listing Department, National Stock Exchang
Slide 2: Earnings Presentation Q3/9M-FY24
THE HI-TECHPRESENTATION EARNING GEARS LTD. Q 3 / 9M- FY24 1
Slide 3: Snapshot
S N A P S H OT 5 10+ 37 Years Manufacturing 2,500+ Exports to Of Experience Plants Employees Countries Strategic 17% Marquee Partners 3 Year 41% Global Customers to Major Auto Revenue CAGR 3 Year PAT CAGR OEMs 2
Slide 4: Company Overview
C O M PA N Y O V E R V I E W • The Hi-Tech Gears Ltd. (THGL) was incorporated in 1986 and has grown to be an auto CONSOLIDATED REVENUE (INR MN) & component manufacturer of high repute, supplying engine and transmission EBITDA MARGINS (%) components to diverse marquee customers across the globe. 11,6
Slide 5: Key Strengths
KEY STRENGTHS One of the leading manufacturers One of the very few component Strategically located state-of-the- of critical high-precision gears, manufacturers catering to diverse art manufacturing facilities in shafts and Transmission segments of automobiles and India, Canada and USA components en
Slide 6: Global Footprint and Marquee Customers
G L O B A L F O OT P R I N T A N D M A R Q U E E C U S TO M E R S Daimler A.G. JCB Power Cummins Robert Bosch Magna Powertrain Perkins UK GERMANY Daimler Fuso JAPAN Cummins CANADA Robert Bosch CHINA SOUTH KOREA Cummins USA Foton Cummins Daimler American Axle GKN Magna MEXICO Powertrain Robert Bosch
Slide 7: Diversified Business Presence
DIVERSIFIED BUSINESS PRESENCE TWO-WHEELER MEDIUM & HEAVY COMMERCIAL VEHICLES PASSENGER CARS AGRI, ENGINES AND OFF-HIGHWAY Association with Top players in each segment 6
Slide 8: Plants Across India and North America
PLANTS ACROSS INDIA AND NORTH AMERICA Manufacturing facilities in India Manufacturing facilities overseas Plant-I, Bhiwadi Plant-II, Manesar Plant-III, Bhiwadi Plant-I, Guelph, Canada Plant-II, Emporium USA Est. 1986 Est. 2005 Est. 2011 Acquired 2017 Acquired 2017 DUAL SHORE PRESENCE 7
Slide 9: Product Portfolio
PRODUCT PORTFOLIO Commercial & Off- Sintered Two-Wheeler Car Transmission & Engine Power Take Off Precision Forging & Highway Vehicles Transmission Driveline Gears Components Machining Components Transmission 8
Slide 10: Process Infrastructure
PROCESS INFRASTRUCTURE Forging Finishing • Hot Forging • Gear Grinder • Warm Forging • Honing, • Cold Forging • Gear Honing, • Cold Extrusion • Hard Turning, • Coining • Grinding, etc. Machining Tool Room & Die Manufacturing • CNC Turning • Vertical Machining Center EDM . • Gear Cutting (Wet & Dry H
Slide 11: Thrust on EV and New Technologies
THRUST ON EV AND NEW TECHNOLOGIES Electric Vehicle Components EV-Differential Assembly – EV deliver higher torque and power curve with fewer gear with higher rotational speed. THGL Initiatives: TW : Gear Component Final Assembly & Counter Assembly and Gear Drive PC : Helical Gear Components Advance
Slide 12: Financial Overview
FINANCIAL OVERVIEW
Slide 13: Q3/9M-FY24 Financial Highlights
Q3/9M-FY24 FINANCIAL HIGHLIGHTS Q3-FY24 Consolidated Highlights Q3-FY24 Standalone Highlights INR 2,729 Mn INR 408 Mn INR 149 Mn INR 1,936 Mn INR 288 Mn INR 127 Mn Operational Income EBITDA Net Profit Operational Income EBITDA Net Profit -1.6% YoY* +7.9% YoY +473% YoY +5.3% YoY +5.5% YoY +5.8% YoY I
Slide 14: Q3-FY24 Operational Highlights
Q 3 - F Y 2 4 O P E R AT I O N A L H I G H L I G H T S • Standalone India business revenues increased YoY on account of higher take-off in Commercial Vehicle and Two- Wheeler customers. • Standalone India business profitability has improved compared to pervious year and last quarter on account of re
Slide 15: New Business Wins: India and North America
NEW BUSINESS WINS: INDIA AND NORTH AMERICA New business won ~ ₹ 1,754 Mn annualized New business won ~ ₹ 509 Mn annualized Current Customer New Customer Current Customer New Customer FY 22-23 ₹ 1,081 Mn ₹ 673 Mn 9M-FY24 ₹ 187 Mn ₹ 322 Mn EV Business ICE Business Entry into Indian Passenger Car custo
Slide 16: Quarterly Consolidated Financial Performance
Q U A R T E R LY C O N S O L I D AT E D F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) Q3-FY24 Q3-FY23 Y-O-Y Q2-FY24 Q-O-Q Operational Revenue 2,729 2,772 (1.6)% 2,836 (3.8)% Total Expenses 2,321 2,394 (3.0)% 2,485 (6.6)% EBITDA 408 378 7.9% 351 16.2% EBITDA Margin (%) 14.95% 13.64% 13
Slide 17: Quarterly Standalone Financial Performance
Q U A R T E R LY S TA N D A L O N E F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) Q3-FY24 Q3-FY23 Y-O-Y Q2-FY24 Q-O-Q Operational Revenue 1,936 1,839 5.3% 2,033 (4.8)% Total Expenses 1,648 1,566 5.2% 1,778 (7.3)% EBITDA 288 273 5.5% 255 12.9% EBITDA Margin (%) 14.88% 14.85% 3 Bps 12.5
Slide 18: YTD Consolidated Financial Performance
Y T D C O N S O L I D AT E D F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) 9M-FY24 9M-FY23 Y-O-Y Operational Revenue 8,200 8,827 (7.1)% Total Expenses 7,109 7,746 (8.2)% EBITDA 1,091 1,081 0.9% EBITDA Margin (%) 13.30% 12.25% 105 Bps Depreciation and amortisation 449 670 (33.0)% Finan
Slide 19: YTD Standalone Financial Performance
Y T D S TA N D A L O N E F I N A N C I A L P E R F O R M A N C E PARTICULARS (INR MN) 9M-FY24 9M-FY23 Y-O-Y Operational Revenue 5,770 5,933 (2.7)% Total Expenses 4,990 5,088 (1.9)% EBITDA 780 845 (7.7)% EBITDA Margin (%) 13.52% 14.24% (72) Bps Depreciation and amortisation 239 232 3.0% Finance costs
Slide 20: Historical Consolidated Income Statement
H I S TO R I C A L C O N S O L I D AT E D I N C O M E S TAT E M E N T Particulars (INR Mn) FY21 FY22 FY23 9M-FY24 Revenue from Operations 7,455 9,706 11,692 8,200 Expenses 6,556 8,889 10,278 7,109 EBITDA 899 817 1,414 1,091 EBITDA Margins (%) 12.06% 8.42% 12.09% 13.30% Depreciation and amortisation
Slide 21: Historical Standalone Income Statement
H I S TO R I C A L S TA N D A L O N E I N C O M E S TAT E M E N T PARTICULARS (INR MN) FY21 FY22 FY23 9M-FY24 Revenue from Operations 5,224 6,446 7,818 5,770 Expenses 4,400 5,497 6,725 4,990 EBITDA 824 949 1,093 780 EBITDA Margins (%) 15.77% 14.72% 13.98% 13.52% Depreciation and amortisation 252 304
Slide 22: Historical Consolidated Financial Highlights
H I S TO R I C A L C O N S O L I D AT E D F I N A N C I A L H I G H L I G H T S OPERATIONAL REVENUE (INR MN) EBITDA (INR MN) & EBITDA PAT (INR MN) & PAT MARGINS (%) MARGINS (%) 1,000 964 11,692 1,414 50.00% 9,706 800 45.00% 8,200 1,091 7,455 40.00% 899 817 35.00% 600 30.00% 288 25.00% 400 12.06% 12.
Slide 23: Capital Market Information
C A P I TA L M A R K E T I N F O R M AT I O N 100.00% SHARE PRICE PERFORMANCE 80.00% 60.00% 40.00% 20.00% 0.00% -20.00% Jan-23 Feb-23 Apr-23 May-23 Jul-23 Aug-23 Oct-23 Nov-23 Dec-23 Sensex The Hi- Tech Gears Ltd MARKET DATA (INR) AS ON 31st December, 2023 SHAREHOLDING PATTERN AS ON 31ST DECEMBER, 2
Slide 24: Disclaimer
DISCLAIMER The Hi Tech Gears Limited Disclaimer: No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are
Slide 25: Thank You
THANK YOU