Spr Auto Technologies Ltd · NSE:SHRIPISTON
Spr Auto Technologies — Shriram Pistons & Rings — Investor Presentation (April 2024)
44 slides from Spr Auto Technologies's investor presentation, Apr 1, 2024
Slide 1: Cover letter to NSE under Regulation 30
April 1, 2024 National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra Kurla Complex, Bandra (East) Mumbai – 400051 ISIN: INE526E01018 Company Symbol: SHRIPISTON Subject: Investor Presentation under Regulation 30 of SEBI (Listing Obligation and Disclosure Req
Slide 2: Investor Presentation April 2024
Investor Presentation April 2024 NSE : SHRIPISTON | www.shrirampistons.com
Slide 3: Safe Harbor
Safe Harbor This Presentation and the accompanying slides (the “presentation”), have been prepared by Shriram Pistons & Rings Limited (the “Company”), solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall
Slide 4: Table of contents
Table of contents 1 Company Overview 2 Industry Overview 3 Quarterly Financial Highlights 4 Annual Financial Highlights 5 Annexures 3
Slide 5: Company Overview
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Slide 6: Shriram Pistons & Rings: At a Glance
Shriram Pistons & Rings: At a Glance Shriram Pistons & Rings Limited (SPRL) is the leading manufacturer of Pistons, Piston Pins, Piston Rings, and Engine Valves in India, with the exceptional lineage of the Shriram Group - one of the most reputed Industrial houses in the country. Its products are ma
Slide 7: Why Shriram Pistons & Rings?
Why Shriram Pistons & Rings? Established Market Player Global Reach More than 5 decades of Industry presence backed by Presence in 45+ countries across 5 strong leadership continents Leading manufacturer of pistons, piston pins, piston Preferred choice of global automotive rings & engine valves cust
Slide 8: Our Journey of over 5 decades
Our Journey of over 5 decades 1972 1978 1989 1993 1993 Dr. Charat Ram, a leading Industrialist Technology tie-up Technology tie-up Technology tie-up with took over Shama Pistons & Rings Ltd. Engine Valves with Riken with Honda Fuji Oozx, Japan; and renamed it to Shriram Pistons & manufacturing comme
Slide 9: Exceptional lineage of the Shriram Group
Exceptional lineage of the Shriram Group, one of the most reputed Industrial houses Founded by Dr. Charat Ram, a pillar, visionary and the face of the Indian business sector, who played a significant role in shaping the Indian industry. Driven by his relentless pursuit of excellence, he meticulously
Slide 10: State-of-the-art Facilities
State-of-the-art Facilities Manufacturing Facilities Under SPRL Under SEL EMF Innovations Takahata Precision Pvt. Ltd. India Pvt. Ltd. Ghaziabad, Pathredi, Bulandshahr Road, Pithampur (Indore), Coimbatore, Neemrana, Uttar Pradesh Rajasthan Uttar Pradesh Madhya Pradesh Tamil Nadu Rajasthan • Pistons
Slide 11: Achieving Design Excellence Through Our Ultra Modern Tech Centre
Achieving Design Excellence Through Our Ultra Modern Tech Centre SPRL Tech Centre is fully equipped to provide complete and comprehensive solutions, catering to the exacting needs of the hi-tech, new generation engines Mr. S. Krishnakumar, Managing Director & CEO: “At SPRL, we have always focused on
Slide 12: Leading player in Pistons, Piston Pins, Piston Rings & Engine Valves
Leading player in Pistons, Piston Pins, Piston Rings & Engine Valves ❖ Catering to wide range of new generation BS VI 2/3 wheelers, Passenger Cars, GDI & MPFI Forged KS Lite Crown Anodizing Piston & engines, etc Thin walled Piston Pins ❖ Capability to build Pistons from scratch with extensive use of
Slide 13: Long-standing Technology Partnerships with Global Majors
Long-standing Technology Partnerships with Global Majors Since 1972 Since 1978 Since 1989 Since 1993 PISTONS RINGS PISTONS ENGINE VALVES Riken Corporation Honda Foundry Fuji Oozx Kolbenschmidt Germany Japan Japan Japan 21.3% Holding in SPRL ❖ Ranks among the 100 biggest auto ❖ Founded in 1927 ❖ Foun
Slide 14: Leading supplier in the Domestic Market
Leading supplier in the Domestic Market Assembly Units located in: Domestic Revenue (Rs Million) 20,758 Gurugram, 16,224 Haryana 13,128 12,918 Karsanpura, Gujarat FY20 FY21 FY22 FY23 Sahibabad, Uttar Pradesh 5 1,200+ Assembly Units Business Partners Hosur, Pune, Tamil Nadu ❖ 5 Assembly Units located
Slide 15: Solid Domestic Market Presence across Product Segments
Solid Domestic Market Presence across Product Segments Commercial Passenger Two- Tractors Off-Highway, Vehicles Vehicles wheelers Industrials & Gensets In addition to the above-mentioned product segments, we also cater to Indian Railways (for Engines) and Defence applications 14
Slide 16: Key Clientele Globally
Well established player with Diversified Customers base across Geographies Revenue from Exports Key Exports Destinations (FY23) (Rs Million) 2% 12% Europe 39% 4,841 South America 4,010 13% Revenue Middle East 2,650 2,798 Break-Up North America Asia Pacific 13% FY20 FY21 FY22 FY23 Africa 21% UK Austr
Slide 17: Diversifying Portfolio for Future Readiness
Diversifying Portfolio for Future Readiness SPR (through its 100% subsidiary SPR Engenious Ltd.) acquired SPR (through its 100% subsidiary SPR Engenious Ltd.) acquired 62% 66.42% stake in EMF Innovations Pvt. Ltd. stake in Takahata Precision India Pvt. Ltd. ❖EMF Innovations (EMFi) is a young tech co
Slide 18: EMFi – Product Portfolio
EMFi – Product Portfolio Low Voltage Motor - Controller System 48V – 96V High Voltage Motor - Controller System 330V – 800V 250W - 4.0kW 3.3kW - 6.0kW 7.5kW - 13.0kW 15.0kW - 35.0kW 60.0kW - 120.0kW 15.0kW - 60.0kW 3:1 Power Train for Passenger Car Hub Motor : 250W to 4000W (48V to 72V System) LTV ,
Slide 19: Takahata – Product Portfolio
Takahata – Product Portfolio FI- Components Throttle Unit Brake Unit Brake Unit FI- Components ECU Air Bag Door Lock FI- Connectors Steering Steering 18
Slide 20: Seasoned Board Of Directors Providing Expert Oversight
Seasoned Board Of Directors Providing Expert Oversight Mr. Pradeep Dinodia Mr. Hari S. Bhartia Ms. Ferida Chopra Ms. Meenakshi Dass Chairman Independent Director Independent Director Non-Executive Director (Non-Executive Non- Independent Director) ❖ On the board since 2003 ❖ On the board since 2009
Slide 21: The Visionary Leaders Who Drive SPRL
The Visionary Leaders Who Drive SPRL Mr. Krishnakumar Mr. Sandeep Agrawal Mr. Devendra Mishra Srinivasan Mr. Rajan Nanda Mr. Sandeep Kalia Executive Director & Executive Director Executive Director - Executive Director - Managing Director & CMO Pathredi CEO Ghaziabad ❖ 36+ Years of ❖ 32+ Years of ❖
Slide 22: Huge Focus on Sustainability (1/2)
Huge Focus on Sustainability (1/2) Environmental Social Governance ❖ Implemented ISO 14001 Environmental ❖ Utmost importance to the Health and Safety of ❖ Steering Committee on ESG under chairmanship Management Systems at both manufacturing sites workers at the plant/factory of our MD & CEO ❖ Three
Slide 23: Huge Focus on Sustainability (2/2)
Huge Focus on Sustainability (2/2) Environmental Initiatives Social Initiatives Governance Initiatives ❖ 20% Increase in mix of ❖ 10% Reduction in Attrition Rate ❖ Voluntary disclosure of BRSR Renewable Energy ❖ #2 days trainings on average ❖ Strong commitment of Board ❖ 30% Increase in use of Recyc
Slide 24: Industry Overview
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Slide 25: Indian Auto Components Industry: A Promising Future
Indian Auto Components Industry : A Promising Future Indian Auto Components Industry Size and Growth Component Sales By Category (FY23) Auto Components Exports – Size and Growth (USD Bn) (USD Bn) CAGR 14% CAGR 15% Others, 30 200 31% Engine Components, 25% Drive 19 20 Transmission & 117 Steering, 15
Slide 26: India's Thriving Automotive Industry
India’s Thriving Automotive Industry Indian Auto Industry Size (Volumes) Automobile Exports (Volumes) (Million) (Millions) Production Domestic Sales 5.6 26.4 25.9 4.8 4.8 22.7 23.0 4.1 21.6 21.2 18.6 17.6 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 Source: SIAM Why is India favourably placed? ❖ Indian A
Slide 27: Electric Vehicles: A booming industry
Electric Vehicles: A booming industry EV Sales (in Thousand) & EV Penetration (%) in India EV Sales (in Thousand) & EV Penetration (%) EV Sales Forecast* (in Million) by Vehicle Category in India Low Adoption Medium Adoption High Adoption 0.7% 1.8% 4.8% 6.4% 0.7 1.8 4.8 6.4 0.7 1.8 4.8 6.4 8.0 6.9 %
Slide 28: Internal Combustion (IC) Engines: Alternate Fuel Solutions
Internal Combustion (IC) Engines…….: Alternate Fuel Solutions Hybrid Hydrogen LNG Industrial CNG Flex 27
Slide 29: Internal Combustion (IC) Engines: Growth Story will continue
Internal Combustion (IC) Engines : Growth Story will continue While the EV Industry is witnessing a boom, it is facing numerous challenges and still has a long way to go. In the meanwhile, Internal Combustion (IC) Engines will continue to grow with the growing Automotive Industry. Insufficient Power
Slide 30: Quarterly Financial Highlights
Quarterly Financial Highlights 29
Slide 31: Q3 & 9M FY24 Key Financial Metrics
Q3 & 9M FY24 Key Financial Metrics (Rs Million) Revenue from Operations EBITDA * & EBITDA Margin (%) PAT & PAT Margin (%) 15.9% 19.2% 18.4% 23.3% 7.8% 11.1% 10.5% 14.6% +14 % YoY +26 % YoY 26,050 +53 % YoY +46 % YoY 61 % YoY 21,724 5,097 5,208 81 % YoY 20,647 19,083 3,262 3,337 3,563 2,956 2,030 1,6
Slide 32: Q3 & 9M FY24 P&L Statement
Q3 & 9M FY24 P&L Statement (Rs Million) Particulars Q3FY24 Q3FY23 YoY 9MFY24 9MFY23 YoY Revenue from Operations 7,085 6,360 11.4% 21,724 19,083 13.8% Other Income 186 115 597 302 Total Income 7,271 6,475 12.3% 22,321 19,385 15.1% Total Expenses 5,535 5,182 17,113 15,822 EBITDA 1,736 1,293 34.3% 5,20
Slide 33: Annual Financial Highlights
Annual Financial Highlights 32
Slide 34: Key Financial Metrics over the years
Key Financial Metrics over the years (Rs Million) Revenue from Operations EBITDA & EBITDA Margin (%) PAT & PAT Margin (%) FY23 vs FY22 Growth: 26% 53% 81% 12.4% 14.5% 15.9% 19.2% 4.5% 5.5% 7.8% 11.1% 26,050 5,097 20,647 16,068 15,966 3,337 2,956 2,351 2,018 1,636 888 730 FY20 FY21 FY22 FY23 FY20 FY2
Slide 35: Key Ratios over the years
Key Ratios over the years Debt-to-Equity Ratio (x) Interest Coverage Ratio (x) 29.2 26.2 18.7 0.24 16.3 0.16 0.13 0.13 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 Net Working Capital Cycle (Days) ROE & ROCE (%) 23.8% ROE ROCE 71 68 68 19.3% 54 16.9% 13.0% 10.5% 8.3% 7.7% 6.8% FY20 FY21 FY22 FY23 FY20 FY
Slide 36: Historical P&L Statement
Historical P&L Statement (Rs Million) Particulars FY20 FY21 FY22 FY23 Revenue from Operations 16,068 15,966 20,647 26,050 Other Income 198 196 292 462 Total Income 16,266 16,162 20,939 26,513 Total Expenses 14,248 13,811 17,602 21,415 EBITDA 2,018 2,351 3,337 5,097 EBITDA Margin 12.4% 14.5% 15.9% 19
Slide 37: Historical Balance Sheet
Historical Balance Sheet (Rs Million) Assets FY20 FY21 FY22 FY23 Equity & Liabilities FY20 FY21 FY22 FY23 Non-Current Assets Equity Share Capital 224 224 220 220 Other Equity 10,481 11,258 12,330 15,075 Property, Plant & Equipment 6,440 6,135 5,763 5,374 Total Equity 10,705 11,481 12,550 15,296 Capi
Slide 38: Historical Abridged Cash Flow Statement
Historical Abridged Cash Flow Statement (Rs Million) Cash Flow Statement FY20 FY21 FY22 FY23 Cash Flow from Operating Activities Profit for the Year 730 888 1,636 2,956 Adjustment for Non-Operating Items 1,243 1,371 1,530 1,837 Operating Profit before Working Capital Changes 1,974 2,259 3,166 4,793
Slide 39: Annexures
Annexures 38
Slide 40: SPRL Group Structure
SPRL Group Structure Products are marketed to almost all OEMs and Aftermarkets under brands SPR and USHA (100% Subsidiary of SPRL) (62% Stake) (66.42% Stake) Takahata Precision India Private Limited (TPI) EMF Innovations Private Limited (EMFI) Takahata Precision India Pvt. Ltd., has technical collab
Slide 41: Creating value for our Shareholders
Creating value for our Shareholders Shareholding as on 31st December 2023 Share Information as on 31st December 2023 NSE Ticker SHRIPISTON Others Shares Outstanding (Million) 44.0 39.1% Promoters Market Cap (Rs. Million) 64,137 46.8% % Free Float 53.2% Free Float Market Cap (Rs. Million) 34,153 3M A
Slide 42: Awards and Accolades
Awards and Accolades ❖ From Automotive Component Manufacturers Assn. Of India (ACMA) ❖ 'The Golden Peacock Award’ for "Excellence in ➢ Atmanirbhar Excellence Award For Exports (Very Large Corporate Governance - 2022” from Institute of Category) Directors, London (UK) ➢ Excellence in New Product Desi
Slide 43: Committed to Giving Back to the Society
Committed to Giving Back to the Society Awards from Rajasthan Govt. Annual CSR Spend Govt. Girls Sr. Sec. School, Tijara Adop. of Village Kunheda, Ghaziabad (Rs Millions) 51.95 29.73 30.90 Before After Environment Mobile Medical Van, Pathredi Dispensary in Tapukara Dispensary In Bhiwadi FY22 FY23 FY
Slide 44: Thank You
Thank You Contact Us Shriram Pistons & Rings Ltd. Prem Rathi Executive Director & CFO prem.rathi@shrirampistons.com Pankaj Gupta Head Legal & Company Secretary pankaj.gupta@shrirampistons.com Ernst & Young LLP Rohit Anand / Riddhant Kapur rohit.anand4@in.ey.com / riddhant.kapur@in.ey.com 43
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