Sharda Motor Industries Ltd. · NSE:SHARDAMOTR
Sharda Motor Industries — Q3 FY2022 Earnings Presentation
34 slides from Sharda Motor Industries's earnings presentation, Feb 10, 2022
Slide 1: Submission of Investors Presentation to exchanges
SMIL: BSE/NSE: 21-22/1002 February 10, 2022 BSE Limited National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, 5th Floor Pheroze Jeejeebhoy Towers Plot No. C/1, G Block Dalal Street, Mumbai - 400 001 Bandra - Kurla Complex, Mumbai - 400 051 (SCRIP CODE - 535602) (S
Slide 2: Investor Presentation February 2022
SHARDA MOTOR INDUSTRIES LIMITED Investor Presentation February 2022 ying Let’s do great things together! www.shardamotor.com
Slide 3: Disclaimer
This presentation and the accompanying slides (the “Presentation”), has been prepared by Sharda Motor Industries 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 not form the
Slide 4: 3
3
Slide 5: Leading Auto-ancillary Company with Global Aspirations
Foundation Founded in 1986, Sharda Motor has scaled to numerous highs in the automotive industry. Leading Auto-ancillary Company with Global Aspirations Offers highly engineered products and services commencing from emission to World class Manufacturing Infrastructure suspension systems, roof syst
Slide 6: IPO and listing on Delhi Stock Exchange
1987 IPO and listing on Delhi Stock Exchange 5
Slide 7: Presence in Pan India, Joint Venture Abroad
Presence in Pan India Delhi Haridwar Sanad Pune Chennai Sanad Exhaust System Exhaust System Exhaust System Suspension Tube Mill / R&D Namyang Assembly Nashik Nashik Haridwar Delhi Pune Exhaust System Exhaust System Roof System Pune Stamping of Parts & Corporate Office Suspension Assembly Fuel Tank C
Slide 8: Established R&D unit for exhaust and emission systems
Established R&D unit for exhaust system in 2002 and emission system 2010 at Mahindra World City, Chennai A state of art facility to Design, Simulate, Testing and Prototype of exhaust system for PVs & CVs as well as non-automotive applications R&D Centre has the full capabilities to cater to various
Slide 9: Timing: Achievement of all milestones
Passenger Vehicle Stationary engine Off-road vehicle Medium & Heavy Tractors ranging ranging ranging Commercial Vehicle All Ranges 1L – 3L 0.3L – 3.5L 2L – 4L ranging 2.5L – 8L Timing: TIMING COST PROCESS PROCESS TESTING PTOTOTYPES Achievement of Achievement of STABILITY Integration of new All compo
Slide 10: R&D Responsibilities and Concept Design capabilities
Concept Acoustic Structural Responsibilities CFD Analysis Proto Build Industrialization Testing SOP Design Simulation Analysis Passenger Vehicle Engine Small Commercial Vehicle Engine Light Commercial Vehicle Engine Medium Commercial Vehicle Engine Heavy Commercial Vehicle 3 Wheeler Passenger / Load
Slide 11: Leading to increase in content per Vehicle
Leading to increase in content per Vehicle Legislation Impact CEV IV & V and TREM IV & V emission standards • With applicability of new emission norms, the Off Off-Road are for non road diesel engines used in Highway Addressable Market will become construction and agricultural equipment equivalent o
Slide 12: Key investment highlights
• Sustainable growth in operating profits vs Cyclical auto industry Operational efficiencies • Backward integration by producing in-house bought out parts • Strategic technology partnership giving access to world class technology in emission Technology – Key entry barrier control system act as a key
Slide 13: Structural Advantage, Value Accretion, Complete Control
Leveraging of existing Structural Advantage Value Accretion Complete Control setup for new applications Completely backward With manufacturing Over process and supply Established expertise in integrated with two infrastructure already in chain efficiencies, leading to manufacturing of tube mills and
Slide 14: Electric Vehicle Drivers: Getting Future Ready
Getting Future Ready Electric vehicle market is estimated to be a Rs. 50,000 crore opportunity in India by 2025. Most of Indian consumers would consider Electric Vehicle Drivers buying an electric vehicle by the year 2022 The study also highlighted for an average Indian consumer, price point of Rs.
Slide 15: Joint Ventures and Technical Collaboration
Joint Venture Technical Joint Venture Exhaust Systems Collaboration Lithium Battery Manufacturing Eberspaecher* and Sharda Motor Entered a technical Kinetic Green^ and Sharda Industries Ltd. entered into a JV to partnership with Bestop Inc. Motor Industries Ltd. entered manufacture commercial vehicl
Slide 16: Exhaust systems: from idea to manufacturing
Catering to Serving PV, CV Annual Indian Market Domestic & and Off-road Production of Share of ~30% International segment. ~1 million units customers 5 plants strategically located Catering to most of the 3 stamping plants managing across India and present in OEM’s in PV segment all critical stampin
Slide 17: Suspension systems: world-class manufacturing processes
Annual Production of ~1.8 Indian Market Share of ~10% 2 manufacturing units lakh units Development, Project planning & Testing & Concept, Design and Digitizing Validation Expertise in this arena with its world-class manufacturing processes Arm Lower Control Front Suspension Upper Arm Assy Assy. Lowe
Slide 18: Board of Directors
Mr. Kishan Parikh Mr. Ashok Kumar Bhattacharya Chairman, Independent Director Independent Director Holds Bachelor’s Degree in commerce and has 30+ years of He holds Bachelor’s degree from IIT, Kharagpur and PhD. from experience in area of Business Management and managing Cambridge. Has 40+ years of
Slide 19: Management team
Mr. Ajay Relan Mr. Anand Dinkar Sontakke Managing Director Chief Operating Officer Responsible for overall manufacturing operations, Plant, Research BE in Mechanical from NIT, ICWAI (intermediate) & CPM from ISM, & Development, Product Development and complete supervision USA. Has 29+ years of exper
Slide 20: Awards and recognitions
21awqzs Silver award in Business Mahindra Supplier Excellence Cummins India ABO Supplier Manufacturing Today Alignment Category by Ashok Mahindra & Mahindra Annual Award for Business Partner of the Conference Award for Best Conference And Awards for Leyland (2020-21) Commodity Award (2014) Year (201
Slide 21: Financial Highlights
Financial Highlights
Slide 22: Q3 FY22 Revenue, EBITDA, PAT
INR Crores REVENUE EBITDA PAT* -1% +21% +29% 61 62 42 584 587 579 39 51 31 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 * Including Profit/(loss) in JV and Associates 21 21
Slide 23: 9M FY22 Revenue, EBITDA, PAT
INR Crores REVENUE EBITDA PAT* +45% +113% +158% 1,638 164 105 1,132 77 41 9MFY21 9MFY22 9MFY21 9MFY22 9MFY21 9MFY22 * Including Profit/(loss) in JV and Associates 22 22
Slide 24: Q3 FY22 Consolidated Profit and Loss
INR Crores Particulars Q3FY22 Q3FY21 YoY Q2FY22 QoQ 9MFY22 9MFY21 YoY FY21 Revenue from Operations 578.6 584.4 -1% 587.1 -1% 1,637.5 1,132.4 45% 1,736.5 Cost of Goods Sold 464.5 476.9 467.1 1,312.6 925.7 1,419.5 Gross Profit 114.1 107.5 6% 120.1 -5% 324.8 206.6 57% 317.0 Gross Profit Margin 19.7% 18
Slide 25: Q3 FY22 Standalone Profit and Loss
INR Crores Particulars Q3FY22 Q3FY21 YoY Q2FY22 QoQ 9MFY22 9MFY21 YoY FY21 Revenue from Operations 578.6 584.4 -1% 587.1 -1% 1,637.5 1,132.4 45% 1,736.5 Cost of Goods Sold 464.5 476.9 467.1 1,312.6 925.7 1,419.5 Gross Profit 114.1 107.5 6% 120.1 -5% 324.8 206.6 57% 317.0 Gross Profit Margin 19.7% 18
Slide 26: Revenue, EBITDA, PAT FY17-FY21
INR Crores REVENUE EBITDA PAT^ 1,737 128 129 81 117 116 +24% 68 67 96 55 52 938 845 863 739 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 * Consolidated Excluding Seating Business ^ Including Profit/(loss) in JV and Associates 25 25
Slide 27: Consolidated Profit and Loss FY21
INR Crores Particulars FY21 FY20 YoY Revenue from Operations 1,736.5 863.0 101% Cost of Goods Sold 1,419.5 585.9 Gross Profit 317.1 277.1 14% Gross Profit Margin 18.3% 32.1% Employee Cost 81.6 85.0 Other Expenses 106.2 96.3 EBITDA 129.3 95.8 35% EBITDA Margin 7.4% 11.1% Other Income 21.5 23.7 Deprec
Slide 28: Consolidated Balance Sheet
INR Crores Equity & Liabilities Mar-21 Mar-20 Assets Mar-21 Mar-20 Non - Current Assets 218.1 225.0 Total Equity 430.9 364.6 Property Plant & Equipments 168.0 175.4 Share Capital 5.9 5.9 Capital Work In Progress 0.1 0.9 Reserves & Surplus 424.9 358.6 Right of Use Asset 10.5 10.1 Intangible assets 0.
Slide 29: Standalone Profit and Loss FY21
INR Crores Particulars FY21 FY20 YoY Revenue from Operations 1,736.50 863 101% Cost of Goods Sold 1,419.50 585.9 Gross Profit 317.0 277.1 14% Gross Profit Margin 18.3% 32.1% Employee Cost 81.6 85.0 Other Expenses 106.2 96.3 EBITDA 129.2 95.8 35% EBITDA Margin 7.4% 11.1% Other Income 21.5 23.7 Deprec
Slide 30: Standalone Balance Sheet
INR Crores Equity & Liabilities Mar-21 Mar-20 Assets Mar-21 Mar-20 Non - Current Assets 232.7 227.7 Total Equity 445.4 367.2 Property Plant & Equipments 168.0 175.4 Share Capital 5.9 5.9 Capital Work In Progress 0.1 0.9 Reserves & Surplus 439.5 361.3 Right of Use Asset 10.5 10.1 Intangible assets 0.
Slide 31: Cash Flow Statement
INR Crores Standalone Consolidated Particulars FY21 FY20 FY21 FY20 Net Profit Before Tax 105.3 78.5 105.3 78.5 Adjustments for: Non -Cash Items / Other Investment or Financial Items 29.6 -104.4 29.6 -138.0 Operating profit before working capital changes 134.8 -25.9 134.8 -59.6 Changes in working cap
Slide 32: Adjusted ROCE
INR Crores Particulars H1 FY22^ FY21 FY20 FY19 FY18 FY17 Interest Income on Cash (A) 13.8 10.0 5.5 4.8 3.9 3.0 EBIT (B) 188.1 106.7 79.4 113.3 97.2 87.8 Equity Capital (C) 489.0 430.9 364.6 409.4 318.0 260.0 Debt Capital (D) - - - - - 22.5 Cash & Equivalents (E) 270.2 263.0 146.3 141.1 73.7 59.9 Adj
Slide 33: CSR: Tree Planting, Stop Plastic Pollution, Blood Donation
Tree Planting 1 Stop Plastic Pollution Blood Donation Drive Sharda Motor believes in the Installed plastic bottle shredding Organized blood donation camps preservation of the environment. Our machine at Jamshedpur district of to help hospitals and blood banks team of volunteers contributed their Jha
Slide 34: Company and Investor Relations Advisors contacts
Company Investor Relations Advisors CIN: L74899DL 1986PLC023202 CIN: U74140MH2010PTC204285 Mr. Srinivasan Narasimhan Mr. Jigar Kavaiya / Pratik Shah Chief Financial Officer Deputy Head-IR Practice / Associate 02135-674400 +91 9920602034 / +91 9870030585 sn.s@shardamotor.com jigar.kavaiya@sgapl.net /
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