Pricol Ltd. · NSE:PRICOLLTD

Pricol — Shareholder Meeting (August 2019)

43 slides from Pricol's shareholder meeting presentation, Aug 29, 2019

  1. Slide 1: Welcome to Pricol Limited's 8th Annual General Meeting

    Welcome to Pricol Limited’s 8th Annual General Meeting 29 August 2019 Slide 1

  2. Slide 2: Agenda

    Agenda Financial Performance FY 18‐19 & FY 19‐20 (Q1) New Business Wins Company Outlook FY 19‐20 Key Investments & New Plant Key Partnerships Slide 2

  3. Slide 3: Financial Performance FY 18-19 & FY 19-20 (Q1)

    Financial Performance FY 18‐19 & FY 19‐20 (Q1) Slide 3

  4. Slide 4: Standalone Financial Performance FY 18-19: Operations

    Standalone Financial Performance FY 18‐19: Operations  Pricol’s standalone revenue from operations grew by 10.30% and stood at INR 1297.90 crores in FY 18‐19  However, Increase in raw material cost on account of electronics price surge, forex impact due to rupee weakening, fuel price surge and add

  5. Slide 5: Standalone Financial Performance FY 18-19: Total Revenue

    Standalone Financial Performance FY 18‐19: Total Revenue  Total revenue is INR 1383.91 crores in FY 18‐19, which includes the following:  Sale of land held as stock in trade to the tune of INR 11.84 crores  Sale of traded goods to the tune of INR 67.06 crores  Other income is to the tune of INR

  6. Slide 6: Standalone Vehicle Segment Wise Growth FY 18-19

    Standalone Vehicle Segment Wise Growth FY 18‐19 Segment Pricol’s Growth Market Growth* Two / Three Wheeler 12% 7% Commercial Vehicle 30% 24% Tractor # 2% 10% Four Wheeler ## ‐18% 0% Total 11% 6% • Source for Market Growth: SIAM # Major share of our business comes from two wheeler segment. While we c

  7. Slide 7: Standalone Vehicle Segment Wise Growth FY 19-20 (Q1)

    Standalone Vehicle Segment Wise Growth FY 19‐20 (Q1) Segment Pricol’s Growth Market Growth* Two / Three Wheeler ‐3% ‐10% Commercial Vehicle ‐17% ‐14% Tractor ‐22% ‐14% Four Wheeler ‐36% ‐12% Total ‐8% ‐11% * Source for Market Growth: SIAM Sales across all the segments has dropped due to reduction in

  8. Slide 8: Standalone Revenue Split by Segments

    Standalone Revenue Split by Segments Amt in Crores % of % of 2019‐20 % of 2017‐18 2018‐19 Revenue Revenue (Q1) Revenue Two / Three Wheeler 744.96 63% 844.91 65% 210.28 69% Commercial Vehicle 108.95 9% 116.89 9% 19.07 6% Tractor 50.01 4% 51.78 4% 11.24 4% Four Wheeler 71.41 6% 61.93 5% 12.42 4% Other

  9. Slide 9: Standalone Revenue Split by Product Vertical

    Standalone Revenue Split by Product vertitical (In INR crores) Product vertical % of % of FY 18‐19 FY 17‐18 Growth % (Spread across all segments) Revenue Revenue Driver Information 634.32 49% 570.0 48% 11% System Switches and Sensors 180.17 14% 149.9 13% 20% Pumps and 352.17 27% 345.8 29% 2% Mechani

  10. Slide 10: Standalone Revenue Split by Product Vertical

    Standalone Revenue Split by Product Vertical (In INR crores) Product vertical % of % of FY 18‐19 FY 17‐18 Growth % (Spread across all segments) Revenue Revenue Driver Information 634.32 49% 570.0 48% 11% System Switches and Sensors 180.17 14% 149.9 13% 20% Pumps and 352.17 27% 345.8 29% 2% Mechanica

  11. Slide 11: Capex Investment in FY 18-19

    Capex Investment in FY 18‐19  Standalone capex investment in FY 18‐19 was INR 104.80 crores. (In INR crores) Particulars FY 18‐19 Building & Infrastructure 33.75 Plant & Machinery 32.13 Others* 15.56 Tooling 23.36 Standalone Total Capex 104.80 *Others include test lab and quality lab equipment, tec

  12. Slide 12: Discontinued Operations

    Discontinued Operations  Discontinued operations include the following two subsidiaries of Pricol Limited  Pricol Wiping Systems India Limited  Pricol Espana Sociedad Limitada, Spain that include following step down subsidiaries:  Pricol do Brasil Components Automotive Ltd  Pricol Wiping System

  13. Slide 13: Discontinued Operations

    Discontinued Operations  After multiple rounds of negotiation, following deal structure has been agreed upon:  Chroma will hold 80.5% of Pricol Espana and 74% of Pricol Wiping India for a consideration of Euro 100,000 net of specified loans taken over.  Pricol Limited will continue as a minority

  14. Slide 14: Consolidated Financial Performance FY 18-19 (Continued Operations)

    Consolidated Financial Performance FY 18–19 (Continued Operations)  Continued Operations comprises of Pricol Limited, Pricol Surya Indonesia and Pricol Asia.  Pricol’s consolidated revenue from operations grew by 8.62% and stood at INR 1319.70 crores in FY 18‐19  However, Increase in raw material

  15. Slide 15: Pricol Do Brasil – Financial Performance FY 18-19

    Pricol Do Brasil – Financial Performance FY 18‐19 (Discontinued Operations) (In INR crores) Particulars FY 18‐19 FY 17‐18 Revenue 99.90 127.81 ‐Domestic 84.75 107.92 ‐Exports 15.15 19.89 EBITDA (47.71) (26.86) % of Revenue ‐48% ‐21% Profit/(Loss) before Tax (73.23) (91.41) % of Revenue ‐73% ‐72%  L

  16. Slide 16: Financial Performance FY 18-19 (Discontinued Operations Other Than Brazil)

    Financial Performance FY 18‐19 (Discontinued Operations Other Than Brazil) (In INR crores) Particulars FY 18‐19 FY 17‐18* Revenue 430.03 227.82 Profit/(Loss) before tax (116.26) (12.53) % of Revenue ‐27% ‐6% * Period from Sep 2017 till Mar 2018 being effective period of control after acquisition  C

  17. Slide 17: New Business Wins

    New Business Wins PRICOL LIMITED Passion to Excel

  18. Slide 18: New Business Wins

    New Business Wins Product : Mechanical Cluster Customer : BAJAJ AUTO LIMITED Model : Platina Mechanical Market : India Product : Electronic Cluster Customer : TVS MOTOR COMPANY LIMITED Model : Jupiter Grande Market : India Slide 18

  19. Slide 19: New Business Wins

    New Business Wins Product : Electronic Cluster Customer : BAJAJ AUTO LIMITED Model : Platina UG Market : India Product : Electronic Cluster Customer : KUBOTA AGRICULTURE INDIA Model : MU4501 Market : Export Slide 19

  20. Slide 20: New Business Wins

    New Business Wins Product : Electronic Cluster Customer : SML ISUZU Model : WC 29 Market : India Product : Electronic Cluster Customer : ROYAL ENFIELD LIMITED INDIA Model : Himalayan Market : India Slide 20

  21. Slide 21: New Business Wins

    New Business Wins Product : Electronic Cluster Customer : FORCE MOTORS LIMITED Model : Balwan & Orchard Market : India Product : Electronic Cluster Customer : TRACTORS AND FARM EQUIPMENTS LTD. Model : MF 9500 Market : India Slide 21

  22. Slide 22: New Business Wins

    New Business Wins Product : Mechanical Cluster Customer : TVS MOTOR COMPANY LIMITED Model : Radeon Market : India Product : Mechanical & Electronic Instrument Cluster Customer : TVS MOTOR COMPANY LIMITED Model : Duramax Market : India Slide 22

  23. Slide 23: New Business Wins

    New Business Wins Product : Fuel Pump Module Customer : HERO MOTOR CORPORATION LIMITED Model : Scooters Market : India Product : Fuel level sensor Customer : HERO MOTOR CORPORATION LIMITED Model : Motor Cycles Market : India Slide 23

  24. Slide 24: New Business Wins

    New Business Wins Product : Water Pumps Customer : CATERPILLAR, USA Model : Large Power Systems Division Market : USA Product : Water Pump Customer : POLARIS, USA Model : G4 Market : Export Slide 24

  25. Slide 25: Annualized value of revenue from new products

    Annualized value of revenue from new products Product verticals INR in Crores Instrument clusters 90 Pumps and Mechanical products 270 Total 360 Product : Water Pump Customer : POLARIS, USA Model : G4 Market : Export Slide 25

  26. Slide 26: Company Outlook

    Company Outlook PRICOL LIMITED Passion to Excel

  27. Slide 27: Standalone Outlook for FY 19-20 & FY 20-21

    Standalone Outlook for FY 19‐20 & FY 20‐21  The industry is expected to de grow in FY 19‐20. While the market de growth is expected to be 15% or even more as per the current scenario, Pricol’s revenue is expected to be flat at the same levels of FY 18‐19, of about INR 1300 crores.  Pricol has won

  28. Slide 28: Key Investments & New Plant

    Key Investments & New Plant Slide 28

  29. Slide 29: Manufacturing Plant in Sricity, Andhra Pradesh – Plant 10

    Manufacturing Plant in Sricity, Andhra Pradesh – Plant 10 Investment in a greenfield manufacturing plant in Sricity , Andhra Pradesh has become operational from 3rd December 2018 onwards. The manufacturing facility is built over a land area of 5.86 acres with a building area of over 48000 square fee

  30. Slide 30: Key Investments FY 18-19

    Key Investments FY 18‐19 2W Mechanical DIS assembly line TVSM – Plant 1 Through hole PCB assembly line – Plant 1 Slide 30

  31. Slide 31: Key Investments FY 18-19

    Key Investments FY 18‐19 2W Electronic DIS assembly line TVSM – Plant 1 CV Electronic DIS assembly line for VECV – Plant 2 Slide 31

  32. Slide 32: Key Investments FY 18-19

    Key Investments FY 18‐19 Oil & Water pump assembly line for BMW – Plant 3 Oil pump assembly line for Generac – Plant 3 Slide 32

  33. Slide 33: Key Investments FY 18-19

    Key Investments FY 18‐19 Cabin tilt system Pump assembly line for Ashok Leyland – Plant 3 Cabin tilt system Cylinder assembly line for Ashok Leyland – Plant 3 Slide 33

  34. Slide 34: Key Investments FY 18-19

    Key Investments FY 18‐19 Water pump assembly line for Deutz– Plant 3 2W Mechanical DIS assembly line for Yamaha – Plant 10 Slide 34

  35. Slide 35: Key Investments FY 18-19

    Key Investments FY 18‐19 TFR FLS assembly line for REML – Plant 10 2W Mechanical DIS assembly line for REML – Plant 10 Slide 35

  36. Slide 36: Key Investments FY 18-19

    Key Investments FY 18‐19 Temperature sensor assembly line for Caterpillar – Plant 10 Slide 36

  37. Slide 37: Key Partnership

    Key Partnership PRICOL LIMITED Passion to Excel

  38. Slide 38: Proposed Joint Venture with Pointer Telocation for Telematics Solution

    Proposed Joint Venture with Pointer Telocation for Telematics Solution  Pricol signed a Letter of Intent with Pointer Telocation to form a Joint Venture for advanced telematics and IoT solutions in India and other countries in South East Asia.  Pointer will hold 51% and Pricol will hold 49% shareh

  39. Slide 39: Licensing Agreement for Oxygen Sensors

    Licensing Agreement for Oxygen Sensors  Kerdea and Pricol jointly decided to upgrade the sensor from GEN 1 (Horizontal Type) to GEN 2 (Vertical Type) for improved performance and ease of assembly process.  GEN2 Sensor development is completed. GEN2 T1 samples were produced and tested for Durabilit

  40. Slide 40: Technical Collaboration for Fuel Pump Modules

    Technical Collaboration for Fuel Pump Modules  Hero MotoCorp & Magnetti Marelli: Final samples submitted in June 2018 and mass production expected from November 2019.  TVS: Tooling go ahead received and tools are under development. SOP is tentatively planned from February, 2020.  Bajaj : Requirem

  41. Slide 41: Partnership for Electric Water Pumps

    Partnership for Electric Water Pumps  Samples submitted to Ashok Leyland, Volvo Eicher, Force Motors, Tata, Bajaj and Thor trucks, USA. Under testing for future business conversion.  Business confirmation received from Ashok Leyland for their New generation E‐buses.  In‐house testing facilities f

  42. Slide 42: Disclaimer

    Disclaimer The contents of this presentation are for informational purposes only and for the reader’s personal non‐commercial use. The contents are intended but not guaranteed to be correct compete or absolutely accurate. This presentation also contains forward‐looking statements based on the curren

  43. Slide 43: Slide 43

    > PASSIONATE > SUSTAINABLE > Dynamic > EVOLVING —S=— S|] Vv ™ >3< pricol Slide 43 PRICOL LIMITED Passion to Excel

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