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Marching Ahead with Confidence… Corporate Presentation April 2019

Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

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Page 1: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Marching Ahead with Confidence…

Corporate Presentation April 2019

Page 2: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Overview

1Core business, Group and

Organization structure

2 Customer Profile

4 Financials.

5Milestones, Strengths and

Accolades

2A Global Leader in Control Cables and Halogen Lamps

2 Customer Profile

3 Strategy – Suprajit 2.0

5 Accolades

Page 3: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Core Business, Group and Organization Structure

3A Global Leader in Control Cables and Halogen Lamps

Organization Structure

Page 4: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Exhaustive Range of Cables

� Park Brake Cables

� Clutch Cables

� Starter Cables

� Throttle Cables

� Door Latch Cables

� Push-Pull Cables

� Mirror Cables

� Tail Gate Cables

� Gear Shifter Cables

� Tyre lifting Cables

� Fuel Filler cables

Hood Lock & Release Cables

Indicative List of Our Products Used in a 4W

4A Global Leader in Control Cables and Halogen Lamps

� Hood Lock & Release Cables

� Window Regulator Cables

� Cables for Seat Belts

� Seat Belt & Recliners Cables

� Speedometer & Tachometer Cables

� Seat lock Cables

� Engine stop Cables

� Idle Cable Assembly

� Flexible Drive Assembly

� And many more…

Indicative List of Our Products Used in a 2W &

Nonautomotive

Page 5: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Range of Halogen Lamps

5A Global Leader in Control Cables and Halogen Lamps

Page 6: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

� World-class manufacturing with operations IATF 16949 certified.

� Global standards in manufacturing, testing and quality assurance.

� Vertical process integration for key processes and optimized supply chain.

Best-in-Class Facilities

IATF16949 Plants

6A Global Leader in Control Cables and Halogen Lamps

Page 7: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Suprajit Group Structure

Suprajit Engineering Limited

100%

7A Global Leader in Control Cables and Halogen Lamps

Suprajit

Europe

(SEU)

Suprajit

Automotive

(SAL)

Suprajit USA,

Inc

Suprajit

Foundation

(CSR Arm)

Wescon Controls LLC

(2 plants)

Phoenix Lamps Division (3 plants)

(Erstwhile Phoenix Lamps Limited,

merged with Suprajit recently)

100%

Trifa

Germany

Luxlite

Luxembourg

100%100%

Page 8: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Leadership Team

K. Ajith Kumar Rai

Founder & Chairman

N.S.Mohan

Managing Director

Medappa Gowda J

CFO & CS

Strategic

Corporate Functions

8A Global Leader in Control Cables and Halogen Lamps

N. Shankar COO SEL

Akhilesh GoelCOO Phoenix

FrankCEO Trifa / Luxlite

PeterCEO SEU/SAL

CSFinancial

Controller

PraveenVP Marketing

Akhilesh Rai

CSO

Ashutosh Rai

Head - STC

Steve

CEO Wescon

Page 9: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Group Overview

� Top 3/ 5 in cables / halogen lamps.

� Dominant supplier in Indian Automotive Industry.

� Preferred Supplier to both Domestic and Overseas Customers (OEMs and Aftermarket).

� Exports to 50+ countries.

� Strong presence in nonautomotive cables in US/North American markets through Wescon.

9A Global Leader in Control Cables and Halogen Lamps

through Wescon.

� Strong Brands: Suprajit, Wescon and Phoenix.

Page 10: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Customer Profile

Page 11: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Customers – Automotive

11A Global Leader in Control Cables and Halogen Lamps

Page 12: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Customers – Two Wheeler

12A Global Leader in Control Cables and Halogen Lamps

Page 13: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Customers – Non Automotive

13A Global Leader in Control Cables and Halogen Lamps

Page 14: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Customers (>US$ 3 millions)

TVS TVS TVS TVS MotorMotorMotorMotor

Bajaj AutoBajaj AutoBajaj AutoBajaj Auto

Honda GroupHonda GroupHonda GroupHonda Group

John Deere GroupJohn Deere GroupJohn Deere GroupJohn Deere Group

VW VW VW VW GroupGroupGroupGroup

M&MM&MM&MM&M

Hero Moto CorpHero Moto CorpHero Moto CorpHero Moto Corp

Renault / NissanRenault / NissanRenault / NissanRenault / Nissan

ToroToroToroToro

MagnetiMagnetiMagnetiMagneti MareliMareliMareliMareli

14A Global Leader in Control Cables and Halogen Lamps

John Deere GroupJohn Deere GroupJohn Deere GroupJohn Deere Group

MTDMTDMTDMTD

LumaxLumaxLumaxLumax

BMWBMWBMWBMW

YamahaYamahaYamahaYamaha

MagnetiMagnetiMagnetiMagneti MareliMareliMareliMareli

FORDFORDFORDFORD

PiaggioPiaggioPiaggioPiaggio

Royal EnfieldRoyal EnfieldRoyal EnfieldRoyal Enfield

HusqvarnaHusqvarnaHusqvarnaHusqvarna

Page 15: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Strategy – Suprajit 2.0Strategy – Suprajit 2.0

Page 16: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Strategy – Derisk and Grow Profitably

Multiple

Segment

Multiple

Customer

Multiple

Product

Two wheeler

Three wheeler

Fourwheeler, CVs

Non-Auto,ExportsAft-mkt

TVS Motor Company

Bajaj Auto Limited

Tata Motors, Swaraj Mazda, Eicher Motors

German, Japanese and NA 4W OEMs, domestic 4W OEMs

John Deere India Private Limited, Kubota

Mechanical Control Cables

Speedo-meters,other autocomponents

Cablebased assemblies

Automotive Halogen Lamps

Single

Segment

Single

Customer

Single

Product

16A Global Leader in Control Cables and Halogen Lamps

Aggressive Capacity Expansion and Strategic Acquisitions:

Shah Concabs (IN), Gills Cables (UK), Pricol (Cables, IN), Phoenix (IN+EU), Wescon (US)

Product

Multiple

Location

Multiple

Brand

KarnatakaMultipleStates

KarnatakaMaharashtraGujaratHaryana

UttarakhandRajasthanTamil NaduUttar Pradesh

UK and US, sales to multiple countries

componentsLampsProduct

Single

Location

Single

Brand

Page 17: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Strategy – 3 Brands

Suprajit Engineering

Automotive Cables

•14 manufacturing facilities in

India including EOU for non-

Phoenix Lamps

Halogen Lamps

• 3 manufacturing facilities in

India.

Wescon Controls

Non-Automotive cables

• Manufacturing facility in

Wichita, Kansas, USA.

17A Global Leader in Control Cables and Halogen Lamps

India including EOU for non-

automotive.

• SAL – EOU facility for

automotive

• SEU - Tech Centre in

Tamworth, UK.

• Over 30 years of expertise in

cables.

India.

• 2 facilities in Germany and

Luxembourg.

• Acquired by Suprajit in May

2015 and merged with Suprajit

in August 2017

• Over 25 years of expertise in

Halogen Lamps.

Wichita, Kansas, USA.

• 1 Maquiladora facility in

Juarez, Mexico.

• Acquired by Suprajit in

September 2016.

• Over 70 years of expertise in

cables & controls.

Page 18: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Global FootprintGlobal Footprint

18A Global Leader in Control Cables and Halogen Lamps

Suprajit - India:• Headquarters, • Tech Centre • Global Manufacturing Hub•14 Strategically located plants

PlantsPlantsPlantsPlants

India 17

UK 1

US 1

Mexico 1

Page 19: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

FinancialsFinancials

Page 20: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Capacities

66

66

66

66

90

90

90

90 100

100

100

100 115

115

115

115

125

125

125

125 140

140

140

140 157

157

157

157 180

180

180

180

212

212

212

212

80

105 125 140

150 175 200

250

250

100

150

200

250

300

(In millions)

Lamps,

22%

Cables,

FY 17-18

Cable Capacity Revenue Split

20A Global Leader in Control Cables and Halogen Lamps

66

66

66

66 80

0

50

100

2010 2011 2012 2013 2014 2015 2016 2017 2018

Cables Produced Cable Capacity

Cables,

78%

Lamp Capacity (2018) 87 million

Utilized Capacity (2018) 62 million

Bulb CapacityCapacity expansion plan :

Cables – 300+ million

Capex – Rs. 100 cores (over 2 years)

Page 21: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Net Sales (Group)

14

4.3

18

2.2

21

6.8

USD Mn

21A Global Leader in Control Cables and Halogen Lamps

31

.3 37

.7

52

.5 64

.2 70

.1 82

.6 92

.7

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Page 22: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Segmental and Geographic Synergies

1% 2.5%

96,5%

26%

16%

22%

36%

FY16-17

21%

21%

22%

36%

FY17-18

FY01-02

Ca

teg

ory

-wis

e

Automotive 2-wheeler Aftermarket Non-automotive

22A Global Leader in Control Cables and Halogen Lamps

1%

99%

60%

40%

FY16-17 59%

41%FY17-18

FY01-02

Ge

og

rap

hy

-wis

e

Automotive 2-wheeler Aftermarket Non-automotive

Global Domestic

Page 23: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Milestones, Strengths and Accolades

23A Global Leader in Control Cables and Halogen Lamps

Milestones, Strengths and Accolades

Page 24: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Key Milestones in Our Journey:

• Commencement of operations

• Listing of shares in NSE and BSE

• India’s largest cable marker

• Acquisition of Shah Concabs – 4W cable competitor

• Plants in Bangalore, Manesar and Chakan

• ‘Enterprise of the state’ award by KSFC

• Consolidating position as established global mechanical cable marker; diversifying and de-risking revenue profile

• New plant at SAL, Bangalore and Pathredi

• Acquisition of Speedo cable business (4W business) of Pricol

• Acquisition of Phoenix Lamps Limited

• Acquisition of Wescon Controls, Wichita, USA.

• Launched two new plants in Chennai and Sanand

• Launched capex of Rs.100 crores to expand cable capacity to 300 million with 2 new plants.

1985-95

2006-10

24A Global Leader in Control Cables and Halogen Lamps

• Two new cable plants in Bangalore

• New plants in Pantnagar, Haridwar and Manesar

• 100% EOU for non-automotive cables in Bangalore

• Best Enterprise of the State Award by Karnataka State

• Twin Awards by CNBC/ICICI/CRISIL- SME of the year & Auto Ancillary of the year

• Acquisition of CTP Gills Cables, one of the oldest cable companies with marquee global customers – now renamed as Suprajit Europe

1985

1996-2005

2011-18

� 5 acquisitions – 4 in cable space.� Proven track record of integration� Strong Organic growth

Page 25: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Suprajit Strengths

� Mass manufacturer with competitive cost advantage.

� High productivity and low overhead costs.

� Excellent customer rapport.

� A proprietary class `B’ item, giving a strategic relationship advantage.

� Best in-class manufacturing system.

� Excellent R&D system.

25A Global Leader in Control Cables and Halogen Lamps

� Best supply chain footprint for customer requirements.

� Best in class testing facilities.

� Ability to setup modular capacities at low capex for dynamic growth.

� Industry beating operational and financial costs.

� Excellent management team, motivated and focused.

� “Value for money supplier” with best QCDD rating.

Page 26: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

Awards and recognitions

� Volkswagen – ‘A’ Grade Supplier Award, Quality Performance Award.

� Honda Motor Cycles and Scooters – Quality and Delivery Achievement Award.

� General Motors - Supplier Quality Excellence Award (3 years in a row).

� John Deere – Accelerated Global Sourcing Award.

� Brose Key Supplier Award.

� Bajaj Auto Limited – TPM Excellence Award.

� Tata Motors – Green Card for ‘0’ PPM.

� Hero MotoCorp Limited – Direct Online Supply (DOL) Award.

� Bajaj Auto Limited - Quality Consistency Gold Award.

� Yamaha - Cost Reduction & VA/VE activity award. C

usto

mer

aw

ard

s a

nd

reco

gn

itio

ns

26A Global Leader in Control Cables and Halogen Lamps

� Yamaha - Cost Reduction & VA/VE activity award.

- A grade excellence Award.

� TVS, Bajaj and Mahindra – various Awards.

� And many more….

� 1995 KSFC: Entrepreneur of the year for the promoter

� 2006 CNBC/ICICI/CRISIL: SME of the year

Auto Ancillary of the year

� 2007 NASSCOM: Best IT user Award in Automotive Sector

� 2010 KSFC: Outstanding Enterprise of the State.

� 2017 BMA – Entrepreneur of the Year.

Cu

sto

mer

aw

ard

s a

nd

reco

gn

itio

ns

Oth

er

Aw

ard

s

Page 27: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

One Goal

250 Million Cables

87 Million Halogen Lamps

27A Global Leader in Control Cables and Halogen Lamps

Customer Satisfaction

Page 28: Marching Ahead with Confidence…suprajit.com/wp-content/uploads/2019/04/Investor-Presentation-April-2019.pdfCorporate Presentation April 2019. Overview 1 Core business, Group and

28A Global Leader in Control Cables and Halogen Lamps

THANK YOU

www.suprajit.com