SANDHARNSE18 May 2022

Sandhar Technologies Limited has informed the Exchange about Investor Presentation

Sandhar Technologies Limited

INVESTOR’S PRESENTATION Q4 & FY 2021-22 PERFORMANCE

Safe Harbour

This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sandhar Technologies Ltd. (the “Company”), have been prepared 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 basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company.

This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Certain matters discussed in this Presentation may contain statements regarding the Company’s market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the tire industry in India and world-wide, competition, the company’s ability to successfully implement its strategy, the Company’s future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company’s market preferences and its exposure to market risks, as well as other risks. The Company’s actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections.

Key Highlights

Strong performance in the FY’22 despite of various challenges faced during the year. While Total Revenue stood at ₹ 2331 Crs. registering an impressive growth of 24% over FY’21

Consolidated

Industry Updates

₹ 2331 Crs. Total Income

₹ 213 Crs. EBITDA

Industry registered a growth of 2% where as Sandhar has achieved an impressive growth of 25% over YoY basis.

₹ 61 Crs. Total Comprehensive Income

₹ 163 Crs. Cash Profit

Industry Data Source: SIAM

25%18%35%41%29%2%-3%17%31%-12%OverallGrowth2W4WCVOHVSandhar Rev Gr %Industry Sales vol. Gr %Challenges Faced during the Year

Q1 was badly affected by the 2nd Wave of Covid which disrupted the business volumes and profitability

Continued upward trend in the Commodity Prices

Worldwide shortage of semi conductor chips

Negative Sentiments in the Market leading to de-growth

Continuous increase in the Input Costs such as power, fuel, wages, etc. and rising inflation

Upcoming BSVI Phase 2 Regulations and transition to EV’s

Our Footprints

OVERSEAS PLANTS Spain Mexico Poland Romania Total

1 1 1 1 4

Domestic Plants

Haryana 13 Karnataka 9 8 Tamil Nadu 2 Himachal 2 Rajasthan 2 Maharashtra 1 Gujarat Uttarakhand 1 Total 38

42 State of-art-the-Manufacturing facilities

Technical collaboration & Joint Ventures with South Korea, Japan & Taiwan

Corporate office in Gurugram

Research & Development Centre in Gurugram

Revenue Model

Key Customers

2 Wheeler

4 Wheeler

Segment wise Revenue Share

3 Wheeler

OHV

2 Wheelers 54%

4 Wheelers 24%

OHV, Tractors 16%

Others 6%

Vertical wise Revenue Share

Proprietary

Sheet Metal & Allied

Overseas Business

Cabins & Fabrication

Casting Moulding & Tooling

After Market

36%

19%

16%

11%

FY 22 Financial Snapshot (fig. in ₹ Cr)

Consolidated

Standalone

GR Vs LY

24%

GR Vs LY

GR Vs LY 22%

GR Vs LY 5%

GR Vs LY 4%

GR Vs LY

1,595 1,946 FY 21FY 22Revenue163 171 10.2%8.8%FY 21FY 22EBITDA199 213 10.6%9.1%FY 21FY 22EBITDA85 86 5.4%4.4%FY 21FY 22EBT78 81 4.2%3.5%FY 21FY 22EBT1,874 2,331 FY 21FY 22Revenue65 59 4.1%3.0%FY 21FY 22PAT58 56 3.1%2.4%FY 21FY 22PATQ4-FY 22 Financial Snapshot (fig. in ₹ Cr)

Consolidated

Standalone

GR Vs LY 6%

GR Vs Q3 12%

GR Vs LY 20%

GR Vs Q3 20%

GR Vs LY 4%

GR Vs Q3 11%

GR Vs LY 21%

GR Vs Q3 19%

GR Vs LY 44%

GR Vs Q3 32%

GR Vs LY 56%

GR Vs Q3 19%

GR Vs LY 40%

GR Vs Q3 19%

GR Vs LY 46%

GR Vs Q3 23%

552 574 515 Q4 FY 21Q4 FY 22Q3 FY 22Revenue645 685 613 Q4 FY 21Q4 FY 22Q3 FY 22Revenue68 54 45 12.3%9.3%8.8%Q4 FY 21Q4 FY 22Q3 FY 22EBITDA48 29 24 8.7%5.0%4.7%Q4 FY 21Q4 FY 22Q3 FY 22EBT51 28 22 7.8%4.2%3.5%Q4 FY 21Q4 FY 22Q3 FY 22EBT81 65 54 12.5%9.4%8.8%Q4 FY 21Q4 FY 22Q3 FY 22EBITDA37 20 16 6.8%3.5%3.2%Q4 FY 21Q4 FY 22Q3 FY 22PAT40 18 15 6.2%2.6%2.4%Q4 FY 21Q4 FY 22Q3 FY 22PATProfit & Loss Statement – Consolidated (fig. in ₹ Cr)

* EPS not annualized for quarter

ParticularsQ4 FY 22Q4 FY 21YoY (%)Q3 FY 22QoQ (%)FY 22FY 21YoY(%)Total Revenue (incl. Other Income)685.49 645.12 6%613.15 12%2,330.68 1,874.34 24%ExpensesCost of materials 431.59 383.10 13%381.07 13%1,415.84 1,092.12 30%Labour cost51.01 49.59 3%44.83 14%180.73 160.31 13%Personnel expenses35.88 30.22 19%33.94 6%137.64 117.43 17%Other expenses102.43 101.28 1%99.58 3%383.47 305.30 26%Total expenses620.91 564.20 10%559.43 11%2,117.67 1,675.16 26%EBITDA64.59 80.92 -20%53.72 20%213.01 199.18 7%EBITDA %9.42%12.54%8.76%9.14%10.63%Finance costs4.89 3.05 60%3.21 52%13.74 12.66 8%Interest on lease liabilities1.22 0.91 35%0.92 33%3.97 3.36 18%Depreciation26.57 24.23 10%24.92 7%100.03 93.95 6%Profit before exceptional item, share of loss in joint ventures and tax31.90 52.73 -40%24.68 29%95.27 89.21 7%PBT %4.65%8.17%4.02%4.09%4.76%Exceptional item1.11 - - 1.11 - Losses from JV2.34 2.19 7%3.09 -24%12.72 11.20 14%Profit after exceptional item, share of loss in joint ventures before tax28.45 50.54 -44%21.59 32%81.44 78.02 4%Tax Expenses10.76 10.29 5%6.67 61%25.51 20.18 26%Net profit 17.69 40.24 -56%14.92 19%55.93 57.83 -3%Net Profit %2.58%6.24%2.43%2.40%3.09%Other comprehensive income(0.54) (2.34) 6.64 4.90 (3.75) Total comprehensive income17.15 37.91 -55%21.56 -20%60.83 54.09 12%Comprehensive Income %2.50%5.88%3.52%2.61%2.89%Cash Profit46.12 65.99 -30%41.86 10%163.42 157.44 4%Earnings Per Share (EPS)*3.24 6.69 -52%2.17 49%9.29 9.61 -3%Cash Earning Per Share (CEPS)7.66 10.96 -30%6.96 10%27.15 26.16 4%Profit & Loss Statement – Standalone (fig. in ₹ Cr)

* EPS not annualized for quarter

ParticularsQ4 FY 22Q4 FY 21YoY (%)Q3 FY 22QoQ (%)FY 22FY 21YoY(%)Total Revenue573.93 552.40 4%515.14 11%1,946.17 1,594.70 22%ExpensesCost of materials 394.03 357.47 10%349.80 13%1,308.71 1,018.56 28%Labour cost39.32 39.88 -1%37.84 4%144.11 130.71 10%Personnel expenses23.06 18.63 24%22.68 2%90.05 78.16 15%Other expenses63.99 68.39 -6%59.64 7%232.18 204.13 14%Total expenses520.39 484.38 7%469.96 11%1,775.06 1,431.56 24%EBITDA53.54 68.02 -21%45.17 19%171.11 163.14 5%EBITDA %9.33%12.31%8.77%8.79%10.23%Finance costs3.03 1.82 67%1.79 69%7.70 7.41 4%Interest on lease liabilities0.52 0.46 13%0.41 26%1.73 1.69 2%Depreciation19.91 17.79 12%18.64 7%74.26 68.57 8%Profit before exceptional item and tax30.08 47.95 -37%24.33 24%87.42 85.48 2%PBT %5.24%8.68%4.72%4.49%5.36%Exceptional item1.10 - - 1.10 - Profit after exceptional item and before tax28.97 47.95 -40%24.33 19%86.32 85.48 1%PBT %5.05%8.68%4.72%4.44%5.36%Tax Expenses8.68 10.45 -17%7.87 10%24.89 20.25 23%Net profit 20.29 37.49 -46%16.46 23%61.43 65.23 -6%Net Profit %3.53%6.79%3.19%3.16%4.09%Other comprehensive income(0.73) (1.22) (0.35) (2.20) (4.00) Total comprehensive income19.55 36.28 -46%16.11 21%59.22 61.23 -3%Comprehensive Income %3.41%6.57%3.13%3.04%3.84%Cash Profit40.20 55.29 -27%35.10 15%135.69 133.80 1%Earnings Per Share (EPS)*3.37 6.23 -46%2.73 23%10.21 10.84 -6%Cash Earning Per Share (CEPS)6.68 9.19 -27%5.83 15%22.54 22.23 1%RM Prices Trend on Indian Operation

EBITDA Impacted due to increase in Commodity Prices & Other Input Cost by

Consolidated

Standalone

FY’22

23%

22%

16%

17%

120.00120.00120.00124.00127.00129.00132.90138.00148.00157.00163.00167.00170.50173.00166.40169.00171.00184.75209.50215.00195.75197.00208.00229.85AprMayJunJulAugSepOctNovDecJanFebMarAluminium AlloysFY 20-21FY 21-22901.40923.32968.111006.471088.331099.771125.801179.141245.531313.011360.231205.901236.551298.251327.621410.881427.471436.191463.701496.531521.931672.221824.712441.80AprMayJunJulAugSepOctNovDecJanFebMarNickelFY 20-21FY 21-22172.12177.27181.50188.52206.58209.56206.84225.46236.63230.72228.54234.92240.57249.66249.55251.32254.96255.90282.89282.16290.50304.71310.60347.99AprMayJunJulAugSepOctNovDecJanFebMarZinc AlloysFY 20-21FY 21-22301.15309.84335.18363.00375.47381.77380.22406.55439.48444.11463.28489.79516.50550.44526.56524.92520.86516.55555.36552.07550.72561.21574.40609.96AprMayJunJulAugSepOctNovDecJanFebMarBrassFY 20-21FY 21-22Balance Sheet (fig in ₹ Cr)

Cash Flow Statement (fig in ₹ Cr)

Credit Rating A1+ (ST) and AA- (LT) valid till Oct 22 (India Ratings)

31-Mar-2231-Mar-2131-Mar-2231-Mar-21Application of FundsGross Fixed assets 1,523 1,232 1,033 898 Less: Acc. Depreciation 453 376 343 289 Net Fixed assets with CWIP 1,070 856 690 609 Non-current investments 47 57 164 114 Other non-current assets 59 19 17 17 Inventories 260 211 156 134 Trade receivables 445 393 407 348 Other Current Assets 94 60 27 24 Total Application of Funds 1,975 1,596 1,461 1,247 Sources of FundsShare capital 60 60 60 60 Reserves and surplus 799 744 800 747 Shareholders' Funds 859 804 860 807 Minority Interest 4 4 - - Other Non-current liabilities 97 97 20 22 Long Term Secured Loans (A) 247 99 90 0 Short Term Loans (B) 269 121 148 43 Total Loans (A+B) 516 221 238 43 Current liabilities & Provisions 500 470 343 374 Total Sources of Funds 1,975 1,596 1,461 1,247 ParticularsConsolidatedStandaloneFY 22FY 21FY 22FY 21Cash Flows from Operating ActivitiesProfit before tax 81 78 86 85 Depreciation and amortization expense100 94 74 69 Other adjustments29 24 8 5 Operating profit before working capital changes210 196 169 159 Movements in working capital:(142) (52) (130) (43) Cash generated from operations68 143 39 116 Taxes Paid20 20 19 19 Net cash inflow from operating activities ( A )49 124 20 97 Cash Flows from Investing ActivitiesCapital Expenditure(297) (77) (143) (56) Purchase/Investments in joint ventures / subsidiaries(15) (26) (50) (26) (Purchase)/ProceedsfromSaleofinvestmentsinJointVentures- 4 - 4 Other Reciepts 1 2 2 4 Net cash used in investing activities ( B )(311) (97) (191) (75) Cash Flows from Financing ActivitiesBorrowings Proceeds295 19 195 4 Payment of lease liabilities(16) (17) (9) (7) Dividend Paid(6) (12) (6) (12) Interest paid(14) (16) (9) (9) Net cash flow used in financing activities ( C )260 (26) 171 (24) Foreign currency translation gain1 (1) - - Netincrease/(decrease)incashandcashequivalents (A+B+C)(3) 0 (1) (2) Opening Cash Balance6 7 1 3 Cash and equivalents at the end of the year4 6 0 1 ParticularsStandaloneConsolidatedSubsidiaries Performance (fig in ₹ Cr)

41%

18%

117%

280 396 FY 21FY 22Total Income36 43 FY 21FY 22EBITDA4 9 FY 21FY 22EBTFY 22FY 21GrowthSandhar Barcelona370.87 268.59 38%Sandhar Tooling14.43 11.82 22%Sandhar Automotive Systems 10.53 - Sandhar Engineering0.10 - Total Revenue395.93 280.41 41%FY 22FY 21GrowthSandhar Barcelona39.02 33.69 16%Sandhar Tooling3.40 2.70 26%Sandhar Automotive Systems 1.28 - Sandhar Engineering(0.80) - Total EBITDA42.90 36.39 18%FY 22FY 21GrowthSandhar Barcelona8.08 3.49 131%Sandhar Tooling1.18 0.44 172%Sandhar Automotive Systems 0.89 - Sandhar Engineering(1.64) - Total EBT8.52 3.93 117%New Projects Status

1Nalagarh, Himachal PradeshDispatches started on 27th January 20222Halol, GujaratDispatches started on 2nd May 20223Hosur, Tamil NaduConstruction Completed & Machining installation Going onTentative SOP June'20224Mysore, KarnatakaLand allotment & Registration doneTentative SOP October'20225Pathredi, RajasthanSurface Mount TechnologiesMachining installation going on with production trial & parts sent for customer approvalTentative SOP October'20226Hosur, Tamil Nadu7Mysore, Karnataka8Romania, SpainAluminium Die CastingUnder ConstructionTentative SOP August'2022Domestic Project under Construction / DevelopmentSheet Metal Components&PartsMachining for CastingUnder ConstructionOverseasCommenced Domestic ProjectS. No.LocationBusiness DivisionSheet Metal Components&PartsProject StatusInauguration Ceremony of Sandhar Technologies Limited, Nalagarh Unit I

Products

Plant Inside View

Inauguration

Handle

Muffler

Frame

Paint Shop

Muffler Line

Frame Line

Shot Blasting

Inauguration of Sandhar Engineering Private Limited- Halol

Plant Inside View

Robotic Cell

Machinery

Press Shop

Paint Shop

Assembly Section

Inauguration

Products

Carrier

Guard Saree

Chain Case

Fender

Step Pillion Assy.

Sandhar Engineering Private Limited- Hosur Project Status

Plant Inside View

Products

Muffler

Frame

Sandhar Engineering Private Limited- Mysuru Project Status

Products

Muffler

Plant Site

Fuel Tank

Frame

Swing Arm

Allotment of Land from KIADB.

Surface Mount Technology (SMT Line) Project

Plant Inside View

Product Printed Circuit Board Assembly (PCBA)

PCBA-Applications

Smart Handle

Shark Fin Antenna

Parking Sensor

Electric Steering Lock

USB Charger

Machining Project under Commissioning (fig in ₹ Crs)

Highlights / New Developments

Plant Layout- Mysuru

• • •

Secured new business of Machining for Castings from TVSM. 1st Year business value is expected to be ₹ 77 Crs. The project will have a capital outlay of ₹ 75 Crs (estimated) in form of Plant & Machinery & Other Assets Timeline to set up the facility is 6 to 8 Months from 1st April’2022. Expected ROCE is 15%. Both Manufacturing facilities at rented premises.

Hosur Land yet to be finalized Area 1.10 Lacs square feet.

Romania Project Status

Plant Under Construction

Major Products

Supports

Brackets

Pivots

Future Outlook

The impact of COVID is melting down with restrictions largely eased. This will provide much needed momentum to the industry.

The economy and the global health situation is slowly starting to take a step in the right direction, the outlook for 2022 looks to be positive.

Commodity prices are expected to be stabilized

The new plants will strengthen Sandhar’s presence and add to its Revenue, Margins & content per vehicle.

Schedules from the OEM’s are improving and 1st Quarter is undisrupted as compared to Q1 of Last Year.

Vehicle inventories are at a record low, but with production of semi conductor chips now ramping up, we expect that the situation will improve by the second half of 2022.

THANK YOU

Corporate Office: Plot No. 13, Sector 44, Gurugram-122001, Haryana- India CIN: L74999DL1987PLC029553 Website: www.sandhargroup.com Email: investors@sandhar.in (For Retail Investors) Investors.relations@sandhar.in (For Institutional investors)

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Sandhar Technologies Limited has informed the Exchange about Investor Presentation

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