SCHAEFFLERNSE19 April 2023

Schaeffler India Limited has informed the Exchange about Investor Presentation

Schaeffler India Limited

Schaeffler India Limited · Pune · Maharashtra

BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C – 1, Block G, Dalal Street, Bandra-Kurla Complex, Bandra (E), Mumbai-400001 Mumbai-400051 Company Code: 505790 Company Code: SCHAEFFLER

Sub: Investor Presentation

Dear Sirs,

19/04/2023

Phone: +912068198464

Pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, we enclose herewith Investor Presentation on Financial Results of the Company for the quarter ended March 31, 2023.

Kindly take the same on your record.

Thanking you.

Yours faithfully,

For Schaeffler India Limited

Ashish Tiwari, VP - Legal & Company Secretary

Encl.: As above

Schaeffler India Limited

Registered and Corporate Office: 15th Floor, (ASTP) Amar Sadanand Tech Park, Baner, Pune, Maharashtra, India – 411045 Tel: +91-20-68198400 | Fax: +91-20-68198405 CIN: L29130PN1962PLC204515, www.schaeffler.co.in, info.in@schaeffler.com,

Schaeffler India Limited Investor Presentation – Q1 2023

April 19, 2023

PUBLIC

Recognitions in our ESG journey continue

Dun & Bradstreet ESG Excellence Award

Governance award category ‘Corporate Behaviors’

Special Commendation Award by The CSR Journal Excellence Awards

Jal Sahara is Schaeffler India’s initiative to tackle issues of water scarcity through natural resource management in Khed Taluka, Pune

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

Agenda

1 2 3

Economy & Industry

Business Highlights - Q1 2023

Financial Highlights - Q1 2023

4/19/2023

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

1 Economy & Industry 2 Economy & Market

Economy | Growth outlook

GDP 1) 3)

13.5

IIP 1) 3)

12.8

4.1

6.3

4.4

5.1

Q1 Prov

2022

2023

1.8

1.7

2022

5.2

5.6

2.4

Jan'23

Feb'23

2023 Prov

• FY2023 GDP is expected to grow by 6.1%

• Higher growth in manufacturing, & electricity output led to IIP growth

• Sustained growth in PVs Q1 growth of 12.6% in PVs, 34.7% in Tractors due to low-base of 2022 and muted growth in CVs at 3.1%

• Led by elevated food and fuel prices, CPI inflation remained high in Jan and Feb’23, moderated in Mar’23

Automotive Production 2) 4) 33.7

27.2

18.6

15.8

CPI 1)

6.3

7.3

7.0

6.1

6.2

•

Note : •

Data is reinstated every quarter as per final reports released by authorities GDP, IIP, and Automotive Production are YoY growth rates, whereas CPI is quarterly inflation rate. 6.7% is the average CPI for YTD 2022 Contribution of manufacturing, mining, & electricity in IIP stands at 78%, 14%, & 8% respectively Automotive Production includes PVs, CVs, & Tractors with production share of 68%, 16%, & 16% respectively

-2.8 Q1

2022

2023

Q4 Prov

2022

2023

Source of data : 1) Ministry of Statistics & Programme Implementation 2) SIAM : Society of Indian Automobile Manufacturers 3) GDP - Gross Domestic Production, IIP - Index of Industrial Production, CPI - Consumer Price Index 4) Automotive Production includes PVs, CVs, & Tractors

Schaeffler India Limited | Q1 2023 Investor Presentation

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1 Economy & Industry 1 Economy & Industry

Core sector performance | Moderate movement

2022

2023

YTD CY2023 Growth

Cement Production (mn T)

5.9%

Steel Production (mn T)

8.9%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Coal Production (mn T)

68 72

11.0%

Electricity Generation (bn KWH)

10.2%

136 121 117

126

140 142 146 144 138 138 137

124 122 130

Key comments

Core industry growth in FY23 Apr-Feb is registered at 7.8% compared to 11.1% for the same period last year

Sector weightage within eight core sectors

Sector

% weight

Cement

Steel

Coal

Electricity

5.4%

17.9%

10.3%

19.9%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Source of core sectors data: Office of Economic Advisor

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

1 Economy & Industry 1 Economy & Industry

Automotive sector performance | Growth momentum in PVs, Tractors

2022

2023

YTD CY2023 Growth

Two and three wheelers (mn Units) 1)

-1.7%

Passenger Vehicles (Th Units) 2)

12.6%

1.6

1.5

1.4

1.5

1.6 1.6 1.6

1.7

1.9

2.1

1.8

1.9

1.7

425

381

406

1.3

351

353

373

349

338

367

401

379

413

376

390

323

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Commercial Vehicles (Th Units)2)

3.1%

Agriculture Tractors (Th Units) 3)

34.7%

100

102

108

104 101

105

• Growth in PVs on the back of easing pandemic related challenges and semiconductor shortages

• Rising market demand, positive

sentiments led to moderate growth in CVs

• Growth in tractors given a low base effect of previous year and strong rural sentiments

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Source of data : 1) SIAM : Society of Indian Automobile Manufacturers 2) TMA : Tractor Manufacturers Association 3) TW – Two wheelers, CV – Commercial Vehicles, PV – Passenger Vehicles,

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

Agenda

1 2 3

Economy & Industry

Business Highlights - Q1 2023

Financial Highlights - Q1 2023

4/19/2023

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

2 Business Highlights - Q1 2023 2 Q4 / 12M 2021 Performance

Q1 2023 | Earnings quality sustained

Key Messages

Automotive Technologies supported top-line performance for the quarter, headwinds in wind energy impacting industrial business

Progress on e-mobility transition remains, trajectory of business wins continues

Quality of earnings continues despite headwinds given our balanced business portfolio and operational efficiencies

ESG remains at the core of how we do business, recognitions in this journey continue

Despite global uncertainties, leveraging our balanced business portfolio

committed for execution

Sales growth 8.0% vs Q1’22 -5.6% vs Q4’22 16,936 mn INR

PAT margin 13.0% Q1’23 12.9% Q4’22 2,194 mn INR

EBIT 1) margin 16.0% Q1’23 16.2% Q4’22 2,706 mn INR

FCF 114.9% vs Q1’22 -98.7% vs Q4’22 31 mn INR

1) EBIT (before exceptional items)

Schaeffler India Limited | Q1 2023 Investor Presentation

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2 Business Highlights - Q1 2023 2 Q4 / 12M 2021 Performance

Q1 Business developments | Progress on e-mobility continues

Automotive Technologies

Automotive Aftermarket

Industrial

Reliability and emission reduction

Increased market coverage

Precision and Efficiency

Key win in PVs1) for e-mobility solutions and conventional products

Business win for double clutch systems for CV1) segment

Business wins in PVs1) for alternator pulleys

1) TW - Two-wheelers, CV - Commercial Vehicles, PV - Passenger Vehicles

Schaeffler India Limited | Q1 2023 Investor Presentation

Volume wins for our recently launched products – wipers and center joint support continue

Business wins for FEAD/ Timing Kit, TRBs in the PV segment

Continued focus on portfolio expansion and penetration through range extension

New business wins for ACBBs, NRBs, DGBBs in the TW segment

Key business win for CRBs, DGBBs and NRBs in the off-road segment

Business wins for linear motion guides in the Industrial Automation segment

PUBLIC

Agenda

1 2 3

Economy & Industry

Business Highlights - Q1 2023

Financial Highlights - Q1 2023

4/19/2023

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

3 Financial Highlights - Q1 2023

Revenue from operations | Growth moderates

Total revenue

2022

2023

mn INR

15,675

16,936

17,488

17,564

17,947

Key aspects • YoY growth on the back of strong growth in the automotive businesses • Headwinds in wind energy moderated growth in industrial business

QoQ Growth

-5.6%

YoY Growth

8.0%

Revenue Bridge mn INR

Growth

Q1’23 vs Q4’22

Q1’23 vs Q1’22

Automotive Technologies

Automotive Aftermarket

Industrial

Exports & others

5.3%

-13.4%

-9.6%

-17.7%

21.1%

17.4%

-8.5%

10.5%

2022

2023

Sales mix Q1 2023

Exports & Others 1)

16%

Automotive Technologies

43%

32%

Industrial

Automotive Aftermarket

1) Exports mainly includes exports to group companies, scrap sale and other operating income

Schaeffler India Limited | Q1 2023 Investor Presentation

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3 Financial Highlights - Q1 2023

Earnings Quality | Sustained performance

EBIT1) mn INR

2022

2023

Key aspects

2,602

2,706

2,741

16.6%

16.0%

15.7%

2,756

15.7%

2,913

16.2%

6 0 8 , 1

• YoY earnings grew marginally despite moderate revenue growth, due to

continued focus on operational efficiencies

• QoQ margins stable with focus on countermeasures and balanced

business portfolio

-7.1%

4.0%

QoQ Growth

YoY Growth

EBIT Bridge1) mn INR

%Margin

2022

2023

PAT mn INR

2,194

2,071

2,258

2,154

2022

2023

2,310

6 0 8 , 1

16.6%

16.0%

1) EBIT (before exceptional items) - interest income (net) at 235.6 mn INR in Q1 ‘23 (169.9 mn INR Q1’22) ; Schaeffler India Limited | Q1 2023 Investor Presentation

QoQ Growth

-5.0%

YoY Growth

5.9%

PUBLIC

3 Financial Highlights - Q1 2023

Working capital, Capex | Optimal levels of working capital and focus on capex

Working Capital mn INR

2022

2023

Key aspects

12,955

12,526

10,101

11,413

9,869

• Working Capital at optimal levels

• Capex framework – on track

• Free cash flow generation for Q1CY23 on track

% to sales

3M’22

3M’23

6M’22

19.9%

20.1%

9M’22

19.9%

Capex mn INR

1,187

1407

751

1005

12M’22

17.0%

1827

2022

2023

Free Cash Flow mn INR

2022

2023

2,454

% to sales

3M’22

3M’23

6M’22

3.5%

7.0%

8.0%

9M’22

6.2%

12M’22

7.3%

(208)

114.9%

YoY Change

797

724

Schaeffler India Limited | Q1 2023 Investor Presentation

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3 Financial Highlights - Q1 2023 2 Q4 / 12M 2021 Performance

Performance Indicators

Revenue

Revenue growth (YoY) Revenue growth (QoQ) EBITDA

EBITDA Margin

EBIT1)

EBIT Margin

EBT

EBT Margin

PAT

PAT Margin

Capex2)

FCF

Unit

mn INR

% % mn INR

mn INR

Q1 2023

16,936

Q4 2022

17,947

Q1 2022

15,675

8.0% -5.6% 3,230

19.1%

2,706

16.0%

2,941

17.4%

2,194

13.0%

1,187

17.8% 2.2% 3,443

19.2%

2,913

16.2%

3,096

17.2%

2,310

12.9%

1,827

2,454

19.0% 2.9% 3,107

19.8%

2,602

16.6%

2,772

17.7%

2,071

13.2%

751

(208)

12M 2022

12M 2021

68,674

23.5%

13,076

19.0%

55,605

47.8%

9,950

17.9%

7,979

11,012

Focused efforts and our balanced business mix 16.0% helped to deliver resilient performance 11,770

14.3%

8,431

17.1%

8,792

12.8%

4,990

3,768

15.2%

6,291

11.3%

1,929

3,279

1) EBIT (before exceptional items) - interest income (net) at 235.6 mn INR in Q1 ‘23 (169.9 mn INR Q1’22) ; 2) Capex includes CWIP

Schaeffler India Limited | Q1 2023 Investor Presentation

PUBLIC

3 Financial Highlights - Q1 2023

In Summary

Balanced business portfolio helped in offsetting the adverse impact of the industrial business performance

Sustained countermeasures and operational efficiencies helped keeping margin levels at par

Capex on track. Investments across businesses continued as per our framework

Remain cognizant of the volatility and challenges in the environment, ensuring appropriate actions

Committed to continue on our growth trajectory leveraging on our strengths

Schaeffler India Limited | Q1 2023 Investor Presentation

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3 Financial Highlights - Q1 2023

Disclaimer

The information contained in this presentation is provided by Schaeffler India Limited (“the Company”), to you solely for your reference. This document is being given solely for your information and for your use and may not be retained by you and neither this presentation nor any part thereof may be (i) used or relied upon by any other party or for any other purpose; (ii) copied, photocopied, duplicated or otherwise reproduced in any form or by any means; or (iii) re-circulated, redistributed, passed on, published in any media, website or otherwise disseminated, to any other person, in any form or manner, in part or as a whole, without the prior written consent of the Company. This presentation does not purport to be a complete description of the market conditions or developments referred to in the material.

This presentation contains forward-looking statements. The words “anticipate”, “assume”, “believe”, “estimate”, “expect”, “intend”, “may”, “plan”, “project”, “should” and similar expressions are used to identify forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about Schaeffler Group’s beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and projections as they are currently available to the management of Schaeffler AG. Forward-looking statements therefore speak only as of the date they are made, and Schaeffler Group undertakes no obligation to update any of them in light of new information or future events.

By their very nature, forward-looking statements involve risks and uncertainties. These statements are based on Schaeffler AG management’s current expectations and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Actual results may differ from those set forth in the forward- looking statements as a result of various factors (including, but not limited to, future global economic conditions, changed market conditions affecting the automotive industry, intense competition in the markets in which we operate and costs of compliance with applicable laws, regulations and standards, diverse political, legal, economic and other conditions affecting our markets, and other factors beyond our control).

This presentation is intended to provide a general overview of Schaeffler Group’s business and does not purport to deal with all aspects and details regarding Schaeffler Group. Accordingly, neither Schaeffler Group nor any of its directors, officers, employees or advisers nor any other person makes any representation or warranty, express or implied, as to, and accordingly no reliance should be placed on, the accuracy or completeness of the information contained in the presentation or of the views given or implied. Neither Schaeffler Group nor any of its directors, officers, employees or advisors nor any other person shall have any liability whatsoever for any errors or omissions or any loss howsoever arising, directly or indirectly, from any use of this information or its contents or otherwise arising in connection therewith.

The material contained in this presentation reflects current legislation and the business and financial affairs of Schaeffler Group which are subject to change

Schaeffler India Limited | Q1 2023 Investor Presentation

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3 Financial Highlights - Q1 2023

Thank you

Schaeffler India Limited | Q1 2023 Investor Presentation

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