Suprajit Engineering Limited has informed the Exchange about Investor Presentation
June 21, 2023 SEL/SEC/ 2023-2024/27
BSE Limited Department of Corporate Services P. J. Towers, 25th Floor, Dalal Street, Mumbai- 400 001 Ref: 532509
National Stock Exchange of India Ltd Exchange Plaza, C-1, Block-G, Bandra Kurla Complex, Bandra (E) Mumbai- 400 051 Ref: SUPRAJIT
Dear Sirs,
Sub: Investor Presentation dated June 19, 2023
Please find enclosed an updated Investors’ Presentation PPT, which may be presented to various investors analysts while meeting and also while attending investor conferences, if any, from time to time. These presentations are also available in our website at www.suprajit.com.
This is for your Information and records.
This may be considered as compliance under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Thanking you,
Yours faithfully, For Suprajit Engineering Limited
Medappa Gowda J CFO & Company Secretary
Encl: as above
Investor Presentation
June 19, 2023
Global Scale
Local Focus
Technology Driven
- A Global Leader in Control Cables and Halogen Bulbs -
2
Core Product Business Leadership
Full Global Product Range in our Core Products
Frequent replacement products with strong spares requirement
Leader by far in India. #2 Globally in Control Cables & #3 Globally in Halogen Lamps
Scale across industries, geographies and aftermarket
Applications per Vehicle
Core Product
Part Numbers
Passenger Vehicles (PV)
2/3 Wheelers
Off-Highway (OFH) Agri, Powersports
Push/Pull/Push- Pull Control Cables
Vehicle Lighting Halogen Lamps
15000+
15+
3-6
3-6
80+
2
2
2
3
Global R&D & Sales
Product Portfolio
USA – Supports PV & OFH
Core Products
EV Agnostic Products through Innovation & Acquisitions
UK – Supports PV & OFH
Germany - Supports PV & OFH
China – Supports All Verticals
India – Supports All Verticals
Push/Pull/Push- Pull Control Cables
n o i t o M d e
i l l
A
i
l
e c h e V
s t r a P
l
o r t n o C
g n i t h g i L
R&D Backbone in India through
Suprajit Technology Center:
✓ Innovate in India - disrupt
globally
✓ Products that enhance or replace existing products ✓ Deploy proven innovations across industries and Geographies
Halogen Lamps
Analog Speedomete r
Flexible Shaft
t n e m u r t s n
I
s r e t s u C
l
l
e b a C
l
o r t n o C
s m s i n a h c e M
Friction Products
Electronic Throttle Control
Brake Systems
Motor Actuation (EMA)
LED Retrofit High Power
LED Retrofit Eco
LDC Actuation Technology
Semi-Digital Cluster
Digital & EV Clusters
Seeder Gearbox + Cable Assemblies
Lever + Cable Assemblies
Valve Controllers
Mechatronic Control Mechanisms
Suprajit Technology Center (STC)
Focuses on building core design competencies and new product introduction.
New products falls into 3 categories - Allied Products, Product Upgradation and Innovation.
STC’s belief in working from fundamentals has resulted in multiple patents, most of which are already commercialized.
Products
Customers
Price (INR)
Growth Potential
Clusters & Displays
Electromechanical Actuation Systems
Braking & Brake Release Systems
Throttle & Rotary Sensors
700-7500
PV + 2W + OFH
400-15000
PV + 2W + OFH
3000 - 20000
2W + OFH + Rail
200-1500
2W + OFH
5
Suprajit Electronics Division (SED)
Launched as a standalone division for FY24 to cater to strong traction from customers and with focus on driving the EV revolution and support Suprajit Group’s ambition to be a global provider of actuation and display technologies
Strong Customer Traction
Innovative Products
State of the Art Facilities
2W
3W
OFH
Digital Clusters
Charger Lid, Seat Latch, Steering Lock Actuators
* This list is not exhaustive. All names, images and logos are copyright of their respective owners.
Electronic Hand Throttle & Rotary Sensors
▪ IATF 16949 2016 Certified ▪ Integrated SMT Line ▪ In-house Injection Moulding ▪ Automated Testing
6
Suprajit Group
Suprajit Engineering Limited
Domestic Cable Division - DCD
India Cable Operations 12 plants India
Suprajit Controls Division - SCD (Global Cables and Controls)
Phoenix Lamps Division - PLD
Suprajit Electronics Division - SED
Technology Center
Non-Automotive 1 EOU India
Automotive (SAL) 1 EOU India
Suprajit Kansas (Wescon)
Suprajit Juarez (Wescon, MX)
Suprajit Brownsville
Suprajit Matamoras
Suprajit UK
Suprajit USA
Suprajit Slovenia
Suprajit Hungary
Shanghai Lonestar
Domestic Lamp Manufacturing 2 DTA Plants India
Export Lamp Manufacturing 1 EOU India
Luxlite Luxembourg
Electronics Facility 1 Plant India
Part of Parent
100% Owned (Directly or Indirectly)
7
Strong Leadership Team
Ajith Rai Chairman, Founder Suprajit Group 38 years building Suprajit
Ashutosh Rai CTO Suprajit Tech Center 15 patents granted 9 years with Suprajit
Akhilesh Goel COO Phoenix PLD 32+ years experience including Phillips. 8 years with Suprajit
Mohan N.S. CEO, MD Suprajit Group 29 years with Bosch, Visteon, ZF 10 years with Suprajit
Narayanshankar COO Suprajit DCD 35+ years with Suprajit
Steve Fricker President and CEO SENA/Wescon 35 years in the cable industry 6 years with Suprajit
Akhilesh Rai Chief Strategy Officer Suprajit Group MBA London Business School 12 years with Suprajit
Jim Ryan President Suprajit SCD 30 years of Global Cable Experience (Teleflex, Kongsberg, Leggett& Platt)
Gopal Doraiswamy VP Sales SCD 20 years Tier I Automotive 7 years with Suprajit
Medappa Gowda CFO & CS Suprajit Group 27+ years with Suprajit
Neil Collis Managing Director SEU Europe Ltd 25 Years Automotive Experience 3 Years with Suprajit
Praveen Rao SVP, Head SED Suprajit SED 20+ years at Tier 1 Automotives. 5+ years with Suprajit
8
Leadership Team
Founder & Chairman
Managing Director & CEO Suprajit Group
President Suprajit Controls Division
CSO, Director Suprajit Group
CTO Suprajit Group
CFO & CS Suprajit Group
COO Domestic Cable Division
COO Phoenix Lamps Division
Sr VP, Head Electronics Division
CEO SEU
CEO SENA
VP LDC USA
VP LDC EU
VP LDC China
VP Global Sales
CEO Trifa/Luxlite
9
Customers
Top 10 Customers span all verticals
Extensive Global Customer Base
40+ PV OEMs and Tier 1s
10+ 2W OEMs and Tier 1s
20+ OFH OEMs and Tier 1s
10+ Lighting Tier 1s
* This list is not exhaustive. All names, images and logos are copyright of their respective owners.
11
Strategy – Derisk & Grow Profitably
Through Strong Organic Growth, Capacity Expansion, Product Innovation, and Strategic Acquisitions
1985
Single Segment
Two-Wheeler
Three-Wheeler & India Aftermarket
Passenger & Commercial Vehicles, Agriculture
2023
Power Sports, Garden Equipment, Global After market, Electric Vehicles
Multiple Segments
Single Customer
TVS Motor Company
Bajaj Hero Honda Yamaha
Tata Motors, Swaraj Mazda, Eicher Motors Mahindra
BMW, VW, GM Ford, Suzuki
John Deere, Kubota, MTD, VST, Escorts
Tesla, Rivian, Hero Electric, Ather, Ola, Ampere, UV, TI
Multiple Customers
Single Product
Mechanical Control Cables
Speedometers
Cable based levers & assemblies
Automotive Halogen Lamps Electronics
Electro- Mechanical Actuation
Multiple Products
Single Location
Karnataka
- Multiple States -
Maharashtra Gujarat Haryana
Uttarakhand Rajasthan Tamil Nadu
Uttar Pradesh
- Multiple Countries -
UK , US, Germany, Luxembourg, Mexico, Slovenia
Multiple Locations
Single Brand
Multiple Brands
12
A Global Footprint – Ready for the shift to Global OEM Platforms
Suprajit Europe – UK Distribution, Marketing, Tech Centre
Luxlite, Luxembourg Marketing, Distribution
Wescon Wichita * Manufacturing and Engineering
Suprajit USA, Novi, Detroit, Engineering, Marketing, Distribution
Wescon – Juarez * Maquiladora Manufacturing
Suprajit Brownsville
Suprajit Mexico
Suprajit Hungary
Suprajit Europe - Slovenia
Purchasing Office, China
Shanghai Lonestar
Manufacturing Plants
India
US
Mexico
Hungary
UK
18
1+Warehouse
2
1
1
Slovenia
Warehouse
Phoenix Lamps ▪ Noida 2 Plants, SEZ & DTA ▪ Chennai – 1 Plant ▪ Distribution Center Luxembourg Suprajit – India: ▪ Headquarters, Global Manufacturing Hub ▪ 15 Strategically located plants
Group Financials
Net Sales
(USD Mn)
1 . 3 4
5 . 7 5
7 . 5 2
1 . 6 7
4 . 2 4 3
EBITDA
8 . 7 9 1
1 . 4 0 2
9 . 8 2 2
6 . 9 4 1
% 2 . 6 % 1 2 . 3 1
% 7 . 5 1
% 9 . 4 1
% 6 . 6 1
% 6 . 4 1
% 4 . 4 1
% 1 . 4 1
% 6 . 1 1
FY09 FY11
FY13 FY15 FY17
FY19 FY21
FY22 FY23
FY09 FY11 FY13 FY15 FY17 FY19 FY21 FY22 FY23
6 4 . 0
5 5 . 0
8 3 . 0
5 4 . 0
7 2 . 0
1 2 . 0
9 0 . 0
3 0 . 0
*
7 2 . 0
6 6 . 0
5 6 . 0
4 8 . 0
9 7 . 0
3 7 . 0
7 4 . 0
Long-Term Debt / Equity...
Total Debt to Equity
*
9 5 . 0
3 3 . 0
1 3 . 0
FY09 FY11
FY13 FY15 FY17
FY19 FY21
FY22 FY23
FY09 FY11
FY13 FY15 FY17
FY19 FY21
FY22 FY23
* FY23 increase in debt due to acquisition of LDC
14
Segmental and Geographic Synergies
e s i w - y r o g e t a C
e s i w - y h p a r g o e G
1%
2.5%
FY 2001-02
96.5%
1%
FY 2001-02
99%
8%
5%
FY
2011-12
25%
62%
33%
26%
FY
2021-22
25%
19%
FY
2022-23
22%
18%
23%
34%
Automotive
2-wheeler
Aftermarket Non-Automotive
10%
FY
2011-12
90%
39%
FY
2021-22
61%
FY
53%
2022-23
47%
Global + India Export
India
15
Key Milestones in Suprajit’s Journey
• 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, marquee global customers
– now renamed as Suprajit Europe
1985
1996-2005
2011-23
1985-95
2006-10
• 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
7 acquisitions – 5 in cable space / 2 in Halogen bulbs space
Proven track record of integration
Strong Organic growth
• 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 (PV) 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.
• Acquisition of Osram Karnai Plant (Phoenix Division) • Acquisition of Cable Division (LDC) of Kongsberg Automotive •
Inauguration of Suprajit Electronics Division and Experience Centre.
16
Environment & Social Initiatives
Suprajit Foundation (SF) sponsoring scholarships for students in rural areas for education beyond SSLC
SF supporting mid-day Meals for underprivileged schools
SF helps renovate rural Anganwardis (care centers for women & children)
SF supports dialysis projects through its association with Rotary
Suprajit Mexico supporting local communities with food, clothes, and healthcare facilities
Rooftop Solar installed and commissioned at 9 manufacturing plants
- A Global Leader in Control Cables and Halogen Bulbs -
17
Suprajit Strengths
Global Top 3 in both control cables and halogen bulbs manufacturing.
Close to OEMs globally with flexible cost supply chain based on OEM needs – ideal for OEM Global Platforms.
Excellent customer rapport with strong localized supply chain.
Proprietary class `B’ items, giving a strategic relationship advantage.
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.
World-class manufacturing with operations IATF 16949 certified.
Preferred Supplier to both Domestic and Overseas Customers (OEMs and Aftermarket).
Exports to 50+ countries.
Strong presence in global aftermarket and non-automotive cable segment in US/North American.
Suprajit Technology Center brings new technology to Agri, Powersports, PV, and EV 2-Wheeler Customers.
- A Global Leader in Control Cables and Halogen Bulbs -
18
Awards and Recognitions
Recent Recognitions
Customer Awards and Recognitions
BMW India – Best Delivery Performance.
Maruti Suzuki – Green Supplier Status Award.
TVS Motors – Best Supplier of the Year Award.
Volkswagen – ‘A’ Grade Supplier Quality Performance Award.
Mahindra MSES and SBCB Award.
Honda Motorcycles & Scooters – Quality & Delivery Achievement.
General Motors - Supplier Quality Excellence Award (3 years running)
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 & ‘A Grade’ Excellence Award.
TVS, Bajaj and Mahindra – various Awards.
Kubota Certificate of Excellence.
Honda Cars Quality and Delivery Performance.
Yamaha Supplier Award, China.
Other Awards
KSFC: Entrepreneur of the year for the promoter, 1995.
CNBC/ICICI/CRISIL: SME & Auto Ancillary of the Year, 2006.
NASSCOM: Best IT user Award in Automotive Sector, 2007.
KSFC: Outstanding Enterprise of the State, 2010.
BMA – Entrepreneur of the Year, 2017.
The Global Leader in Control Cables and Halogen Bulbs. One Goal – Customer Satisfaction.
Thank You
Investor Relations: investors@suprajit.com