The Hi-Tech Gears Limited
4,552words
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Key numbers — 40 extracted
rs,
6%
9%
8.4%
13.5%
14.7%
12.1%
11.8%
27%
29%
45%
25.0%
Guidance — 1 items
Growth-Focused Strategy
opening
“1 1 14.00% 12.00% 10.00% 1000 800 540 8.00% 600 6.00% 4.00% 2.00% 400 200 0.00% 0 FY23 FY24 FY25 H1 FY26 1,143 % 3 3 .”
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Risks & concerns — 3 flagged
short peening) to deliver requisite specs on fatigue life, residual stress level and tighter NVH requirement.
— THGL Initiatives
Export revenues have declined on account of • Uncertain geo-political operating environment in North America driving customers in wait and watch mode Employee costs increased as the organisation strengthened its workforce in critical areas to support improvement initiatives; productivity benefits are expected to follow with a natural lag.
— THGL Initiatives
13 Q 2 / H 1 - F Y 2 6 O P E R AT I O N A L H I G H L I G H T S ( 2 / 2 ) North America: Positioned for Growth Amidst Market Volatility • North American business revenues decreased on account of • Uncertain geo-political operating environment in North America driving customers in wait and watch mode • • Lower profitability in the Overseas operations is on account of • Lower revenues and higher raw material cost due to product mix change that was partially compensated by higher productivity
— THGL Initiatives
Speaking time
2
1
1
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Opening remarks
THGL Initiatives
TW : Gear Component Final Assembly & Counter Assembly and Gear Drive PC : Helical Gear Components Advance Technology Components Automatic Transmission Gear – Single speed transmission consist of single reduction gear, reverted gear or a compound gear train works on principle of reduction of RPM and increasing torque Higher CC Components Metallurgy Requirement– Increase in fatigue life and high performance at lower NVH specifications
THGL Initiatives
Engineering Capability are being enhanced to design and manufacture advance technology components and Gear Box Enhancement of precision Metallurgy processes (e.g. short peening) to deliver requisite specs on fatigue life, residual stress level and tighter NVH requirement. Won EV business from Hero Moto Corp and Dana – currently in Production Active quotes across customers in EV space 10 FINANCIAL OVERVIEW Q 2 / H 1 - F Y 2 6 F I N A N C I A L H I G H L I G H T S Q2-FY26 Consolidated Highlights Q2-FY26 Standalone Highlights INR 2,407 Mn Operational Income (2.3)% YoY INR 278 Mn Operational EBITDA (21.0)% YoY INR 96 Mn INR 60 Mn PBT PAT (37.7)% YoY (36.8)% YoY INR 1,741 Mn Operational Income 0.6% YoY INR 197 Mn Operational EBITDA (22.7)% YoY INR 115 Mn INR 80 Mn PBT PAT (27.7)% YoY (34.4)% YoY INR 3.19 Diluted EPS 11.55% EBITDA Margin 4.0% PBT Margin 2.49% PAT Margin INR 4.24 Diluted EPS 11.32% EBITDA Margin 6.61% PBT Margin 4.60% PAT Margin H1 FY26 Consolidated Highlights H1 FY26 Standal
Growth-Focused Strategy
• With an enhanced operational foundation, the company is now ready to capture market opportunities as they emerge. • By leveraging existing capacities, the company is actively quoting new business. • Won new business in Q2, i.e. an additional business with the existing customer. • New Business • One RFQ closed with win with existing customer. • Multiple other RFQ’s are in advance stage of closure with existing customers. • New customers are also being pursued to sell existing capacities • Despite challenges in environment operating, we have continued to focus on free maximising Free Operating Cash Flow (FOCF) FOCF (INR Mn) India Consolidated H1 FY 25-26 518 654 Q2 FY 25-26 236 306 Q1 FY 25-26 282 348 FY 24-25 1,029 1,656 FY 23-24 1,022 1,349 14 N E W B U S I N E S S W I N S : I N D I A A N D N O R T H A M E R I C A New business won ~ ₹ 803 Mn annualized New business won ~ ₹ 860 Mn annualized FY 23-25 Existing Customers ₹ 309 Mn New Customers ₹ 494 Mn H1 FY 25-26 Current Customer ₹ 860
The Hi Tech Gears Limited Disclaimer
No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of The Hi-Tech Gears Limited (hereinafter referred to as “Company”), which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual res
Valorem Advisors Disclaimer
Valorem Advisors is an Independent Investor Relations Management Service company. This Presentation has been prepared by Valorem Advisors based on information and data which the Company considers reliable, but Valorem Advisors and 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. Valorem Advisors also hereby certifies that the directors or employees of Valorem Advisors do not own any stock in personal or company capacity of the Company under review. For further details, please feel free to contact our Investor Relations Representatives: Mr. Anuj Sonpal Valorem Advisors Tel: +91-22-4903-9500 Email: h
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