Investor Presentation a February 2016
Safe Harbor All statements included or incorporated by reference in this presentation, other than statements or characterizations of historical fact, are forward-looking statements. These forward-looking statements are based on our current expectations, estimates and projections about our industry, management's beliefs and certain assumptions made by us. Although Eicher Motors Limited believes that the expectations reflected in such forward looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Any forward-looking statement speaks only as of the date on which such statement was made, and Eicher Motors Limited undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. No assurance can be given that actual results, performance or achievement expressed in, or implied by, forward looking statements within this disclosure will occur, or if they do, that any benefits may be derived from them. INVESTOR PRESENTATION 2 FEBRUARY 2016
Contents EICHER MOTORS LIMITED - OVERVIEW ROYAL ENFIELD VE COMMERCIAL VEHICLES EICHER POLARIS FINANCIALS APPENDIX INVESTOR PRESENTATION 3 FEBRUARY 2016
EICHER MOTORS LIMITED - OVERVIEW INVESTOR PRESENTATION 4 FEBRUARY 2016
Key Milestones Enters heavy Forms JV* with AB Volvo India’s first duty of Sweden; transfers Commencement tractor rolls out Royal Enfield trucks commercial vehicle of business by of Eicher factory motorcycles segment business to the JV* Eicher Polaris in Faridabad acquired 1959 1984 1991 1993 2002 2005 2008 2012 2015 JV* with JV* with Divests tractor & allied Forms JV* with Mitsubishi Mitsubishi businesses to focus on Polaris Industries Inc. Motors to make ended, enters commercial vehicle & USA, to design, ‘Canter’ trucks medium duty motorcycle businesses manufacture & market bus segment personal vehicles *Joint Venture INVESTOR PRESENTATION 5 FEBRUARY 2016
Shareholding Pattern (31 st December 2015) Foreign Domestic Institutional Institutional Investor's Investor's Promoter Others 4.89% 13.62% 54.88% 26.61% 100% 0% 10% 20% 30% 40% 50% 70% 80% 90% 60% Eicher Motors Limited Volvo Group Polaris Industries 45.6 Business unit of 50 50 Eicher Motors 54.4 Limited VE Commercial Royal Enfield (RE) Eicher Polaris (EPPL) Vehicles (VECV) RE Brazil (Royal RENA (Royal Enfield Brasil Enfield North Comercio de America Ltd.) Motocicletas Ltda) “Multix” 1 st Personal Eicher Trucks & Buses Motorcycles Business Volvo Trucks Utility Vehicle Eicher Motors Limited Consolidated includes financials INVESTOR PRESENTATION of Royal Enfield, VE Commercial Vehicle (excluding 6 minority interest) & 50% of Eicher Polaris Pvt. Ltd. FEBRUARY 2016
Eicher Management Philosophy Break-through emerging Established Corporate Strong Values market business model Governance An evolved business model Fully empowered Corporate conduct rooted with 50+ years of management teams in highest standards of experience in automotive ethics, integrity & space in India Annual 3 year rolling transparency business plan In-depth customer insights Highly professional work & market understanding Strategic quarterly board ethic based on mutual meetings – full review with respect Best-in-class capital management optimization : Very strong HR & IR culture Frugal engineering Strategic quarterly reviews and brand practices ®ular monthly Extensive knowledge of operations review Long-term orientation suppliers Operational excellence Product board, Quality Long history of Global quality board, Customer institutionalized CSR & standards satisfaction board, Soft community activities product board (after- Low cost supply chain & market) held every quarter distribution – value chain along with other statutory meetings INVESTOR PRESENTATION 7 FEBRUARY 2016
Board Eicher Motors VE Commercial Eicher Polaris Pvt. Ltd Limited Vehicles S Sandilya Siddhartha Lal Siddhartha Lal Non-executive Chairman Chairman & Managing Director Chairman Siddhartha Lal Christophe Martin Bennett Morgan Managing Director & CEO Volvo nominated Director Polaris nominated director Priya Brat Philippe Divry Pankaj Dubey Independent Director Volvo nominated director Polaris nominated director MJ Subbaiah Raul Rai Michael Dougherty Independent Director Eicher nominated director Polaris nominated director Prateek Jalan Prateek Jalan B Govindarajan Independent Director Independent director Eicher nominated director Manvi Sinha Lila Poonawalla Lalit Malik Independent Director Independent Director Eicher nominated director INVESTOR PRESENTATION 8 FEBRUARY 2016
Business Highlights – CY 2015 0 452,759 96% EML to continue as Motorcycles sold in 2015, Royal Enfield’s market Debt free company over 8 times growth in share in the mid-size volumes in last 5 years motorcycles* segment 25.2% 33.5% 4.5% Royal Enfield EBIT margin VE Commercial Vehicles VE Commercial in CY15, benchmark in market share in domestic Vehicles EBIT margin LMD # (5 - 14 tonne) segment automobile industry in CY15, Best in Class INVESTOR PRESENTATION *Mid size motorcycles refers to engine capacity between 250cc – 750cc 9 # Light to Medium Duty FEBRUARY 2016
Financial Highlights – Eicher Motors Ltd. (Consolidated) All figures are for Eicher Motors Limited consolidated (in Rs. Crore unless specified) Total Revenue Sales Volume EBIT (in nos) Total revenue from operations 15% 12.3% 10.2% 47,492 9.2% 8.6% 10% 7.3% 40,783 11,924 4,52,759 1464 5% 41,251 8,738 3,02,592 6,810 48,831 895 6,390 5,684 49,042 583 1,78,121 525 467 1,13,432 74,626 0% 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 RE VECV The figures in % indicate EBIT Margins Profit After Tax Ratios Networth (in %) 32.4% 24.6% 23.5% 18.7% 17.5% 14.8% 14.7% 3,456 1069 11.5% 10.7% 12.0% 2,516 702 2,055 1,755 525 497 1,493 475 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 ROCE ROA INVESTOR PRESENTATION EBIT – Earning Before Interest & Tax 10 Profit After Tax is before minority interest FEBRUARY 2016
ROYAL ENFIELD INVESTOR PRESENTATION 11 FEBRUARY 2016
Oldest motorcycle brand in continuous production INVESTOR PRESENTATION 12 FEBRUARY 2016
Product Portfolio – Motorcycles Royal Enfield range of motorcycles is able to address a unique mix of appeals – from its traditional customer base to urban, aspiration-driven youth Bullet Classic Thunderbird Continental GT Himalayan Fun, youthful Sense of Definitive highway Purpose-built for Longest production distinctiveness tourer exploring the motorcycle Himalayas Classic -Sport Resolute, Post-war styling Long range & load- unchanged form Versatile for riding bearing capabilities Distinctive Style on- & off-road Timeless design Pride of the For the free-spirited Fully ground-up armed forces explorer with all-new engine Iconic cues – Touring capabilities thump, pinstripes, road presence Traditional & Iconic Urban, Lifestyle and now Adventure INVESTOR PRESENTATION 13 FEBRUARY 2016
New Product launch- Himalayan • 411cc air cooled 4 stroke engine • 300mm front & 240 mm Bringing together 60 years of Himalayan riding experiences in a completely ground-up rear disc brakes design, and powered by a new LS 410 engine, the Royal Enfield Himalayan paves the way • 220 mm ground clearance for a purer, non-extreme and more accessible form of adventure touring in India INVESTOR PRESENTATION 14 FEBRUARY 2016
Product Portfolio – Gear Continental GT Range launched in October 2013 In October 2012, Royal Enfield launched its range Continental GT range too had riding of meticulously designed, jackets specifically designed for City purpose-built Accessories & riding, it is inspired mainly by the late Apparel inspired by the 50s-early 60s Cafe Racing culture that motorcycling way of life flourished in the UK. The range consisted of Rockers inspired vintage-style leather jackets, pit-shirts, polo & crew-neck t- shirts with vintage 60s graphics, Despatch Rider Range complete with short city-riding leather Launched on 30 th May 2015 gloves, versatile riding-inspired sneakers this collection was inspired by and open face helmets the Despatch riders of the world wars and the kit they served in. The Gear blends classic military detailing with modern silhouettes. The range consisted of canvas, twill & leather jackets, urban riding boots, coated canvas bags, raw & selvedge denims, t-shirts and a host of leather accessories. INVESTOR PRESENTATION 15 FEBRUARY 2016
Recommend
More recommend
