Presentation a May 2016 Safe Harbor All statements included or - PowerPoint PPT Presentation

Investor Presentation a May 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 MAY 2016

Contents EICHER MOTORS LIMITED - OVERVIEW ROYAL ENFIELD VE COMMERCIAL VEHICLES EICHER POLARIS FINANCIALS APPENDIX Note: The Company followed “January - December” as its financial year. The Board of Directors in its meeting held on February 13, 2015 decided to align the financial year of the Company with the requirements of Companies Act, 2013. Therefore the financial year under review commenced on January 1, 2015 and ended on March 31, 2016, being a period of 15 months. However, to have comparability in the numbers from previous reported years, the presentation captures un-audited financials for FY14-15 (April 1st 2014 to March 31st 2015) and FY15-16 (April 1st 2015 to March 31st 2016). INVESTOR PRESENTATION 3 MAY 2016

EICHER MOTORS LIMITED - OVERVIEW INVESTOR PRESENTATION 4 MAY 2016

Key Milestones Enters heavy India’s first Forms JV* with AB Volvo duty Commencement tractor rolls out Royal Enfield of Sweden; transfers trucks of business by of Eicher factory motorcycles commercial vehicle segment Eicher Polaris in Faridabad acquired business to the JV* 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 MAY 2016

Shareholding Pattern (31 st March 2016) Foreign Domestic Institutional Institutional Investors Investors Others Promoter Group 54.87%* 28.86% 3.18% 13.09% 0% 10% 20% 30% 40% 50% 70% 80% 90% 100% 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 INVESTOR PRESENTATION *Anita Lal, Rukmani Joshi and The Eicher Goodearth Trust, part of the promoter 6 MAY 2016 group sold 11.40 lakh equity shares in EML, representing 4.2% of EML's equity shares on 13 th May ’ 16. The promoter group holding stands at 50.67% after the deal.

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 &regular 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 MAY 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 MAY 2016

Business Highlights – FY 2015-16 ^ 0 508,099 96% EML continues to be Motorcycles sold in FY16, Royal Enfield’s market Debt free company 6x in last 5 years share in the mid-size motorcycles* segment 26.0% 33.9% 5.0% Royal Enfield EBIT margin VE Commercial Vehicles VE Commercial in FY16, benchmark in market share in domestic Vehicles EBIT margin LMD # (5 - 14 tonne) segment automobile industry in FY16, Best in Class ^ All figures mentioned are for period 1 st April’15 to 31 st March ’16 INVESTOR PRESENTATION 9 MAY 2016 *Mid size motorcycles refers to engine capacity between 250cc – 750cc # Light to Medium Duty

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 13.0% 15% CAGR 21.8% 39.8% 10.8% 52,025 10.2% 9.2% 8.6% 10% 41,822 7.3% 40,783 13,121 1,706 508,099 5% 41,251 9,382 8,738 331,169 1,010 302,592 6,810 48,831 895 6,390 5,684 49,042 583 178,121 525 467 113,432 74,626 0% CY11 CY12 CY13 CY14 FY14-15 FY15-16 CY11 CY12 CY13 CY14 FY14-15 FY15-16 CY11 CY12 CY13 CY14 FY14-15 FY15-16 RE VECV The figures in % indicate EBIT Margins Profit After Tax Ratios Networth (in %) CAGR 23.9% CAGR 21.9% 28.0% 36.9% 62.2% 26.5% 24.6% 23.5% 18.7% 17.5% 16.2% 3,464 14.8% 1,236 12.5% 11.5% 10.7% 12.0% 2,707 2,516 2,055 762 702 1,755 1,493 525 497 475 CY11 CY12 CY13 CY14 FY14-15 FY15-16 CY11 CY12 CY13 CY14 FY14-15 FY15-16 CY11 CY12 CY13 CY14 FY14-15 FY15-16 ROCE ROA INVESTOR PRESENTATION EBIT – Earning Before Interest & Tax 10 MAY 2016 Profit After Tax is before minority interest

ROYAL ENFIELD INVESTOR PRESENTATION 11 MAY 2016

Oldest motorcycle brand in continuous production INVESTOR PRESENTATION 12 MAY 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 Sense of Definitive highway Fun, youthful Purpose-built for Longest production exploring the distinctiveness tourer motorcycle Himalayas Classic -Sport Resolute, Post-war styling Long range & load- Versatile for riding unchanged form bearing capabilities Distinctive Style on- & off-road Pride of the Timeless design 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 MAY 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 MAY 2016