jamna auto industries ltd. - aceanalyseraceanalyser.com/analyst meet/120051_20100708....

Jamna Auto Industries Ltd.Jamna Auto Industries Ltd.

Jamna AutoJamna Auto

Leaf Springs- A leaf spring is a beam of cantilever design to absorb deflection under load. Mostly used in passenger and commercial vehicles as part of the suspension that connects the vehicle’s wheel base & chassis – high criticality in terms of safety of the vehicle

Parabolic Springs- a modified version of leaf springs which has better load carrying capacity with reduced weight Have twice the operating margins as leaf springs

JAI - one of few manufacturers in India having sizeable parabolic springs facilities

CONVENTIONAL

TRAILER SPRING

EYE MOUNTED SPRING

PROGRESSIVE SPRING

Current Products

TRAILER SPRING

PARABOLIC SPRING

Critical part of a vehicle that has a direct impact on safety and load bearing, the 2 essential requirements of commercial vehicles – hence, JAI

has direct relationships with its customers and is a key part of the customers’ product development process


Today

Locations

Main Plants�Yamuna Nagar�Malanpur�Chennai

Products

�Leaf Spring�Light Parabolic

Markets

�OE India�AM India

�Chennai�JamshedpurAssembly Plants�Uttranchal

2 Products2 Products 2 Markets2 Markets5 Cities5 Cities

Soni Auto,

4%

Vikrant, 3%

Friends,

12%

Others, 4%

Indian OEM Market Global leaf market: Scale

Manufacturing capacities steadily moving from N America and Europe into low-cost Asia

1980s MT

Markets Positioning

# Leaf Spring Manufacturer Base Country Production

1 NHK Spring Co. Ltd Japan 200,000

2 DELPHI USA 100,000

3 Eaton/Oxford Canada 10,000

4 Krupp Germany 40,000

5 Hendrickson USA 40,000

6 DSP USA 40,000

7 Rejna Europe 40,000

8 Hoesch Germany 30,000

Toyo, 13%

12%

Jamna Auto,

64%

Undisputed market leader in India and 4th

largest player globally – one of the few Indian players with such world scale

Current MT

# Leaf Spring Manufacturer Base Country Capacity

1 Rassini Mexico 250,000

2 Hendrickson Canada & Mexico 180,000

3 NHK Spring Co. Ltd Japan & Thiland 150,000

4 Jamna Auto Indus. Ltd India 144,000

5 Ventanna Europe 110,000

6 Dong Feng China 105,000

7 FAW China 100,000

8 MBHA Spain 36,000

9 Olgin Turkey 28,000

10 LPDN Europe 24,000

8 Hoesch Germany 30,000

9 Sarfedern Germany 20,000

10 Johns Woodhead UK 10,000


Medium Term

JAI Growth Plan

Short Term

Term

Jamna AutoJamna AutoShort Term

1. Production 11500 Mts

15000 Mts

2. Light Parabolic 600 Mts

750 Mts

900 Mts

3. Heavy Parabolic 350 Mts3. Heavy Parabolic

a) Steel Saving

b) Finance Cost Reduction

c) Jamshedpur Freight Saving

d) Jamshedpur Plant Starting

4. Others Value Adds


Jamna Jamna Business Business Jamna Jamna

Business Business Business Business ModelModel

Business Business ModelModel

Jamna AutoJamna Auto Medium Term

1 Markets

� OE India- SOB*� After Market India� After Market Export

OE Export�

� OE Export

* Share of Business


Products2

� Heavy Parabolic/Z Spring� Suspension/Lift Axels� U Bolt� U Bolt� Stabilizer Bar

* Share of Business


3 Locations

Main Plants� Malanpur- Unit 2� Chennai- Unit 2

* Share of Business

� Chennai- Unit 2� PuneAssembly Plants� Adityapur� Indore� Hosur� Lucknow

Jamna AutoJamna AutoJAI’s Expanding Horizons

�OE India�AM India �AM Export�OE Export

Locations Products Markets

�Yamuna Nagar�Malanpur-2 Units�Chennai-2 units�Jamshedpur�Pune

�Uttranchal*

�Leaf Spring/Light Parabolic�Heavy Parabolic/Z Spring�Air Suspension�Lift Axle�U Bolt�Stabilizer Bar

�Trucks�Buses�Trailers


* Assembly Plant

� Largest Leaf Spring Capacity in the World by Oct 2011 � Largest Parabolic Spring Capacity in the World by Oct 2012

�Uttranchal*�Hosur*�Lucknow*�Adityapur*�Indore*

Jamna AutoJamna AutoAdding New Markets

Jai Market Share in Indian OE goes up 66% to 75%

JAI Total OE Sales go down from existing 91 % to 70% in next three year because of market diversification.

1.

2.

•Capacity•Technology•Logistics

�OE Export�After Market Export�After Market India

Would contribute 30 % of Jai Sales

Diversifying our Market by adding New Markets

JAI Today Sales JAI Future Sales Plan

OE India 91%Others 9% OE India 70%Others 30%

�After Market India


�Our Business will be understood in terms of:-

� PRODUCTS� MARKETS� LOCATIONS

�Our Company will Aspire to be Known as :-

� World Largest Leaf Spring Supplier

Jai Business Model

� World Largest Leaf Spring Supplier

� World Largest Parabolic Spring Supplier

� Producer of High Stress Spring

� Producer of all suspension related parts

� Engineering with WCM testing facility

� Supplier for all markets


Yamuna Nagar

Uttranchal

Lucknow

Jamshedpur

GwaliorLCVs MVsCVs

1.TATA

1.Logistics

2. Capacities

3.Cost

LogisticsParabolic

4.Technology

E Coat

5. Products

Range

6. De risking-Strength

Advantage

Exis

tin

g

Ind

ian

OE

Jai Logistics Presence Jai Customer Base

1.Gwalior

2.Chennai

3.Yamuna Nagar

4.Uttranchal

5.Jammshedpur

6.Pune

7.Lucknow

8.Hosur

Jamshedpur

Pune

Chennai

1.TATA

2.Leyland

3.Eicher

1. VOLVO- Chennai2. Force Man3. TACO4. AMW

1.SML

2.FML

1.Maruti

2.Ford

Exis

tin

g

Ind

ian

OE

Exis

tin

g

Inte

rnati

on

al

OE

1. NAVISTAR-Chennai2. DAIMLER-Chennai

3. HINO4. MBI

1. NISSAN 1. M&M (New for Jai)

New

Inte

rnati

on

al

OE

Hosur

2

Offices

22

Depots

878

Dealers

33

Field Person Locations

Jai Logistics Presence

15

Heavy Parabolic Spring -2515After Market Network used for educating customers about Parabolic spring advantage by conduction seminars and meetings

Tata Ashok Eicher Volvo Mazda Mann Navistar Daimler Force M&M After Exports Exports

Leyland Market A. Market OE

Leaf Springs Y Y Y Y Y Y Y Y Y N Y Y N

Parabolic Y Y N N N Y N N Y N Y Y N

Air Suspension N N N N N N N N N N N N N

Lift Axle N N N N N N N N N N N N N

U Bolts N N N N N N N N N N N N N

Stablizer Bars N N N N N N N N N N N N N


Present

Future

JAI ”Total Suspension Solution Provider”

16


Leyland Market R. Market OE

Leaf Springs Y Y Y Y Y Y Y Y Y Y Y Y Y

Parabolic Y Y Y Y Y Y Y Y Y Y Y Y Y

Air Suspension Y Y Y Y Y Y Y Y Y Y Y Y Y

Lift Axle Y Y Y Y Y Y Y Y Y Y Y Y Y

U Bolts Y Y Y Y Y Y Y Y Y Y Y Y Y

Stablizer Bars Y Y Y Y Y Y Y Y Y Y Y Y Y

Companies/P

roductsRassini

Hendricks

onNHK Styria Rejna Uzel Ridewell SAF ZF JAI

Leaf Spring � � � � � � �� Parabolic

Spring � � � � � � ��

JAI ”Total Suspension Solution Provider”

17

Spring � � � � � � �� Air

Suspension �� U Bolts � ��

Stablizer Bars ��

Rs MN

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Gross Revenues 3,358 4,272 5,891 5,206 6,616

Net Revenues 2,928 3,689 5,712 4,673 6,159

EBITDA 278 403 588 374 797

Cash Profits 70 192 316 19 537

PAT (10) 56 201 (126) 191

JAI Financials

Company’s Aim:- Net Worth = Net Block by March 2012Company’s Aim:- Net Worth = Net Block by March 2012

PAT (10) 56 201 (126) 191

EPS N.A 2.4 7.0 (3.6) 5.3

Total Debt* (Net of Cash) 1,745 1,874 1,735 1,472 1,023

Nos of shares outstanding 13.50 23.70 34.03 36.53 36.54

Networth 345 243 803 555 715


Highlights H1 FY 2011

1. Volume Growth 50 %

2. Total Debt* (Net of Cash) Down to Rs. 611 Mn from Rs. 1023 Mn.

3. Equity Infusion Through Private Placement – Rs. 250 Mn

4. Equity Shares after infusion :- 39.17 Mn


Thank YouThank YouThank YouThank You

jamna auto industries ltd. - aceanalyseraceanalyser.com/analyst meet/120051_20100708....

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