Bajaj Mobility Ag · SIX:BMAG

Bajaj Mobility — PIERER Mobility — FY2022 Earnings Presentation

42 slides from Bajaj Mobility's earnings presentation, Mar 28, 2023

  1. Slide 1: PIERER Mobility AG Key Financials Business Year 2022

    PIERER Mobility AG The leading European powered two-wheeler group Key Financials Business Year 2022 28 March 2023 PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  2. Slide 2: Disclaimer

    Disclaimer This document is for information purposes only and shall not be treated as giving any investment advice and/or By their nature, forward-looking statements involve known and unknown risks and uncertainties because they relate to recommendation whatsoever. This presentation and any informat

  3. Slide 3: Table of contents

    Table of contents 00. PIERER Mobility AG at a glance 01. Globalization – Continued growth & strong focus on returns 02. Globalization – Organic growth leveraged by acquisition & strategic partnerships 03. Premium brands 04. Innovation – The future of PTWs 05. People – Development of employees 06. Va

  4. Slide 4: PIERER Mobility AG at a glance

    PIERER Mobility AG at a glance A global leader in the powered two-wheeler industry 4 PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  5. Slide 5: Four pillars of success

    PEOPLE GLOBALIZATION Strategic, continuous growth reinforces “From riders for riders.” All of us are united by our position as a global mobility group. passion, enthusiasm and performance. It’s how we succeed together. FOUR PILLARS OF SUCCESS INNOVATION BRANDS We’re always looking ahead. As a highly

  6. Slide 6: The leading European powered two-wheeler group

    THE LEADING EUROPEAN POWERED TWO-WHEELER GROUP R&D DESIGN, CONCEPT DEVELOPMENT MOTORCYCLES NEW MOBILITY & DIGITALIZATION ~4,600 Employees ~250 Employees ~1,200 Employees Simplified presentation by areas as of December 2022 100% shareholdings: KTM AG, Husqvarna Motorcycles GmbH, GASGAS Motorcycles Gm

  7. Slide 7: PIERER Mobility DNA

    PIERER MOBILITY DNA 30 years in the fast lane. CONTINUED GROWTH & STRONG ORGANIC GROWPTH LEVERAGED INNOVATION – THE FUTURE OF FOCUS ON RETURNS BY ACQUISITION & STRATEGIC PTWs PARTNERSHIPS ▪ R&D expenses around 8 – 9% of revenues ▪ ~16% sales unit CAGR since 1992 resulting in ~ € 2,437 million revenu

  8. Slide 8: Globalization: Continued growth & focus on returns

    Globalization Continued growth & focus on returns 01. PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  9. Slide 9: Thirty years of successful track record

    Thirty years of successful track record Motorcycles & E-Bicycles revenues €m CAGR 92-22: 16.9% 2,437 2400 CAGR 09-22: 13.8% 2200 2,042 2000 ▪ Record growth in 2022 1800 ▪ BY 2022 (preliminary) revenue € 2,437 million 1600 1400 (+19 % compared to PY) 1200 ▪ Revenue sales more than tripled from 2009 1

  10. Slide 10: Thirty years of successful track record: PTW unit sales

    Thirty years of successful track record Powered two-wheelers (PTW) unit sales Sales units CAGR incl. Bajaj 92-22: ~15.5% 449,971 Sales units CAGR incl. Bajaj 09-22: ~16.2% E-Bicycle 409,797 400 000 ▪ 449,971 PTWs sold in Business Year 2022 HQV Units India/Indonesia et al. (distributed by Bajaj) ▪ Fu

  11. Slide 11: Motorcycle Wholesales – 2022

    Motorcycle Wholesales – 2022 Deliveries to Motorcycle Dealer Network & General Importers EUROPE NORTH INDIA / SOUTH ASIA AUS/NZ AFRICA / 375,492 AMERICA INDONESIA AMERICA MID. EAST UNITS SOLD 117,410 100,733 51,484 36,921 31,476 17,857 3,242 UNITS SOLD UNITS SOLD UNITS SOLD UNITS SOLD UNITS SOLD UNI

  12. Slide 12: Bicycle Wholesales – 2022

    Bicycle Wholesales – 2022 EUROPE NORTH AMERICA REST OF WORLD 118,465 96,056 12,819 9,590 UNITS SOLD UNITS SOLD UNITS SOLD UNITS SOLD -5% (-5,395) >100% (+12,107) >100% (+9,000) +15,712 | +15% E-Bicycles 72,943 units -3% E-Bicycles 1,277 units +80% E-Bicycles 259 units -28% -3% Bicycles 23,113 units

  13. Slide 13: Business growth driver: dealers

    Business growth driver: dealers Almost 4,500 motorcycle dealers & nearly 2,000 bicycle dealers 575 683 ~4,480 Motorcycle dealers 290 1,455 1,556 ▪ more than 1,300 dual or multi 810 brand dealers ▪ Europe: ~1,620 dealers 2,175 2,200 2,238 ▪ North America: ~900 dealers ▪ India/Indonesia: ~1,380 dealer

  14. Slide 14: Motorcycle market insights

    Motorcycle market insights (preliminary) 2022 – Global market development ▪ Double-digit market shares in EU and US ▪ Stabilizing market demand for motorcycles Main Motorcycle Markets (>120cc) Europe ~730,000 units (-3%) North America ~470,000 units (-5%) Australia & New Zealand ~70,000 units (-10%)

  15. Slide 15: PIERER New Mobility opportunity

    PIERER New Mobility opportunity Revenues and market opportunity E-Mobility sales (€m) Global E-Bicycle market potential Sales CAGR 2020–2025: >35 % Gross Margin: ~25% Europe North America Oceania Sales CAGR Market volume 2022: Market volume 2022: Market volume 2022: 2019–2022: + ~34% tbd ~4,500,000

  16. Slide 16: Globalization: Organic growth leveraged by acquisition & strategic partnerships

    Globalization Organic growth leveraged by acquisition & strategic partnerships 02. PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  17. Slide 17: Strong global partners: Bajaj

    Strong global partners Strategic partnership with Bajaj The strong strategic partnership with the Indian Bajaj Group, which was established in 2007, produced 1 million units of KTM and Husqvarna motorcycles until January 2023. ▪ Further focus on entry-level, 125 to 390 cc street motorcycles ▪ Develo

  18. Slide 18: Strong global partners: CFMOTO

    Strong global partners Joint venture with CFMOTO Through the deeper cooperation with partner CFMOTO, sole distributor for KTM in China, additional production facilities and supply chains were established. ▪ Production hub for KTM entry-level middle- Production capacity of class models (790cc) for gl

  19. Slide 19: Strong global partners: MAXCOM

    Strong global partners PIERER New Mobility | MAXCOM ▪ Both partners hold a 50% interest ▪ Investment volume €40 million in logistics and assembly ▪ Our goal: expansion of the (E-) bicycle production capacity in Europe (Bulgaria) Joint venture with MAXCOM ▪ On schedule for commissioning in 2023 19 PI

  20. Slide 20: Infrastructure Projects

    Infrastructure Projects KTM NORTH AMERICA HQ CAMPUS CALIFORNIA, USA ▪ 8,094 square meters ▪ More than 13,935 square meters of technical, office, warehouse and racing departments ▪ € 48.4 million investment ▪ Opening Q1/2023 20 PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  21. Slide 21: Global production facilities

    Global production facilities Bicycle production facilities Bulgaria Austria Mattighofen (HQ) Plovdiv (Maxcom, JV) ~220,000 Units in 2022 Motorcycle production facilities Taiwan India Pune (Bajaj) Taichung City ~150,000 Units in 2022 China Hangzhou (CFMOTO, JV) Colombia Cartagena (CKD) ~19,000 Units

  22. Slide 22: Premium brands

    Premium brands 03. PIERER Mobility AG | Edisonstraße 1, 4600 Wels

  23. Slide 23: Sharply positioned motorcycle brands

    Sharply positioned motorcycle brands The Racing Brand With Extreme Performance Purity | Performance | Adventure | Extreme The Pioneering Brand With Smart Performance Smart | Progressive | Dynamic | Pure Design The Vibrant Playful Brand With Inviting Performance Daring | Capable | Vibrant | Inviting

  24. Slide 24: Clearly distinct bicycle brands

    Clearly distinct bicycle brands The pioneering brand with smart performance Smart | Progressive | Dynamic | Pure Design Performance bikes that ignite the fun of two-wheeled action! Daring | Capable | Vibrant | Inviting The radical brand with an obsession for speed Fast | Competitive | Accomplished |

  25. Slide 25: MV Agusta

    MV Agusta Luxury sport motorcycle brand made in Italy since 1945 • Acquisition of a 25.1% stake in MV Agusta Motor S.p.A by way of a capital increase in November 2022 • Setup of MV Agusta Services s.r.l. to manage purchasing and supply chain • Distribution of MV Agusta motorcycles globally 25 PIERER

  26. Slide 26: Innovation: The future of PTWs

    Innovation The future of PTWs 04. PIERERMobility PIERER MobilityAG AG | | Edisonstraße Edisonstraße 1, 1, 4600 4600 Wels Wels

  27. Slide 27: Right vehicle, right place, right energy carrier

    Right vehicle, right place, right energy carrier Openness to different technologies E-Drive E-Fuels ▪ Urban environments with rather limited speed and short distances ▪ In market segments that are difficult to electrify, it needs other approaches can benefit from electric powertrains to finding solu

  28. Slide 28: Product development centers

    Product development centers ~1,200 employees Research & Development center (Mattighofen, Munderfing, Austria) ▪ Competence center for design, development and testing of complete vehicles (ICE powered), design engineering of components (E/E, metal structures, plastic) and suspension components. ▪ Pro

  29. Slide 29: People: Development of employees

    People Development of employees 05. PIERERMobility PIERER MobilityAG AG | | Edisonstraße Edisonstraße 1, 1, 4600 4600 Wels Wels

  30. Slide 30: Development of employees

    Development of employees As of 31.12.2022 Key Facts ▪ 6,088 employees (of which approx. 5,000 in Austria), incl. around 200 apprentices ▪ Increase by 839 staff in 2022 (compared to 5,249 in 2022) ▪ High-quality approach in apprentice training – investment of € 2.5 million in our training workshop ▪

  31. Slide 31: Value creation through sustainability

    Value creation through sustainability 06. PIERERMobility PIERER MobilityAG AG | | Edisonstraße Edisonstraße 1, 1, 4600 4600 Wels Wels

  32. Slide 32: Sustainability highlights 2022

    Sustainability highlights 2022 Key figures 161 €M 19.1% 2.8 €M 10.4 Invested in 79.59 G/KM Unit sales Invested in Lost time Fleet Electrified further product Frequency e m i s s i o n s 1) Tw o - education development i n j u r y r a t e 3) w h e e l e r s 2) of employees 80% Compliance Procurement

  33. Slide 33: Sustainability activities and goals 2022

    Sustainability activities and goals 2022 Main topics and measures 2022 Goals for 2023 and beyond ▪ First steps into carbon footprint analysis for products and components ▪ Reinforce ESG strategy including strategic ESG goals ▪ Carbon emission analysis and improvements in logistics ▪ Expand carbon em

  34. Slide 34: Financials & Guidance

    FINANCIALS & GUIDANCE 07. PIERERMobility PIERER MobilityAG AG | | Edisonstraße Edisonstraße 1, 1, 4600 4600 Wels Wels

  35. Slide 35: Performance of the PMAG share

    PERFORMANCE OF THE PMAG SHARE March 28, 2022 – March 24, 2023 Shareholder structure as of March 2023 23.6% 2.6% 73.9% Pierer Bajaj AG, Austria Pierer Konzerngesellschaft mbH, Austria Free float ▪ Listings: On the prime market, the top segment of the Vienna Stock Exchange since March 1, 2022, in Zuri

  36. Slide 36: Financials: Consolidated profit & loss

    FINANCIALS CONSOLIDATED PROFIT & LOSS FIGURES UNDER IFRS 1 ▪ Despite difficult economic market environment (supply bottlenecks, China's in €m 2020 2021 2022 ∆ 2021/22 strict zero-COVID-19 policy, Ukraine war), again record revenue was achieved (+ € 396 million) Revenues 1,530.4 2,041.7 2,437.2 +19.4

  37. Slide 37: Financials: Business segments

    FINANCIALS BUSINESS SEGMENTS UNDER IFRS 2022 1 ▪ Motorcycles segment revenues in 2022 increased by around € 386 million vs. 2021 (+21%) in €m GROUP MOTORCYCLES BICYCLES OTHERS ▪ Bicycles segment revenues (+€ 8 million), only slightly over the previous year mainly due to supply chain shortage clear u

  38. Slide 38: Financials: Consolidated balance sheet and cash flow

    FINANCIALS CONSOLIDATED BALANCE SHEET AND CASH FLOW FIGURES UNDER IFRS in €m 2020 2021 2022 ∆ 2021/22 1 ▪ Inventory level of € 654 million (2021: € 405 million) and accounts Balance sheet total 1,686.0 2,033.7 2,550.6 +25.4% 1 receivables of € 270 million (2021: € 151 million) leads to prolongation

  39. Slide 39: Free cash flow and net debt analysis

    FINANCIALS FREE CASH FLOW AND NET DEBT ANALYSIS FREE CASH FLOW - in €m 2021 2022 ∆ 2021/22 Net debt Net debt EBITDA 332.2 381.1 48.9 12/31/2021 12/31/2022 (+) Interest receipts and (-) payments -9.1 -13.9 -4.8 (-) Taxes -31.0 -43.8 -12.8 (+) Non-cash expenses and (-) income 7.0 -24.4 -31.4 Gross Cas

  40. Slide 40: Financial Guidance 2023

    FINANCIAL GUIDANCE 2023 POSITIVE OUTLOOK KEY KEY KEY OUTLOOK FIGURES FIGURES FIGURES 2023 2022 2021 2020 Revenues in €m/ 6 – 10 % 2,437.2 2,041.7 1,530.4 Revenue growth in % EBIT margin 8 – 10% 9.7% 9.5% 7.0% EBITDA margin 16.3% 15.3% 40 PIERERMobility PIERER MobilityAG AG | | Edisonstraße Edisonstr

  41. Slide 41: Management team & contact details

    MANAGEMENT TEAM & CONTACT DETAILS PIERER Mobility AG CONTACT DETAILS PIERER Mobility AG Stefan Pierer Edisonstrasse 1 CEO 4600 Wels Austria Friedrich Roithner CFO www.pierermobility.com Hubert Trunkenpolz Member of the Executive Board Melinda Busáné Bellér, Investor Relations E-Mail: ir@pierermobili

  42. Slide 42: Appendix: Data sources for motorcycle market information

    Appendix Data sources for motorcycle market information and intelligence Sources by market Europe Reported countries: DE, FR, IT, ES, UK, SE, BE, NL, AT, CH, FI, NO, BALTIC Data source: National data providers Motorcycles: >120cc & electric, no MX available North America Data source: MIC (US), MMIC

PIERER Mobility — FY2022 Earnings Presentation on 6ix