Cummins India Limited · NSE:CUMMINSIND
Cummins India — Shareholder Meeting (August 2018)
30 slides from Cummins India's shareholder meeting presentation, Aug 23, 2018
Slide 1: Intimation of presentation at 57th AGM (cover letter)
Ref: STEX/SECT/2018 August 23, 2018 The Relationship Manager, National Stock Exchange of India Limited DCS-CRD Exchange Plaza, 5th Floor, BSE Limited, Plot No. C/1, G Block, Phiroze Jeejeebhoy Towers, Bandra – Kurla Complex, Dalal Street, Fort, Bandra (East), Mumbai 400 001 Mumbai 400 051 BSE Scrip
Slide 2: Cummins India Limited Annual General Meeting
Cummins India Limited Annual General Meeting Sandeep Sinha, Managing Director, Cummins India Limited August 9, 2018 Confidential
Slide 3: Agenda
AGENDA 01 Financials 02 Our Growth Strategy 03 Capabilities 04 Our Future 05 Culture 06 Q+A 2
Slide 4: India Leadership Team
India Leadership Team Sandeep Sinha Managing Director – India ABO Ashwath Ram Mandar Deo Anjali Pandey Bhavana Bindra Prafulla Neema Aditi Sharma Rajiv Batra Amit Kumar Sophia Manivel Mark Firth Engine Business Power Systems Components Business Distribution Business Supply Chain Quality Chief Financ
Slide 5: Why We Exist
WHY WEEXIST — WHAT WE WANT TO ACCOMPLISH — HOW WE WILL DO IT INTEGRITY Doing what you say you will do and doing what is right DIVERSITY & INCLUSION Valuing and including our differences in decision making is our competitive advantage CARING Demonstrating awareness and consideration for the wellbeing
Slide 6: 2017 Achievements
New 20kVA, 2-cylinder Power Solution 2017 Achievements Recorded highest ever sales in Construction segment Introduced and installed the Underslung power pack and noise attenuation solution for Indian Railways Backhoe loader with Cummins 3.9 litre engine Entered the Indian Backhoe loader market
Slide 7: Caring for People and Environment
Caring for People and Environment Health, 92% employees trained on Live It, Lead It Safety 0.7 Incidence Rate (better than Industry average of >1) and 95% Waste Recycling rate Environment 2850 kilo liters of water conserved ( improvement of 4% from last year) 6
Slide 8: 2017-18 Financial Performance
How we have performed 2017-18 Financial Performance Revenue Profit before Free Cash Net Sales Interest Tax Flow Profitability ₹ 4,952 ₹ 867 ₹ 651 Crores. Crores. Crores. Cash Flow Dividend 750% Dividend * Excluding Exceptional Item (Sale of Viman Nagar Property) Cummins Confidential 7
Slide 9: Domestic Vs. Exports Trend
CAGR since FY 2014 Overall: 6% Domestic 4,321 4,588 4,958 4,952 Vs. 3,899 1,722 1,663 1,611 7% 1,574 1,198 Exports Trend 2,701 2,599 2,925 3,347 6% 3,378 (₹ Cr) FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 Domestic Export 8
Slide 10: Domestic Revenue: Segment wise
Domestic Revenue: Segment wise(₹ Cr) CAGR: 10% Industrial CAGR: 6% Distribution 1,243 1,174 771 1,068 714 991 984 518 554 507 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 CAGR: 4% Powergen CAGR: 7% Export 1,345 1,345 1,722 1,663 1,241 1,611 1,574 1,124 1,055 1,198
Slide 11: Dividend Trend
450 750% 800% 700% 700% 700% Dividend 650% 700% 400 600% Trend 350 500% 400% 300 (₹ Cr.) 250 388 388 388 416 300% 200% 360 200 100% 0% 150 -100% 100 -200% FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 * Excluding Dividend Distribution tax 10
Slide 12: CIL Share Price Performance
CIL Share Price Performance 200% 150% CAGR Return over Mar-10 CIL: 9% 100% Sensex: 8% 50% 0% -50% Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Cummins India Limited Sensex CIL TSR since inception: 21% CAGR ₹ 100 invested in CIL in 1965 would give ₹ 28.5 Lakhs in Mar-18 11
Slide 13: Q1 2018-19 Financial Performance
How we have performed Q1 2018-19 Q1 2018-19 Financial Performance Revenue Profit before Free Cash Net Sales Interest Tax Flow Profitability ₹ 1,296 ₹ 256 ₹ 410 Crores. Crores. Crores. Cash Flow Cummins Confidential 12
Slide 14: Just About Everywhere
Just About Everywhere be | HYUNDAI Cummins 13
Slide 15: The world is changing
Energy Diversity The world Connectivity The is changing De-globalization 14
Slide 16: India is changing
Climate Change Electronic, Zero Emission products Alternate technologies ( electrification, fuel cells) India is Urbanization The Extremely heavy energy consumption changing and infrastructure development Digitalization Smart factories, Industry 4.0 Service our customers differently 15
Slide 17: CIL Growth Strategy
CIL Growth Strategy CORE CAPABILITIES GROWTH PLATFORMS Technology Leadership Core New Power Industrial Telematics Generation Scale Advantage Market Share Growth Electrification Distribution Network Content Growth Renewables Distribution Export Alternate Fuels Partnerships & Customers New Products Ad
Slide 18: Scale Advantage
SCALE ADVANTAGE 17 17
Slide 19: Technology Leadership
QSK 50 Silent Power Car TECHNOLOGY LEADERSHIP Advance Test Cells Marine 18 18
Slide 20: Distribution Network
DISTRIBUTION NETWORK 19 19
Slide 21: Strong Partnership and Customers
STRONG PARTNERSHIP AND CUSTOMERS 20
Slide 22: Continuous Improvement initiatives
Continuous Improvement initiatives ACE AMaZe aSCeNt Accelerated Cost Six Accelerated Move Accelerated Supply Efficiency Sigma towards Zero Chain Excellence and defects Transformation 21
Slide 23: Core Growth
Core Growth Market Share Hospitality Datacenters Commercial Realty Construction Content Growth Rail Marine New Products CPCB III products Gas Genset CEV- BS IV 22
Slide 24: New Growth
New Growth Connected and Advanced Analytics Construction Telematics Electrification Battery Technology Renewables CEV- BS IV Gas Engine Fuel Cells Alternate Fuels 23
Slide 25: Our People
Our People Leadership Collaboration Diversity and Inclusion 24
Slide 26: Our Community
Our Community 95,000+ trees Sustained 3.67 million students reached Pithampur Jamshedpur through Coach them Young People Positively Dewas Pune 12 Model Villages Impacted 2,600 sustained CCEW in Pune in Nagpur Phaltan clean cook 1100+ students awarded stoves 12000+ Million gallons water Cummins Schol
Slide 27: Our Community
Fort Cleaning Our Community Water Conversation ,Model Town – Phaltan ITI Center Skill Development – Kolhapur Cummins College of Engineering 26 26
Slide 28: Growth over a cycle of 5 years: Domestic and Exports
DOMESTIC EXPORTS Over a cycle of 5 Years Over a cycle of 5 Years 9-11% 0-5 % 27
Slide 29: Q+A
Q+A 28
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