#1TATA ELXSI Designing The Next EQ Q1 FY23 Earnings Presentation and Fact Sheet July 14, 2022 TATA#2Disclaimer This release may contain certain future prospects which may be a forward-looking statements. Forward- looking statements by their nature involve a number of risks and uncertainties that could cause actual results to differ materially from market expectations. These forward-looking statements represent only the Company's current intentions, beliefs or expectations, and any forward-looking statement speaks only as of the date on which it was made. The Company assumes no obligation to revise or update any forward- looking statements. Note: All numbers have been rounded to the nearest digit for convenience of representation. 2 TATA ELXSI#3Message from the CEO and Managing Director Manoj Raghavan CEO and MD Tata Elxsi Ltd. "We are starting FY23 on a strong note with 6.5% QoQ revenue growth in constant currency. This was all volume-led and supported by robust growth across divisions, verticals and key markets. We continue to maintain and expand our margins with our EBITDA growing at 58.8% YoY and PAT growing at 62.9% YoY. Our differentiated delivery capability powered by Domain, Design, and Digital, is helping us continue to win deals which are of strategic importance to our customers. I am delighted that the Tata Elxsi family is now over 10,000 people strong. We added 771 employees on a net basis in the quarter, more than doubling from the previous quarter. This has been aided by concerted efforts in reinforcing our employer brand proposition and employee engagement that have helped reduce our attrition rate in the quarter. We are also expanding our delivery presence with a new center in Kozhikode. We are taking a seminal role in fostering future design thinkers and innovators for sustainability, with the launch of IGNITE - a global design and innovation contest for sustainable design, coinciding with the World Industrial Design Day on 29th June. I am delighted to start the financial year with robust growth in revenues, margins, employee and customer additions. We are entering the second quarter with a strong order book and a healthy deal pipeline across key markets and industries." TATA ELXSI 3#4Highlights for Q1 FY23 Revenue 725.9 INR Cr Sequential Growth ↑ 6.5% Profitability EBITDA Margin 32.8% EBITDA INR Cr 238.2 Cr (58.8% YoY) QoQ Constant Currency Growth ↑ 6.5% YoY Revenue Growth ↑ 30.0% PBT INR Cr PAT INR Cr 228.0 (48.1% YoY) 184.7 (62.9% YoY) EPS People Q1 FY23 ↑ 29.66 Closing Headcount ↑ 10147 QoQ Growth ↑ 15.5% Net Additions 771 YoY Growth ↑ 62.9% LTM Attrition 19.0% TATA ELXSI 4#5Financial Highlights - Q1FY23 Revenue Revenues from operations at Rs. 725.9 Cr, + 6.5% QoQ, + 30.0% YoY Profit • Operating Margin at 32.8 %; Net Margin (PBT) at 31.0% Profit Before Tax (PBT) at Rs. 228.0 Cr, + 3.5% QoQ, +48.1% YoY Profit After Tax (PAT) at Rs. 184.7 Cr, + 15.4% QoQ, +62.9% YoY Segment Highlights • Embedded Product Design (EPD) grew at 6.2% QoQ Industrial Design and Visualization (IDV) grew at 6.6% QoQ System Integration and Support (SIS) grew at 19.8% QoQ 5 TATA ELXSI#6Key Deal Wins - Driving Scale and Sustainability . . . • A global tier 1 supplier selected Tata Elxsi for its next generation e-powertrain development Multi-million USD multi-year deal win underscores Tata Elxsi's differentiated expertise in EV architecture, system and software development A multi-million-dollar deal win for Tata Elxsi from an automotive OEM in APAC region for development of a full vehicle simulator that will enable creation of a digital twin and accelerate new vehicle development Tata Elxsi was awarded a large multi-year deal for smart network operations transformation by a leading North American MSO One of the world's leading AdTech companies selected Tata Elxsi to support the development of a next-gen digital content monetization platform for addressable advertising across ad formats and devices Tata Elxsi won a design-led New Product Development (NPD) deal from a Global Healthcare company for development of a Radiation Therapy machine Tata Elxsi wins a Design-Digital deal for development of an Augmented Reality (AR) based solution for a leading global medical devices company Leverages Tata Elxsi's capabilities in combining Extended and Mixed Reality technology, design and content to aid patient outcomes TATA ELXSI 6#7Tata Elxsi Financial Summary - Q1 FY23 Particulars EPS (INR) Margin (%) Margins (INR CR) Revenue (INR CR) Metrics Q1FY23 Q4FY22 QoQ Growth Q1FY22 YOY Growth Revenue from Operations 725.9 681.7 6.5% 558.3 30.0% Other Income Total Income EBITDA EBIT PBT 10.3 18.1 -43.0% 17.5 -41.0% 736.2 699.8 5.2% 575.8 27.9% 238.2 221.2 7.6% 150.0 58.8% 221.1 205.4 7.6% 138.1 60.1% 228.0 220.3 3.5% 153.9 48.1% PAT 184.7 160.0 15.4% 113.4 62.9% EBITDA 32.8% 32.5% 26.9% EBIT 30.5% 30.1% 24.7% PBT PAT 31.0% 31.5% 26.7% 25.1% 22.9% 19.7% Basic 29.66 25.69 15.5% 18.21 62.9% Diluted 29.66 25.69 15.5% 18.21 62.9% TATA ELXSI 7#8INR in Crore INR in Crore Tata Elxsi Financial Performance - Q1 FY23 Operating Revenue 725.9 681.7 558.3 Q1 FY22 Q4 FY22 Q1 FY23 PBT & Margin (%) 6.5% QoQ 30.0% YoY 31.5% 31.0% 26.7% 220.3 228.0 3.5% QoQ 153.9 48.1% YoY Q1 FY22 Q4 FY22 Q1 FY23 TATA ELXSI INR in Crore INR in Crore Operating EBITDA & Margin (%) 32.5% 32.8% 26.9% 238.2 221.2 7.6% QoQ 150.0 58.8% YoY Q1 FY22 Q4 FY22 Q1 FY23 PAT & Margin (%) 25.1% 22.9% 19.7% 184.7 160.0 15.4% QoQ 113.4 62.9% YoY Q1 FY22 Q4 FY22 Q1 FY23 8#9Tata Elxsi Operational Performance - Q1 FY23 Revenue By Geography 9.0% 8.3% 6.2% 13.9% 16.5% 18.0% 50.9% 39.8% Client Concentration 48.3% 46.2% 38.3% 40.0% Top 5 Top 10 ROW Q1 FY22 Q4 FY22 Q1 FY23 43.7% 41.2% 42.8% India Americas 33.4% 34.0% 32.9% 10.2% Europe Q1 FY22 Q4 FY22 Q1 FY23 Headcount and Attrition 20.8% 19.0% 10147 Employees Attrition (%) 7914 9376 Q1 FY22 Q4 FY22 Q1 FY23 TATA ELXSI 9#10Tata Elxsi Segment Mix and Performance - Q1 FY23 Segment Mix Q1 FY23 Q4 FY22 Q-o-Q Growth (In CC) Y-o-Y Growth Q1 FY22 (In CC) Embedded Product 88.8% 89.0% 6.0% 83.9% 38.0% Design (EPD) Industrial Design & 9.0% 9.0% 9.3% 14.0% -12.8% Visualization (IDV) System Integration & 2.2% 2.0% 19.4% 2.1% 38.1% Support (SIS) Total (Tata Elxsi) 100.0% 100.0% 6.5% 100.0% 30.9% TATA ELXSI 10#11EPD Segment Mix and Performance - Q1 FY23 Segment Mix Q1 FY23 Q4 FY22 Q-o-Q Growth (In CC) Y-o-Y Growth Q1 FY22 (In CC) 41.5% 41.5% 7.8% Transportation 40.3% 46.3% Media & Communications 43.1% 43.7% 3.7% 45.9% 27.8% Healthcare & Medical 15.4% 14.9% 7.4% 13.8% 47.6% Devices Total EPD 100.0% 100.0% 6.0% 100.0% 38.0% TATA ELXSI 11#12EPD Operational Performance - Q1 FY23 Revenue By Onsite / Offshore Mix 27.4% 24.8% 25.1% Revenue By Contract Type Mix 47.6% 52.3% 49.0% Onshore Time & Material 72.6% 75.2% 74.9% Offshore 52.4% 47.7% 51.0% Fixed Price Q1 FY22 Q4 FY22 Q1 FY23 TATA ELXSI Q1 FY22 Q4 FY22 Q1 FY23 12#13Tata Elxsi is proud to have crossed the '10,000 Elxsians' milestone S 10 K+ Elxsians K- TATA ELXSI 13#14We are expanding - Tata Elxsi announces a new Technology Development center in Kozhikode Tata Elxsi has expanded its presence in Kerala with the opening of a new development center in Kozhikode's UL Cyber Park. The new center will host teams and state-of-the- art technology and product development facilities in EV, Connected Car, OTT, 5G, and Digital technologies. LULCyber Park TATA ELXSI 14#15World Industrial Design Day: Tata Elxsi announces a Global contest for creating a Sustainable Design Solution As part of the contest, participants must create a sustainable design solution that will address the future needs of consumer goods, healthcare or mobility industries. Tata Elxsi's Global Design Head, Nick Talbot, said, "Building on our core philosophy of design for good, this competition seeks the best and brightest ideas from our future designers and innovators to meet the challenge of providing products and services that customers need and want whilst improving our relationship with our planet and all the resources we need to care for". The winners, judged by an international jury, will be awarded at the Global Design event in August, and an opportunity to intern and work alongside award-winning designers at the Tata Elxsi Design Studio. ¡GNITE Design Contest 2022 TATA ELXSI announces ¡GNITE Design Contest 2022 Think Digital | Consider Feasibility | Think Ecology TATA ELXSI 15#16PARTNERSHIPS AND AWARDS TATA ELXSI 16#17S Tata Elxsi and Lenovo collaborate to provide proven, scalable and easy to deploy XR solutions for Enterprise Tata Elxsi and Lenovo to collaborate to provide end-to-end solutions and services for customers using Lenovo's smart XR devices, which transform work in office and industrial settings, both large and small. Tata Elxsi and Lenovo will enable enterprises to deliver immersive Digital Transformation solutions. These solutions span across Engineering Design & Modeling, Maintenance & Repair, Remote Collaboration, Worker Safety & Training etc., and help to save cost, improve efficiency and enhance next-level productivity. Maintenance Manual Kristian Col TATA ELXSI INDUSTRIAL SAFETY Personal | Procedural | Environmental E INDUSTRIAL TRAINING & E-LEARNING Design Experiential Transformation Sipital Experience Centre TATA ELXSI O XR solutions on display at the Hannover Messe 2022 17#18Tata Elxsi and mimik Technology partner to deliver 5G services for Industry 4.0, Automotive, and Media Distribution Solutions Tata Elxsi partners with mimik Technology Inc., a pioneer in hybrid edge cloud technology and business solutions, to address opportunities created by the growing availability of 5G networks and mobile edge computing platforms. The media, automotive and Industry 4.0 segments demand high- reliability resilient services. The combined solution from Tata Elxsi and mimik delivers necessary resiliency and low latency while providing a high level of data privacy and security. The partnership delivers innovation in co-operative optimization of RAN Edge, and the industry vertical solutions, can enhance user experiences for enterprises, consumers and add value to TELCOS, and enable the co-creation of solutions for Media, content distribution services, Industry 4.0 and Automotive Edge. 6 100 5G TATA ELXSI 18#19Tata Elxsi and Green Hills Software win the 'Collaborative Partnership of the Year' award at the Informa Tech Automotive Awards 2022 Tata Elxsi has actively partnered with Green Hills Software, the worldwide leader in embedded safety and security to co-innovate solutions for Software-Defined Digital Cockpits and Advanced Driver Assistance Systems. The latest collaborative solution is a Driver Monitoring System (DMS) platform that combines advanced Al powered algorithms and AUTOSAR Adaptive from Tata Elxsi, integrated with the safe and secure INTEGRITYⓇ real-time operating system from Green Hills Software. This platform enables OEMs and Tier 1 suppliers to reduce development time, cost, and complexity while meeting global safety and security requirements. This partnership won the Informa Tech Automotive award for Collaborative partnership of the year, at the AUTOTECH: DETROIT 2022 event on 7th June. TATA ELXSI INFORMA TECH AUTOMOTIVE GROUP Automotive MM INTELLIGENCE INFORMA TECH AUTOMOTIVE AWARDS 2022 WINNER Collaborative Partnership of the Year Tata Elxsi and Green Hills Software Collaborative Partnership of the Year WINNER! TATA ELXSI Green Hills SOFTWARE INFORMA TECH AUTOMOTIVE AWARDS TATA ELXSI 19#20Tata Elxsi wins the prestigious Golden Peacock Innovation Management Award for 2021 Awarding Tata Elxsi with the Innovation Management Award for 2021, the grand jury comprising of eminent leaders from industry, public bodies and government, said: "The award is a testimony of Tata Elxsi's remarkable accomplishments and developments through the organization's integrated and innovative growth strategy. The company has made a commitment to establishing cutting-edge business and market strategies in order to expand its service portfolio, value proposition and business growth through strategic alliances." TATA ELXSI GOLDEN PEACOCK INNOVATION Golden Peacock Awards A Strategic Tool to Lead the Competition 10D/GPA/2011/W1 ling June 15, 200 AWARD Golden Peacock Tay noj Raghavan mited, Bengali De V.K. Apsihotri, LAS (Retd.) G Ferary-General Seba adient India Award-sozs that your Tata Fissi Limited, Bangalore has been declared the acock Innovation Management Award for the year 2001 by the of Han ble Justice M. N. Venkatachaliah, tener Chit Chairmen National Human Rights Comice of India and National ck Awards Sectariat, picase acept my heartiest angratulations fea Reli d gure to perform Oativity and innovation are at d services are stily being ebulete at a fet pace inertical analy d sew benchmarks. It has gone beyond the stater, thical the best among epich have hastly their spratio and hang and stability Darging besince ngped comply Olle call and set tint jury, and Golden Peacock Awards gelo Lead the Competi CERTIFICATE This is to certify that Tata Elxsi Limited Bangalore was adjudged the WINNER of GOLDEN PEACOCK INNOVATION MANAGEMENT AWARD 2021 given under the seal of Institute of Director, India MANAGEMEN WINNER Tata Elxsi Limited Bangalore 2021 Golden Peacock Awards TOD 100 . Justice M N Venkatachalah 20#21TATA ELXSI Incorporated in 1989, Tata Elxsi is amongst the world's leading providers of design and technology services across industries including Transportation, Media, Communications and Healthcare & Medical Devices. - Tata Elxsi provides integrated services from research and strategy, to electronics and mechanical design, software development, validation and deployment, and is supported by a network of design studios, global development centers and offices worldwide. Tata Elxsi is helping customers reimagine their products and services through design thinking and application of digital technologies such as loT (Internet of Things), Cloud, Mobility, Virtual Reality and Artificial Intelligence. We combine deep domain expertise in our chosen verticals, with over 30 years of technology and product development experience, that enables brands to differentiate and win. Designing The Next www.tataelxsi.com Hari Balan Corporate Communication E-mail: [email protected] Diwakar Pingle Ernst & Young LLP E-mail: Diwakar. [email protected]