#1LUMAX Lumax Industries Limited Investor Presentation - November 2019 DK JAIN GROUP#2Safe Harbor LUMAX This presentation and the accompanying slides (the "Presentation"), which have been prepared by Lumax Industries Limited (the "Company"), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Certain matters discussed in this Presentation may contain statements regarding the Company's market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the industry in India and world-wide, competition, the company's ability to successfully implement its strategy, the Company's future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company's market preferences and its exposure to market risks, as well as other risks. The Company's actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections. 2#3DK Jain Group LUMAX Seven Decade Strong Leader in Automotive Lighting & Gear Shifters 14 Entities in 8 States 29 Manufacturing Facilities 4 R&D Centres (India) Over 9,000 Employees & 1 Design Centre (Taiwan) 3#4Two Listed Entities Lumax Industries Limited LUMAX Products & Services End-to-end Automotive Lighting Solutions Partnerships • Stanley Japan SL Corporation - Korea Lumax Auto Technologies Limited Group Revenue Break Up (%) FY19 Revenue of Rs. 3,370 Cr 5% 55% Products & Services Intake Systems, Integrated Plastic modules, 2-wheeler Chassis & Lighting, Gear Shifters, Shift Tower, Seat Structures, LED Lighting, Aftermarket, Electrical & Electronics components, Telematics Products and Services, Oxygen Sensors Partnerships · Cornaglia SPA - Italy • Mannoh Industrial Co. Limited - Japan . Gill Industries Inc. - USA • Austem Co. Limited - Korea . . 40% Alpine - Japan Ituran Israel Lumax Industries Limited Lumax Auto Technologies Limited Other Entities . FAE - Spain • JOPP - Germany 4#5Purpose, Vision & Values OUR GROUP PURPOSE DR JAIN We celiver pride and progress with positivity LUMAX LUMAX LUMAX OUR VALUES LUMAX OUR VISION Respect Integrity Buiing admired high performance obal organisation in Passion whom all stakeholde have absolute trust. Excellence DK JAIN البطنا DK JAIN Uku 5#6Diversified Product Range - 4-wheelers & CV Rear Lighting System Seat Structures & Mechanism Destination Boards & Urea Tanks for Commercial Vehicle ■Aftermarket products Door Visor Mirrors Gear Shifters LUMAX Plastic Modules Telematics Products & Services Cables Filters Transmission Products Horn LED Side Indicator Air Intake System CAC Ducts Wiring Harness Front Lighting System 6#7Diversified Product Range - 2-wheelers Complete Front Module Integrated with Lighting Sytem Aftermarket products Wiring harness Cables Mirror Horn Chassis LUMAX Side Panel Telematics Products & Services Complete Rear Module Integrated with Lighting System Plastic Modules Oxygen Sensors 7#8Fostering Partnerships to Deliver Excellence STANLEY Japan JV FOR LIGHTING Relationship Since 1984 37.5% in Lumax Industries Limited SL Corporation Korea JV FOR LIGHTING AND OTHER AUTOMOTIVE PARTS Relationship Since 1997 78.72% in SL Lumax Limited LUMAX Cornaglia Group Italy JV FOR EMISSION SYSTEMS Relationship Since 2007 50% in Lumax Cornaglia Auto Technologies Pvt Limited MANNOH Japan JV FOR GEAR SHIFTERS Relationship Since 2008 45% in Lumax Mannoh Allied Technologies Limited Gill Industries (USA) AUSTEM (KOREA) JV FOR SEAT FRAMES, STRUCTURES AND MECHANISMS Relationship Since 2013 50% in Lumax Gill-Austem Auto Technologies Pvt. Ltd. 8#9Fostering Partnerships to Deliver Excellence LUMAX /////ALPINE Driving Mobile Media Innovation JAPAN A EXCLUSIVE DISTRIBUTORSHIP AGREEMENT Relationship Since 2014 ituran TECHNOLOGY DRIVEN BY PEOPLE ISRAEL JV FOR SALE OF TELEMATICS PRODUCTS AND SERVICES Relationship Since 2017 50% in Lumax Ituran Telematics Pvt. Ltd. FAE SPAIN JV FOR OXYGEN SENSORS Relationship Since 2017 49% in Lumax FAE Technologies Pvt. Ltd. JOPP GERMANY JV FOR MANUFACTURE AND SUPPLY TRANSMISSION PRODUCTS Relationship Since 2019 9#1029 Locations close to Customers Facilities R&D Centre Location Gurugram, Manesar, Pune Design Centre Taiwan Corporate HQ Gurugram After Market Division Gurugram LUMAX State Mfg Locations # Haryana Bawal 1 Dharuhera 1 Gurugram 2 Manesar 3 Maharashtra Pune 9 Waluj 3 Karnataka Bengaluru 2 Gujarat Sanand 1 Mehsana 1 Tamil Nadu Sriperumbudur 1 Uttarakhand Haridwar 1 Pantnagar 3 Himachal Pradesh Kale Amb 1 29 Plants in 7 States Lumax Industries Limited & Lumax Auto Technologies Limited, along with its subsidiaries, JVs & Associates Map not to scale. All data, information and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness Total 29 10#11Enhanced 360° Customer View Understand the Customer A real understanding of varying customer needs & the capability to deliver outstanding results Environmental Conscious Environment-conscious work practices Research & Development Government approved 3 R&D facilities & 1 Overseas Design Centre in Taiwan LUMAX Experienced Team Highly Qualified & Experienced workforce of dedicated professionals Technology Leadership Partnerships with global players provides competitive edge Avant-grade technology at par with the best players worldwide Global Footprints Global footprint through exports Faster Turnaround Lightning-fast turnaround time & impressive speed to market 11#12Relationships with Diversified Customers Two Wheeler Four Wheeler MARUTI LUMAX Commercial Vehicle SUZUKI Way of Life! PIAGGIO⭑ Hero BAJAJ Distinctly Ahead YAMAHA TATA ΤΟΥΟΤΑ HONDA Mahindra HYUNDAI HONDA The Power of Dreams Rise. PIAGGIO* ŠKODA SUZUKI TVS RENAULT NISSAN TATA Mahindra Rise. VE COMMERCIAL VEHICLES A VOLVO GROUP AND EICHER MOTORS JOINT VENTURE FORCE ASHOK LEYLAND MOTORS Tier 1 Continental LEAR CORPORATION ADIENT Mahindra GM Rise. DAIMLER SML ISUZU The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only VOLVO 12#13Relationships with Diversified Customers Tractor/FES Mahindra Rise. TAFE JOHN DEERE SONALIKA CNH INDUSTRIAL INTERNATIONAL ESCORTS LUMAX Export Truck Lite TVS AUTOSERV NISSAN W CNH Audi Case New Holland Defence & Aero Space VE Vehicle Factory Jabalpur JOHN DEERE MOT PTMAT SUZUKI Strong After Market Exports Presence The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only 13#14LUMAX Lumax Industries Limited Driving Leadership in Automotive Lighting DK JAIN GROUP#15Milestone 1945: Founded a partnership firm 'Globe Auto Industries' as a Trading concern 1956-57: Set-up dedicated unit for Automotive Lighting Equipment in Delhi 1981: Lumax Industries Pvt Limited established after taking over partnership firm Globe Auto Industries 1984: TA signed with Stanley, Japan for Lighting Equipment 1985: Setup a manufacturing unit in Gurugram, Haryana. The company went public & is listed on the stock exchange 1977-79: Setup manufacturing units in Faridabad, Haryana and Pune, Maharashtra 1945-80 1981-84 1985 LUMAX 1997-98 1994 1994: Equity participation of Stanley, Japan in Lumax Industries Limited Manufacturing unit setup in Aurangabad, Maharashtra 1997: Joint Venture agreement with SL Lumax Limited. Further Equity participation by Stanley, Japan 1998: Set-up manufacturing unit at Dharuhera, Haryana 15#16Milestone ...2005-2019 a period of strategic expansion 2003: Demerger Lumax Industries 2005: Setup manufacturing unit in Chakan, Maharashtra 2007: Further Equity participation by Stanley, Japan 2008: Setup manufacturing plant in Pantnagar, Uttarakhand & expansion of Dharuhera and Chakan plants. Also setup a R&D centre at Gurugram 2010: Setup a manufacturing plant in Haridwar, Uttarakhand 2011: Setup manufacturing plants in Bawal, Haryana; Sanand, Gujarat (Land) & Bidadi, Karnataka. Also setup a R&D centre at Pune 2010-13 2002-05 2006-09 LUMAX 2017-19 2014-16 2014: The Company completed 25 years of listing on BSE 2015: The Pantnagar plant received the TPM award from JIPM 2016: Opening of Design Centre in Taiwan 2017: Start of Sanand, Gujarat facility 2018: The Bawal plant received the TPM award from JIPM 2019: Bangalore plant has been awarded JIPM-TPM Excellence award Pantnagar plant received the JIPM- TPM Award for Consistency in Excellence award Commencement of Electronics Facility at Manesar 16#17Competitive Advantages Partnerships With more than 3 decades of partnership with Stanley, Japan, the only global auto lighting company to manufacture LED worldwide, having presence in Japan, America, China, Asia Pacific and Europe Technology Expertise State-of-the-art facilities allows us to benchmark our products LUMAX Market Leaders Leadership in Lighting Product Portfolio One of the few players with largest range of lighting solutions & Electronics In-House Design 2 R&D centers & 1 Overseas Design centre to stay ahead of the curve in design trends Financial Stability Consistent financial performance with improving return ratios Experience Over 7 decades of OEM relationships Proximity to Customers 11 manufacturing facilities strategically located at key automotive hubs in the country 17 112#18Product Mix Q2FY20 24% LUMAX Product wise Sales Q2FY19 (Rs. 500 Crores)* Product wise Sales Q2FY20 (Rs. 386 Crores)* 11% 27% 65% 7% 66% Front Lighting Rear Lighting Others Front Lighting Rear Lighting Others Front Lighting Head Lamp & Fog Lamp Rear Lighting-Tail Lamp & High Mount Stop Lamp Others - Auxiliary Lamps, Indicators * Excludes Mould Sales 18#19Product Mix H1FY20 LUMAX Product wise Sales H1FY19 (Rs. 968 Crores)* Product wise Sales H1FY20 (Rs. 777 Crores)* 25% 10% 26% 65% 8% 66% Front Lighting Rear Lighting Others Front Lighting Rear Lighting Others Front Lighting Head Lamp & Fog Lamp Rear Lighting-Tail Lamp & High Mount Stop Lamp Others - Auxiliary Lamps, Indicators * Excludes Mould Sales 19#20Segment Mix Q2FY20 LUMAX Segment wise Sales Q2FY19 (Rs. 500 Crores)* Segment wise Sales Q2FY20 (Rs. 386 Crores)* 28% 6% 31% 66% 6% 63% Passenger Vehicles 2-Wheelers | Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 20 20#21Segment Mix H1FY20 LUMAX Segment wise Sales H1FY19 (Rs. 968 Crores)* Segment wise Sales H1FY20 (Rs. 777 Crores)* 28% 6% 30% 66% 6% 64% Passenger Vehicles 2-Wheelers | Commercial Vehicles Passenger Vehicles 2-Wheelers Commercial Vehicles * Excludes Mould Sales 21 24#22Customer Mix Q2FY20 LUMAX Customer wise Sales Q2FY19 (Rs. 500 Crores)* Customer wise Sales Q2FY20 (Rs. 386 Crores)* 27,6% 32,6% 96, 19% 172, 34% 74,19% 14,4% 17,4% 30,8% 42,9% 73, 15% 56,11% * Excludes Mould Sales 42, 11% Figures in Rs. Crores 146,38% 63,16% MSIL/SMG HMSI HML M&M TATA HCIL MOTHERS 272 22#23Customer Mix H1FY20 LUMAX Customer wise Sales H1FY19 (Rs. 968 Crores)* Customer wise Sales H1FY20 (Rs. 777 Crores)* 45,5% 67,7% 139, 296, 189, 19% 327, 18% 38% 34% 31,4% 40,5% , 65,8% 86,9% 100, 10% * Excludes Mould Sales 154, 16% 84, 11% Figures in Rs. Crores 122, 16% MSIL/SMG HMSI HML M&M TATA HCIL OTHERS 23#24LED Lighting vs Conventional Lighting Product wise Sales FY19 (Rs. 1,802 Crores)* 33% 67% LUMAX Product wise Sales H1FY20 (Rs. 777 Crores)* 33% 67% Conventional Lighting LED Lighting Conventional Lighting LED Lighting * Excludes Mould Sales 24 24#25SL Lumax Limited SL Lumax Limited Associate Company with 21.28% holding Plant in Sriperumbudur (Chennai) In partnership with SL Corporation, Korea, a multinational automotive player with presence in Asia-Pacific, Europe & US Products Lamps Head Lamp, Rear Combination Lamp, Fog Lamp Others Chassis, Trim & Mirrors Shift Lever, Parking Brakes LUMAX Sales Breakup FY19 - Rs. 1,255 Crores 30% 70% I Lamps Others Key Customer ED HYUNDAI 25 25#26Strong Customer Base ... LUMAX Four Wheeler Two Wheeler Commercial Vehicle Export MARUTI SUZUKI TATA Hero Way of Life! Mahindra Rise. HONDA NISSAN HONDA The Power of Dreams SUZUKI YAMAHA TATA HYUNDAI TOYOTA PIAGGIO FIAT GM TVS Mahindra Rise. RENAULT Audi JOHN DEERE Mahindra Rise. CNH L NISSAN Case New Holland Ashok Leyland SML ISUZU FORCE MOTORS DAIMLER VOLVO PIAGGIO TruckLite Tractor/FES TAFE JOHN DEERE Mahindra Rise. SONALIA CNC INTERNATIONAL INDUSTRIAL ESCORTS ... Servicing almost 90% of OE Customers in India ... The Brand Names mentioned are the property of their respective owners and are used here for identification purposes only 26#27From Strategic Locations ... Dharuhera Bawal Gurugram Manesar Sanand Bengaluru LUMAX Pantnagar Haridwar Chakan Chinchwad SL Lumax Ltd Chennai LUNEX R&D Centre & Design Centre Gurugram R&D Centre Pune ... in Key Auto Belts of India Design Centre Taiwan Map not to scale. All data, information and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness 27 22#28State of Art Manufacturing Facilities LUMAX EMONY STA RUNT SAFETY DOOR INT-BO 28#29State of Art Manufacturing Facilities LUMAX 29 29#30State of Art Manufacturing Facilities LUMAX LIGHT TEST NG SAMPLE 30#31...In-house R&D & Validation Facility LUMAX 31#32...In-house Design Studio LUMAX D 32 32#33Share Holding as of 30th September, 2019 LUMAX Shareholding breakup Others 25.00% DK Jain Stanley 37.50% Family 37.50% Stanley Electric Company Ltd Over three decades of strong technical & financial collaboration with Stanley Electric Company Ltd, Japan A world leader in Vehicle Lighting & Illumination products for Automobiles The only Global Auto Lighting company to manufacture LED worldwide 33#34Promoter Group LUMAX Mr. Dhanesh Kumar Jain Chairman Emeritus ■ He is 76 years of age & holds a MBA degree from Delhi university & has successfully completed President Management Program from Harvard Business School " Over 50 years of experience in the automotive industry in management, operations & administrative roles ■He has held various industry positions ■ Past president of ACMA, President suppliers association - Toyota Kirloskar Motors, Chairman of Trade Fairs Committee ACMA, Co-chairman of Regional Committee on Membership of Northern Region CII, Past Chairman of CSR sub- committee of the Northern Region of CII Mr. Deepak Jain Chairman & Managing Director ■ He is 44 years of age & is a Business Graduate from Illinois Institute of Technology, USA with specialization in Operations Management & International Business ■ He has undergone extensive training at Stanley Co. Limited, U.S.A. & Stanley Electric Co. Limited, Japan. He has over 21 years experience ■ He is present President of ACMA ■ He was chairman of ACMA's HR/IR & Skill Development Committee, past chairman of Sustainable Technology Development Committee of ACMA, past National Coordinator of Young Business Leader Forum of ACMA and past president of Supplier's club, Honda Cars India Limited ■ He is Member of Young President Organization and Entrepreneurs' Organization. He also holds the position of President of ACMA & Vice President of Toyota Kirloskar Supplier's Association " Mr. Anmol Jain Jt. Managing Director He is 40 years of age & holds Bachelors in Business Administration in Finance & Supply Chain Management (Double major) from Michigan State University, U.S.A. He worked as a Management Trainee with GHSP, U.S.A. & subsequently, joined Lumax Group, in 2000 & has over 17 years of experience He has held various positions in Industry associations. He was the National Coordinator of ACMA- YBLF from 2014-16. He was also the Chairman CII Haryana State Council in 2012-13 He is currently the President of Honda Cars India Supplier's Club & MC member of Bajaj Auto Vendor Association 34#35Promoter Group Mr. Tadayoshi Aoki Senior Executive Director Mr. Koji Swada Executive Director LUMAX Mr. Toru Tanabe Non-Executive Director He is 52 years old & is a Mechanical Engineering from Tokoyo Denki University Japan He is Nominee Director of M/s Stanley Electric Co. Limited, Japan and possesses over 28 years of rich experience in the field of Car Electronics, Engineering, Sales of car electronic parts and Sales Planning Division He is with Lumax since 2017 He is 55 years old & graduated from Osaka Institute of Technology He is a Nominee Director of M/s Stanley Electric Co. Limited, Japan and possesses over 31 years of rich experience in Quality Control & Lamp Assembly He is with Lumax since 2008 " ◉ He is 58 years old & is a graduate from Hosei university, japan He has over 25 years of rich experience in R&D of Electrical components & advanced Illumination systems for automotive equipment He also has about 10 years of experience in automotive electronics He joined Stanley, Japan in 1981 35 35#36...Supported by Strong Independent Directors LUMAX Mr. A P Gandhi ⚫He is 80 years old & is a mechanical engineer ⚫He has held top leadership positions in prestigious organisations having over 40 years of experience His last assignment was as President at Hyundai Motors India Limited. Prior to that he was Chief Executive -R&D at Escorts Limited & at Telco before that, holding various senior positions in the area of manufacturing operations Mr. Rajeev Kapoor •He is 66 years old and mechanical engineer (hons) from NIT, Kurukshetra He was MD for Copart Inc. and has served as independent director on the board of RICO industries, Co-Chair of Economic Committees SIAM, Served on board of ARAI, Pune and on board of Indo Italian chamber of Commerce Listed on the power list of 2012, alongside Mr. Ratan Tata, Mr. Rahul Bajaj, Mr. Anand Mahindra etc. • Entrepreneurial by nature and experience in excess of 40 years Mr. M.C. Gupta ⚫He is 80 years old and is MA in English Literature from Agra University He is a Retd. IAS officer & has served the Union & State Governments in various capacities including Deputy Secretary, Min of Finance-Dept. of economic Affairs, Advisor UNIDO (United Nations Industrial Development Organisation) Mr. Dhiraj Dhar Gupta •He is 68 years old and holds B.Com honours from SRCC, Delhi University ⚫He is an Industrialist; Director & Promoter of KSS Abhishek Auto Pvt Limited, having over 3 decades of experience in Auto Component manufacturing Mr. Ratan Kapur He is 61 years old & is a B.Com Graduate from Delhi University He is an Industrialist & possesses more than 32 years of experience in Auto Component Industry ⚫He is the current President of ACMA & Chairman of Haryana State Council of CII Ms. Ritika Modi •She is 53 years old and has an industry experience of over 25 years in the travel and airline industry •She is currently Regional President of UNIGLOBE Travel South Asia, heading the largest single brand travel franchise network in South Asia region 36#37Professional & Experienced Team Mr. Vineet Sahni CEO & Senior Executive Director Age: 54 years Experience: 30 Years Mr. Sanjay Mehta Group Chief Financial Officer Age: 52 years Experience: 29 Years Mr. Naval Khanna Corporate Head - Taxation Age: 61 years Experience: 40 years Mr. Vikas Marwah Chief Strategy Officer Age: 51 Years Experience: 28 Years LUMAX Ms. Ibha Lal Corporate Head - HR Age: 52 Years Experience: 26 Years Ms. Priyanka Sharma Corporate Communication & CSR Age: 50 Years Experience: 24 Years Mr. Atul Jain Corporate Head - Materials Age: 49 Years Experience: 26 Years Mr. Sanjay Sachdev Corporate Head - Legal Age: 53 Years Experience: 27 Years Mr. Shrutikant Rustagi Chief Financial Officer Age: 49 Years Experience: 24 Years 37 372#38LUMAX The Path Ahead DK JAIN GROUP#39Rear Lamp - Technology Evolution Split type Tail Lamp 2011-12 LUMAX Tail Lamp with LED Signature and Tail function All LED Tail Lamp 3D LED Tail lamp Adaptive rear Lighting 2013-mid of 2014 End of 2014 - 2015 2016 2017 onwards Tail lamps were introduced with Clear Lenses with adoption of Multi Color Molding technique for giving a Homogenous appearance to the tail lamp New Styling adopted in Tail Lamps with introduction of Split Tail Lamp design . Penetration of LED's into Tail Lamps with introduction of one or more feature with LED. LED's adopted for giving Signature shape in the Tail Almost all the new models launched were having presence of LED's either for one of the functions or for Signature Lighting All the new models to be introduced are with LED's for having better Aesthetic Appearance and Signature Appearance Lamps LED to drive the future growth 39 99#40Head Lamp - Technology Evolution co Head Lamp with Bulb Projector Head Lamp All LED Head Lamp Head Lamp with bulb + Led DRL LUMAX Head Lamp with LED Projector and LED DRL 2011-13 Head Lamps with Halogen Bulbs with Clear PC Lens with Multi Focal Reflector (MFR) for Light Distribution were introduced in the passenger vehicle segment Indian OEM's introduced Projector Lamps with Halogen Lamps and some features with LED like the DRL (Daytime Running Lights). But Projector Lamps were offered as an option in top variants of the vehicles and not as a standard feature 2014-15 Introduction of Projector Lamps with Halogen Bulbs for new vehicles launched in India by more number of OEM's as standard feature In the later half of 2014 and start of 2015 more number of OEM's shifted focus to introduction of LED's for feature of DRL's and/or signature Lighting Also in 2015 more number of Head Lamps were introduced with LED's for DRL feature with usage of HID (High Intensity Discharge) Bulbs for Projector 2016-17 Almost all the models were introduced either with LED DRL feature or Projector Head Lamp (either with Halogen Bulb or HID Bulb) or with both LED DRL and Projector Head Lamp Headlamps with Signature DRL's or Lighting become a styling feature and were introduced in the vehicles launched in 2016 Later half of 2016 also witnessed the introduction of LED Projector Head Lamps thus leading to more penetration of Electronics and LED into Head Lamps Year 2017 witnessed the transition to manufacturing of Localized LED Head Lamp with Signature DRL and Position 2017-19 The future models which are replacing the existing models are now either with Projector Head Lamp (Bulb) whose predecessor were with Halogen Bulbs and with Projector Head Lamp (with LED) whose predecessors were with Projector with Halogen Bulbs LED to drive the future growth 40 40#41Leveraging on our Strengths for LED Market The Market Scenario by OEMs to individualise & Increased styling demands differentiate Influencing the cost of lighting cluster Partnership with Stanley Electric - Stanley is one of the Auto Lighting company globally to manufacture LEDs Lumax is supplying to almost 90% of OE customers LUMAX Creating revenue opportunities for Tier I suppliers Higher need for Localization of Engineering & Cost Reduction LUMAX Creating The Advantage Strategically located Manufacturing Infrastructure Consistent Investment in R&D Backward integration with PCBMT (Surface Mounting Technology) To gain from Bharat Stage VI 41 =1#42LUMAX Financials DK JAIN GROUP#43Strong Growth in Total Income with Healthy Margins Revenue 5.68% LUMAX Reported EBITDA# +455 Bps 10.23% +13% 1,851.5 1,649.4 1,255.2 1,270.9 1,142.6 178.7 +29% 143.0 831.1 106.8 92.9 64.9 85.5 FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20* PAT 1.45%- +249 Bps +60% 63.2 46.1 37.4 16.6 107.4 3.94% Cash PAT +34% 111.1 87.5 75.3 52.7 32.9 FY15 FY16 FY17* FY18* FY19^* H1FY20* Standalone Results Margins Rs. Crores * Numbers updated as per IND-AS # Including other income 167.7 64.0 FY15 FY16 FY17* FY18* FY19^* H1FY20* ^Includes one-time gain on sale of asset of Rs. 36.20 Crores and the tax paid on the same was Rs. 7.20 Crores, in FY19 43#44Expansion funded through Internal Accruals Gross Block 1,109 68.0 1,047 973 812 760 713 36.0 Long Term Loan LUMAX 22.3 13.0 5.0 2.7 FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20* Capex 162.0 94.0 70.0 52.0 52.0 36.0 0.45 Reducing Long Term Debt / Equity 0.21 0.05 0.06 0.02 0.01 FY15 FY16 FY17* FY18* FY19* H1FY20* FY15 FY16 FY17* FY18* FY19* H1FY20* Standalone Results Rs. Crores * Numbers updated as per IND-AS 44#45Healthy Return Ratios ROE (%) 9.2 21.6 21.1 18.3 18.0 18.0 13.2 ROCE (%) LUMAX 32.0 32.0 28.1 25.6 26.0 FY15 FY16 FY17* FY18* FY19* H1FY20*# FY15 FY16 FY17* FY18* FY19* H1FY20*# 55 FY15 Dividend (% of Face Value) 230 145 120 FY16 FY17* FY18* 350 FY19*^ EPS (in Rs.) 114.9 67.7 49.3 40.0 35.2 17.7 FY15 FY16 FY17* FY18* FY19* H1FY20* ^ Total Dividend includes special dividend of Rs. 10/share on account of income on sale of land and building in FY19 Standalone Results * Numbers updated as per IND-AS ROCE = EBIT / Capital Employed # TTM Basis Capital Employed = Networth + Long term debt including Current Maturity 45#46Q2FY20 Highlights - Consolidated Revenue 505 LUMAX EBIDTA* PAT 8.2% 10.2% 4.1% 4.7% 44 21 42 20 429 Q2FY19 Q2FY20 Q2FY19 Q2FY20 Q2FY19 Q2FY20 # Numbers updated as per IND-AS Rs. Crores * Including other income 46 46#47H1FY20 Highlights - Consolidated 987 Revenue 831 LUMAX EBIDTA* 8.4% 10.0% 4.1% Adj. PAT 4.4% 83 83 41 37 H1FY19 H1FY20 H1FY19 H1FY20 H1FY19 H1FY20 # Numbers updated as per IND-AS Rs. Crores * Including other income 47#48Standalone P&L Statement LUMAX Particulars (Rs. in Crores.) Q2 FY20 Q2 FY19 Y-o-Y H1 FY20 H1 FY19 Y-o-Y Manufacturing Revenue Molds Revenue 385.84 499.59 -22.77% 776.88 967.72 -19.72% 43.19 5.19 54.17 7 18 18.97 Total Operating Revenue (Net of Excise duty) 429.03 504.78 -15.01% 831.05 986.69 -15.77% Other Income Total Income Raw Material Employee Expenses 3.49 432.51 267.65 53.20 10.95 515.72 -16.13% 4.58 11.33 835.63 998.02 -16.27% 335.17 -20.14% 515.62 653.86 -21.14% 55.40 106.34 109.17 Other Expenses 65.57 73.67 128.18 142.61 EBITDA 46.10 51.48 -10.47% 85.50 92.38 -7.46% EBITDA Margin 10.66% 9.98% 10.23% 9.26% Depreciation 15.88 13.81 31.07 27.11 Finance Cost 5.01 3.68 9.65 6.76 PBT 25.20 33.99 -25.86% 44.77 58.52 -23.49% Tax 6.25 6.69 11.89 13.85 PAT 18.95 27.30 -30.58% 32.89 44.66 -26.37% PAT margin 4.38% 5.29% 3.94% 4.48% EPS 20.27 29.20 35.18 47.78 # Numbers updated as per IND-AS 416 48#49Standalone Balance Sheet LUMAX ASSETS (Rs. in Crores) Sep-19 Mar-19 EQUITY & LIABILITIES Sep-19 Mar-19 Non-current assets Equity Property, plant and equipment 550.12 544.12 Equity Share capital 9.35 9.35 Capital work-in-progress 96.30 49.00 Investment property 0.72 0.72 Other equity 355.29 362.90 Intangible assets 4.24 4.61 Sub-total-Shareholders' funds 364.64 372.24 Intangible assets under development 0.00 0.79 LIABILITIES Right of use assets 16.53 0.00 Non-current liabilities Goodwill 9.78 0.00 Financial liabilities Financial assets Investments 5.15 5.15 Borrowings 10.69 0.94 Loans 5.16 5.38 Provisions 21.98 25.25 Others 2.62 2.27 Deferred tax liabilities (net) 8.58 4.34 Other tax Assets 5.23 5.17 Lease liabilities 21.80 0.00 Other non-current assets 44.31 31.99 Sub-total-Non-current liabilities 63.05 30.53 Sub-total-Non-Current Assets 740.15 649.20 Current assets Inventories 170.36 204.15 Current liabilities Financial assets Financial liabilities Investments 0.14 0.14 Borrowings 207.79 136.96 Trade receivables 214.24 221.01 Cash and cash equivalents Trade payables 302.35 380.09 0.72 2.01 Bank balances other than Cash 0.23 0.23 Other financial liabilities 139.84 101.63 Loans 1.08 0.99 Provisions 17.18 12.34 Others 6.89 10.62 Other current liabilities 69.43 80.31 Derivatives 0.19 0.00 Lease liabilities 0.24 0.00 Other current assets 30.51 25.75 Sub-total-Current liabilities 736.83 711.34 - Sub-total Current Assets 424.37 464.91 TOTAL-ASSETS # Numbers updated as per IND-AS 1,164.52 1,114.11 TOTAL - EQUITY AND LIABILITIES 1,164.52 1,114.11 49 49#50Standalone Cash Flow Statement LUMAX Particulars (Rs in Cr) PBT H1 FY20 H1 FY19 44.77 58.52 Adjustments 42.01 27.22 Operating profit before working capital changes 86.78 85.74 Changes in working capital Cash generated from operations Direct taxes paid (net of refund) Net Cash from Operating Activities (50.52) 24.16 36.26 109.90 5.35 9.32 30.91 100.58 Net Cash from Investing Activities (72.82) (82.81) Net Cash from Financing Activities 40.61 (17.00) Net Change in cash and cash equivalents (1.29) 0.77 Opening Cash Balance 2.01 1.24 Closing Cash Balance 0.72 2.01 # Numbers updated as per IND-AS 50#51Consolidated P&L Statement LUMAX Particulars (Rs. in Crores.) Q2 FY20 Q2 FY19 YOY H1 FY20 H1 FY19 Manufacturing Revenue 385.84 499.59 -22.77% 776.88 967.72 YOY -19.72% Molds Revenue 43.19 5.19 54.17 18.97 Total Operating Revenue (Net of Excise duty) 429.03 504.78 -15.01% 831.05 986.69 -15.77% Other Income 1.18 1.08 2.27 1.47 Total Income 430.21 505.86 -14.96% 833.32 988.16 -15.67% Raw Material 267.65 335.17 515.62 653.86 Employee Expenses 53.20 55.40 106.34 109.17 Other Expenses 65.57 73.67 128.18 142.61 EBITDA 43.79 41.62 5.20% 83.19 82.52 0.81% EBITDA Margin 10.18% 8.23% 9.98% 8.35% Depreciation 15.88 13.81 31.07 27.11 Finance Cost 5.01 3.68 9.65 6.76 PBT before Exceptional items & share of profit/ 22.89 24.13 -5.12% 42.46 48.65 -12.72% (loss) of associate Profit from Associates 3.58 1.83 6.68 5.07 Profit before Tax 26.47 25.96 1.95% 49.14 53.72 -8.51% Tax 6.38 5.09 12.50 12.80 PAT 20.08 20.87 -3.78% 36.64 40.91 -10.44% PAT margin 4.67% 4.13% 4.40% 4.14% EPS 21.48 22.33 39.20 43.77 # Numbers updated as per IND-AS 51 554#52Consolidated Balance Sheet LUMAX ASSETS (Rs. in Crores) Sep-19 Mar-19 EQUITY & LIABILITIES Sep-19 Mar-19 Non-current assets Equity Property, plant and equipment 550.12 544.12 Equity Share capital 9.35 9.35 Capital work-in-progress 96.30 49.00 Investment property 0.72 0.72 Other equity 420.94 425.55 Intangible assets 4.24 4.61 Sub-total-Shareholders' funds 430.29 434.90 Intangible assets under development 0.00 0.79 LIABILITIES Investments accounted Using Equity Method 82.70 79.08 Non-current liabilities Right of use assets 16.53 0.00 Goodwill 9.78 0.00 Financial liabilities Financial assets Borrowings 10.69 0.94 Investments 1.60 1.60 Provisions 21.98 25.25 Loans 5.16 5.38 Deferred tax liabilities (net) 22.08 17.22 Others 2.62 2.27 Other tax Assets 5.23 5.17 Lease liabilities 21.80 0.00 Other non-current assets 44.31 31.99 Sub-total - Non-current liabilities 76.55 43.41 Sub-total-Non-Current Assets 819.30 724.74 Current assets Current liabilities Inventories 170.36 204.15 Financial assets Financial liabilities Investments Trade receivables 0.14 214.24 0.14 Borrowings 207.79 136.96 221.01 Trade payables 302.35 380.09 Cash and cash equivalents 0.72 2.01 Other financial liabilities 139.84 101.63 Bank balances other than Cash 0.23 0.23 Loans 1.08 0.99 Provisions 17.18 12.34 Others 6.89 10.62 Other current liabilities 69.43 80.31 Derivatives 0.19 0.00 Lease liabilities 0.24 0.00 Other current assets 30.51 25.75 Sub-total - Current liabilities 736.83 711.34 Sub-total-Current Assets 424.37 464.91 TOTAL-ASSETS 1,243.67 1,189.64 TOTAL - EQUITY AND LIABILITIES 1,243.67 1,189.64 52 # Numbers updated as per IND-AS#53Consolidated Cash Flow Statement LUMAX Particulars (Rs in Cr) PBT H1 FY20 H1 FY19 49.14 53.72 Adjustments 37.92 32.02 Operating profit before working capital changes 87.07 85.74 Changes in working capital Cash generated from operations Direct taxes paid (net of refund) Net Cash from Operating Activities (50.80) 24.16 36.26 109.90 5.35 9.32 30.91 100.58 Net Cash from Investing Activities (72.82) (82.81) Net Cash from Financing Activities 40.61 (17.00) Net Change in cash and cash equivalents (1.29) 0.77 Opening Cash Balance 2.01 1.24 Closing Cash Balance 0.72 2.01 # Numbers updated as per IND-AS 53#54LUMAX Awards & Recognitions DK JAIN GROUP#55Awards & Recognition Stream B LUMAX ICQCC '19 Tokyo Lumax Industries Limited, Bengaluru bagged Gold Award respectively at ICQCC 2019 held at Tokyo, Japan in September, 2019. A total of 368 teams from 13 countries participated in the global Quality Control Circles competition.#56Awards & Recognition SUSTAINING COMPREHENSIVE EXCELLENCE WINNING TOGETHER IN CHALLENGING TIMES MAR SUZUKI VENDOR CONFERENCE 1ST & MAY MAC MATI ZUIVI DER NCE 201 LUMAX Lumax Industries Limited won the Overall Performance (Shield) Award from Maruti Suzuki India Limited in May, 2019.#57Awards & Recognition y Large Category 30 ACMA ACMAT & EXPO 2015 2&30 ACHA ACMA Reen NG LO SIAY CO TO LUMAX Lumax Industries bagged four prestigious awards from ACMA for Manufacturing Excellence, Excellence in Inclusive Growth, Excellence in Technology - Product Innovation and Excellence in Supplier Development in 2019.#58Awards & Recognition NSTITUTE QUALITY -27 Septembe INSTITUTE QUALITY INSTITUTE of QUALITY NSTITUTE QUALITY NATIONAL COMPETITION ON LOW COST AUTOMATION & DI TALISATION, ROBOTS AND AUTOMATIC STITU QUAL INS INSTITUT of QUALITY Sy Tar CH Confederation of Indian Gu CH INS of 0 UTE ALITY CHI CH INS of Q LUMAX Lumax Industries Limited, Dharuhera bagged the Gold Award in Digitalisation Robotics and Automation Category amongst 48 nominees at Low Cost Automation & Digitalisation Robotics and Automation Competition organised by Confederation of Indian Industry in September, 2019 held at Gurugram.#59Awards & Recognition MARUTI SUZUKI ENDO COREN B MARUTI SUZUKI ID COIFERENC INGATESCOO Award received from Maruti Suzuki India Ltd - May 2018 LUMAX /E MARUTI SUZU ROON RE E 2016 For Tier 2 Upgradation For Gujarat Localization For Overall Vendor Performance N XOLLISEE 59#60Awards & Recognition LUMAX Award For New Part Development LUMAX INDUSTRIES LTD. CONGRATULATIONS!! HMSI Awards for New Product Development#61Awards & Recognition LUMAX SML Isuzu Award for Design and Development#62TPM Award 157 PM Ame E OD 187PM Awarile JIPM Award for Excellence in Consistent TPM Commitment Pantnagar Plant, 2019 JIPM-TPM Excellence Award Bengaluru Plant, 2019 LUMAX 62 9#63PM ExcellENCE, TPM Award TPM Awards Ceremony 2014 17 TPM Awards Jimm LUMAX JIPM-TPM Excellence Award Pantnagar Plant, March 2014 JIPM-TPM Excellence Award Bawal Plant, November 2017 63 89#64CSR Initiatives CSR Initiative by LUMAX DK JAIN GROU Career Educ A Career Counselling Prog Implementation Partner UCL Website: India Fuel LUMAX LUMAX Career EduConnect Education Towards its endeavour to give back to society, the group has taken various initiatives towards Education of the underprivileged. Four schools in the NCR region, close to its facilities have been adopted, starting with improving its infrastructure, to facilitating the annual fee so as to ensure a conducive environment for learning and continuity in education. Also provide support towards maintaining good health of the community around its facilities Health 64 64#65For further information, please contact: Company: Investor Relations Advisors: Lumax Industries Limited CIN: L74899DL1981PLC012804 Ms. Priyanka Sharma [email protected] www.lumaxworld.in/lumaxindustries Strategic Growth Advisors Pvt. Limited CIN: U74140MH2010PTC204285 Mr. Shogun Jain / Mr. Pratik R. Shah [email protected]/[email protected] Tel: +91 77383 77756 / +91 97692 60769 www.sgapl.net 65 99 LUMAX