Industries Ltd.
Current Products 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 EYE MOUNTED SPRING PROGRESSIVE SPRING 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 Jamshedpur Assembly Plants Uttranchal Products Leaf Spring Light Parabolic Markets OE India AM India 5 Cities 2 Products 2 Markets
Markets Positioning Vikrant, 3% Soni Auto, 4% Friends, 12% Toyo, 13% Indian OEM Market Others, 4% Jamna Auto, 64% Undisputed market leader in India and 4 th largest player globally one of the few Indian players with such world scale Global leaf market: Scale Manufacturing capacities steadily moving from N America and Europe into low-cost Asia 1980s MT # 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 9 Sarfedern Germany 20,000 10 Johns Woodhead UK 10,000 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
JAI Growth Plan Medium Term Short Term
Short Term 15000 Mts 1. Production 11500 Mts 750 Mts 2. Light Parabolic 600 Mts 900 Mts 3. Heavy Parabolic 350 Mts 4. Others Value Adds a) Steel Saving b) Finance Cost Reduction c) Jamshedpur Freight Saving d) Jamshedpur Plant Starting
Jamna Business Model
Medium Term 1 Markets OE India- SOB* After Market India After Market Export OE Export * Share of Business
Medium Term 2 Products Heavy Parabolic/Z Spring Suspension/Lift Axels U Bolt Stabilizer Bar * Share of Business
Medium Term 3 Locations Main Plants Malanpur- Unit 2 Chennai- Unit 2 Pune Assembly Plants Adityapur Indore Hosur Lucknow * Share of Business
JAI s Expanding Horizons Locations Products Markets Yamuna Nagar Malanpur-2 Units Chennai-2 units Jamshedpur Pune Uttranchal* Hosur* Lucknow* Adityapur* Indore* Leaf Spring/Light Parabolic Heavy Parabolic/Z Spring Air Suspension Lift Axle U Bolt Stabilizer Bar Trucks Buses Trailers OE India AM India AM Export OE Export Largest Leaf Spring Capacity in the World by Oct 2011 Largest Parabolic Spring Capacity in the World by Oct 2012 8 Cities 8 Products 4 Markets * Assembly Plant
1. Adding New Markets Jai Market Share in Indian OE goes up 66% to 75% Capacity Technology Logistics 2. JAI Total OE Sales go down from existing 91 % to 70% in next three year because of market diversification. Diversifying our Market by adding New Markets OE Export After Market Export After Market India Would contribute 30 % of Jai Sales JAI Today Sales JAI Future Sales Plan Others 9% OE India 91% Others 30% OE India 70%
Jai Business Model Our Business will be understood in terms of:- PRODUCTS MARKETS LOCATIONS Our Company will Aspire to be Known as :- 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 8 Cities 8 Products 4 Markets
Jai Logistics Presence Yamuna Nagar Uttranchal Lucknow Gwalior Jamshedpur Pune Hosur Chennai 1.Gwalior 2.Chennai 3.Yamuna Nagar 4.Uttranchal 5.Jammshedpur 6.Pune 7.Lucknow 8.Hosur Advantage Existing Indian OE Existing International OE New International OE Jai Customer Base 1.TATA 1.Logistics 2. Capacities 3.Cost Logistics Parabolic 4.Technology CVs 2.Leyland 3.Eicher E Coat 5. Products Range 6. De risking-strength 1. VOLVO- Chennai 2. Force Man 3. TACO 4. AMW 1. NAVISTAR-Chennai 2. DAIMLER-Chennai 3. HINO 4. MBI 1.SML 2.FML LCVs 1.Maruti 2.Ford MVs 1. NISSAN 1. M&M (New for Jai)
Offices 2 Jai Logistics Presence Depots Dealers 22 878 Field Person Locations 33 Heavy Parabolic Spring -2515 After Market Network used for educating customers about Parabolic spring advantage by conduction seminars and meetings 15
JAI Total Suspension Solution Provider Present 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 Future Tata Ashok Eicher Volvo Mazda Mann Navistar Daimler Force M&M After Exports Exports 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 16
JAI Total Suspension Solution Provider Companies/P roducts Rassini Hendricks on NHK Styria Rejna Uzel Ridewell SAF ZF JAI Leaf Spring Parabolic Spring Air Suspension U Bolts Stablizer Bars 17
JAI Financials Company s Aim:- Net Worth = Net Block by March 2012 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 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
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