Sundaram-Clayton Limited
Sundaram-Clayton Limited
Structure of presentation
1. About TVS group
2. About Sundaram Clayton (SCL)
a. Overview
b. Manufacturing
c. Products
d. Customers
e. Strength
f. Financials
2
Sundaram-Clayton Limited
1. TVS history & Group Journey
3
• Established in 1911
• Revenue of US $ 7 bn
• One of the largest auto component group in India
o 33 companies and 32,000 employees
• Diversified portfolio – 2 wheelers, vehicle dealership and logistics
T V Sundaram Iyengar
TVS history TVS group journey
2013
Sundaram-Clayton Limited
2.a Sundaram Clayton – Overview
• Part of USD 7 Billion TVS Group of companies, the largest automotive component manufacturing and distributing group in India
• Started the die casting division in 1968
• World Class manufacturer of precision aluminum cast products catering to the needs of the automotive industry
• 4 manufacturing locations in Tamil Nadu with casting capacity of over ~50000 tons p.a.
• 45% of the product is exported to prestigious customers world wide
• Have world Class customers like Cummins, Volvo, Daimler, Wabco, ZF, Hyundai, Ford, BMW, Honda, Tata Motors and TVS Motors.
• Segmental Sales Break up
oHCV’s – 50%
o2 Wheelers – 20%
oPassenger Cars – 30%
4
Sundaram-Clayton Limited
• In-house die design
o 30 Engineers
o Advanced software for flow, fill & solidification
simulation and gating design
• Quality assurance system
o Infrared thermography
o Spectrography
o Radiography
o Thermo Regulation & Jet Cooling
o Partial Squeeze & Vacuum assist
• In-house die maintenance
2.b Die Design & Proving - Manufacturing
5
Sundaram-Clayton Limited
• 24 melting furnaces
• 81 High Pressure Die-casting cells in
the range of 250 T to 3200 T
• 47 Gravity station cells
• 18 Low Pressure Die-Casting stations
• 300 machining cells
• Sub assembly station
2.b Die casting and Machining - Manufacturing
6
Sundaram-Clayton Limited
Quality assurance system
• Spectroscope
• Radiography and Thermography
• CMM
• Millipore Tester
• 3D CMM & Laser Scanning
Accreditation
• ISO / TS 16949
• Ford Q1
• IMS (ISO & OHSAS)
• TPM Excellence Award
• IMEA Award for Manufacturing Excellence
• Several awards from customers on quality, delivery and New product development
2.b Quality assurance and accreditation - Manufacturing
7
Sundaram-Clayton Limited
2.b Global value chain - Manufacturing
8
• 4 Manufacturing plants in India • On-site support o 3 Regional offices in USA,
Sweden & Germany • JIT supplies to customers o 17 Third party Logistics‘ (3PL)
locations o 9 Customer-managed
warehouses
Plant Location Casting Machining
I Chennai - Padi
II Chennai - Mahindra World city (SEZ)
III Hosur - Belagondapalli
IV Chennai - Oragadam
Sundaram-Clayton Limited
2.c Products : Castings for Heavy trucks
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Casting weight from 250 gms to 25 kgs
Sundaram-Clayton Limited
2.c Products : Castings for Automotive
10
Casting weight from 400 gms to 11 kgs
Sundaram-Clayton Limited
2.c Products : Castings for 2 wheelers
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Casting weight from 500 gms to 5 kgs
Sundaram-Clayton Limited
2.d Customers
Indian OEMs Indian Tier 1 Global
12
Sundaram-Clayton Limited
2.e SCL – Strengths
Association with the TVS Group (100 years of lineage, Strong customer centricity, Trust, Value, Service, Exactness)
Diverse Product Portfolio (One strop for die casting)
Strong Customer Relationships (Preferred supplier status)
Superior Research & Development & Technological Capabilities
Design & Manufacturing Capabilities (250 gms to 25 kgs)
Strong Management Team
2
4
6
1
3
5
13
Sundaram-Clayton Limited
2.f Financials
14
4,927
8,057
10,170 10,186
11968
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
FY10 FY11 FY12 FY13 FY14
Net Sales (Rs Mn)
718
1,078
1,667
1,279 1,497
13% 13%
15%
12%
12%
0%
4%
8%
12%
16%
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
FY10 FY11 FY12 FY13 FY14
EBITDA (Rs Mn) & EBITDA Margin (%)
PAT (Rs Mn) & PAT Margins (%)
124
373
723
354
537 2.3%
4.5%
6.7%
3.4%
4.3%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
0
100
200
300
400
500
600
700
800
FY10 FY11 FY12 FY13 FY14
* = Includes exceptional income of Rs. 253 mn and Rs. 58 mn. in FY12 and FY14 respectively
Networth (Rs Mn) with RoE (%)
2,443 2,602 2,825 2,921 3,436
5.1%
14.3%
25.6%
12.1%
15.6%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
FY10 FY11 FY12 FY13 FY14
Sundaram-Clayton Limited
Thank You
No part of this presentation is to be circulated, quoted, or reproduced for any distribution without prior written approval from Sundaram-
Clayton Limited, “Jayalakshmi Estates”, No.29, Haddows Road, Chennai – 600 006, Tamilnadu, India. Certain parts of this presentation describing estimates and future plans may be “forward looking statements” within
the meaning of applicable laws and regulations. Actual results might differ materially from those either expressed or implied. This material is
not a complete record of the discussion.