Shriram Pistons & Rings Ltd Q2 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Hello sir. Am I audible?

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Am I audible?

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Give me a second. Is better?

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : So, sir my question is around the second half expectations that we put out in the press release. So from the channel checks, we understand that the retails as on date have been flat for the EVs, for the two wheelers as well. I mean, they're doing relatively better but not so great. So going forward, there are a lot of comments around the OEMs also cutting down the production. So I just wanted to understand how do you see that panning out for you as a company in the second half of the year? Thank you.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Sir, if I may squeeze in another question.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Yeah. So the Bajaj two wheeler CNG, if I'm not wrong, we would be the suppliers, right? For the Bajaj Freedom 125.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : You are the sole supplier, correct. So I just wanted to understand how has the response been to that product particularly because from what we see, the retails have not been picking up as much as probably the company wanted to. So how is the outlook for that in '24 the second half again? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 28, 2024 / 12:30PM, SHIE.NS - Q2 2025 Shriram Pistons & Rings Ltd Earnings Call

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Okay. I think -- I'll call back in the future. Thank you and best of luck.

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : Hi, sir. First congrats on a good set of numbers. So my first question was if we look at our performance versus industry clearly, we've really, really outperformed industry, especially if we compare it to the passenger vehicle growth number, of the industry was I think flattish during the quarter YoY. So what would be the bigger factors leading to this our performance? Would it be due to growth in other segments like the two wheelers or would it be some market share games happening in passenger vehicles or maybe just that some of the OEMs we are present in within passenger vehicles have done better than the industry. Like if you can just get two, three bigger factors which would have led to this outperformance.

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : And so this kind of like when you grew by 17% against flattish volumes, and EV, if this was supposed to continue the volume trend in the industry. So how confident are we that will still be able to -- maybe a bit different is fine but we'll be able to sustain such kind of our performance. Are we fairly confident we can continue on this trajectory?

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : Understood and so sorry, one question was on -- I see that we do not really share the segment wise revenue split in terms of two wheeler contribution in terms of passenger vehicles and all. So could you give a very broad level sense on the revenue segment base for us?

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : No, there are revenue split sir, like not the growth number more on the like the revenue contribution by different segments, revenue contribution for us from two wheelers, from passenger vehicles, from commercial vehicles.

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : All right, and last question from my side would be if some sense on the realization for the a product across maybe two wheelers and four wheelers, very, very rough sense.

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : Sir, just can you hear me now?

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : Hello? Yeah, I'm just saying if you can give a very rough sense on the kind of realization of product commands in the two wheeler industry and the four wheeler industry, just some very rough range of realization, I'm just trying to model in the numbers. So. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 28, 2024 / 12:30PM, SHIE.NS - Q2 2025 Shriram Pistons & Rings Ltd Earnings Call

Question: Pradyum Chaudhary - JM Financial Family Office - Analyst : Well understood. Thank you all and all the best.

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Yeah, hi, good evening, sir. Am I audible?

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Congratulations, sir on the out performance. And also effective greeting that have Diwali. Just wanted to understand, sir, would you be able to give us the a revenue split which you've given on slide number 10 for this quarter? Like in terms of aftermarket exports, OEMs, non automotive application.

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Okay. But any kind of growth you can give on the after market or export front or that also you can't? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 28, 2024 / 12:30PM, SHIE.NS - Q2 2025 Shriram Pistons & Rings Ltd Earnings Call

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Right, sir. And I think you have commented on the export market that the demand appears be on one of the slides. So you can just throw a bit more light over there, would that impact our growth or revenue numbers any?

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Fine, sir. Understood, sir.

Question: Sahil Sanghvi - Monarch Network Capital - Analyst : Thank you, sir. Congratulations. All the best sir.

Question: Abhishek Shah - Ambit Capital - Analyst : Good evening, sir. And thank you for taking my question. So I had a couple of questions. Firstly, on the margin, so as I can see, standalone, our margin seem to have a group. However, on a consol basis, I think we've seen a slight margin contraction. So any insight or any color that you can give on that. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 28, 2024 / 12:30PM, SHIE.NS - Q2 2025 Shriram Pistons & Rings Ltd Earnings Call And my second question is on the debt. So we do still carry a reasonable amount of debt on the balance sheet. And we also have I think a larger cash balance. So any plans on repayment or how are you thinking about that? Thank you.

Question: Abhishek Shah - Ambit Capital - Analyst : Sure, thank you.

Question: Rithik Fail - Daksha Capital Advisors Private Limited - Analyst : Yeah. Thank you for the opportunity. Sir, can you provide me insights into the current demand trajectory and market size for EV motors and controller systems? And what growth is, are you expecting in coming years from this segment, that is EMFi.

Question: Rithik Fail - Daksha Capital Advisors Private Limited - Analyst : Okay, sir. And are you initially focusing more on two wheeler and three wheelers?

Question: Rithik Fail - Daksha Capital Advisors Private Limited - Analyst : Yeah. Okay. Understood. Thanks. I'll get back in queue.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Yeah. Thank you for taking my question again. So I just had a couple of questions. If I could squeeze in, one would be the CapEx for the current year. And if you could just broadly highlight the areas that they, that we're going to invest in.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Okay. And secondly, I think we have highlighted that we are also looking at non Japanese customers for Takahata. So any breakthrough on that side in the current quarter?

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Okay, sir. And sir lastly would be on the EMFi side or any new order bills that you would like to call out.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Okay. So and I mean, how would the execution pan out for these orders if you could give a better idea.

Question: Nandan Pradhan - Emkay Global Financial Services - Analyst : Okay, sir. So I think that answers my questions. Thank you so much. Good luck.