Samvardhana Motherson International Ltd Q4 2023 Earnings Call Transcript

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

Question: Pramod Amthe - Incred Research Services Private Limited - Analyst : First question is with regard to the vision systems. If I were look at your revenue momentum, it looks pretty impressive at 30% Q-o-Q versus your own presentation talking about the muted growth in the regions which you cater. So what is this driving 30% growth on Q-o-Q? Is it more new orders or the content per vehicle has gone up? If you can give more color to be helpful and the sustainability of this momentum.

Question: Pramod Amthe - Incred Research Services Private Limited - Analyst : Okay. And the second question is with regard to the debt, working capital and interest cost. Even though it's interesting to see the net debt coming down by almost more 10%, the interest cost seems to be still elevated and usually moved up by 80%. So is it more the cost going up itself is still a reflection and is it a more sustainable interest cost on a quarterly basis? That's one. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 26, 2023 / 10:30AM, SAMD.NS - Q4 2023 Samvardhana Motherson International Ltd Earnings Call Second is, you are planning to substantially reduce the working capital requirement. So the reduction in net debt (inaudible) is part of that? And what the extent of journey are covered in working capital reduction as the supplies improve? Or you feel there's more headroom available to (inaudible) your working capital?

Question: Amyn Pirani - JPMorgan Chase & Co, Research Division - Analyst : Yes. One clarification and one question. Firstly, you mentioned that the cost pass-through discussions with the OEMs for FY '23 are already done. So does it mean that the impact of that is already being seen in the P&L? Or will you get these recoveries in the coming quarters?

Question: Amyn Pirani - JPMorgan Chase & Co, Research Division - Analyst : Okay. That's helpful. Secondly, on the investments and deleveraging, you mentioned that next year's CapEx is going to be higher, plus you will also have payouts for some of the acquisitions which were already announced in the last few quarters and which will be fully done in the next few quarters. So in that context, how should we think about the deleveraging cycle continuing next year? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 26, 2023 / 10:30AM, SAMD.NS - Q4 2023 Samvardhana Motherson International Ltd Earnings Call