August 12, 2023

SEL/SEC/ 2023-2024/36

BSE Limited

National Stock Exchange of India Ltd

Department of Corporate Services

Exchange Plaza, C-1,Block-G,

P. J. Towers, 25th Floor, Dalal Street,

Bandra Kurla Complex, Bandra (E)

Mumbai- 400 001

Mumbai- 400 051

Ref: 532509

Ref: SUPRAJIT

Dear Sirs,

Sub: Press Release

Please find enclosed Press Release dated August 12, 2023.

Kindly take the aforesaid information on record in compliance of SEBI (Listing Obligations and Disclosure Requirements), Regulations 2015.

Thanking you,

Yours faithfully,

For Suprajit Engineering Limited

MEDAPPA

GOWDA JANTIKAPU

Digitally signed by

MEDAPPA GOWDA JANTIKAPU

Date: 2023.08.12 15:05:45 +05'30'

Medappa Gowda J CFO & Company

Encl: as above

PRESS RELEASE

FINANCIAL RESULTS AND BUSINESS UPDATE - 12th August 2023

Unaudited results for the quarter ended :

(Rs. In Million)

CONSOLIDATED

June 2023

June 2022

Growth

Amount

%

Amount

%

OPERATING REVENUE (Net of taxes)

6796.83

6451.84

5.35%

EBITDA (Operational)

743.60

10.94%

565.84

8.77%

31.41%

STANDALONE

June 2023

June 2022

Growth

Amount

%

Amount

%

OPERATING REVENUE (Net of taxes)

3332.26

3366.25

(1.01%)

EBITDA (Operational)

590.90

17.73%

514.77

15.29%

14.79%

Suprajit Controls Division

June 2023

June 2022

Growth

(SCD)

Amount

%

Amount

%

OPERATING REVENUE (Net of taxes)

3493.86

3237.28

7.93%

EBITDA (Operational)

250.27

7.16%

153.49

4.74%

63.05%

Domestic Cable Division (DCD)

June 2023

June 2022

Growth

Amount

%

Amount

%

OPERATING REVENUE (Net of taxes)

2398.33

2379.38

0.80%

EBITDA (Operational)

423.40

17.65%

366.33

15.40%

15.58%

Phoenix Lamps Division

June 2023

June 2022

Growth

Consolidated (PLD)

Amount

%

Amount

%

OPERATING REVENUE (Net of taxes)

876.76

835.17

4.98%

EBITDA (Operational)

70.37

8.03%

46.02

5.51%

52.92%

Suprajit Electronics Division

June 2023

June 2022

Growth

(SED)

Amount

%

Amount

%

OPERATING REVENUE (Net of

27.89

-

-

-

taxes)

EBITDA (Operational)

(0.44)

(1.58%)

-

-

-

Above Operational EBITDA is without considering all non-operational income/ expenses on forex gain/ loss & acquisition expenses.

2

PRESS RELEASE

Group Debt Level (Rs. in Million) & Investments :

PARTICULARS

June-23

Mar-23

Short Term

2,832

3,769

Long Term

3,295

2,648

TOTAL

6,127

6,417

Investment in Mutual Funds / Bonds

4,872

4,451

Sector and Geographical Transformation:

BUSINESS UPDATE:

  • The overall Indian automotive segment grew at 2.8% during first quarter of 2023-24. Against this the consolidated quarterly operational income increased to Rs. 6796.83 Million from Rs. 6451.84 Million a growth of 5.35%
  • The operational EBITDA on a consolidated basis increased to Rs. 743.60 Million from Rs. 565.84 Million, a growth of 31.41%.
  • Both consolidated and standalone margins have improved compared to Q1 of last year.
  • High interest rates and inflation continue to impact the global economy leading to recessionary trends. This is felt significantly in the non-automotive part of the business with consumers postponing discretionary purchases like outdoor power equipment, power sports vehicles, etc.

3

PRESS RELEASE

  • While the global automotive industry did not grow in this quarter, Suprajit grew its business well, due to significant new businesses won and productionised.
  • Domestic revenues remained flat due to seasonal trends in the aftermarket.
  • As informed in the last business update dated 29th May 2023, the group's business is now regrouped under 4 divisions and the performance of the individual divisions has been reported as above. A commentary on each division is provided hereunder.

DIVISIONAL HIGHLIGHTS FOR THE YEAR:

Suprajit Controls Division (SCD) :

SCD comprises of automotive and non-automotive exports from India and businesses outside of India, through Unit 9 /SAL / SEU/ Wescon/ LDC entities, including Shanghai Lonestar, Suprajit Hungary and Suprajit Mexico.

  • SCD had a business of Rs. 3493.86 Million against Rs.3237.28 Million, a growth of 7.93%
  • Operational EBIDTA improved to Rs.250.27 Million from 153.49 Million, an increase of 63.05%
  • Shanghai Lonestar growth suffered due to significant cutbacks from select non- automotive customers. This is due to macroeconomic factors and expected to continue for a few more quarters.
  • Wescon and Unit 9 had a negative growth due to significant drop in the north American non-automotive business. Some customers reduced offtake by up to 50% and new business wins were not sufficient to compensate for such significant cutbacks.
  • This division faced certain unfavorable currency movements.
  • The operations at Matamoros and Siófok had double-digit revenue growth, due to new business wins.
  • SAL and SEU had strong double-digit growth, due to new wins.
  • Integration of all the divisions within SCD is progressing well. Joint marketing efforts have led to significant new business wins and will lead to robust growth in coming years.
  • The strategy of "One Suprajit" as a global platform for control cables and actuation is leading to a strong customer acceptance despite the weak global market.
  • A list of new wins in cables and Electro Mechanical Actuators (EMA) with annual and lifetime potential is tabled below.

4

PRESS RELEASE

AUTOMOTIVE WINS (For the Last 1 Year):

(in US$ Million)

Note : 1. Estimated value based on customers' projections and subject to change.

  1. These projects are expected to go into production in the coming 1-3 years with different start dates.
  2. Actual volumes will be as per customer requirements at the start of commercial production.
  3. This is a one-time disclosure only to provide an insight on business wins under the new division.

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Suprajit Engineering Limited published this content on 12 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 August 2023 10:04:06 UTC.