Flow of the presentation

1. 2. 3. 4. 5. 6.

7.

Introduction to Mahindra Group Financial Performance Automobile sector Farm Equipment Sector Other sectors SWOT Future Plans

Introduction
Mahindra Group Founded in 1945 as Steel trading company Entered Automobile Industry in 1947 US $12.5 Billion group More than 1 Lakh employees in 100 countries Chairman: Keshub Mahindra, VC& MD: Anand Mahindra Mahindra & Mahindra Ltd is groups flagship company with 110 Subsidiaries, 7 Divisions

Segments
Automotive
Farm Equipment IT Services

Financial Services
Steel Trading and Processing Infrastructure Hospitality Systech

Revenues
Automotive Systech , 11.32% Others, 6.25% Financial Services, 5.61% Automotive, 40.35% Farm Equipment

IT Services , 7.07%

IT Services

Financial Services

Others

Farm Equipment, 29.40%

Segment wise total revenue F-2011

Source: Annual Report - Mahindra & Mahindra website

Systech

Financial performance
Total Revenue: Rs 36, 847 Crores
26.6%

25000 20000 15000

27.51%
2010 2011

10000
5000 0 Net Income Profit after tax

Automobile Sector

Automobile Sector in India

GDP : 4% in 2009, to rise to 10% in 2016

India is world's second largest manufacturer of

motorcycles Seventh largest in the world for passenger car and commercial vehicles Asia's fourth largest exporter of passenger cars, behind Japan, South Korea, and Thailand. Export Destinations: USA, Germany, Italy, UK, Srilanka

Automobile Sector in India

Indian Automobile Industry: Market Share
9%

Two Wheelers
16% Passenger cars 75% Commercial Vehicles and Three wheelers

Tata Motors Maruti Suzuki Hyundai Motor India Mahindra & Mahindra

Mahindra & Mahindra Ltd

Market Share Commercial Vehicles 10.01% Passenger Vehicles 6.50% Three Wheelers 1.31% Maruti suzuki market leader in the passenger car segment with more than 40% market share Leader in MUV market with a market share of 61% Bolero is Indias largest selling MUV since 5 yrs Volume growth of 62.2% in overseas market

Farm Equipment Sector

Farm Equipment Sector in India

Agriculture forms 17% of Indias GDP
Products: Tractors, Crop Harvesting, Rice farming,

Sugarcane farming solutions Less than 10 percent of all farmers own tractors Exports, primarily of tractors, have been a key driver for growth in the sector

Mahindra & Mahindra Ltd

Manufacturing tractors since 1960 One of top three Manufacturers of tractors in the world Mahindra is the top-selling tractor brand in the world by

volume. Market leaders in India with market share of more than 40% Sold in more than forty countries across six continents M&M bought out Renaults 49 per cent equity stake in Mahindra Renault Private Ltd Competitors: Kubota, Deere & Company

Other Sectors

Other sectors
Systech, IT Services, financial Services, Steel Trading and

Processing, Infrastructure and Hospitality Systech segment faced challenges on account of the global meltdown Revenues for Tech Mahindra crossed 1 Billion for the first time, Satyams acquisition fruitful Mahindra financial services is Indias largest non-banking financial services company

Mahindra & Mahindra Ltd

Strengths Leader in MUV sector Bolero is largest selling model for 5 yrs Best seller in tractors Low labour cost Opportunities Small car segment has a big market in India Govt has relaxed duties for small car segment Only 10% of farmers own tractors in India. Untapped market Crisil has projected the tractor industry to grow by 60%

Mahindra & Mahindra Ltd

Weaknesses Perceived as big car brand Has a 1% Market share in 2 wheelers with 75% market Threats Increased interest rates & fuel prices Major competition in the small car segment

Future Plans & Recent News

Plans to make and sell utility air vehicles Plans to make compact model of Verito, to be launched by

December Mahindra Satyam has been selected by Insurance Regulatory and Development Authority of India (IRDA) for developing IT solution Acquired a 70% stake in Ssangyong Motor Company Limited Acquired stakes in Reva Electric Car Company Private Limited, Gipps Aero Investment Pty. Ltd and Aerostaff Australia Pty. Ltd