TVS Group Business Report FY ended Mar. 2019
Recent Years
Financial Overview (FY ended Mar. 2019)
Axles India Limited
-In FY ended Mar. 2019, Axles India Limited revenue up by 28.4 % to INR 6,210.5 million against INR 4,838.6 million in years previous. Its sale of Housings to domestic market increased to 263000 numbers in 2018-19 from 219000 numbers in 2017-18. The export sales to Dana USA increased to 47000 numbers from 43000 numbers and export to Thailand and Japan was 3300 numbers during 2018-19 and 4600 numbers in 2017-18.
Harita Seating Systems Limited
-In FY ended Mar. 2019, Harita Seating Systems revenue grew 7.9 % to INR 4,910.2 million against INR 4,547.0 million sales from the previous year. The Company's sales grew in the commercial vehicle segment and in the bus passenger seats new product launches in North India. The Company continues to strengthen its position in export markets and has won significant new orders from overseas customer.
India Nippon Electricals Limited
-In FY ended Mar. 2019, India Nippon Electricals Limited grew 12.7% to INR 5,395.5 million against INR 4,787.7 million sales from the previous year. The Company's sales grew because of increase in market share of its customers pan India, robust growth in sales of higher value of BS VI products and higher value of business from three-wheeler segment.
Sundaram Brake Linings Limited
-Revenue in FY ended Mar. 2019, the company sales grew by 14.3% to INR 2,862.6 million against INR 2,504.9 million in years previous. It registered a growth of 13% in domestic OE segment from increased CV block sales. This resulted from increased CV production and enhanced share of business-especially in the bus CV segment
Sundram Fasteners Limited
-In FY ended Mar. 2019, the company increased its revenue by 17% year-on-year to INR 40,023.4 million against INR 34,197.9 million in FY ended Mar. 2018. For the first time, the company’s operating revenue has crossed the milestone of INR 40,000 million mark. The increase in the production of commercial vehicles led to improved domestic sales. The Company’s focus on new product development enabled improvement in the market share across customer segments.
Sundaram-Clayton Limited
-Revenue in FY ended March 2019 increased by 9.4% to 19,329.4 million against INR 17,667.4 million in years previous. During the year, there has been an unexpected increase in demand from the customers.
TVS Srichakra Limited
-Revenue in FY ended March 2019 increased by 7.9% to 23,931.8 million against INR 22,180.3 million in years previous. During the year, there has been an increase in demand for tyres from the OEM segment
Wheels India Limited
-Revenue in FY ended March 2019 increased to INR 31,888.4 million against INR 25,171.4, 26.7% higher than previous year. It registered a strong growth in the air suspension business, lift air suspension, demand for cast aluminum wheel and export segment.
Technological Alliance
Brakes India Limited
-In July 2010, TRW Automotive announced a technology partnership with Brakes India Limited (BI). TRW intends to license slip control systems (SCS) technology to BI to enable them to manufacture and provide development capabilities in India. At present, TRW exports complete ABS and electronic stability control (ESC or VSC) units to India. BI was formed as a joint venture between TRW and the TVS Sundram Group in 1962. (From a press release on July 13, 2010)
Lucas-TVS Limited
-Usui Kokusai Sangyo signed a Technical Assistance Agreement for fan drives with Indian automotive supplier Lucas-TVS Limited in March 2010. Lucas-TVS is headquartered in Chennai and manufactures motors, alternators, engine cooling fans and ignitions. (From a press release on June 11, 2010)
Business Partnership
Topy Industries, Ltd.
-In July 2017, Topy Industries, Ltd. (Topy Industries) announced that it will establish a joint venture with Wheels India Limited (WIL) in India to manufacture and sell steel wheels for passenger cars. WIL will split off its passenger car steel wheel business from the Bawal Plant in Haryana, northern India, and the Padi Plant in Tamil Nadu, southern India, and establish the new company WIL Car Wheels Ltd. (WCWL). Topy Industries will acquire a 26% stake in WCWL.
ZF Electronics TVS
-In August 2009, US-based CTS Corporation and ZF Electronics TVS (India) Private Limited - ZF Electronics TVS - entered into a marketing agreement. Under the agreement CTS will sell its products including rotary and linear position sensors and other electronic components in India, with an initial focus on the 4- and 2-wheeler automotive markets. ZF Electronics TVS, a joint venture between the Group and ZF Electronics Corporation of Germany, manufactures switches, sensors and other components for several segments, such as automotive, in India. (From a press release on August 19, 2009)
Awards
Harita Seating Limited
-During FY ended March 2019, the company was recognized and rewarded by the following customers:
- TAFE
- John Deere
Sundaram Clayton Limited
-During FY ended March 2019, the company was recognized and rewarded by the following customers:
- Hyundai Motor India Limited - Best production support
- Cummins - Rating of O - Outstanding supplier
Sundaram Fastner Limited
-During FY ended March 2019, the company was recognized and rewarded by the following customers:
- TAFE - Best Supplier Award for Quality & Reliability
- General Motors - Supplier Quality Excellence Award from
- Navistar - Diamond Award
- Maruti Suzuki - Human Resources award
Turbo Energy Limited
-During FY ended March 2019, the company was recognized and rewarded by the following customers:
- SML Isuzu – Supplier Quality and Field support
- Mahindra & Mahindra – New product development
- SML Isuzu – New product development
R&D Activities for FY ended March 31, 2019
Axles India Limited
-In FY ended Mar. 2019, Axles India Limited continues to innovate and increase its technology deployment to meet the requirements of its customers in various industry segments and will continue its efforts towards yield improvement, resource optimization and improved performance of its products. It has capability to design and test Axle Housings that perform satisfactorily under Indian Operating conditions. Axle Housings that are exported are made to customer designs.
Harita Seating Systems Limited
-In the FY ended March 31, 2019, Harita Seating Systems had an R&D expenditure of INR 107.5 million.
-The following are specific R&D activities that Harita Seating Systems carried out in the FY ended March 31, 2019:
- 18 inch single pan seat developed
- Pneumatic suspended driver seats for trucks & buses
- Mechanical suspended driver seat developed for trucks
- Staff bus seats developed
- Deluxe seats developed;
- 2R Suspension kit development; and
- X700 suspended seat development
India Nippon Electricals Limited
-R&D expenditure for FY ended March 2019 was INR 93.4 million.
-The following are specific R&D activities that India Nippon electrical Limited carried out in the FY ended March 31, 2019:
- Existing product development, VA/VE, adjacent products
- Development of BS-VI components
- Development of display sensors and high efficiency converters
Sundaram Brake Linings Limited
-In the FY ended March 31, 2019, Sundaram Brake Lining Limited had an R&D expenditure of INR 99.6 million.
-The following are specific R&D activities that Sundaram Brake Lining Limited carried out in the FY ended March 31, 2019:
- Developed and obtained approval from domestic OEMs for Drum Brake Lining for Heavy commercial vehicle and defence vehicle applications with enhanced axle loads.
- Developed and obtained approval from domestic OEMs for Drum Brake Lining for Light commercial vehicle applications.
- Developed and added new features to android based vehicle data acquisition system
- Developed high damping composite matrix technology for meeting end user NVH requirements without compromising performance and life
Sundram Fasteners Limited
-R&D expenditure for FY ended March 2019 was INR 147.8 million. The following are specific R&D activities that Sundram Fasteners Limited Limited carried out in the FY ended March 31, 2019:
- Mechanical Descaler” technology has been adopted as a green initiative in place of acid pickling process.
- Development of Electric Water Pump Engine Brake System and version of water / oil pumps in order to be compliant to BS VI norms.
- Development of net shape light weight sintered parts.
- Development of light weight fasteners.
- Development of fasteners for new applications
Sundaram-Clayton Limited
-In FY ended March 2019, the company invested INR 81.0 million as R&D expenditure.
-The following are R&D activities that Sundaram-Clayton completed during the FY ended March 31, 2019:
- Developed 22 new aluminum die cast products for automotive applications.
- Established state-of-the-art CT scan facility to reduce new product development lead time.
- Developed Abrasive Flow Machining (AFM) process to improve surface finish on a specific product
- Improved material yield in die casting through design optimization. (v) Established semi-solid casting
- Establish thermal design for High Pressure Die Casting (HPDC) and Gravity Die Casting dies to control thermodynamics and kinetics during solidification
- Development of semisolid casting (GISS) for identified parts to improve casting quality
- Establish water free die lubrication in one die casting cell
- Established Scanning Electron Microscope (SEM) facility and procedure to evaluate casting metallurgy.
Wheels India Limited
-In the FY ended March 31, 2019, Wheels India spent a total of INR 156.1 million on research and development.
-The following are R&D activities that Wheels India completed during the FY ended March 31, 2019:
- 414 new products were developed and 6 new patents were filed
- New structured product development process to design, develop, validate wheels and handover to the production team
TVS Srichakra
-In the FY ended March 31, 2019, TVS Srichakra spent a total of INR 301.3 million on research and development.
-The following are R&D activities that TVS Srichakra completed during the FY ended March 31, 2019:
- Introduction of new simulation technique to predict performances of tyres and capability improvement activities for consistent product quality
- Development of products for all ranges of motorcycle and scooter segment
Investment in India for FY ended March 31, 2019
Axle india
-The Company has entered into lease agreement for land near Jamshedpur for the purpose of putting up a production facility for Axle Housing supply to TATA Motors plant at Jamshedpur as TATA Motors are a large customer for its Axle Housing.
India Nippon Electricals Limited
- The company purchased land to set up Advance Engineering Centre.
- The company has progressed in setting up of a New R&D Centre with state of the art facilities for Performance and Emission testing of two wheelers, three wheelers and general purpose engines.
Sundaram-Clayton Limited
-Sundaram-Clayton Ltd. inaugurated its new foundry at Oragadam, near Chennai, in Tamil Nadu. It has been set up with an investment of over INR 1.5 billion. This major capacity expansion aims to meet the rapidly growing demand for its products from the automotive industry and will primarily serve Hyundai Motor India.
Sundaram Fastener Limited
- During the year, the company’s third unit at the Special Economic Zone, Mahindra City, commenced commercial production. The unit will cater to the supplies of high precision components to auto industry.
- The company incurred INR 4.2 billion towards capital expenditure on existing and new projects. The capital expenditure was incurred in order to augment capacities for meeting the increase in volume of business and in tandem with production plans of key customers.
- Sundram Fasteners (Zhejiang) Ltd (SFZL), operating in Zhejiang, China has established a state of the art foundry facility with an initial capacity of 10,000 tons as a part of backward integration to SFZL's products
Wheels India Limited
-WCWL, a JV of its subsidiary with Topy Industries for its passenger car steel wheels business, is starting production at the new passenger car steels wheels plant at Vanod, Gujarat. This new plant has the capacity to manufacture 1.5 million passenger car steel wheels.
The company signed a Memorandum of Understanding with the Government of Tamil Nadu towards its future plans.