Description
analysis Mahindra & Mahindra, its business structure and SWOT analysis. It also includes automobile sector scenario in India, farm equipment sector in India.
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 group’s 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 India’s 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 India’s 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 Renault’s 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, Satyam’s acquisition fruitful ? Mahindra financial services is India’s 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
doc_714806488.pptx
analysis Mahindra & Mahindra, its business structure and SWOT analysis. It also includes automobile sector scenario in India, farm equipment sector in India.
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 group’s 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 India’s 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 India’s 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 Renault’s 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, Satyam’s acquisition fruitful ? Mahindra financial services is India’s 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
doc_714806488.pptx