### **Company Overview** Suprajit Engineering Limited is India’s largest manufacturer of automotive control cables and halogen bulbs, with an annual global capacity of **400 million cables** and **110 million halogen bulbs**. The company serves a broad base of global OEMs and Tier 1 suppliers across passenger vehicles, two-wheelers, off-highway vehicles, and non-automotive segments. With operations spanning **four continents**, including 18 manufacturing plants in India and 6 overseas plants (USA, Mexico, Hungary, Morocco, China), Suprajit has established a globally integrated footprint supported by **centralized R&D**, **localized engineering**, and a robust **onshore-nearshore-offshore manufacturing model**. The company operates four strategic business divisions: - **Domestic Cable Division (DCD)** – Core cable business with expansion into adjacent products. - **Suprajit Controls Division (SCD)** – Global cable operations including acquired entities. - **Phoenix Lamps Division (PLD)** – Halogen and LED lighting. - **Suprajit Electronics Division (SED)** – Focused on digital clusters, actuators, and sensors. Backed by a **“De-risk and Grow Profitably”** strategy, Suprajit is transitioning from being a traditional mechanical component supplier to a **technology-driven solutions provider**, capitalizing on industry trends like electrification, premiumization, localization, and the decline of legacy halogen capacity. --- ### **Strategic Evolution: "Beyond Cables"** #### **1. Organizational Transformation** Suprajit is actively transitioning from a “cable maker” to a **global technology partner** offering integrated systems. This evolution is supported by: - Rebranding initiatives and Technology Roadshows to shift customer perception. - Expansion of its **Suprajit Technology Centre (STC)** in Bangalore, now housing **over 150 full-time engineers** focused on **pure R&D**. - Formation of dedicated **"Max Teams"** to drive cross-divisional integration, synergy realization, and best practice sharing. #### **2. Technology & Product Diversification** The company’s innovation strategy, dubbed **"Innovate in India – Disrupt Globally"**, is spearheaded by the **STC**, which focuses on developing high-value, EV-agnostic products across three core systems: - **Electro-Mechanical Actuation Systems** - **Digital Clusters & Sensors** - **Braking & Brake Release Systems** These systems are powertrain-agnostic and designed for **2-wheelers, passenger vehicles, off-highway, and agri-tech applications**. --- ### **Key Business Divisions & Performance Highlights (Nov 2025)** #### **Suprajit Technology Centre (STC) – Innovation Engine** - **Focus Areas**: Complete braking systems, digital clusters, e-throttles, sensors, actuators. - **R&D Strength**: Over **150 engineers**, with teams specialized in: - 70+ in control cables and applications - 40+ in mechanical system design & digital clusters - 20+ in control software - 4+ in magnetic and mechatronic design - **Patents & IP**: Over 50 global patents at various stages; proprietary technologies deployed across India, Europe, and the Americas. - **New Facility**: A state-of-the-art STC campus under construction at **Bommasandra, Bengaluru**, set for inauguration in **2026**, will accommodate **200 engineers** and serve as a global back-office engineering hub. #### **Suprajit Electronics Division (SED)** - Established as a **standalone division in FY24**, SED specializes in **automotive electronics**. - **Products**: Digital clusters, actuators, rotary & throttle position sensors, starter systems. - **Facilities**: IATF 16949:2016 certified, with operations in **Doddaballapur (Bangalore)**. Added **second SMT line** to meet rising demand. - **Growth Metrics (Aug 2025)**: - **27.41% sales growth** - **7.25% operating EBITDA margin** - **Key Wins**: - Throttle project from major Indian EV two-wheeler OEM. - Global contracts with two US off-highway OEMs for sensors. - Cluster export deals with a major US OEM. - Secured global manufacturing rights for **next-gen ABS system** via partnership with **Blubrake**. #### **Domestic Cable Division (DCD)** - **Core Strength**: World leader in mechanical control cables; supplies speedometer, throttle, and sunroof cables globally. - **"Beyond Cables" Expansion**: - Manufacturing braking systems, latch assemblies, mirrors. - Commercializing products developed at STC like **CBS**, **brake levers**, and **mechanical disc brakes**. - **New Land Acquisition**: Applied for additional land in **AURIC Bidkin (Aurangabad)** for future manufacturing in response to OEM demand. #### **Phoenix Lamps Division (PLD)** - Market leader in India across OEM and aftermarket segments. - **“Last Man Standing” Strategy**: Capitalizing on larger players exiting the halogen bulb space. - **Trifa Brand Expansion**: Restructured European operations; targeting global expansion with competitive pricing and ESG-compliant products. - **Performance (Q1 FY26)**: - Revenue: ₹3,900 million (FY24-25) - EBITDA: ₹579 million (up 22.7% YoY) - EBITDA Margin: 14.8% (up from 12.1%) - **New Product Launch**: **Retrofit HS1 LED bulb** for OEM fitment; first shipments made to a **major US department store chain**. --- ### **Strategic Growth Enablers** #### **1. Inorganic Growth & Acquisitions** Suprajit has completed **7 acquisitions** since 2016, reinforcing its global footprint and technological depth: - **Key Acquisitions**: - **Kongsberg Automotive’s LDC (2022)**: Added electro-mechanical actuation (EMA), facilities in **Mexico, Hungary, China**, and access to **Tesla, Honda, Magna**. - **Stahlschmidt Cable Systems (SCS)**: Acquired in **two tranches** (Jul 2024 & Apr 2025), including plants in **Germany, Poland, Morocco, Canada, China**. - **Impact**: - Made Suprajit a **global top 2 player in control cables**. - Added **low-cost manufacturing in Morocco** and **skilled German sales/engineering teams**. - Enabled complete **onshore-nearshore-offshore manufacturing model** for EU and US customers. - **New Subsidiaries Formed**: - Suprajit Germany GmbH - Suprajit Canada Limited - Suprajit (Jiaxing) Automotive Systems Co. Ltd. #### **2. Joint Ventures & Partnerships** - **Suprajit Chuhatsu Control Systems (50:50 JV)**: With **Chuo Spring (Japan)** to design and manufacture **transmission cables in India**, targeting **Japanese OEMs**. - Leverages Chuo’s proprietary transmission cable technology. - Initial focus on **two leading Japanese passenger vehicle OEMs**. - **Blubrake (Italy)**: Licensing agreement to commercialize **next-gen ABS systems** in India, China, Brazil, and Southeast Asia. - Focus on **non-pedal-based vehicles**, including 2-wheelers and off-highway vehicles. - Aligns with **India’s mandatory ABS regulations**. - Secured **exclusive manufacturing rights** for specific markets. --- ### **Geographic & Operational Strategy** #### **1. Global Manufacturing Footprint** Suprajit leverages a **three-tier global supply model**: - **Onshore**: Hungary, USA - **Nearshore**: Morocco, Mexico - **Farshore**: India, China This model allows customers to choose manufacturing locations based on: - **Cost efficiency** - **Supply chain resilience** - **Geopolitical risk mitigation** - **Compliance with “China + 1” sourcing trends** #### **2. Supply Chain Resilience** - Delivered **100% supply performance in Europe** during Red Sea disruptions (FY24-25). - Deployed **premium freight** and **local collaboration** to maintain customer trust. - Integrated **SAP, IoT, and PLM systems** to enable a unified **“One Suprajit”** operating model. - **Brownsville, USA** warehouse operational, enhancing logistics for North American customers. #### **3. Localization & Derisking** - Shifted certain lower-margin production from Mexico to India. - In-sourced **PCBA (Printed Circuit Board Assembly)** for throttle sensors and actuators, replacing global suppliers. - Positioned as a **trusted China-free alternative** for US/EU OEMs under the **“China + 1” model**. - Served by dedicated engineering teams in Germany, USA, UK, China, and India.