Precision Camshafts Ltd

- No new fundraising through debt or equity was mentioned in the call. - Karan Shah stated that the company is currently using internal cash generation and existing investments for additional capex. - Funds may also be used for adding solar power capacity and potential future acquisitions. - The company is focusing on working capital-intensive business operations requiring minimal new capex. - There is no indication of immediate plans for raising external funds through debt or equity.

- Minimal capex recently as the business is working capital-intensive due to component sourcing, assembly, and sales (Page 13). - Current capex of around INR40 crores for a specific assembled camshaft project, plus an additional approx. INR40 crores for the plant and building; total approx. INR80 crores (Page 9). - New greenfield facility for assembled camshafts progressing as per plan, with start of production expected by Q3 of the next financial year (Page 9 and Page 3). - Internal generation and cash equivalents (INR300-400 crores) used for additional capex, potential additions to solar power capacity, and possible future acquisitions (Page 11). - Investments continue despite slow auto sector; new projects awarded due to resourcing from OEMs and focus on new technologies like assembled camshafts (Page 8). - Working on EV-related capital projects, including heavy commercial vehicle electrification expected on roads by end of calendar year (Page 12).

- Precision Camshafts expects growth in camshaft business over the next 4-5 years, leveraging new engine platforms including diesel, petrol, flex-fuel, and hybrids. - New greenfield facility for assembled camshafts is progressing with production expected next year, projected to generate 1.5x capex in revenue annually. - There are new orders for camshafts secured up to 2030 and beyond. - Diversification into non-engine components is progressing at subsidiaries, reducing automotive concentration and expanding product portfolios. - EV retrofitment demand is growing but slower than anticipated due to supply chain, financing, and ecosystem challenges; ongoing development for heavy commercial electric vehicles aims for delivery by end of 2025. - Overseas e-mobility business faces geopolitical and demand challenges but continues development for future growth. - The company is well-positioned to benefit from resourcing shifts from China to India and is actively exploring acquisitions and solar power investments to support growth.

- Precision Camshafts expects growth driven by new assembled camshaft projects, with SOP (start of production) by Q3 of next financial year. - The assembled camshaft project is expected to generate about 1.5x its capex in annual revenue. - The camshaft business is anticipated to grow over the next 4-5 years due to new engine platform nominations and resourcing from China to India. - Diversification into non-engine components across subsidiaries like MFT and MEMCO is progressing, reducing automotive concentration and expanding revenue streams. - E-mobility efforts in India are actively expanding, with retrofit solutions deployed in multiple cities and ongoing development for heavy commercial vehicles expected on roads by end of this calendar year. - Despite short-term challenges in EV demand and EMOSS performance, the company is cautiously optimistic about future recovery and reversal of impairment provisions. - Strong order book for camshafts extends to 2030 and beyond, supporting medium-to-long term earnings visibility.

- Precision Camshafts Limited has new orders for camshafts extending up to 2030 and beyond. - The company has received letters of intent (LOIs) from several customers in the EV retrofitment segment, indicating large potential volumes. - However, these LOIs have not yet converted into firm orders due to slow customer decision-making and financing challenges. - For the heavy commercial vehicle (HCV) electrification project, there is an LOI and agreement for certain volumes over coming years, contingent on successful delivery and testing by the end of 2025. - The company is actively engaging multiple customers in India for retrofitment orders across different cities. - Despite large LOIs, actual delivery and commercial orders remain limited at present but are expected to increase as ecosystem and financing mechanisms stabilize.