They say Rs the future is for us to determine'. As we write thismessage the world is battling a human tragedy a future scenario that none of us couldever determine or imagine. March 2020 marked the Covid-19 outbreak in the IndianSub-continent. The pandemic today is threatening lives and livelihoods across the globe.It is disrupting economies and communities at a speed scale and severity that no onecould foresee.
The pharmaceutical companies and researchers are racing against time todecode the virus and crack a vaccine. The Governments and businesses are working hard tosteer through this crisis and come up with strategies that best protect lives andlivelihoods. Lumax Auto Technologies took an impact. But we did not stop. The severity ofa crisis depends a lot on how we respond to it. Such situations often bring out the bestin people acting as catalysts as we navigate our way through a new route. We at LumaxAuto Technologies responded to safeguard and support our stakeholders' community andour team.
The FY 2019-20 witnessed the slowest demand in the past two decades.The underlying causes being weak economic environment higher vehicle prices and strictlending rules. Then came along December 2019 with signs of green shoots. The pace ofdecline in demand of Passenger Vehicles reduced though on a low base. However thisbuilding momentum largely due to improvement in the rolling average collapsed in thelast month of the financial year due to the outbreak of Covid-19.
The culmination of the recent trying times and its influence havehelped us evolve as a stronger contender underpinned by our values principles andefforts. While we are at the inflexion point we would like to
Regroup our workforce to empower them by swiftly surfing throughthe new normal
Reassess our collaborations with existing and potential partnersand customers to benefit from synergies
Redefine our R&D capabilities to build a diverse productportfolio
Recreate our products and become a frontrunner to make the best ofopportunities
We are the market leaders in Gear Shifters. By following the directionof growth and wind we have transitioned and shaped ourselves keeping pace with marketchanges and dynamics as also our customer needs. Our new clientele includes the renownedMG Hector in Air Intake Systems and we are confident of adding to our revenue base.
Lumax Ituran has generated business enquiries from OEMs preparing forregulatory norms to implement the track and trace devices with additional features forfuture models.
The trial phase has already started and the response is encouraging.We expect to realise revenues from FY 2020-21. Lumax FAE plant for oxygen sensors isunder commissioning and will be operational by Q3 FY2020-21.
Synergies driving excellence
Changing regulations offer new opportunities to diversify into newsegments. Our goal is to increase the content per vehicle with new-generationarchitectures. We have always endeavoured and believed in expanding our business with thecurrent and future global partners. We wish to expand into new areas of plasticselectronics electrification and light weighting to build a robust future. Until lastyear the Company had 6 partnerships. As we actively seek inorganic opportunities duringthe year we signed one new joint venture.
During the year we signed an equal JV with the Japanese firm Yokowoto manufacture and supply on-board antennas and other vehicle communication products tothe Indian automotive industry.
To achieve leadership in India and lay roadmap for the globalmarket
To navigate global markets in Gear Shifters being the onlyCompany to have a localised R&D capability To increase domestic presence and customerbase in Seat Frames 2Ws Chassis and Air Intake Systems
To expand and diversify planned product portfolio under LATL
To ramp-up After Market Business for witnessing acceleratedgrowth
To strategically build product portfolio to benefit from BS VItransition
Our team is committed in this journey of transformation as we move tothe next orbit. We have developed synergies with global leaders in technology and arefilled with passion for excellence. The results are visible in our leadership positioningacross the key auto-component space. We remain actively engaged with regulatory andindustry organisations even as new operational protocols are being proposed anddeveloped. We have taken all necessary measures to protect our skilled workforce andsafeguard our business while planning for business resumption.
|Warm regards || |
|D. K. Jain ||Anmol Jain ||deepak Jain |
|Chairman ||Managing Director ||Director |