Capex of INR 490 crore for FY24
Capital expenditure planned for the current year is approximately INR 4.9 billion, mainly for plant machinery and equipment.
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capex
Localization of exhaust-gas treatment and injectors over 2-4 years
Management plans to localize production of exhaust-gas treatment components and injectors for commercial vehicles to improve margins.
Employee cost trend at 8% of revenue
Employee cost as a percentage of revenue is expected to be around 8% for the financial year, normalizing after provision reversals.
Full-year growth similar to FY2024
Management expects FY2025 performance to be similar to FY2024, with moderate growth despite election and high base effects.
NOx sensor SOP in April 2025
First localization of exhaust gas treatment component (NOx sensor) will start production in April 2025, with further localization under discussion.
Lambda sensor production to exceed 8 million pieces by 2025
Production of lambda sensors at Bidadi plant will ramp up from 1.2 million in 2021 to over 8 million annually by 2025.
Power Tools India becomes independent region
India is now one of five independent regions within Bosch Power Tools, responsible for SAARC markets, with focus on cordless tools and exports from Chennai plant.
Continuous increase in localization content
Management reiterated commitment to increasing localization, with progress on track, though decisions depend on geopolitics and tariffs.
Export growth target
Bosch aims to continuously increase exports, leveraging competitiveness in certain products like knock sensors and injectors, but no specific target given.
EV technology leadership in India
Bosch plans to capitalize on EV trends in two-wheelers and three-wheelers, leveraging global portfolio and discussions with OEMs.
CapEx of INR 350 crore for FY24
Management guided CapEx of INR 3.5 billion for FY24, mainly for localization in Common Rail and exhaust gas treatment.
Mid-term localization to improve margins
Localization of Common Rail and exhaust gas treatment components over the next 4-5 years is expected to improve gross margins.
Moderate growth expected in FY25 due to election year
Management anticipates moderate growth in FY25 due to election year dynamics, high base, and erratic rainfall.
FY25 CapEx guidance of INR 400 crore
Management guided for full-year CapEx of approximately INR 4,000 million (INR 400 crore), lower than last year due to completion of the auto body campus.
FY25 growth to mirror FY24 trajectory
Management expects FY25 growth to mirror FY24 levels, with moderate growth for the automotive industry despite high base and inventory buildup.
TREM V localization readiness
Bosch is well prepared for TREM V norms (April 2026) with higher localization expected from the start, and capacity to handle pre-buy effects.
Two-wheeler OBD2 benefit expected for next two quarters
The strong growth from OBD2 norms is expected to continue for the next two quarters before normalizing.
Hydrogen ICE market penetration 8-15% by 2030
Management expects hydrogen technology to achieve 8-15% market penetration in heavy commercial vehicles by 2030.
Mobility aftermarket recovery in Q3
Sales in mobility aftermarket are expected to regain momentum in Q3 after GST 2.0 transition impact.
Moderate growth expected in 2024
Management expects slower market growth in 2024 due to high base, election uncertainties, and erratic rainfall.
Next quarter flat to small growth
Management indicated Q4 FY24 may be flat or see very small growth.
TREM V norms expected by 2026
Management expects TREM V norms for tractors to be implemented in 2026, with Bosch fully ready.
PLI disbursements expected in 2024
Management expects PLI benefits to start flowing in 2024 after audits on domestic value-add.
Aftermarket growth target of 8-10% for FY26
Management expects the Mobility Aftermarket division to grow at 8-10% in FY26, driven by diesel components, lubricants, and filters.
OBD-II implementation for two-wheelers from April 2025
Ramp-up of OBD-II norms for two-wheelers is on track for April 2025, with Bosch supplying exhaust gas sensors and engine management systems.
Restructuring provision of INR 47.1 crore in Q3
A one-time restructuring provision of INR 47.1 crore was booked in Q3 to improve competitiveness in the Mobility business; further adjustments may follow.
Record production levels expected for PV, tractors, and two-wheelers in FY26
Management expects passenger vehicles, tractors, and two-wheelers to achieve all-time high production levels in FY26, driven by strong economic fundamentals and supportive policies.
Continued localization of components
Bosch plans to localize DeNOx sensors and other Common Rail components, following the localization of NOx sensors in 2025.
E-axle supply to OEMs in advanced discussions
Bosch is in advanced discussions with several OEMs to supply e-axles for electric four-wheelers in India, with announcements expected in coming quarters.
Dividend payout ratio of 65%-80% of profit
Bosch has clarified its dividend policy, targeting a payout ratio of 65%-80% of profit, subject to board discretion.
Moderate growth expected in FY25 with Q1 slow due to elections
Management expects moderate growth for FY25, with Q1 impacted by elections and liquidity crunch, but recovery from Q2 onwards.
CapEx to remain in INR 400-600 crore range
Annual capital expenditure is expected to continue in the range of INR 400-600 crore, supporting localization and other investments.
EGT localization SOP in April 2025
Start of production for localized exhaust gas treatment components is expected in April 2025.
Building Technologies divestiture expected by Q1/Q2 2025
The divestiture of the Building Technologies business is expected to be completed by Q1 or Q2 of 2025.
NOx sensor capacity of 2.1 million units per year by 2027
New Gen3 line at Bidadi will scale to 2.1 million sensors annually by 2027, targeting global OEMs.
Slight increase in export business next year
Management expects a slight increase in exports driven by NOx sensors, spark plugs, and injectors.
Growth beyond industry rates through premiumization and regulation
Company aims to outgrow industry via advanced technologies, new norms, and electrification.