The Accelo family had an eventful year. First up, as the world slowly regained some sense of normalcy following the COVID-19 pandemic, we were thrilled to resume our work from the office while taking every possible precaution. For us, the year was marked by significant milestones driven by strong business momentum and an unwavering commitment to growth. Considering these achievements, I am delighted to present our Company’s Annual Report for FY 2022-23.

Building Resilience through Our Consistent and Strong Financial Performance

During the year under review, we delivered the highest-ever volumes amounting to 4,44,329 tonnes, up 27% y-o-y. We achieved the highest-ever revenue of ₹4,188.4 crore, up by 37% y-o-y. While our PAT decreased to ₹146.6 crore from ₹180.46 crore in the previous year, down by 19%, still it is ~3x over F21 PAT. The decrease in PAT was due to volatile commodity prices, a change in product mix, increase in depreciation and interest as we continue to invest in new technologies.

Evolution from Mahindra Intertrade to Mahindra Accelo to drive the Decarbonisation Revolution

I am privileged and pleased to announce that our Company has undergone a name change from Mahindra Intertrade Limited to Mahindra Accelo Limited (MAL). Growth is part of our DNA. From our humble beginnings as a steel trading company to the ‘Mobility and Energy Components Company’

we are today, we have never shied away from change when it is the right thing for our stakeholders. This evolution is the result of our continuous investment in world-class technology, dedication to creating sustainable products, addressing customer needs, and, most importantly, our people’s commitment to driving change.

We have undertaken a new branding exercise for our Group and have identified a new brand positioning – The Decarbonisation Revolution. This is because all our business segments contribute to decarbonisation in some capacity. We combine state-of-the-art technological advancements with a sustainability commitment to develop green solutions for a carbon-neutral future. In line with this vision, we initiated our journey of transitioning from being solely a steel processing company to becoming a prominent ‘Mobility and Energy Components Company’.

Putting Our People First

Our unwavering commitment to ensuring a positive and enthusiastic work environment has led us to achieve a high rank of 3^rd place in India’s Great Mid-size Workplaces, consistently maintaining a top 10 position over the past five years. This accomplishment would not have been possible without the dedication of our innovative and resilient workforce. Additionally, we were also recognised as one of India’s Top 25 Manufacturing Companies and Top 25 in Building a Culture of Innovation by All, highlighting our efforts to foster a culture of creativity and excellence.

Business Performance

Mobility Segment – Automotive Business

During the year, we recorded our highest-ever automotive steel volumes. This historic performance was due to a strong growth in the volumes of Mahindra & Mahindra Limited (M&M) and increased share of business with existing customers. Our investment in new plants and technologically advanced lines are helping us expand our customer base.

Mobility Segment – Electric Vehicle Business

Our existing lines are equipped to manufacture BiW components for Electric Vehicles using Advanced High Strength Steel. We have also successfully developed the capability to supply motor cores for Electric three-wheelers and will begin supplying motor cores for four-wheeler EV & Hybrid vehicles starting this year. We have collaborated with global technology partners to create a high-end prototype for battery casings to be used in four-wheeler EVs.

Mobility Segment - Automotive Recycling (CERO) Business

CERO is India’s first organised automotive vehicle recycler. Last year, the Government of India launched the Voluntary Vehicle Scrappage Policy. Once all states implement this policy in right spirit, the inflow of end-of-life vehicle (ELV) to the organised recycling sector will grow exponentially. We have rapidly expanded our presence to 41 cities, with 9 registered vehicle-scrapping facilities and 32 collection centres as on FY2023.

Energy Segment - Power Business

With a focus on high-end components for transformers and a pan-India presence, we have maintained our leadership position in the power component space. We have 2 international plants at Sharjah and Indonesia, catering to global markets and exporting to 25+ countries. Our high-end components lead to low core losses during electricity transmission. We are ready to capture the renewable energy wave and be part of the sustainable growth journey of India.

Energy Segment - Electrical Stampings Business

With the technology to make highly efficient stators & rotors, we are India’s leading home appliance supplier. Our set-up showcases the best global technologies under one roof. This includes electrical stamping presses from Japan and Taiwan, die-casting lines from Italy and annealing lines from the USA. It is one of the few facilities in India to have a presence across the complete value chain from steel to stampings along with offering top quality Cold Rolled Non-Grain Oriented (CRNO) Steel to its customers.

Preparing for the Future: Strategies for Success

As the world increasingly focusses on sustainable, green solutions, we are committed to leading the way towards a more sustainable future. Our investment in world-class technology reflects this commitment. We aim to become a Tier 0.5 auto component player by investing in one of India’s first high-end tandem and transfer presses, capable of supplying skin panels and Class A/B components for both EVs and ICE vehicles. Furthermore, we are investing in high-end robotic welding lines for critical Class B assemblies, which will enable us to secure a leadership position in the EV component space. With the implementation of the vehicle scrappage policy, we plan to maintain our leadership position by being a first mover in the organised vehicle recycling space. With this, we want to support a circular economy by giving back steel and other components to respective manufacturers. With our strategic partnership to source high grade CRGO steel and ability to supply various value-added services/components, we continue to invest in technology and maintain a leadership position in the energy segment.

I express my sincere gratitude to our dedicated employees for their unwavering commitment and hard work, which have been instrumental in propelling us to new heights. I remain highly optimistic about the future and confident that with our steadfast commitment to sustainability, we will continue to exceed the expectations of all our stakeholders, while achieving even greater levels of success and growth.

Warm regards,

Sumit Issar

Managing Director