Five-year plans

At Motherson, we like to commit to our five-year targets by communicating them through our annual reports of Motherson Sumi Systems Ltd. We’ve done so since the year 2000, and although top-line accomplishments will never be pursued at the expense of healthy bottom-line, we have managed to achieve mostly all of the targets of our five-year plans ever since.

1995 - 2000

No. 1

Our first plan was about growth in India, through vertical integration and joint ventures for product additions. The target was to achieve a turnover of 1 billion INR in 5 years, which was ambitious for a small company at that time.

Targets set in 1995
Name Value
* 28.7 Million USD based on the exchange rate for 30th November 1995
Consolidated net sales INR 1 billion*
Sales from outside India 1%
Achieved in 2000
Name Value
* 35.1 Million USD based on the exchange rate for 31st March 2000
Consolidated net sales INR 1.53 billion**
Sales from outside India 0.1%

2000 - 2005

No. 2

Charting our global footprint through small acquisitions and joint ventures. The targets reflected a transformational approach, aiming for a tenfold growth and de-risking of geographical and customer dependence. The ROCE (Return on Capital Employed) target of 40% and dividend policy of 40%, declared in this plan, have continued in every plan ever since.

Targets set in 2000
Name Value
* 229 Million USD based on the exchange rate for 31st March 2000
Consolidated net sales INR 10 billion*
Sales from outside India 30%
Largest customer < 25%
ROCE 40%
Dividend Payout Ratio 40%
Achieved in 2005
Name Value
* 235 Million USD based on the exchange rate for 31st March 2005
# taking full turnover of joint ventures
Consolidated net sales INR 10.29 billion**#
Sales from outside India 29%
Largest customer 27%
ROCE 39%
Dividend Payout Ratio 43%

2005 - 2010

No. 3

Moving towards modules and developing a global support structure through midsize acquisitions. The target was to make MSSL a billion dollar company and further reduce dependence on any single customer.

Targets set in 2005
Name Value
Consolidated net sales USD 1 billion
Sales from outside India 60%
Largest customer < 20%
ROCE 40%
Dividend Payout Ratio 40%
Achieved in 2010
Name Value
*On consolidated basis, ** On standalone basis
Consolidated net sales USD 1.5 billion
Sales from outside India 70%
Largest customer 15%
ROCE 22%* and 37%**
Dividend Payout Ratio 32%* and 44%**

2010 - 2015

No. 4

Providing full system solutions and expanding globally through large size acquisitions at the request of customers. Making MSSL a 5 billion dollar company, with presence in 26 countries, major targets were surpassed, making Motherson a truly global entity.

Targets set in 2010
Name Value
* On consolidated basis
Consolidated net sales USD 5 billion
Sales from outside India 70%
Geographical presence 26-27 countries
ROCE* 40%
Dividend Payout Ratio* 40%
Achieved in 2015
Name Value
* On consolidated basis, ** On standalone basis
Consolidated net sales USD 5.5 billion
Sales from outside India 85%
Geographical presence 25 countries
ROCE 26%* and 41%**
Dividend Payout Ratio* 37%* and 62%**

2015 - 2020

No. 5

Consolidating our position as a globally preferred solutions provider, by strengthening our global product offering. This focused approach to product and market expansion helps Motherson move forward towards the target of 18 billion USD consolidated net sales. It is accompanied by our business philosophy of 3CX15, meaning that exposure to any country, component or customer should not be more than 15% of our total turnover by 2020.

Targets set in 2015
Name Value
* On consolidated basis
Consolidated net sales USD 18 billion
Diversification 3CX15
ROCE* 40%
Dividend Payout Ratio* 40%