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Q1 FY23EarningsPresentation28 July 2022

DisclaimerThis presentation and the accompanying slides (the “Presentation”), which have been preparedby Sona BLW Precision Forgings Ltd. (the “Company”), have been prepared solely for informationpurposes and do not constitute any offer, recommendation or invitation to purchase or subscribefor any securities, and shall not form the basis or be relied on in connection with any contract orbinding commitment whatsoever. No offering of securities of the Company will be made exceptby means of a statutory offering document containing detailed information about the Company.This Presentation has been prepared by the Company based on information and data which theCompany considers reliable, but the Company makes no representation or warranty, express orimplied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness,fairness and reasonableness of the contents of this Presentation. This Presentation may not be allinclusive and may not contain all of the information that you may consider material. Any liabilityin respect of the contents of, or any omission from, this Presentation is expressly excluded.Certain matters discussed in this presentation may contains certain forward looking statementsconcerning the Company’s future business prospects and business profitability. Such forwardlooking statements are not guarantees of future performance and are subject to a number ofrisks and uncertainties that are difficult to predict. These risks and uncertainties include, but arenot limited to, the Company’s ability to manage growth, the fluctuations in earnings, competition(both domestic and international), economic growth in India and abroad, ability to attract andretain highly skilled professionals, time and cost over runs on contracts, the Company’s ability tomanage its international operations, Government policies and actions regulations, interest andother fiscal costs generally prevailing in the economy. The Company does not undertake tomake any announcement in case any of these forward looking statements become materiallyincorrect in future or update any forward looking statements made from time to time by or onbehalf of the Company. Sona BLW Precision Forgings Limited (Sona Comstar). Reproduction and distribution of thisPresentation without the permission of Sona Comstar is prohibited.2

Our Management TeamMr. Kiran ManoharDeshmukhGroup CTOMr. V. Vikram VermaCEO, Driveline BusinessMr. Sat Mohan GuptaCEO, Motor BusinessMr. Rohit NandaGroup CFOMr. Vivek Vikram SinghMD & Group CEOMr. Amit MishraHead, Investor Relations3

Q1 FY23 Financial Performance Highlights5,892 mn 18%1,425 mn 3%Revenue YoY Growth758 mn 5%EBITDA YoY Growth24.2% EBITDA Margin1,627 mn 68%EV Revenue YoY GrowthPAT YoY Growth112.9% PAT Margin29%Q1 FY23 Revenue Sharefrom EVNotes:1.Calculated after excluding exceptional income of Q1 FY224

We continue to grow despite the persistent challenges facedby the automotive sector in the last two years 2Q3Q4FY21Sona Comstar Revenue (Rs. mn)Data source for global light vehicle sales: NomuraQ1Q2Q3FY22Global Light Vehicle Sales Volume (mn)Q4Q1FY235

Update on our StrategicPrioritiesNet formed differential gears coming out of our forging press

Update on our Strategic PrioritiesElectrificationGlobal MarketSignificanceDiversificationTechnology7

Sizeable and Increasing Presence in EVs29%1,627 mn68%Q1 FY23 Revenue ShareQ1 FY23 BEV segmentQ1 FY23 BEV revenuefrom BEVrevenueYoY growth30(9 21)1 636(10 26)1EV Programs1 awarded acrossEV Programs1 awarded across19 customers as at the end of23 customers as at the end ofQ4 FY22Q1 FY23Notes:1.Include only BEV and PHEV programs currently in serial production as well as in the orderbook; numbers in brackets to be read as (# of programs in serialproduction # of programs in orderbook)8

3 significant EV program wins in Q1 to drive diversifiedEV growthTraction Motors forElectric 2-Wheelers1 program fromIndian OEM of Electric and ICE 2 Wheelers 9,128 mnaddition in our orderbookFY23SOP YearFinal Drive DifferentialAssembly forElectric Cars & SUVs2 programs fromEuropean OEM of PVs and EVs 16,071 mnaddition in our orderbookFY26SOP Year9

36 EV programs across 231 different customersNorth America4 Customers369No. ofprogramscustomers19 10333, 4, 54--476334359-Europe25 Customers16527Programs in serial productionPrograms in orderbookPrograms for geartrain componentsPrograms for traction motors, IMCM and PHEV startersPrograms for e-Axle 1 3163.4.5.1 customer is common across PV geartrain and CV/OHV geartrain1 customer is common across PV geartrain and PV motors1 customer is common across PV geartrain and E3W e-Axles4 3India13 Customers 3412736 xNotes:1.2 customers are present in more than one geography2.Europe geography includes the UKAsia4 Customers2231denotes the change during Q1 FY2310

Our Strategic PrioritiesElectrificationGlobal MarketSignificanceDiversificationTechnology11

With new wins of Rs. 28 billion our net order book1grows to Rs. 205 billion (9.6x FY22 revenue)186 bnOrderbook at the end ofQ4 FY229 bnOrders consumed frommatured and ramp-upprograms during Q1 FY2328 bnOrders added forprograms won in Q1 FY23EV Rs. 137 Billion (66.7%)# of Programs# of Customers55.9%148PV205 bnOrderbook at the end ofQ1 FY23Non-EV Rs. 68 Billion CV&OHVPVCVOHVNotes:1.Net order book means the aggregate revenue from awarded programs which are either yet to start production or are yet to fully ramp up, inthe next 10 years, after adjusting for the negative impact of all programs that are expected to reach end of life or be phased out. We havealso applied a discount to accommodate any unforeseen delays or changes in program launches that may happen in the future.12

Our Strategic PrioritiesElectrificationGlobal MarketSignificanceDiversificationTechnology13

Diversified Revenue Mix – By PowertrainBattery EV increasing as a % of our revenue continues to be our dominant and secular themeOur pure ICE dependence continues to reduce steadily going from 25% in FY21 to 17% in Q1 FY23FY202%FY2114%29%FY22Q1 FY2325%29%26%17%31%37%18%17%27%42%34%25%27%Battery EVMicro-hybrid/ HybridPowersourceNeutralICEDependent14

Diversified Revenue MixBy ProductBy Geography1%3%18%33%1% 1%27%17%FY2222%By Vehicle segmentFY2268%FY2226%26%1%3%46%4% %13%Q1 FY23CV25%8%PV1.5%4%30%15

Our Strategic PrioritiesElectrificationGlobal MarketSignificanceDiversificationTechnology16

Technology RoadmapElectricAutonomous/ConnectedGaN InverterHigh VoltageInverterLiquid CooledInverterHigh VoltageTraction MotorsDC-DCConverterMotors for Botsand IndustrialAutomationMagnet-free Motors,EMSM and SRM designsPredictive ActiveSuspensionIntegrated MotorController ModuleLow VoltageInverterMid-mountDrive Motor(PMSM) Hub WheelMotor (BLDC)Belt-driven StarterGenerator (BSG)DiffGearsCurrent ProductsStarterMotorsAxial FluxMotorsRigid e-AxleIndependentsuspension e-AxleFuture ProductsIntegratedP4 e-AxleDiffAssemblyLegacy ProductsNote: The product images shown are for illustration purposes only and may not be an exact representation of the productsEpicyclic SetSpool GearReduction DriveUnitActive BiasedDifferentialNet Spiral/Hypoid Gears17

Q1 FY23 Financial UpdateOur final drive gears

Q1 FY23 FinancialsRevenue1(Rs. mn)BEVYoY: 18%5,8925,007967Q1 FY22EBITDA (Rs. mn)1,387EBITDA Margin (%)YoY: 3%PAT (Rs. mn)YoY: -8%1,4258221,627Q1 FY23o BEV Revenue higher by 68% and constitutes29% of total revenueo Non-BEV Revenue grew by 6% despitedecline of 14% in light vehicle sales in ourtop-3 markets (North America, India, andEurope)Notes:1.Revenue includes net gain from foreign exchange2.As shown on page no. 34 of Q1 FY22 earnings presentation27.7%Q1 FY22PAT Margin (%)YoY: 5%72375816.4%14.4%12.9%Q1 FY22Q1 FY22 (adj)24.2%Q1 FY23o Drop of 3.4% in EBITDA Margin is due toincrease in RM prices largely because ofarithmetic effect despite material pricepassthrougho Additional costs on account of severe poweroutages Rs. 21 mn and one-time expensesrelating to tech partnerships Rs. 13 mnneutralized the favourable impact ofoperating leverage2Q1 FY23o Lower finance cost (as % of revenue)has improved margin transmission fromEBITDA to PAT by 0.9%o Adjusted PAT for Q1 FY22 has beenadjusted for IPO expenses19

Illustration of change in margin with 100% RM cost passthroughBefore RM priceincreaseRM price increase@25%After RM priceincrease100.00 11.25111.25Material Cost45.00 11.2556.25Material Profit55.00-55.0055.0%560 bps49.4%(numbers in INR)RevenueMaterial MarginCeteris paribus, 25% RM price increase should lead to 560 bps margin decline evenwith 100% RM cost passthrough20

We have largely contained margin impact amidst unprecedented RMinflation during the last year, through growth, passthrough and othermeasures 25%27.7%26.4%26.4%24.6%24.2%-350 bpsQ1Q2Q3Q4Q1FY22Indexed Sona Comstar Alloy Steel CostQ2FY23EBITDA Margin21

Key RatiosVA/Employee cost5.15.25.75.928.8%Mar-20 Mar-21 Mar-22 Jun-22Net Debt to ar-20 Mar-21 Mar-22 Jun-22Mar-20 Mar-21 Mar-22 Jun-22Working Capital TurnoverFixed Asset Turnover3.9(0.01)RoE (%)RoCE (%)3.93.93.94.65.04.74.5(0.05)Mar-20 Mar-21 Mar-22 Jun-22Mar-20 Mar-21 Mar-22 Jun-22Mar-20 Mar-21 Mar-22 Jun-22Note:1)2)3)4)5)6)7)8)VA/Employee Cost Material margin/ (Employee cost Manpower cost on hiring)ROCE LTM EBIT/ Average tangible capital employedROE LTM PAT/ Average tangible net worthNet Debt to EBITDA Short-term & long-term debt less cash, bank balances & mutual fund investments / LTM EBITDAWorking Capital Turnover LTM Revenue/ Average net working capitalFixed asset turnover LTM Revenue/ Average Tangible net blockMar-20 numbers are based on pro-forma financialsRoCE and RoE for earlier years have been recalculated due to merger22

Q&ANew Product Development Discussion

AppendixInside view of our manufacturing plant at Manesar, Haryana

One VisionTo become one of the World’smost Respected and ValuableAuto Technology companiesfor ourCustomers, Employees &Shareholders.25

Our story so far Phase - 1Phase - 2Phase - 3 18 Customers 2 Plants 1 Product 22 Customers 2 Plants 2 Products Phase - 4 Started journey aspublic company 60 customers 9 plants 13 productsAcquisition of Comstar47 Customers (37 10)9 Plants (5 4)10 Products (5 5)23,568*Q1FY23Annualized5,892Q1FY2321,306Revenue in INR millionsFY17– FY22Avg. EBITDA margin 27.4%Revenue CAGR 34.2%Industry CAGR 1.4%FY 23*FY 22FY 21FY 206,992FY 196,088FY 18FY 173,653FY 162,6163,456FY 15FY 042,8073,309FY 14FY 035,033FY 13FY 022,207FY 11FY 011,492FY 10FY 00Notes:1.FY20 onwards financials include Comstar2.Industry data source: SIAM1,174FY 092211,348FY 081831,135FY 07223910FY 06120697FY 0516399FY 99FY99– FY11Avg. EBITDA margin 21.5%Revenue CAGR 50.6%Industry CAGR 14.6%15,66312,201FY12– FY16Avg. EBITDA margin 25.0%Revenue CAGR 10.6%Industry CAGR 1.7%FY 12FY99 – FY22Avg EBITDA margin 26.4%Revenue CAGR 36.6%Industry CAGR 8.9%26

Guided by Values34.2%GrowthAgility5-year RevenueCAGR27.4%VitalityMarginsIntegrity5-year Avg.EBITDA 28%FrugalityReturnsROEEach Year(FY17-FY22)27

Established Global Presence to Serve Customers LocallySwedenGothenburgUSA LocationCapacity3Tecumseh, MI 1 mn starter motorsBelgiumYpsilanti, MIGenkChina Location Capacity3Hangzhou 1 mn starter motorsGermany7 of the world’s top 10 PV OEMs1Cologne3 of the world’s top 10 CV OEMs2Mexico Location Capacity37 of the world’s top 8 tractor OEMs2Irapuato1 mn starter motorsIndiaLocation Capacity3Gurugram 31.9 mn gears93181Notes:1.Source: BofA, Company Analysis2.Source: Ricardo report3.Capacity as of March 2022Manufacturing PlantR&D CentreTool & Die ShopWarehouseManesar1.2 mn differential assembliesPune9.3 mn gearsChennai3.8 mn starter motors0.15 mn traction motorsHosur, Sanand, Rudrapur, MehsanaInternational Sales Office28