Thanks @nikhil_chowdhary @dd1474 for sharing detailed notes.
Request @Anirudh_Shetty to share your Notes that adds more granularity/perspectives to above.
While I am sure a few more like @Malhar_Manek and others would pitch in with more granular details, I am doing a different take. Based on what we heard from SBCL Management in Mumbai meet, let’s try and capture what we have added to our understanding of SBCL strengths/opportunity mapping since Sep 2022 AGM.
[This is a quick take, responding to update requests. Will add to this/refine when I find more time. Travelling till Sunday]
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Only Company globally to have 3 verticals under one roof (factory) – Bimetals, Precision Shunts, Contacts
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Largest EBW Capacity in world – 7 existing machines with 8th being commissioned. The next largest EBW capacity is in China (probably 3 machines)
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The first EBW machine was bought by Shivalik from Germany (?) at off-the-shelf prices. Post that they started assembling the machine(s) buying from all the sub vendors, including 3rd party software. Incredibly, SBCL cost now comes to one-fourth or lower of what a new set up costs
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SBCL has another impeccable measure of deeper customer penetration. If SBCL customer count is say 10, for 6 out of this 10, SBCL is the Exclusive Supplier
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SBCL is a preferred global supplier based on cost leadership, customer responsiveness leadership, and Delivery Lead Time leadership
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100% of RM volatility is pass-through on way up/down; 100% of SBCL products are Customised; 100% of RM is Customised (true for all 3 verticals)
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Because of this, SBCL needs to maintain for every month of production – 4 months of additional Inventory.
1 month inventory in warehouse
1 month inventory in custom clearance
1 month inventory in High seas
1 month inventory in dispatches (?) -
Unlike say a Vishay, or a Marquardt or a Rohm who define themselves as Shunt Resistor Suppliers, SBCL defines itself (and it’s addressable market narrowly) as Edge, EBW Shunts Supplier. Applications are primarily Automotive BMS and Smart Meters. Conservatively they peg this global market at $230 Mn today.
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Thus defined, SBCL sees itself as #4 player globally after Vishay, Continental, Hella. Hyundai Nuvis is the other one in Top 5. SBCL claims to have taken away 90% market share of Isabellenhutte in its TAM segment. According to SBCL Isabellenhutte is more a special alloys player than Shunts
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Very interestingly, SBCL has thus positioned itself as a win-win ally and NOT as a Competitor to bigger players in this market. Hella and Continental relationships are on solid ground. This is new EV product development for them. Should eventually scale comparable to Vishay, if not more
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Even as SBCL started off with ICE BMS Shunts, today 90% plus share is for EV BMS shunts. Unlike our previous understanding SBCL does not claim to produce other Shunts used in EVs such as DC-DC Motors, or others. They want to only play the shunts market – that builds on their strengths – Edge, EBW and Bonding – where they are (and will remain) unshakeable!
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Most Customers share annualised forecasts. SBCL expanded capacity (1600 Cr) is based on 6-7 year growth forecasts shared by some of the majors. 65% Visibility from Customer shared forecasts (35% they will need to find new customers). Fully utilised by next 6 years is a conservative estimate as per SBCL Management
PS: Please Note My Take above is based on interactions in the larger late-afternoon group. Please be aware there are nuances (first-exposure 
) which might NOT have been accurately captured by me. Please allow us a couple of days to get these vetted and verified.
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