Rswm Ltd · NSE:RSWM
Rswm — Q1 FY24 Earnings Presentation
30 slides from Rswm's earnings presentation, Aug 10, 2023
Slide 1: Cover letter to BSE and NSE
RSWM/SECTT/2023 August 10, 2023 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Listing Department, 1st Floor, New Trading Ring, Exchange Plaza, C-1, Block - G, Rotunda Building, P.J. Towers, Bandra-Kurla Complex, Dalal Street, Bandra (East), MUMBAI - 400 001.
Slide 2: Investor Presentation June 2023
Investor Presentation NSE: RSWM BSE: 500350 June 2023 TEXTILE DRIVEN BY INNOVATION, GROWTH & TRANSFORMATION
Slide 3: Safe Harbor
Safe Harbor Ensuring Security and Data Protection This presentation has been prepared by RSWM (“Company") solely for information purposes without any regard to any specific objective, financial situation, or informational need of any particular person. This presentation may not be copied, distribute
Slide 4: Inside this Presentation Q1FY24
Content Inside this Presentation 01 02 Q1FY24 Growth Drivers Financials 03 04 Company Strong Historical Profile Fundamental 05 06 Management Annexure Team www.rswm.in 03
Slide 5: From CMD's Desk
From CMD’s Desk Commenting on the results, Mr. Riju Jhunjhunwala, Chairman & Managing Director and CEO of RSWM Limited said, “During the first quarter of FY24, the textile industry faced significant difficulties arising from various factors. These challenges encompassed a reduced demand from interna
Slide 6: From JMD's Desk
From JMD’s Desk Commenting on the results, Mr. B. M. Sharma, Joint Managing Director of RSWM Limited said, “In the initial period of the fiscal year 2023-24, the ongoing economic challenges in India's textile industry persisted, resulting in a significant 15% decline in textile exports, amounting to
Slide 7: Q1FY24 Financials
01 Q1FY24 Financials Key Highlights 07 Q1FY24 Financial Performance 08 Average Price Realization 09 06
Slide 8: Review of Q1 FY24 & Outlook for the Future
Key Highlights Review of Q1 FY24 & Outlook for the Future ❑ Business Environment Challenges: Geopolitical tensions and an unprecedented increase in cotton prices presented a highly challenging business environment over the past nine months. These factors created obstacles for RSWM Ltd. and the indus
Slide 9: Q1 FY24 Financial Performance
Q1 FY24 Financial Performance Financial Outcomes ₹ in Cr Revenue Gross Profit & Gross Profit Margin(%) Net Working Capital 509 1,024 437 438 458 341 371 368 336 956 901 42.7% 35.7% 37.3% Q1FY23 Q4FY23 Q1FY24 Q1FY23 Q4FY23 Q1FY24 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Fixed Asset Coverage Ratio In times
Slide 10: Average Price Realization
June 2023 Q1FY22 206 Q1FY22 174 Q2FY22 197 Q2FY22 180 216 Q3FY22 Q3FY22 208 Q4FY22 244 Q4FY22 217 216 FY22 FY22 195 Q1FY23 252 216 Q1FY23 Q2FY23 261 Q2FY23 202 PV Grey Yarn PV Dyed Yarn 174 Q3FY23 248 Q3FY23 218 Q4FY23 168 Q4FY23 FY23 FY23 189 244 Q1FY24 167 Q1FY24 222 Average Price Realization 191
Slide 11: Growth Drivers
02 Growth Drivers Growth Drivers 11 10
Slide 12: Promising Catalyst Propelling Company's Future
Growth Drivers Promising Catalyst Propelling Company’s Future ▪ Focused on high-value specialty yarn business ▪ The company has invested around ₹410 Cr in the like Dyed and Melange yarn expansion of Denim, Cotton Mélange Yarn, Knits ▪ Change in product mix and value-added products, Business, and Mod
Slide 13: Company Profile
03 Company Profile About RSWM 13 Milestones 15 Business Vertical 16 Sustainability 19 Strong Parentage 20 12
Slide 14: Nation's Largest Textile Manufacturer & Exporter
About RSWM Nation’s Largest Textile Manufacturer & Exporter RSWM Limited is one of the largest textile manufacturers and exporters of Synthetic, Blended, Mélange, Cotton, and Specialty value-added yarns, and in the manufacturing of Denim fabric, Knitted fabric, and Green Polyester Fibres. ▪RSWM is t
Slide 15: Unlocking Growth Opportunities through Strategic Location
About RSWM Unlocking Growth Opportunities Kanyakheri through Strategic Location Melange Yarn Ringas Fibre Dyeing & Spinning Dyed Yarn Mayur Nagar 5,45,752 Recycled Polyester Spinning Cotton, PV SPINDLES Fibre (Fibre Green) Blended & Open End Greige Yarn Kharigram Fibre Dyeing, Greige 4,800 & Dyed Ya
Slide 16: Well Established Player
Milestones Well Established Player ▪ Modernization ▪ Established a of Reengus plant ▪ Expansion of Green Fibre ▪ RSWM Green Fibre with ▪ Added 4 MW Unit located at ▪ Acquired the manufacturing Launches its an additional Solar power. Lodha Unit, ▪ Established Rishabhdev ▪ Completed an unit at Reengus
Slide 17: Producing Top-Quality Yarn in Three Distinct Categories
Business Vertical: Yarn Producing Top-Quality Yarn in Three Distinct Categories Dyed Yarn Greige Yarn Melange Yarn ▪ Dyed PV Blended, Poly 100%, Visc. 100%, ▪ Greige is a yarn that hasn't been ▪ Melange yarn, a high-value yarn, is Poly/Visc/Cotton Blended Specialty Yarns bleached or dyed manufacture
Slide 18: Renowned for Exceptional Quality Worldwide
Business Vertical: Denim Renowned for Exceptional Quality Worldwide ▪ LNJ Denim, a denim-manufacturing facility established in 2007 under RSWM Limited (the flagship company of LNJ Bhilwara Group), has a manufacturing capacity of 32.4 million meters annually. Capable of processing 3000+ denim variant
Slide 19: Creating Value Through Exploration of Knitted Fabric Production
Business Vertical: Knitted Fabric Creating Value Through Exploration of Knitted Fabric Production Ventured into Knitted Fabric to create value ▪ After being the leading supplier of high-quality yarn to the world, RSWM Limited has ventured into producing circular knitting fabrics ▪ Our well-kitted fa
Slide 20: Re-imagined & Re-use for Sustainable clothing
Sustainability Re-imagined & Re-use for Sustainable clothing ▪ Promoting Sustainable Practices: RSWM Ltd. exemplifies its commitment to the environment by prioritizing sustainable business practices. During Pellets extruded the quarter, we proudly recycled an impressive 18,000 MT of PET plastic into
Slide 21: LNJ Group: Firm Foundation with Powerful Parental Backing
Strong Parentage LNJ Group: Firm Foundation with Powerful Parental Backing June 2023 www.rswm.in 20
Slide 22: Strong Historical Fundamental
04 Strong Historical Fundamental Financial Data 22 Financial Return Ratio 23 21
Slide 23: Underlying Financial and Operational metrics
Strong Historical Fundamental Underlying Financial and Operational metrics ₹ in Cr Revenue EBITDA & EBITDA Margin(%) PAT 464 240 3,817 3,789 340 2,961 2,771 2,326 6.4% 210 264 215 12.8% 110 68.5% Four Year Four Year Three Year CAGR 7.1% 9.5% 9.2% 12.2% 9.0% CAGR 23 22 CAGR FY19 FY20 FY21 FY22 FY23 F
Slide 24: Financial Ratios
Strong Historical Fundamental Financial Ratios ROCE RONW Net Worth ₹ in Cr 16.3% 1,268 27.3% 999 783 761 8.5% 706 6.1% 9.7% 3.4% 4.3% 3.2% 2.8% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 -3.1% Fixed Asset Turnover In times Net Debt ₹ in Cr Capital Employed ₹ in Cr 1,3
Slide 25: Management Team
05 Management Team Management Team 25 Achievements 27 24
Slide 26: Management
Management Team Management Mr. Prakash Maheshwari Mr. Suketu Shah Chief Executive Chief Executive (Corporate Affairs ) (Denim) Mr. Sukesh Sharma Mr. Arvind Gupta Chief Executive Chief Executive (Yarn Business) (Melange Yarn & Knits) Mr. Manoj Sharma Mr. Puneet Anand Mr. Riju Jhunjhunwala Mr. B. M. S
Slide 27: Program for Enhancing Leadership Abilities
Management Team Program for Enhancing Leadership Abilities Leadership Training Program June 2023 www.rswm.in 26
Slide 28: Remarkable Testimonial of Endeavor
Achievement Remarkable Testimonial of Endeavor RSWM Limited Most Innovative Risk – LNJ Denim Holds the prestigious Winner of Management Strategy Winner and Endowed Award for best HR with Progress “3 Star Trading “The Rajasthan Energy of the Year practices to CHRO Towards House” status by Govt. Conse
Slide 29: Thank You
Thank You G E T I N TO U C H W I T H U S Shri Avinash Bhargava Shri Surender Gupta Chief Financial Officer VP – Legal and CS Tel: 01483 222515 Tel: +91 120 4390058 E: cfo.rswm@lnjbhilwara.com E: skg@lnjbhilwara.com Corporate Office Registered Office Bhilwara Towers, Kharigram, A-12, Sector - 1 P.O.
Slide 30: Profit & Loss Statement
Annexure Profit & Loss Statement Parameter (₹ in Cr.) Q1FY24 Q4FY23 Q1FY23 FY23 Total Income (Incl. other income) 910.84 997.02 1,055.19 3,880.34 Raw Material Cost 600.49 568.70 642.42 2,356.59 Employee Cost 114.24 94.66 108.71 418.48 Power Cost 112.96 111.04 110.29 424.78 Other Expenses 93.61 87.33