Pds Limited · NSE:PDSL
Pds — Investor Presentation (July 2024)
40 slides from Pds's investor presentation, Jul 29, 2024
Slide 1: Cover letter to stock exchanges
PDSL/SE/2024-25/55 July 29, 2024 Listing Department Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1 Block G, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (E), Dalal Street, Mumbai -400 051 Mumbai- 400001 Scrip Symbol: PDSL Scrip C
Slide 2: Corporate Presentation July/August 2024
Global | Collaborative | Digital | Ethical CORPORATE PRESENTATION J ULY /AUG UST 2 0 2 4 PRIVATE & CONFIDENTIAL. NOT FOR CIRCULATION
Slide 3: Disclaimer
PDS LIMITED Disclaimer This investor presentation has been prepared for general information purposes in respect of PDS Limited (“Company”) together with its subsidiary, associates and joint ventures, as applicable (together, with the Company, the “Group”) only, without regard to any specific objecti
Slide 4: Who We Are?
PDS LIMITED Who We Are? India’s Largest Multinational B2B Apparel Player (1) ₹ Global fashion supply ₹ 10,373 cr ₹ 392 cr ₹ 203 cr Revenue EBITDA PAT in FY24 chain infrastructure platform offering solutions to 250+ brands & retailers 22% ~$530mn ROCE Working Capital Limits (FTSE 100, DAX 30 and S&P
Slide 5: What We Do
PDS LIMITED What We Do One-stop, Global Fashion Infrastructure and Solutions Provider Simplifying the Fashion Value Chain Customized Service offerings Manufacturing Design-Led Sourcing Sourcing as a Service Brands Direct manufacturer with 3 specialty- Broaden design portfolio, introduce Setting up e
Slide 6: Why PDS?
PDS LIMITED Why PDS? Source: BCG Presentation (Jun-24) CORPORATE PRESENTATION 5 STRICTLY PRIVATE & CONFIDENTIAL
Slide 7: Our Global Presence
PDS LIMITED Our Global Presence 90+ 20+ 250+ Locations Country presence Designers United Kingdom Denmark Germany Belgium Poland Portugal Italy USA Spain Turkey China South Korea Mexico UAE Bangladesh Hong Kong Egypt India Vietnam Sri Lanka Indonesia Chile = Sales and Design teams = Registered Busine
Slide 8: Why We Are Successful - Our Culture
PDS LIMITED Why We Are Successful - Our Culture PDS Guiding Principles Enabling A Robust Platform Low Quick Decentralized Bureaucracy Turnaround Decision Making Entrepreneurship Maximum Equal Model Agility Opportunity CORPORATE PRESENTATION 7 STRICTLY PRIVATE & CONFIDENTIAL
Slide 9: Winning Framework – 3 Balance Sheet Approach
PDS LIMITED Winning Framework – 3 Balance Sheet Approach Cash Maintaining Financial Balance Sheet with Positive Net Asset Value 1 3 2 Capability Credibility Onboarding the best talent and Building ‘Trust & Transparency’ with investing in existing people Stakeholders CORPORATE PRESENTATION 8 STRICTLY
Slide 10: Key Competitive Strengths
Section 1 Key Competitive Strengths t 9 STRICTLY PRIVATE & CONFIDENTIAL
Slide 11: PDS Key Strengths
PDS LIMITED KEY COMPETITIVE STRENGTHS PDS Key Strengths 1 Customised Solutions 4 customized solutions offering to 250+ brands and retailers (FTSE 100, DAX 30 and S&P 500)(1) 2 Unique Business Model Promoting entrepreneurship 3 Attracting Top Global Talent The unique ecosystem is attracting leaders i
Slide 12: Customised Solutions: Diversified Base of 250+ Marquee Brands
PDS LIMITED KEY COMPETITIVE STRENGTHS 1 Customised Solutions: Catering to a Diversified Base of 250+ Marquee Brands DESIGN-LED SOURCING – SOURCING AS A SERVICE – BRANDS - MANUFACTURING Portfolio Spanning the Entire Fashion Value Chain MERCHANDISE RAW MATERIAL MANUFAC- QUALITY BRAND DESIGN SOURCING L
Slide 13: Unique Business Model: Promoting Entrepreneurship
PDS LIMITED KEY COMPETITIVE STRENGTHS 2 Unique Business Model: Promoting Entrepreneurship Business model based on the ethos of “Partner and Grow Together” PDS’ unique value … attracts & retains experienced entrepreneurs to build meaningful … delivering proposition… businesses significant growth CASE
Slide 14: Attracting Top Global Talent: Investing in Teams to drive Growth
PDS LIMITED KEY COMPETITIVE STRENGTHS 3 Attracting Top Global Talent: Investing in Teams to drive Growth HAROLD TILLMAN MARK GREEN DANNY SANTANDER ANDREW REANEY DAN COEN Global Ambassador(1) Advisory Board Member(2) CEO of PDS Mexico & CEO of PDS Online Enterprise President – Strategy & Central Amer
Slide 15: Seasoned Leadership (1/2)
PDS LIMITED KEY COMPETITIVE STRENGTHS 4 Seasoned Leadership: Ensuring PDS’ Success in an Ever-evolving Industry (1/2) SANJAY JAIN RAHUL AHUJA REENAH JOSEPH RAAMANN AHUJA PAUL WRIGHT SAURABH SAXENA Group CEO Group CFO Deputy Group CFO Group CHRO Executive Director ESG Group CIO AJAY THAKKAR SHAHED SU
Slide 16: Experienced Board of Directors (2/2)
PDS LIMITED KEY COMPETITIVE STRENGTHS 4 Experienced Board: With Backing from Highly Reputable & Pedigreed Board of Directors (2/2) CORPORATE PRESENTATION 15 STRICTLY PRIVATE & CONFIDENTIAL
Slide 17: Robust Financial Performance
PDS LIMITED KEY COMPETITIVE STRENGTHS 5 Robust Financial Performance Consistent performance is a testament to our effective strategies, and efficient execution Revenue (INR Cr) Gross Margin (%) 8% ↑ 413 CAGR bps ↑ 211 20.4% bps 20.8% 10,373 18.7% 8,828 16.2% 24% 2,621 2,115 FY22 FY24 Q1FY24 Q1FY25 F
Slide 18: Our Risk Management Framework
PDS LIMITED KEY COMPETITIVE STRENGTHS 6 Our Risk Management Framework Diversifying risks – no dependence on customers, geography, vendor or banks 6C’s & I Framework Credit, Capability, Customer Dependency, Compliant Capacity, Compliance, Cost, Currency & Inventory Risk Working with Global Agency Par
Slide 19: Driving ESG & Innovation (1/3)
PDS LIMITED KEY COMPETITIVE STRENGTHS 7 Driving ESG & Innovation (1/3) PDS strives to contribute to the development of a circular economy and climate-positive fashion industry 1 2 3 4 Respect Water Reduce Emissions Think Circular Build a Community PDS’ long-term sustainability goals are centered aro
Slide 20: PDS Ventures – Structured CVC Arm of PDS Group
PDS LIMITED KEY COMPETITIVE STRENGTHS 7 Driving ESG & Innovation: PDS Ventures – Structured CVC Arm of PDS Group (1/3) Portfolio of $30m across 70+ start -ups and through a few institutional funds Strategic Partnership Operate Leading retailers & brands Providing sourcing & manufacturing solutions f
Slide 21: GFA Trailblazer Program (3/3)
PDS LIMITED KEY COMPETITIVE STRENGTHS 7 Driving ESG & Innovation: GFA Trailblazer Program (3/3) In collaboration with Global Fashion Agenda (1000+ attendees) Collaborated with GFA for TrailBlazer Programme 2024 and committed $200,000* as equity investment for winning company Copenhagen, 2024 Pallak
Slide 22: Strategic Growth Drivers
Section 2 Strategic t Growth Drivers 21 STRICTLY PRIVATE & CONFIDENTIAL
Slide 23: State of Industry: Resilience in tough times
PDS LIMITED STRATEGIC GROWTH DRIVERS State of Industry: Resilience in tough times BANK VENDOR IP COMPANIES ACQUIRING CONSOLIDATION CONSOLIDATION BRANDS The industry is experiencing a consolidation trend, with larger firms expanding and benefiting from synergies of scale CLIENTS CUTTING GEOPOLITICAL
Slide 24: Gearing Up for Driving Growth & Profitability
PDS LIMITED STRATEGIC GROWTH DRIVERS Gearing Up for Driving Growth & Profitability Multiple levers of growth available across segments 01 02 03 04 MANUFACTURING DESIGN-LED SOURCING SOURCING AS A SERVICE BRANDS ▪ Expanding manufacturing ▪ Geographical expansion and ▪ Sourcing as a service: to ▪ Lever
Slide 25: Strategic Guardrails for New Opportunities
PDS LIMITED Strategic Guardrails for New Opportunities “AAA” customers as target anchor customers Target strong Hit Rate for new Businesses No Inventory risk Take strategic calls at end of Year 2 if a No Credit risk – Customers to be creditworthy to have non-recourse new Business does not achieve pr
Slide 26: Annexure
Section 3 Annexure t 25 STRICTLY PRIVATE & CONFIDENTIAL
Slide 27: Industry Overview
Annexure 1 Industry Overview t 26 STRICTLY PRIVATE & CONFIDENTIAL
Slide 28: Global Apparel Retail Market to reach USD 2.2 Tn by 2028
PDS LIMITED INDUSTRY OVERVIEW Global Apparel Retail Market to reach USD 2.2 Tn by 2028 Asia Pacific is the largest apparel market in the world accounting for 36% of global market revenue Apparel Retail Market Size – 2023 (USD Bn) Europe 425 26% CAGR (2023-28): 5% Americas 548 Middle East & Africa As
Slide 29: Outsourcing Advantages
PDS LIMITED The apparel industry is witnessing a dramatic shift towards global sourcing Major brands are increasingly relying on companies for sourcing, manufacturing, and value-added services Leveraging Specialized Expertise Emphasizing Core Strengths Outsourcing Advantages Enhancing Agility for Ma
Slide 30: Evolving Market Dynamics Enabling PDS to Extend its Services
PDS LIMITED INDUSTRY OVERVIEW Evolving Market Dynamics Enabling PDS to Extend its Services to Larger Base of Clients PDS is leveraging the opportunities created to expand global reach Global economic pressure due to rising interest rates and supply chain disruptions 1 Thus, the players gain coverage
Slide 31: Other Updates
Annexure 2 Other Updates t 30 STRICTLY PRIVATE & CONFIDENTIAL
Slide 32: Organization Strengthened by a People-first Approach
PDS LIMITED Organization Strengthened by a People-first Approach 4,200+ global employee strength 6,000+ factory associates Awarded ESOPs for ~100 employees CORPORATE PRESENTATION 31 STRICTLY PRIVATE & CONFIDENTIAL
Slide 33: Giving Back to the Community
PDS LIMITED Giving Back to the Community PDS’ commitment to create a sustainable future for the business, people and the communities we serve by providing children with quality education along with healthcare, nutrition and vocational training program for adults Soham is contributing to their all-ro
Slide 34: Winning Accolades & Industry Representation
PDS LIMITED Winning Accolades & Industry Representation CORPORATE PRESENTATION 33 STRICTLY PRIVATE & CONFIDENTIAL
Slide 35: Financial Statements
Annexure 3 Financial Statements t 34 STRICTLY PRIVATE & CONFIDENTIAL
Slide 36: FY24 Segmental Performance At a Glance
PDS LIMITED FY24 Segmental Performance At a Glance ₹ IN CRORE, UNLESS MENTIONED OTHERWISE SOURCING MANUFACTURING PDS VENTURES PDS AND OTHERS CONSOLIDATED INVESTMENT IN PDS VENTURES, REAL ESTATE & OTHERS REVENUE REVENUE REVENUE REVENUE 19% ₹10,080 ₹597 ₹6 ₹10,373 ₹423 EBIT EBIT EBIT EBIT (Including o
Slide 37: Consolidated Profit & Loss
PDS LIMITED Consolidated Profit & Loss INR Cr 31-Mar-22 31-Mar-23 31-Mar-24 30-Jun-23 30-Jun-24 INCOME FROM OPERATIONS 8,828 10,577 10,373 2,115 2,621 COMMENTARY GROWTH (%) (Y-o-Y) 19.8% -1.9% 23.9% COGS 7,396 8,806 8,262 1,720 2,076 GROSS PROFIT 1,432 1,771 2,111 395 545 ▪ FY 24 topline was impacte
Slide 38: Consolidated Balance Sheet
PDS LIMITED Consolidated Balance Sheet As on March 31, 2024 INR Cr 31-Mar-22 31-Mar-23 31-Mar-24 31-Mar-22 31-Mar-23 31-Mar-24 NON-CURRENT ASSETS 787 886 1,111 INVENTORY DAYS 15 11 15 CURRENT ASSETS 2,611 2,223 2,951 DEBTOR DAYS 59 34 59 INVENTORIES 305 256 329 PAYABLES DAYS 77 47 66 TRADE RECEIVABL
Slide 39: Abbreviations
PDS LIMITED Abbreviations Abbreviations Definitions Abbreviations Definitions PDS or Company PDS Limited CEO Chief Executive Officer EBITDA Earnings before Interest, Taxes, Depreciation & Amortization CFO Chief Financial Officer EBIT Earnings before Interest and Taxes CIO Chief Information Officer P
Slide 40: Thank You
THANK YOU CONTACT US PDS LIMITED Unit No.971, Solitaire Corporate Park, Andheri-Ghatkopar Link Road, Andheri (E), Mumbai-400093, Maharashtra, India CIN: L18101KA2011PLC094125 Tel.: +91-22-41 441 100 Email: investors@pdsltd.com