Slide 1: Exchange cover letter: Company's Presentation
PDSL/SE/2023-24/291 September 30, 2023 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 S
Slide 2: Company Presentation September 2023
Company Presentation September 2023
Slide 3: Safe Harbor
Safe Harbor This presentation has been prepared by PDS Limited (“PDS”, “the Company”) and does not constitute a prospectus or placement memorandum or an offer to acquire any securities. This presentation or any other documentation or information (or any part thereof) delivered or supplied should not
Slide 4: Company Overview
Company Overview PDS@2023 3
Slide 5: Who are we?
Who are we? PDS at a glance Financial Snapshot FY23 Geography wise (FY23 % share*) ₹12,230 cr | $1,521mn ₹10,577 cr | $1,316mn Europe 26% GMV Topline ↑26% Y-o-Y ↑20% Y-o-Y Asia & Middle Our Vision East ₹327 cr | $41mn UK Be the most admired global ₹459 cr | $57mn 11% 45% enterprise providing innovat
Slide 6: What we do?
What we do? Global Fashion Solutions Company Simplifying the Entire Fashion Value Chain Fashion Solutions Strong Financial ESG Tech Enabled Platform Leadership Strength Design-Led Sourcing Manufacturing Sourcing as a Service Brands ➢ 600+ Compliant partnered factories ➢ Owned Manufacturing Facilitie
Slide 7: What is our culture?
What is our culture? PDS Guiding Principles Enabling A Robust Platform Entrepreneurship model 3 Balance Sheets Zero bottlenecks Zero power centers Zero bureaucracy Maximum Agility Equal Opportunity PDS@2023 6
Slide 8: What are the drivers for PDS' growth?
What are the drivers for PDS’ growth? FAR / NEAR SHORING CONSOLIDATION IN THE INDUSTRY ▪ Our versatile global operations allow us to tailor ▪ The industry is currently undergoing a consolidation production to meet the specific needs of retailers and trend, with larger firms poised for expansion, ben
Slide 9: Where do we see opportunities?
Where do we see opportunities? Multiple levers available across value chain for growth Design-Led Sourcing Manufacturing Sourcing as a service Brand Management Guardrails for Pursuing Onboard entrepreneurs with ➢ Untapped Locations ➢ Best Entrepreneurial Teams ➢ Retaining Brand DNA Ancillary Service
Slide 10: Key Competitive Strengths
Key Competitive Strengths PDS@2023 9
Slide 11: Our Key Competitive Strengths
Our Key Competitive Strengths Enormous global apparel market offers multi-billion-dollar opportunity 1 Presence across the entire fashion value chain with a strong right to win 2 Vast global network with presence across countries and coverage of all apparel segments 3 Catering to a diversified base
Slide 12: Global Apparel Consumption will reach US$2 tn by 2025
1 Global Apparel Consumption will reach US$2 tn by 2025 Apparel consumption in top 7 economies constitutes ~60% of the global consumption in 2021 7 Canada CAGR 14% 3 China CAGR 16% 2021 22 2021 188 • Global apparel market 2025P 37 2025P 340 reached a turnover of US$1.6 tn in 2021, a 16% 2 rise from
Slide 13: Apparel is the Major Contributor in the Trillion Dollar T&A Trade
1 Apparel is the Major Contributor in the Trillion Dollar T&A Trade Apparel’s trade value is expected to reach 60% of the Global textile & apparel trade is expected to reach US$1 tn by 2025, growing at a CAGR of 5% global T&A trade by 2025 (growing at a CAGR of 8%) 1,000 2025P Home Textiles 838 70 6
Slide 14: Evolving Market Dynamics Enabling PDS' "Right to Win"
2 Evolving Market Dynamics Enabling PDS’ “Right to Win” PDS is leveraging the opportunities created to expand global reach Global Economic PDS capitalising the By Expanding the Pressure due to rising opportunities thus Service offerings with Interest rates and created Customised Solutions supply cha
Slide 15: Presence Across Entire Fashion Value Chain via Bespoke Solutions
2 Presence Across Entire Fashion Value Chain via Bespoke Solutions Legend: Area of full participation Area of selective participation Raw Merchandise Manu Quality Brand Recovery Value Chain Designing Sourcing Material Logistics Retailing Planning -facturing Assurance Management Recycled Purchasing s
Slide 16: PDS Ventures - Further Strengthening Our "Right to Win"
2 PDS Ventures - Further Strengthening Our “Right to Win” Focus on cultivating brands with focus on sustainability and circularity technology Material Science Partnering with Collaborators to Create Future Wins Innovation ▪ Co-Investment with Strategic retailer partners Manufacturing & ▪ Partnering
Slide 17: Vast Global Network with Coverage of All Apparel Segments
3 Vast Global Network with Coverage of All Apparel Segments 22+ Countries 600+ Strong Presence Across All Segments 60+ Partner Factories Offices Category Wise Revenue Split (FY23) 10,000+ Men’s Wear 39% Men 's wear Employees + Factory 250+ Designers Associates Women’s Wear Ladies wear 34% Children W
Slide 18: Catering to a Diversified Base of Marquee Global Clients
4 Catering to a Diversified Base of Marquee Global Clients North America 15% UK 45% Well Diversified Clientele On an average basis, each of the top 10 customers contributes <7% of the Topline Europe 26% Remaining % Share Asia and Middle East 11% Rest of the World 3% % % Share of FY23 Revenue Note: T
Slide 19: Experienced Business Heads Driving Business & Customer Engagement
5 Experienced Business Heads Driving Business & Customer Engagement Business model based on the ethos of “Partner and Grow Together” % represents economic interest in the vertical Revenue: $244mn $59mn $150mn $57mn $65mn PBT %: 5% 25+ 9+ 17+ 15+ 11+ 2% 3% 2% 2% 25% 40% 25% 33% 15% Anuj Banaik Alex F
Slide 20: Robust Financial Performance (1/2)
6 Robust Financial Performance (1/2) Consistent performance is a testament to our effective strategies, and efficient execution Revenue (₹ Cr) Gross Margin (%) CAGR: 13% 10,577 ↑214bps 8,828 16.5% 16.5% 16.2% 16.7% 6,486 6,648 6,213 14.6% ( $928mn ) ( $938mn ) ( $837mn ) ( $1,185mn ) ( $1,316mn ) FY
Slide 21: Robust Financial Performance (2/2)
6 Robust Financial Performance (2/2) Enabled us to maintain our growth trajectory despite economic headwinds Cash Flow from Operating Activities (₹ Cr) Net Debt (₹ Cr) 510 330 407 245 379 281 213 59 ( $48mn ) ( $32mn ) ( $8mn ) ( -$5mn ) ( -$16mn ) ( $31mn ) ( $37mn ) ( $52mn ) ( $54mn ) ( $62mn ) F
Slide 22: Highly Reputable Board of Directors & Pedigreed Leadership Team
7 Highly Reputable Board of Directors & Pedigreed Leadership Team Board of Directors Dr. Deepak Pallak Payel Yael Mungo Robert Nishant Parth BG Kumar Seth Seth Gairola Park Sinclair Parikh Gandhi Srinivas Seth Founder and Executive Vice Non-Executive and Non-Executive and Independent Director Indepe
Slide 23: Strategic Growth Drivers
Strategic Growth Drivers PDS@2023 22
Slide 24: Recent Wins Driving Our Strategic Growth
Recent Wins Driving Our Strategic Growth We are Capitalizing on the Disruptions in the Industry Design-Led Sourcing as a Manufacturing Brands & Brand Sourcing Service Management Solar plant at Bangladesh & Sri Lanka PDS@2023 23
Slide 25: Gearing Up for Driving Growth & Profitability
Gearing Up for Driving Growth & Profitability Multiple levers of growth available across segments Focus on Brands and Brands Management Brands Category and Geography ▪ Expand portfolio of brands Expansion driving wholesale distribution ▪ Licensed brands | Influencer Category Expansion Brands Increas
Slide 26: In FY22, Chartered a Journey for Achieving $2.5bn Revenue Potential
In FY22, Chartered a Journey for Achieving $2.5bn Revenue Potential Revenues FY21-22: $1.2bn (₹8,828cr) Annual Revenue Potential 4-5 years: $2.5bn (₹21,000cr) Design Led Sourcing as a Sourcing, 91% Service 8%-10% Design Led Sourcing 75%-80% Brands 4%-5% Brands, 3% Manufacturing 8%-10% Manufacturing,
Slide 27: Well Poised to Drive Sustainable & Profitable Growth
Well Poised to Drive Sustainable & Profitable Growth 1 2 Post-COVID Resilience and Growth Strategic Ecosystem Opportunities ▪ Successfully weathered the COVID-19 ▪ Strategic growth opportunities with existing challenges & prospective customers ▪ Embarking on an ambitious growth ▪ Expanding the globa
Slide 28: Annexure
Annexure PDS@2023 Hanes PDS SAAS Setup 27
Slide 29: Business Description
Business Description PDS@2023 28
Slide 30: Business Driven Based on a Robust Risk Management
Business Driven Based on a Robust Risk Management Safeguard against business risks and delivering success even during uncertain times Credit 01 Compliance • Credit insurance • PDS Code of Conduct • Preonboarding review of customers • Zero Tolerance Violation (ZTV) Policy and suppliers • Customer com
Slide 31: Design Led Sourcing: End to End Process Flow
Design Led Sourcing Enabling brands and retailers optimize sourcing strategies, reduce costs, and timely delivery Global Design-Led Ecosystem Design catalogue based on market intelligence Customer choose the style End to End Process Flow Quotes are sort from partner factors Enjoying Inherent Competi
Slide 32: Sourcing as a Service Model
Sourcing as a Service Model Long-term strategic collaborations – a testament to our capabilities Exclusive Sourcing Partner Exclusive: Bangladesh ▪ Joint Budgeting and Decision Making Non-Exclusive: India | Engagement ▪ Monthly overheads to be charged on actual basis Pakistan | Egypt Model ▪ Transpa
Slide 33: Manufacturing Business
Manufacturing Business Greater control over the production process and stringent quality assurance procedures Strategic & tactical decision Why enter manufacturing? One stop shop for apparel sourcing Driven by customer centricity Enhances credibility with customers especially from the US Partnered G
Slide 34: Brand Management
Brand Management Driving higher margin portfolio supported by strong design and sourcing capabilities End to End Brand In House Brands Influencer/Acquired Brands Licensed Brands Management FW BRIDGE 200+ Licensed Characters Exploring and expanding into end to end brand management solutions PDS@2023
Slide 35: Catering to Leading Retailers and Brands (Value)
Catering to Leading Retailers and Brands (Value) MARQUEE CUSTOMERS WELL DIVERSIFIED BASE OF PDS@2023 Creating a balance strategy to serve both value and premium brands 34
Slide 36: Catering to Leading Retailers and Brands (Premium)
Catering to Leading Retailers and Brands (Premium) MARQUEE CUSTOMERS WELL DIVERSIFIED BASE OF PDS@2023 Creating a balance strategy to serve both value and premium brands 35
Slide 37: Pioneering Sustainability and Workplace Excellence
Pioneering Sustainability and Workplace Excellence PDS@2023 36
Slide 38: Organization Strengthened by a People-first Approach
Organization Strengthened by a People-first Approach +10,000 global employee strength Awarded ESOPs for ~100 employees PDS@2023 37
Slide 39: #PDS4Sustainability - Targets
Continue to Focus on Creating a Positive Impact S&P ESG Rating – Our First Step #PDS4Sustainability - Targets PDS@2023 38
Slide 40: Giving Back to the Community
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-round growth a
Slide 41: Winning Accolades & Industry Representation
Winning Accolades & Industry Representation PDS@2023 40
Slide 42: Financial Statements and Shareholding
Financial Statements and Shareholding PDS@2023 41
Slide 43: Consolidated Profit & Loss
Consolidated Profit & Loss For the Year ended March 23 Values in ₹ cr Full Year ended Full Year ended Growth Particulars 31-Mar-23 31-Mar-22 (Y-o-Y) Key Highlights Income from Operations 10,577 8,828 20% COGS 8,806 7,396 19% 1. Income from Operations increased by 20% Gross Profit 1,771 1,432 24% Gro
Slide 44: Consolidated Balance Sheet
Consolidated Balance Sheet As on March 31, 2023 Values in ₹ cr As on As on As on As on Particulars Particulars 31-Mar-23 31-Mar-22 31-Mar-23 31-Mar-22 Non-Current Assets 886 787 Calculated basis LTM P&L items Current Assets 2,223 2,611 Inventory Days 11 15 Inventories 256 305 Debtor Days 34 59 Trade
Slide 45: Together we're building a better, more sustainable supply chain
Together we’re building a better, more sustainable supply chain 44