Monte Carlo Fashions Ltd. · NSE:MONTECARLO
Monte Carlo Fashions — Q4 FY21 Earnings Presentation
30 slides from Monte Carlo Fashions's earnings presentation, May 15, 2021
Slide 1: Monte Carlo Fashions Q4FY21 Investor Presentation cover letter
MONTE CARLOS It's the way you make me feel MONTE CARLO FASHIONS LIMITED Regd. Office : B-XXIX-106, G.T. Road, Sherpur, Ludhiana - 141003 (Pb.) India. Tel.: 91-161-5048610, 5048620, 8048630, 5048640 Fax : 01-161-5048650 GSTN : OSAAFCM7888Q1ZK PAN - AAFCM7888Q TAN - JLDM04272C CIN - L51494PB2008PLC032
Slide 2: Q4 & FY21 Investor Presentation
MONTE CARLO FASHIONS LIMITED Q4 & FY21 INVESTOR PRESENTATION
Slide 3: Discussion Summary
It’s the way you make me feel DISCUSSION SUMMARY # Page No 01 Financial Highlights 03 02 Company Overview 13 03 Investment Rationale 18 04 Annexure 26
Slide 4: Financial Highlights
MONTE CARLO 2X. les the way you make me feel O01 FINANCIAL HIGHLIGHTS
Slide 5: FY21: Performance at a Glance
FY21: PERFORMANCE AT A GLANCE ▪ Revenue for the FY21 stood at ₹6,220 Mn despite disruption due to Covid-19, which reflects our strong business model and execution skills. ▪ Reported an EBITDA of ₹1,156 Mn for the Financial Year ▪ Cash PAT stood at ₹1,005 Mn ▪ Business Update • Opened 28 new stores d
Slide 6: Q4 & FY21: Financial Highlights
Q4 & FY21: FINANCIAL HIGHLIGHTS In Rs Mn REVENUES EBIDTA PAT & CASH PAT 961 1,005 7,256 1,244 FY21 6,220 1,156 627 663 FY20 FY21 FY20 FY21 FY20 FY21 PAT Cash PAT REVENUES EBIDTA PAT & CASH PAT 1 49 Q4 FY21 1,095 1,088 -13 -40 -102 -13 Q4FY20 Q4FY21 Q4 FY20 Q4 FY21 Q4 FY20 Q4 FY21 PAT Cash PAT 5
Slide 7: FY21: Revenue Details
FY21: REVENUE DETAILS REVENUE BREAKUP– REGION WISE REVENUE BREAKUP – CHANNEL WISE (Including Online Sales) FY20: Rs 7,235 Mn FY21: Rs 6,126 Mn FY20: Rs 7,235 Mn FY21: Rs 6,126 Mn 3% 6% 7% 9% 14% 13% 5% 4% 48% 32% 31% 51% 53% 53% 25% 27% 8% 7% 2% 2% North South East West Central Others Including Onli
Slide 8: Q4 FY21: Revenue Details
Q4 FY21: REVENUE DETAILS REVENUE BREAKUP– REGION WISE REVENUE BREAKUP – CHANNEL WISE (Including Online Sales) Q4 FY20: Rs 1,109 Mn Q4 FY21: Rs 1,072 Mn Q4 FY20: Rs 1,109 Mn Q4 FY21: Rs 1,072 Mn 11% 7% 17% 5% 13% 9% 3% 42% 5% 50% 31% 18% 53% 46% 21% 23% 20% 19% 3% 4% North South East West Central Oth
Slide 9: Q4 & FY21: Revenue Analysis
Q4 & FY21: REVENUE ANALYSIS REVENUE BREAKUP - SEGMENT WISE In Rs Mn Q4 FY20 Q4 FY21 FY20 FY21 Total Revenues* Rs. 1,109 Rs. 1,072 Rs. 7,235 Rs. 6,126 Cotton Segment 74.9% 74.2% 59.1% 51.4% Woollen Segment 12.5% 15.1% 22.3% 27.7% Home Textiles 6.5% 6.3% 11.7% 14.3% Kids 6.1% 4.4% 6.9% 6.6% * Revenue
Slide 10: Diversified Portfolio
DIVERSIFIED PORTFOLIO SEGMENT COMPOSITION COTTON SEGMENT BIFURCATION- FY21 9.0% 7.6% 9.1% 11.7% 14.3% 5.0% 5.1% 5.3% 6.9% 6.6% 12% 34% 58.0% 61.0% 16% 60.1% 51.4% 59.1% 7% 31% 28.0% 26.3% 25.5% 27.7% 22.3% 2017 2018 2019 2020 2021 Tshirt & Shirt Denim & Trousers Jackets , coats & Suits Other Garment
Slide 11: Q4 & FY21: Profit and Loss Statement
Q4 & FY21: PROFIT AND LOSS STATEMENT Particulars (In Rs Mn) Q4 FY21 Q4 FY20 FY21 FY20 Revenue From Operations 1,088 1,095 6,220 7,256 Material Cost 565 591 3,310 3,831 Gross Margin 523 504 2,910 3,425 Gross Margin % 48.1% 46.0% 46.8% 47.2% Personnel Expenses 195 186 599 696 Advertisement Expenses 64
Slide 12: Balance Sheet
BALANCE SHEET Particulars (Rs In Mn) Mar-21 Mar-20 Particulars (Rs In Mn) Mar-21 Mar-20 Equities & Liabilities Non-Current Assets Equity Share Capital 207 Property,Plant and equipment 1,492 1,518 207 Right-of-use assets 752 759 Other Equity 5,834 5,244 Capital work in progress 12 25 Total Equity 6,0
Slide 13: Financial Performance
FINANCIAL PERFORMANCE In Rs Mn CONSISTENT REVENUES EBITDA & EBITDA MARGIN 7,256 6,564 6,220 19.7% 18.6% 5,760 17.1% 5,231 14.8% 15.0% 1,132 1,244 1,156 983 776 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 EBITDA (mn) EBITDA Margin % PAT & PAT MARGIN LEVERAGE & RETURN RATIOS 11.8% 10.7% 8.4% 9.1
Slide 14: Company Overview
COMPANY OVERVIEW MONTE CARLO 2X. les the way you make me feel 13
Slide 15: Monte Carlo: India's First Organised Lifestyle Apparel Brand
MONTE CARLO: INDIA’s FIRST ORGANISED LIFESTYLE APPAREL BRAND Strong Pedigree Manufacturing Plants Leading Winter wear Brand, launched in 1984 2 Manufacturing Plant located in Ludhiana promoted by Sh.Jawahar Lal Oswal, CMD, Oswal woollen Mills Ltd and Nahar Group Super Brand Diversified Product Portf
Slide 16: Diversified Product Portfolio
DIVERSIFIED PRODUCT PORTFOLIO Range Home Kids Woollen Cotton Furnishing Sweaters, Pullovers MinkMink Monte Carlo thermals, Shirts, Shirts, trousers,trousers, blankets, blankets,bed bed Mid Premium / woollen accessories t-shirts, t-shirts, track-suits track-suits andand sheets sheets and - Premium (c
Slide 17: What Is Our Business Model
WHAT IS OUR BUSINESS MODEL May Aug January Feb -March April Till July Onwards BUSINESS CYCLE FOR WINTER SEASON SALES • Product development • Commissioned agents display the • The dealers and • Production of pre- • Dispatching of winter & Sampling process samples to dealers and distributors distribut
Slide 18: Distribution Model
DISTRIBUTION MODEL MBO and NCS Shop In Shop EBO-COCO EBO –FOFO Distributors MINIMUM GOODS RETURNED Distribution Pre-Booking of SOR – Sale or Pre-Booking of Pre-Booking of Inventory owned Sale Model orders Outright Return / orders Outright orders Outright by Company Sales Outright Sales Sales sale Go
Slide 19: Investment Rationale
03 Investment Rationale MONTE CARLO 18
Slide 20: Investment Rationale
INVESTMENT RATIONALE Strong brand Equity commanding good credit terms with suppliers Consistent rewards Extensive to Shareholders in distribution network form of dividend or with presence across buy back India Investment Rationale Continuous Strong financial technology and no major upgradation as ca
Slide 21: Strong Brand Equity
STRONG BRAND EQUITY … ❖ “Monte Carlo”, has Strong Brand Equity ❖ Being a Premium Brand, Monte Carlo enjoys Pricing Power & Customer Loyalty ❖ Regular Investment in Brand Building & Marketing Initiatives ASPIRE TO SERVICE END TO END WARDROBE REQUIREMENTS OF INDIAN CONSUMERS BY FURTHER INTRODUCING EXC
Slide 22: Having Pan India Presence
… HAVING PAN INDIA PRESENCE … DISTRIBUTION NETWORK J&K 4 Ladakh STORE NETWORK 1 Type of Store FY19 FY20 FY21 HP 11 Punjab 43 EBO – COCO 27 37 42 Chandigarh 4 Uttarakhand 10 Haryana 26 EBO – FOFO 229 241 256 Delhi 20 MBO and Distributors 2,500+ 2,500+ 1,777* UP 39 NCS 306 566 622 Rajasthan 31 Assam 1
Slide 23: Regular Technology Upgradation
… & REGULAR TECHNOLOGY UPGRADATION Whole Garment Machine Cotton Woollen • 30 professionals closely tracking the trending global fashion • To meet the standards of technology upgradation and modernisation, Company has installed the automatic whole-garment state-of-art manufacturing facility, at the e
Slide 24: Led by Experienced Management
LED BY EXPERIENCED MANAGEMENT … Sh. Jawaharlal Oswal Sh. Sandeep Jain Sh. Rishabh Oswal Sh. Dinesh Gogna (Chairman & MD) (Executive Director) (Executive Director) (Director) • Sh. Jawahar Lal has More • Sh. Sandeep Jain is has • Rishabh Oswal is part of • Sh. Dinesh Gogna has more than 50 years of m
Slide 25: Resulting in Strong Financials
… RESULTING IN STRONG FINANCIALS HEALTHY ❖ Ability to sustain Robust growth without any RETURN RATIOS major capex; Return Ratios set to improve STRONG BALANCE ❖ Cash balance of Rs 2,284 Mn (includes cash and bank balance along with current and non-current SHEET POSITION investments) as of Mar 2021 ❖
Slide 26: Consistent Reward to Shareholders
CONSISTENT REWARD TO SHAREHOLDERS Dividend% Buy Back 150 120 Buyback 100 100 50 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 Company has done buy back of Rs. 550 Mn in FY19 to reward shareholders. Promoters have not participated in the buy back Strong Track Record and Proven Expertise to Generate Healt
Slide 27: Annexure
MONTE CARLO 2X. les the way you make me feel Ww [a4 =) x< Wi ] 2 <x 26
Slide 28: Branding Initiatives
BRANDING INITIATIVES Proven track record in building brands in India Clothing Partner for reality Shows like Big boss, Khatron ke Khiladi Clothing partner for the blockbuster Bollywood films Saaho, Barfi, Mary Kom, Bhaag Milkha Bhaag, and Student of the Year TIE-UPS WITH ONLINE PLATFORMS STRATEGIC T
Slide 29: CSR Activities
CSR ACTIVITIES WE BELIEVE IN “FULFILLING ASPIRATIONS AND TRANSFORMING LIVES “ The organization has worked towards the betterment of various schools & institution at Education Dhandari Kalan Government Primary school , Govt School (Magra Lulu),Brailee Bhawan Ludhiana by providing them operational & F
Slide 30: Thank You
THANK YOU Mr. Dinesh Gogna Director Ms. Dikshita Jain Consultant Mr. Sandeep Jain Executive Director Mr. Vikash Verma Director Mr. Rishabh Oswal Executive Director Email: monte.carlo@dickensonworld.com Email: investor@montecarlocorporate.com Disclaimer: This presentation and the following discussion