Relaxo Footwears Limited · NSE:RELAXO
Relaxo Footwears — Q2 FY2021 Earnings Presentation
25 slides from Relaxo Footwears's earnings presentation, Oct 31, 2020
Slide 1: Exchange filing cover letter for investor presentation
October 31, 2020 BSE Ltd. National Stock Exchange of India Corporate Relationship Ltd. Department Listing Department, 1st Floor New Trading Exchange Plaza, Rotunda Building, P J Towers Sandra Kurla Complex, Dalal Street Fort, Mumbai-400001 Sandra (East), Mumbai- 400 051 Scrip Code - 530517 Scrip Cod
Slide 2: Relaxo Investors Presentation September 2020
RELAXO INVESTORS PRESENTATION SEPTEMBER 2020 COMMITTED TO PROVIDE BEST-IN-CLASS FOOTWEAR
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Relaxo Footwears Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: Q2 FY21 and H1 FY21 Performance
Q2 FY21 and H1 FY21 Performance Q2FY21 Performance Revenue from Operations (in ₹ crs) EBITDA (in ₹ crs) and EBITDA % PAT (in ₹ crs) and PAT % 622 150 22.0% 25% 150 13.0% 15% 576 11.4% Q2 FY21 600 16.8% 20% 100 127 100 10% Revenue down by 7% to Rs. 400 105 15% 75 71 10% 576 crore Y-o-Y due to 50 50
Slide 5: Company Overview
Company Overview
Slide 6: Highlights FY20
Highlights FY20 • Largest footwear manufacturer in India. • ‘Value for Money’ products. • Portfolio of mass appeal brands. 2,410 Cr. 409 Cr. 226 Cr. Revenue from EBITDA PAT operations 17.9 Cr. 9 10000+ Pair sold Brands SKUs 8 50,000+ 396* State of the art Retailers served Exclusive brand manufacturi
Slide 7: Moving Forward, Gaining Momentum.
Moving Forward, Gaining Momentum. 6
Slide 8: Key investment highlights
Key investment highlights Favorable dynamics of Indian footwear industry Leading player in the ‘value’ segment with an array of strong brands Manufacturing excellence Pan-India distribution network Robust financial performance Future ready 7
Slide 9: Attractive dynamics of the Indian footwear industry
Attractive dynamics of the Indian footwear industry Strong growth potential of the Indian footwear industry • India is the second largest footwear manufacturer after China, accounting for 9% of the world market with ~22bn pair. • Currently India exports only 10% of the footwear produced with the dom
Slide 10: Relaxo is a leading player in the 'Value' segment
Relaxo is a leading player in the ‘Value’ segment • Market leader in the ‘Value’ segment. • Robust product portfolio. • High Brand Equity Aligning our product portfolio with evolving consumer needs and trends Structured Market Research Product innovation Portfolio rationalization Brand Equity Regula
Slide 11: Our portfolio of brands, with strong identities
Our portfolio of brands, with strong identities Premium range of sports Formal shoes for & canvas shoes, sandals & men slippers Fashionable and light Trendy footwear for weight footwear women Most popular iconic Household name brand of Hawai slippers synonymous with quality, comfort & value Trendy a
Slide 12: Sustained manufacturing excellence
Sustained manufacturing excellence Strong in-house manufacturing capabilities • 8 manufacturing facilities with a capacity to produce ~7.5 Lac pair/day. • Continuous focus on optimising operations – Dedicated line for manufacturing fast moving SKUs – Lean manufacturing (waste minimisation without co
Slide 13: Strong distribution network; one of the largest in the Indian footwear industry
Strong distribution network; one of the largest in the Indian footwear industry Jammu & Kashmir Retailers/ MBOs 50,000+ Haryana Delhi Punjab Himachal Pradesh Uttarakhand Distributors ~700 Countries exported to ~40 Rajasthan Uttar Pradesh EBO 396 Overseas office in Dubai 1 Bihar Gujarat West Bengal M
Slide 14: With a growing online presence
With a growing online presence www.shopatrelaxo.com Partnerships with major ecommerce companies 13
Slide 15: Robust financial performance..
Robust financial performance.. ₹ in Crore Revenue from Operations EBITDA 2292 2410 409 2,600 500 2,500 1949 2,400 2,300 1712 2,200 1652 324 2,100 302 400 2,000 1,900 1,800 240 231 1,700 1,600 300 1,500 1,400 1,300 1,200 1,100 1,000 200 900 800 700 600 500 100 400 300 200 100 0 0 FY16 FY17 FY18 FY19
Slide 16: with operational efficiencies
with operational efficiencies EBITDA % PAT % 9.4% 17.0% 8.3% 15.5% 7.3% 7.6% 14.0% 14.0% 14.1% 7.0% FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 RoCE % RoE % 31.8% 31.0% 28.4% 27.2% 26.4% 24.8% 22.1% 23.6% 18.8% 19.0% FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 FY16 is based on IGAAP. FY1
Slide 17: Debt ratings and profile
Debt ratings and profile Debt/ Equity (X) Interest coverage ratio (X) 39.8 29.4 18.3 0.4 12.8 0.2 0.2 8.6 0.1 0.02 FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 Credit Ratings Agency Instruments Ratings Comments Indicates very strong degree of safety for short term debt instruments. ICRA Short T
Slide 18: Consistent dividend payout
Consistent dividend payout Dividend in ₹ crore Dividend as a % of Face value 150% 125% 100% 90% 60% 7.2 12.0 18.0 22.3 31.0 FY16 FY17 FY18 FY19 FY20 * Post Bonus 17
Slide 19: EPS and Net Worth
EPS and Net Worth Net Worth in ₹ crore EPS in ₹ 13.40 10.02 9.99 9.12 7.07 480 606 761 1105 1272 FY16 FY17 FY18 FY19 FY20 * Post Bonus 18
Slide 20: Advancing towards Tomorrow, Today
Advancing towards Tomorrow, Today Streamline the Continued Increase exports by distribution network investment in our expanding our – especially in brands to sustain presence in underpenetrated demand pull international markets markets 1 2 3 4 5 6 Continued Innovation and Increase the manufacturing
Slide 21: Highly experienced Board of Directors
Highly experienced Board of Directors Ramesh Kumar Dua, Managing Director Mukand Lal Dua, Whole Time Director Over 44 years of experience in sales and marketing, production and new product Over 47 years of experience in new product development and quality control in development in Footwear Indus
Slide 22: And a strong management team
And a strong management team Mr. Gaurav Dua, Mr. Ritesh Dua, Mr. Nitin Dua, Mr. Ashish Srivastava , Executive VP - Executive VP - Finance Executive VP - Retail VP – Human Resources Marketing MBA having over 19 years MBA having over 20 years MBA having over 16 years MBA having over 22 years of experi
Slide 23: Shareholding pattern as of 30th September, 2020
Shareholding pattern as of 30th September, 2020 1,19,468 * Total Shareholders – 1,19,612 (18.67%) Promoter & Promoter Group Mutual Funds 17* (6.96%) Foreign Portfolio Investors 12* (70.98%) Others * No. of Shareholders with Shareholding Percentage 22
Slide 24: Best amongst the rest
Best amongst the rest FRELAXO
Slide 25: Thank You
Thank You LY = RELAXO