Renaissance Global Limited · NSE:RGL
Renaissance Global — Q1 FY2023 Earnings Presentation
36 slides from Renaissance Global's earnings presentation, Aug 8, 2022
Slide 1: Exchange filing cover letter
Ref. No.: RGL/S&L/2022/162 August 8, 2022 Bombay Stock Exchange Limited National Stock Exchange of India Ltd. Listing Department Exchange Plaza, Plot no. C/1, Phiroze Jeejeebhoy Towers G Block, Bandra Kurla Complex, Dalal Street, Fort, Bandra (East), Mumbai – 400 001 Mumbai - 400 051 Sub.: Press Rel
Slide 2: Renaissance Global announces Q1 FY23 Results
PRESS RELEASE Renaissance Global announces Q1 FY23 Results Q1 FY23 Total Income stood at Rs. 575 crore higher by 37% YoY Direct-to-Consumer business revenues up 63% to Rs. 41 crore EBITDA stood at Rs. 42 crore, with margins at 7.3% PAT improves to Rs. 24.2 crore Mumbai, August 08, 2022: Renaissance
Slide 3: Key Developments – D2C Business Update
Looking ahead, given the intensifying inflation trend, we anticipate global consumption for discretionary products to be muted in the near future. However, on a longer-term basis, we are optimistic about our growth prospects and potential in our international markets such as US, Europe and UK. There
Slide 4: Press release contacts and disclaimer
For further information on the Company, please visit www.renaissanceglobal.com Snehkumar Purohit Anoop Poojari / Jenny Rose Renaissance Global Limited CDR India Tel: +91 96534 84380 Tel: +91 98330 90434 / +91 86899 72124 Email: Snehkumar.purohit@renaissanceglobal.com Email: anoop@cdr-india.com / jen
Slide 5: Results Presentation Q1 FY23
Results Presentation Q1 FY23
Slide 6: Disclaimer
Disclaimer This presentation and the following discussion may contain “forward looking statements” by Renaissance Global Limited (“Renaissance” or the Company) that are not historical in nature. These forward-looking statements, which may include statements relating to future results of operations,
Slide 7: Content
Content Q1 FY23 Company Annexure Results Overview Overview 4 15 28 3
Slide 8: Q1 FY23 Results Overview
CO Renaissance Global Limited Q1 FY23 Results Overview
Slide 9: Q1 FY23 Financial Summary
Q1 FY23 Financial Summary Total Income (Rs. Crore) EBITDA (Rs. Crore) EBITDA 9.9% 7.3% Margin (%) 37% 2% 575 420 41 42 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 PAT (Rs. Crore) EPS[1] (Rs.) PAT 5.7% 4.2% Margin (%) 2.52 2.57 2% 2% 23.8 24.2 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 [1] After the end of quarter unde
Slide 10: Management Message
Management Message Commenting on the performance for Q1 FY23, Mr. Sumit Shah – Chairman and Global CEO, Renaissance Global Limited said, “We have delivered a healthy top-line performance during the quarter despite a challenging macro-environment in our key global markets. Our total income growth for
Slide 11: Growing Direct to Consumer (D2C) Business
Growing Direct to Consumer (D2C) Business During Q1 FY23, the direct-to-consumer business posted revenues of Rs. 40.7 crore compared to Rs. 25.0 crore in Q1 FY22, up by 62.9% YoY Based on our estimates of a quarter’s contribution to annual sales, our annual revenue run rate is at Rs. 203.6 crore
Slide 12: Q1 FY23 Operational Summary
Q1 FY23 Operational Summary Revenue Break-up Q1 Q1 Shift % Revenue Mix (%) (₹ Cr.) FY23 FY22 Plain Gold Customer Brands Branded Jewellery Branded Jewellery 124.1 91.5 35.6% 22% 22% 23% - B2B 83.4 66.5 25.3% - D2C 40.7 25.0 63.1% 68% 71% 70% Customer brands 392.0 290.7 34.9% Plain Gold 57.6 27.3 111.
Slide 13: Q1 FY23: Financial & Operational Discussions (Y-o-Y)
Q1 FY23: Financial & Operational Discussions (Y-o-Y) Revenue Total income stood at Rs. 575.4 crore from Rs. 419.6 crore, higher by 37% Branded Jewelry business revenues up 36% YoY to Rs. 124.1 crore D2C business revenues grew by 63% to Rs. 40.7 crore Revenue share of studded jewellery stood at
Slide 14: Robust Free Cash Flow Generation
Robust Free Cash Flow Generation Free Cash Flow Generation (Rs. Cr.) 87 194 113 66 Strong FCF generation -351 Branded Jewellery - a low capital- intensive business FY19 FY20 FY21 FY22 TTM June 22 Operating leverage & minimal capex spends to further improve FCF generation, going ahead Cash, Cas
Slide 15: Strong Balance Sheet
Strong Balance Sheet Leverage Net Debt (Rs. Cr.) Equity (Rs. Cr.) Net debt/Equity (X) 0.76 0.52 Highly disciplined balance sheet 0.34 0.29 0.30 approach 665 699 929 843 924 503 Increase in capital deployment due to 364 242 280 318 higher business YoY reflecting in FY19 FY20 FY21 FY22 TTM June 22
Slide 16: Healthy Return Ratios
Healthy Return Ratios ROE ROE (Adjusted for Cash & Current Investments) 17.6% 18.9% 17.1% 16.6% 8.8% Q1 FY23 Return on Equity continues to be 12.9% 13.5% 12.0% 12.1% at 12.1% vs 12.0% for FY22. It is as high 6.0% as 16.6% without considering cash & FY19 FY20 FY21 FY22 TTM June 22 current investmen
Slide 17: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Y-o-Y Y-o-Y Particulars (Rs. Crore) Q1 FY23 Q1 FY22 FY22 FY21 Change (%) Change (%) Revenues from Operations 573.8 409.5 40.1% 2,189.8 2,031.2 7.8% Other Income 1.6 10.1 -83.8% 18.9 16.1 17.4% Total Income 575.4 419.6 37.1% 2,208.7 2,047.4 7.9% COGS 432.8 282.9 5
Slide 18: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (Rs. Crore) June 2022 June 2021 Particulars (Rs. Crore) June 2022 June 2021 Shareholder's Funds 929.1 860.5 Non-Current Assets Equity Share Capital 18.9 18.7 Fixed Assets – Tangible & Intangible [2] 224.2 76.1 Reserves & Surplus 910.1 841.6 CWIP & Intangibles u
Slide 19: Company Overview
iO Renaissance Global Limited Company Overview
Slide 20: Corporate Snapshot
Corporate Snapshot Global Jewellery Company focused on designing, manufacturing and distribution of branded jewellery 4 6 560 cr Licensing Direct-to- Annualized agreements with Consumer Branded jewellery global brands websites revenues (Rs.) Strong presence in global markets of North based on Q1 FY2
Slide 21: Building a Global Branded Jewellery Business
Building a Global Branded Jewellery Business Growing revenue contribution from Branded Jewellery Association with globally-recognized brands segment 23% Increased presence in high-potential key global 18% markets Renaissance’s Branded 13% Jewellery Better pricing on the back of branded products 10%
Slide 22: Branded Jewellery Business Model
Branded Jewellery Business Model Brands Design & Conceptualisation State-of-the-Art Manufacturing & Product Manufacturing Development Facilities Business-to- Distribution Direct-to- Business Consumer (D2C) (B2B) 18
Slide 23: 'Win-Win' Partnership with Global Iconic Brands
‘Win-Win’ Partnership with Global Iconic Brands Renaissance Global Global Brands PUSH STRATEGY PULL STRATEGY Conceptualisation & design Licensing agreements Brand development Manufacturing IP rights of brands Long-term license contracts Product marketing Marketing Distribution Spec
Slide 24: Growing Portfolio of Brands
Growing Portfolio of Brands Licensed Brands Partnership with Hallmark since 2015 Licensing arrangement with Disney since 2016 with the launch of Enchanted Disney Fine jewellery Success of brand unlocked more licensing opportunities Launched Disney Jewels in October 2019 & Disney Treasures in
Slide 25: Growing Portfolio of Brands (Owned)
Growing Portfolio of Brands Owned Brands Launched first India-focused retail brand IRASVA in 2019 Operates 3 IRASVA stores in India Jewelili, a play on affordable fine jewellery collection launched in February 2020 Distributed through Amazon platform in addition to its own website Made for
Slide 26: Establishing High-Potential D2C Division
Establishing High-Potential D2C Division Launch Timeline June February November November February May Successfully developed 2019 2020 2020 2020 2021 2021 and launched 6 online stores in a span of 27 months Segment enjoys higher margins and healthy working capital cycle KINDLY CLICK ON THE LOGOS
Slide 27: Growth Drivers
Growth Drivers Growing high-margin branded jewellery segment Extending licensing model to newer brands Increasing use of lab-grown diamonds to prioritize focus on sustainability Widening Omni-channel distribution network Inorganic growth opportunities 23
Slide 28: Conclusion
Conclusion Play on high-potential global branded jewellery industry ‘Win-Win’ partnership with global iconic brands Footprint in huge developed & developing global markets for branded jewellery Increasing scale to drive operating leverage across distribution channels High margin & low-capital intens
Slide 29: ESG Initiatives
iO Renaissance Global Limited ESG Initiatives
Slide 30: ESG Initiatives
ESG Initiatives ENVIRONMENT SOCIAL To achieve safety, health Renaissance’s CSR POLICY and environmental covers projects through NGOs excellence in all aspects of under: business activities Medical, Health Care and During the quarter Social Welfare Q1FY23, Renaissance Educational Global Ltd.
Slide 31: Corporate Social Responsibility
Corporate Social Responsibility ENVIRONMENTAL, MEDICAL, HEALTH CARE AND EDUCATIONAL HUMANITARIAN ANIMAL WELFARE, SOCIAL WELFARE CULTURAL & RELIGIOUS Partnered with the Under the Each One Teach One Initiative (EOTO), Donated during natural Actively contributes to Bhaktivedanta Hospital by Ren
Slide 32: Annexure
») Renaissance Global Limited Annexure
Slide 33: Market Snapshot
Market Snapshot Shareholding Pattern* Promoter & Promoter Group 70.6% Foreign Institutions (FPI, FII & 2.5% NRI) Individual - >1% 3.8% Others 23.1% *Holding as on 30th June 2022 Key Market Statistics As on 30-June-2022 (Adjusted for Split) BSE/NSE Ticker 532923/RGL CMP (Rs) 115.8 Market Cap (Rs Cror
Slide 34: Conference Call Details
Conference Call Details Q1 FY2023 Earnings Conference Call Time • 02:00 p.m. IST on Wednesday, August 10, 2022 To enable participants to connect to the conference call Pre-registration without having to wait for an operator, please register at the below mentioned link: Primary dial-in number • + 91
Slide 35: About Us
About Us Renaissance Global Limited (Renaissance) is a global branded jewellery player. Renaissance designs, manufactures and supplies branded jewellery across key high- potential markets in USA, Canada, UK & key Asian markets. The product portfolio encompasses Branded Jewellery, Customer Brands & P
Slide 36: Thank You
CO Renaissance Global Limited Thank You