Rswm Ltd · NSE:RSWM
Rswm — Q2 & H1 FY23 Earnings Presentation
32 slides from Rswm's earnings presentation, Nov 14, 2022
Slide 1: RSWM Limited
RSWM Limited an LNJ Bhilwara Group Company PROUD TO BE INDIAN PRIVILEGED TO BE GLOBAL RSWM/SECTT/2022 November 14, 2022 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department, Listing Department, 1st Floor, New Trading Ring, Exchange Plaza, C-1, Block - G, Rotunda Bui
Slide 2: Investor Presentation Q2 & H1 FY23
Investor Presentation NSE: RSWM || BSE: 500350 Q2 & H1 FY23 TEXTILE DRIVEN BY INNOVATION, GROWTH & TRANSFORMATION
Slide 3: Safe Harbor
SAFE HARBOR This presentation has been prepared by RSWM (“Company") solely for information purposes without any regard to any specific objective, financial situation, or informational need of any particular person. This presentation may not be copied, distributed, or disseminated, directly or indire
Slide 4: Table of Content
1 Q2 & H1 FY23 Financial Performance 2 Drivers Of Growth 3 Company Profile 4 Strong Historical Fundamental 5 Management Team 6 Annexure 03 Earning Presentation | September 2022 Table Of Content
Slide 5: Message from CMD's Desk
MESSAGE FROM CMD’S DESK Commenting on the results, Mr. Riju Jhunjhunwala, Chairman & Managing Director, and CEO of RSWM Limited said, “The last quarter was one of the most challenging quarters we have witnessed recently due to the macroeconomic business environment. We at RSWM continue to focus on o
Slide 6: Message from JMD's Desk
MESSAGE FROM JMD’S DESK Commenting on the results, Mr. B. M. Sharma, Joint Managing Director of RSWM Limited said, “RSWM is on a steady upward growth trajectory and our current performance across all our segments and geographies during the quarter stands testimony to that, showing marginal revenue g
Slide 7: Q2 & H1 FY23 Financial Performance
Q2 & H1 FY23 Financial Performance 06 Earning Presentation | September 2022
Slide 8: Quarterly Key Highlights
QUARTERLY KEY HIGHLIGHTS Yarn ▪ The global economic volatility and high inflationary pressure resulted in subdued demand from export markets ▪ While our total turnover (yarn + denim + knits) remained stable, our export turnover dropped ~31% on a YoY basis ▪ However, the domestic market performed wel
Slide 9: Financial Performance: Q2 FY23
FINANCIAL PERFORMANCE: Q2 FY23 Revenue Gross Profit & Gross Profit Margin % ₹ in Cr 953 954 422 385 44.2% 40.3% Q2FY22 Q2FY23 Q2FY22 Q2FY23 EBITDA & EBITDA Margin % PAT & PAT Margin % 111 42 82 11.6% 4.4% 8.6% 14 1.4% Q2FY22 Q2FY23 Q2FY22 Q2FY23 08 Earning Presentation | September 2022 Financial Per
Slide 10: Financial Performance: Q2 FY23
FINANCIAL PERFORMANCE: Q2 FY23 ROCE RONW 16.3% 17.3% 25.6% 24.0% 13.1% 12.9% 12.9% 19.3% 18.5% 16.1% Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Fixed Asset Coverage Ratio In times Net Working Capital ₹ in Cr 438 407 371 334 2.2 249 1.8 1.9 1.9 2.0 Q2FY22 Q3FY22 Q4FY22 Q1FY
Slide 11: Financial Performance: H1 FY23
FINANCIAL PERFORMANCE: H1 FY23 Revenue Gross Profit & Gross Profit Margin % ₹ in Cr +5.2% +16.7% 781 822 1,978 1,695 46.1% 41.6% H1FY22 H1FY23 H1FY22 H1FY23 EBITDA & EBITDA Margin % PAT & PAT Margin % +11.0% 222 +1.7% 200 80 81 11.8% 11.2% 4.7% 4.1% H1FY22 H1FY23 H1FY22 H1FY23 10 Earning Presentatio
Slide 12: Average Sales Realization: Q2 FY23
AVERAGE SALES REALIZATION: Q2 FY23 Yarn per Kg PV Grey Yarn Cotton Grey Yarn Denim per meter 359 329 319 319 291 297 208 217 216 195 202 245 250 172 174 180 209 185 202 143 150 130 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 FY21 FY22 Q2FY21 Q3FY21 Q4FY21 FY21 Q1FY22 Q2FY22 Q3FY22
Slide 13: Drivers of Growth
DRIVERS OF GROWTH 12 Earning Presentation | September 2022
Slide 14: Drivers of Growth
DRIVERS OF GROWTH ▪ Focused on high-value specialty yarn business ▪ The company has invested around ₹410 Cr in the like Dyed and Melange yarn expansion of Denim, Cotton Mélange Yarn, Knits ▪ Change in product mix and value-added products, Business, and Modernization & Balancing equipment across all
Slide 15: Company Profile
COMPANY PROFILE 14 Earning Presentation | September 2022
Slide 16: About RSWM
ABOUT RSWM RSWM Limited is one of the largest textile manufacturers and exporters of Synthetic, Blended, Mélange, Cotton, and Specialty value-added yarns, and in the manufacturing of Denim fabric, Knitted fabric, and Green Polyester Fibres. 19% ▪RSWM is the Flagship ▪ 11 Manufacturing ▪Exports to 70
Slide 17: Strategic Location
STRATEGIC LOCATION Kanya Kheri Melange Yarn, Fibre & Yarn Dyed Ringas Fibre Dyeing & DECODING potential growth Spinning Dyed Yarn Mayur Nagar Recycled Polyester Spinning Cotton, PV Fibre (Fibre Green) Blended & Open End Greige Yarn Kharigram 4,94,680 Fibre Dyeing, Greige & SPINDLES Dyed Yarn Spinnin
Slide 18: Milestone: Well Established Player
MILESTONE: WELL ESTABLISHED PLAYER ▪ Modernization ▪ Established a of Reengus Green Fibre plant Green ▪ Acquired the manufacturing Fibre with an ▪ Added 4 MW Rishabhdev ▪ Completed an unit at additional Solar power. ▪ Established plant from expansion plan Reengus with capacity of ▪ Total capacity Gr
Slide 19: Business Verticals: Yarn
BUSINESS VERTICALS: YARN Dyed Yarn Greige Yarn Melange Yarn ▪ Dyed PV Blended, Poly 100%, Visc. 100%, ▪ Greige is a yarn that hasn't been ▪ Melange yarn, a high-value yarn, is Poly/Visc/Cotton Blended Specialty Yarns bleached or dyed manufactured at its Mandpam and from unorthodox fibres ▪ Greige ya
Slide 20: Business Verticals: Denim
BUSINESS VERTICALS: DENIM ▪ LNJ Denim, a denim-manufacturing facility established in 2007 under RSWM Limited (the flagship company of LNJ Bhilwara Group), has a manufacturing capacity of 33.4 million meters annually. Capable of processing 3000+ denim variants ▪ LNJ Denim has earned an excellent repu
Slide 21: Business Verticals: Knits
BUSINESS VERTICALS: KNITS Venturing into Knitted Fabric to create value ▪ After being the leading supplier of high-quality yarn to the world, RSWM Limited has ventured into producing circular knitting fabrics ▪ Our well-kitted fabrics ensure comfort, weightlessness, wrinkle resistance, and a multitu
Slide 22: Strong Parentage
STRONG PARENTAGE POWER CONSULTANCY ELECTRODES ▪ Indo Canadian Consultancy ▪ HEG Limited Services Limited POWER TEXTILES ▪ Balephi Jal-Vidyut Co. P. Limited - Nepal ▪ RSWM Limited ▪ NJC Hydro Power Limited ▪ Maral Overseas Limited ▪ AD Hydro Power Limited ▪ BSL Limited ▪ Bhilwara Energy Limited ▪ BMD
Slide 23: Strong Historical Fundamentals
STRONG HISTORICAL FUNDAMENTALS 22 Earning Presentation | September 2022
Slide 24: Strong Fundamentals: Leading to Growth
STRONG FUNDAMENTALS: LEADING TO GROWTH Revenue EBIDTA EBIDTA Margin ₹ in Cr 12.2% 3,817 464 9.5% 9.2% 8.9% 2,943 2,961 2,771 7.1% 2,326 263 264 210 215 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 PAT Net Cash Flow From Operation Net Working Capital 320 240 407 271 231
Slide 25: Exceptional: Return Ratio
EXCEPTIONAL: RETURN RATIO Return on Capital Employed Return on Net Worth Net Worth ₹ in Cr 13.8% 999 24.0% 901 783 761 706 6.1% 5.1% 4.3% 3.4% 3.2% 2.8% 1.6% FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 -3.1% Fixed Asset Turnover In times Net Debt ₹ in Cr Capital Employ
Slide 26: Management Team
MANAGEMENT TEAM 25 Earning Presentation | September 2022
Slide 27: Management Team
MANAGEMENT TEAM Director & Key Managerial Personnel Mr. Riju Jhunjhunwala Mr. B. M. Sharma Mr. Avinash Bhargava Mr. Surender Gupta Chairman, CEO and Joint Managing Director Chief Financial Officer VP – Legal & CS Managing Director Management Mr. Prakash Maheshwari Mr. Suketu Shah Mr. Sukesh Sharma M
Slide 28: Achievement
ACHIEVEMENT Recognised as Best Employer by various Most Innovative Risk Winner of “The organization like Management Strategy Holds the prestigious Rajasthan Energy Rajasthan Employers of the Year “3 Star Trading House” Conservation Award” Association, UBS status by Govt. of India in the Textile Sect
Slide 29: Get in Touch with Us
G E T I N TO U C H W I T H U S Shri Avinash Bhargava Shri Surender Gupta Chief Financial Officer VP – Legal and CS Tel: 01483 222515 Tel: +91 120 4390058 E: cfo.rswm@lnjbhilwara.com E: skg@lnjbhilwara.com Corporate Office Registered Office Bhilwara Towers, Kharigram, A-12, Sector - 1 P.O. Gulabpura
Slide 30: Thank You!
>) RSVWM Limited Thank You!
Slide 31: Annexure: Profit & Loss Statement
ANNEXURE Profit & Loss Statement ₹ in Cr Period Q2FY23 Q2FY22 Q1FY23 FY22 FY21 Total Income 963.27 959.90 1055.19 3,849.54 2,365.43 (Incl. other income) Raw Material Cost 609.74 515.87 642.42 2,196.71 1,217.99 Employee Cost 109.95 101.74 108.71 401.40 312.33 Power Cost 103.61 94.58 110.29 387.83 258
Slide 32: Annexure: Balance Sheet Highlight
ANNEXURE Balance Sheet Highlight ₹ in Cr Assets 30.09.22 31.03.22 Liabilities 30.09.22 31.03.22 Non-current Assets 1,310 1,239 Shareholders' Fund 1,009 999 Fixed Assets 1,165 1,087 Share Capital 24 24 Investments 79 89 Reserve & Surplus 985 975 Other Non-current Assets 66 63 Non-current Liabilities