Indian Terrain Fashions Limited · NSE:INDTERRAIN
Indian Terrain Fashions — Q1 FY2020 Earnings Presentation
34 slides from Indian Terrain Fashions's earnings presentation, June 2019
Slide 1: Q1FY20 Performance Highlights
Q1FY20 PERFORMANCE HIGHLIGHTS JUNE 2019
Slide 2: Disclaimer
DISCLAIMER The information contained in this presentation is only current as of its date. Please note that the past performance of the company is not and should not be considered as, indicative of future results. This presentation may contain certain statements of future expectations and other forwa
Slide 3: Index
INDEX RESULT HIGHLIGHTS 04 OUTLOOK 22 ANNEXURE 29 3
Slide 4: Result Highlights
q INDIAN TERRAIN RESULT HIGHLIGHTS
Slide 5: Q1FY20 Snapshot
Q1FY20 SNAPSHOT SUMMARY ▪ Flat revenue growth at 1.3% ▪ Pre Ind AS 116 EBITDA grew 8.0%. EBITDA margins at 11.8% ▪ Pre Ind AS 116 PBT grew 6.0%. PBT margins at 8.2% Particulars (Rs. Crs) Pre IND AS 116 Impact Post IND AS 116 Net Revenue 83.30 - 83.30 EBITDA 9.84 4.50 14.33 EBITDA Margin % 11.8% 0.05
Slide 6: Q1FY20 Financial Highlights
Q1FY20 FINANCIAL HIGHLIGHTS Revenues Operational EBITDA Operational EBITDA PAT (Rs. cr) (Rs. cr) (%) (Rs. cr) 1.33% 57.58% 615 bps -11.35% 17.21 14.34 82.21 83.30 9.10 11.07 4.23 3.75 Q1FY19 Q1FY20 Q1FY19 Q1FY20 Q1FY19 Q1FY20 Q1FY19 Q1FY20 • Revenues at Rs. 83.30 Crs., growth at 1.3% • EBITDA margin
Slide 7: Revenue Contribution
REVENUE CONTRIBUTION Q1FY20 Channel Growth 2.1 12.4 13% 47.2 21.7 4% 5% 3% EBOs-Retail LFO's Retail Wholesale e-Retail Others Retail Wholesale e-Retail Others -6% Q1FY19 11.0 2.0 • Overall EBO revenue grew 4%. Like for Like growth flat. EOSS sales was soft despite higher discounts • LFO performance
Slide 8: Profit and Loss Highlights
PROFIT AND LOSS HIGHLIGHTS Rs. Crs. Q1FY20 Q1FY19 Change (%) Revenues 83.30 82.21 1.33 Cost of Materials 0.02 0.34 Purchase of Finished Goods 47.02 26.17 Change in Inventories 2.80 20.66 Garment Processing Costs 0.37 1.03 Employee Benefit Expenses 5.17 7.30 Other Expenses 13.58 17.61 Total Expenses
Slide 9: Performance Overview
PERFORMANCE OVERVIEW Revenues (Rs. cr) Operating EBITDA (Rs. cr) & Margins (%) 17.2 84.5 83.3 82.2 14.3 57.7 11.1 11.1 9.5 9.1 8.0 6.4 Q1FY17 Q1FY18 Q1FY19 Q1FY20 Q1FY17 Q1FY18 Q1FY19 Q1FY20 Q1FY20 figures are post Ind AS 116 9
Slide 10: Exclusive Stores
EXCLUSIVE STORES Opening as on Region Additions Closure / Converted Closing as on 30th June 19 1st Apr 19 South 82 4 0 86 West 30 1 2 29 North 29 9 1 37 East 14 3 1 16 Out of India 1 0 0 1 Total 156 17 4 169 Region Closing As on 30th June 19 COCO (Company Owned Company Operated) 9 COFO (Company Owne
Slide 11: Distribution Network
DISTRIBUTION NETWORK 169 380+ Exclusive Doors Doors in (inclusive of 8 Departmental Factory Stores Outlets) ACROSS 250+ CITIES OF DIFFERENT FORMATS 1400+ 8+ Doors under Multi E-commerce Branded Outlets Partners 11
Slide 12: At Indian Terrain, we love
At Indian Terrain, we love spending every day in creating clothing of elegant style and remarkable comfort that ‘makes you INDIAN quot TERRAIN
Slide 13: New Stores - EBO Indira Nagar, Bengaluru
NEW STORES - EBO INDIRA NAGAR –BENGALURU 13
Slide 14: New High Profile Stores: Marina Mall, Chennai
…BY CONTINUING TO OPEN NEW HIGH PROFILE STORES MARINA MALL - CHENNAI 14
Slide 15: New High Profile Stores: City Center Mall, Guwahati
…BY CONTINUING TO OPEN NEW HIGH PROFILE STORES CITY CENTER MALL - GUWAHATI 15
Slide 16: Small Towns: Mathura, Uttar Pradesh
…FOCUS ON SMALL TOWNS WITH POTENTIAL MATHURA- UTTAR PRADESH 16
Slide 17: Small Towns: Hoshiarpur, Punjab
…FOCUS ON SMALL TOWNS WITH POTENTIAL HOSHIARPUR - PUNJAB 17
Slide 18: Small Towns: Lucknow - Kapoorthala
…FOCUS ON SMALL TOWNS WITH POTENTIAL LUCKNOW - KAPOORTHALA 18
Slide 19: Small Towns: Palakkad, Kerala
…FOCUS ON SMALL TOWNS WITH POTENTIAL PALAKKAD -KERALA 19
Slide 20: Small Towns: AD Mall, Gorakhpur
…FOCUS ON SMALL TOWNS WITH POTENTIAL AD MALL - GORAKHPUR 20
Slide 21: Small Towns: Bikaner, Rajasthan
…FOCUS ON SMALL TOWNS WITH POTENTIAL BIKANER - RAJASTHAN 21
Slide 22: Outlook
q INDIAN TERRAIN OUTLOOK
Slide 23: Consumption and Macros Bodes Well for Industrial Growth
CONSUMPTION AND MACROS BODES WELL FOR INDUSTRIAL GROWTH Share of total consumption Real GDP compound annual Number of Transactions via by income class (%) growth rate (%), 2018-22E Debit & Credit Cards 100 1 12,600 11,946 7 12 India 8.0% 90 13 10,962 20 18 80 9,247 China 6.1% 70 32 43 8,600 60 Turke
Slide 24: Growing demand for casual wear bodes well for Indian Terrain
Growing demand for casual wear bodes well for Indian Terrain Casual wear market to post 18% Men Prefer to wear casual more CAGR over FY15-22 than 2-3 days in a week 65% Men's Casual market ($ Bn) 12 23% 4 12% 2015 2022E 1 -2 days 3-5 days > 5 days 2015 2022E No of Days/ Mens Casual Worn Source: BCG
Slide 25: E-commerce is rapidly gaining traction
E-commerce is rapidly gaining traction and enhancing consumer experience of shopping Availability of internet at lower cost is Men outnumber women online expected to see a rise in online users shoppers by 3x 338 Average Shopping per day (%) 273 23.70% 207 149 76.3% 2016 2018 2020E 2022E Number of on
Slide 26: Opportunities and Growth Drivers in E-Com
OPPORTUNITIES AND GROWTH DRIVERS IN E-COM OPPORTUNITIES Why people are using e-commerce? Low Prices Shopping Convenience LOW INVESTMENT BENEFITS Easy To Compare — HIGH RETURNS APLENTY Free Shipping Time Saving Easy to Buy Range of Products 0 5 10 15 20 25 30 35 40 NO SPECIAL ADVERTISING TECHNICAL SK
Slide 27: Outlook
OUTLOOK Ecom continues to be the Expansion in Direct to growth driver. Aggressive consumer channel on a plans with ecom giving Wide range of winter Franchised Asset light them higher visibility on essentials for an expanded model. Smaller towns to be merchandise, aggressive product category the focu
Slide 28: Outlook: Season Ahead
OUTLOOK SEASON AHEAD… Domestic Overall the consumption Demand to pick quarter is expected Liquidity up mid continues to be to be modest in concerns in the September with muted on account of terms of growth trade channel onset of low consumer and challenged sentiments festivities. working capital 01
Slide 29: Annexure
q INDIAN TERRAIN ANNEXURE
Slide 30: Brand Identity
BRAND IDENTITY OUR ORIGIN ICONIC PRODUCT BRAND PHILOSOPHY Madras - where we belong. Khaki. Made in India during “Real. Mature. Manly. Khaki.” The city that influenced World War II and since then, The four key words that global fashion since 1718. an integral part of American capture the brand essenc
Slide 31: Menswear
a < rr = n Zz ig = 31
Slide 32: Boyswear
BOYSWEAR 32
Slide 33: Awards & Accolades
AWARDS & ACCOLADES • Awarded as the best company in the Sustaining Award Category at TiE, 2017 Chennai • Awarded as the Best Emerging Brand by Lulu Mall in 2016 • Voted by Infashion as the “Most Admired Readymade Garment Manufacturer” in south India 2013 • Ranked 11th in the list of “Most Trusted Ap
Slide 34: Contact Information
CONTACT INFORMATION Contact information Name : Mr. N.Nandakumar (CFO) Email : response.itfl@indianterrain.com Corporate office Indian Terrain Fashions Limited, SDF IV & C2, 3rd Main Road, MEPZ – SEZ, Tambaram, Chennai 600 045, INDIA 34
Indian Terrain Fashions — Q1 FY2020 Earnings Presentation on 6ix