Welspun Living Limited · NSE:WELSPUNLIV
Welspun Living — Welspun India — Q4 FY22 Earnings Presentation
31 slides from Welspun Living's earnings presentation, May 10, 2022
Slide 1: Earnings Presentation Q4 FY22
Earnings Presentation Welspun India Limited Home Textile | Advance Textile | Flooring Q4 FY22 10th May 2022 NSE: WELSPUNIND Bloomberg: WLSI:IN Reuters: WLSP.NS
Slide 2: Inside this Presentation
Inside this Presentation Executive Summary 03 Management Commentary 04 Awards & Recognition 05 Global Presence 06 Key Highlights 07 FY22 Summary 08 Quarterly Summary 09 Operational Highlights 13 Quarterly Segment Results 16 Enhancing Capacity; Catering to Growing Demand 17 Profit & Loss Summary 19 F
Slide 3: Welspun India - Global Home Textiles Leader
Welspun India - Global Home Textiles Leader Multipronged Welspun India Ltd (WIL), E-Commerce part of $2.7 bn Welspun Group, is a Strategy to accelerate ESG Focused global leader in the Home Textiles growth & capture larger share of the organization with landscape. With a strong global well-defined D
Slide 4: Management Commentary
Management Commentary I am pleased to share that in these challenging times, Welspun India Limited delivered a stellar 26.6% growth in revenues with strong performance demonstrated by all businesses. Our Home Textile Business became a US$1 bn revenue, Domestic business grew by over 60% in a challeng
Slide 5: Awards & Recognition – Testimony of Excellence
Awards & Recognition – Testimony of Excellence Feathers in our cap Best Community Platinum trophy Sustainability & CSR Sustainable award for highest global 2021 exports 2022 Amongst Top 100 Companies 2022 in India Read More National Water Innovation Award Nitori Product Award 2021 Dipali Goenka: Mos
Slide 6: Strong Global Presence
Strong Global Presence Key Customer Partnership North America UK & Europe India ROW Over 50 Countries Presence welspunindia.com 6
Slide 7: Key Highlights
Key Highlights Brands E-Commerce Innovation Click the I cons to know more Total Income EBITDA Q4 → up 3.4% YoY at ₹ 22,471 mn Q4 → Stood at ₹ 2,464 mn FY22 → up 26.6% YoY at ₹ 93,773 mn FY22 → ₹ 14,246 mn up by 0.3% YoY Textile Business EBITDA at ₹ 2,404 mn in Q4FY22 and ₹ 14,111 mn in FY22 Innovati
Slide 8: Annual Highlights
Annual Highlights (₹ Million) Revenue EBITDA PBT PAT Cash Profit 93,773 14,246 8,728 6,012 10,703 Growth (YoY) 26.6% 0.3% 13.6% 11.4% 5.0% Margin (%) 15.2% 9.3% 6.4% Margin Expansion/Contraction (y-o-y) (397 Bps) (107 Bps) (87 Bps) EPS/CEPS 6.06 10.83 Note: 1. Prior period figures are restated where
Slide 9: Quarterly Highlights
Quarterly Highlights Q4FY22 (₹ Million) Revenue EBITDA PBT PAT Cash Profit 22,471 2,464 1,087 522 1,918 Growth (YoY) 3.4% (31.2%) (39.5%) (59.9%) (11.0%) Growth (QoQ) (7.8%) (25.4%) (34.9%) (60.6%) (30.0%) Margin (%) (y-o-y) 11.0% 4.8% 2.3% Margin Expansion/Contraction (y-o-y) (551 Bps) (343 Bps) (3
Slide 10: Quarterly Highlights
Quarterly Highlights (₹ Million) Particulars 31-Mar-22 31-Dec-21 31-Mar-21 ROE ROCE (In %) (In %) 20.0 20 Net Worth 39,717 39,371 36,447 15.0 15 10.0 10 Short Term Loans 19,742 20,449 17,452 15.8 13.4 13.8 16.3 15.7 17.2 5.0 5 Long Term Loans 12,142 12,130 10,962 0.0 0 Q4FY22 Q3FY22 Q4FY21 Q4FY22 Q3
Slide 11: Revenue Highlights
Revenue Highlights (₹ Million) Revenue B2B Branded# Global* Global* Domestic Domestic Innovation Others Online Offline Online Offline Q4FY22 4,103 11,832 1,123 885 1,277 25 1,019 Sales Contribution (%) 20% 58% 6% 4% 6% 0% 5% Q3FY22 5,102 11,805 1,092 986 1,554 56 1,282 Sales Contribution (%) 23% 54%
Slide 12: Revenue Highlights
Revenue Highlights (₹ Million) Revenue Flooring Business Home Textile Business Advanced HT - B2B HT – Branded HT - E-Comm Flooring – B2B Flooring – Branded Textiles Q4FY22 14,924 2,070 910 742 1,392 226 Sales Contribution (%) 74% 10% 4% 4% 7% 1% Q3FY22 15,814 2,619 1,042 630 1,555 217 Sales Contribu
Slide 13: Operational highlights (Quarterly)
Operational highlights (Quarterly) Manufacturing Capacity & Utilization Annual Utilization Utilization Utilization Particulars UOM Q4FY22 Q3FY22 Q4FY21 Capacity (%) (%) (%) Bath Linen MT 85,400 14,360 67% 18,387 88% 19,951 100% Bed Linen Mn mtrs 90 15.5 69% 22.3 99% 20.2 90% Home Rugs & Carpets Mn s
Slide 14: Operational highlights (Annual)
Operational highlights (Annual) Manufacturing Capacity & Utilization Annual Utilization Utilization Particulars UOM FY22 FY21 Capacity (%) (%) Bath Linen MT 85,400 71,695 84% 70,406 88% Bed Linen Mn mtrs 90 77.8 86% 69.2 77% Home Textile Rugs & Carpets Mn sq mtrs 12 9.2 77% 8.2 82% Advanced Textile
Slide 15: Quarterly Profit & Loss
Quarterly Profit & Loss (₹ Million) YoY QoQ YoY Particulars Q4 FY22 Q4 FY21 Q3FY22 FY22 FY21 Change Change Change Total Income 22,471 21,736 3.4% 24,379 (7.8%) 93,773 74,080 26.6% EBITDA 2,464 3,582 (31.2%) 3,305 (25.4%) 14,246 14,198 0.3% EBITDA Margin (%) 11.0% 16.5% (551 bps) 13.6% (259 bps) 15.2
Slide 16: Quarterly Segment Results
Quarterly Segment Results (₹ Million) Revenue YoY QoQ YoY Segmentation (%) Particulars Q4 FY22 Q4 FY21 Q3 FY22 FY22 FY21 Change Change* Change Q4 FY22 Home Textile Revenue 20,730 20,523 1.0% 22,508 (7.9%) 87,911 71,283 23.3% EBITDA 2,404 3,687 (34.8%) 3,126 (23.1%) 14,111 14,863 (5.1%) EBITDA Margin
Slide 17: Enhancing capacity; catering to growing demand
Enhancing capacity; catering to growing demand Rise of homebody economy & focus on hygiene driving increased consumption of Home textile products Enhancing our capacity through de-bottlenecking & rebalancing facilities to cater to this demand Capital light expansion in the areas of processing,
Slide 18: Summary of Financial Statements
Summary of Financial Statements Welspun Experience Centre, Hyderabad 18
Slide 19: Profit & Loss Summary
Profit & Loss Summary (₹ Million) Particulars FY18 FY19 FY20 FY21 FY22 Total Income 61,318 66,084 68,362 74,080 93,773 Growth % -8.8% 7.8% 3.4% 8.4% 26.6% EBITDA 12,046 11,467 13,098 14,198 14,246 EBITDA Margin 19.6% 17.4% 19.2% 19.2% 15.2% Depreciation 5,042 4,358 4,811 4,536 4,205 Finance cost 1,4
Slide 20: Balance Sheet Summary
Balance Sheet Summary (₹ Million) Particulars 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 Net Worth 26,057 27,793 29,721 36,447 39,717 Short Term Loans 12,580 14,080 17,717 17,452 19,742 Long Term Loans 20,228 19,024 16,704 10,962 12,142 of which Net Flooring Debt - 2,797 6,526 6,959 8,300 Gro
Slide 21: Ratios Summary
Ratios Summary FY18 FY19 FY20 FY21 FY22 Net Debt/Equity 1.16 1.09 1.00 0.64 0.56 Solvency Net Debt/EBITDA 2.51 2.64 2.26 1.64 1.56 ratios EBIT/Interest 4.98 4.46 4.66 4.89 7.65 Current ratio 1.42 1.25 1.19 1.33 1.37 Fixed asset turnover 1.80 1.81 1.77 1.93 2.33 Total asset turnover 0.84 0.84 0.81 0.
Slide 22: Welspun ESG way: Encompassing all stakeholders
Welspun ESG way: Encompassing all stakeholders Environmental Social Governance Welspun is going through Engaged with Cotton Farmers to Board Committee on ESG a major transformation where Implemented ISO 14001 train & enable them grow Executive remuneration linked to we are embedding sustaina
Slide 23: Sustainability Initiatives – Growing business responsibly (1/2)
Sustainability Initiatives – Growing business responsibly (1/2) Rated “Low Risk” on ESG factors by one of the top ESG rating agency MSCI ESG Leaders Sustainalytics Index Among Top 100 Sustainable companies in India by ET-Futurescape Tesco Sustainability & Community Award for exceptional focus on Sco
Slide 24: Sustainability – Progress against Targets
Sustainability – Progress against Targets Aspects FY21-22 Goal 2025 Goal 2030 Carbon Neutral (measured as % RE) WIP 20% RE 100% RE 100% Sustainable Cotton 45% 50% 100% Fresh Water Positive in Production 11 KL/MT 5 KL/MT 0 KL/MT operations Zero hazardous waste to Landfill (ETP 42.5 MT 0 MT 0 MT chemi
Slide 25: Share Holding Summary
Share Holding Summary Shareholding Pattern (Mar 2022) Top Institutional Shareholders Promoter Group 70.4% LIC of India FPIs 8.5% L&T Mutual Fund Mutual Funds/AIF 2.3% DSP Mutual Fund Insurance Co’s 2.9% Aditya Birla Sunlife MF Public 15.9% Tata Mutual Fund welspunindia.com 25
Slide 26: Disclaimer
Disclaimer The information contained in this presentation is provided by Welspun India Limited (the “Company”), although care has been taken to ensure that the information in this presentation is accurate, and that the opinions expressed are fair and reasonable, the information is subject to change
Slide 27: Let’s connect
Let’s connect For further details please contact Mr. Sanjay Gupta President (Finance) & CFO Welspun India Limited sanjay_gupta1@welspun.com Mr. Abhinandan Singh Group Head – Investor Relations abhinandan_singh@welspun.com welspunindia.com TheWelspunGroup welspungroup
Slide 28: Annexure
Annexure
Slide 29: Owned Brands - Domestic
Owned Brands - Domestic Festive Collection: Launch of Healthy Life Campaign: Rangana Campaign Anti Viral Brand Positioning Premium Mass Thoughtfulness Presence Click here to view Click here to view 2,402+ outlets 6,642+ outlets 380 towns 482+ towns Regional Festive Campaign : ‘Welspun’
Slide 30: E-Commerce – Multipronged strategy to drive growth
E-Commerce – Multipronged strategy to drive growth 3 Ecommerce Build & Grow Robust Supply Strong Technology Right Geographies in focus Channel Growth Branded Business Chain Back-end Organization US UK India Brand.com Own Brand Inventory Planning Tech-Stack: Middleware COE Org Model Marketplaces Lice
Slide 31: Innovation – Our strong suite
Innovation – Our strong suite 35 Patented Technologies Key Innovations Filed globally WIL: 31 HYGROCOTTON Thought leader Collaboration With Tamper-proof Blockchain Advance Textiles: 2 Patented spinning technology makes towel platform for state-of-the-art transparency for softer loftier and sheet tem