Goldiam International Limited · NSE:GOLDIAM
Goldiam International — Q1 FY23 Earnings Presentation
29 slides from Goldiam International's earnings presentation, Aug 9, 2022
Slide 1: Investor Presentation cover letter to stock exchanges
goldi~m 1nttrnotionol Ltd MANUFACTURERS &EXPORTERS·Of DIAMONDS & JEWELLERY CIN :l,36912MH1986P.LC041203 August9,2022 To, To, BSE Limited National Stock Exchange of India Limited PhirozeJeejeebhoy Towers, Exchange Plaza, Dalal Street, Sandra Kurla Complex, Mumbai- 400 001. Mumbai- 400 051. Scrip Code
Slide 2: Investor Presentation August 2022
Page - 1 INVESTOR PRESENTATION August 2022
Slide 3: QUARTERLY UPDATE COMPANY SNAPSHOT INVESTMENT RATIONALE
Page - 2 QUARTERLY UPDATE COMPANY SNAPSHOT INVESTMENT RATIONALE FINANCIAL SNAPSHOT COMPANY STRUCTURE & BOD
Slide 4: Quarterly Update
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Quarterly Update
Slide 5: Q1FY23: Key Highlights (Consolidated)
Page - 4 Q1FY23: Key Highlights (Consolidated) Q1FY23 YoY ANALYSIS In ₹ Mn REVENUES EBITDA & EBITDA MARGIN (%) PAT & PAT MARGIN (%) 21.6% 22.7% 15.4% 15.1% 1,550 1,411 335 320 238 214 -9 % -4.4 % -10.4 % Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23
Slide 6: Q1FY22: Key Performance Highlights (Consolidated)
Page - 5 Q1FY22: Key Performance Highlights (Consolidated) FINANCIAL UPDATES (CONSOLIDATED) • Revenues: During the quarter, the consolidated revenue during Q1FY23 decreased by 9% to ₹ 1,411 million due to higher inflationary scenario in USA. Lab grown Diamond & Jewellery sales grew 5x from Q1FY22 to
Slide 7: Consolidated Profit & Loss Statement
Page - 6 Consolidated Profit & Loss Statement Particulars (In ₹ Mn) Q1FY23 Q1FY22 YoY % Q4FY22 QoQ% FY22 Revenue from Operations 1,410.9 1,550.3 -9.0% 1,585.2 -11% 7,123.9 COGS 912.7 1,056.7 -13.6% 1,085.3 -16% 4,865.1 Gross Profit 498.2 493.6 0.9% 499.9 -0.3% 2,258.8 Gross Margin % 35.3% 31.8% 347
Slide 8: Company Snapshot
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Company Snapshot
Slide 9: Goldiam International: Leading Exporter of Diamond Jewellery
Page - 8 Goldiam International: Leading Exporter of Diamond Jewellery OVERVIEW • Established in 1986, today we are supplier to leading global retailers, departmental stores and wholesalers with a diversified product portfolio of • Natural diamond jewellery • Lab grown diamonds (LGD) and jewellery •
Slide 10: Our Journey - A Constant Architect of Value Addition
Page - 9 Our Journey - A Constant Architect of Value Addition IDEATE INNOVATE IMPLEMENT 1970 - 1990 1995 - 2015 2015-2018 2018-2022 • Goldiam International started • Moving from commodity • Amongst the first jewellery • Implementation of exports of cut and polished business of diamond exporting comp
Slide 11: Evolving Modus Operandi leading to Integrated Working Capital Optimisation
Page - 10 Evolving Modus Operandi leading to Integrated Working Capital Optimisation From Brick & Mortar To E-commerce & Leading to: (Traditional Business) Omni-Channel 1 Jewelry Design made by Goldiam Jewellery designs distributed on Improved Inventory 1 1 various websites and e-commerce Turnover p
Slide 12: Goldiam's Edge: Building Momentum with Strength
Page - 11 Goldiam’s Edge: Building Momentum with Strength Financial Strength Building Financial • Debt-Free Operations 1 Resilience • Cash and Cash Equivalents (including investments) over ₹ 2,200 Mn (Q1FY23) • Ability to secure Raw Material at Competitive prices due to upfront purchase Operational
Slide 13: Investment Rationale
Page - 12 Investment Rationale
Slide 14: Play on Value Addition and Strong Financials
Page - 13 Play on Value Addition and Strong Financials 1. Expanding our Product Portfolio 4. Distribution Policy • With the acquisition of Eco-Friendly Diamonds • We are committed to maintain a minimum LLP (EDL), we are positioned to participate in payout ratio of 50% of the annual lab-grown diamond
Slide 15: Expanding our Product Portfolio: The Future of Diamond Industry through LGD
Page - 14 Expanding our Product Portfolio: The Future of Diamond Industry through LGD What are Lab Grown Diamonds? • Diamonds are made up almost entirely of pure carbon. LGDs man made diamonds that mirror natural diamonds. • Because of carbon atoms structures, LGD display the same chemical and optic
Slide 16: Expanding our Product Portfolio: Scaling our Business through Lab Grown Diamonds
Page - 15 Expanding our Product Portfolio: Scaling our Business through Lab Grown Diamonds Growth Opportunity of Accretive Goldiam’s LGDs Acquisition Edge • Market share of 3.1% • Acquired a 88% stake in • Introduced our first line of lab-grown diamond of overall US jewellery EDL, to integrate our j
Slide 17: Best-in-Class OEM for US Jewellery Retailers
Page - 16 Best-in-Class OEM for US Jewellery Retailers: Strengthening our Revenue Streams along with better RoE’s By keeping our philosophy of 3I’s (Ideate, Innovate and Implement) in mind, we are moving towards better margins, cost optimisation and omnichannel business models. Evolving our business
Slide 18: Digital Strategy to Widen Customer Base
Page - 17 Digital Strategy to Widen Customer Base: Shifting towards Digital Transformation to Optimize Business Market Size & E-Commerce presents opportunities to optimize Growth Drivers Inventory, increase sales, and refocus towards ROE - driven business models • Compared to other consumer products
Slide 19: Jewel Fleet – An online B2B platform
Page - 18 Digital Strategy to Widen Customer Base: Jewel Fleet – An online B2B platform For Goldiam International - E-commerce An Opportunity to Capitalise distribution, focused on • Quick Cash Conversion Cycle leads innovation and to negative working capital cycle and •Target market - superior ROE
Slide 20: Distribution Policy: Creating Consistent Value for Stakeholders
Page - 19 Distribution Policy: Creating Consistent Value for Stakeholders Our Dividend Distribution Policy ensures sustainable and consistent returns to stakeholders. Our Prudent Capital Allocation (In ₹ Mn) • Committed to wealth-creation for all our stakeholders. 75.6% 1,060.0 76.7% • Objective of
Slide 21: Distribution Policy: Optimising Shareholder Value
Page - 20 Distribution Policy: Optimising Shareholder Value Consistency in Cash Profits, Low Leverage has given Consistent Shareholder Returns (In ₹ Mn) 521.4 5.2% 76.7% 75.6% 58.2% 324.1 58.1% 2.6% 3.1% 42.6% 233.9 2.6% 177.4 2.1% 68.9 37.4 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 FY22 FY1
Slide 22: Strong Balance Sheet: A Balance of Efficiency, Effectiveness and Controls
Page - 21 Strong Balance Sheet: A Balance of Efficiency, Effectiveness and Controls DISTRIBUTION POLICY DEBT FREE COMPANY • Committed to wealth-creation for all its stakeholders. • With our prudent and conservative approach towards financial • Over the last five years, the engineering, we have remai
Slide 23: Financial Snapshot
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Financial Snapshot
Slide 24: Consolidated Financial Snapshot
Page - 23 Consolidated Financial Snapshot In ₹ Mn Revenue from Operations EBITDA & EBITDA Margin PAT & PAT Margin 21.7% 6.4% 10.4% 12.4% 16.2% 14.9% 6,877 7.9% 12.4% 11.9% 20.6% 1,547 1,060 4,464 4060 3,186 3,645 853 670 553 465 453 434 252 203 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18
Slide 25: Consolidated Financial Snapshot
Page - 24 Consolidated Financial Snapshot In ₹ Mn Cash & Investments as a % of Equity Return on Equity (RoE)* 58.6% 62.0% 64.6% 47.4% 21.0% 43.1% 15.0% 12.2% 11.2% 5.7% FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Leverage Analysis Working Capital Analysis 0.10 0.07 0.02 0.05 0.01 192 132 130 1
Slide 26: Company Structure & Board of Directors
Page - 25 Company Structure & Board of Directors
Slide 27: Our Group Structure
Page - 26 Our Group Structure Goldiam International Limited (Holding Company) Goldiam Jewellery Limited Goldiam USA Eco-Friendly Diamonds LLP Diagold Designs Limited SEEPZ Mumbai New York, USA SEEPZ Mumbai (Subsidiary Company) (Wholly Owned Subsidiary) (Wholly Owned Subsidiary) (88% Subsidiary) Manu
Slide 28: Our Board of Directors
Page - 27 Our Board of Directors Name of the Director Designation Description Executive Mr Rashesh Bhansali has over 28 years of rich and exhaustive experience in the field of diamonds & Rashesh Bhansali Chairman jewellery. Mr Anmol Bhansali has completed Bachelors of Science in Business Administrat
Slide 29: Thank You!
PagePage - 28 - 01 Thank You! Company Secretary Chintan Mehta/Rahul Jaju Pankaj Parkhiya IR Consultants Email: investorrelations@goldiam.com Email: goldiam@dickensonworld.com Contact Details: 022 28291893 Contact Details: 9892183389/9773264172
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