Slide 1: Cover letter to stock exchanges
SECRETARIAL DEPARTMENT Jekegram, Pokhran Road No. 1, Thane (W) - 400 606 Maharashtra, India CIN No. Ll7117 MH1925PLC001208 Tel: (9 1-22) 4036 7000 / 6152 7000 Fax: (91-22) 2541 2805 www.raymond.in January 23, 2019 The Department of Corporate Services - CRD The National Stock Exchange of India Limite
Slide 2: Raymond posts strong profitable growth in Q3 FY 18-19
CORPORATE OFFICE NEW HIND HOUSE, NAROTIAM MORARJEE MARG, BALLARD ESTATE, MUMBAI 400 001, !NOIA Press Release For Immediate Dissemination Raymond posts strong profitable growth in Q3 FY 18-19 Revenue growth of 13% for the quarter, growth across segments EBITDA grew by 41% with margin improvement by 2
Slide 3: Segment sales and margin commentary
Branded Textile Segment sales at Rs. 848 Crores, higher by 10% over previous year driven by volume growth in domestic business mainly in Trade channels. Like to Like EBITDA margins (excluding common cost allocation) (LTL EBITDA margins) higher at 15.6% as compared to 15.3% mainly due to higher sales
Slide 4: Result Presentation Quarter ended December 31, 2018
}ll Raymon~ Result Presentation Quarter ended December 31, 2018
Slide 5: Disclaimer
Disclaimer fl~ Raymon~ • The particulars of this presentation contain statements related but not limited to revenues, financial results and supplemental financial information which has been compiled by the management, not to be construed as being provided under any legal or regulatory requirement an
Slide 6: Table of Contents
Table of Contents fl~ Raymon~ Market Overview 04 Initiatives and Awards 06 Financial Highlights 09 Performance of Segments 15 Way Forward 30 Raymond Realty 32 3
Slide 7: Market Overview
fl~ Raymon~ Market Overview 4
Slide 8: Market Overview
Market Overview fl~ Raymon~ Textile Apparel & Retail • Growth led by higher volumes mainly due to • Strong SSSG expected due to shift in festive festivities in Q3 and upcoming wedding season in season in Q3 Q4 • Network Expansion, early EOSS and promotional • Raw material cost continue to remain hig
Slide 9: Initiatives and Awards
fl~ Raymon~ Initiatives and Awards 6
Slide 10: Initiatives
Initiatives fl~ Raymon~ Mini TRS Style play Tailoring Hubs 70 mini TRS added in Q3FY19; totaling 5 Stores opened in Q3FY19; totaling to 5 tailoring hubs added in Q3FY19, to 209 stores as at Dec’18 16 stores as at Dec’18 totaling to 38 hubs as at Dec’18 7
Slide 11: Awards
Awards fl~ Raymon~ Shared Service Team Supply Chain and Logistics Communication and Media GOLD Award in the category CII National Scale award for ‘Exemplary Silver Award for ‘Excellence in ‘Excellence in Transformation’ at position’ under Retail Category Communication & Media’ at Big Bang Shared Ser
Slide 12: Financial Highlights
fl~ Raymon~ Financial Highlights 9
Slide 13: Financial Highlights – Q3FY19
Financial Highlights – Q3FY19 fl~ Raymon~ Revenue (INR Cr) EBITDA (INR Cr) & Underlying Net Profit (INR Cr) EBITDA margin % 10.9% 1,706 8.6% 1,514 --------------- 185 - - - 131 38 29 13% 41% 33% Q3 FY18 Q3 FY19 Q3 FY18 Q3 FY19 Q3 FY18 Q3 FY19 ---------------------------------------------------------
Slide 14: Consolidated Results
Consolidated Results fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 Y-o-Y% 9m FY19 9m FY18 Y-o-Y% Net Revenue 1,706 1,514 13% 4,871 4,370 11%* Net Sales 1,675 1,484 13% 4,774 4,277 12% EBITDA 185 131 41% 507 370 37% EBITDA margin 10.9% 8.6% 10.4% 8.5% PBT before exceptions 67 42 58% 179 116 54% PB
Slide 15: Segment Results – Q3 FY19
Segment Results – Q3 FY19 fl~ Raymon~ Particulars Revenue Growth EBITDA EBITDA EBITDA Y-o-Y (INR Cr) (INR Cr) (YoY%) (INR Cr) Margin Margin % (LTL*) Change Branded Textiles 848 10% 125 14.8% 15.6% 26 bps Branded Apparels 397 20% 9 2.2% 2.7% 251 bps Garmenting 185 14% 7 3.8% 4.6% 49 bps High Value Co
Slide 16: Segment Results – 9m FY19
Segment Results – 9m FY19 fl~ Raymon~ Particulars Revenue Growth EBITDA EBITDA EBITDA Y-o-Y (INR Cr) (INR Cr) (YoY%) (INR Cr) Margin Margin % (LTL*) Change Branded Textiles 2,321 10% 303 13.0% 13.9% -31 bps Branded Apparels 1,158 13% 29 2.5% 3.1% 229 bps Garmenting 567 16% 32 5.7% 6.5% 199 bps High
Slide 17: Balance Sheet & Cash Flow Performance Indicators
Balance Sheet & Cash Flow Performance Indicators fl~ Raymon~ Particulars (INR Cr) Dec’17 Dec’18 Net Worth 1,830 1,963 Net Debt 1,988 2,185 Cash Flow from Operations 188 226 Free Cash Flow 35 94 Key Ratios Dec’17 Dec’18 Net Debt / Equity 1.1 1.1 Net Working Capital Days (TTM basis) 101 102 14
Slide 18: Performance of Segments
fl~ Raymon~ Performance of Segments 15
Slide 19: Branded Textiles
4 >. TET x 33 Si , 2 Shh!) k: i | NUH | DY » toh if
Slide 20: Branded Textile
Branded Textile fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg r------------------- 1 I Net Sales 848 768 10% 2,321 2,113 10% I I 9m growth I I I I I I Ex-GST: 11% I I ~------------------J EBITDA 125 118 6% 303 301 0% EBITDA margin 14.8% 15.3% 13.0% 14.3% EBITDA margin
Slide 21: Branded Apparel
- __... - ~ Branded Apparel
Slide 22: Branded Apparel
Branded Apparel fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg r-------------------I 1 Net Sales 397 332 20% 1,158 1,021 13% I I I 9m growth I I I I I Ex-GST: 16% I I -------------------J EBITDA 9 1 - 29 8 272% EBITDA margin 2.2% 0.2% 2.5% 0.8% EBITDA margin LTL 2.7% 0.
Slide 23: Retail Network
Retail Network
Slide 24: Exclusive Retail Network
Exclusive Retail Network fl~ Raymon~ 2.3 mn 2.2 mn sq ft .- - - -- - - - -- -- - - -- 97 additions ---------- ------. 20 sq ft 74 3 1,363 1,282 6 2 8 334 -- EBO 322 MTM # 67 t ---------------- 16 closures ---------------__t 68 TRS 893 961 Sep 18 TRS MTM EBO TRS MTM EBO Dec 18 • During the quarter
Slide 25: Strong Distribution Network
Strong Distribution Network fl~ Raymon~ Branded Textile 4 • 20,000+ points of sale across 50 4 600+ cities and towns 16 23 • 180+ Wholesalers 44 55 • 1350+ MBOs 48 1 • Across Raymond Shop (TRS) - 149 7 1 61 1 Tier I to VI towns 79 57 24 75 1 Branded Apparel 16 • Presence in over 500 cities and 14 to
Slide 26: Garmenting
Garmenting
Slide 27: Garmenting
Garmenting fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg Net Sales 185 162 14% 567 490 16% 9m growth Ex-GST: 16% EBITDA 7 7 5% 32 22 47% EBITDA margin 3.8% 4.1% 5.7% 4.5% EBITDA margin LTL 4.6% 4.1% 6.5% 4.5% • Growth led by exports in Europe and US • EBITDA margin LTL
Slide 28: High Value Cotton Shirting
High Value Cotton Shirting
Slide 29: High Value Cotton Shirting
High Value Cotton Shirting fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg Net Sales 159 149 7% 492 430 14% 9m growth Ex-GST: 15% EBITDA 22 16 40% 69 46 51% EBITDA margin 14.0% 10.7% 14.0% 10.6% EBITDA margin LTL 14.8% 10.7% 14.8% 10.6% The results shown above are for 10
Slide 30: Tools & Hardware and Auto Components
I \ ''1t1•111•11l1' t';''.·. . .. ' , ,• f ; , ' r ' u •1 ! '.' ; i; .! l LI I.1. . . . ·. . .... ,. ' \ ~ ~ ·• I • ••• ~ -·- ........ . . .. . ,~ \ ._., _ ; '. : ~ ·-------..-·~ --- ---~ ----.. - --- Tools & Hardware 27 Auto Components
Slide 31: Tools and Hardware
Tools and Hardware fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg 9m Growth Net Sales 100 98 2% 300 275 9% Ex-GST: 11% EBITDA 12 10 20% 35 24 45% EBITDA margin 11.8% 10.1% 11.6% 8.7% The results shown above are for 100% operations and include minority interest • Growth
Slide 32: Auto Component
Auto Component fl~ Raymon~ Particulars (INR Cr) Q3 FY19 Q3 FY18 % Chg 9m FY19 9m FY18 % Chg Net Sales 64 49 30% 191 156 22% 9m growth Ex-GST: 24% EBITDA 14 12 16% 43 36 21% EBITDA margin 21.8% 24.4% 22.8% 23.1% EBITDA margin LTL 21.8% 23.7%* 21.6%* 20.8%* The results shown above are for 100% operati
Slide 33: Way Forward
fl~ Raymon~ Way Forward 30
Slide 34: Way Forward
Way Forward fl~ Raymon~ • Expecting growth momentum to be maintained with positive consumer sentiments led by continued EOSS and onset of wedding season • Continue with the asset light network expansion strategy mainly through franchisee based stores rollout • For Q4, we are expecting high single di
Slide 35: Raymond Realty
Jll Raymon~ Raymonh REALTY ,c> Be c>llll 32
Slide 36: Raymond Realty – Go Beyond
Raymond Realty – Go Beyond Cfl1 f Raymon~ Raymond’s maiden venture into Infrastructure Development Sphere of Quality Housing 20 acre of residential development with ~3 mn. sq. ft. of saleable Project area to be developed over 5 years Strategic location in Thane with developed social infrastructure S
Slide 37: Current Project – Aspirational Housing: Phase 1
Current Project – Aspirational Housing: Phase 1 fl~ Raymon~ Phase 1 - Plan Amenities include • 2 High-rise towers of 42 floors with 2 BHK apartments with ~0.6 mn sq. ft. of saleable area • Carpet area of flats: • 2BHK Compact - ~504 sq. ft. • 2BHK Large - ~615 sq. ft. Rain water Harvesting Energy Ma
Slide 38: Excellence to Execute
Excellence to Execute fl~ Raymon~ • Experienced real estate team • Processes & systems in place • Strong association partners include: Architect Hafeez cracknell Contractor GODREJ & BOYCE ISO 9001 -2000 E?ICONS CONSULTANTS ?VT. LTD Master Architect Structural Consultant Landscape Green Consultant •
Slide 39: Aligned to Raymond Value Creation Strategy
Aligned to Raymond “Value Creation” Strategy fl~ Raymon~ • Land Monetization is a critical aspect in unlocking value at Raymond • De-risked financial model in place Cash-accretive project over the period of 5 years Peak Funding Requirement Avail Construction Finance on need basis Possible sa
Slide 40: Thank You
sh raymond Thank You www.raymond.in