Slide 1: Cover letter to NSE: Investors Presentation
May 25, 2024 The Listing Department, National Stock Exchange of India Limited, ‘Exchange Plaza’, C 1, Block G, Bandra – Kurla Complex, Bandra (E), Mumbai 400 051 Symbol: PRECOT Dear Sir/Madam, Sub: Investors Presentation ‐ reg Pursuant to Regulation 30(6) and Regulation 46(2)(o) of SEBI (Listing Obl
Slide 2: Precot: Reliable, Agile and Innovative - Investor Presentation March 2024
Preco~ Reliable, Agile and Innovative Investor Presentation March 2024
Slide 3: Disclaimer
This presentation and the accompanying slides (the “Presentation”), which have been prepared by Precot Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not
Slide 4: Yarn & Threads, Technical Textile
Yarn & Threads Technical Textile Private Label Specialist in Incorporated in 1962 cotton‐based products in hygiene and cosmetics 5 state of art facilities with Wide range of cotton‐ based presence in products with End‐to‐End 4 states of South India capability Yarn & Technical Threads Textile 1.65 la
Slide 5: Company milestones since 1962
1962 1983 1992 1995 First Manufacturing Unit in Unit 2 with Unit 3 with 25,000 Unit 4 with 35,000 spindles Kerala with 12,000 29,000 spindles in spindles in Kerala in Tamil Nadu spindles Andra Prdaesh 2010 2002 1995 Dyeing Unit with annual capacity of 1800T of Commissioning of Doubling & Gassing Uni
Slide 6: Geographical presence, quality, product diversification
Geographical Presence Quality Captures the benefit of growing Delivering sustainable products with unmatched market opportunity in international quality and consistency. as well as domestic markets 03 04 Product Diversification Technical Advancements Introduction of new & value‐added Automation for
Slide 7: Diversified range of cotton yarns and threads
Diversified range of cotton yarns and threads 165,000 spindles Organic, BCI & normal Newer and quality cotton and polyester products to create product differentiation Production of specialty Value addition and blended yarn Efforts to improve Products Integration operational with supply chains effici
Slide 8: Huge Export Opportunity Market
Enabling Factors for Growth Target Nations USA Private Label Sales in exports market Constant R&D for Rapid increase in demand for hygiene developing value‐added products providing platform for Improve Product Mix and products to create value Indian players geographical presence for both global & do
Slide 9: Absorbent Cotton
Products End User Absorbent Cotton Our purifiedcotton Our purified cotton is OEKO contains zeroTex and residual REACH compliant chemicals, and zero toxins andTotally Chlorine is Totally Chlorine Free (TCF). Free (TCF). Cotton buds Cotton Pads Sanitary Pads Tampons and Spunlace Wipes manufacturers Ou
Slide 10: Exfoliating Pads
Products End User Our range of cotton balls are made Cotton Balls from 100% pure absorbent cotton. Cosmetic and Nail Paint medical purposes remover Patented woven textured 100% Cotton, Exfoliating Pads 100% Biodegradable exfoliating pads Nail Paint Gentle skin remover exfoliation 9
Slide 11: Cotton Spunlace Rolls
Products End User Highly absorbent wool rolls. Cotton Wool Rolls Pleats specially designed for easy tear‐ off & use General hygiene Baby cleaning Cotton Spunlace Rolls Our cotton spunlace is 4 layered, highly absorbent and has good strength for further processability Panty Liners Sanitary Pads 10
Slide 12: Yarn & Threads
Products End User Leading manufacturers of yarns & Yarn & Threads threads for textile production, knitting and sewing Weaving Knitting Sewing Textile Production 11
Slide 13: Key Highlights of the Manufacturing Processes
Key Highlights of the Manufacturing Processes Vertically integrated manufacturing capabilities with in‐ house design and development Increased automation and process improvements are being implemented in order to maintain quality and profitability. Compliance and Quality Standards: ISO 9001 &
Slide 14: Accessibility, Manpower, Infrastructure and Scalability
Accessibility Our Facilities are located close to the source of Raw material required for production enabling continuous supply and better ability to manage demand cycles Manpower Availability of both skilled and unskilled manpower helps in manpower planning Karnataka ‐ Gowribidnur, Kolar Karnataka
Slide 15: Key Takeaways
Key Takeaways Key Takeaways Container availability and State of art Facilities located reduced freight cost providing in India export relief Canada UK Europe Middle East Bangladesh India USA Egypt Company has moved towards Vietnam Presence in over 25 countries solar and wind energy for its Sri lanka
Slide 16: Geography wise and Segment wise revenue
Geography wise (Rs. Crs) Segment wise (Rs. Crs) 449 381 442 271 675 695 272 798 577 504 506 537 491 425 370 244 238 119 139 157 FY20 FY21 FY22 FY 23 FY24 FY20 FY21 FY22 FY 23 FY 24 Domestic Export Technical Textile Yarn Geography wise (%) Segment wise (%) 38.9 42.4 47.0 41.5 47.3 78.4 73.5 74.5 82.9
Slide 17: Growth strategy
Enhance existing & expand product portfolio • Focus on branding and promotion Increasing presence in overseas markets • Manufacturing and developing Value added • Plans to export to new geographies such as product portfolio 01 03 MENA & South East Asia in the next 5‐10 years through increase reach a
Slide 18: Key customers
Walmart Inc. CVS Pharmacy Walgreens ` ` ` Dollar General Dove The Kroger Co. ` ` ` Meijer Inc. K Mart ` ` Coles Supermarkets Aldi ` ` 17
Slide 19: Board of Directors
Mr. Ashwin Chandran Mr. Prashant Chandran Mr. T Kumar Designation ‐ Chairman & MD Designation ‐ Vice Chairman & MD Designation ‐ Executive Director Age ‐ 47 Years Age ‐ 43 Years Age ‐ 54 Years Experience ‐ More than 22 years of experience Experience ‐ More than 15 years of experience Experience ‐ Mo
Slide 20: Certifications
I Certifications Preco~ - .. OEKO-TEX® ( STAI- . 19
Slide 21: Sustainability initiatives
Investments in Green Energy ‐ 5 MW Recycled Water Management with the Wind and 10 MW Solar generations and help of effluent treatment plants Gas based power plants Promoting Organic & Recycled Products in Active CSR with special focus on education both Spinning and Technical Textile and healthcare f
Slide 22: Financial Highlights
Financial Highlights
Slide 23: Q4 FY24 financial highlights
Revenue (₹ crore) Gross Profit (₹ crore) 359 Highlights 331 954 978 Q4FY24 Revenue from operations stood at Rs.260 crores as against 74 98 Rs.238 crores in Q4FY23 238 260 Q4 FY24 EBITDA stood Q4FY23 Q4FY24 FY23 FY24 at Rs 63 crores, as compared to Rs 28 Q4FY23 Q4FY24 FY23 FY24 crores of Q4 FY23
Slide 24: Profit and Loss (quarterly and annual)
Profit and Loss (in Rs. Crs) Q4FY24 Q4FY23 FY24 FY23 Revenue from Operations 259.52 238.00 977.76 953.82 Cost of Goods Sold 161.36 164.25 619.00 623.29 Gross Profit 98.16 73.75 358.76 330.53 Gross Profit Margin 37.82 30.99 36.69 34.65 Employee Cost 23.46 21.03 91.49 84.63 Other Expenses 53.22 51.80
Slide 25: Balance sheet
Assets (in Rs. Crs) Mar‐24 Mar‐23 Equity & Liabilities (in Rs. Crs) Mar‐24 Mar‐23 Non ‐ Current Assets 531.89 497.40 Total Equity 418.21 405.71 Property Plant & Equipment 441.63 443.66 Share Capital 12.00 12.00 CWIP 55.99 2.97 Reserves & Surplus 406.21 393.71 Intangible assets 0.29 0.31 Intangible a
Slide 26: Cash flow statement
As on As on Particulars (in Rs. Crs) 31‐Mar‐24 31‐Mar‐23 Net Profit/(loss) Before Tax 11.06 ‐34.52 Adjustments for: Non ‐Cash Items / Other Investment or Financial Items 55.78 66.96 Operating profit before working capital changes 66.84 32.45 Changes in working capital 50.03 22.82 Cash generated from
Slide 27: Five-year financial trends
Revenue (₹ crore) Gross Profit (₹ crore) 993 954 978 505 726 359 665 331 296 307 FY20 FY21 FY22 FY23 FY 24 FY20 FY21 FY22 FY23 FY 24 EBITDA (₹ crore) PAT (₹ crore) 189 105 93 33 63 17 48 28 ‐17 FY20 FY21 FY22 FY23 FY24 ‐26 FY20 FY21 FY22 FY23 FY24 26
Slide 28: Profit and Loss five-year
Profit and Loss (in Rs. Crs) FY 24 FY23 FY22 FY21 FY20 Revenue from Operations 977.76 953.82 993.28 665.14 726.11 Cost of Goods Sold 619.00 623.29 488.59 358.55 430.10 Gross Profit 358.75 330.53 504.69 306.59 296.01 Gross Profit Margin 36.69 34.65 50.81 46.09 40.77 Employee Cost 91.49 84.63 93.60 73
Slide 29: Balance sheet five-year
Assets (in Rs. Crs)` Mar‐24 Mar‐23 Mar‐22 Mar‐21 Mar‐20 Equity & Liabilities (in Rs. Crs) Mar‐24 Mar‐23 Mar‐22 Mar‐21 Mar‐20 Non ‐ Current Assets 531.89 497.40 495.10 471.63 491.85 Total Equity 418.21 405.71 444.12 341.62 310.16 Property Plant & Equipment 441.63 443.66 427.95 437.44 462.49 Share Cap
Slide 30: Cash flow five-year
Particulars (in Rs. Crs) FY24 FY23 FY22 FY21 FY20 Net Profit Before Tax 11.06 ‐34.52 133.75 32.95 ‐12.96 Adjustments for: Non ‐Cash Items / Other Investment or Financial Items 55.78 66.97 58.92 64.18 64.25 Operating profit before working capital changes 66.84 32.45 192.67 97.13 51.29 Changes in work
Slide 31: For further information, please contact
For further information, please contact: Company: Precot Limited CIN: L17111TZ1962PLC001183 Mrs S. Kavitha kavitha@precot.com www.precot.com 30