Arvind Limited · NSE:ARVIND

Arvind — Q4 FY2014 Earnings Presentation

24 slides from Arvind's earnings presentation, May 15, 2014

  1. Slide 1: Arvind Limited Q4 and Annual Results 2013-14

    Arvind Limited Q4 and Annual Results 2013-14 15th May 2014, Ahmedabad 1

  2. Slide 2: Financial Performance: Q4 2013-14

    Financial Performance: Q4 2013-14 Consolidated revenue growth of 34% and PAT growth of 24% Strong growth in revenues... ...as well as margins Rev, Rs Cr EBITDA, Rs Cr 22% 2,000 300 248 34% 1,879 203 200 100 1,500 1,406 0 FY2012-13 FY2013-14 PAT, Rs Cr 24% 1,000 100 94 76 50 500 0 FY2012-13 FY2013-14

  3. Slide 3: Business Highlights: Q4 2013-14

    Business Highlights: Q4 2013-14 Strong top-line growth with moderated bottom-line Key highlights Q4 Rs Cr Revenue growth of 34% achieved due to 2013-14 2012-13 Change • 38% top-line growth in Brands & Retail Revenue from Operations 1,879 1,406 34% • 24% volume growth in Denim fabrics and RawMaterial

  4. Slide 4: Financial Performance: FY 2013-14

    Financial Performance: FY 2013-14 Consolidated revenue growth of 34% and PAT growth of 24% Strong revenue growth Strong improvement in operating margins Rev, Rs Cr EBITDA, Rs Cr 36% 7,500 1,000 934 30% 6,862 750 687 500 6,000 5,293 250 0 4,500 FY2012-13 FY2013-14 PAT*, Rs Cr 3,000 49% 400 369 300 24

  5. Slide 5: Business Highlights: FY 2013-14

    Business Highlights: FY 2013-14 Strong top-line growth with even stronger bottom-line growth FY Rs Cr Key highlights 2013-14 2012-13 Change Revenue growth of 30% achieved due to Revenue from Operations 6,862 5,293 30% • 37% top-line growth in Brands & Retail RawMaterials 3,333 2,512 • 19% volume gro

  6. Slide 6: Margin expansion seen in both key business segments in FY 2013-14

    Margin expansion seen in both key business segments in FY 2013-14 Quarterly margins lower than LY due to Forex loss and MegaMart Performance Textiles Brands & Retail MM 2.7%, EBITDA % EBITDA % Other 6.3% 6 4.9% 5.3% FY 20 18.1% MM 2.8%, 16.8% comparison 4 Other 6.7% 15 Vs LY 2 10 0 FY 2012-13 FY 201

  7. Slide 7: Consolidated Balance Sheet, as at Mar 31st 2014

    Consolidated Balance Sheet, as at Mar 31st 2014 Rs Cr As at Mar 31st 2014 Dec 31st 2013 Shareholders' Fund Share Capital 258 258 Reserves and Surplus 2396 2248 Share application Money pending allotment 0 1 Non Current Liabilities 1437 1302 Shortterm Borrowings 1449 1607 Current Liabilities 1799 1502

  8. Slide 8: Debt Profile, as on March 31st 2014

    Debt Profile, as on March 31st 2014 Rs Cr INR Loan Rate of Int FC Loans Rate of Int Total Rate of Int Long Term Debt 1457 10.1% 87 11.8% 1543 10.2% Working Capital Debt 1317 10.4% 132 10.1% 1449 10.4% Total 2773 10.3% 219 10.8% 2992 10.3% Borrowing Proportion 93% 7% • LT borrowings also include borr

  9. Slide 9: Key Financial Ratios

    Key Financial Ratios Strong growth in FY 2013-14 accompanied by improvement in key ratios 2010-11 2011-12 2012-13 2013-14 EPS 6.50 9.48 9.63 14.4 Debt / Equity 1.31 1.00 1.11 1.16 Debt / EBIDTA 3.7 3.0 3.2 3.0 ROCE 10.5% 13.1% 11.9% 13.5% ROE 8.4% 12.0% 11.1% 14.0% Revenue Growth 25% 20% 7% 30% Curr

  10. Slide 10: Standalone Financial Results

    Standalone Financial Results

  11. Slide 11: Financial Performance Q4

    Financial Performance Q4 Q4 Rs Cr 2013-14 2012-13 Change Revenue from Operations 1,284 999 29% RawMaterials 565 448 Project Expenses 9 3 Employees' Emoluments 128 120 Others 367 298 (Increase) / Decrease in Stock 9 -34 Foreign Exchange Loss /(Gain) 5 -4 EBIDTA 201 168 19% Margin 15.6% 16.8% Other In

  12. Slide 12: Financial Performance FY2012-13

    Financial Performance FY2012-13 FY Rs Cr 2013-14 2012-13 Change Revenue from Operations 4,775 3,780 26% RawMaterials 2,174 1,726 Project Expenses 15 28 Employees' Emoluments 509 442 Others 1,335 1,149 (Increase) / Decrease in Stock -66 -166 Foreign Exchange Loss /(Gain) 14 15 EBIDTA 795 587 35% Marg

  13. Slide 13: Balance Sheet, as on Mar 31st 2014

    Balance Sheet, as on Mar 31st 2014 Rs Cr As at Mar 31st 2014 Dec 31st 2013 Shareholders' Fund Share Capital 258 258 Reserves and Surplus 2449 2301 Share application Money pending allotment 0 1 Non Current Liabilities 1233 1185 Shortterm Borrowings 1095 1251 Current Liabilities 999 869 Minority Inter

  14. Slide 14: Business Analysis

    Business Analysis

  15. Slide 15: Textiles Business: Revenue Mix in FY2013-14

    Textiles Business: Revenue Mix in FY2013-14 Rev, Rs Cr Rev. Growth % 26% 4,684 5,000 207 Knits 38% 326 Voiles 21% Textile revenue grew by 26% 3,720 4,000 672 Garments 33% 150 269 • Led by robust 26% growth 504 Woven fabrics 3,000 1,797 Wovens 26% • 33% growth in garments 1,431 • 22% growth in Denim

  16. Slide 16: Volume growth: Denim & Wovens Fabrics both growing at 18-19%

    Volume growth: Denim & Wovens Fabrics both growing at 18-19% in FY2013-14 over the last financial year Denim Wovens (Shirting & Khaki) Volume, Mn Mtrs Volume, Mn Mtrs +24% 10% 30 28.4 30 26.3 22.9 23.9 Q4 comparison 20 20 Vs LY 10 10 0 0 Q4 2012-13 Q4 2013-14 Q4 2012-13 Q4 2013-14 Volume, Mn Mtrs Vo

  17. Slide 17: Key Parameters: FY2013-14 – Textiles

    Key Parameters: FY2013-14 – Textiles Denim Woven Q4 13-14 Q4 12-13 Q4 13-14 Q4 12-13 Exports(Mn Mtrs) 12 10 7 6 Domestic (Mn Mtrs) 16 13 19 18 Avg Prices 179 171 171 156 Major Components Cotton Gas Cost in Rs / Kg 113 98 23 17 Denim Woven FY13-14 FY12-13 FY13-14 FY12-13 Exports(Mn Mtrs) 45 36 22 21

  18. Slide 18: Brands & Retail Business grew topline by 38% in Q4 2013-14

    Brands & Retail Business grew topline by 38% in Q4 2013-14 Strong revenue growth Key highlights • Revenue growth of 38% achieved due to Rev, Rs Cr – 38% revenue growth in Brands /other formats 600 – 1% revenue degrowth in MegaMart Retail, managed low de-growth despite several old format stores being

  19. Slide 19: Brands & Retail Business grew topline by 37% in FY2013-14

    Brands & Retail Business grew topline by 37% in FY2013-14 Strong revenue growth Key highlights • Revenue growth of 37% achieved due to Rev, Rs Cr – 48% revenue growth in Brands/Other formats 2,000 37% 1,915 – 8% revenue growth in MegaMart Retail, as business went through a repositioning and model ch

  20. Slide 20: Performance of Power Brands

    Performance of Power Brands Revenues Rs Cr Revenues Rs Cr +26% 292 300 1,500 +36% Power brands 232 1,068 200 1,000 784 100 500 0 0 Q4 2012-13 Q4 2013-14 FY 2012-13 FY 2013-14 EBITDA Rs Cr EBITDA % EBITDA Rs Cr EBITDA % 60 11.5% 12.6% 15 150 11.7% 15 11.2% 40 10 100 10 125 20 37 5 50 88 5 27 0 0 0 0

  21. Slide 21: Brands & Retail Business – Distribution

    Brands & Retail Business – Distribution 2012-13 Q3 2013-14 Q4 2013-14 Particulars # Stores Sq ft # Stores Sq ft # Stores Sq ft Brands 570 630248 684 709,543 698 717,236 MM 197 710133 189 762,081 166 744,785 Total 767 1340381 873 1471624 864 1462021 No of KA Exclusive Counters 532 685 692 • Sales Inc

  22. Slide 22: Summary: Performance Review Q4 and FY 2013-14

    Summary: Performance Review Q4 and FY 2013-14 Key highlights • Revenue growth of 34% compared to Q4 2012-13 – 38 % revenue growth in B&R (1% de-growth in MegaMart retail, 38% growth in Brands/Other Formats) – 24% volume growth in Denim fabrics and 29% increase in revenues Performance – 10% volume gr

  23. Slide 23: Outlook for FY 2014-15

    Outlook for FY 2014-15 • Company expects to achieved revenue growth of 22-24% – 30+% growth in Brand & Retail Business – 15% growth in Textile Business • Company expects to maintain overall margins 23

  24. Slide 24: Thank You

    Thank You

Arvind — Q4 FY2014 Earnings Presentation on 6ix