Siyaram Silk Mills Limited · NSE:SIYSIL
Siyaram Silk Mills — Q2 FY25 Earnings Presentation
49 slides from Siyaram Silk Mills's earnings presentation, October 2024
Slide 1: Investor Presentation | Q2 FY25
Investor Presentation | Q2 FY25
Slide 2: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Siyaram Silk Mills 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 se
Slide 3: Index
Index 01 Q2 FY25 Performance 02 Strategic Retail Expansion 03 Our Legacy Business 04 Our Organization 05 Our Strategic Priorities 06 Our Financial Performance 07 Rewarding Shareholders 3
Slide 4: Q2 FY25 Performance
Ps 5 Performance Q2 Fy2 PSEC AS bes sy cca yRee Copia YAN ES Siyarams
Slide 5: Management Commentary
Management Commentary Mr. Gaurav Poddar, President & Executive Director • In Q2 FY25, domestic demand has gained momentum as we enter the festive season, supported by the destocking of supplier inventories and increased discretionary spending by consumers. • To capitalize on the growing demand, we a
Slide 6: Quarterly Business Performance
Quarterly Business Performance (₹ in Mn) Total Income EBITDA Net Profit After Tax +10% +11% +5% 21,247 3,225 1,847 5,971 6,290 1,103 684 999 614 6,528 1,123 690 Q2FY24 Q2FY25 Q2FY24 Q2FY25 Q2FY24 Q2FY25 5,129 796 443 9,596 1,445 804 5,971 6,290 1,103 999 684 614 3,619 3,306 307 342 100 120 FY24 FY25
Slide 7: Q2 & H1 FY25 Profit & Loss Statement
Q2 & H1 FY25 Profit & Loss Statement Particulars (₹ in Mn) Q2 FY25 Q2 FY24 Y-o-Y H1 FY25 H1 FY24 Y-o-Y Revenue from Operations 6,076 5,852 9,141 9,390 Other Income 214 119 455 200 Total Income 6,290 5,971 5.3% 9,596 9,590 0.1% Cost Of Goods Sold 3573 3378 5212 5365 Employee Expenses 483 444 885 844
Slide 8: Balance Sheet
Balance Sheet Equity & Liabilities (₹ in Mn) Sep’24 Sep’23 Assets (₹ in Mn) Sep’24 Sep’23 Non-Current Assets Equity Property, plant and equipment 4624 4428 Equity Share Capital 91 94 Capital Work-in-Progress 613 97 Other Equity 11941 11841 Other Intangible Assets 4 4 Total Equity 12,032 11,935 Inves
Slide 9: Cash Flow Statement
Cash Flow Statement Particulars (₹ in Mn) Sep’24 Sep’23 Cash Flow from Operating Activities Profit before Tax 1,067 939 Adjustment for Non-Operating Items -27 216 Operating Profit before Working Capital Changes 1,040 1,155 Changes in Working Capital 248 -590 Cash Generated from Operations 1,288 565
Slide 10: Strategic Retail Expansion
Strategic Retail Expansion
Slide 11: Ethnic Wear - DEVO
Ethnic Wear - DEVO Company Owned Store Format Company Operated Store size 2000-4000 sq.ft No. of stores ~10 by Mar ‘25 Price Positioning Mid – Premium Targeted Geography North India Investment per store Rs. 1 Cr. to Rs. 1.5 Crs. Target Customer Men’s Wear 11
Slide 12: A Glimpse of DEVO
A Glimpse of DEVO Siyarams We in
Slide 13: Fast Fashion - ZECODE
Fast Fashion - ZECODE Company Owned Store Format Company Operated 4000-6000 sq.ft & Store size 8000-10000 sq.ft No. of stores ~20 by Mar ‘25 Price Positioning Upto price point of Rs. 999 Targeted Geography South India Investment per store Rs. 1 Cr. to Rs. 1.5 Crs. Target Customer Gen Z 13
Slide 14: A Glimpse of ZECODE
A Glimpse of ZECODE ZECODE SAMBRAM ZECODE INDIRANAGAR ZECODE HESARGATTA
Slide 15: Media Coverage of Our New Venture
Media Coverage of Our New Venture
Slide 16: Our Legacy Business
Our Legacy Business Pr; 3 | GUR) ' gid M
Slide 17: Our Legacy
Our Legacy From 1978 till today, through our fabrics Amongst India’s most renowned brands and and brands, we have carved a niche in the marketers of fabrics, readymade garments, hearts and minds of millions. and other textiles products. Strong brands & sub-brands like Siyaram, Operates franchises, r
Slide 18: We Improve. Grow. Accelerate
We Improve. Grow. Accelerate Phase Phase Phase Phase 02 03 04 01 Manufacturing Business Expansion Brand Creation Innovation & Asset Light Model 1978-1987 1991-2009 2013-2020 2021-2024 o Established in 1978 o Started brand promotion exercise o Siyaram’s voted as the most trusted o Launched DEN - KNIT
Slide 19: We serve multiple end markets..
We serve multiple end markets.. 800+ ~ 100 Mn Meters Distributors spread across pin codes Fabric Sold in FY24 245+ ~ 1.85L sqft Stores Across Nation Retail Space ~ 4.5 Mn pieces Apparels Sold in FY24 Distributors MBO’s Institutions 5 Mn and counting… Online Marketplace Exclusive Shops Customers Serv
Slide 20: …through Different Brands and Sub-Brands
…through Different Brands and Sub-Brands FABRICS GARMENTS 20
Slide 21: …through serving Different Customer Needs
…through serving Different Customer Needs 21
Slide 22: …through our Innovative Offerings
…through our Innovative Offerings BLENDED BAMBOO TERRY RAYON SUITING KNIT INDIGO JET BLACK COLLECTION KNIT WEAR FABRIC FABRIC The urge to innovate, the quest for artisanal fabrics, and the transmission of exceptional know-how have enabled the creation of world-class bamboo cotton fabric clothing in
Slide 23: …through Brand Ambassadors
…through Brand Ambassadors …endorsing our Brands over the years 23
Slide 24: …through Our Expertise in Every Facet of the Production Process
…through Our Expertise in Every Facet of the Production Process Gujrat Daman “An optimum mix of In-house Amravati and Outsourcing makes it a Silvassa scalable and Asset-light model” Maharashtra Tarapur Our Manufacturing Plants Warping section hosts Bromas (Robotic), Karl Mayer and Benninger (Switzer
Slide 25: …through In-house Design Studio and Top-Notch Technology
…through In-house Design Studio and Top-Notch Technology In-house Design Studio Every dream is distinct, and we ensure that our teams, the creative vision, materials, and craftsmen all work together to create a unique translation. We uphold the highest standards for materials, perfect lines, and met
Slide 26: …through our Global Presence
…through our Global Presence Export Regions ✓ Australia ✓ Bahrain ✓ Bangladesh ✓ Canada ✓ Colombia ✓ Dubai ✓ Egypt Cadini Sales ✓ Germany Regions ✓ Hong Kong ✓ Austria ✓ Indonesia ✓ Belgium ✓ Japan ✓ Canada ✓ Jordan ✓ Cote d’Ivore ✓ Kuwait ✓ Egypt ✓ Malaysia ✓ France ✓ Mexico ✓ Great Britain ✓ Nepal
Slide 27: Our Organization
Siyarams 2 & Our Organization
Slide 28: Our Vision, Mission & Values
Our Vision, Mission & Values VISION MISSION To be the preferred partner to every stakeholder in the textile To provide quality products and to be a name, synonymous with and fashion industry by delivering high quality fabrics, high fashion in India and across the globe implementing design-driven inn
Slide 29: Our Experienced Board
Our Experienced Board SHRI. RAMESH PODDAR SHRI. PAWAN PODDAR SHRI. SHRIKISHAN PODDAR SHRI. GAURAV PODDAR SHRI. ASHOK M. JALAN Chairman & Managing Director Joint Managing Director Executive Director President & Executive Director Senior President cum Director Mr Ramesh Poddar is a stalwart of Mr Pawa
Slide 30: Our Experienced Board
Our Experienced Board SHRI. SACHINDRA N. SHRI. CHETAN S. SHRI. DEEPAK R. SMT. MANGALA R. DR. ASHOK N. CHATURVEDI THAKKAR SHAH PRABHU DESAI He is a Fellow member of the ICAI, a He is a Graduate and has done his LLB He is a Graduate and a Fellow member She is a Postgraduate in Commerce, a He holds a P
Slide 31: Testimony to our Success
Testimony to our Success Guinness World Awarded as India's Awarded as The Next Records for creating Most Attractive 500 by Fortune India World’s most viewed Brands by Trust livestream Research Advisory Ranked amongst Top Awarded as Most Felicitated as Iconic 100 Franchise Trusted Brand by ET Brands
Slide 32: Our Advertising & Marketing Initiatives
Our Advertising & Marketing Initiatives 32
Slide 33: Our Social & Sustainability Initiatives
Our Social & Sustainability Initiatives Conducted Tailoring Workshops across 8 Contributed for construction of 2 out of 4 Blind Cricket Tournament 2024, Mumbai Yoga Day Campaign, Mumbai states floors for Apna Ghar Ashram World Environment Day, Tarapur 33
Slide 34: Our Strategic Priorities
Our Strategic Priorities
Slide 35: Strategic Priorities
Strategic Priorities 01 Strengthen Network Distribution 04 Expand Retail Network through Exclusive Stores 02 Manufacturing through Outsourcing Partners 05 Focus on Innovation & Quality Experience 03 Leverage Siyaram’s Brand 06 Promote Tailoring in the Community 35
Slide 36: Franchise Model: Win-win Proposition
Franchise Model : Win-win Proposition Partnering with Siyaram's shop will provide a lucrative & sustainable business model and unmatched growth opportunities BRAND’S LEGACY WARDROBE SOLUTION MULTIPLE BRANDS WIDE TARGET AUDIENCE FRANCHISE Of over 4 decades Fashioning Modern Man Under One Roof Right f
Slide 37: Outcome of Strategic Actions
Outcome of Strategic Actions Return on Capital Employed % Asset Turnover ratio (x) * Adjusted for cash & Investments 1.39 1.41 31.8 32.6 1.29 1.13 23.2 0.80 13.1 3.6 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 Return on Equity % Net Debt Calculation (₹ in Mn) Long Term Cash & Investments 24.8
Slide 38: Other Focus Areas
Other Focus Areas New Marketing Approach Our traditional marketing strategy garnered positive results in the domestic market, developing a vast network and penetrating tier-I, tier-II and tier-III cities. Now, it aims to attract online shoppers by targeting the digital space. Enhance the consumer ex
Slide 39: Our Financial Performance
Our Financial Performance
Slide 40: Revenue Break-up
Revenue Break-up (in ₹ Million) (in %) * excl INR 826 mn of one * excl INR 826 mn of one time export order time export order 6% -2.8% 5% 21,467 4% 13%* 13% 20,872 1,357 1,069 19,031 7% 14% 917 2,915* 2,735 16,980 1,144 2,574 20% 3,452 7% 10,875 11% 758 77% 82% 1,164 82% 17,195 17,068 15,540 73% 12,3
Slide 41: Businesswise Performance
Businesswise Performance (₹ in Mn) Fabric Garments ✓ Value growth led by better Product Mix -0.7% -6.2% excl. One off exports 17,195 3,741 - Sale of Premium Fabrics was higher in 17,068 -5.4% the last fiscal year -1.6% 0.6% 0.9% -22.1% ✓ Exports contributed 9% of the Revenues in FY24 2,735 ✓ Raw Mat
Slide 42: Profit & Loss Statement
Profit & Loss Statement Particulars (₹ in Mn) FY22 FY23 FY24 Revenue from Operations 19,030 22,293 20,872 Other Income 345 402 375 Total Income 19,375 22,695 21,247 Cost Of Goods Sold 10,739 12971 12106 Employee Expenses 1,595 1791 1723 Other Expenses 3,354 3842 4194 EBITDA 3,687 4,091 3,224 EBITDA
Slide 43: Balance Sheet
Balance Sheet Equity & Liabilities (₹ in Mn) FY22 FY23 FY24 Assets (₹ in Mn) FY22 FY23 FY24 Non-Current Assets Equity Property, plant and equipment 4,728 4,512 4,522 Equity Share Capital 94 94 91 Capital Work-in-Progress 24 54 187 Other Equity 9279 11315 11319 Other Intangible Assets 5 4 4 Total Equ
Slide 44: Cash Flow Statement
Cash Flow Statement Particulars (₹ in Mn) FY22 FY23 FY24 Cash Flow from Operating Activities Profit before Tax 2,868 3,316 2,471 Adjustment for Non-Operating Items 630 472 488 Operating Profit before Working Capital Changes 3,498 3,788 2,959 Changes in Working Capital -2,373 -720 -1096 Cash Generate
Slide 45: Rewarding Shareholders
Rewarding Shareholders
Slide 46: Rewarding Shareholders in the Lead-up to the 50th Anniversary
Rewarding Shareholders in the Lead-up to the 50th Anniversary As Siyaram’s embarks on the pathway to its golden anniversary three years hence, the Board has proposed a special reward for its esteemed shareholders who have been steadfast in their support during the Company’s journey. As part of this
Slide 47: Consistent Returns to Stakeholders since Listing
Consistent Returns to Stakeholders since Listing FY20 FY21 FY22 FY23 FY24 VALUE CREATION FOR ₹ 48.6 Cr ₹ 21.5 Cr ₹ 43.1 Cr ₹ 51.6 Cr ₹ 108 Cr Buyback (Post Tax) SHAREHOLDERS Dividend Outlay Dividend Outlay Dividend Outlay Dividend Outlay ₹ 49.9 Cr Dividend Outlay +Buyback: Robust shareholder Rs. 108
Slide 48: Key Takeaways
Key Takeaways Well Recognized Brand Debt to Equity Asset Light Model Right Portfolio Mix Net Debt to Equity of Well recognised Asset-light approach Well balance range of 0.10x with asset light brand– “Coming for manufacturing & products, catering to strategy for future home to Siyaram” is a distribu
Slide 49: Thank You
Company : Siyaram Silk Mills Limited www.siyaram.com Mr. Surendra Shetty Chief Financial Officer Surendra.shetty@siyaram.com Investor Relations Advisors : Orient Capital (a division of Link Group) THANK YOU Mr. Nikunj Jain +91 9769060608 nikunj.jain@linkintime.co.in Ms. Mamta Nehra +91 9987903500 Ma