Goldiam International Limited · NSE:GOLDIAM
Goldiam International — Q3 FY2023 Earnings Presentation
30 slides from Goldiam International's earnings presentation, Feb 10, 2023
Slide 1: Cover letter to stock exchanges
February 10, 2023 To, To, BSE Limited National Stock Exchange of India Limited PhirozeJeejeebhoy Towers, Exchange Plaza, Dalal Street, Bandra Kurla Complex, Mumbai- 400 001. Mumbai- 400 051. Scrip Code: 526729 Scrip Code: GOLDIAM EQ Dear Sir/Madam, Sub: Investor Presentation Pursuant to Regulation 3
Slide 2: Investor Presentation February 2023
Page - 1 INVESTOR PRESENTATION February 2023
Slide 3: Q3 & 9MFY23 Update, Company Snapshot, Investment Rationale
Page - 2 Q3 & 9MFY23 UPDATE COMPANY SNAPSHOT INVESTMENT RATIONALE FINANCIAL SNAPSHOT COMPANY STRUCTURE & BOD
Slide 4: Q3 & 9MFY23 Update
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Q3 & IMFY23 Update
Slide 5: Q3 & 9MFY23: Key Highlights (Consolidated)
Page - 4 Q3 & 9MFY23: Key Highlights (Consolidated) In ₹ Mn Q3FY23 YoY ANALYSIS REVENUES EBITDA & EBITDA MARGIN (%) PAT & PAT MARGIN (%) 2,240 25.5% 21.7% 17.7% 15.5% 1,856 17 % 570 29.5 % 27.1 % 396 402 288 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Q3FY22 Q3FY23 9MFY23 YoY ANALYSIS REVENUES EBITDA & EBITDA MARGI
Slide 6: 9MFY23: Key Performance Highlights (Consolidated)
Page - 5 9MFY23: Key Performance Highlights (Consolidated) FINANCIAL UPDATES (CONSOLIDATED) • Revenues: During the 9MFY23, the consolidated revenue decreased by 24.3% to ₹ 4,194 million due to higher inflationary scenario in USA. Lab grown Diamond & Jewellery sales has been consolidating to 25% sinc
Slide 7: Consolidated Profit & Loss Statement
Page - 6 Consolidated Profit & Loss Statement Particulars (In ₹ Mn) Q3FY23 Q3FY22 YoY % 9MFY23 9MFY22 YoY % FY22 Revenue from Operations 1,855.9 2,240.0 -17.1% 4,193.9 5,538.7 -24.3% 7,123.9 COGS 1.292.6 1,471.8 -12.2% 2,650.2 3,779.7 -29.9% 4,865.1 Gross Profit 563.3 768.2 -26.7% 1,543.7 1,759.0 -1
Slide 8: Consolidated Balance Sheet
Page - 7 Consolidated Balance Sheet Liabilities (In ₹ Mn) H1FY23 FY22 Asset (In ₹ Mn) H1FY23 FY22 Equity Assets Non-Current Assets Equity Share Capital 217.9 218.0 Property, Plant & Equipment 414.0 378.3 Other Equity 5,357.9 4,981.0 Capital Work in progress 0.1 0.1 Non Controlling Equity 60.1 60.8 R
Slide 9: Company Snapshot
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Company Snapshot
Slide 10: Goldiam International: Leading Exporter of Diamond Jewellery
Page - 9 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 11: Our Journey - A Constant Architect of Value Addition
Page - 10 Our Journey - A Constant Architect of Value Addition IDEATE INNOVATE IMPLEMENT 1970 - 1990 1995 - 2015 2015-2018 2018-2022 • Goldiam International • Moving from commodity • Amongst the first jewellery • Implementation of started exports of cut and business of diamond exporting companies to
Slide 12: Evolving Modus Operandi leading to Integrated Working Capital Optimisation
Page - 11 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 13: Goldiam's Edge: Building Momentum with Strength
Page - 12 Goldiam’s Edge: Building Momentum with Strength Financial Strength Building Financial • Debt-Free Operations 1 Resilience • Cash and Cash Equivalents (including investments) over ₹ 2,140 Mn (9MFY23) • Ability to secure Raw Material at Competitive prices due to upfront purchase Operational
Slide 14: Investment Rationale
Page - 13 Investment Rationale
Slide 15: Play on Value Addition and Strong Financials
Page - 14 Play on Value Addition and Strong Financials 1. Expanding our Product Portfolio 4. Distribution Policy • With the acquisition of Eco-Friendly • We are committed to maintain a minimum Diamonds LLP (EDL), we are positioned to payout ratio of 50% of the annual participate in lab-grown diamond
Slide 16: Expanding our Product Portfolio: The Future of Diamond Industry through LGD
Page - 15 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 17: Expanding our Product Portfolio: Scaling our Business through Lab Grown Diamonds
Page - 16 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 • Introduced our first line of lab-grown diamond of overall US jewellery in EDL, to integrate our j
Slide 18: Best-in-Class OEM for US Jewellery Retailers
Page - 17 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 19: Digital Strategy to Widen Customer Base
Page - 18 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 20: Jewel Fleet – An online B2B platform
Page - 19 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 innovation and B2B leads to negative working distribution Target market - capital cycle a
Slide 21: Distribution Policy: Creating Consistent Value for Stakeholders
Page - 20 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. 76.7% 75.6% 1,060.0 • Objective of
Slide 22: Distribution Policy: Optimising Shareholder Value
Page - 21 Distribution Policy: Optimising Shareholder Value Consistency in Cash Profits, Low Leverage has given Consistent Shareholder Returns (In ₹ Mn) 5.2% 521.4 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 23: Strong Balance Sheet: A Balance of Efficiency, Effectiveness and Controls
Page - 22 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 • Over the last five years, the financial engineering, we have Compa
Slide 24: Financial Snapshot
GOLDIAM GOLDIAM INTERNATIONAL LIMITED Financial Snapshot
Slide 25: Consolidated Financial Snapshot
Page - 24 Consolidated Financial Snapshot In ₹ Mn Revenue from Operations EBITDA & EBITDA Margin PAT & PAT Margin 21.7% 10.4% 12.4% 16.2% 14.9% 6.4% 6,877 12.4% 11.9% 20.6% 7.9% 1,547 1,060 4,464 4060 853 670 3,186 3,645 553 465 453 434 252 203 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18
Slide 26: Consolidated Financial Snapshot
Page - 25 Consolidated Financial Snapshot In ₹ Mn Cash & Investments as a % of Equity Return on Equity (RoE)* 62.0% 64.6% 58.6% 47.4% 43.1% 21.0% 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 0.01 192 130 132 1
Slide 27: Company Structure & Board of Directors
Page - 26 Company Structure & Board of Directors
Slide 28: Our Group Structure
Page - 27 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 29: Our Board of Directors
Page - 28 Our Board of Directors Name of the Designation Description Director 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 30: Thank You!
PagePage - 29 - 01 Thank You! Company Secretary Manoj Saha Pankaj Parkhiya IR Consultants Email: investorrelations@goldiam.com Email: goldiam@dickensonworld.com Contact Details: 022 28291893 Contact Details: 9819860835
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