Siyaram Silk Mills Limited · NSE:SIYSIL
Siyaram Silk Mills — Q2 FY24 Earnings Presentation
40 slides from Siyaram Silk Mills's earnings presentation, Oct 31, 2023
Slide 1: Exchange filing cover letter
Date: 31st October, 2023 To, BSE Limited National Stock Exchange of India Corporate Relationship Department Limited 1st Floor, P.J. Towers, Dalal Street Listing Department-Corporate Services Mumbai 400 001 Exchange Plaza, 5th Floor, Plot No. C/1 Bandra Kurla Complex Bandra East, Mumbai 400051 Scrip
Slide 2: Investor Presentation | Q2FY24
Investor Presentation | Q2FY24
Slide 3: 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 4: Q2 & H1 FY24 Performance
Siyarams Q2 & H1 FY24 Performance
Slide 5: Management Commentary
Management Commentary Mr. Gaurav Poddar, Executive Director “ Siyaram's strong foundation and commitment make us poised for sustainable growth in the future. “ The broader textile sector is normalising from its peak in the first half of 2022. Over the past couple of quarters, the overall performance
Slide 6: Quarterly Business Performance
Quarterly Business Performance (₹ in Mn) Net Revenue* EBITDA* Net Profit After Tax 22,293 3,687 2,517 3,343 19,031 2,125 6,948 1,213 882 1,177 6,280 773 5,011 758 520 5,625 9,390 1,021 690 6,355 1,105 1,198 714 5,852 806 4,799 849 880 533 614 3,980 3,538 519 310 2,327 295 225 130 100 FY22 FY23 FY24
Slide 7: Q2 & H1FY24 Profit & Loss Statement
Q2 & H1FY24 Profit & Loss Statement Particulars (₹ in Mn) Q2 FY24 Q2 FY23 Y-o-Y Q1 FY24 Q-o-Q H1FY24 H1FY23 Y-o-Y Revenue from Operations 5,852 6,355 (7.9%) 3,538 65.4% 9,390 10,334 (9.1%) Cost Of Goods Sold 3379 3644 1,987 5365 5846 Employee Expenses 444 434 400 844 840 Other Expenses* 1149 1080 92
Slide 8: Balance Sheet
Balance Sheet Equity & Liabilities (₹ in Mn) Sep-23 Mar-23 Assets (₹ in Mn) Sep-23 Mar-23 Non-Current Assets Equity Property, plant and equipment 4428 4512 Equity Share Capital 94 94 Capital Work-in-Progress 97 54 Other Equity 11840 11315 Other Intangible Assets 4 4 Total Equity 11,934 11,409 Invest
Slide 9: Cash Flow Statement
Cash Flow Statement Particulars (₹ in Mn) Sep-23 Mar-23 Cash Flow from Operating Activities Profit before Tax 939 3,316 Adjustment for Non-Operating Items -216 472 Operating Profit before Working Capital Changes 1,155 3,788 Changes in Working Capital -590 -720 Cash Generated from Operations 565 3,06
Slide 10: Our Legacy, Our Future
Siyarams Our Legacy, Our Future
Slide 11: Our Legacy, Our Future
Our Legacy, Our Future 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 f
Slide 12: 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 2021-2023 o Established in 1978 o Started brand promotion exercise o Siyaram’s voted as the most trusted o Launched DEN - KNIT
Slide 13: We serve multiple end markets
We serve multiple end markets.. 800+ 100+ Mn Meters Distributors spread across pin codes Fabric Sold in FY23 232+ 1.75L sqft Stores Across Nation Retail Space 5+ Mn pieces Apparels Sold in FY23 Distributors MBO’s Institutions 5 Mn and counting… Online Marketplace Exclusive Shops Customers Served *Co
Slide 14: …through Different Brands and Sub-Brands
…through Different Brands and Sub-Brands FABRICS GARMENTS 13
Slide 15: …through serving Different Customer Needs
…through serving Different Customer Needs 14
Slide 16: …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 17: …through Brand Ambassadors
…through Brand Ambassadors …endorsing our Brands over the years 16
Slide 18: …through Our Expertise in Every Facet of the Production Process
…through Our Expertise in Every Facet of the Production Process “An optimum mix of In-house and Outsourcing makes it a scalable and Asset-light model” Warping section hosts Bromas (Robotic), Karl Mayer and Benninger (Switzerland) Daman Amravati Silvassa Tarapur Weaving technology like Rapier: Picano
Slide 19: …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 20: …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 21: Our Organization
Siyarams Our Organization
Slide 22: 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 23: Our Leadership Team
Our Leadership Team Ramesh Poddar Pawan Poddar Shrikishan Poddar Gaurav Poddar Chairman & Managing Director Joint Managing Director Executive Director Executive Director Mr Ramesh Poddar is a stalwart of textile Mr Pawan Poddar’s vision from the beginning Mr Shrikishan Poddar established the Exports
Slide 24: 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 25: Testimony to our Success
Testimony to our Success Guinness Book of World Ranked amongst "TOP 100 Awarded as India's Most Awarded as Most Trusted Records for creating World’s FRANCHISE OPPORTUNITIES" Attractive Brands by Trust Brand by Economic Times & most viewed livestream Research Advisory Nielsen Media Research 24
Slide 26: Our Social & Sustainability Initiatives
Our Social & Sustainability Initiatives Conducted Tailoring Workshops across 8 Disease Prevention Equipments at Blind Cricket Tournament, Mumbai states Tata Memorial, Mumbai World Environment Day, Tarapur Yoga Day Campaign, Mumbai Green Energy Initiatives, Tarapur & Silvassa 25
Slide 27: Our Strategic Priorities
Siyarams Our Strategic Priorities
Slide 28: Strategic Priorities
Strategic Priorities 01 Strengthen Network Distribution 04 Expand Stores through Franchise Model 02 Manufacturing through Outsourcing Partners 05 Focus on Innovation & Quality Experience 03 Leverage Siyaram’s Brand 06 Promote Tailoring in the Community 27
Slide 29: 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 30: 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 1.19 1.13 22.4 0.80 13.1 3.6 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Return on Equity % Net Debt Calculation (₹ in Mn) Long Term Cash & Investments 24.8
Slide 31: 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 32: Our Financial Performance
Siyarams Our Financial Performance
Slide 33: Revenue Break-up
Revenue Break-up (in ₹ Million) (in %) +17.1% 22,293 1,357 6% 19,031 18,147 3,741 17% 917 5% 709 16,980 4% 2,574 7% 14% 1,144 4,066 22% 3,452 20% 10,875 758 7% 1,164 11% 17,195 77% 15,540 82% 13,372 74% 12,384 73% 8,953 82% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Yarn/knitting & Others Gar
Slide 34: Businesswise Performance
Businesswise Performance (₹ in Mn) Fabric Garments ✓ Value growth led by better Product Mix +10.6% +45.3% 17,195 3,741 - Sale of Premium Fabrics was higher in the last fiscal year 11.4% 15,540 25.1% -0.7% ✓ Exports contributed 12.80% of the 20.3% Revenues in FY23 2,574 ✓ Raw Material prices remained
Slide 35: Profit & Loss Statement
Profit & Loss Statement Particulars (₹ in Mn) FY21 FY22 FY23 Revenue from Operations 10,875 19,031 22,293 Cost of Goods Sold 7,107 10,739 12,971 Employee Expenses 1,230 1,595 1,791 Other Expenses 1,989 3,355 3,842 EBITDA 549 3,342 3,689 EBITDA Margin (%) 5.0% 17.6% 16.5% Other Income 407 345 402 Dep
Slide 36: Balance Sheet
Balance Sheet Equity & Liabilities (₹ in Mn) FY21 FY22 FY23 Assets (₹ in Mn) FY21 FY22 FY23 Non-Current Assets Equity Property, plant and equipment 4,475 4,728 4,512 Equity Share Capital 94 94 94 Capital Work-in-Progress 27 24 54 Other Equity 7,645 9,279 11315 Other Intangible Assets 8 5 4 Total Equ
Slide 37: Cash Flow Statement
Cash Flow Statement Particulars (₹ in Mn) FY21 FY22 FY23 Cash Flow from Operating Activities Profit before Tax 52 2,868 3,316 Adjustment for Non-Operating Items 710 630 472 Operating Profit before Working Capital Changes 762 3,498 3,788 Changes in Working Capital 2,599 -2,373 -720 Cash Generated fro
Slide 38: Consistent Returns to Stakeholders since Listing
Consistent Returns to Stakeholders since Listing FY20 FY21 FY22 FY23 Q1FY24 VALUE CREATION FOR ₹ 48.6 crore ₹ 21.5 crore ₹ 43.1 crore ₹ 51.6 crore ₹ 108 crore SHAREHOLDERS Dividend Outlay Dividend Outlay Dividend Outlay Dividend Outlay Buyback Approved Robust shareholder 11.0 returns over the last 1
Slide 39: Key Takeaways
Key Takeaways Well Recognized Brand Debt to Equity Asset Light Model Right Portfolio Mix Well recognised Debt to Equity of 0.17x Asset-light approach Well balance range of brand– “Coming with asset light strategy for manufacturing & products, catering to home to Siyaram” is a for future expansion di
Slide 40: Thank You
Company : Siyaram Silk Mills Limited www.siyaram.com Mr. Surendra Shetty Chief Financial Officer Surendra.shetty@siyaram.com Investor Relations Advisors : THANK YOU Orient Capital (a division of Link Group) Mr. Nikunj Jain +91 9769060608 nikunj.jain@linkintime.co.in Mr. Amar Yardi +91 7045121239 ama