Welspun Living Limited · NSE:WELSPUNLIV
Welspun Living — Q1 FY25 Earnings Presentation
31 slides from Welspun Living's earnings presentation, Jul 24, 2024
Slide 1: Exchange disclosure cover letter
WLL/SEC/2024 July 24, 2024 BSE Limited National Stock Exchange of India Limited Department of Corporate Services, Listing Compliance Department SP. J. Towers, Dalal Street, Exchange Plaza, Bandra-Kurla Complex, Mumbai – 400 001 Bandra (E), Mumbai – 400 051 (Scrip Code-514162) (Symbol: WELSPUNLIV) De
Slide 2: Earnings Presentation Q1 FY25
Earnings Presentation Welspun Living Limited Home Textile | Advance Textile | Flooring Q1 FY25 24th July, 2024 NSE/BSE: WELSPUNLIV Bloomberg: WLSI:IN Reuters: WLSP.NS
Slide 3: Inside this Presentation
Inside this Presentation Executive Summary 03 Management Commentary 04 Awards & Recognition 05 Global Presence 06 Key Highlights 07 Quarterly summary 08 Operational Highlights 12 Quarterly Segment Results 15 Profit & Loss Summary 17 Financial Statements Summary 18 ESG at Welspun 20 Share Holding Sum
Slide 4: Welspun Living - Global Home Textiles Leader
WELSPUN LIVING - GLOBAL HOME TEXTILES LEADER Multipronged Welspun Living Ltd (WLL), E-Commerce ESG Focused part of $3.6 bn Welspun Group, is a Strategy to organization with global leader in the Home Textiles accelerate growth & capture well-defined landscape. With a strong global principles, Diversi
Slide 5: Management Commentary
MANAGEMENT COMMENTARY “We are happy to share that the company has continued to out perform strongly and has achieved revenues of ₹25,885 mn in Q1FY25, growing at 17% YoY. This growth also comes with a sustainable EBITDA, which stood at ₹3,935 mn with margin of 15.2%, growing 15% YoY. Emerging busine
Slide 6: Awards & Recognition
AWARDS & RECOGNITION – Feathrs in our cap Welspun Living Limited has been certified as a Great Place to Work! Rank Ms. Dipali Goenka Ms. Dipali Goenka featured Won the SKOCH Gold Award for ESG 42 (India) and as best workplace in 2 Platinum, 1 Gold award at Texprocil in 2 projects: STP for Manufactur
Slide 7: Strong Global Presence
STRONG GLOBAL PRESENCE KEY CUSTOMER PARTNERSHIP North America UK & Europe India ROW Over 50 IKEA Countries Presence welspunliving.com 6
Slide 8: Key Highlights
KEY HIGHLIGHTS Brands ESG Innovation C lick the Ico ns to k no w m o re Total Income in Q1 FY25 is ₹ 25,885 mn grew Flooring Business in Q1 FY25 recorded by 17% YoY revenue of ₹ 2,278 mn EBITDA in Q1 FY25 ₹ 3,935 mn @ 15.2% EBITDA of Flooring Business in Q1 FY 25 is margin grew by 15% YoY ₹
Slide 9: Quarterly Highlights
QUARTERLY HIGHLIGHTS (₹ Million) Revenue EBITDA PBT PAT Cash Profit 25,885 3,935 2,533 1,855 2,897 Growth (YoY) 16.9% 15.2% 17.2% 14.8% 14.8% Growth (QoQ) (1.1%) (1.7%) 0.5% 27.1% (32.6%) Margin (%) 15.2% 9.8% 7.2% Margin Expansion (Y-o-Y) (21 bps) 3 bps (13 bps) Margin Expansion (Q-o-Q) (9 bps) 15
Slide 10: Quarterly Highlights
QUARTERLY HIGHLIGHTS (₹ Million) Particulars 30-June-24 31-Mar-24 30-June-23 Net Worth 47,112 45,158 40,302 Short Term Loans 18,288 15,665 13,803 Net Debt / Equity Long Term Loans 9,253 9,540 10,469 (x) Gross Debt 27,541 25,205 24,272 1.00 0.80 Cash & Cash Equiv. 11,921 11,663 6,119 0.60 0.40 Net De
Slide 11: Sales Highlights – Channel wise
Sales Highlights – Channel wise (₹ Million) Revenue B2B Branded# Global* Global* Domestic Domestic Innovation Others Online Offline Online Offline Q1 FY25 6,401 11,439 1,506 466 1,958 29 1,081 Sales Contribution (%) 28% 50% 7% 2% 9% 0% 5% Q4 FY24 6,902 9,100 1,309 495 3,918 10 1,255 Sales Contributi
Slide 12: Sales Highlights – Business wise
Sales Highlights – Business wise (₹ Million) Revenue Flooring Business Home Textile Business Advanced HT - B2B HT – Branded HT - E-Com Flooring – B2B Flooring – Branded Textiles Q1 FY25 16,454 2,728 495 1,165 1,727 312 Sales Contribution (%) 72% 12% 2% 5% 8% 1% Q4 FY24 14,660 4,728 505 1,215 1,440 4
Slide 13: Operational highlights
Operational highlights Manufacturing Capacity & Utilization Annual Utilization Utilization Utilization Particulars UOM Q1FY25 Q4FY24 Q1FY24 Capacity (%) (%) (%) Bath Linen MT 90,000 21,055 94% 19,877 88% 18,181 81% Bed Linen Mn mtrs 108 18.6 69% 21.3 79% 15.4 57% Home Rugs & Carpets Mn sq mtrs 12.0
Slide 14: Enhancing Capacity; Tapping Opportunity
ENHANCING CAPACITY; TAPPING OPPORTUNITY JACQUARD TOWEL FACILITY BROWNFIELD Location Anjar o Increased Market penetration in Beach & Fashion Category Additional Capacity 6400 MTPA o Category Expansion in Kitchen and Bath robes to offer one stop Additional Revenue Potential – FY 26 ₹ 400 cr solution 1
Slide 15: Quarterly Profit & Loss
QUARTERLY PROFIT & LOSS (₹ Million) Particulars Q1FY25 Q1 FY24 YoY Change Q4FY24 QoQ Change Total Income 25,885 22,149 16.9% 26,167 (1.1%) EBITDA 3,935 3,415 15.2% 4,001 (1.7%) EBITDA Margin (%) 15.2% 15.4% (21 bps) 15.3% (9 bps) Finance Cost 434 258 67.9% 518 (16.3%) Depreciation 968 994 (2.7%) 962
Slide 16: Quarterly Segment Results
QUARTERLY SEGMENT RESULTS (₹ Million) YoY QoQ Particulars Q1 FY25 Q1 FY24 Q4 FY24 Change Change Revenue Home Textile Segmentation (%) Revenue 23,873 20,376 17.2% 24,217 (1.4%) EBITDA 3,484 3,123 11.6% 3,640 (4.3%) Q1 FY25 EBITDA Margin (%) 14.6% 15.3% (73 bps) 15.0% (44 bps) Flooring Revenue 2,278 2
Slide 17: Summary of Financial Statements
Summary of Financial Statements Welspun Experience Centre, Hyderabad 16
Slide 18: Profit & Loss Summary
Profit & Loss Summary (₹ Million) Particulars FY20 FY21 FY22 FY 23 FY 24 Q1 FY25 Total Income 68,362 74,080 93,773 82,151 98,251 25,885 Growth YoY* % 3.4% 8.4% 26.6% (11.4%) 19.6% 16.9% EBITDA 13,098 14,198 14,246 8,739 15,147 3,935 EBITDA Margin 19.2% 19.2% 15.2% 10.6% 15.4% 15.2% Depreciation 4,81
Slide 19: Balance Sheet Summary
Balance Sheet Summary (₹ Million) Particulars 31-Mar-20 31-Mar-21 31-Mar-22 31-Mar-23 31-Mar-24 30-June-24 Net Worth 29,721 36,447 39,717 40,878 45,158 47,112 Short Term Loans 17,717 17,452 19,742 12,342 15,665 18,288 Long Term Loans 16,704 10,962 12,142 11,162 9,540 9,253 Gross Debt 34,421 28,414 3
Slide 20: Ratios Summary
Ratios Summary FY20 FY21 FY22 FY23 FY24 Q1 FY25 Net Debt/Equity 1.00 0.64 0.56 0.38 0.30 0.33 Solvency Net Debt/EBITDA 2.26 1.64 1.56 1.76 0.90 1.00 ratios EBIT/Interest 4.66 4.89 7.65 3.32 7.30 6.87 Current ratio 1.19 1.33 1.37 1.66 1.72 1.62 Fixed asset turnover 1.77 1.93 2.33 2.14 2.63 2.62 Total
Slide 21: Welspun ESG Way: Encompassing All Stakeholders
WELSPUN ESG WAY: ENCOMPASSING ALL STAKEHOLDERS Environmental Social Governance Welspun is going through Implemented ISO 14001 Engaged with Cotton Farmers Board Committee on ESG a major transformation where we are Environmental Management to grow sustainable Cotton embedding sustainability and
Slide 22: Sustainability Initiatives – Growing Business Responsibly
SUSTAINABILITY INITIATIVES – GROWING BUSINESS RESPONSIBLY W elsp u n L i v i ng ’s S ust ai n a bil it y c as e s t ud y i s no w a p a r t o f a c u rr ic u l u m a c ro ss u n i v e rsiti es in US, Canada, France, Europe and Taiwan.” Sustainalytics DJSI ratings Crisil ratings W elsp u n Li v i
Slide 23: Sustainability – Progress Against Targets
SUSTAINABILITY – PROGRESS AGAINST TARGETS Aspects Q1 FY 25 Goal 2025 Goal 2030 Carbon Neutral (measured as % RE) 17% 20% RE 100% RE 100% Sustainable Cotton 62% 50% 100% Fresh Water Positive in Production 11.6KL/MT 5KL/MT 0KL/MT operations Zero hazardous waste to Landfill (ETP 15.5 MT 0 MT 0 MT chemi
Slide 24: Share Holding Summary
SHARE HOLDING SUMMARY Shareholding Pattern (June 2024) Top Institutional Shareholders Promoter Group 70.5% LIC of India FPIs 5.9% HSBC Mutual Fund Mutual Funds/AIF 2.2% Aditya Birla Sunlife MF Insurance Co’s 3.3% Nippon Mutual Fund Public 17.1% Bank of India Mutual Fund Other 1.0% welspunliving.com
Slide 25: Disclaimer
DISCLAIMER The information contained in this presentation is provided by Welspun Living Limited (the “Company”), although care has been taken to ensure that the information in this presentation is accurate, and that the opinions expressed are fair and reasonable, the information is subject to change
Slide 26: Let's connect
Let’s connect For further details please contact Mr. Sanjay Gupta President (Finance) & CFO Welspun Living Limited sanjay_gupta1@welspun.com Mr. Salil Bawa Group Head – Investor Relations Salil_bawa@welspun.com Connect with us: /TheWelspunworld /WelspunWorld /welspungroup /company/welspunworld
Slide 27: Annexure
Annexure:
Slide 28: Owned Brands – Domestic
Diversified Product Portfolio OWNED BRANDS – DOMESTIC BED LINEN BATH LINEN Bedsheets Towels Comforters Bath mats Dohars Bath robes Pillow covers Brand Positioning Premium Mass Thoughtfulness RUGS FLOORING SOLUTIONS Presence 21,154 + outlets Door mats Click & Lock tiles 2,400+ outlets 500
Slide 29: Retail Journey
RETAIL JOURNEY Campaign with Akshay Kumar Brand Welspun - most distributed brand, HT CSO Campaign Launched Reached Rs 100 Cr launched for Brand Welspun crossed 200 cr Spaces Turnover consumer Re-launch of EBO brand engagement (SPACES) 2004 2008 2016 2018 2019 2022 2024 3% 5% 7% Launc
Slide 30: Brand Welspun – Domestic Consumer Business Buildup
DOMESTIC CONSUMER BUSINESS BUILDUP Awards Innovation: Highest Distributed 75% Districts • 2-in-1 Sheet Brand Welspun Brand in HT Share of Presence in shelf: >=15% MBO; • Quik Dry Towel ~500/640 >= 40% Large format • Wonderful sheet Make in India: Presence: 21k+ Outlets Most Visible Brand Highest Sca
Slide 31: Innovation – Our Strong Suite: 37 Patented Technologies
INNOVATION – OUR STRONG SUITE 37 Patented Technologies Key Innovations Filed globally HYGROCOTTON Thought leader Collaboration With Tamper-proof Patented spinning technology makes towel Blockchain platform for state-of-the-art WINNER 2 n d tim e in a softer loftier and sheet temperature transparency