Banswara Syntex Ltd · NSE:BANSWRAS
Banswara Syntex — FY2024 Earnings Presentation
38 slides from Banswara Syntex's earnings presentation, May 11, 2024
Slide 1: Investor Presentation
Investor Presentation Banswara Syntex Limited May 2024
Slide 2: Safe Harbor
Safe Harbor This presentation has been prepared by and is the sole responsibility of Banswara Syntex Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or in
Slide 3: Q4 & FY24 Highlights
= ERTL Q4 & FY24 Highlights
Slide 4: Message from Managing Director
Message from Managing Director Commenting on the Results, Mr. Ravindra Kumar Toshniwal, Managing Director said “The year gone by witnessed multiple challenges such as geo-political issues persisting across the globe, exerting pressure on the overall business particularly on the demand side in export
Slide 5: FY24 Highlights
FY24 Highlights Key Highlights Total Income* Yarn Rs. 1,282 cr For FY24, yarn sales declined by 8% YoY to Rs 512 cr The spinning mills division faced challenges from pricing pressures and sluggish demand, even though there was an 9% growth in terms of volume YoY Basis Fabric EBITDA* For FY24,
Slide 6: Segment-wise Matrices
Segment-wise Matrices Rs. In Crs Q4FY24 Q4FY23 YoY Q3FY24 QoQ FY24 FY23 YoY Revenue 129 126 2% 119 8% 512 558 -8% Yarn Sales Volume (Lakh KGs) 59 53 11% 55 8% 229 211 9% Capacity Utilization (%) 87% 87% 75% 82% 87% Rs. In Crs Q4FY24 Q4FY23 YoY Q3FY24 QoQ FY24 FY23 YoY Revenue 132 141 -7% 115 14% 456
Slide 7: Standalone Profit and Loss Statement
Standalone Profit and Loss Statement Rs. in Crs. Q4FY24 Q4FY23 Y-o-Y Q3FY24 Q-o-Q FY24 FY23 Y-o-Y Revenue from Operations 343.4 369.0 302.3 1,264.2 1,498.8 Other Income 8.7 5.1 3.6 17.9 14.6 Total Income 352.1 374.1 -5.9% 305.8 15.1% 1,282.1 1,513.4 -15.3% Total Expenditure Power Cost: Raw materials
Slide 8: Standalone Balance Sheet
Standalone Balance Sheet Asset (Rs. in Crs) Mar-24 Mar-23 Equity & Liabilities (Rs. in Crs) Mar-24 Mar-23 Non-current assets 501.9 444.4 Equity 534.7 509.1 Property, Plant & Equipment 418.7 362.8 Equity share capital 17.1 17.1 Right of use assets 4.5 5.3 other equity 517.6 492.0 Capital Work in prog
Slide 9: Key Balance Sheet Items
Key Balance Sheet Items Net Debt* (Rs. Crores) Debt-Equity Ratio* ▪ The net debt has reduced 585 3.2 by Rs 15 crore to Rs 347 557 crore as on FY24 2.9 479 ▪ Overall debt equity ratio 2.2 has improved from 0.71x 361 347 328 to 0.65x as on FY24 244 262 1.4 0.8 0.7 0.7 0.7 Mar-17 Mar-18 Mar-19 Mar-20 M
Slide 10: Standalone Cash Flow
Standalone Cash Flow (Rs. in Crores) Mar-24 Mar-23 Operating profit before working capital changes 112.1 208.8 Changes in working capital 49.8 -145.2 Cash generated from operations 161.9 63.6 Income Tax Refund/(Direct Taxes Paid) 16.7 43.4 Net Cash from Operating Activities (A) 145.2 20.1 Net Cash f
Slide 11: Dividend Payout History
Dividend Payout History Dividend (%)* 20% 20% 30% 30% 50% 60% 20% 32.6 31.1 EPS DPS 14.2 13.7 10.3 8.5 4.9 2.5 3.0 1.0 1.0 1.5 1.5 1.0 FY18 FY19 FY20 FY21 FY22 FY23 FY24 The company has Consistently declared dividends Year-on-Year 11 *Dividend % has been calculated using FV Rs. 5
Slide 12: About Us
About Us Our Specialty is Value Added Textiles
Slide 13: Our Journey
Our Journey • Commenced Operations and • Started first unit of 18 MW • Started production of Super-stretch women started Yarn production with captive thermal power plant Fabrics 12,500 spindles • Started production of Made- • Addition of additional processes to Vertical • Started Fabric Weaving unde
Slide 14: Our Global Footprint
Our Global Footprint Incorporated in the year 1976 Offering Vertically Integrated Experienced Design Teams textile solutions Europe Design Studio in Collaboration USA Japan Middle East with Italy and France 9,000+ Employees Corporate Office - Mumbai Manufacturing Plants - • Banswara, Rajasthan In Ho
Slide 15: Manufacturing Capabilities
Manufacturing Capabilities Manufacturing Capex Done: Capacity FY24 Dyeing Unit 3,060 Tonnes / month Rs. 47 Crs. The Company owns YARN • ~1,51,000 Spindles Weaving- 3.2Mn Meters/ month • 464 Looms Spinning Unit Processing- 4.5Mn Meters/ Rs. 23 Crs. FABRICS month 3,25,000 Trouser & Suiting's/ Month Ov
Slide 16: Strategically Located Facilities
Strategically Located Facilities Quality Infrastructure connectivity through Rails, Roads and Ports ensures seamless dispatches to domestic markets and exports Easy Availability of skilled and Unskilled labour Manufacturing Facilities’ proximity to raw material suppliers ensures stable and sustainab
Slide 17: Leadership Team
Leadership Team Founded the Company in the year 1976. Masters in Textiles from Leeds University, UK. 55 years of experience in the Late Shri. Toshniwal textile industry. Founder Chairman Ex-Chairman of Rajasthan Textile Mills Association, Ex-President of Indian Spinners Association and Ex-Chairm
Slide 18: Board of Directors
Board of Directors Mr. Narendra Ambwani Dr. Vaijayanti Pandit Independent Director Independent Director Alumnus of IIM Ahmedabad and graduated with a degree in Electrical Engineering from IIT Kanpur. She is Ph.D. in Entrepreneurship Management from Jamnalal He has an experience of 34+ years with Joh
Slide 19: Strong Professional Management Team
Strong Professional Management Team Mr. Shailendra Pandey Mr. Rahul Bhaduriya Ms. Kavita Gandhi Mr. Devendra Misra Mr. Swapnil Shrivastava Head – Fabric Division Head – Garment Division CFO CTO DGM – Corporate HR MSc – Textile Graduate from NIFT Chartered Accountant Msc (Math), MCA, LLB Ov
Slide 20: Business Segments
Business Segments
Slide 21: Yarn Business – The Building Block
Yarn Business – The Building Block GROWTH DRIVERS Preferred Partner for the quality Focused Customers for Synthetic Blended Yarns Multi-specialty Yarn range Integration of Banswara products into with functional features Stretch Yarns for weaving using supply chains of larger brands branded lycra and
Slide 22: Fabric Business – The Growth Engine
Fabric Business – The Growth Engine Expansion in Leveraging our Company sees favourable opportunities in Current Presence Value Added Advantages production of Comfort fabric Fabrics Worsted Stretch Fabrics Renowned player Flexibility in production due to best-in-class technology and Wool S
Slide 23: Fabric Business – Growth Plan
Fabric Business – Growth Plan Establishing a fabric brand to capitalize on the distribution network built over 3 decades Venturing into production of Knitted fabrics 01 Improved Product Mix Increasing the market share in production of high value-added Technical Fabrics Evaluation of producti
Slide 24: Garment Segment – Value Addition Division
Garment Segment – Value Addition Division GROWTH DRIVERS Garments is one of the fastest growing segments in the Textile industry COMFORT GARMENTS Move towards manufacturing of Comfort One of the Largest manufacturer Strong international presence garments made from Bi Stretch/ Knitted of specialized
Slide 25: Domestic Clientele
Domestic Clientele E-Commerce Clients 25
Slide 26: International Clientele
International Clientele A BaNswaRa © YD | bermacys||JCPenney)) TARGET ec ah\/ La DOUGLAS&GRAHAME| | TESCO septa anata US [| PEERLESS Joa AP Se: 0.» kmart. 26
Slide 27: CSR Activities
CSR Activities Creation of garden in Banswara to provide locals with a means of recreation Cleaning of lake near the garden to increase the oxygen level of the water body. This has helped in the reduction of mosquitos and has brought back migratory birds Creation of a walking path of 5 KM along the
Slide 28: Strategic Focus and Outlook
Strategic Focus and Outlook
Slide 29: Industry expected to grow at ~11% CAGR over the next 5 years
Industry expected to grow at ~11% CAGR over the next 5 years Indian Domestic Apparels and Textiles Market (USD bn) • Domestic textile and apparel industry faced a range of challenges post 191 13 covid induced lockdowns; fall in retail sales, logistical disruptions, 10.3% manufacturing shutdown and c
Slide 30: China +1 provides huge opportunity for Indian Textiles Industry
China +1 provides huge opportunity for Indian Textiles Industry Increasing exports Increased Domestic Production India Textiles exports expected With the improvement in domestic to grow at ~11% CAGR to reach economy and increase in exports, Domestic $ 65 bn by 2026 from pre-covid Production is expec
Slide 31: Why Banswara Syntex Ltd?
Why Banswara Syntex Ltd? Modernized outlook to textiles and fashion 01 Focus on export and 40+ years of industry experience domestic markets led by a competent leadership 06 02 team Investment Rationale Consistently Lowering Debt Skilled design and marketing 05 03 teams 04 Transition to Value Added
Slide 32: Vertical Integration - A Game Changer for Banswara
Vertical Integration - A Game Changer for Banswara 01. Sustainability 02. Geographic Expansion 03. Economies of Scale 04. Improved Supply Chain Co- ordination 05. Product Specialization 06. Competitive Pricing 07. Significantly Lesser Lead Times 08. Covers All Requirements – One Stop Shop 32
Slide 33: Operational Focus
Operational Focus Improvement in Capacity Utilization Cost Optimisation Measures Increase in Value Added Products • Demand improvement across textile • Switched to grid power as thermal power cost • Structural shift in demand towards quality value chain across domestic and has increased fabrics Inte
Slide 34: Financials
Financials
Slide 35: Standalone Profit and Loss Statement
Standalone Profit and Loss Statement Rs. in Crs FY24 FY23 FY22 FY21 Revenue from Operations 1,264.2 1,498.8 1,189.8 786.6 Other Income 17.9 14.6 17.0 16.2 Total Income 1,282.1 1,513.4 1,206.7 802.8 Total Expenditure Raw materials 556.0 628.8 526.9 375.1 Employee Expense 282.4 286.3 220.9 153.1 Power
Slide 36: Standalone Balance Sheet
Standalone Balance Sheet Asset (Rs. in Crs) Mar-24 Mar-23 Mar-22 Mar-21 Equity & Liabilities (Rs. in Crs) Mar-24 Mar-23 Mar-22 Mar-21 Non-current assets 501.9 444.4 377.1 360.3 Equity 534.7 509.1 400.1 357.4 Property, Plant & Equipment 418.7 362.8 306.4 330.8 Equity share capital 17.1 17.1 17.1 17.1
Slide 37: Standalone Cash Flow
Standalone Cash Flow (Rs. in Crores) Mar-24 Mar-23 Mar-22 Mar-21 Operating profit before working capital changes 112.1 208.8 133.9 89.8 Changes in working capital 49.8 -145.2 -57.1 45.3 Cash generated from operations 161.9 63.6 76.8 135.1 Income Tax Refund/(Direct Taxes Paid) 16.7 43.4 22.6 -2.7 Net
Slide 38: Company and Investor Relations Advisors contacts
Company: Investor Relations Advisors: Banswara Syntex Limited Strategic Growth Advisors Pvt. Ltd. CIN: L24302RJ1976PLC001684 CIN: U74140MH2010PTC204285 Ms. Kavita Gandhi Ms. Aakash Mehta/Mr. Rahul Agarwal secretarial@banswarasyntex.com aakash.s.m@sgapl.net / rahul.agarwal@sgapl.net +91 9870679263/+9