Sportking India Ltd. · NSE:SPORTKING
Sportking India — Q4 FY2023 Earnings Presentation
34 slides from Sportking India's earnings presentation, May 2023
Slide 1: Cover letter to stock exchanges
Sp~rt~iqg INDIA LTD. (Govt. Recognised Three Star Export House) Regd.&CorporateOffice: Vill. Kanech, Near Sahnewal, G.T. Road, Ludhiana-141120 Ph. (0161) 2845456 to 60 Fax: 2845458 Admn. Office : 178, Col. Gurdial Singh Road, Civil Lines, Ludhiana-141001 Ph. (0161) 2770954 to 55 Fax: 2770953 E-mail:
Slide 2: Investor Presentation - May 2023
Investor Presentation - May 2023
Slide 3: Safe Harbor
SAFE HARBOR This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sportking India Ltd (the “Company’), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securitie
Slide 4: Financial Performance
Sportkiqg Financial Performance
Slide 5: Delivered strong growth with sustained margins
DELIVERED STRONG GROWTH WITH SUSTAINED MARGINS Revenue from Export Businesses Revenue +2% Rs. 2205 crores 1,220 1,002 Operating EBITDA FY22 FY23 Rs. 279 crores Margin at 13% FY23 Revenue Contribution 45% Operating PBT Contribution from Rs. 208 crores Export Business Margin at 9% Exports Domestic # O
Slide 6: Q4FY23 Performance (YoY & QoQ)
Q4FY23 PERFORMANCE (YoY & QoQ) Revenue from Operations (Rs. in Crs) EBIDTA (Rs. in Crs) PBT (Rs. in Crs) +4% 593 154 140 513 534 +39% +70% 56 42 40 25 Q4FY22 Q3FY23 Q4FY23 Q4FY22 Q3FY23 Q4FY23 Q4FY22 Q3FY23 Q4FY23 PAT (Rs. in Crs) EBITDA % PAT % 104 26 18 +71% 10 6 31 8 18 4 Q4FY22 Q3FY23 Q4FY23 Q4F
Slide 7: FY23 Performance (YoY)
FY23 PERFORMANCE (YOY) Revenue from Operations (Rs. in Crs) EBIDTA (Rs. in Crs) PBT (Rs. in Crs) 2,154 2,205 596 547 279 219 FY22 FY23 FY22 FY23 FY22 FY23 PAT (Rs. in Crs) EBITDA % PAT % 409 28 19 13 132 6 FY22 FY23 FY22 FY23 FY22 FY23 6
Slide 8: Q4 & FY23 Profit & Loss
Q4 & FY23 PROFIT & LOSS Profit & Loss statement (Rs. in Crs) Q4FY23 Q4FY22 Y-o-Y Q3FY23 Q-o-Q FY23 FY22 Y-o-Y Revenue from Operation 534 593 -10% 513 4% 2,205 2,154 2% Raw Material Cost 380 337 376 1,558 1,181 Purchase of Finished goods 0 0 0 1 0 (Increase) / Decrease In Stocks 0 -4 0 -15 -14 Power
Slide 9: Balance Sheet Statement
BALANCE SHEET STATEMENT Equity & Liabilities (₹ in Cr) Mar’23 Mar’22 Assets (₹ in Cr) Mar’23 Mar’22 Equity Share Capital 13 13 Property, plant and equipment 756 381 Other Equity 887 754 Capital Work-in-Progress 7 73 Total Equity 900 767 Right of Use Asset 1 1 Financial liabilities Other Intangible A
Slide 10: Cash Flow Statement
CASH FLOW STATEMENT Cash Flow Statement (Rs. Crs.) Mar-23 Mar-22 Cash Flow from Operating Activities Profit before Tax 189 547 Adjustment for Non-Operating Items 97 69 Operating Profit before Working Capital Changes 287 616 Changes in Working Capital 300 -383 Cash Generated from Operations 587 233 L
Slide 11: Business Overview
Sportking Business Overview
Slide 12: Overview
OVERVIEW Established in 1989 Presence in 30+ countries Owns 3 State of the art Committed to create High manufacturing facilities Quality end products Compliance with Diversified Product International Quality Range recognition standards Manufacturing facilities with Focus on High Modern Technology Ma
Slide 13: Journey So Far
JOURNEY SO FAR Successful expansion at Bathinda Unit adding 68K+ spindles with state-of-the-art plant for Setting up of a Dye manufacturing of cotton compact House for dyeing/ yarn achieving a total overall processing of textile spinning capacity 274K+ spindles. Installed 6K+ yarn fibers Spindles fo
Slide 14: Presence Across the Globe
PRESENCE ACROSS THE GLOBE Geography Wise Revenue Break-up Canada Germany FY23 Belgium 45.0% USA Italy Portugal South Korea Spain China Morocco Tunisia Rs. 2,205 Mexico 55.0% Egypt Hong Kong crores Macao Bangladesh Vietnam Panama Columbia Ethiopia Thailand Malaysia International Domestic Sri Lanka Ke
Slide 15: Manufacturing Facilities & Capacities
MANUFACTURING FACILITIES & CAPACITIES Units Manufacturing Installed Capacities Acrylic/Blended Acrylic Polyester Yarn/ Unit I - Spinning Unit 65,904 Spindles Blended Polyester Cotton yarn Support to Unit No. I & III for their synthetic Unit II - Dye House 15-20 MTPD fibre/ yarn dyeing processing com
Slide 16: Technological Edge
TECHNOLOGICAL EDGE Technologically advanced machineries to support our manufacturing infrastructure Robust control practices in place to ensure consistent quality of our products Use of modern testing instruments such as: ₋ HVI ₋ AFIS ₋ Uster Classimat ₋ Uster Tensest ₋ Uster Hairiness tester
Slide 17: Strategic Advantages
STRATEGIC ADVANTAGES Rail & Roads : Helps in better connectivity Inland Container Depot(ICD): ICD at with other parts of India. Bathinda/Ludhiana for import/export clearances & regular road transport/train service availability between company’s unit/ICD and different seaports. Add Text Here Add Text
Slide 18: Product Range
PRODUCT RANGE 100% Cotton Yarns 100% cotton combed compact yarns in normal and sublime quality for knitting and weaving 100% cotton combed compact slub 100% cotton combed Eli twist Polyester/Cotton Blended Yarns Polyester/cotton combed yarns Polyester/ cotton Melange yarns Fancy Yarns Ja
Slide 19: Sales & Marketing
SALES & MARKETING Focus on excellence Focus on delivering best & premium quality products to most quality conscious brands and customers. Customer Driven Innovation As a result of changing trends in both domestic & international markets accompanied with customer centric approach, our innovation init
Slide 20: Marquee Customers
MARQUEE CUSTOMERS Sportking vorsey M&S TNR\ IKEA) EST. 1884 > ) s Oliver Et interlexp COTTON USA™
Slide 21: Board of Directors
BOARD OF DIRECTORS Munish Avasthi Naresh Jain Prashant Kochhar Sandeep Kapur Harpreet Kaur Kang Anjali Avasthi Managing Director Executive/Whole Non-Executive Non-Executive Non Executive Non Executive Non Time Director Independent Director Independent Director Independent Director Independent Direct
Slide 22: Management Team
MANAGEMENT TEAM • Sandeep Sachdeva is a Qualified Chartered Accountant & Company Secretary with experience of more than 22 years in Sandeep Sachdeva accounting & finance, trading, banking industries covering, handling of Direct and Indirect taxation and various other Chief Financial Officer matters
Slide 23: Certificates & Compliances
CERTIFICATES & COMPLIANCES Global Organic textile Organic Content Standard Standard Oeko-Tex Fairtrade ISO 9001 2015 Global Recycle Standard 22
Slide 24: Way Forward
Sportkiqg > _ i Way Forward
Slide 25: Government Support to Textile Sector
GOVERNMENT SUPPORT TO TEXTILE SECTOR Textile Cluster Development Free Trade Agreements Scheme (TCDS) 01 05 o Recent FTAs signed between India and UAE, ECTA signed between India and Australia The Indian Textile Ministry is implementing the Textile Cluster Development Scheme (TCDS) from o India is cur
Slide 26: Indian Textile Sector - Ready for a Transformation
INDIAN TEXTILE SECTOR- READY FOR A TRANSFORMATION India’s textiles sector is at an inflection point The sector can act fast and grab the huge opportunity opening up due to a change in global textile trade patterns. While the opportunity is huge, the government and the industry need to act in coordin
Slide 27: Business Strengths
BUSINESS STRENGTHS Product Range 04 Competitive Prices Well diversified range of products Sportking enjoys price leadership suitable for use in manufacture of status in all of the market segments woven and knitted fabrics for due to its ability to supply high quality summer and winter wear products
Slide 28: Capacity Builtup Over the Years
CAPACITY BUILTUP OVER THE YEARS Continuous capacity addition to support robust growth in our business 3,78,576 63,072 40,800 68,256 34,464 -6,520 Closure of a 24,480 unit(Small capacity) 52,800 28,800 12,096 23,232 17,856 12,720 6,520 1994 1996 1998 2006 2007 2011 2012 2013 2014 2014 2019 2022 2023
Slide 29: Business Updates During FY23
BUSINESS UPDATES DURING FY23 Completion of Phase 1 & 2 capacity Rooftop Solar Power Projects at Bathinda Unit expansion Projects at Bathinda Unit Completion of 10MW Rooftop Solar Power Project at for in house consumption Completion of phase 1 & phase 2 expansion project Completion Month- June 2022
Slide 30: Historical Financial Charts
HISTORICAL FINANCIAL CHARTS Revenue from Operations (Rs. in Crs) EBITDA (Rs. in Crs) PBT (Rs. in Crs) +22.5% +50.0% +15.9% 2,154 2,205 596 547 1,355 1,306 1,055 1,160 279 211 219 129 136 140 101 29 38 18 FY18 FY19 FY20 FY21 FY22 FY23 FY18 FY19 FY20 FY21 FY22 FY23 FY18 FY19 FY20 FY21 FY22 FY23 PAT (R
Slide 31: Improving Debt Profile & Financial Ratios
IMPROVING DEBT PROFILE & FINANCIAL RATIOS Short term TOL/ TNW Current Ratio 395.0 1.03 2.28 0.75 1.70 130.0 Mar-22 Mar-23 Mar-22 Mar-23 Mar-22 Sep-22 Substantial reduction in availment of short term bank borrowing by Rs. 265 crores as on 31st March 2023 resulting in improvement of Financial Ratio(s)
Slide 32: Key Financial Ratios
KEY FINANCIAL RATIOS ROCE # ROE * 76% 73% 32% 28% 20% 22% 16% 15% 16% 11% 10% 5% FY18 FY19 FY20 FY21 FY22 FY23 FY18 FY19 FY20 FY21 FY22 FY23 Interest Coverage ratio Long term Debt/Equity Ratio 20.8 0.99 0.80 12.1 0.61 0.54 0.38 5.8 3.5 3.3 2.4 0.18 FY18 FY19 FY20 FY21 FY22 FY23 FY18 FY19 FY20 FY21 F
Slide 33: Profit & Loss Statement
PROFIT & LOSS STATEMENT Profit & Loss statement (Rs. in Crs) Mar’23 Mar'22 Mar'21 Mar'20 Mar'19 Mar'18 Revenue from Operation 2,205 2,154 1,306 1,355 1,161 1,055 Raw Material Cost 1,558 1,181 785 901 756 682 Purchase of Finished goods 1 0 0 1 1 1 (Increase) / Decrease In Stocks -15 -14 10 7 -2 13 Po
Slide 34: Thank You
THANK YOU Sportking India Limited CIN: L17122PB1989PLC053162 Mr. Lovlesh Verma 01612845456 cs@sportking.co.in www.sportking.co.in Mr. Devansh Dedhia +91 9930147479 Bhavin.soni@linkintime.co.in Mr. Rajesh Agrawal +91 9967491495 Rajesh.Agrawal@linkintime.co.in