Sutlej Textiles & Industries Ltd. · NSE:SUTLEJTEX
Sutlej Textiles & Industries — Q3 FY2023 Earnings Presentation
26 slides from Sutlej Textiles & Industries's earnings presentation, Feb 3, 2023
Slide 1: Cover letter to stock exchanges: Q3FY23 Result Presentation
SUTLEJ TEXTILES AND INDUSTRIES LIMITED Lotus Corporate Park, ‘E’ Wing, 5th/6th Floor, 185/A, Graham Firth Compound, Near Jay Coach, Goregaon (East), Mumbai 400 063, INDIA. Phone : (022) 4219 8800/6122 8989 Fax (022) 42198830 E-mail : info@sutlejtextiles.com Website: www.sutlejtextiles.com CIN. : L17
Slide 2: Sutlej Textiles and Industries Limited Q3 FY23 Result Presentation
Sutlej Textiles and Industries Limited Leadership in Yarns, establishing a niche in Home Textiles Q3 FY23 Result Presentation February 2023 1
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sutlej Textiles and Industries Limited (the “Company”), solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securitie
Slide 4: Q3 FY23 Result Updates
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Slide 5: Financial Performance – Q3 & 9MFY23
Financial Performance – Q3 &9MFY23 Consolidated (Rs Crore) Q3FY23 Q2FY23 Q3FY22 YoY % 9MFY23 9MFY22 YoY % Total Income 670 826 823 -19% 2,349 2,211 6% Cost of goods sold 365 431 439 -17% 1,201 1130 6% Gross Profit 305 395 384 -21% 1,147 1081 6% GP margin % 45.49% 47.84% 46.61% -112 bps 48.85% 48.91%
Slide 6: Yarn Business Highlights
Yarn Business Highlights Capacity utilisation at optimum levels Yarn Sales marginally lower Switched Focus to Domestic market Standalone Sales (Rs Crs) 95% 27,043 803 810 656 94% 94% 25,540 22,522 42% 42% 40% 58% 58% 60% Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23 Q3FY22 Q2FY23 Q3FY23 Domestic Exports
Slide 7: Balance Sheet (Consolidated) – Highlights
Balance Sheet (Consolidated) – Highlights Decrease in overall Debt due to reduction in both Long Consistently keeping the Debt to Equity below 1x… term and Short term Debt. 0.97 0.95 920 871 907 942 818 0.91 0.86 381 291 339 464 0.72 432 539 580 569 478 386 FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21
Slide 8: From the Executive Chairman’s Desk
From the Executive Chairman’s Desk Commenting on the results, Mr. C.S. Nopany, Executive Chairman, Sutlej Textiles and Industries Limited said: “After a buoyant first two quarters, the Textile Industry hit multiple roadblocks in 2022 due to uncertain geo-political situations and consequential volati
Slide 9: Sutlej
Sutlej Creation of a Strong Foundation over the years
Slide 10: Successful Yarn business, building a niche Home Textile business
Sutlej Textiles – Successful Yarn business, building a niche Home Textile business Established Value-added Yarn Player Building a strong Home Textile Brand • Largest Spun Dyed Capacity • Niche Segment Presence One of India’s largest spun dyed Yarn and leading Melange Yarn One of the few listed p
Slide 11: Key Business Verticals
Key Business Verticals Dyed Yarns SPECIALISED YARN Value Added Yarn Segment Melange Yarns SUSTAINABLE GREEN FIBRE Recycled Polyester Recycled Green fibre Staple Fibre Curtains HOME TEXTILES Upholstery Niche Segment Made Ups 10
Slide 12: Guided by Industry Veterans and Experienced Management
Guided by Industry Veterans and Experienced Management Board of Directors Mr. C.S. Nopany Mr. U.K. Khaitan Mr. Amit Dalal Mr. Rajan Dalal Ms. Sonu Bhasin Executive Chairman Independent Independent Independent Independent Non-Executive Director Non-Executive Director Non-Executive Director Non-Execut
Slide 13: Consistently Expanding Capacities and Product Portfolio
Consistently Expanding Capacities and Product Portfolio… Backward Acquisition of Birla integration into Commenced Textile Mills Acquired Design, green fiber commercial production 31,104 spindles Sales, and Greenfield Project Modernization of of 31,104 Spindles at added at 35,280 spindles – Distribut
Slide 14: Focused on Value Added Specialty Yarn
Focused on Value Added Specialty Yarn Always Opted for Expansion into High Value Specialty Yarn
Slide 15: Among the Leading Yarn and Fabric Capacities in India
Among the Leading Yarn and Fabric Capacities in India Our manufacturing facilities are capable to handle a variety of Raw Material, having different Counts We work very closely with our Customers to fulfil requirements and on the ethos, ‘Manufacture to Sale and Not to Stock’ Kathua, J&K • 1,11,7
Slide 16: Speciality Dyed Yarns – Backbone of Our Business
Speciality Dyed Yarns – Backbone of Our Business Leading Yarn manufacturer in India 4,22,352 Dyed Yarn Spindles Continuous Increase in Spindle Capacities (MT) ~37% dedicated to Melange Yarn ~63% dedicated to various blends Well Diversified Product Portfolio/geographies and customers 4,20,2
Slide 17: Capex Update
Capex Update New Green Field Spinning project at J&K Currently the company is not present in Greige ( grey) product segment. In order to compliment the dyed/mélange product offering, the company needs to have grey product in its product basket. In view of the increasing demand for cotton /polyes
Slide 18: Sustainable Green Fibre Unit
Sustainable Green Fibre Unit Backward integration into recycle fibre to meet captive demand
Slide 19: Improving Operating Efficiency by Backward Integration
Improving Operating Efficiency by Backward Integration… Captive Utilisation RPSF – A Key Raw Material for Sutlej Bottle Flake Fibre Yarn Fabric Key Statistics: Updates 120 Tonne per day Installed capacity of green fibre at Capacity utilization has been consistently Sutlej increasing and currentl
Slide 20: Home Textile Business
Home Textile Business One of the Few Listed Curtains & Upholstery Players
Slide 21: Home Textile Business
Home Textile Business Focus on Curtains, Upholstery & Made ups One of the leading producers & exporters of Home furnishings. Increase in Loom Capacities (MMT) over past 12 yrs American Silk Mills (ASM), leading Design & Distribution Company in USA Latest Technology in design & manufacturing
Slide 22: Home Textile Business: Participation in Heimtextil, Germany
Home Textile Business Participation in Heimtextil, Germany Participated in Heimtextil 2023 exhibition, Germany. This was the first time after 3 years the exhibition was held and hence saw very good turnout. Met more than 150 customers predominantly from Wholesale and Large format trade. Produc
Slide 23: Home Textile - Nesterra: Building a Brand of Future
Home Textile - “Nesterra” Building a Brand of Future From B2B to Retail Brand • In FY21, launched the first retail brand in its existence • Brand is marketed to multi brand outlets, addressing cut services requirements of India’s retail sector • Currently accessible in 419 stores across 26 states. C
Slide 24: Home Textile - Nesterra: Building a Brand of Future
Home Textile - “Nesterra” Building a Brand of Future Market Penetration Currently present across 112 cities in 26 states New Collections Will be launching Nesterra ‘Kidspiration’ inspired by the kids depiction and creativity on canvas and will get to see some of their art as part of the collecti
Slide 25: Key Highlights: Participation in Interwoven Exhibition
Key Highlights Participation in Interwoven Exhibition Launched Performance program at Interwoven exhibition in Nov 2022. Introduced a “Look Book” at Interwoven exhibition of archives to help provide jobber opportunities. Market Penetration Increasing presence through Jobbers and Furniture reta
Slide 26: Let’s Connect
“Anything that is measured and watched, improves - Bob Parsons” Let’s Connect Mr. Rajib Mukhopadhyay Ms. Pooja Sharma / Ms. Vinita Pandya rajibm@sutlejtextiles.com pooja.sharma@stellar-ir.com / vinita@stellar-ir.com yay Lotus Corporate Park, Goregaon (East), Mumbai 400063 Kanakia Wall Street, Andher
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