Aditya Birla Fashion And Retail Ltd · NSE:ABFRL
Aditya Birla Fashion And Retail — Q2 FY23 Earnings Presentation
61 slides from Aditya Birla Fashion And Retail's earnings presentation, Nov 4, 2022
Slide 1: Outcome of the Board Meeting
ADITYA BIRLA FASHION & RETAIL November 4, 2022 BSE Limited National Stock Exchange of India Limited Scrip code: 535755 Symbol: ABFRL Sub.: Outcome of the Board Meeting of Aditya Birla Fashion and Retail Limited ("the company") Ref.: 1. Regulation 30 (read with Schedule 111 - Part A), 33 of the Secur
Slide 2: Unaudited Standalone Financial Results Q2 FY23
Adltya Blr1a Fashion and Retail Limited STATEMENT OF UNAUDITED STANDALONE FINANOAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2022 , lnCror Quarter ended Six months ended Year ended September 30, 2022 June 30, 2022 September 30, September 30, September 30, March 31, 2022 Sr. 2021 202
Slide 3: Standalone Statement of Assets and Liabilities
Notes: Standalone Statement of Assets and liabilities as at September 30, 2022 'I! in Crore As at As at September 30, 2022 March 31, 2022 Particulars (Unaudited) (Audited) A ASSETS I Non•current assets (a) Property, plant and equipment 671.84 569.20 (b) Capital work-in -progress 92 .29 61.04 (c) Rig
Slide 4: Standalone Statement of Cash Flows
2 Standalone Statement of Cash Flows for the six months ended September 30, 2022 "in Crore Six months ended Six months ended Particulars Sepetember 30, 2022 Sepetember 30, 2021 (Unaudited) (Unaudited) I Cash flows from operating activities Profit/ (Loss) before tax 268.34 (429.20) Adjustments for: D
Slide 5: Notes to Standalone Financial Results
Notes: The above standalone financial results have been prepared in accordance with Indian Accounting Standards (Ind AS) - 34 "Interim Financial Reporting" as prescribed under Section 133 of the Companies Act, 2013 read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 201S, as amend
Slide 6: Additional Disclosures under Regulation 52(4)
10 Addit ional disclosures as per Regulation 63 read with Regulation 52 14) of Securities and Exchan ge Board of India (Li sting Ob ligations and Disclosure Requi rements) Regulation s, 2015: Quarter Quarter Quarter Six months Six months Year ended ended ended ended ended ended March 31, 2022 Partic
Slide 7: Auditor Review Report
Price Waterhouse & Co Chartered Accountants LLP Review Report To The Board of Directors, Aditya Birla Fashion and Retail Limited Piramal Agastya Corporate Park, Building 'A', 4 th and 5 th floor, Unit No. 401, 403, 501 and 502 L.B.S. Road, Kurla Mumbai-400 070 1. We have reviewed the unaudited finan
Slide 8: Auditor Review Report (continued)
Price Waterhouse & Co Chartered Accountants LLP 4. Based on our review conducted as above, nothing has come to our attention that causes us to believe that the Standalone Financial Results has not been prepared in all material respects in accordance with the recognition and measurement principles la
Slide 9: Unaudited Consolidated Financial Results
Aditya Birla Fashion and Retail Limited STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2022 ~ in Crore Quarter ended Six months ended Year ended Sr. Particulars September 30, June 30, 2022 September 30, September 30, September 30, March 31, N
Slide 10: Consolidated Segmentwise Revenue and Results
UNAUDITED CONSOLIDATED SEGMENTWISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2022 "in Crore Quarter ended six months ended Year ended Sr. September 30, June 30, 2022 September 30, September 30, September 30, March 31, Particulars No. 2022 2021 2022 2
Slide 11: Consolidated Statement of Assets and Liabilities
Notes: Consolidated Statement of Assets and Liabilities as at September 30, 2022 ~ in Crore As at As at Particulars September 30, 2022 March 31, 2022 (Unaud ited) (Audited) A ASSETS I Non-current assets (a) Property, plant and equ ipment 757.02 631 .20 (b) Capital work-in-progress 169.76 102.57 (c)
Slide 12: Consolidated Statement of Cash Flows
2 Consolidated Statement of Cash Flows for six months ended September 30, 2022 ~ in Crore Six months ended Six months ended Particulars September 30, 2022 September 30, 2021 (Unaudited) (Unaudited) I Cash flows from operating activities Profit/ (Loss) before tax 159.28 (459.01) Adjustments for : Dep
Slide 13: Notes to Consolidated Financial Results
Notes: The above consolidated financia l results have been prepared in acco rdance w ith Indian Account ing Standards as presc ri bed unde r Section 13 3 of the Compan ies Act , 2013 read with Ru le 3 of the Compan ies (Ind ian Account ing Standa rd s) Rules , 2015 , as ame nded . The above conso li
Slide 14: Auditor Review Report
Price Waterhouse & Co Chartered Accountants LLP Review Report To The Board of Directors Aditya Birla Fashion and Retail Limited Piramal Agastya Corporate Park, Building 'A', 4 th and 5 th floor, Unit No. 401, 403, 501 and 502 L.B .S. Road, Kurla Mumbai-400 070 1. We have reviewed the unaudited conso
Slide 15: Auditor Review Report: Entities Consolidated
Price Waterhouse & Co Chartered Accountants LLP 4. We also performed procedures in accordance with the circular issued by the SEBI under Regulation 33 (8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, to the extent applicable. 5. The Consolidated Financ
Slide 16: Auditor Review Report (continued)
Price Waterhouse & Co Chartered Accountants LLP 7. We did not review the interim financial information of 6 subsidiaries included in the Consolidated Financial Results, whose interim financial information reflect total assets of Rs.1,296.34 crores and net assets of Rs.866.92 crores as at September 3
Slide 17: Press Release: Highest ever Quarterly Revenues
PRESS RELEASE Aditya Birla Fashion and Retail posts highest ever Quarterly Revenues with 50% growth YoY; PAT rises ~6 folds Performance Highlights 1. Continuing its strong growth momentum, the company achieved its highest quarterly revenues in Q2 FY23. a. Revenue up 50% YoY at Rs. 3075 Cr. for the q
Slide 18: Financials – Q2 and H1
FASHION & RETAIL Financials – Q2 Growth Growth Standalone Q2 Q2 Consolidated Q2 Q2 % % In Rs. Cr. FY22 FY23 In Rs. Cr. FY22 FY23 (vs. LY) (vs. LY) Revenue 1996 2953 48% Revenue 2054 3075 50% EBITDA 337 465 38% EBITDA 338 418 24% PAT 14 80 469% PAT 5 29 478% Financials – H1 Growth Growth Standalone H
Slide 19: Segment performance: innerwear, youth fashion, ethnic
FASHION & RETAIL • Inner wear & athleisure segment achieved 27% revenue growth YoY. The business continued to expand its network by adding ~1400 new trade outlets and 31 retail outlets to exit the quarter with ~30400 trade outlets and 111 stores. • Youth Fashion segment consisting of American Eagle
Slide 20: Reebok and ethnic brand portfolio
FASHION & RETAIL Reebok. The Company’s foray into branded ethnic wear business includes brands such as Jaypore, Tasva & Marigold Lane. The company has strategic partnerships with Designers ‘Shantnu & Nikhil’, ‘Tarun Tahiliani’, ‘Sabyasachi’ and ‘House of Masaba’. In addition, to cater to the needs o
Slide 21: Q2 FY23 Performance Highlights
Performance Highlights Q2FY23
Slide 22: Distribution Network
Distribution Network Market Update Q2 / H1 Distribution Highlights Network Performance of Key Portfolios Way Forward Company Financials
Slide 23: Retail footprint and store network
3 15 13 22 90 2 13 60 141 139 4 12 15 2 7 1 124 377 1 13 5 11 39 20 1 118 3 1 5 13 8 1 7 113 50 102 6 72 36 8 7 42 4 28 69 7 10 287 1 41 154 15 3,197 396 8 397 122 Brand Stores Pantaloons Stores 3 51 14 7 31,734 6,491 343 6 31 198 Multi-brand Shop in shops across .... Outlets Dept stores .) 8.5 9.7
Slide 24: Market Update
Distribution Network Market Update Q2 / H1 Market Highlights Update Performance of Key Portfolios Way Forward Company Financials
Slide 25: Market Update
Market Update Strong consistent rebound of offline channel Consumption remains resilient ― Second consistent quarter of strong offline ― Despite inflationary pressure, performance discretionary consumption stays strong ― Higher Walk-ins vs pre-COVID levels at premium end ― Ecom sales base getting re
Slide 26: Q2 / H1 Highlights
Distribution Network Market Update Q2 / H1 Q2 / H1 Highlights Highlights Performance of Key Portfolios Way Forward Company Financials
Slide 27: Q2 Highlights
Q2 Highlights Highest ever quarterly revenue Rapid offline expansion ― Consolidated revenue grew by 50% over LY ― Aggressive expansion of branded stores with 33% growth over pre-COVID levels with net addition of 85 brand stores during the quarter ― Lifestyle brands 45% up YoY ― Pantaloons 64% up YoY
Slide 28: Q2 FY23 | ABFRL
Q2 FY23 | ABFRL Particulars ABFRL Standalone Q2 FY20 Q2 FY22 Q2 FY23 Growth Growth (In Cr.) (Vs. LY) (Vs. Q2 FY20) Revenue 2297 1996 2953 48% 29% EBITDA 362 337 465 38% 28% — Highest ever quarterly standalone EBITDA M argin 15.8% 16.9% 15.7% revenue EBIT 141 106 200 89% 41% PBT 36 20 105 433% 193% —
Slide 29: Q2 FY23 Key Segments Revenue
Q2 FY23 | Key Segments | Revenue Particulars NSV Growth ( In Cr.) Q2 FY20 Q2 FY22 Q2 FY23 vs FY20 vs FY22 Lifestyle Brands 1254 1156 1680 34% 45% Other Businesses 209 235 307 47% 31% Madura Segment 1463 1391 1987 36% 43% Pantaloons Segment 915 665 1094 20% 64% Elimination -81 -60 -128 ABFRL Standalo
Slide 30: Q2 FY23 Key Segments EBITDA
Q2 FY23 | Key Segments | EBITDA Particulars EBITDA EBITDA % ( In Cr.) Q2 FY20 Q2 FY22 Q2 FY23 Q2 FY20 Q2 FY22 Q2 FY23 Lifestyle Brands 218 188 286 17.4% 16.3% 17.0% Other Businesses 23 24 6 10.8% 10.2% 2.0% Madura Segment 240 212 292 16.4% 15.2% 14.7% Pantaloons Segment 145 125 176 15.9% 18.8% 16.1%
Slide 31: H1 FY23 | ABFRL
H1 FY23 | ABFRL ABFRL Standalone Particulars (In Cr.) H1 FY20 H1 FY22 H1 FY23 Growth (Vs. LY) Growth (Vs. H1 FY20) Revenue 4363 2770 5727 107% 31% EBITDA 694 199 969 386% 40% EBITDA M argin 15.9% 7.2% 16.9% EBIT 270 -259 451 67% PBT 71 -429 268 278% PAT 28 -321 204 616% ABFRL Consolidated Particular
Slide 32: H1 FY23 Key Segments Revenue
H1 FY23 | Key Segments | Revenue Particulars NSV Growth ( In Cr.) H1 FY20 H1 FY22 H1 FY23 vs FY20 vs FY22 Lifestyle Brands 2259 1591 3199 42% 101% Other Businesses 414 355 597 44% 68% Madura Segment 2673 1946 3796 42% 95% Pantaloons Segment 1805 885 2113 17% 139% Elimination -115 -61 -182 ABFRL Stan
Slide 33: H1 FY23 Key Segments EBITDA
H1 FY23 | Key Segments | EBITDA Particulars EBITDA EBITDA % ( In Cr.) H1 FY20 H1 FY22 H1 FY23 H1 FY20 H1 FY22 H1 FY23 Lifestyle Brands 408 131 552 18.1% 8.2% 17.3% Other Businesses -7 1 27 -1.6% 0.4% 4.5% Madura Segment 402 132 579 15.0% 6.8% 15.3% Pantaloons Segment 310 70 396 17.2% 7.9% 18.7% Elim
Slide 34: Performance of Key Portfolios
Distribution Network Market Update Q2 / H1 Performance of Highlights Key Portfolios Performance of Key Portfolios Way Forward Company Financials
Slide 35: Key portfolio performance summary
Lifestyle Pantaloons Other Ethnic businesses Stellar show at the back Innerwear growth led by Ethnic portfolio showed Strong growth riding on of strong retail distribution expansion & robust growth led by aggressive quarterly store performance, consistent brand building strong retail expansion addit
Slide 36: Lifestyle Brands
Lifestyle Brands
Slide 37: Lifestyle Brands Q2 updates
Lifestyle Brands Q2 updates — Revenue grew by 45% over LY to reach Rs. 1680 Cr. with retail LTL of ~27% — Revenue grew 34% above pre-Covid levels — Best quarter for the women’s and kid’s business — Segments performed well across all brands — Handbag and footwears posted strong growth forming ~40% sh
Slide 38: Channel-wise Revenue
Q2 Channel-wise Revenue (in Cr.) Q2 Q2 Q2 Vs. Vs. LY FY20 FY22 FY23 FY20 Wholesale 595 258 462 79% -22% Retail revenue grew by 82% in Retail 404 506 734 45% 82% Q2FY23 over pre-COVID levels led by strong 32% LTL growth and Others 255 392 485 24% 90% aggressive retail expansion — Brands continue to b
Slide 39: Slide 39
Slide 40: Pantaloons
Pantaloons — Highest ever quarterly revenue at Rs. 1094 Cr. with 64% growth YoY, led by strong EOSS & Pujo performance — 20% overall growth above pre-COVID levels — EBITDA grew by 21% over FY20 — Margin ahead of pre-COVID levels — Aggressive network expansion for the quarter with net addition of 21
Slide 41: Category Mix and Ownership
Category 14% 10% 37% 28% Ownership Q2 Q2 Mix 17% FY23 FY23 62% Mix 10% ■ Men 22% Own Brands ■ Women's Western ■ MFL ■ Women's Ethnic Others ■ Kids 10% ■ Non Apps 27% 16% 36% Q2 Q2 FY22 FY22 17% 8% 65% 21% High private label share in Q2 FY22, an aberration due to impact of COVID
Slide 42: Other Business Segments
Active Athleisure Innerwear Youth Western Wear Super Premium Brands
Slide 43: Innerwear & Athleisure
Innerwear & Athleisure — Revenue grew by 27% over LY — Business grew to 1.9x of pre-COVID levels — Continued with the network expansion — Added 31 EBOs to take the total count to 111 — Expanded trade network to ~30400 outlets — Forayed into kids inner wear category — Launched first mega television /
Slide 44: Campaign imagery
- I_ J Click anywhere on the imagery to view the entire campaign
Slide 45: Youth Western Wear
Youth Western Wear AMERICAN EAGLE — Best ever quarterly performance with ~70% growth over LY — Continued brand expansion – Added 2 more stores — Ecom channel also set to grow – More than 15% share in the quarter FOREVER 21 ~ — Revenue grew by ~40% over LY — 2 new stores added (net addition) to the n
Slide 46: Super Premium Brands
Super Premium Brands — 35% growth in revenue YoY — Ahead by 130% over pre-COVID levels — Ecom revenue delivered 100% growth over LY — All set to become one of the leading luxury portal in India ~ HACKETT LONDON T ED BA K ER LONDON u FRED PERRY THE COLLECTIVE
Slide 47: Reebok
~aabok — Completed acquisition of Reebok India operations through signing of local asset transfer agreement w.e.f. 01 October 2022 — Financials to be integrated from subsequent quarter — Focusing on streamlining operations such as Designing, Product Innovation, Sourcing, Retail Expansion & Marketing
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Slide 49: Ethnic Subsidiaries
Ethnic Subsidiaries 7 brands operating with 60+ stores to scale up further……….. Clothing | Beauty | Accessories | Jewelry
Slide 50: Jaypore
J A YPORE® — Revenue witnessed ~80% growth YoY over LY — Offline revenue reaching to more than 5x of LY — Continued store expansion journey with network reaching 13 stores — New categories showed strong traction — Home business grew 98% YoY
Slide 51: Ethnic brand update
— Revenue grew to 1.5x of LY — Added 2 stores to the network, Continue to expand at the same rate — Now present across 14 stores — New retail identity being rolled out across stores to enhance consumer experience & brand proposition — Continuous investment in strengthening brand equity and visibilit
Slide 52: Sabyasachi
~ ABYASACHI S C A LC U T T A — Revenue grew by 60% over LY — Jewelry business grew by 154% over LY — Focus on building a truly global brand — Opened first international EBO in New York
Slide 53: New York Store
New York Store spanning across 5500 sq ft.
Slide 54: Tasva
\\•- (/ ~Ii TASVA HI I . NI — Continued with aggressive store expansion — Launched 9 stores in Q2FY23 taking total count to 21 — All set to end the year with ~70 stores — Aggressive brand building initiates — First Brand campaign live on digital channels — Strong consumer love for product and price
Slide 55: Campaign video
Click anywhere on the imagery to view the entire campaign
Slide 56: Lovechild
• LOvECHIID 11~ — Revenue almost doubled over LY — Launched its Beauty and personal care line under the brand Lovechild
Slide 57: Way Forward
Distribution Network Market Update Q2/H1 Highlights Way Forward Performance of Key Portfolios Way Forward Company Financials
Slide 58: Way forward | ABFRL
Way forward | ABFRL — Each Lifestyle brand - Louis Philippe, Van Heusen, Allen Solly & Peter England - achieving mega-brand scale with industry leading growth — Pantaloons set to grow aggressively through accelerated network expansion — Inner wear, Youth fashion & global brands business now growing
Slide 59: Company Financials
Distribution Network Market Update Q2/H1 Company Highlights Financials Performance of Key Portfolios Way Forward Company Financials
Slide 60: Financials: Consolidated P&L and Balance Sheet
Financials Consolidated Profit & Loss Consolidated Balance Sheet Q2 FY22 Q2 FY23 H1 FY22 H1 FY23 Sep-21 Mar-22 Sep-22 In Rs. Cr. In Rs. Cr. Revenue from Operations 2054 3075 2866 5949 Networth 2,586 2,789 3,600 Other Income 25 22 50 53 Net Debt 873 504 243 Total Income 2080 3097 2916 6003 Lease Liab
Slide 61: Disclaimer
Disclaimer Certain statements made in this presentation may not be based on historical information or facts and may be “forward looking statements” including, but not limited to, those relating to general business plans & strategy of Aditya Birla Fashion and Retail Limited (“ABFRL"), its future outl
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