S.p. Apparels Ltd. · NSE:SPAL
S.p. Apparels — Q1 FY2023 Earnings Presentation
28 slides from S.p. Apparels's earnings presentation, Aug 11, 2022
Slide 1: Cover letter to stock exchanges: Financial Presentation
A S.PAPPARELS LTD. Regd Office 39-A, Extension Street, Ka1katt1pudur, AVINASHI 54 654, Tamil Nadu, India. Phone +91-4296-714000 E-mail : sp1ndiaus p-apparels.com : Web www.s-p-apparels.com CIN No.: L18101TZ2005PLC012295 - y UKAS 11® August, 2022 The Listing Department The Listing Department BSE Limi
Slide 2: Investor Presentation Q1 FY23 Results Update
Investor Presentation Q1 FY23 Results Update August 2022
Slide 3: Contents
Contents Q1 FY23 Results Update Company Overview Financial Overview & Shareholding Structure
Slide 4: Disclaimer
Disclaimer 3 This presentation and the following discussion may contain “forward looking statements” by S.P. Apparels Limited (“SPAL” or the Company) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operations, financial
Slide 5: Q1 FY23 Results Update
BD ' S.P.APPARELS LTD. QI FY23 Results Update
Slide 6: Q1 FY23 - Key Highlights
Q1 FY23 - Key Highlights 5 92% YoY 118% YoY 74% YoY Growth in Total Revenue1 Growth in Gross Profit Growth in Adj. EBITDA PAT stands at 123% YoY 93% 145 bps Growth in Profit after Tax Increase in Garment Rs.258 mn Expansion in PAT Margin Revenue 12% increase in Stable operations in SP UK with reviva
Slide 7: Q1 FY23 Result - Key Highlights
Q1 FY23 Result - Key Highlights 6 In Rs Mn REVENUES 1 Adj. EBITDA & EBITDA MARGIN 2 PBT* & PBT MARGIN 3 PAT & PAT MARGIN 3 2,525.4 21.1% 19.2% 12.8% 14.0% 484.5 10.2% 8.8% 354.5 258.0 1,318.3 92% 278.3 74% 111% 168.2 123% 115.6 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 Notes: 1
Slide 8: Q1 FY23 – Division Wise Analysis
Q1 FY23 – Division Wise Analysis 7 In Rs Mn Q1 FY23 YoY ANALYSIS – TOTAL REVENUE BREAKUP 1 DIVISION REVENUES SHARE Q1 FY22 Q1 FY23 Garment Exports 87.7% 88.5% 2,525.4 170.8 276% SPUK 8.8% 4.8% 120.3 Retail 3.4% 6.8% 1,318.3 4% 45.4 116.2 2,234.3 Adj. EBITDA MARGIN % 2 Q1 FY22 Q1 FY23 93% 1,156.8 Gar
Slide 9: Q1 FY23 - Key Analysis
Q1 FY23 - Key Analysis 8 Q1 FY23 total revenues1 increased by 92% YoY to Rs 2,525 mn Volumes (mn pcs) & NSR (INR) ❖ Revenues grew by 93% on a YoY basis in Garment Exports division due to traction in demand from existing customers 126.7 ❖ Retail division revenue grew by 276% YoY aided by sharp recove
Slide 10: Q1 FY23 Result - Consolidated Profit & Loss Statement
Q1 FY23 Result - Consolidated Profit & Loss Statement 9 Particulars (In Rs Mn) Q1FY23 Q1FY22 YoY % FY22 FY21 YoY % Revenue from Operations 2,457.8 1,330.8 84.7% 8,594.3 6,523.1 31.8% Gain on account of Foreign Currency Fluctuations 67.7 -12.5 - 77.6 8.8 784.9% Total Revenues 2,525.4 1,318.3 91.6% 8,
Slide 11: FY22 - Consolidated Balance Sheet
FY22 - Consolidated Balance Sheet 10 Particulars (Rs Million) Mar-21 Mar-22 Particulars (Rs Million) Mar-21 Mar-22 Equities & Liabilities Assets Shareholder's Funds Non-Current Assets Share Capital 256.9 256.9 a. Property, Plant and Equipment 4,007.6 4,105.1 Other Equity 5,326.9 6,120.8 b. Capital w
Slide 12: Company Overview
B ' S.P.APPARELS LTD. Company Overview
Slide 13: Brief Profile
Brief Profile 12 BUSINESS OVERVIEW KEY STRENGTHS FINANCIAL OVERVIEW * ❖ SPAL is one of the leading manufacturers ❖ SPAL is a specialized player in the highly ❖ Reported Consolidated Revenues, EBITDA and exporters of knitted garments for challenging infant & children wear knitted and PAT were Rs 8,67
Slide 14: Our Evolution
Our Evolution 13 2016 ▪ Listed on BSE / NSE ▪ Repayment of Loans to reduce leverage 2004 2008-13 Set-up of flagship factory at Avinashi Streamlining of operations to integrate 2017-22 2005 the factories, increase efficiencies and ▪ Integration / expansion of Commissioned dying plant at increase back
Slide 15: Leading Exporter of Infant & Children Wear in India
Leading Exporter of Infant & Children Wear in India 14 SPAL IS A SPECIALIZED PLAYER IN THE HIGHLY CHALLENGING INFANT & CHILDREN WEAR KNITTED GARMENT INDUSTRY INDUSTRY’S UNIQUE CHALLENGES SPAL’S CORE COMPETENCIES ❖ Labour intensive operations. ❖ Demonstrated manufacturing excellence for ❖ Employee tr
Slide 16: WHY SPAL?
Preferred Vendor To Reputed International Brands 15 Strong Pedigree Leading children wear manufacturer under the leadership of Mr. Sundararajan, CMD with more than 36 years of experience in apparel industry SPAL IS THE PREFERRED VENDOR FOR KNITTED GARMENTS FOR INFANTS AND CHILDREN TO REPUTED INTERNA
Slide 17: Strategically Located & Integrated Manufacturing Facilities
Strategically Located & Integrated Manufacturing Facilities 16 SPINNING KNITTING DYEING
Slide 18: Strategically Located & Integrated Manufacturing Facilities
Strategically Located & Integrated Manufacturing Facilities 17 AUTOMATED CUTTING PRINTING EMBROIDERY
Slide 19: Strategically Located & Integrated Manufacturing Facilities
Strategically Located & Integrated Manufacturing Facilities 18 SEMI-AUTOMATED AUTOMATED SEWING INVENTORY SEWING ASSEMBLY LINE MANAGEMENT
Slide 20: Strong In-house Design Expertise
Strong In-house Design Expertise 19 STRONG DESIGN IS SPAL’S CORE COMPETENCY ❖ SPAL’s core competency lies in understanding latest fashion and trends to suit the customers buying preferences. ❖ Dedicated in-house design and merchandising team of designers located at our Corporate Office in India and
Slide 21: Stringent Quality Controls & Compliance
Stringent Quality Controls & Compliance 20 ACCREDITATIONS AND AWARDS FOR OUR MANUFACTURING FACILITY/ABILITY Received laboratory accreditation ISO/IEC 17025:2005 by the National Accreditation Board for Testing and Calibration Authorities, Department ❖ Strong adherence to the highest standards of qual
Slide 22: Qualified Management with Deep Understanding of Apparel Sector
Qualified Management with Deep Understanding of Apparel Sector 21 ` Mr P. Sundararajan Ms S. Latha Mr S. Chenduran Chairman and Managing Director Executive Director Joint Managing Director • Six years of experience in the textile and • Founder director of SPAL with 36 years of Founder director of SP
Slide 23: Board Of Directors - Wide Spectrum of Experience
Board Of Directors - Wide Spectrum of Experience 22 Mr A.S. Anandkumar Mrs H .Lakshmi Priya Mr C. R. Rajagopal Mr V. Sakthivel Independent Director Independent Director Independent Director Independent Director • 47 years of experience in banking • 20+ years of experience in corporate • Core areas o
Slide 24: Financial Overview & Shareholding Structure
Financial Overview & Shareholding Structure
Slide 25: Financial Overview
Financial Overview 24 REVENUES Adj. EBITDA & EBITDA MARGIN PAT Before MI & PAT MARGIN 9.1% 9.8% 8,672 18.4% 17.6% 7.2% 6.6% 8,264 8,090 15.3% 16.4% 5.6% 6,624 6,523 10.8% 1,528 847 1,238 1,238 734 1,072 895 478 469 432 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 LEVERA
Slide 26: Division-wise EBIDA Performance
Division-wise EBIDA Performance 25 GARMENT DIVISION 21.0% 20.2% 20.9% 17.6% 12,000 12.0% 10,000 6,805 7,429 8,000 7,026 5,734 5,369 6,000 4,000 1,202 1,194 843 1,083 1,553 2,000 - FY18 FY19 FY20 FY21 FY22 Garment Revenue Garment EBITDA Adj. EBITDA Margin (%) RETAIL DIVISION SPUK 4.4% 5.6% 5.3% 3.6%
Slide 27: Shareholding Structure
Shareholding Structure 26 SHAREHOLDING PATTERN – 30th June 2022 KEY SHAREHOLDERS – 30th June 2022 Non-Institutions 20.7% DSP Mutual Fund 8.41% Promoters 61.7% ICICI Prudential Mutual Fund 3.77% UTI Mutual Fund 3.23% Euro Asia Agencies Limited, Hong Kong 1.34% Institutions 17.7% Source: BSE
Slide 28: For Further Queries
Q3 FY22 Results Update For Further Queries: Mr. V. Balaji Company Overview Chief Financial Officer Email: balaji.v@spapparels.com Financial Overview & Shareholding Structure www.s-p-apparels.com Mr. Chintan Mehta/Ms. Jill Chandrani IR Consultant Email: s.p.apparels@dickensonworld.com Contact no: +91