Indo Count Industries Limited · NSE:ICIL
Indo Count Industries — H1 FY22 Earnings Presentation
42 slides from Indo Count Industries's earnings presentation, Oct 26, 2021
Slide 1: Indo Count Industries Ltd
INDO COUNT Complete Comfort October 26, 2021 The National Stock Exchange of India Ltd. BSELimited Listing Department Department of Corporate Services Exchange Plaza, Floor 25, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (East), Dalal Street, Mumbai - 400 051 Mumbai - 400 001 Company Symb
Slide 2: Q2FY22 Investor Presentation
Q2FY22 Investor Presentation Indo Count Industries Limited October 2021
Slide 3: Safe Harbour
SAFE HARBOUR This presentation and the accompanying slides (the “Presentation”), which have been prepared by Indo Count Industries 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 s
Slide 4: Chairman's Message
CHAIRMAN’S MESSAGE Commenting on the results, Mr. Anil Kumar Jain - Executive Chairman said, “The Company’s intrinsic strength has been demonstrated by its operational performance in conjunction with consistent cash accruals. The unprecedented supply chain challenges have been impacting the industry
Slide 5: Q2FY22 Performance Highlights
Q2FY22 PERFORMANCE HIGHLIGHTS
Slide 6: Resilient & Growing
RESILIENT & GROWING…. Highest ever half yearly REVENUE Highest ever half yearly EBITDA Particulars (Rs. In Crs) Q2FY22 Q2FY21 YoY% H1FY22* H1FY21 YoY% Total Income 767 724 6% 1,476 1,060 39% EBITDA 139 127 10% 267 166 61% EBITDA Margin 18.2% 17.5% 64 bps 18.1% 15.6% 245 bps Navigating through Challe
Slide 7: Sales Volume Performance
SALES VOLUME PERFORMANCE in million meters H1 Performance QoQ Performance Annual Performance +13.3% +4.2% CAGR: 17% 85-90 37.0 # 18.9 * 18.1 32.7 78.2 61.8 57.5 H1FY21 H1FY22 Q1FY22 Q2FY22 FY19 FY20 FY21 FY22E *10% of Q2FY22 volumes has been shipped and in transit due to longer shipping duration the
Slide 8: Improving Performance Ratios
IMPROVING PERFORMANCE RATIOS ROE ROCE # # 22.8% 26.1% 19.4% 24.0% 16.7% 10.8% 6.1% 7.4% FY19 FY20* FY21 H1FY22* FY19 FY20* FY21 H1FY22* NET DEBT/EQUITY NET DEBT/EBITDA EBIT/INTEREST 0.31 1.41 13.2 # 0.24 10.4 0.20 0.18 0.75 0.71 0.63 5.0 3.7 FY19 FY20 FY21 H1FY22* FY19 FY20 FY21 H1FY22* FY19 FY20 FY
Slide 9: H1 FY22 Consolidated Financial Performance
H1 FY22 CONSOLIDATED FINANCIAL PERFORMANCE Particulars (Rs. Crs) Q2FY22 Q2FY21 YoY% H1FY22 H1FY21 YoY% Total Income 767 724 6% 1,476* 1,060 39% EBITDA 139 127 10% 267* 166 61% EBITDA Margin (%) 18.2% 17.5% 64 bps 18.1%* 15.6% 245 bps Depreciation 10 11 20 22 Finance Cost 12 5 24 10 PBT 117 107 9% 22
Slide 10: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET ASSETS (Rs.Crs) 30-Sep-21 31-Mar-21 EQUITY AND LIABILITIES (Rs.Crs) 30-Sep-21 31-Mar-21 Non-Current Assets Equity Property, Plant & equipment 559 540 Equity Share Capital 39 39 Capital Work in progress 11 8 Other Equity 1,406 1,245 Right of Use 16 18 Non Controlling Intere
Slide 11: Consolidated Cash Flow Statement
CONSOLIDATED CASH FLOW STATEMENT Particulars (Rs. Crs) 30-Sep-21 31-Mar-21 Profit before Tax & Exceptional 273 343 Adjustment for Depreciation & other items 25 141 Operating profit before working capital changes 299 484 Changes in working capital (322) (425) Cash generated from operations (24) 59 Di
Slide 12: New Capacity to Drive Next Leg of Growth
NEW CAPACITY TO DRIVE NEXT LEG OF GROWTH BROWNFIELD EXPANSION Capex of Rs.200 Crs • Expansion of its bed linen capacity by ~ 20% existing annual capacity of 90 Mn metres to 108 Mn metres by debottlenecking and balancing facilities • Brownfield investment for adding commensurate cut & sew facilities
Slide 13: Industry Performance
INDUSTRY PERFORMANCE
Slide 14: Strong Rebound in USA Retail Sales
STRONG REBOUND IN USA RETAIL SALES US Retail sales Historical Retail Sales ($ in trillions) July to September 2021 January to September 2021 4.44 – 4.56 14.5% 3.67 3.81 4.02 14.9% 3.38 3.51 2.84 2.94 3.03 3.17 3.28 2.70 Jul-Sep’20 Jul-Sep’21 Jan-Sep’20 Jan-Sep’21 2010 2011 2012 2013 2014 2015 2016 2
Slide 15: Retail Ecommerce Sales in US
RETAIL ECOMMERCE SALES IN US US Retail Ecommerce Sales: 2019 – 2025 US Retail Ecommerce landscape: H1 2021 +22% 0.44 0.36 H1 2020 H1 2021 Retail Ecommerce Sales (US$ Trillions) Source: census.gov 32.4% Online shopping has emerged as the most demanding 15.1% 21.4% 23.6% and popular online activity wo
Slide 16: Significant Growth in Indian Home Textile Exports Market
SIGNIFICANT GROWTH IN INDIAN HOME TEXTILE EXPORTS MARKET Indian Home Textile Market – Exports, USD Millions +9% 5,728 5,272 ✓ The Indian Home Textile export demand mainly driven by the US, the largest market, Q1FY20 1,327 accounting for 60% of India’s home textile exports Q1FY21 714 ✓ India’s Home T
Slide 17: India Gaining Market Share in USA Home Textiles Market
INDIA GAINING MARKET SHARE IN USA HOME TEXTILES MARKET US imports of Cotton Sheets US imports of Cotton Pillow cases US imports of Cotton Bedspread 75 75 75 60 60 60 45 45 45 30 30 30 15 15 15 0 0 0 CY19 CY20 Jan-Aug21 CY19 CY20 Jan-Aug21 CY19 CY20 Jan-Aug21 India 50 52 59 India 53 54 59 India 17 18
Slide 18: Factors Playing Out for Indian Home Textile Players
FACTORS PLAYING OUT FOR INDIAN HOME TEXTILE PLAYERS AVAILABILITY OF RM CHINA + 1 STRATEGY Abundant availability of raw material 01 CHINA + 1 strategy to play out as 04 – India is the world’s largest cotton brands will seek second source producer ‘HOME’ HAS BECOME A ATMANIRBHAR BHARAT CENTER STAGE Go
Slide 19: Company Snapshot
COMPANY SNAPSHOT
Slide 20: About Us
ABOUT US Largest manufacturer and exporter of bed sheets, bed linen, quilts from India while being the top bed Domestic Business sheet supplier to the US Launch of B2C & D2C brands Comprehensive product portfolio in the premium segment that comprises of bed sheets, fashion bedding, utility bedding a
Slide 21: Our Global Reach
OUR GLOBAL REACH SERVICES (WORLD OVER) Product Development EDI-based replenishment services Market Research Total Supply Chain Solutions Inventory Planning Innovation Modern warehousing services E-Commerce fulfillment Consumer Insights Indo Count exports to more than 54 countries across 5 continents
Slide 22: Expanded Market Opportunity with Foray into Newer Products
EXPANDED MARKET OPPORTUNITY WITH FORAY INTO NEWER PRODUCTS Bed Sheets Fashion Bedding Utility Bedding Institutional Bedding Flat Sheet Comforters & Duvets Mattress Pads, Basic white sheets Fitted Sheets Shams & Decorative Protectors, Pillows Shams & Pillows Pillow-cases Pillows Quilts, Coverlets Dow
Slide 23: Foray in B2C & D2C Segment
FORAY IN B2C & D2C SEGMENT
Slide 24: Enhancing Domestic Presence – Boutique Living & Layers
ENHANCING DOMESTIC PRESENCE – BOUTIQUE LIVING & LAYERS CAMPAIGNS IN INDIAN MARKET MARKETING STRATEGIES • Influencer marketing via local influencers • Initiated Personal based marketing and created ad campaigns for impressions and link clicks • Amazon, Facebook and Instagram linked Campaigns created
Slide 25: Activities During the Quarter – Boutique Living
ACTIVITIES DURING THE QUARTER – BOUTIQUE LIVING CAMPAIGNS EGYPTIAN COTTON CREATIVES GANESH CHATURTHI IRIS GAZE COLLECTION 24
Slide 26: Activities During the Quarter – Layers
ACTIVITIES DURING THE QUARTER – LAYERS CAMPAIGNS RAKSHA BANDHAN OLYMPIC GOLD: NEERAJ CHOPRA PATRIOTIC MOOD OF THE MONTH FRIENDSHIP DAY 25
Slide 27: Growing Our Brand Portfolio
GROWING OUR BRAND PORTFOLIO Health & Hygiene Performance Brand Organic Cotton Brand Color based range Kids focused Brand Brand Diversified Brand Portfolio Value Driven Mid-market Luxury Brand Sustainability Brand Cotton centric Brand Mass Brand aspirational Brand Focused digital presence in US, Euro
Slide 28: Licensed Brand Tie-up for Global Markets
LICENSED BRAND TIE-UP FOR GLOBAL MARKETS The partnership will support Indo Count’s long term vision to be the cornerstone for home textiles across the globe ▪ Announced new partnership with a licensed brand, Jasper Conran O.B.E. for an exclusive bed and bath collection, launching in Spring 2022 ▪ Th
Slide 29: Sustainability is in Our DNA
SUSTAINABILITY IS IN OUR DNA
Slide 30: Sustainability Initiatives
SUSTAINABLITY INITIATIVES The programme aims at improving Associated with SAC (Sustainable Apparel awareness among the farmers to cultivate Coalition) through HIGG index tool. Two of our sustainable forms of cotton. facilities at Gokul and Kagal have been certified with the Sustainable Apparel Coali
Slide 31: Sustainability Initiatives
SUSTAINABLITY INITIATIVES Indo Count has contributed towards Project Indo Count is determined to protect the planet and Gigaton since inception for reducing GHG people by contributing to climate change reduction by emissions through various initiatives. adopting of more renewable energy resources. I
Slide 32: ESG Initiatives
ESG INITIATIVES Environmental Social Governance • Installed renewable energy • CSR activities revolves around Education, • Experience Board of Directors in the home • Recycling and reuse of water through Healthcare, Water sanitation and Women textiles industry modernized ETP plant Empowerment • The
Slide 33: CSR Initiatives
CSR INITIATIVES EDUCATION HEALTHCARE • We developed and adopted multifaceted approach through E- learning to increase attendance and stimulate learning • Medical Vans reaching 100 rural villages around Kolhapur amongst students providing free medicines and check-ups • Besides E-learning, various oth
Slide 34: CSR Initiatives
CSR INITIATIVES Indo Count Industries Ltd ‘ covin - 19 ‘ @ vaccination camp" ciTi CORA we GAGAN -A Cotton initiative of re comes you to JAGRUT”. \HIYAN #arora FARMER'S
Slide 35: Awards & Recognitions
AWARDS & RECOGNITIONS
Slide 36: Mahatma Award for CSR Excellence
MAHATMA AWARD FOR CSR EXCELLENCE Mahatma Award recognizes and celebrates impact leaders and change makers across the globe, who are making social impact and leading the way to a sustainable future. The prestigious Mahatma Award 2021 India was conferred to Indo Count Foundation under CSR Excellence C
Slide 37: Texprocil Export Awards 2019-20
TEXPROCIL EXPORT AWARDS 2019-20 Indo Count Industries Ltd. wins for a second consecutive year, two golds at Texprocil Export Awards 2019-20 Gold Trophy for the Highest export performance in Cotton Made Ups-Bed Linen/Bed Sheets/Quilts Gold Trophy for the Special Achievement Award in Cotton Made-ups 3
Slide 38: Recognized by Walmart as 'Top Performer' Supplier
RECOGNIZED BY WALMART CORPORATION AS ‘TOP PERFORMER’ SUPPLIER ✓ Recognized as ‘Top Performer’ suppliers at Walmart’s Global Sourcing Sustainability Summit ✓ In Walmart ‘Project Gigaton’, Indo Count has contributed towards reducing GHG emissions through various initiatives such as installation of sol
Slide 39: Recognition to Our Domestic Brands
RECOGNITION TO OUR DOMESTIC BRANDS ‘BOUTIQUE LIVING’ FELICITATED BY ‘LAYERS’ RECOGNIZED AS THE ECONOMIC TIMES AS ‘ET ICONIC BRAND OF 2021’ ‘THE FEMINA POWER BRAND OF THE YEAR 2021’ 38
Slide 40: Youth Icon Textile Award
YOUTH ICON TEXTILE AWARD Mr. Mohit Jain honoured with The Economic Times Business Leader: Youth Icon Textiles Award 2021 The 2021 edition of the Awards aimed to bring to the forefront noteworthy business leaders who are spearheading our economy by inspiring accelerated and sustainable growth in thei
Slide 41: Healthcare CSR of the Year 2021
HEALTHCARE CSR OF THE YEAR 2021 ▪ Honoured with the Navabharat Group 'Healthcare CSR of the Year’ Award ▪ The recognition was conferred to Indo Count by the Governor of Maharashtra, for our work towards Corporate Social Responsibility ▪ Commenting on the illustrious achievement, Mr. Mohit Jain, Exec
Slide 42: Contact Us
CONTACT US Company : Investor Relations Advisors : Indo Count Industries Limited Strategic Growth Advisors Pvt. Ltd. CIN: L72200PN1988PLC068972 CIN: U74140MH2010PTC204285 Mr. K.R. Lalpuria, Executive Director & C.E.O Mr. Shogun Jain kklalpuria@indocount.com shogun.jain@sgapl.net | +91 77383 77756 Mr
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