Banswara Syntex Ltd · NSE:BANSWRAS
Banswara Syntex — Investor Presentation (July 2021)
35 slides from Banswara Syntex's investor presentation, Jul 9, 2021
Slide 1: Banswara Syntex Limited Investor Presentation
YARN FABRIC BANSWARA SYNTEX LIMITED Investor Presentation GARMENTS
Slide 2: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Banswara Syntex Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 3: About Us
About Us Our Specialty is Value Added Textiles
Slide 4: Banswara Syntex – India Footprint
Banswara Syntex – India Footprint… Corporate Office in Mumbai, with Incorporated plants in Banswara, Daman and in the year 1976 Surat Experienced Design Teams. Offering Vertically Integrated Design Studio in Collaboration textile solutions with Italy and France. Surat In House R&D & state of the art
Slide 5: Banswara Syntex – Global Reach
Banswara Syntex – Global Reach… Exports to over 65+ countries across Long-Term Relationship with Leading Global Customer Accreditations and JV with TESCA of France for the Globe Global and Domestic players Quality Certifications Automotive fabrics UK Europe US India Japan Middle East Australia Mumba
Slide 6: Our Journey
Our Journey Shift towards Sustainable production -Started first unit of 18 MW through Started captive thermal power production of Recycled Fabrics Banswara Textile plant. Mills Ltd. (BTM), an Entered Joint Venture Super-stretch -Started production of with French Company associate firm women Fabrics
Slide 7: Process Flow
Process Flow Weaving & Spinning Garmenting Processing Polyviscose, Worsted Fabric, Cotton Fabric & Garments / Made-Ups (Trousers, Technical Fabric Jackets & Waist Coats) Polyviscose & Worsted Processing & Finishing Spinning into Fabric Spun Yarn for Fabric for Internal Internal Use Use External Purc
Slide 8: Manufacturing Capabilities
Manufacturing Capabilities Dyeing Unit Spinning Unit Weaving Unit Garmenting Unit Manufacturing Capabilities Invested in… Yarn Yarn 3,060 Tonnes/ month INR 274 crores Fabrics Over INR 574 crores The Company owns - Fabrics Weaving- 2.7Mn Meters/ month towards expansion INR 192 crores Processing- 4.5M
Slide 9: Financials
Financials
Slide 10: Standalone Balance Sheet
Standalone Balance Sheet Asset (Rs. in Crores) Mar-21 Mar-20 Mar-19 Equity & Liabilities (Rs. in Crores) Mar-21 Mar-20 Mar-19 Non-current assets 360.27 393.64 433.91 Equity 357.37 341.86 294.44 Property, Plant & Equipment 334.74 370.68 413.56 Equity share capital 17.12 17.12 17.12 Capital Work in pr
Slide 11: Standalone Profit and Loss Highlights
Standalone Profit and Loss Highlights Rs. in Crs. FY 21 FY20 FY 19 Net Operating Income 786.62 1289.50 1350.93 Raw materials 375.09 601.30 667.72 Cost of materials consumed 314.15 601.30 667.72 Purchase of traded goods 60.89 - - Employee Expense 153.14 241.72 236.91 Power & Fuel 73.71 119.43 131.02
Slide 12: Revenue Performance
Revenue Performance Division-Wise Gross Revenue (Rs. in Crores) Geography-wise Gross Revenue (Rs. in Crores) 1,350 1,254 1,295 1,350 1,290 787 1,295 34 1,290 1,254 37 27 32 282 252 255 240 46% 45% 44% 43% 41% 787 497 496 25 498 584 102 306 55% 56% 57% 59% 54% 484 537 512 422 354 FY17 FY18 FY19 FY20
Slide 13: Improving Balance Sheet
Improving Balance Sheet Net Debt (Rs. Crores) Debt-Equity Ratio 3.2 -28 585 2.9 557 -78 479 -151 2.2 328 -84 1.4 244 0.8 FY17 FY18 FY19 FY20 FY21 FY17 FY18 FY19 FY20 FY21 Debt-Equity Ratio= Total Debt / Total Shareholders funds 13
Slide 14: Dividend Payout and Shareholding History
Dividend Payout and Shareholding History Dividend Payout History Shareholding Structure The company has Consistently declared dividends Year-on-Year Category % Holding Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Financial year Dividend (Rs./Share) % Promoter & 59.10 58.93 58.87 58.87 58.87 58.87 Promo
Slide 15: Why Banswara Syntex Limited?
Why Banswara Syntex Limited? Modernized Skilled Design Competent Transition to Outlook to and Marketing Leadership Value Added Textiles and Teams Team Products Fashion Investment Rationale Focus on Vertically Export and Consistently 40+ years of integrated Industry Domestic business Lowering Debt Ma
Slide 16: Vertical Integration - A Game Changer
Vertical Integration - A Game Changer Covers All requirements- One Sustainability Stop Shop 8 1 Significantly Lesser Economies of Scale Lead Time 7 Benefits of 2 Vertical Integration 6 3 Improved Supply Product Specialization Chain Co-ordination 5 4 Geographic Competitive pricing Expansion 16
Slide 17: Focus on Improvement of Margins
Focus on Improvement of Margins The Company is continually working towards generating additional value for its stakeholders. Some specific Initiatives where material benefits are expected: Move towards Value Added Products Increase in volume of Value-added products having higher margins. Cost Opti
Slide 18: Sales – Aim to be a Market Leader
Sales – Aim to be a Market Leader Sales Growth Plan (Rs in Crores) The company made sales of Rs.1,289 Crores in FY 2019-20. 1,600 FY 2020-21 However, in FY 2020-21 the sales declines to Rs.787 crores due to COVID-19. 1,400 1,289 1,270 1,070 The company has seen some revival in Q1 FY 2021-22 as compa
Slide 19: Margins- On an Upward Journey
Margins- On an Upward Journey Margin Analysis The company has maintained constantly maintained its EBITDA 16.0% Margin above 10% Y-o-Y. EBITDA 14.5% 224 Further, moving ahead, the company expects the same to grow due Margin 13.5% to its various initiatives undertaken. The company expects to reach an
Slide 20: Yarn - The Building block
Yarn - The Building block BSL is a preferred partner for the quality Focused Customers for Synthetic Blended Yarns. Multi-specialty Stretch Yarns for Production of Received Globally Use of high-end yarn range with weaving using blends of viscose recognized fibers from globally functional branded Lyc
Slide 21: Yarn – Growth Strategy
Yarn – Growth Strategy Yarn Sales Plan (Rs in Crores) More brand approvals and brand associations for better profitable & sustainable quantities over the longer period. 555 512 525 500 Getting into Niche markets with product 475 re-engineering. 354 Getting into volume markets with newer products wit
Slide 22: Fabrics – The Growth Engine
Fabrics – The Growth Engine Fabric Sales Plan (Rs in Crores) The company is Focusing on High-Quality & Performance Fabrics Expansion in Value Leveraging our 615 Current Presence Added Fabrics Advantages 550 496 500 Worsted Stretch Fabrics for In-House Design Wool Specialties suiting and pant
Slide 23: Fabrics – Major Competencies
Fabrics – Major Competencies The company sees favorable opportunities in Production of Comfort Fabric going forward Flexibility in Production Specialized In- house Yarn Reliability and trust due to Best-in-class production ensure amongst big customers technology and state-of- seamless flow of Raw li
Slide 24: Fabrics – Growth Plan
Fabrics – Growth Plan Increased Venturing into Production of Knitted Increasing the market share in production Evaluation of Production of Fabrics for Product Fabrics of High value-added Technical Fabrics Automatives and Defence applications Mix The Company Aims to be the Market Leader in Bi Stretch
Slide 25: Garments – Value Addition Division
Garments – Value Addition Division Garments is one of the Fastest growing segments in the Textile Industry 15 years+ Experience in Garment Manufacturing One of the Largest Manufacturer of Specialized Formal Suits, Jackets and Trouser in India Strong International Presence with long term relationship
Slide 26: Garments – Value Addition Division
Garments – Value Addition Division Garments Sales Plan (Rs in Crores) Growth Strategy Comfort Garments 400 Move towards manufacturing of Comfort Garments made from Bi Stretch/ Knitted Fabrics. 300 255 250 175 Leverage Relations Leverage the existing relationships with larger customers like Arrow, Va
Slide 27: Riding the Fast Fashion Wave
Riding the Fast Fashion Wave Requirements of Our Our Focus Fast Fashion Capabilities Areas It is fuelled by advances in Design houses in France & Italy Maintain a high grade of technology, automation. as well as India to accurately quality even at shortened forecast trends in the West and lead times
Slide 28: Domestic Clientele
Domestic Clientele E-Commerce Clients: 28
Slide 29: International Clientele
International Clientele Working with some of the world’s biggest names 29
Slide 30: List of Accreditations/ Quality Certifications
List of Accreditations/ Quality Certifications Year Position Category 2018-19 Best Export Performance in Synthetic & Rayon Spun Fabrics 2018-19 Second Best Export Performance in Spun Yarn 2017-18 Best Export Performance in Synthetic & Rayon Spun Fabrics 2016-17 Best Export Performance in Synthetic &
Slide 31: Leadership Team
Leadership Team Founded the Company in the year 1976. Masters in Textiles from Leeds University, UK. 55 years of experience in the textile industry. Late Shri. Toshniwal Ex-Chairman of Rajasthan Textile Mills Association, Ex-President of Indian Spinners Association and Ex-Chairman Founder Chai
Slide 32: Board of Directors
Board of Directors Mr. Rakesh Mehra Mr. Ravindra Kumar Toshniwal Mr. Shaleen Toshniwal Chairman Managing Director Joint Managing Director Mr. Parduman Kumar Mr. D P Garg Mr. J. M. Mehta Independent Director Independent Director Independent Director Mr. Vijay Mehta Mr. Kamal Kishore Kacholia Dr. S B
Slide 33: CSR Activities
CSR Activities Creation of garden in Cleaning of lake near the Creation of a walking Creation of a learning Bansawara to provide garden to increase the path of 5 KM along the center for migratory locals with a means of Oxygen level of the edge of the lake to birds thereby developing recreati
Slide 34: Outlook- Indian Textile Industry
Outlook- Indian Textile Industry Opportunities Abundance of raw material, presence of entire value chains, competitive manufacturing costs, availability of skilled manpower, large and growing domestic market, rising per capita income, higher disposable incomes and preferences for brands and increa
Slide 35: Banswara Syntex Ltd.
Banswara Syntex Ltd. CIN: L24302RJ1976PLC001684 Mr. J.K.Jain, Joint President & CFO jkjain@banswarasyntex.com www.banswarasyntex.com 35