Slide 1: Exchange filing cover letter: Investor Presentation
FSN E-Commerce Ventures Limited (lor111er/\ 'FS1\ £-Commerce l'e11t11res Private Limited ') August 05 , 2022 National Stock Exchange of India Limited BSE Limited Exchange Plaza, 5 th Floor, Corporate Relationship Department, Plot No. C/1, G Block, 2nd Floor, New Trading Wing, Bandra - Kurla Complex,
Slide 2: Investor Presentation Quarter ended June 30, 2022
Investor Presentation Quarter ended June 30, 2022 FSN E-Commerce Ventures Limited
Slide 3: Disclaimer
Disclaimer By attending the presentation or by reading the presentation slides you agree to be bound as follows: This Presentation is prepared by FSN E-Commerce Ventures Limited (“Company”) and is for information purposes only without regards to specific objectives, financial situations or needs of
Slide 4: Table of Contents
Table of Contents Agenda 1. Quarterly Highlights 2. Business Highlights 3. Financial Performance 4. Other Updates 3
Slide 5: Q1 FY23 Highlights
NIA 1 Q1 FY23 Highlights
Slide 6: Q1 FY23: Macro Indicators
Q1 FY23: Macro Indicators Challenges Reduction in Discretionary Rising Inflation Increasing Interest Rate Spend by Consumers Rising inflation can be considered to be The Repo rate has been increased by 50 Consumer spending on Discretionary has one of the biggest challenges which is bps to 4.90% to c
Slide 7: Q1 FY23: Continue to deliver Strong Performance
Q1 FY23: Continue to deliver Strong Performance GMV Revenue Gross Profit Rs. 21,558 MM Rs. 11,484 MM % Rs. 5,099 MM ₹ +47% YoY Growth +41% YoY Growth +54% YoY Growth Gross Margin of 44.4% EBITDA PBT PAT (2) Rs. 461 MM Rs. 83 MM Rs. 50 MM +71% YoY Growth 165% YoY Growth 42% YoY Growth EBITDA Margin o
Slide 8: Q1 FY23: Maintaining growth momentum in GMV
Q1 FY23: Maintaining growth momentum in GMV All Values in Rs million % YoY Growth 69,332 3-year CAGR: 61% Consolidated GMV 80% 239% 63% 49% 45% 47% 40,460 26,849 20,428 21,558 16,229 17,979 16,501 14,696 12,410 FY19 FY20 FY21 FY22 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 7
Slide 9: Q1 FY23: Maintaining growth momentum in GMV (by vertical)
Q1 FY23: Maintaining growth momentum in GMV All Values in Rs million % YoY Growth 3-year CAGR: 46% 50,089 BPC GMV 33,542 57% 175% 37% 31% 31% 39% 24,899 16,219 15,105 14,888 10,699 11,698 12,587 9,645 FY19 FY20 FY21 FY22 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Fashion GMV 3-year CAGR: 296% 267% 75
Slide 10: Business Highlights
NIA 2 Business Highlights
Slide 11: Beauty & Personal Care
2a Beauty & Personal Care
Slide 12: BPC: Omnichannel Business Highlights
BPC: Omnichannel Business Highlights Nykaa Everyday's value proposition for consumers – A One Stop destination for all 1 Everyday Beauty and Personal Care needs with assurance of 100% authentic products and great value on the basket Nykaa partnered with Estee Lauder to bring the much-awaited and pop
Slide 13: BPC: Leveraging Content to Drive Commerce
BPC: Leveraging Content to Drive Commerce Total Views: ~2 Mn Total Views: ~210 K Mothers Day Brand Hero Content Nykaa celebrates what makes mother super and Nykaa Everyday human - as against superhuman - through light Ultimate Guide To Shower & Hygiene and relatable microfilms for Mother’s Day Routi
Slide 14: BPC: Expanding depth and width of House of Brands Portfolio (1/2)
BPC: Expanding depth and width of House of Brands Portfolio (1/2) % YoY Growth # Owned Brand Count Strong Channel Presence GMV of Owned Brands (Rs million) Online - India 96% 19% 61% 95% 5 7 10 10 nykaa.com nykaaman.com dotandkey.com 5,578 earthrhythm.com 3P Platforms(2) Offline – India(3) 3,459 2,8
Slide 15: BPC: Expanding depth and width of House of Brands Portfolio (2/2)
BPC: Expanding depth and width of House of Brands Portfolio (2/2) New Product Launches 4-in-1 eyeshadow Color 20% Vitamin C Cica + Niacinamide Watermelon + palette in 7 variants Corrector Serum SPF 50 Sunscreen AHA Toner 1 10% Vitamin C Day Moisturizer Night Deodorant Facial Oils Lash & Brow Hair Se
Slide 16: BPC: Focus on customer acquisition and order volume
BPC: Focus on customer acquisition and order volume to drive long term sustainable growth % YoY Growth Orders (in million) 27% 212% 54% 31% 33% 40% TTM Customers (in million) GMV (Rs million) 8.1 7.5 7.2 5% 37% 37% 41% 46% 33% 5.8 6.0 57% 175% 37% 31% 31% 39% 5.4 8.6 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY
Slide 17: Fashion
2b Fashion
Slide 18: Fashion: Business Highlights
Fashion: Business Highlights Launched multiple International brands such Little Mistress, 1 LC Waikiki, Oxxo, Twist, Koton across apparels & accessories Little Mistress LC Waikiki Oxxo Twist Koton (UK) (Paris) (Turkey) (Turkey) (Turkey) Continue to expand our House of Brands Portfolio 2 Women’s Athl
Slide 19: Fashion: Leveraging Content to drive Commerce
Fashion: Leveraging Content to drive Commerce Curation Nykaa Fashion’s Hidden Gems Collection helping customers to discover niche labels Nykaa Fashion Thank God It’s Sale (#TGIS) Announcement of the Sales Event featuring Nykaa Fashion’s Brand Ambassador “Alaya F” Styling 101 Educating Buying Guides
Slide 20: Fashion: Scaling tech to improve the shopping experience
Fashion: Scaling tech to improve the shopping experience Enabling user to view content on Connect and chat with the Nykaa Allowing users to create a look by various apparel and latest trends and styles in-app Fashion Stylist through whatsapp by accessories and improve the buying behavior means of an
Slide 21: Fashion: Expanding depth and width of House of Brands Portfolio
Fashion: Expanding depth and width of House of Brands Portfolio % YoY Growth # Owned Brand Count Channel Expansion GMV of Owned Brands (Rs million) Online - India 89% 212% 237% Nykaa Platform D2C websites 3P Platforms 1 3 6 11 nykaafashion.com nykdbynykaa.com Multiple 3P Online Channels nykaa.com pi
Slide 22: Fashion: Entering new categories with our House of Brands
Fashion: Entering new categories with our House of Brands Brand Types FY20 FY21 FY22 Q1 FY23 Acquired Built Internally Masaba (NYKD), Nikhil Collaborations Thampi (RSVP), AlayaF (XXD) Women’s Western Jewellery, Categories Lingerie Athleisure Bags, Footwear Home Men’s Inner wear Indian Wear Wear Acce
Slide 23: Fashion: Continue to expand width and depth of House of Brands
Fashion: Continue to expand width and depth of our House of Brands Channel Expansion Third party platforms D2C Websites MBOs 1 New Products Launched Jewellery & Denims Nazakat Collection Connect Collection Strapless Bra Sneakers Furnishing & Decor Accessories 2 22
Slide 24: Fashion: Marketing campaigns to connect with the consumer
Fashion: Marketing campaigns to connect with the consumer For Pride month (June), Marketing Campaign Marketing Campaign Launch of new products Introduction of Products new collection added of featuring Brand focused on new Connect for Gloot and Brand Ethos of Twig graphic tees Ambassador “Bhumi Coll
Slide 25: Fashion: Strong Sequential growth while maintaining focus on conversion
Fashion: Strong Sequential growth while maintaining focus on conversion % YoY Growth for NykaaFashion.com Orders (1) (in million) 552% 1061% 369% 176% 102% 58% TTM Customers(1) (in million) GMV (Rs million) 1.0 1.1 0.8 0.9 610% 1020% 358% 194% 117% 74% 0.7 445% 557% 417% 278% 182% 99% 0.5 5,820 Q4FY
Slide 26: Financial Performance
NIA 3 Financial Performance
Slide 27: Q1 FY23: Strong and Consistent Revenue growth
Q1 FY23: Strong and Consistent Revenue growth All Values in Rs million % YoY Growth % Margin % to Revenue 183% 47% 36% 31% 41% 41.2% 40.6% 42.7% 46.3% 43.7% 44.4% Gross Profit Revenue 10,984 11,484 9,733 8,853 8,170 7,405 5,088 5,099 3,782 4,253 3,048 3,317 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23
Slide 28: Gross Profit Margin & Key Operating Expenses
Gross Profit Margin & Key Operating Expenses % of Revenue from operations Gross Margin 46.3% 43.6% 43.7% 44.4% 42.9% 42.7% 41.2% 40.6% 38.9% 38.9% 13.7% 13.7% 11.8% 12.7% 11.4% 11.1% 12.0% 11.4% 8.6% 10.6% 12.0% 9.5% 10.3% 9.7% 9.6% 10.5% 10.0% 9.2% 8.6% 9.1% 8.9% 9.5% 9.3% 7.9% 8.5% 9.3% 8.9% 8.5%
Slide 29: Vertical Performance: Consistent performance with focus on profitable growth
Vertical Performance: Consistent performance with focus on profitable growth (All amounts in ₹ million, unless otherwise stated) Q1 FY23 Q4 FY22 Q1 FY22 Sr No Particulars BPC Fashion Others Total BPC Fashion Others Total BPC Fashion Others Total 1 GMV 14,888 5,820 850 21,558 12,587 4,827 565 17,979
Slide 30: Q1 FY23: Continued Revenue growth with sustained EBITDA margin
Q1 FY23: Continued Revenue growth with sustained EBITDA margin (All amounts in Rs million, unless otherwise stated) Sr Quarter Ended Year Ended Particulars YoY Growth No Jun-22 Jun-21 YoY Growth Mar-22 QoQ Growth Mar-22 1 Revenue from Operations 11,484 8,170 41% 9,733 18% 37,739 55% 2 Cost of goods
Slide 31: Other Updates
NIA 4 Other Updates
Slide 32: Other Business Updates
Other Business Updates • Focused on expanding fulfilment centers to increase the reach and penetration • Launched an app “DISHA” for the on-ground business development team to enable them to sell better 1 • Transacting retailers in Q1 FY23 was 45,030 (2.4x compared to last quarter) in 516 cities (1.
Slide 33: Q1 FY23: Acquisition Updates
Q1 FY23: Acquisition Updates • Nykaa acquired a minority stake of 18.51% in Earth Rhythm, a science-focused beauty brand, for an aggregate amount of Rs 417 million 1 • Earth Rhythm’s active focus on research-based and results-oriented products has earned its credentials as a sustainable and inclusiv
Slide 34: Glossary
Glossary Term Description Unique customers identified by their email-id or mobile number who have placed at least one Order on our websites, mobile applications or physical stores during the last 12 months ended as on measurement date. Annual Transacting Customers, with respect to beauty and persona
Slide 35: Thank you
Thank you 34
Slide 36: Key Operational Metrics
Key Operational Metrics Quarter Ended Year Ended Sr No Metric Unit Jun-22 Jun-22 Jun-21 Sep-21 Dec-21 Mar-22 Jun-22 FY22 YoY Growth YoY growth Seq. growth A Number of Visits Beauty and Personal Care Million 205 211 221 204 222 8% 9% 841 30% Fashion Million 98 115 115 113 118 20% 5% 441 156% Others M