Khadim India Limited · NSE:KHADIM
Khadim India — Q2 FY23 Earnings Presentation
30 slides from Khadim India's earnings presentation, Nov 22, 2022
Slide 1: Exchange filing cover letter: Investor Presentation Q2 FY23 Results
November 22, 2022 The Manager The Manager The Department of Corporate Services The Listing Department BSE Limited National Stock Exchange of India Limited P. J. Towers Exchange Plaza, Bandra Kurla Complex Dalal Street, Mumbai - 400 001 Bandra (East), Mumbai - 400 051 Scrip Code - 540775 Symbol - KHA
Slide 2: Khadim India Limited Q2 FY23 Result – November 2022
KHADIM INDIA LIMITED Q2 FY23 RESULT – November 2022 www.khadims.com
Slide 3: Forward-looking statements disclaimer
This presentation and the following discussion may contain “forward looking statements” by Khadim India Limited (“Khadim” or the Company) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operations, financial condition, b
Slide 4: Business Overview
BUSINESS OVERVIE K KHADIM
Slide 5: Company Overview
Slide 6: Company milestones and history
• Acquired and took • Commenced • Accredited with over the business of retail ISO 9001:2000 • Commenced e- M/s S.N. Industries as operations in certification for commerce retailing • Launched the new • Listed on NSE & BSE logo of the brand a going concern with South India the operations through with
Slide 7: Company Overview
1. Two-pronged Market Strategy • Two distinct business models – Retail & ‘Affordable Fashion’ for the Distribution. entire family for every occasion • Each segment has its own customer base, product range and sales channels. COMPANY OVERVIEW RETAIL DISTRIBUTION An all-encompassing reach on the footw
Slide 8: Company Overview
COMPANY OVERVIEW 4. Extensive Reach & Presence • Retail presence across 23 states & 1 union territory 3. Leading Footwear Brand in India • 826 ‘Khadim’s’ branded retail stores (Sep-22) 5. Strong Design Capabilities • 2nd largest footwear retailer in India • Wide network of 672 distributors selling t
Slide 9: Extensive Geographical Reach & Penetration
EXTENSIVE GEOGRAPHICAL REACH & PENETRATION Presence in 23 States & 1 Union Territory Retail Stores Distributors Retail Stores 1 Distributors 3 3 1 2 2 12 5 1 Brand Network Retail Stores – Tier wise 1 2 10 18 57 46 Retail Stores 826 Metros 52 61 1 2 19% 95 44 4 Tier I 48% - COCO 214 11 1 28 11 28 32
Slide 10: WOW Trinity Concept
TRINITY CONCEPT REFRESHED IN-STORE EXPERIENCE W TRENDY & O AFFORDABLE FASHIONABLE RANGE W PRICING WOW refers to the delighting Consumers with the Trinity of Trendy & Fashionable Range of Footwear & Accessories, Refreshed In-Store Experience and Affordable Pricing. #ITSWOWITSKHADIM
Slide 11: Establishing WOW in Bengal: Durga Puja Campaign
ESTABLISHING WOW IN BENGAL Associating with TWO Biggest YouTubers from Bengal –”The Bong Guy” and “Wonder Munna” to create a Never Before Campaign in Bengal just before Bengali’s biggest festival – Durga Puja in the local language for better connect Durga Puja Campaign
Slide 12: Durga Puja Branding
Durga Puja Branding With Giant Cut Outs Across West Bengal Durga Puja Branding
Slide 13: Media Coverage
COVERAGE Rs 800cr revenue calcutta: Footwear brand J IKhadim is expecting a gross pate aes faferos MEDIA flake! Pag Khadim eyes baat! ns weal HRetail on Alex eens | Khadim sees better margins by end-FY23 Steere revere of Rs 00 crore inthe rae Curent fiscal ear andagross Imargin expansion of around d
Slide 14: Media Coverage
° 4PgeuRS? ures em ok miss > enn Khadim India ushers in the festivity of Durga Puja M E D | A with its new campaign =m MINUTES TO READ ‘AUG 29,2022 Khadim India, the home grown second latgest retall footwear brand launches ils new campaign leading upto the Durga Pula Festival The campaign featuring
Slide 15: Key Performance Highlights: Q2 & H1 FY23
Key Performance Highlights : Q2 & H1 FY23 • Q2FY23 Revenue at Rs 1,860 mn, has grown y-o-y by 15% and H1FY23 Revenue is up 41% y-o-y. The key driving factors were growth in volumes and increased ASP across retail channel. • Both Retail & Distribution business have registered double digit growth in H
Slide 16: Q2 & H1 FY23 Results: Segment Analysis
Q2 & H1 FY23 RESULTS: SEGMENT ANALYSIS YoY ANALYSIS – REVENUE* BREAKUP Gross Sales Net Sales 1,246.1 729.3 20% 1,396.9 12% 14% 7% 651.0 638.2 607.7 1,109.0 1,164.5 1,446.7 2,762.1 2,440.3 1,146.2 74% 1,071.1 1,278.7 1,483.9 64% 26% 1,587.6 19% Q2 FY22 Q2 FY23 H1 FY22 H1 FY23 Q2 FY22 Q2 FY23 H1 FY22
Slide 17: Consolidated Profit & Loss Statement
CONSOLIDATED PROFIT & LOSS STATEMENT Particulars (In Rs Mn) Q2 FY23 Q2 FY22 YoY % Q1 FY23 QoQ % H1 FY23 H1 FY22 YoY % Revenue from Operations 1,860.3 1,616.5 15.1% 1,660.70 12.0% 3,521.1 2,498.8 40.9% Cost of Materials consumed 368.7 516.4 533.2 901.9 897.0 Purchase of stock-in-trade 843.9 531.4 775
Slide 18: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET Particulars (Rs. mn) Sep-22 Mar-22 Particulars (Rs.mn.) Sep-22 Mar-22 ASSETS Equity Non ‐ Current Assets (a) Equity share capital 179.7 179.7 Property, plant and equipment 1,026.1 1,047.0 (b) Other equity 1,980.3 1,895.6 Capital work‐in‐progress 31.9 8.5 Total Equity 2,160
Slide 19: Performance Track Record
PERFORMANCE TRACK RECORD
Slide 20: Revenue, EBITDA and PAT track record
In Rs Mn Revenue & Gross Margin EBITDA & EBITDA Margin PAT & PAT Margin 11.2% 41.0% 2.6% 2.4% 37.9% 36.4% 37.2% 7.1% 8.1% 1.1% 28.8% 4.0% 212 7,992 7,719 0.6% -4.0% 84 6,262 570 -5.3% 64 5,911 478 3,521 394 305 -329 35 -312 FY19 FY20 FY21 FY22 H1 FY23 FY19 FY20 FY21 FY22 H1 FY23 FY19 FY20 FY21 FY22
Slide 21: Revenues by segment and retail mix
In Rs Mn (I-GAAP) Revenues – Segment wise Retail Revenues – COCO vs Franchises Retail Revenues – Khadim’s vs Sub-brands 22% 27% 32% 40% 33% 39% 41% 42% 45% 44% 57% 57% 60% 57% 56% 73% 62% 50% 58% 65% 61% 59% 58% 55% 56% 43% 43% 40% 43% 44% 10% 18% 5% 2% 2% FY19 FY20 FY21 FY22 H1 FY23 FY19 FY20 FY21
Slide 22: Business Strategy & Outlook
KR KHADIM BUSINESS STRATEGY | hl OUTLOOK
Slide 23: Business Model: Two-Pronged Strategy
Business Model TWO-PRONGED STRATEGY RETAIL BUSINESS DISTRIBUTION BUSINESS 826 ‘Khadim’s exclusive branded outlets as on 30 672 distributors supplying to MBOs across India as September 2022 on 30 September 2022 Reach Middle & upper middle income consumers in Lower- & middle-income consumers in Tier I
Slide 24: Growth Strategy
Growth Strategy Expand Store Network pan-India with focus on Premiumisation, Asset Light Model & optimum capacity utilisation RETAIL BUSINESS DISTRIBUTION BUSINESS Focus on penetration in existing markets in Expanding retail footprint in markets Eastern and Southern India and capitalise on across So
Slide 25: Retail
‘Affordable Fashion’ brand catering to RETAIL the entire family for all occasions MEN / WOMEN / KIDS Fashionable & casual footwear for value conscious customers WIDE PRODUCT RANGE Menswear ACROSS VARIOUS Formal shoes & Menswear Semi-formal Men & Women wear CATEGORIES & PRICE sandals using casual sho
Slide 26: Distinct Brand Positioning for Various Market Segments
DISTINCT BRAND POSITIONING FOR VARIOUS MARKET SEGMENTS Khadim’s brand presence and product range makes it capable to address ~85% of the total Indian footwear market potential through its retail and distribution business Footwear Market Segmentation Distinct brand positioning to target customers (MR
Slide 27: Promoter, Board of Directors & Management Team
PROMOTER, BOARD OF DIRECTORS & MANAGEMENT TEAM
Slide 28: Promoter, Board of Directors & Management Team
PROMOTER, BOARD OF DIRECTORS & MANAGEMENT TEAM Siddhartha Roy Burman Chairman & Managing Rittick Roy Burman Ritoban Roy Burman Wholetime Director Non-Executive, Director Director • Bachelor’s degree in commerce from University of • Associated with the Company since its Calcutta • He is a graduate in
Slide 29: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM Namrata A Chotrani Indrajit Chaudhuri CEO CFO • 20+ yrs of experience in finance& accounts, taxation • She was associated with KPMG & Fairwinds Asset and strategic planning Managers Limited (since 2012) and has more than a decade of experience in private equity and M&A •
Slide 30: Contact details
NAMRATA CHOTRANI - CEO Contact No : +91 33 40090501 Email - namrata.chotrani@khadims.com Nachiket Kale/ Rajesh Agrawal +91 9920940808 /+91 99674 91495 INDRAJIT CHAUDHURI - CFO nachiket.kale@linkintime.co.in Contact No : + 91 33 40090505 rajesh.agrawal@linkintime.co.in Email - indrajit.chowdhury@khad