Aym Syntex Limited · NSE:AYMSYNTEX
Aym Syntex — Investor Presentation (September 2024)
24 slides from Aym Syntex's investor presentation, Sep 6, 2024
Slide 1: Outcome of the Board Meeting cover letter
September 6, 2024 To, BSE Limited National Stock Exchange of India Limited Department of Corporate Services, Exchange Plaza, Bandra-Kurla Complex, P. J. Towers, Dalal Street, Mumbai – 400 001 Bandra (E), Mumbai – 400 051 (Scrip Code: 508933) (Symbol: AYMSYNTEX) Dear Sir/Madam, Subject: Outcome of th
Slide 2: Vision
VISION We aim to create innovative, multi-polymer technical products catering to global customers wowing them with unmatched quality, price and service
Slide 3: Promoters Background
PROMOTERS BACKGROUND Rajesh R. Mandawewala Chairman, AYM Syntex Ltd. ▪ Co-founded the $5 billion Welspun Group and continues to drive its growth as Co-Promoter and Group Managing Director ▪ Under his leadership, Welspun India Ltd. became a global leader in Home Textiles, and Welspun Corp Ltd. ranks
Slide 4: Our Business
OUR BUSINESS Where we stand today
Slide 5: Company at a Glance
COMPANY AT A GLANCE can go INR 41,868 1,348 Cr. 55+ 2,500 Times to moon Revenue FY24 Amount of yarn Countries with brand Employees Attributed to the strategic shift produced presence Significant force that can accomplish great things observing customer needs Operational efficiency Worldwide endorsem
Slide 6: Diversified Product Portfolio
DIVERSIFIED PRODUCT PORTFOLIO Cabled BCF FDY Yarn Single Technical Mono DTY Mother yarn Yarn Yarn Air Air POY covered Twisted yarn 5
Slide 7: Multiple End Applications
MULTIPLE END APPLICATIONS Tex Daily wear, Formal wear, Sport g tile erin wear, sarees, Ethnic etc. ov r C o Flo Elastics, Socks, Straps, etc Upholstery, Safety Devices,, Others Woven, Interior Mats A utom Fash ativ ion Coated Fabric, Ropes and e Nets, Wet Filtration Rugs, Mats, Carpets, Wall to Indu
Slide 8: Focus on Innovation
5 FOCUS ON INNOVATION Innovative Capabilities Quality assurance in-house testing infrastructure with modern equipment Researched/ Patent Brands World class manufacturing technology for multi polymer products In house masterbatch development & auto colour matching Advance lab scale & pilot line Exper
Slide 9: Strong Customer Base
STRONG CUSTOMER BASE Long term relationship with clients High customer diversification in underscoring our commitment to quality terms of sales contribution #1 Customer base comprising esteemed entities #2 8% with long standing market presence 4% Diversified customer base across countries Top 3-10 O
Slide 10: Strengthening Our Presence
STRENGTHENING OUR PRESENCE Significant increase in Revenue from Exports 49% Export Revenue Geographical Mix .1 46% 48% 48% 43% 40% 35% 32% 25% 21% 9 9
Slide 11: Structural Shift Toward MMF Globally
STRUCTURAL SHIFT TOWARD MMF GLOBALLY Global Fibre Consumption Trend ▪ Structural shift toward MMF (man-made fibres) underway in the global market. 75:25 MMF: Cotton consumption ratio globally ▪ However, India still dominated by cotton with a 40:60 MMF: Cotton consumption ratio ▪ Inevitable shift lik
Slide 12: China +1 Opportunity in Exports
CHINA +1 OPPORTUNITY IN EXPORTS ▪ India’s share in global MMF textiles is just 3.4%1 & share in global MMF fiber production is 8%2 ▪ China accounts for 72% of global MMF fiber production and has a dominant share in MMF global trade ▪ AYM is well positioned to benefit from the ongoing structural shif
Slide 13: Historical Performance and Way Forward
HISTORICAL PERFORMANCE AND WAY FORWARD
Slide 14: 2016 Business Margins Were Built on Shaky Foundations
2016 BUSINESS MARGINS WERE BUILT ON SHAKY FOUNDATIONS 2016 plants we inherited were not in the best shape: ▪ Uncompetitive Production Lines Removal of Nylon ADD ▪ Poor maintenance leading to frequent breakdowns and Entry Tax ▪ QC and SCM systems to service high quality customers were lacking Despite
Slide 15: Last 8 Years Fixing Issues with Long Term Solutions
BUT WE HAVE SPENT THE LAST 8 YEARS FIXING THESE ISSUES WITH PAINFUL BUT LONG TERM SOLUTIONS AYM in 2016 AYM in 2024 ▪ Modernized 9/24 lines with low capex and inhouse expertise to ▪ Machinery was technologically obsolete and make business competitive textile spinning lines were fundamentally ▪ Scrap
Slide 16: Numerous Low Hanging Fruits to Enhance Profitability
NUMEROUS LOW HANGING FRUITS TO ENHANCE BUSINESS PROFITABILITY Improve Operational Utilize Full Capacities Grow Specialty Segments Efficiencies ▪ Current Capacities are ▪ Enhance capacities in specialty ▪ Numerous operational significantly underutilized segments seeded from the improvement initiative
Slide 17: Financial Snapshot
FINANCIAL SNAPSHOT FY 22 FY 23 FY 24 Sales (MT) 63031 61182 60866 Net Revenue 1491 1458 1358 EBITDA 166 104 101 % 11.1% 7.2% 7.4% PBT 80 12 1 Net Worth 410 420 424 Net Debt1 306 312 370 1. Net debt includes interest bearing acceptances 16
Slide 18: Focus on ESG
FOCUS ON ESG Running business responsibly
Slide 19: 100% Environmentally Compliant Practices
100% ENVIRONMENTALLY COMPLIANT PRACTICES Sustainability Zero Liquid Discharge ▪ Ensuring that our products align with the ▪ Successfully Implemented across our principles of environmental responsibility manufacturing facilities ▪ Continuous R&D in the development of ▪ Advanced water treatment system
Slide 20: Endorsed by Various Quality Certifications
ENDORSED BY VARIOUS QUALITY CERTIFICATIONS ISO 45001:2018 OEKO TEX LIFE-CYCLE ZERO LIQUID DISCHARGE ISO 14001:2015 OHSAS 18001:2007 (For Health & Safety at (For Protection From ASSESSMENT (Dyeing exhaust effluent (For Environment (Occupational Health Work Places) Harmful Substance) water is recycled
Slide 21: Fulfilling Our Social Responsibility
FULFILLING OUR SOCIAL RESPONSIBILITY Vision: Uplift the underprivileged from vicious cycle of poverty 4s Strategy for social upliftment SWASTHYA SWABHIMAN SRISHTI SUDHAAR Addressing key Providing educational Reducing the negative Developing holistic healthcare requirements of the opportunities to th
Slide 22: Disclaimer
Disclaimer The information contained in this presentation is provided by AYM Syntex Limited (the “Company”), although care has been taken to ensure that the information in this presentation is accurate, and that the opinions expressed are fair and reasonable, the information is subject to change wit
Slide 23: Thank You
vy AYM Syntex THANK YOU
Slide 24: Annexure A: Company Secretary appointment details
Annexure A Details required under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023 Sr. No Particulars Information of such event 1. Reason for change viz. appointment, Appointment resignation,