Renaissance Global Limited · NSE:RGL
Renaissance Global — Investor Presentation (October 2021)
36 slides from Renaissance Global's investor presentation, Oct 7, 2021
Slide 1: Exchange filing cover letter
Ref. No.: RGL/S&L/2021/166 October 07, 2021 Bombay Stock Exchange Limited National Stock Exchange of India Ltd. Listing Department Exchange Plaza, Plot no. C/1, Phiroze Jeejeebhoy Towers G Block, Bandra Kurla Complex, Dalal Street, Fort, Bandra (East), Mumbai – 400 001 Mumbai - 400 051 Sub.: Investo
Slide 2: Investor Presentation October 2021
Investor Presentation October 2021
Slide 3: Disclaimer
Disclaimer This presentation and the following discussion may contain “forward looking statements” by Renaissance Global Limited (“Renaissance” or the Company) that are not historical in nature. These forward-looking statements, which may include statements relating to future results of operations,
Slide 4: Content
Content Company Financial Summary ESG Annexure Overview Overview 4 21 26 28 31 3
Slide 5: Company Overview
O Renaissance Global Limited Company Overview
Slide 6: Corporate Snapshot
Corporate Snapshot Global Jewellery Company focused on designing, manufacturing and distribution of branded jewellery 3 6 457 cr Licensing Direct-to- Branded jewellery agreements with Consumer revenues (Rs.) in global brands websites Q1 FY22 Strong presence in global markets of North America, (annua
Slide 7: Building a Global Branded Jewellery Business
Building a Global Branded Jewellery Business Growing revenue contribution from Branded Jewellery segment Association with globally-recognized brands 22% Increased presence in high-potential key global markets 18% Renaissance’s 13% Branded Jewellery Better pricing on the back of branded products 10%
Slide 8: Branded Jewellery Business Model
Branded Jewellery Business Model Brands Design & Conceptualisation & State-of-the-Art Manufacturing Product Development Manufacturing Facilities Distribution Business-to-Business Direct-to-Consumer (B2B) (D2C) 7
Slide 9: 'Win-Win' Partnership with Global Iconic Brands
‘Win-Win’ Partnership with Global Iconic Brands Renaissance Global Global Brands PUSH STRATEGY Licensing agreements PULL STRATEGY Conceptualisation Long-term license contracts Brand development & design IP rights of brands Specific products license Manufacturing exclusivity Marketing
Slide 10: Growing Portfolio of Brands
Growing Portfolio of Brands Licensed Brands Partnership with Hallmark since 2015 Licensing arrangement with Disney since 2016 with the launch of Enchanted Disney Fine Jewelry Success of brand unlocked more licensing opportunities Launched Disney Jewels in October 2019 & Disney Treasures in F
Slide 11: Growing Portfolio of Brands
Growing Portfolio of Brands Owned Brands Launched first India-focused retail brand IRASVA in 2019 Operates 3 IRASVA stores in India Jewelili, a play on affordable fine jewelry collection launched in February 2020 Distributed through Amazon platform in addition to its own website Made for Y
Slide 12: Conceptualisation & Design Capabilities
Conceptualisation & Design Capabilities Robust product Design team of development & Growing IP 150+ across US, ~95% revenues innovative base: 100,000+ UK, Hong Kong, derived from in- design designs Dubai & house designs capabilities Mumbai Strong expertise in conceptualisation of globally-recognized
Slide 13: State-of-the-Art Manufacturing Facilities
State-of-the-Art Manufacturing Facilities Robust manufacturing setup: 166,000 sq. ft. across 8 manufacturing facilities with 2,900+ skilled employees Global manufacturing technologies: Casting, CNC Machining and 3D Printing High-productivity model: Efficient cost optimisation & inventory manag
Slide 14: Preferred Partner to Marquee Retailers Globally
Preferred Partner to Marquee Retailers Globally Minimal credit risk due 50+ customers across 10+ year relationships Diversified customer to stable clientele & USA, UK & Europe with top 10 customers base disciplined credit terms E-Commerce/ Television Specialty Jewellers Multi-Brand Retailers 13
Slide 15: Establishing High-Potential D2C Division
Establishing High-Potential D2C Division Launch Timeline February July November November February May Successfully developed and 2020 2020 2020 2020 2021 2021 launched 6 online stores in a span of 15 months Monthly visitors on websites grown 10x since Feb 2020 (UK) Segment enjoys higher margin
Slide 16: Presence in Key Global Markets
Presence in Key Global Markets Geographic Mix – Q1 FY22 17% 17% Western Europe Hong Kong 66% USA Dubai China N. America Middle East Others India Key Markets Design Team Manufacturing Units Emphasis on increasing footprint in key markets of North America, Europe & Asia 15
Slide 17: Robust Management Team
Robust Management Team Niranjan Shah Sumit Shah Hitesh Shah Suhel Kothari Neville Tata Chairman Executive Vice Managing Director Director Executive Director Associated with the Chairman & Global 23 years of industry President, RJNY Inc 22 years of industry Company since inception CEO experience (Ver
Slide 18: Experienced Independent Board of Directors
Experienced Independent Board of Directors Veer Kumar Shah Arun Sathe Vishwas Mehendale Madhavi Pethe Independent Director Independent Director Independent Director Independent Director (ICAI, 1969) Practicing Chartered Former Independent Director Practicing Lawyer in High court & Supreme Court & Ve
Slide 19: Strategic Advisory Board
Strategic Advisory Board Bijou Kurien Francesco Pesci John MacEntee Chairman of Retail Association of Senior executive with extensive Experience of over 20+ years in leading India, a veteran of Indian retail experience in the jewellery, luxury, start-ups, private companies, advising industry with ov
Slide 20: Competitive Edge
Competitive Edge Advanced Global Jewellery Industry Know-how Conceptualisation Manufacturing Distribution Partnership with Globally-recognized Brands Expertise in Conceptualization & Design Robust Distribution Channels in Key Global Markets Design Marketing Strong Balance Sheet High-quality End-to-E
Slide 21: Growth Drivers
Growth Drivers Growing high-margin branded jewellery segment Extending licensing model to newer brands Expanding presence in key global geographies Widening Omni-channel distribution network Inorganic growth opportunities 20
Slide 22: Financial Overview
O Renaissance Global Limited Financial Overview
Slide 23: Financial Summary
Financial Summary Total Income (Rs. Mn) EBITDA (Rs. Mn) & Margin (%) 25,929 25,101 1,708 10.1% 20,474 18,147 1,249 1,156 1,006 6.8% From FY18 to FY20, Renaissance 5.5% 5.6% 4,196 4.8% 413 has reported, 18% CAGR in Total Income FY18 FY19 FY20 FY21 Q1 FY22 FY18 FY19 FY20 FY21 Q1 FY22 30% CAGR in
Slide 24: Balance Sheet Discipline
Balance Sheet Discipline Leverage (Rs. Mn) Net Debt Equity Net debt/Equity 0.76 0.51 0.52 6,647 0.29 0.25 Highly disciplined balance 5,495 6,992 8,429 8,603 sheet approach 2,857 5,033 3,612 2,416 2,176 Sharp reduction in net debt FY18 FY19 FY20 FY21 Jun-21 over the years Emphasis on prudent ca
Slide 25: Robust Free Cash Flow Generation
Robust Free Cash Flow Generation Free Cash Flow Generation (Rs. Mn.) 1,128 1,157 Strong FCF generation over the 1,941 last 2 years -438 -3,512 High-margin Branded Jewellery - a low capital-intensive business FY18 FY19 FY20 FY21 Q1 FY22 TTM Operating leverage & minimal capex spends to further i
Slide 26: Operational Summary
Operational Summary Revenue Mix (%) Revenue Break-up Q1 FY18 FY19 FY20 FY21 Plain Gold Customer Brands Branded Jewellery (Rs. Mn.) FY22* Branded Jewellery 326 2,653 3,215 3,736 915 2 10 13 18 22 - B2B 326 2,653 3,215 3,088 665 71 64 61 - D2C - - - 649 250 59 71 Customer brands 12,789 16,458 15,325 1
Slide 27: Summary
iO Renaissance Global Limited Summary
Slide 28: Conclusion
Conclusion Play on high-potential global branded jewellery industry ‘Win-Win’ partnership with global iconic brands Footprint in huge developed & developing global markets for branded jewellery Increasing scale to drive operating leverage across distribution channels High margin & low-capital intens
Slide 29: ESG Initiatives
iO Renaissance Global Limited ESG Initiatives
Slide 30: ESG Initiatives
ESG Initiatives ENVIRONMENT SOCIAL To achieve safety, health and Renaissance’s CSR POLICY covers environmental excellence in projects through NGOs under: all aspects of business Medical, Health Care and Social activities Welfare Educational Humanitarian Environmental, Animal Welfare, Cultu
Slide 31: Corporate Social Responsibility
Corporate Social Responsibility ENVIRONMENTAL, ANIMAL MEDICAL, HEALTH CARE AND EDUCATIONAL HUMANITARIAN WELFARE, CULTURAL & SOCIAL WELFARE RELIGIOUS Partnered with the Under the Each One Teach One Initiative (EOTO), Donated during natural Actively contributes to Bhaktivedanta Hospital by Ren
Slide 32: Annexure
iO Renaissance Global Limited Annexure
Slide 33: Awards & Accolades
Awards & Accolades 2001 2005 2006 2008 2009 GJEPC Award for GJEPC Award for 2005 WM Int’l SEEPZ-SEZ Star largest exporter of largest exporter of 2009 Emerging Supplier of the Award studded metal studded metal India Award Year jewellery jewellery 2017 2011 2012 2015 2016 2018 2019 GJEPC Award for GJE
Slide 34: Market Snapshot
Market Snapshot Shareholding Pattern* Promoter & Promoter Group 70.8% Foreign Institutions (FPI, FII) & 1.6% NRI Individual - >1% 19.2% Others 8.4% As on Key Market Statistics 30-September-2021 BSE/NSE Ticker 532923/RGL CMP (Rs) 797.35 Market Cap (Rs Crore) 1,505.35 Number of outstanding shares (Cro
Slide 35: About Us
About Us Renaissance Global Limited (Renaissance) is a global branded jewellery player. Renaissance designs, manufactures and supplies branded jewellery across key high-potential markets in USA, Canada, UK & key Asian markets such as China and Japan. The product portfolio encompasses Branded Jewelle
Slide 36: Thank You
iO Renaissance Global Limited Thank You
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