Slide 1: Trident Limited Corporate Presentation - Dec 2017
Trident Limited Corporate Presentation - Dec 2017
Slide 2: Safe Harbour
Safe Harbour This presentation has been prepared by Trident Limited (the “Company”) for general information purposes only, without regard to any specific objectives, suitability, financial situations and needs of any particular person and does not constitute any recommendation or form part of any of
Slide 3: Overview
Overview Textiles Paper Largest Player in terms of Terry Towel Capacity & One of the largest Highest Operating Margin among players in Home Textile Space in India Key Listed Players in India Revenue Split between segments H1FY18 49% 33% 18% FY17 49% 33% 18% FY16 46% 32% 22% FY15 42% 37% 22% Bath & B
Slide 4: Snapshot
Snapshot Key Market Statistics 1-Dec-2017 Global Presence BSE Ticker 521064 Corporate Office : Ludhiana, Punjab NSE Ticker Trident Manufacturing Facilities at: Sanghera & Dhaula, Punjab Bloomberg Code TRID:IN Budni, Madhya Pradesh Reuters TRIE.NS Marketing Offices (India): Mumbai, Gurgaon Kolkata, B
Slide 5: Evolution
Evolution ▪ Inception ▪ Entered Home Textile ▪ Augmented Towel ▪ Set-up Towel Unit – ▪ Set-up Towel Unit-IV & First ▪ Set-up 1st with 1st Towel with Unit –II set up III; Bed Linen Unit TEXTILES Spinning Unit Manufacturing Unit ▪ Spinning with Unit- ▪ Added Spinning ▪ Added Spinning Units - VII, VIII
Slide 6: Experienced Board & Management Team
Experienced Board & Management Team Pallavi Shardul Shroff, Independent Chairperson Abhishek Gupta, Chief Executive Officer • 35+ years of experience • Spearheaded the branding initiatives of Copier Paper • National Practice Head of Dispute Resolution • International Marketing from Harvard Business
Slide 7: CSR Initiatives
CSR Initiatives Free medical consultation, tests & PHD Chamber Award for Health medicines; Free eye surgeries; Mobile dispensary for free primary health care Outstanding Contribution to Social Welfare for 2016 Saakshar - Adult education; IL&FS partnership; Students received free note Education & Ene
Slide 8: Global Home Textile Industry
Global Home Textile Industry Home Textile represents nearly 1/3rd of the global textiles & apparel industry. It is expected to touch $ 131 billion dollars by 2020 at a growth of more than 3.5%. 60.8 • Bed Linen & Bed Spread is the largest application segment of the 47.1 home textiles representing 44
Slide 9: Home Textile Industry – Global Demand
Home Textile Industry – Global Demand United States Europe US Home textiles industry is amongst the largest home textiles Europe is the 2nd largest home textiles market after Asia industry in the world. It accounted for nearly 21.1 % of the Pacific representing 26.8% of the market share worth $29 gl
Slide 10: Indian Home Textile Industry
Indian Home Textile Industry Home Textile – Demand in India Home Textile – Indian Export to US ▪ India represents 3rd largest market share in Asia Pacific Market share for US imports of cotton sheets (Yearly) home textiles market in the region. 2005 - 2013 2014 2015 2016 YTD' 17 India 31% 47% 48% 49
Slide 11: Advantage India
Advantage India Competitive Cost of Production Textiles: A Dominant Industry Competitive Labour, Power and Raw Material Cost; Employs 45 million people across the value chain; Access to advanced technology under Textile Strong Government support to industry Upgradation Fund Favourable Government Cot
Slide 12: Why Trident
Why Trident Infrastructure Clientele De-risking Design Marketing Largest Capacity & Client Relationship Risk Strong Product Market World Class Management Design Intelligence Technology ▪ Integrated business ▪ Longstanding ▪ Sufficient portion of ▪ Focus on increasing ▪Design studios and forex exposu
Slide 13: Integrated Home Textile Manufacturer
Integrated Home Textile Manufacturer Yarn from Yarn Home Textile Bath Linen Manufacturing Processes Bed Linen Manufacturing Processes 100% Cotton Yarn, Compact Yarn, Air-Rich, TFO-Two for One Warping Sizing Warping Weaving Zero Twist, Blended Yarn, Fancy Yarn, Melange, Specialty & others Bed Linen
Slide 14: Strategy
Strategy • Leverage existing customer • Continue to focus on innovation • Further strengthen our brand and relationship to further expand our and developing value added market share in the growing retail Bed Linen business products. textile business in India. • Improve brand presence through multi b
Slide 15: Focus on Innovation and Value Added Products
Focus on Innovation and Value Added Products • Superior Cotton • Durable Compact Yarn Yarn • Quick Dry • Feather Soft Sheet • Super Soft • Enhanced Lustre & • Moisture Management Vibrant Shades • Everlasting Touch • Breathable • Bio Softness • Super Soft • Superior Softness • All Season Sheet • Mois
Slide 16: Market Updates
Market Updates Cotton Prices (INR / Candy) From Apr’16 From July’17 to 55000 to Jun’17 Sep’17 Cotton 45000 Cotton price price was down was up 35000 more than more than 6% 25000 20% 01/Apr/16 01/Jul/16 01/Oct/16 01/Jan/17 01/Apr/17 01/Jul/17 30-Sep-17 Cotton : 29mm Futures Contract Prices | 1 Candy =
Slide 17: Textile - Financials
Textile - Financials Sales (INR Crores) EBIT (INR Crores) 3872 344 2964 2881 282 300 1921 125 FY 15 FY 16 FY 17 H1 FY18 FY 15 FY 16 FY 17 H1 FY18 Capital Employed (INR Crores) ROCE % (Annualised) 5130 4842 8% 7% 4397 6% 6% 3519 FY 15 FY 16 FY 17 H1 FY18 FY 15 FY 16 FY 17 H1 FY18 Manufacturing Capaci
Slide 18: Paper Business
Paper Business ▪ Recently Launched Bond Paper 72 GSM 100 GSM 75 GSM ▪ Eco-friendly 86% Brightness 92% Brightness 88% Brightness product in ultra- white shade 75 GSM 80 GSM 70 GSM 100 GSM 90% Brightness 90% Brightness 87% Brightness 94% Brightness Eco Wheat Straw High Jam Free Friendly based Paper Qu
Slide 19: Paper - Financials
Paper - Financials Sales (INR Crores) EBIT (INR Crores) 232 819 831 872 149 160 148 415 FY 15 FY 16 FY 17 H1 FY18 FY 15 FY 16 FY 17 H1 FY18 Capital Employed (INR Crores) ROCE % (Annualised) 598 49% 49% 580 39% 474 381 28% FY 15 FY 16 FY 17 H1 FY18 FY 15 FY 16 FY 17 H1 FY18 Manufacturing Capacity FY
Slide 20: P&L Statement (S)
P&L Statement (S) Particulars (INR crore) H1FY18 H1FY17 Shift% FY17 FY16 Net Revenues 2401.0 2363.2 1.6% 4839.3 3744.1 EBITDA 468.5 494.0 -5.2% 991.9 763.4 EBITDA margin 19.5% 20.9% -140bps 20.5% 20.4% 204.5 207.9 -1.6% 412.4 336.6 Depreciation EBIT 264.0 286.1 -7.7% 579.5 426.8 EBIT margin 11.0% 12
Slide 21: Balance Sheet (S)
Balance Sheet (S) As on As on As on As on As on As on Particulars Sep 30, Mar 31, March 31, Sep 30, Mar 31, March 31, Particulars (INR crore) (INR crore) 2017 2017 2016 2017 2017 2016 Source of Funds Application of Funds Equity 2805.17 2724.50 2415.61 Non Current Assets 4499.09 4645.53 4935.64 Equit
Slide 22: Key Ratios
Key Ratios Particulars (INR crore) H1FY18 FY17 FY16 Return on Capital Employed* 11.9% 12.6% 10.0% (Annualized) Return on Equity* 14.7% 17.1% 14.7% (Annualized) Interest Coverage 7.2 7.1 7.2 Net Debt to Equity 0.8 1 1.4 Inventory Days 39 58 88 Debtor Days 26 29 25 Creditor Days 35 31 36 *Excludes fai
Slide 23: Dividend Policy
Dividend Policy Minimum Annual Maximum Annual Dividend Payout Ratio Dividend Dividend 29% 27% 26% 23% 6% 33% of Face Value of Net Profit (Including Dividend Distribution Tax) Year Total Div% Dividend Type %age FY15 FY16 FY17 H1FY18 H1FY18 6% 1st Interim 6% Final 3% FY17 15% st 1 Interim 6% Historica
Slide 24: Way Forward
Way Forward ▪We will keep focusing on increasing capacity utilization with better Product Mix, thereby benefit from operating leverage. ▪Keep increasing Yarn’s captive utilization, which will reduce price volatility risk and improve margins. ▪Focus on improving Cashflow generation and follow prudent
Slide 25: Thank You
For more information about us, please visit www.tridentindia.com Pawan Jain / Vipul Garg Investor Relations, Trident Ltd. Tel: +91 161 5039 999 Fax: +91 161 5039 900 Email: pawanjain@tridentindia.com, vipulgarg@tridentindia.com Thank You Corporate Presentation - Trident Ltd. – Dec 2017 25