Alok Industries Limited · NSE:ALOKINDS

Alok Industries — Investor Presentation (September 2010)

59 slides from Alok Industries's investor presentation, September 2010

  1. Slide 1: Corporate Presentation September 2010

    INTEGR ATE D TE XTILE SO LU TION S INTEGR ATE D TE XTILE SO LU TION S Corporate Presentation September 2010

  2. Slide 2: Alok Overview

    Alok Overview INTEGR ATE D TE XTILE SO LU TION S  Vertically Integrated Textile Company both in cotton and polyester  Sales of Rs. 4,311.17 Crores and PAT of Rs. 247.34 Crores in FY 2010  Export of Rs. 1,558.99 Crores in FY 2010  State of the art manufacturing facilities with Integrated Manageme

  3. Slide 3: Alok Vision and Mission

    Alok Vision INTEGR ATE D TE XTILE SO LU TION S To be the world‟s best integrated textile solutions enterprise with leadership position across products and markets, exceeding customer & stakeholder expectations Alok Mission WE WILL:  Be a knowledge leader & an innovator in our businesses  Maximise

  4. Slide 4: Textile Industry Synopsis

    INTEGR ATE D TE XTILE SO LU TION S Textile Industry Synopsis 4

  5. Slide 5: Global Textile Trade – Vision 2020

    Global Textile Trade –Vision 2020 INTEGR ATE D TE XTILE SO LU TION S 2009  Global trade in textiles and clothing increased to US$ 510 bn from US$ 355 bn. in 2000 - CAGR of 4.63% 2020  Global trade expected to grow to US$ 1000 bn from US$ 510 bn in 2009 - CAGR of 6.3% Global Textile & Apparel Trade

  6. Slide 6: Shifting of Production Base

    SHIFTING OF PRODUCTION BASE INTEGR ATE D TE XTILE SO LU TION S Over the years, production has converged towards Asia from Western countries 6

  7. Slide 7: Indian Textile Industry

    Indian Textile Industry GDP : US $1,370 bn INTEGR ATE D TE XTILE SO LU TION S Snapshot  Second largest Private Consumption: Public Spending & producer of cotton in the US$ 795 bn (58%) Investment: US$ 575 bn (42%) world  Second largest Retail: US$ 435 Non Retail: US$ bn (55%) 360 bn employer in In

  8. Slide 8: Indian Textiles - Vision 2020

    Indian Textiles - Vision 2020 INTEGR ATE D TE XTILE SO LU TION S 220 80 134 Domestic Market Exports 78 70 45 46 26 140 23 16 89 47 52 30 2005 2009 2010 (E) 2015 (E) 2020 (E) Projections Per Capita consumption 2005 – 20 mtrs Direct Employment 2010 – 30 mtrs 2005 – 35 mn Growth – 9% 2010 – 40 mn Growt

  9. Slide 9: Indian Textiles - Domestic Growth

    Indian Textiles - Domestic Growth INTEGR ATE D TE XTILE SO LU TION S 2005 2009 2010(E) 2015(E) 2020(E) Total Total Total Total Total US$ 47 bn US$ 47 bn US$ 140 bn US$ 30 bn US$ 89 bn INR cr INR cr INR cr INR cr INR cr 4,18,670 2,18,570 2,18,570 6,56,6000 1,39,330 Apparel Apparel Apparel Apparel App

  10. Slide 10: Indian Textiles – Export Growth

    Indian Textiles – Export Growth Indian Textile & Apparel Exports INTEGR ATE D TE XTILE SO LU TION S 100 -4% 9% 12% CAGR 80.0 80 45.0 US $ bn 30 60 40 22.5 21.6 23.5 20 50 20 12.8 10.6 12.8 25 9.7 11 10.7 0 2007 2008 2009 2015 (E) 2020 (E) Year Apparel Textile India has the potential to increase its

  11. Slide 11: Textile Industry-Opportunity

    Textile Industry-Opportunity INTEGR ATE D TE XTILE SO LU TION S • The global textile and apparel industry is reviving after the recent global recession with increasing consumer demand. With the positive outlook the global textile and apparel trade has the potential to grow up to USD 800 bn. by 2015

  12. Slide 12: Challenges

    Challenges INTEGR ATE D TE XTILE SO LU TION S • Rising cotton cost in spite of India being a cotton surplus country .This season, bumper crop is expected in India : estimated production of 33 mn bales • Cotton prices at all time high being driven by international demands and trends, prices firming u

  13. Slide 13: Alok Industries Ltd – Integrated Textile Solutions

    Alok Industries Ltd – TMIntegrated Textile Solutions INTEGR ATE D TE XTILE SO LU TION S 13

  14. Slide 14: Segment Wise Revenue

    Segment Wise Revenue Rs. in Crores INTEGR ATE D TE XTILE SO LU TION S Share of Share of Segment Target Customer Business 2010 Business 2009  Captive Consumption 327.10 111.10 COTTON YARN  Export to traders, manufacturing units, (7.59%) (3.73%) weavers  Garment exporters in India / converter APPAR

  15. Slide 15: Alok's Advantage

    Alok’s Advantage INTEGR ATE D TE XTILE SO LU TION S  Timely expansions resulting in first mover advantage  Exports increased from Rs. 100 crores (US$ 21.41 mn.) in 2004 to about 1,560 crores (US$ 334 mn.) in 2010 at a CAGR of about 60%  Preferred Vendor status from leading retailers  Critical su

  16. Slide 16: Global Sized Capacities

    Global Sized Capacities INTEGR ATE D TE XTILE SO LU TION S Current Capacity under Capacities Post Divisions Units Market Position Capacities Implementation Expansion Tons 58,500 17,960 76,460 Largest at Single SPINNING (Spindles) (300,096) (111,744) (411,840) Location in India HOME TEXTILES Processi

  17. Slide 17: Diversified Customer Base

    Diversified Customer Base INTEGR ATE D TE XTILE SO LU TION S Export ® Domestic Creative Garments Other leading garments exporters and retailers 17

  18. Slide 18: Organic Cotton Initiatives

    Organic Cotton Initiatives INTEGR ATE D TE XTILE SO LU TION S  Global retailers and brands increasingly prefer „fair trade‟ and organic cotton, since it:  Promotes eco-friendly textile products  Addresses global warming concerns  Tie up with an NGO called Zameen organic  Entered into agreement

  19. Slide 19: Focussed Segment – Speciality Fabrics

    Focussed Segment – Speciality Fabrics INTEGR ATE D TE XTILE SO LU TION S Special Finishes Stain Guard Flame Retardant Anti Static Water Repellent Soil Release Infra Red Finish 3X Dry Insect Repellent Brushed Fabric High Visibility Anti Bacterial Aroma Finish Finish User Industry Defense Fire Brigade

  20. Slide 20: Certifications

    Certifications INTEGR ATE D TE XTILE SO LU TION S  ISO Certifications The company is now accredited with Integrated Management System (IMS). There are 4 certificates under this system: 1. ISO 9001: 2000 – Quality Management System 2. ISO 14001:2004 – Environmental Management System 3. OHSAS 18001:

  21. Slide 21: Financial Analysis

    INTEGR ATE D TE XTILE SO LU TION S Financial Financial Analysis Analysis 21

  22. Slide 22: Credit Rating – Basel II Norms

    Credit Rating – Basel II Norms INTEGR ATE D TE XTILE SO LU TION S  Long Term  Credit Rating of “CARE A+” assigned to the long term facilities by Credit Analysis & Research Ltd (CARE)  Instruments with this rating are considered to offer adequate safety for timely servicing of Debt Obligation  Sh

  23. Slide 23: General Information – Alok Industries Ltd.

    General Information – Alok Industries Ltd. INTEGR ATE D TE XTILE SO LU TION S Present Equity Rs. 787.798 Crores (US$ 164.12 mn.) (787.79 million shares) Listed at BSE and NSE Market Price Rs. 21.60 as on September 22, 2010 Market Capitalization Rs. 1,702 Crores 52 weeks High / Low High: Rs.27.90 Low

  24. Slide 24: Historical Financials

    Historical Financials Rs. In Crores INTEGR ATE D TE XTILE SO LU TION S Particulars June 2010 2010 2009 Rs. in 2008 Crores (Provisional) (Audited) (Audited) (Audited) Profitability Sales 1,098.97 4,311.17 2,976.93 2,170.41 Operating EBITDA 326.85 1,272.48 822.61 547.75 Operating PAT 46.51 247.34 188.

  25. Slide 25: Historical Financials

    Historical Financials INTEGR ATE D TE XTILE SO LU TION S Sales EBIDTA 5,000.00 4,311.17 Rs. in Crores Rs. in Crores 1,500.00 1,272.48 4,000.00 2,976.96 3,000.00 1,000.00 822.61 2,170.41 547.75 2,000.00 500.00 1,000.00 - - 2007-08 2008-09 2009-10 2007-08 2008-09 2009-10 Year Year PAT Networth 2,716.1

  26. Slide 26: Holding Structure and Subsidiaries

    INTEGR ATE D TE XTILE SO LU TION S Holding Structure and Subsidiaries 26

  27. Slide 27: Alok Structure

    Alok Structure INTEGR ATE D TE XTILE SO LU TION S INTEGR ATED TEXTILE SO LU TION S Textile Manufacturing Cotton Spinning Polyester Yarn Apparel Fabrics Home Textiles Garment International Domestic Cash & Domestic Garment Infrastructure & Realty Business Carry Manufacturing Alok Infrastructure Ltd Al

  28. Slide 28: Alok H&A Limited

    Alok H&A Limited INTEGR ATE D TE XTILE SO LU TION S 28

  29. Slide 29: Alok H&A: Present Status and Future Strategy

    INTEGR ATE D TE XTILE SO LU TION S Present Status • The Company‟s retail operations are now carried out in cash and carry company called “Alok H&A Ltd.”, a 100% subsidiary of the company • Stores offer quality products in home textiles, mens wear, womens wear, kids wear and accessories like ties, ha

  30. Slide 30: Overseas Retail - Grabal Alok (UK) Ltd

    Overseas Retail - Grabal Alok (UK) Ltd INTEGR ATE D TE XTILE SO LU TION S 30

  31. Slide 31: Grabal Alok (UK) Ltd

    INTEGR ATE D TE XTILE SO LU TION S  Alok Group presently has a stake of 91% in Grabal Alok (UK) Ltd. (Alok Industries International Ltd. 41.7% and 49.3% by Grabal Alok International Ltd.)  Currently, the chain comprises of 215 stores and employ about 2,500 people  The stores offer a value proposi

  32. Slide 32: Mileta International

    Mileta International INTEGR ATE D TE XTILE SO LU TION S  Alok holds 93.20% stake in Mileta, a Czech based manufacturing company through its wholly own subsidiary Alok Industries International limited  Derived benefits from Mileta‟s technology skills in yarn-dyed fabrics and hemming: results in hig

  33. Slide 33: Alok Realtors Pvt. Ltd. – Ashford Royale

    INTEGR ATE D TE XTILE SO LU TION S Alok Realtors Pvt. Ltd. – Ashford Royale – Premium Ashford Centre, Lower Parel Peninsula Business Park, Lower Residential Complex, Nahur Parel • 641,589 sq ft of ultra modern office • Ashford Investment & Trading • 60,000 square feet of prime office premises with 6

  34. Slide 34: Way Forward

    Way Forward INTEGR ATE D TE XTILE SO LU TION S  Having built sizeable capacities across all business segments, the company to focus on maximising returns in next few years with main focus on effective utilisation of capacities and cost control  Thrust on increasing presence in value added yarn dye

  35. Slide 35: Corporate Social Responsibility (CSR)

    Corporate Social Responsibility (CSR) INTEGR ATE D TE XTILE SO LU TION S CSR is an integral part of Alok - some of the CSR initiatives includes:  Employment to tribal women on weaving looms and garment/made up stitching machines after intensive training and orientation  Private Public Partnership

  36. Slide 36: Product and Plant Gallery

    INTEGR ATE D TE XTILE SO LU TION S Product and Plant Gallery 36

  37. Slide 37: Vapi Plant

    Vapi Plant INTEGR ATE D TE XTILE SO LU TION S Continuous processing plant – wider width Vapi 37

  38. Slide 38: Silvassa Plant

    Silvassa Plant INTEGR ATE D TE XTILE SO LU TION S Airjet Weaving plant- Silvassa 38

  39. Slide 39: Spinning Unit

    Spinning Unit INTEGR ATE D TE XTILE SO LU TION S Rieter Spinning unit- Silvassa 39

  40. Slide 40: Weaving Unit

    Weaving Unit INTEGR ATE D TE XTILE SO LU TION S Airjet Weaving Machinery- Silvassa 40

  41. Slide 41: Terry Towel

    Terry Towel INTEGR ATE D TE XTILE SO LU TION S 41 Terry Towel Jacquard Looms - Vapi

  42. Slide 42: Made Ups Unit

    Made Ups Unit INTEGR ATE D TE XTILE SO LU TION S 42 Made Ups Unit - Vapi

  43. Slide 43: Texturising

    Texturising INTEGR ATE D TE XTILE SO LU TION S 43 Texturising unit- Silvassa

  44. Slide 44: Quilting Unit

    Quilting Unit INTEGR ATE D TE XTILE SO LU TION S Made up unit- Silvassa 44

  45. Slide 45: Knitting Unit

    Knitting Unit INTEGR ATE D TE XTILE SO LU TION S 45

  46. Slide 46: Knit Processing Unit

    Knit Processing Unit INTEGR ATE D TE XTILE SO LU TION S 46

  47. Slide 47: Apparel Processing Unit

    Apparel Processing Unit INTEGR ATE D TE XTILE SO LU TION S 47

  48. Slide 48: POY Unit

    POY Unit INTEGR ATE D TE XTILE SO LU TION S 48 POY Lines - Silvassa

  49. Slide 49: Embroidery unit -Lasser

    Embroidery unit -Lasser INTEGR ATE D TE XTILE SO LU TION S 49 Lasser Embroidery Unit - Silvassa

  50. Slide 50: Embroidery Unit

    Embroidery Unit INTEGR ATE D TE XTILE SO LU TION S 50 Multihead Embroidery Machines - Silvassa

  51. Slide 51: Infrastructure - Fire Fighting

    Infrastructure - Fire Fighting INTEGR ATE D TE XTILE SO LU TION S Mecedes Fire Fighting Trucks - Silvassa 51

  52. Slide 52: Staff Housing Colony

    Staff Housing Colony INTEGR ATE D TE XTILE SO LU TION S 52

  53. Slide 53: Products - Home Textiles – Sheet Sets, Quilts, Comforters

    INTEGR ATE D TE XTILE SO LU TION S …Products - Home Textiles – Sheet Sets, Quilts, Comforters, Blankets, Bed in a bag 53

  54. Slide 54: Products - Home Textiles – Towels

    INTEGR ATE D TE XTILE SO LU TION S …Products - Home Textiles –Towels 54

  55. Slide 55: Products – Apparel Fabrics

    INTEGR ATE D TE XTILE SO LU TION S …Products – Apparel Fabrics 55

  56. Slide 56: Products – Knitted Fabrics

    INTEGR ATE D TE XTILE SO LU TION S …Products – Knitted Fabrics 56

  57. Slide 57: Products – Dyed & Polyester Yarn

    INTEGR ATE D TE XTILE SO LU TION S …Products – Dyed & Polyester Yarn 57

  58. Slide 58: Products – Garments

    INTEGR ATE D TE XTILE SO LU TION S …Products – Garments 58

  59. Slide 59: Thank you

    INTEGR ATE D TE XTILE SO LU TION S Thank you Alok Industries Limited Peninsula Towers, Peninsula Corporate Park, Ganpatrao Kadam Marg, Lower Parel, Mumbai – 400 013. Tel. +91 (22) 2499 6200 / 500, Fax: +91 (22) 2493 6078 E-mail: info@alokind.com 59 Website: www.alokind.com

Alok Industries — Investor Presentation (September 2010) on 6ix