Banswara Syntex Ltd · NSE:BANSWRAS

Banswara Syntex — Q1 FY17 Earnings Presentation

38 slides from Banswara Syntex's earnings presentation, August 2016

  1. Slide 1: Investor Presentation – August 2016

    BANSWARA SYNTEX LIMITED Investor Presentation – August 2016

  2. Slide 2: Safe Harbour

    Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Banswara Syntex Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu

  3. Slide 3: Q1 FY17 Result Highlights

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  4. Slide 4: Consistent Superior Quarterly Performance - Standalone

    Consistent Superior Quarterly Performance - Standalone Total Operating Income Rs crs EBIDTA Rs crs +2% +11% 348.4 46.5 324.2 300.5 291.6 297.3 39.9 39.2 38.7 34.8 Q1FY16 Q2FY16 Q3FY16 Q4FY16 Q1FY17 Q1FY16 Q2FY16 Q3FY16 Q4FY16 Q1FY17 PBT Rs crs PAT Rs crs +258% +358% 17.7 11.6 14.2 11.7 8.5 7.8 8.7 5

  5. Slide 5: Q1 FY17 Results Highlights

    Q1 FY17 Results Highlights  Operating Income at Rs. 297 crores against Rs. 292 crores in Q1FY16  Pass on of lower commodity prices leading to lower realisation & revenue growth  Improvements in Gross Margins is due to higher weightage of Garmenting in the product mix  EBITDA grew by 11% to Rs. 3

  6. Slide 6: Positive shift in Revenue Mix

    Positive shift in Revenue Mix 15.7% 12.0% 16.3% 17.2% 17.4% 41.8% 38.0% 40.4% 39.8% 41.2% 41.6% 40.9% 43.1% 40.2% 39.6% 3.2% 3.0% 3.1% 2.5% 2.8% FY15 FY16 Q1FY16 Q4FY16 Q1FY17 Garments Fabric Yarn Others 6

  7. Slide 7: Standalone Q1 FY17 P&L Highlights

    Standalone Q1 FY17 P&L Highlights Rs Crs Q1 FY17 Q1 FY16 Y-o-Y Q4 FY16 Q-o-Q FY16 Total Operating Income 297.3 291.6 2.0% 348.4 -14.7% 1264.7 Raw materials 137.5 140.2 180.1 611.6 Employee Exp 50.6 45 48.3 195.7 Other Expenses 70.4 71.6 73.5 296.9 EBIDTA 38.7 34.8 11.3% 46.5 -16.7% 160.4 Margin % 13

  8. Slide 8: About Banswara Syntex Ltd

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  9. Slide 9: Business Snapshot

    Business Snapshot Vertically Integrated Textile Revenue Growth Solutions Company 10% CAGR over last 5 years Reputed Production Domestic and Facilities at International Exports to more Daman, Clients than 60 countries Surat & Banswara In-House R&D J.V. with “Treves SA” of France for Design Studio Aut

  10. Slide 10: Vertically Integrated Textile Solutions Company

    Vertically Integrated Textile Solutions Company Yarn  Produces blends of viscose staple fibre, polyester Yarn staple fibre, acrylic staple fibre, lycra, cotton, linen and wool Retail Brand  Production Capacity – 35,460 tons pa o 33,300 tons - polyester blended dyed yarns o 2,160 tons - wool mix ya

  11. Slide 11: Evolution – Complete Textile Vertical

    Evolution – Complete Textile Vertical • Incorporated • Started • Started first unit • 2nd unit of 15 MW • Bought the as a Joint production of of 18 MW thermal power complete Sector Co. with Readymad captive thermal plant stake in RIICO Ltd. e Garments power plant • Started wool & Carreman JV • Start

  12. Slide 12: Leadership Team

    Leadership Team 2 4 1 3 1 Mr. R L Toshniwal – Chairman 2 Mr Rakesh Mehra – Vice Chairman  Masters degree in Textiles from Leeds University, UK  Chartered Accountant from ICAI  52 years experience in Textile Industry  29 years experience in Textile Industry  On the board of four other companies

  13. Slide 13: Board of Directors

    Board of Directors Mr. R. L Toshniwal Mr. Rakesh Mehra Chairman Vice-Chairman Mr. Ravindra Kumar Toshniwal Mr. Shaleen Toshniwal Mr. Parduman Kumar Managing Director Joint Managing Director Independent Director Mr. D P Garg Mr. Kamal Kishore Kacholia Dr. S B Agarwal Independent Director Independent

  14. Slide 14: Business Overview

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  15. Slide 15: Business Model (Process)

    Business Model (Process) Spinning Weaving & Processing Garmenting Polyviscose, Worsted Fabric, Garments / Made-Ups Cotton Fabric & Technical (Trousers, Jackets & Fabric Waist Coats) Polyviscose & Processing & Worsted Finishing into Spinning Fabric Spun Yarn for Fabric for Internal Use Internal Use E

  16. Slide 16: Yarn

    Yarn  One of the largest single-mill setups producing spun fibre-dyed yarns in Asia  Specialties include :  P/V Dyed Yarn - Rigid and Lycra, 100% Acrylic Yarn, Worsted Yarn with blends like P/W and P/W/Lycra  Specialty Yarn - Grindle and Slub in Dyed form  90% of production consists of fibre-dy

  17. Slide 17: Fabric

    Fabric  Hi-Quality Hi-Performance Textile wear finished fabric Poly Viscose Worsted Fabric for both Domestic and Exports Fabric  Leadership in Poly Viscose and Poly Viscose Lycra for Suiting  Presence Across: Worsted, Wool Specialties, Viscose, Poly Viscose, Poly Viscose Lycra, Cotton Suiting and

  18. Slide 18: Readymade Garments

    Readymade Garments  Specialties:  Formal Trousers – Water Repellent and Stain Release  Suits – In depth know-how in Lined and Unlined 3-Piece Suiting  Casuals - Enzyme Washed/Bleached Casual Bottoms & Jackets  Garmenting units – Daman and Surat SEZ  Installed capacity for 3.45 lakh Trousers &

  19. Slide 19: Domestic Clientele

    Domestic Clientele E-Commerce Clients: 19

  20. Slide 20: International Clientele

    International Clientele Increasing presence in Garmenting Space 20

  21. Slide 21: Global Presence

    Global Presence USA & Canada France & Russia UK Geographical Export break up FY15 Greece UAE Others Gulf Mexico India 8% 14% America 30% Europe 49% Geographical Export Gulf Europe America Other break up FY16 10% 24% Gulf Europe 35% America 30% Others Exports to more than 60 countries 21

  22. Slide 22: Manufacturing Capability

     Manufacturing Capability 22

  23. Slide 23: Manufacturing Facilities

    Manufacturing Facilities Surat SEZ Unit Thermal Power Plant Daman Facility Banswara Facility Invested over Rs. 14 crores towards expansion and modernization of Surat SEZ over 5 years 23

  24. Slide 24: Manufacturing Capabilities

    Manufacturing Capabilities Spinning Unit Weaving Unit Dyeing Unit Garmenting Unit Invested over Rs. 426 crores towards expansion and modernisation between FY10 -15 • Garmenting Rs.38 Crs • Spinning Rs.209 Crs • Power Unit Rs.47Crs • Fabric Rs.132 Crs 24

  25. Slide 25: Spinning and Yarn

    Spinning and Yarn Synthetic Blended Yarn Spinning Worsted Yarn (Spindles) 130,552 130,552 130,552 130,552 21,120 21,120 21,120 21,120 14,400 129,016 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY14 FY15 FY16 Fiber & Wool Dyeing (MT/month) Yarn Dyeing 1,050 1,050 150 150 150 150 150 840 840 840 25 FY12 FY13 F

  26. Slide 26: Fabric Weaving and Processing

    Fabric Weaving and Processing Capacity in Lac Mtrs/Year Revenue in Rs Crores Fabric Weaving Fabric Weaving +6% CAGR 360 360 336 312 532 513 288 488 470 403 FY11 FY12 FY13 FY14 FY15 FY12 FY13 FY14 FY15 FY16 Fabric Processing Capacity of 600 Lac Mtrs/Year 26

  27. Slide 27: Garmenting

    Garmenting Capacity in ‘000 pcs/month Trousers & Suitings Garmenting Sales (Rs Crores) 345 345 345 345 285 +15% CAGR 212 200 189 136 FY12 FY13 FY14 FY15 FY16 114 Jackets 37.5 37.5 30.0 30.0 22.5 FY12 FY13 FY14 FY15 FY16 27 FY12 FY13 FY14 FY15 FY16

  28. Slide 28: In-House Research & Development

    In-House Research & Development  World class fabric testing laboratory as per ISO, AATCC, ASTM, LS & Co., M & S etc. testing protocol  Achieved accreditation of Levis & Co., Marks & Spencer and undergoing ISO 17025 NABL accreditation  Computer software for developing new designs for manufacturing

  29. Slide 29: Awards and Achievements

    Awards and Achievements  First laboratory in the country to be approved by Marks & Spencer, UK and Levis Strauss & co., USA  Golden trophy for BEST EXPORTER of "Synthetic and Rayon Spun Fabric Silver Trophy for SECOND BEST Exporter  Accredited partner for Semi-Luxury bag brand “Coach” for three y

  30. Slide 30: Business Strategy

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  31. Slide 31: Business Initiatives…

    Business Initiatives… Major Capex Completed Production of worsted fabric below Established Own Design Studio optimum and Marketing Network in Europe levels Time taken Discontinued Consolidating Product Portfolio to increase logo business in Fabrics share of for Coach Suites and impacting Jackets Las

  32. Slide 32: …creating Future Drivers

    …creating Future Drivers Increasing market Hired designers from Penetrating retail presence for Europe and USA branded segment Worsted fabric increasing store count Increasing utilization of New In- House fabric and design studio in stabilizing Paris garmenting unit Going Incremental growth from For

  33. Slide 33: Detailed Financial Performance

     Detailed Financial Performance 33

  34. Slide 34: Standalone Operating Performance

    Standalone Operating Performance FY16 Revenue highlights Revenue Rs crs  Lower realisation on account of pass +8% CAGR on of correction in raw material prices 1,226 1,265  Entry into Japenes market –Strong 1,212 1,096 future potential 924  Leveraging manufacturing capacity in Jacquard Fabric for

  35. Slide 35: Standalone Revenue Performance

    Standalone Revenue Performance Segment Gross Revenue Rs crs Geographic Gross Revenue Rs crs 1,271 1,271 1,231 1,236 1,231 1,236 1,130 1,130 967 473 520 967 514 470 51% 54% 47% 57% 417 45% 532 470 513 488 403 53% 49% 46% 55% 43% 189 212 200 114 136 33 36 37 40 38 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY

  36. Slide 36: Improving Parameters

    Improving Parameters Net Debt Rs. crs Net Debt:Equity -47 -76 664 617 3.1 2.8 541 2.2 Mar-14 Mar-15 Mar-16 Mar-14 Mar-15 Mar-16 ROE ROCE 12% 11% 23% 22% 18% 4% Mar-14 Mar-15 Mar-16 Mar-14 Mar-15 Mar-16 Net Debt includes Current Maturity of Debt 36

  37. Slide 37: Standalone Balance Sheet

    Standalone Balance Sheet Rs. Cr. Mar 16 Mar 15 Rs. Cr. Mar 16 Mar 15 Shareholders Funds 249.2 223.5 Non-Current Assets 514.9 537.9 Share Capital 16.9 16.4 Fixed Assets 481.2 511.5 Reserve & Surplus 232.2 207.0 Non current investment 18.6 17.5 Total Non-current Liabilities 272.6 315.1 Long term loans

  38. Slide 38: For further information, please contact:

    For further information, please contact: Company : Investor Relations Advisors : Banswara Syntex Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L24302RJ1976PLC001684 CIN: U74140MH2010PTC204285 Mr. J.K.Jain - CFO Ms. Ruchi Rudra jkjain@banswarasyntex.com rruchi@sgapl.net www.banswarasyntex.com www.sga

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