Slide 1: Exchange filing cover letter for investor presentation
18th May, 2023 To, To, BSE Limited National Stock Exchange of India Limited Listing Dept. / Dept. of Corporate Services, Listing Dept., Exchange Plaza, 5th Floor, Phiroze Jeejeebhoy Towers, Plot No. C/1, G. Block, Dalal Street, Bandra-Kurla Complex, Mumbai - 400 001. Bandra (E), Mumbai - 400 051. Se
Slide 2: Arvind Limited Q4 & FY23 results Investor Review Note
Arvind Limited Q4 & FY23 results Investor Review Note 18th May 2023| Ahmedabad
Slide 3: Safe harbour statement
Safe harbour statement Certain statements contained in this document may be statements of future expectations and other forward looking statements that are based on management‘s current view and assumptions and involve known and unknown risks and uncertainties that could cause actual results, perfor
Slide 4: FY2023 results moved all the critical indicators in the right direction
FY2023 results moved all the critical indicators in the right direction EPS Debt / Equity Debt / EBIDTA 13.3 0.6 2.0 1.6 9.7 0.4 FY22 FY23 FY22 FY23 FY22 FY23 ROCE ROE 11.9% 12.3% 10.4% 8.5% FY22 FY23 FY22 FY23 3
Slide 5: Q4 performance was impacted by difficult market conditions
Q4 performance was impacted by difficult market conditions ₹ crs YoY Sequential Revenues • Revenues declined driven by lower price realisation and volumes – Woven volumes remained steady while Denim and 1881 -14% -5% Garment volumes saw reductions – Price realisation started to trend down reflecting
Slide 6: Full year FY23 results reflect steady performance
Full year FY23 results reflect steady performance ₹ crs YoY Revenues • Revenues showed modest growth, largely powered by AMD which grew 22% 8382 5% – Textile revenues remained nearly flat as higher realisations offset reduced volumes EBITDA (Without other Income) • Consolidated operating EBIDTA marg
Slide 7: Consolidated P&L | EBITDA margins remained flat, PAT improved because of lower tax outgo
Consolidated P&L | EBITDA margins remained flat, PAT improved because of lower tax outgo YoY YoY All figures in INR Crs Q4 FY23 Q4 FY22 FY23 FY22 Change Change Revenue from Operations 1,881 2,197 -14% 8,382 8,010 5% EBIDTA (Continuing Operations) 191 238 -20% 800 790 1% EBIDTA % 10.1% 10.8% 9.5% 9.9
Slide 8: AMD delivered robust margins; Textile margins impacted by lower volumes
AMD delivered robust margins; Textile margins impacted by lower volumes In Inr Cr Q4 FY23 Q4 FY22 Business Revenue EBIDTA EBIDTA % ROCE % Revenue EBIDTA EBIDTA % ROCE % Textiles 1432 135 9.5% 11.0% 1807 194 10.7% 18.5% Advanced Material 320 47 14.5% 28.9% 267 33 12.5% 16.7% Others & Inter Segment 12
Slide 9: Consolidated Balance Sheet as on 31st Mar 2023
Consolidated Balance Sheet as on 31st Mar 2023 Rs Cr 31st Mar 23 31st Mar 22 Shareholders' Fund 3404 3006 • Net Borrowings reduced by Share Capital 262 261 ₹356 Cr compared to Mar2022 Reserves & Surplus 3084 2690 Minority Interest 59 56 • LT borrowings reduced by ₹304 Borrowings 1404 1759 cr compare
Slide 10: Woven volumes continued to stay strong, Denim stabilized
Textiles Woven volumes continued to stay strong, Denim stabilized • Both domestic and export Million M 31 32 32 31 32 volumes in Wovens segment continued to remain strong WOVENS Domestic 13 14 15 13 14 • Denim volumes have Exports* 19 18 17 18 17 bottomed out and started showing green-shoots in some
Slide 11: Price realisation started trending down reflecting lower RM prices; Margins preserved
Textile Price realisation started trending down reflecting lower RM prices; Margins preserved Fabric price realization started trending down… … margins continued to be preserved EBITDA Margins (%) 294 287 10.7 10.4 ₹/m 271 9.7 9.7 9.5 261 248 Denim 215 219 216 200 209 Wovens Q4 fy22 Q1 fy23 Q2 Q3 Q4
Slide 12: Q4 revenues reflect lower price realizations and garment volumes
Textile Q4 revenues reflect lower price realizations and garment volumes Textile revenues (₹ Crs) Woven • Q4 volume remained strong around 31/32 for 1,807 last 2/3 quarters -8% • Realization saw slight reduction QoQ 1,549 Denim 562 1,432 318 Denim 303 • Quarterly volumes remained stable ~11Mm -5% •
Slide 13: On full year basis continuing strength in Wovens offset decline in Denim
Textile On full year basis continuing strength in Wovens offset decline in Denim Textile revenues (₹ Crs) Woven • Quarterly volumes remained steady 6,627 6,716 around 31/32 through the year • Price realization increased thru Q, but has 1,586 started falling reflecting the RM cost Denim 2,105 -25% tr
Slide 14: AMD continues to grow at 20%+ and ROCE also continues to increase
Advanced Materials AMD continues to grow at 20%+ and ROCE also continues to increase Revenues (₹ crores) ROCE (%)* 1,250 25 +21% 25 1,025 20 20 18 642 713 679 498 15 15 329 294 Human Protection 317 10 9 274 Industrials 232 217 Composites 254 290 5 152 168 FY19 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23
Slide 15: AMD set to grow at 20-25% for next 3-4 years; exports will continue to be a large portion
Advanced Materials AMD set to grow at 20-25% for next 3-4 years; exports will continue to be a large portion AMD is 75% export oriented, with Sample customer & Line-of-sight for continuing US being the largest destination competitor profiles growth Exports Domestic Customers • Global brands which bu
Slide 16: Despite near term uncertainties, we remain optimistic about medium term
Despite near term uncertainties, we remain optimistic about medium term and intend to continue investing in our growth engines • We have planned an investment program of around ₹600 crores over next two years (fy24 and fy25) to grow our AMD and Garments businesses – First set of projects are already
Slide 17: Thank You!
Thank You!