Slide 1: Exchange filing cover letter - Investors Presentation
November 10, 2023 The Listing Department, National Stock Exchange of India Limited, ‘Exchange Plaza’, C 1, Block G, Bandra – Kurla Complex, Bandra (E), Mumbai 400 051 Symbol: PRECOT Dear Sir/Madam, Sub: Investors Presentation ‐ reg Pursuant to Regulation 30(6) and Regulation 46(2)(o) of SEBI (Listin
Slide 2: Precot Investor Presentation September 2023
Precot Reliable, Agile and Innovative Investor Presentation September 2023
Slide 3: Disclaimer
This presentation and the accompanying slides (the “Presentation”), which have been prepared by Precot 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 securities, and shall not
Slide 4: Yarn & Threads, Technical Textile overview
Yarn & Threads Technical Textile Private Label Specialist in Incorporated in 1962 cotton-based products in hygiene and cosmetics 5 state of art facilities with Wide range of cotton- based presence in products with End-to-End 4 states of South India capability Yarn & Technical Threads Textile 1.65 la
Slide 5: Company milestones since 1962
1962 1983 1992 1995 First Manufacturing Unit in Unit 2 with Unit 3 with 25,000 Unit 4 with 35,000 spindles Kerala with 12,000 29,000 spindles in spindles in Kerala in Tamil Nadu spindles Andra Prdaesh 2010 2002 1995 Dyeing Unit with annual capacity of 1800T of Commissioning of Doubling & Gassing Uni
Slide 6: Geographical Presence, Quality, Product Diversification
Geographical Presence Quality Captures the benefit of growing Delivering sustainable products with unmatched market opportunity in international quality and consistency. as well as domestic markets 03 04 Product Diversification Technical Advancements Introduction of new & value-added Automation for
Slide 7: Diversified range of cotton yarns and threads
Diversified range of cotton yarns and threads 165,000 spindles Organic, BCI & normal Newer and quality cotton and polyester products to create product differentiation Production of specialty Value addition and blended yarn Efforts to improve Products Integration operational with supply chains effici
Slide 8: Enabling Factors for Growth and Target Nations
Enabling Factors for Growth Target Nations USA Private Label Sales in exports market Constant R&D for Rapid increase in demand for hygiene developing value-added products providing platform for Improve Product Mix and products to create value Indian players geographical presence for both global & do
Slide 9: Absorbent Cotton
Products End User Absorbent Cotton Our purifiedcotton Our purified cotton is OEKO contains zeroTex and residual REACH compliant chemicals, and zero toxins andTotally Chlorine is Totally Chlorine Free (TCF). Free (TCF). Cotton buds Cotton Pads Sanitary Pads Tampons and Spunlace Wipes manufacturers Ou
Slide 10: Exfoliating Pads
Products End User Our range of cotton balls are made from 100% pure absorbent cotton. Cotton Balls Cosmetic and Nail Paint medical purposes remover Patented woven textured 100% Cotton, Exfoliating Pads 100% Biodegradable exfoliating pads Nail Paint Gentle skin remover exfoliation 9
Slide 11: Cotton Spunlace Rolls
Products End User Highly absorbent wool rolls. Cotton Wool Rolls Pleats specially designed for easy tear- off & use General hygiene Baby cleaning Our cotton spunlace is 4 layered, highly Cotton Spunlace Rolls absorbent and has good strength for further processability Panty Liners Sanitary Pads 10
Slide 12: Yarn & Threads
Products End User Leading manufacturers of yarns & threads for textile production, knitting Yarn & Threads and sewing Weaving Knitting Sewing Textile Production 11
Slide 13: Key Highlights of the Manufacturing Processes
Key Highlights of the Manufacturing Processes Vertically integrated manufacturing capabilities with in- house design and development Increased automation and process improvements are being implemented in order to maintain quality and profitability. Compliance and Quality Standards: ISO 9001 &
Slide 14: Accessibility, Manpower, Infrastructure and Scalability
Accessibility Our Facilities are located close to the source of Raw material required for production enabling continuous supply and better ability to manage demand cycles Manpower Availability of both skilled and unskilled manpower helps in manpower planning Karnataka - Gowribidnur, Kolar Karnataka
Slide 15: Key Takeaways
Key Takeaways Key Takeaways Container availability and State of art Facilities located reduced freight cost providing in India export relief Canada UK Europe Middle East Bangladesh India USA Egypt Company has moved towards Vietnam Presence in over 25 countries solar and wind energy for its Sri lanka
Slide 16: Geography wise and Segment wise revenue
Geography wise (Rs. Crs) Segment wise (Rs. Crs) 453 386 284 270 272 675 798 665 577 504 473 501 532 426 424 244 92 119 139 157 FY19 FY20 FY21 FY22 FY 23 FY19 FY20 FY21 FY22 FY 23 Domestic Export Technical Textile Yarn Geography wise (%) Segment wise (%) 12.2 17.1 16.4 21.6 26.6 37.5 38.8 39.1 42.0 4
Slide 17: Growth strategy
Enhance existing & expand product portfolio • Focus on branding and promotion Increasing presence in overseas markets • Plans to export to new geographies such as 01 03 • Manufacturing and developing Value added product portfolio MENA & South East Asia in the next 5-10 years • Leverage the advantage
Slide 18: Customer retail brands
Walmart Inc. CVS Pharmacy Walgreens ` ` ` Dollar General Dove The Kroger Co. ` ` ` Meijer Inc. K Mart ` ` Coles Supermarkets Aldi ` ` 17
Slide 19: Board of Directors
Mr. Ashwin Chandran Mr. Prashanth Chandran Mr. T Kumar Designation - Chairman & MD Designation - Vice Chairman & MD Designation - Executive Director Age - 47 Years Age - 42 Years Age - 54 Years Experience - More than 22 years of experience Experience - More than 15 years of experience Experience - M
Slide 20: Certifications
Certifications UL as
Slide 21: Investments in Green Energy and sustainability
Investments in Green Energy - 5 MW Recycled Water Management with the Wind and 10 MW Solar generations and help of effluent treatment plants Gas based power plants Promoting Organic & Recycled Products in Active CSR with special focus on education both Spinning and Technical Textile and healthcare f
Slide 22: Financial Highlights
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Slide 23: Q2 and H1 FY24 Revenue, Gross Profit, EBITDA, PAT
Revenue (₹ crore) Gross Profit (₹ crore) Highlights H1FY24 Revenue 207 489 491 from operations 169 stood at Rs 491 crore as against Rs 489 235 266 crore in H1FY23. 88 91 Gross Profit for Q2 FY24 stood at Rs 91 Q2FY23 Q2FY24 H1FY23 H1FY24 Crore as against Q2FY23 Q2FY24 H1FY23 H1FY24 Rs 88 crore i
Slide 24: Profit and Loss Q2FY24 H1FY24
Profit and Loss (in Rs. Crs) Q2FY24 Q2FY23 H1FY24 H1FY23 Revenue from Operations 266.3 235.4 490.5 488.8 Cost of Goods Sold 175.7 147.4 321.6 281.4 Gross Profit 90.6 88.0 168.9 207.4 Gross Profit Margin Percentage 34.0 37.4 34.4 42.4 Employee Cost 22.4 21.1 44.8 43.6 Other Expenses 51.9 53.5 100.5 1
Slide 25: Assets and Equity & Liabilities Sep-23
Assets (in Rs. Crs) Sep-23 Mar-23 Equity & Liabilities (in Rs. Crs) Sep-23 Mar-23 Non - Current Assets 525.1 497.4 Total Equity 400.9 405.7 Property Plant & Equipment 442.1 443.7 CWIP 3.0 Share Capital 12.0 12.0 12.35 Intangible assets 0.3 0.3 Reserves & Surplus 388.9 393.7 Intangible assets under d
Slide 26: Cash flow as on 30-Sept-23
As on As on Particulars (in Rs. Crs) 30-Sept-23 31-Mar-23 Net Profit Before Tax -6.7 -34.5 Adjustments for: Non -Cash Items / Other Investment or Financial Items 32.7 66.9 Operating profit before working capital changes 26.0 32.4 Changes in working capital 73.1 22.8 Cash generated from Operations 99
Slide 27: Revenue, Gross Profit, EBITDA, PAT FY19-FY23
Revenue (₹ crore) Gross Profit (₹ crore) 993 954 505 790 726 665 318 331 296 307 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 EBITDA (₹ crore) PAT (₹ crore) 189 106 93 33 57 48 28 -8 -17 FY19 FY20 FY21 FY22 FY23 -26 FY19 FY20 FY21 FY22 FY23 26
Slide 28: Profit and Loss FY19-FY23
Profit and Loss (in Rs. Crs) FY23 FY22 FY21 FY20 FY19 Revenue from Operations 953.8 993.3 665.1 726.1 790.1 Cost of Goods Sold 623.3 488.6 358.6 430.1 472.5 Gross Profit 330.5 504.7 306.6 296.0 317.7 Gross Profit Margin Percentage 34.7 50.8 46.1 40.8 40.2 Employee Cost 84.6 93.6 73.6 71.7 76.9 Other
Slide 29: Assets and Equity & Liabilities Mar-19 to Mar-23
Assets (in Rs. Crs) Mar-23 Mar-22 Mar-21 Mar-20 Mar-19 Equity & Liabilities (in Rs. Crs) Mar-23 Mar-22 Mar-21 Mar-20 Mar-19 Non - Current Assets 497.4 495.1 471.6 491.9 547.6 Total Equity 405.7 444.1 341.6 310.2 335.7 Property Plant & Equipment 443.7 428.0 437.4 462.5 511.5 Share Capital 12.0 12.0 1
Slide 30: Cash flow FY19-FY23
Particulars (in Rs. Crs) FY23 FY22 FY21 FY20 FY19 Net Profit Before Tax -34.5 133.8 33.0 -25.5 -7.8 Adjustments for: Non -Cash Items / Other Investment or Financial Items 66.9 58.9 64.2 63.0 67.8 Operating profit before working capital changes 32.4 192.7 97.1 38.3 60.0 Changes in working capital 22.
Slide 31: For further information, please contact
For further information, please contact: Company: Precot Limited CIN: L17111TZ1962PLC001183 Mrs S. Kavitha kavitha@precot.com www.precot.com 30