Monte Carlo Fashions Ltd. · NSE:MONTECARLO
Monte Carlo Fashions — Q4 FY2020 Earnings Presentation
31 slides from Monte Carlo Fashions's earnings presentation, Jun 24, 2020
Slide 1: Q4FY20 Investor Presentation filing letter
GSTN : O3AAFCM788801ZK MONTE CARLO AX PAN - AAFCM7888Q TAN - JLDM04272C oe me fea CIN - L51494PB2008PLC032059 MONTE CARLO FASHIONS LIMITED Regd. Office : B-XXIX-106, G.T. Road, Sherpur, Ludhiana - 141003 (Pb.) India. Tel.: 91-161-5048610, 5048620, 5048630, 5048640 Fax : 91-161-5048650 June 24, 2020
Slide 2: Monte Carlo Fashions Limited Q4 & FY20 Investor Presentation
MONTE CARLO FASHIONS LIMITED Q4 & FY20 INVESTOR PRESENTATION
Slide 3: Discussion Summary
It’s the way you make me feel DISCUSSION SUMMARY # Page No 01 Company Overview 03 02 Quarterly Update 08 03 Monte Carlo Advantage 16 04 Annexure 26
Slide 4: Company Overview
MONTE CARLO 2X. It’s the way you make me feel O01 COMPANY OVERV
Slide 5: About Us
ABOUT US STRONG WIDE PEDIGREE REACH • Leading Winter wear Brand, • Presence across India through a launched in 1984 and part of judicious mix of EBOs, MBOs and Oswal Woollen Mills Ltd Shop in shop ,distributors and • Recognised as “Superbrand” national chain stores and online for woollen knitted app
Slide 6: Diversified Product Portfolio
DIVERSIFIED PRODUCT PORTFOLIO Range Home Kids Woollen Cotton Furnishing Sweaters, Pullovers Mink Monte Carlo thermals, Shirts, trousers, blankets, Mid Premium / woollen accessories t-shirts, track-suits and bed sheets - Premium (caps, mufflers, shawls, jackets and quilts stoles) Luxuria - Cash wool
Slide 7: What Is Our Business Model
WHAT IS OUR BUSINESS MODEL May Aug January Feb -March April Till July Onwards BUSINESS CYCLE FOR WINTER SEASON SALES • Product development • Commissioned agents display the • The dealers and • Production of pre- • Dispatching of winter & Sampling process samples to dealers and distributors distribut
Slide 8: Distribution Model
DISTRIBUTION MODEL MBO and NCS Shop In Shop EBO-COCO EBO –FOFO Distributors MINIMUM GOODS RETURNED Distribution Pre-Booking of SOR – Sale or Pre-Booking of Pre-Booking of Inventory owned Sale Model orders Outright Return / orders Outright orders Outright by Company Sales Outright Sales Sales sale Go
Slide 9: Q4 & FY20 Highlights
MONTE CARLO 2X. les the way you make me feel 2 a 9 4 a ) ae =) N > LL (oa) Se of
Slide 10: FY20: Financial Highlights
FY20: FINANCIAL HIGHLIGHTS In Rs Mn REVENUES EBIDTA & EBIDTA MARGIN% * PAT, CASH PAT & PAT MARGIN % 9.1% 7,256 8.6% 17% 15% 1,244 961 787 983 596 627 6,564 FY19 FY20 FY19 FY20 FY19 FY 20 EBITDA EBITDA MARGIN PAT Cash PAT PAT Margin Revenue figures does not include sale of raw material (fabric, yarn,
Slide 11: Q4 FY20: Revenue Details
Q4 FY20: REVENUE DETAILS REVENUE BREAKUP– REGION WISE REVENUE BREAKUP – CHANNEL WISE (Including Online Sales) Q4 FY19: Rs 956 Mn Q4 FY20: Rs 1,109 Mn Q4 FY19: Rs 956 Mn Q4 FY20: Rs 1,109 Mn 3% 2% 5% 4% 3% 5% 9% 7% 13% 18% 13% 42% 31% 53% 51% 56% 22% 21% 22% 20% North East Central South West Others I
Slide 12: FY20: Revenue Details
FY20: REVENUE DETAILS REVENUE BREAKUP– REGION WISE (Including Online Sales) REVENUE BREAKUP – CHANNEL WISE FY19: Rs 6,715 Mn FY20: Rs 7,235 Mn FY19: Rs 6,715 Mn FY20: Rs 7,235 Mn 4% 3% 4% 3% 3% 2% 8% 6% 14% 14% 33% 32% 50% 51% 52% 54% 26% 26% 7% 8% North East Central South West Others Including Onli
Slide 13: Q4 & FY20: Revenue Analysis
Q4 & FY20: REVENUE ANALYSIS REVENUE BREAKUP - SEGMENT WISE In Rs Mn Q4 FY19 Q4 FY20 FY19 FY20 Total Revenues* 956 1,109 6,715 7,235 Woollen Segment 11.0% 12.6% 25.5% 22.3% Cotton Segment 81.6% 74.9% 60.1% 59.1% Home Textiles 2.8% 6.4% 9.1% 11.7% Kids 4.6% 6.1% 5.3% 6.9% FOCUS ON PRODUCT DIVERSIFICAT
Slide 14: COVID19: Business Continuity Update
COVID19: Business Continuity Update ❑ Current Operational Status ▪ Complying with Government directives on nation-wide lockdown the manufacturing facilities, corporate office and retail stores were temporarily closed from 23rd March, 2020 ▪ Resumed operations at manufacturing facility from 21st Apri
Slide 15: Q4 & FY20: Profit and Loss Statement
Q4 & FY20: PROFIT AND LOSS STATEMENT Particulars (In Rs Mn) Q4 FY20 Q4 FY19 YoY% FY20 FY19 YoY% Revenue From Operations 1,095 958 14% 7,256 6,564 11% Material Cost 591 656 -10% 3,831 3,444 11% Gross Margin 504 302 67% 3,425 3,120 10% Gross Margin % 46.0% 31.5% 47.2% 47.5% Personnel Expenses 186 155
Slide 16: FY20: Balance Sheet Statement
FY20: BALANCE SHEET STATEMENT Particulars (Rs In Mn) FY20 FY19 Particulars (Rs In Mn) FY20 FY19 Equities & Liabilities Non-Current Assets Property,Plant and equipment 1,518 1,485 Equity Share Capital 207 207 Right-of-use assets 759 - Other Equity 5,244 4,630 Capital work in progress 25 0.2 Total Equ
Slide 17: Monte Carlo Advantage
MONTE CARLO 2X. les the way you make me feel MONTE CARLO ADVANTAGE
Slide 18: Strong Brand Equity
STRONG BRAND EQUITY … ❖ “Monte Carlo”, has Strong Brand Equity ❖ Being a Premium Brand, Monte Carlo enjoys Pricing Power & Customer Loyalty ❖ Regular Investment in Brand Building & Marketing Initiatives ASPIRE TO SERVICE END TO END WARDROBE REQUIREMENTS OF INDIAN CONSUMERS BY FURTHER INTRODUCING EXC
Slide 19: Having Pan India Presence
… HAVING PAN INDIA PRESENCE … DISTRIBUTION NETWORK J&K 2 STORE NETWORK Ladakh Type of Store FY18 FY19 FY20 1 EBO – COCO 21 27 37 HP 10 Punjab 42 EBO – FOFO 214 229 241 Chandigarh 4 Uttarakhand 9 Haryana 26 MBO and Distributors 2,500+ 2,500+ 2500+ Delhi 20 NCS 283 306 566 UP 36 Nepal 2 Rajasthan 29 A
Slide 20: Regular Technology Upgradation
… & REGULAR TECHNOLOGY UPGRADATION Whole Garment Machine Cotton Woollen • 30 professionals closely tracking the trending global fashion • To meet the standards of technology upgradation and modernisation, Company has installed the automatic whole-garment state-of-art manufacturing facility, at the e
Slide 21: Diversified Portfolio
DIVERSIFIED PORTFOLIO SEGMENT COMPOSITION COTTON SEGMENT BIFURCATION- FY20 10% 9% 7.60% 9.10% 11.65% 5% 5.10% 5.30% 6.94% 14% 35% 58% 61% 60.10% 59.11% 34% 7% 28% 26.30% 25.50% 22.3% FY 2017 FY 2018 FY 2019 FY 2020 Tshirt & Shirt Denim & Trousers Jackets , coats & Suits Woollen Cotton KIDS Home Text
Slide 22: Led by Experienced Management
LED BY EXPERIENCED MANAGEMENT … Sh. Jawaharlal Oswal Sh. Sandeep Jain Sh. Rishabh Oswal Sh. Dinesh Gogna (Chairman & MD) (Executive Director) (Executive Director) (Director) • Sh. Jawahar Lal has More • Sh. Sandeep Jain is has more • Rishabh Oswal is part of • Sh. Dinesh Gogna has more than 50 years
Slide 23: Resulting in Strong Financials
… RESULTING IN STRONG FINANCIALS HEALTHY ❖ Ability to sustain Robust growth without any major capex; Return Ratios set to improve RETURN RATIOS STABLE ❖ Stable core working capital whilst achieving 11% WORKING growth in revenues for FY20 CAPITAL CYCLE STRONG BALANCE ❖ Cash balance of Rs 1,464 Mn (in
Slide 24: Consistent Reward to Shareholders
Consistent Reward to Shareholders Dividend% Buy Back 120 Buyback 100 100 100 50 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 • Company has done buy back of Rs. 550 Mn in FY19 to reward shareholders. Promoters have not participated in the buy back Strong Track Record and Proven Expertise to Generate Hea
Slide 25: Financial Performance
FINANCIAL PERFORMANCE CONSISTENT REVENUES EBITDA & EBITDA MARGIN 6,564 7,256 21.7% 5,680 5,760 19.7% 5,231 17.1% 14.8% 15.0% 1,233 1,132 1,244 983 776 FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 EBITDA (mn) EBITDA Margin % PAT & PAT MARGIN LEVERAGE & RETURN RATIOS 11.8% 10.4% 0.22 8.4% 9.1% 8.
Slide 26: Growth Strategy
GROWTH STRATEGY PRODUCT MIX ▪ Cotton share maintained over 59.11% of total FY20 revenue reflecting shift towards Cotton from MOVING Woollen segment TOWARD COTTON ▪ Textile and Kids segment delivered robust growth, contributing higher revenue to the overall business FOCUS ON • Sales through SIS Model
Slide 27: Annexure
MONTE CARLO a ANNEXURE
Slide 28: Branding Initiatives
BRANDING INITIATIVES Proven track record in building brands in India Clothing Partner for reality Shows like Big boss, Khatron ke Khiladi Clothing partner for the blockbuster Bollywood films Saaho, Barfi, Mary Kom, Bhaag Milkha Bhaag, and Student of the Year Other Strategic Tie-ups Airline Tie-ups T
Slide 29: Brand Ambassador
BRAND AMBASSADOR • Celebrate life by going fit- Andre Russell way!! • Rock It – India’s premium athleisure brand starts the season in pomp as it ropes in Mr. Russell as the brand ambassador. TIE-UPS WITH ONLINE PLATFORMS 28
Slide 30: CSR Activities
CSR ACTIVITIES WE BELIEVE IN “FULFILLING ASPIRATIONS AND TRANSFORMING LIVES “ The organization has worked towards the betterment of various schools & institution at Education Dhandari Kalan Government Primary school , Govt School (Magra Lulu),Brailee Bhawan Ludhiana by providing them operational & F
Slide 31: Thank You
THANK YOU Mr. Dinesh Gogna Ms. Manasi Bodas Director Consultant Email: gogna@owmnahar.com Mr. Vikash Verma Director Email: monte.carlo@dickensonworld.com Disclaimer: This presentation and the following discussion may contain “forward looking statements” by Monte Carlo Fashions Ltd (“MCFL” or the Com
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