Monte Carlo Fashions Ltd. · NSE:MONTECARLO

Monte Carlo Fashions — Q1 FY2023 Earnings Presentation

30 slides from Monte Carlo Fashions's earnings presentation, Aug 4, 2022

  1. Slide 1: Monte Carlo Fashions Q1FY23 Investor Presentation Cover Letter

    MONTE CARLO «XN GSTN : O3AA4FCM7888Q1ZK PAN - AAFCM7888Q It's the way you make me feel TAN - JLDM04272C CIN « L51494PB2008PLC032059 MONTE CARLO FASHIONS LIMITED Regd. Office : B-XXIX-106, G.T. Road, Sherpur, Ludhiana - 141003 (Pb.) Indla. Tel.: 91-161-5048610, 5048620, 5048630, 5048640 Fax : 91-161-

  2. Slide 2: Q1 FY23 Investor Presentation

    MONTE CARLO FASHIONS LIMITED Q1 FY23 INVESTOR PRESENTATION

  3. Slide 3: Discussion Summary

    It’s the way you make me feel DISCUSSION SUMMARY # Page No 01 Financial Highlights 03 02 Company Overview 13 03 Investment Rationale 18 04 Annexure 26

  4. Slide 4: Financial Highlights

    01 FINANCIAL HIGHLIGHTS 3

  5. Slide 5: Q1 FY23: Performance at a Glance

    Q1 FY23: PERFORMANCE AT A GLANCE • Revenue for Q1FY23 stood at ₹1,129 Mn up by 171% YoY and 88% over Pre-COVID(Q1FY 20) levels. The Company reported its Best ever sales for the quarter onQ1 FY22 the back of strong brand positioning, quality products aided by normalised macro environment. • Reported

  6. Slide 6: Q1 FY23: Financial Highlights

    Q1 FY23: FINANCIAL HIGHLIGHTS In ₹ Mn REVENUES Q1 FY22 EBIDTA* & EBITDA MARGIN% PAT, CASH PAT & PAT MARGIN% 1,129 3.9% 44 52 417 -22 -39 -20.7% -3.5% Q1 FY22 Q1 FY23 -102 -86 -24.4% Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 PAT Cash PAT PAT Margin % *EBITDA excludes other income 5

  7. Slide 7: Q1 FY23: Revenue Details

    Q1 FY23: REVENUE DETAILS REVENUE BREAKUP– REGION WISE REVENUE BREAKUP – CHANNEL WISE (Including Online Sales) Q1 FY22: Rs 451 Mn Q1 FY23: Rs 1,175 Mn Q1 FY22: Rs 451 Mn Q1 FY23: Rs 1,175 Mn 3% 3% 10% 7% -1% 11% 6% 4% 3% 12% 27% 23% 26% 26% 63% 59% 57% 56% 8% -16% 5% 8% -4% 4% North South East West C

  8. Slide 8: Q1 FY23: Revenue Analysis

    Q1 FY23: REVENUE ANALYSIS REVENUE BREAKUP - SEGMENT WISE In ₹ Mn Q1 FY22 Q1 FY23 FY21 FY22 Total Revenues* 451 1,175 6,126 9,239 Cotton Segment 90.3% 68.8% 51.4% 54.7% Woollen Segment -18.0% -6.0% 27.7% 24.0% Home Textiles 25.6% 32.9% 14.3% 13.8% Kids 2.1% 4.3% 6.6% 7.5% • Revenue from core products

  9. Slide 9: Diversified Portfolio

    DIVERSIFIED PORTFOLIO SEGMENT COMPOSITION COTTON SEGMENT BIFURCATION – Q1 FY23 9.1% 11.7% 14.3% 13.8% 5.3% 6.9% 6.6% 7.6% 32.9% 5% 4.3% 21% 60.1% 51.4% 59.1% 54.6% -2% 68.8% 62% 14% 25.5% 22.3% 27.7% 24.0% -6.0% 2019 2020 2021 2022 Q1 FY23 Tshirt & Shirt Denim & Trousers Jackets , coats & Suits Othe

  10. Slide 10: Q1 FY23: Profit and Loss Statement

    Q1 FY23: PROFIT AND LOSS STATEMENT Particulars (In ₹ Mn) Q1 FY23 Q1 FY22 YoY% FY22 FY21 YoY% Revenue From Operations 1129 417 171% 9043 6220 45% Material Cost 464 64 624% 4677 3310 41% Gross Margin 665 353 88% 4366 2910 50% Gross Margin % 58.9% 84.6% - 48.3% 46.8% 149bps Personnel Expenses 209 168 2

  11. Slide 11: Financial Performance

    FINANCIAL PERFORMANCE In ₹ Mn CONSISTENT REVENUES EBITDA & EBITDA MARGIN 19.7% 18.6% 19.9% 9,043 17.1% 15.0% 7,256 1,800 6,564 6,220 5,760 1,132 1,244 1,155 983 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 EBITDA (mn) EBITDA Margin % PAT & PAT MARGIN LEVERAGE & RETURN RATIOS 11.8% 12.6% 10.7% 0

  12. Slide 12: Q1 FY23 Advertising Campaigns

    Q1 FY23 ADVERTISING CAMPAIGNS PRINT DIGITAL OTHERS 11

  13. Slide 13: New Store Launches

    New Store Launches RDC Raj Nagar Ghaziabad 12

  14. Slide 14: Company Overview

    MONTE CARLO 2X. les the way you make me feel 02 COMPANY OVERVIEW

  15. Slide 15: Monte Carlo: India's First Organised Lifestyle Apparel Brand

    MONTE CARLO: INDIA’s FIRST ORGANISED LIFESTYLE APPAREL BRAND Strong Pedigree Manufacturing Plants Leading Winter wear Brand, launched in 1984 2 Manufacturing Plant located in Ludhiana promoted by Sh. Jawahar Lal Oswal ,CMD, Oswal woollen Mills Ltd and Nahar Group Super Brand Diversified Product Port

  16. Slide 16: Diversified Product Portfolio

    DIVERSIFIED PRODUCT PORTFOLIO Range Home Kids Woollen Cotton Furnishing Sweaters, Pullovers MinkMink Monte Carlo thermals, Shirts, Shirts, trousers,trousers, blankets, blankets,bed bed Mid Premium / woollen accessories t-shirts, t-shirts, track-suits track-suits andand sheets sheets and - Premium (c

  17. Slide 17: 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

  18. Slide 18: 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

  19. Slide 19: Investment Rationale

    Investment Rationale MONTE CARLO a les the way you make me feel 18

  20. Slide 20: Investment Rationale

    INVESTMENT RATIONALE Strong brand Equity commanding good credit terms with suppliers Consistent rewards Extensive to Shareholders in distribution network form of dividend or with presence across buy back India Investment Rationale Continuous Strong financial technology and no major upgradation as ca

  21. Slide 21: 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

  22. Slide 22: Having Pan India Presence

    … HAVING PAN INDIA PRESENCE … DISTRIBUTION NETWORK J&K 5 Ladakh 1 STORE NETWORK Type of Store FY21 FY22 Q1FY23 HP 12 Punjab 44 Chandigarh 4 Uttarakhand 7 EBO – COCO 43 55 58 Haryana 29 EBO – FOFO 255 260 265 Delhi 21 MBO and Distributors 1,777* 2,108 1363 UP 46 Rajasthan 34 Assam 2 NCS 622 740 268 B

  23. Slide 23: Regular Technology Upgradation

    … & REGULAR TECHNOLOGY UPGRADATION Whole Garment Machine Cotton Woollen • 35+ 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

  24. Slide 24: 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 hashas more • Rishabh Oswal is part of • Sh. Dinesh Gogna has more than 51 ye

  25. Slide 25: Resulting in Strong Financials

    … RESULTING IN STRONG FINANCIALS HEALTHY ❖ Ability to sustain Robust growth without any RETURN RATIOS major capex; Return Ratios set to improve STRONG BALANCE ❖ Cash balance of Rs 2,756 Mn (includes cash and bank balance along with current and non-current SHEET POSITION investments) as on 30th June

  26. Slide 26: Consistent Reward to Shareholders

    CONSISTENT REWARD TO SHAREHOLDERS Dividend% Buy Back 200% 150% 120% Buy back 100% 50% FY17 FY18 FY19 FY20 FY21 FY22 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 Healthy, Pr

  27. Slide 27: Annexure

    MONTE CARLO 4x Ww [a4 =) x< Wi ] 2 <x 26

  28. Slide 28: Branding Initiatives

    BRANDING INITIATIVES Proven track record in building brands in India TIE-UPS WITH NATIONAL CHAIN STORES Clothing partner for the blockbuster Bollywood films Saaho, Barfi, Mary Kom, Bhaag Milkha Bhaag, and Student of the Year Monte Carlo Range Sequence at SIGA Garment Fair, Palace Grounds, Bangalore,

  29. Slide 29: 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

  30. Slide 30: Thank You

    THANK YOU Mr. Dinesh Gogna Director Mr. Chintan Mehta Director Mr. Sandeep Jain Executive Director Ms. Jill Chandrani Associate Analyst Mr. Rishabh Oswal Executive Director Email: monte.carlo@dickensonworld.com Email: investor@montecarlocorporate.com Disclaimer: This presentation and the following d

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