Slide 1: Cover letter to stock exchanges: Investors' Presentation
TRIDENT/CS/2019 January 15, 2019 The Manager The Manager Listing Department Listing Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, Plot No. C/1, G Block Phiroze Jeejeebhoy Towers Bandra Kurla Complex, Bandra (E) Dalal Street Mumbai – 400 051 Mumbai – 400 001 Scrip Co
Slide 2: Trident Limited Corporate Presentation - January 2019
Trident Limited Corporate Presentation - January 2019
Slide 3: Safe Harbour
Safe Harbour This presentation has been prepared by Trident Limited (the “Company”) for general information purposes only, without regard to any specific objectives, suitability, financial situations and needs of any particular person and does not constitute any recommendation or form part of any of
Slide 4: Overview
Overview Textiles Paper Largest Player in terms of Terry Towel Capacity & One of the largest Highest Operating Margin among players in Home Textile Space in India Key Listed Players in India Revenue Split between segments 9MFY19 50% 31% 19% FY18 48% 33% 19% FY17 49% 33% 18% FY16 46% 32% 22% Bath & B
Slide 5: Snapshot
Snapshot Key Market Statistics 15-Jan-2019 Global Presence BSE Ticker 521064 Corporate Office : Ludhiana, Punjab NSE Ticker Trident Manufacturing Facilities at: Sanghera & Dhaula, Punjab Bloomberg Code TRID:IN Budni, Madhya Pradesh Reuters TRIE.NS Marketing Offices (India): Mumbai, Gurgaon Market Pr
Slide 6: Evolution
Evolution Inception Entered Home Textile Augmented Towel Set-up Towel Unit Set-up Towel Unit-IV & First Set-up 1st Spinning with 1st Towel with Unit –II set up – III; Bed Linen Unit TEXTILES Unit Facility Manufacturing Unit Spinning with Unit- Added Spinning Added Spinning Units - Set up Spinning Un
Slide 7: Key Highlights - P&L
Key Highlights - P&L Q3FY19 Home Textile: Bed Linen sales grew by 41.7% and Bath Linen sales grew by 10.1% Year on Year in Q3 TOTAL INCOME (INR CR) PBT (INR CR) FY 19 as compared to same period last year; 1306 +19% 165 +57% Branding, Distribution and expanding team closer to market in US has helped
Slide 8: Key Highlights - B/S
Key Highlights - B/S as on Dec 31, 2018 Finance costs for 9MFY19 stood at INR 84.1 NET DEBT (INR CR) LT DEBT (INR CR) Crore, came down by 7% Y-o-Y 2197 -424Cr 1428 -260Cr Reduction in Long Term Debt of INR 260 Crore in 9MFY19; Net Debt reduced by INR 424 Crore FY18: 2621 FY18 : 1688 Cash Profit of I
Slide 9: P&L Statement (S)
P&L Statement (S) Particulars Q3 FY19 Q2 FY18 Shift Q3 FY18 Shift 9M FY19 9M FY18 Total Income 1,306.4 1,402.3 -6.8% 1098.4 18.9% 3848.8 3452.4 EBITDA 283.6 271.2 4.6% 231.6 22.5% 759.2 700.1 EBITDA % 21.7% 19.3% +240 bps 21.1% +60 bps 19.7% 20.3% Depreciation 89.2 91.7 -2.7% 101.3 -12.0% 275.3 305.
Slide 10: Dividend Payout
Dividend Payout Year Total Div% Div. Amt. Type %age (INR Per Share) Dividend Payout Ratio 52% 1st Interim 6% 35% 9MFY19 24% 2.40/- 2nd Interim 6% 29% 27% 23% 3rd Interim 12% 1st Interim 6% FY18 15% 1.50/- 2nd Interim 6% FY15 FY16 FY17 FY18 9MFY19 Final 3% 1st Interim 6% FY17 15% 1.50/- 2nd Interim 6
Slide 11: Management Comment
Management Comment Commenting on the performance, Mr. Rajinder Gupta, Chairman at Trident Group said: “We are pleased with the financial and operational performance achieved during the quarter. We remain focused on sweating manufacturing capacities and expect to further increase the utilization leve
Slide 12: Global Home Textile Industry
Global Home Textile Industry Home Textile represents nearly 1/3rd of the global textiles & apparel industry. It is expected to touch $ 131 billion dollars by 2020 at a growth of more than 3.5%. 60.8 • Bed Linen & Bed Spread is the largest application 47.1 segment of the home textiles representing 44
Slide 13: Home Textile Industry – Global Demand
Home Textile Industry – Global Demand United States Europe US Home textiles industry is amongst the largest home textiles Europe is the 2nd largest home textiles market after Asia industry in the world. It accounted for nearly 21.1 % of the Pacific representing 26.8% of the market share worth $29 gl
Slide 14: Indian Home Textile Industry
Indian Home Textile Industry Home Textile – Demand in India Home Textile – Indian Export to US India represents 3rd largest market share in Asia Pacific Market share for US imports of cotton sheets (Yearly) home textiles market in the region. 2005 - 13 2014 2015 2016 2017 YTD2018* Home textiles spen
Slide 15: Textile - Financials
Textile - Financials Sales (INR Crores) EBIT (INR Crores) 3795 3719 415 2881 3,091 300 263 249 FY 16 FY 17 FY18 9MFY19 FY 16 FY 17 FY18 9MFY19 Capacity Utilization Towel (In 000’ tons) 50 Bed Linen (In mn. meters) 70% Yarn (In 000’ tons) 60% 200 60% 97% 45 200 98% 180 50% 48% 55% Project 60% 160 40
Slide 16: Paper Business
Paper Business Recently Launched Bond Paper 72 GSM 100 GSM 75 GSM Eco-friendly 86% Brightness 92% Brightness 88% Brightness product in ultra- white shade 75 GSM 80 GSM 70 GSM 100 GSM 90% Brightness 90% Brightness 87% Brightness 94% Brightness Eco Wheat Straw High Jam Free Friendly based Paper Qualit
Slide 17: Paper - Financials
Paper - Financials Sales (INR Crores) EBIT (INR Crores) 273 269 831 872 858 723 199 160 FY 16 FY 17 FY18 9MFY19 FY 16 FY 17 FY18 9MFY19 Capacity Utilization (Tonnage Basis) Copier v/s Non-Copier 89% 89% 89% 200 88% 90% 180 88% 160 86% 140 84% 120 82% 100 80% 80 78% Copier 51% 9MFY19 49% 60 76% 175 1
Slide 18: Advantage India
Advantage India Competitive Cost of Production Textiles: A Dominant Industry Competitive Labour, Power and Raw Material Cost; Employs 45 million people across the value chain; Access to advanced technology under Textile Strong Government support to industry Upgradation Fund Favourable Government Cot
Slide 19: Why Trident
Why Trident Infrastructure Clientele De-risking Design Marketing Largest Capacity & Client Relationship Risk Strong Product Market World Class Management Design Intelligence Technology Integrated business Longstanding Sufficient portion of Focus on increasing Design studios and forex exposure is mod
Slide 20: Integrated Home Textile Manufacturer
Integrated Home Textile Manufacturer Yarn from Yarn Home Textile Bath Linen Manufacturing Processes Bed Linen Manufacturing Processes 100% Cotton Yarn, Compact Yarn, Air- TFO-Two for One Warping Sizing Warping Weaving Rich, Zero Twist, Blended Yarn, Fancy Yarn, Melange, Specialty & others Bed Linen
Slide 21: Strategy
Strategy • Leverage existing customer • Continue to focus on innovation • Further strengthen our brand and relationship to further expand our and developing value added market share in the growing retail Bed Linen business products. textile business in India. • Improve brand presence through multi b
Slide 22: Focus on Innovation and Value Added Products
Focus on Innovation and Value Added Products • Superior Cotton • Durable Compact Yarn Yarn • Quick Dry • Feather Soft Sheet • Super Soft • Enhanced Lustre & • Moisture Management Vibrant Shades • Everlasting Touch • Breathable • Bio Softness • Super Soft • Superior Softness • All Season Sheet • Mois
Slide 23: Way Forward
Way Forward We will keep focusing on increasing capacity utilization with better Product Mix, thereby benefit from operating leverage Keep increasing Yarn’s captive utilization, which will reduce price volatility risk and improve margins Focus on improving Cashflow generation and follow prudent Capi
Slide 24: CSR Initiatives
CSR Initiatives Free medical consultation, tests & Best Performer in Energy Health medicines; Free eye surgeries; Mobile Saving by Bureau of Energy dispensary for free primary health care Efficiency, Govt.of India PHD Chamber Award for Saakshar - Adult education; IL&FS Outstanding Contribution to pa
Slide 25: Awards & Accolades
Awards & Accolades Accredited with Northern Region Excellence in Certified for the coveted JC Penney ‘Egyptian Gold Seal’ ‘Export Excellence IWAY Well Operations Sustainable Textile Platinum for Yarn, Terry Towel Award’ in ‘Star Trading Developed in Quality Production (STeP), permitting Certificatio
Slide 26: Financial Performance
Financial Performance EBITDA EBITDA Margin% Revenue (INR Cr) EBIDTA (INR Cr) 20.8% 1200 20.4% 21.0% 1000 19.6% 20.5% 800 18.4% 20.0% 19.5% 600 19.0% 3779 3744 4773 4670 18.5% 695 763 992 914 400 18.0% 200 17.5% 0 17.0% FY15 FY16 FY17 FY18 FY15 FY16 FY17 FY18 PAT (INR Cr) PAT PAT Margin% Dividend Pay
Slide 27: Financial Performance
Financial Performance Net Debt D/E Ratio Net Worth ROE Net Debt (INR Cr.) Net Worth (INR Cr) 4000 1.4 1.6 17.0% 3500 1.2 1.4 13.9% 12.4% 2500 18.0% 3000 1.0 0.9 1.2 2000 8.1% 16.0% 14.0% 2500 1.0 12.0% 1500 2000 0.8 10.0% 1500 0.6 8.0% 2636 3421 2714 2621 1455 1742 1981 2133 1000 6.0% 1000 0.4 4.0%
Slide 28: Key Ratios
Key Ratios Particulars (INR crore) FY18 FY17 FY16 Return on Capital Employed* 10.3% 12.2% 8.1% Return on Equity* 12.2% 17.0% 13.9% Interest Coverage 7.7 7.0 5.7 Net Debt to Equity 0.9 1.0 1.4 Net Debt / EBITDA 2.9 2.7 4.1 *Excludes fair valuation of land as per IND – AS ; Figures are annualized Cred
Slide 29: Balance Sheet (S)
Balance Sheet (S) As on As on As on As on Particulars (INR crore) Mar 31, 2018 Mar 31, 2017 Particulars (INR crore) Mar 31, 2018 Mar 31, 2017 Source of Funds Application of Funds Equity 2908.7 2756.8 Non Current Assets 4468.4 4676.9 Property, Plant & Equipment 4019.5 4308.0 Equity Share Capital 509.
Slide 30: Thank You
For more information about us, please visit www.tridentindia.com Pawan Jain Investor Relations, Trident Ltd. Tel: +91 161 5039 999 Fax: +91 161 5039 900 Email: pawanjain@tridentindia.com, Thank You Corporate Presentation - Trident Ltd. – January 2019 29