Dollar Industries Ltd. · NSE:DOLLAR
Dollar Industries — Q1 FY25 Earnings Presentation
48 slides from Dollar Industries's earnings presentation, Aug 12, 2024
Slide 1: Exchange filing cover letter for investor presentation
Date: 12th August, 2024 The Secretary, The Secretary, National Stock Exchange of India Ltd., BSE Limited Exchange Plazza, C-1, Block ‘G’, Phiroze Jeejeebhoy Towers, Bandra-Kurla Complex, Bandra (E), Dalal Street, Mumbai – 400 051 Mumbai – 400 001 Symbol - DOLLAR Scrip Code :541403 Dear Sir /Madam, R
Slide 2: Q1 FY25 Earnings Presentation
R E | Doo LLTHEACHANG DDO'WEAR THREADMARK OF DOLLAR INDUSTRIES LIMITED Q1 FY25 Earnings Presentation
Slide 3: Safe Harbour Statement
[DDOLLAR WEAR THE CHANGE -HARBOUR STATEMENT This presentation may contain certain forward-looking statements relating to Dollar Industries Limited and its future business, development and economic performance. These statements include descriptions regarding the intent, belief or current expectations
Slide 4: The Warp and Weft of Memories and Learnings
[DDOLLAR WEAR THE CHANGE THE WARP AND WEFT OF MEMORIES AND LEARNINGS Over a glittering function attended by the city glitterati, the Biography of Shri Din Dayal Gupta, Chairman Emeritus, Dollar Industries Limited, was launched amidst much fanfare. The book was launched by Shri Acharya Devrat, Hon’bl
Slide 5: Agenda
DDOLLAR WEAR THE CHANGE ‘ ad) AGENDA . About Dollar Industries 05-11 n Q1 FY25 Highlights 12-17 n Operational Highlights 18-21 n Growth Drivers 22-31 4 n Financial Summary 39-42 Annexure 45-47
Slide 6: About Dollar Industries
DOLLAR INDUSTRIES . LIMITED N \ ODOUAR | T = (1 FY25 EARNINGS PRESENTATION | DOLLAR INDUSTRIES LMiTED (I =
Slide 7: A Leading Player in Branded Hosiery and Innerwear
DDOLLAR WEAR THE CHANGE | ) A LEADING PLAYERIN 66 BRANDED [0]9) 531"\ Fa\:t AND INNERWEAR B ELS ELALEEYwe have been able to solidify our presence as one of the leading players in the Indian hosiery space. 90 ~250 million 15% 2000+ 2100+ Garment manufacturing Market share in the Products across all I
Slide 8: Mapping Our Progress Over the Years
[DDOLLAR WEAR THE CHANGE e MAPPING OUR PROGRESS OVEREDNA{TE 2024-25 « Roped in actor Mahesh Babu as the Brand Ambassador for Dollar Bighossfor South India « Revamped our brand identity by introducing a new brand logo and architecture * Launched our new TVCs for men’s and women'’s sections 2022-23 20
Slide 9: Dollar Portfolio (1/2)
[DDOLLAR DOLLAR [{e]:qie]R[e}(1/2) (DDOLLAR 2 (DDOLLAR [DDOLLAR JUNIOR Big B | )-Class | Missy | Athleisure Champion Altghle‘ijss:re o Leg Wears, Casual Wear, i T-shirts, Bermudas, b . Brassiere, Camisoles, Trousers, Socks Vests, Briefs, Trunks, Gym Panties, Socks, Kurti f’ ay Vests, Socks, Tank Top
Slide 10: Dollar Portfolio (2/2)
[DDOLLAR DOLLAR[ILR ) (2/2) WEAR THE CHANGE A D FORCE NXT. Innerwear & Athl Brief Trunk Vest T-Shirt Henley Tank Top MuscleTee LongSieeve PoloT-Shit Jogger TrackPant Shorts T-Shirt BoxerShorts Sweat Shirt Hoodie Jacket Long Sleeve ~ Long Thermal ThermaiTee Trouser Activewear TankTop MuscleTee T-Shir
Slide 11: Brand Architecture
opouar | 7 BRAND ARCHITECTURE [:13{7/A\4V] 4 DDOLLAR N FORCE FORCENXT uuuuuuuuuuuuuuuuuuuuuu [DDOLLAR o m D DOLLAR DDOLLAR MAN [DDOLLAR DDOLLAR [DDOLLAR PROTECT ALWAYS s Q1 FY25 EARNINGS PRESENTATION | DOLLAR INDUsTRIES LviTeD [N
Slide 12: Management Commentary
[DDOLLAR WEAR THE CHANGE WY 3 COMMENTARY “We are pleased to state that during Q1 FY25, our Operating Income stood at 3,337 Mn, an increase of 1.7% year- over-year. Gross profit in Q1 FY25 grew 12.1% YoY to X 1,189 Mn, and GP margin expanded by 330 bps YoY to 35.6%, whereas Operating EBITDA grew by 3
Slide 13: Q1 FY25 Highlights
DDOLLAR D Q1 FY25 HIGHLIGHTS s Q1 FY25 EARNINGS PRESENTATION | DOLLAR INDUsTRIES LviTeD [
Slide 14: Key Highlights
(ODOLLAR WEAR THE CHANGE S KEY HIGHLIGHTS Increase in Operating EBITDA No. of DFS dealers 335 & No. of Operating Income increased by Increase in GP margin by 330 PAT margin stood at 4.6% in margin by 241 bps YoY to EBOs 17 as on Jun’24 1.7% YoY to X 3,337 Mn in Q1 bps YoY to 35.6% in Q1 FY25 Q1FY25
Slide 15: Financial Highlights (1/2)
[DDOLLAR WEAR THE CHANGE ( / ) % Million . Operating X Operating X Profit After Cash Particulars Income Gross Profit EBITDA Profit Before Tax Tax Profitt QlFY25 3,337 1,189 356 215 153 237 Growth (YOY) 1.7% 12.1% 31.3% 11.2% 5.3% 26.8% Growth (Q0Q) (33.2%) (22.3%) (37.7%) (53.5%) (53.8%) (40.3%) Mar
Slide 16: Financial Highlights (2/2)
[DDOLLAR FINANCIAL HIGHLIGHTS (2/2) WEAR THE CHANGE 071 [741] < Million ROE(%) ROCE(%) 9 Particulars 31-Mar-23 31-Mar-24 30-Jun-24 s 14.3% : 7.6% 7.8% 9.7% 10.1% Net Worth 7,088 7,838 : 8,000 . . Long Term Borrowings 1 300 E 422 : mMar'23 ®Mar24 mlun24 mMar'23 ®Mar'24 mJun'24 Short Term Borrowings 1
Slide 17: Revenue Contribution (1/2)
[DDOLLAR WEAR THE CHANGE REVENUE CONTRIBUTION (1/2) BRAND WISE TRADE CHANNEL WISE 42% | 41% Q1FY25 Q%f Dollar Dollar Dollar Dollar Dollar Dollar Force Always Man Woman Junior Thermals Protect NXT* m Domestic ®Modern Trade # ®E-commerce = Export *Force Gowear and Pepe are part of Force NXT #Modern Tr
Slide 18: Revenue Contribution (2/2)
[DDOLLAR WEAR THE CHANGE REVENUE CONTRIBUTION (2/2) REGION WISE GENDER WISE CATEGORY WISE AccesSories m North M South M East B West H Men HEWomen MKids M Outerwear M Innerwear Accessories s (1 FY25 EARNINGS PRESENTATION | DOLLAR INDUSTRIES LIMITED
Slide 19: Operational Highlights
Q1 FY25 OPERATIONAL HIGHLIGHTS s Q1 FY25 EARNINGS PRESENTATION | DOLLAR INDUSTRIES UMITED [N
Slide 20: Edging Past Competition with Integrated Value Chain
I— ovouar.|D EDGING PAST COMPETITION WITH INTEGRATED VALUE CHAIN 2.5 Million 400 tonnes 400 tonnes Metres per month Captive elastic Average monthly output of Monthly installed capacity production capacity Ne 20s to 40s single yarn of bleaching and dyeing 0.3 Million 300 tonnes Manufacturing pieces p
Slide 21: Widening Footprint to Cater to Larger Population
DDOLLAR WEAR THE CHANGE | )L WIDENING FOOTPRINT Y TO CATER TO LARGER ) POPULATION Sales Team Dealer network Retail reach 1500+ 1,45,000+ Branches 14 Multi-platform E-retail presence Flipkart g f\\ Mynea & snapdeal AJIO @MAZON e Lot .- “‘v"laqimw Mocerivtiade YASHON FACTORY m- D: Mart— IR o rrenos s
Slide 22: Penetrating Countries Across the World
r_ PENETRATING [e{010]\'h {3 ACROSS THE WORLD ‘Export revenue in Q1 FY 25 15 Countries | 128 Million L 1 X N, S Dy e eX ‘Export revenue in FY 26 30 Countries | 11.0% Where we export 1. Afghanistan 5. Kuwai 9. Nig 13. Somall 2. Bahrain 6. Mozambique 10. Om. 14. Tanzania 3. Georgia 7. Myanmar 11. Qata
Slide 23: Growth Drivers
Q1 FY25 GROWTH DRIVERS WEAR THE CHANGE A = (1 FY25 EARNINGS PRESENTATION | DOLLAR INDUSTRIES LMiTED (I
Slide 24: Growth Drivers: Strategic Priorities
[DDOLLAR WEAR THE CHANGE GROWTH DRIVERS ) Strategic priorities ~ 1 Leveraging new brand overhaul Investingin digitisation &~oo Growth through Project Lakshya [ @ S0 Growth Partnering Diversifying portfolio K through EBOs for growth in adjacent segments s Q1 FY25 EARNINGS PRESENTATION | DOLLAR INDUsT
Slide 25: Changing the Brand Architecture
[DDOLLAR WEAR THE CHANGE CHANGING THE BRAND ARCHITECTURE To change the perception that Dollar is just a men’s 9.2%o, 11.0%0, Share of women'’s Share of women’s . [DDOLLAR MAN DDOLLAR JUNIOR What are we doing? * 6 categories created — MAN, WOMAN, JUNIOR, ALWAYS, THERMALS, PROTECT + Akshay Kumar as ou
Slide 26: Integrating Digitalization to Increase Efficiencies
\ y (DDOLLAR WEAR THE CHANGE INTEGRATING DIGITALIZATION gJe) INCREASE EFFICIENCIES Why? What are we doing? Outcomes * Transparent engagements with To integrate digitalization * Integrating Auto Replenishment System (ARS) and retailers in our daily operations to Distributor Management Systems (DMS) f
Slide 27: Project Lakshya Updates (1/2)
DDOLLAR WEAR THE CHANGE | ) o) o gVNCSEN7\UPDATES (1/2) 301 Distributors 11 Distributors 31.1% Contribution % of Lakshya as on Jun’24 added in Distributors QlFY25 in Q1 FY25 What are we doing? ¢ Mapping retail network in area allocated to distributor ¢ Enrolling retailers into Project Lakshya Execut
Slide 28: Project Lakshya Updates (2/2)
[DDOLLAR WEAR THE CHANGE A PROJECT LAKSHY UPDATES (2/2) VALUE CONTRIBUTION VOLUME CONTRIBUTION o — = | o (=] ~ o ~ @ FY23 FY24 Q1 Fy25 FY23 FY24 Q1FY25 LAKSHYA RETAILERS LAKSHYA DB ;””””””””} 13 i 12 : o < — i ) i = o H - ! S & | NS ' [=) =} | ] ~N wn 1 wn 1 (= =3 - o = H - : & ] 3 DOLLAR RETAILER B
Slide 29: Pursuing Growth Through EBOs
[DDOLLAR | U“38it WEAR THE CHANGE | PURSUING GROWTH 125 TH RO U G H ‘ Targeted BOs by 2026 We successfully forayed into the exclusive brand outlet (EBO) segment Launched 17 EBOs, four each in Delhi & Punjab, two each in Madhya Pradesh & Maharashtra, one each in Rajasthan, Gujarat, Uttar Pradesh, Har
Slide 30: Strategic Partnership for Sustainable Growth
[DDOLLAR WEAR THE CHANGE STRATEGIC PARTNERSHIP FOR SUSTAINABLE GROWTH Joint Venture with G.0.A.T * We entered a 51-49 JV with G.0.A.T Brands Lab Pte for Pepe Jeans Inner fashion Pvt. Ltd. * G.O.A.T Brands Lab Pte acquired 50% stake of Pepe and additional 2% non-voting equity * Multi-brand distributo
Slide 31: Expanding Product Portfolio in Adjacent Segments
[DDOLLAR WEAR THE CHANGE D133 4]\ (¢ PRODUCT PORTFOLIO IN ADJACENT SEGMENT ‘Dollar Protect’, the ultimate rainwear line that combines elegance with unbeatable protection! A wide range of raincoats for men, women and kids, made from premium fabric with additional leak-proof stitching of comprehensive
Slide 32: Resulting in Transformational Changes
[DDOLLAR WEAR THE CHANGE. | gU RESULTING]L TRANSFORMATIONAL CHANGES '5) PERCEIVED AS A BRAND FOR ALL 9 * High Margin Product contribution to increase @ * Rs. 20,000 Mn revenue EO::“Y:Z% in FY24 tc 33% by FY26 Y g * Active retailers per “ distributors 150-200 * Replenishment-based by FY26 « Revenue s
Slide 33: ESG at Dollar Industries
ESGE DOLLAR INDUSTRIES
Slide 34: Contributing Towards a Greener Future
[DDOLLAR WEAR THE CHANGE CONTRIBUTING TOWARDS A GREENER FUTURE [ANVIRONMENT SOLAR POWER WIND POWER ZERO LIQUID DISCHARGE 100 LAKH ' 70 LAKH 13.5 UNITS/YEAR UNITS TONNES Power generation capacity of Total power generated Daily production capacity of the solar power plant annually our effluent treatme
Slide 35: Empowering Our Biggest Asset
EMPOWERING OUR BIGGEST ASSET 7 7 EMPLOYEE SKILL WOMEN DIVERSITY AND ENGAGEMENT DEVELOPMENT EMPOWERMENT INCLUSION Engaging with our employees Conducting regular Working towards reducing Implementing ona daily basis toaddress on-the-job and off-the-job the gender gap and creating anti-harassment and t
Slide 36: Being a Responsible Corporate
[DDOLLAR WEAR THE CHANGE. BEING A [({={e\'N]|:]1R3 CORPORATE Donated “Rs 147 lakhs to Donated ~Rs 25 lakhs to Installed water huts and Donated sanitary napkins schools in UP, Rajasthan, cutting edge Cancer Care kiosks across the states of to the underprivileged Chhattisgarh and Odisha, Centre in Tir
Slide 37: Practices That Drive Governance
[DDOLLAR WEAR THE CHANGE A LAV (1S THAT DRIVE [EOVERNANCE All members of the Independent ooo R : | o Diverse and : Nomination & > ) experienced Directors SN Remuneration “‘ Boa‘r’d of Directors Accatntion Committee are f I DU \ / Independent Directors Sl X We have two 75% members of the Woman &fi >3
Slide 38: Led by Experienced Directors
DDOLLA BY EXPERIENCED DIRECTORS 1) b Mr. Vinod Kumar Gupta Managing Director Mr. Binay Kumar Gupta Managing Director Mr. Krishan Kumar Gupta Whole-time Director Mr. Bajrang Kumar Gupta Whole-time Director Mr. Gopal Krishnan Sarankapani Whole-time Director Mr. Rajesh Kumar Bubna Ms. Vibha Agarwal Mr.
Slide 39: Supported by an Experienced Team
LLAR | Ve 4535 BY AN EXPERIENCED TEAM > Mr. Ankit Gupta Mr. Gaurav Gupta Mr. Aayush Gupta Mr. Ajay Kumar Patodia Mr. Sanjay Srivastava President, Marketing Vice-president, Strategy Vice-president, Sales Chief Financial Officer General Manager — Sales R . Mr. Shantanu Banerjee . Aditi Mr. Abhishek Mi
Slide 40: Financial Summary
DDOUAR | 1) Q1 FY25 FINANCIAL SUMMARY
Slide 41: Profit & Loss
[DDOLLAR WEAR THE CHANGE ‘ LYY PROFIT & LOSS X Million Operating Income 3,337 3,282 1.7% 5,000 (33.2%) 15,723 13,938 12.8% Gross Profit 1,189 1,061 12.1% 1,530 (22.3%) 5,059 4,128 22.6% Gross Profit (%) 35.6% 32.3% 330 bps 30.6% 501 bps 322% 29.6% 256 bps Operating EBITDA 356 71 31.3% 572 (37.7%) 1,
Slide 42: Focus on Sustainable Value Creation
[DDOLLAR WEAR THE CHANGE ‘ FOCUS ON 5175044, (0] B0131 VALUE CREATION DIVIDEND PAYOL:12'°/ 32% NET DEBT AND NET DEBT/OPERATING EBITDA o 1.92 X Million X Million FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY23 FY24 mmm Dividend including Dividend Tax ——Dividend Payout% mmm Net Debt ——Net Debt/
Slide 43: Shareholding and Stock Summary
[DDOLLAR WEAR THE CHANGE N lA{d (o] Hp] 1\ [cf SUMMARY 0.8% 72.2% Mutual Funds, Promoter & As on June 2024 AlFs and Others Promoter Group Financial Institutions NSE Ticker DOLLAR BSE Ticker DOLLAR 2.0% Foreign Portfolio Market Cap (INR Cr) 3,070.33 Institutions % Free-float 27.79% Free-float market
Slide 44: Why Dollar?
DDOLLAR WEAR THE CHANGE. | )== WHY DOLLAR ? Wide reach Integrated operations Channel expansion & Omni Integrated value chain Channel strategy o Multi-brand portfolio W Favourable financial covering wider user base positioning Increasing share of Continuously strengthening non-male users financials s
Slide 45: Thank You
[DDOLLAR WEAR THE CHANGE THANK YOU (DDOLLAR WEAR THE CHANGE 50 w Uirtus Advisors Chief Financial Officer Investor Relations Advisor Ajay Kumar Patodia Sanjeev Sancheti B4 cfo@dollarglobal.in B4 ir@uirtus.in www.dollarglobal.in WWW.uirtus.in s (1 FY25 EARNINGS PRESENTATION | DOLLAR INDUsTRIES umiTeD
Slide 46: Annexure
[DDOLLAR WEAR THE CHANGE ANNEXURE s ()1 FY25 EARNINGS PRESENTATION | DOLLAR INDUsTRIES UmiTeD [N
Slide 47: Vision, Mission and Values
[DDOLLAR WEAR THE CHANGE. g VISION, MISSIO AND VALUES Our Vision Our Mission Core Values Dollar in everyone’s lives. ¢ To emerge as India’s leading and most-loved Insights and constant innovation are a way for Dollar. innerwear brand We also add value to the Dollar experience so as to Medium-term vi
Slide 48: Track Record
[DDOLLAR WEAR THE CHANGE Aol |1\ (63 TRACK RECORD OPERATING INCOME (X Mn) GROSS MARGIN (X Mn & % MARGIN) OPERATING EBITDA (X Mn & % MARGIN) ., 367% . 32.2% 356% 16.4% 34.4% 34.2% 29.6% Do 0< FY20 FY21 FY22 FY23 FY24 Q1FY25 FY 20 Fy 21 FY 22 FY 23 FY24 Q1FY25 Fy 21 FY 22 FY23 FY 24 PAT (X Mn & % MARG