Banswara Syntex Ltd · NSE:BANSWRAS

Banswara Syntex — H1 FY17 Earnings Presentation

38 slides from Banswara Syntex's earnings presentation, October 2016

  1. Slide 1: Investor Presentation – October 2016

    BANSWARA SYNTEX LIMITED Investor Presentation – October 2016

  2. Slide 2: Safe Harbour

    Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Banswara Syntex 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 secu

  3. Slide 3: H1 FY17 Result Highlights

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  4. Slide 4: H1 FY17 Performance

    H1 FY17 Performance EBITDA Rs crs 86 161 Rs Crs FY16 H1 FY16 H2 FY16 H1 FY17 53% 75 70 47% Revenue 1264.7 615.7 649.0 621.5 H1FY16 H2FY16 FY16 H1FY17 EBITDA 160.4 74.8 85.6 69.6 EBITDA Margin 12.7% 12.1% 13.2% 11.2% PAT Rs crs 20 27 PAT 27.2 7.1 20.1 10.5 PAT Margin 2.2% 1.2% 3.1% 1.7% 74% 11 7 26%

  5. Slide 5: Improving Balance Sheet

    Improving Balance Sheet Net Debt Rs. crs Net Debt:Equity -47 -76 664 -32 3.1 617 2.8 541 509 2.2 1.9 Mar-14 Mar-15 Mar-16 Sep-16 Mar-14 Mar-15 Mar-16 Sep-16 ROE ROCE 12.4 11.7 14.2 14.0 13.8 10.9 11.1 3.6 Mar-14 Mar-15 Mar-16 Sep-16 * Mar-14 Mar-15 Mar-16 Sep-16* Net Debt includes Current Maturity o

  6. Slide 6: H1 FY17 Results Highlights

    H1 FY17 Results Highlights  Operating Income at Rs. 622 crores against Rs. 616 crores in H1 FY16  EBITDA dropped by 7 % to Rs. 69.6 crores  Delay in Passover of increase in Viscose and Wool prices  Higher employee costs at Rs. 106.7 crores against Rs. 95.1 crores in H1 FY16 due to regular salary

  7. Slide 7: Positive shift in Revenue Mix

    Positive shift in Revenue Mix 17.2% 15.7% 15.1% 18.7% 38.0% 40.4% 38.4% 38.2% 41.6% 40.9% 43.6% 40.4% 3.2% 3.0% 2.9% 2.7% FY15 FY16 H1FY16 H1FY17 Garments Fabric Yarn Others 7

  8. Slide 8: Standalone P&L Highlights

    Standalone P&L Highlights Rs Crs Q2 FY17 Q2 FY16 Y-o-Y H1 FY17 H1 FY16 Y-o-Y Total Operating Income 324.2 324.2 621.5 615.7 Raw materials 160.3 157.5 297.8 297.7 Employee Exp 56.1 50.1 106.7 95.1 Other Expenses 76.9 76.6 147.4 148.2 EBIDTA 30.9 39.9 -22.55% 69.6 74.8 -6.88% Margin % 9.5% 12.3% 11.20

  9. Slide 9: About Banswara Syntex Ltd

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  10. Slide 10: Business Snapshot

    Business Snapshot Vertically Integrated Textile Revenue Growth Solutions Company 10% CAGR over last 5 years Reputed Production Domestic and Facilities at International Exports to more Daman, Clients than 60 countries Surat & Banswara In-House R&D J.V. with “Treves SA” of France for Design Studio Aut

  11. Slide 11: Vertically Integrated Textile Solutions Company

    Vertically Integrated Textile Solutions Company Yarn  Produces blends of viscose staple fibre, polyester Yarn staple fibre, acrylic staple fibre, lycra, cotton, linen and wool Retail Brand  Production Capacity – 35,460 tons pa o 33,300 tons - polyester blended dyed yarns o 2,160 tons - wool mix ya

  12. Slide 12: Evolution – Complete Textile Vertical

    Evolution – Complete Textile Vertical • Incorporated • Started • Started first unit • 2nd unit of 15 MW • Bought the as a Joint production of of 18 MW thermal power complete Sector Co. with Readymad captive thermal plant stake in RIICO Ltd. e Garments power plant • Started wool & Carreman JV • Start

  13. Slide 13: Leadership Team

    Leadership Team 2 4 1 3 1 Mr. R L Toshniwal – Chairman 2 Mr Rakesh Mehra – Vice Chairman  Masters degree in Textiles from Leeds University, UK  Chartered Accountant from ICAI  52 years experience in Textile Industry  29 years experience in Textile Industry  On the board of four other companies

  14. Slide 14: Board of Directors

    Board of Directors Mr. R. L Toshniwal Mr. Rakesh Mehra Chairman Vice-Chairman Mr. Ravindra Kumar Toshniwal Mr. Shaleen Toshniwal Managing Director Joint Managing Director Mr. D P Garg Mr. Kamal Kishore Kacholia Dr. S B Agarwal Independent Director Independent Director Independent Director Mr. Vijay

  15. Slide 15: Business Overview

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  16. Slide 16: Business Model (Process)

    Business Model (Process) Spinning Weaving & Processing Garmenting Polyviscose, Worsted Fabric, Garments / Made-Ups Cotton Fabric & Technical (Trousers, Jackets & Fabric Waist Coats) Polyviscose & Processing & Worsted Finishing into Spinning Fabric Spun Yarn for Fabric for Internal Use Internal Use E

  17. Slide 17: Yarn

    Yarn  One of the largest single-mill setups producing spun fibre-dyed yarns in Asia  Specialties include :  P/V Dyed Yarn - Rigid and Lycra, 100% Acrylic Yarn, Worsted Yarn with blends like P/W and P/W/Lycra  Specialty Yarn - Grindle and Slub in Dyed form  90% of production consists of fibre-dy

  18. Slide 18: Fabric

    Fabric  Hi-Quality Hi-Performance Textile wear finished fabric Poly Viscose Worsted Fabric for both Domestic and Exports Fabric  Leadership in Poly Viscose and Poly Viscose Lycra for Suiting  Presence Across: Worsted, Wool Specialties, Viscose, Poly Viscose, Poly Viscose Lycra, Cotton Suiting and

  19. Slide 19: Readymade Garments

    Readymade Garments  Specialties:  Formal Trousers – Water Repellent and Stain Release  Suits – In depth know-how in Lined and Unlined 3-Piece Suiting  Casuals - Enzyme Washed/Bleached Casual Bottoms & Jackets  Garmenting units – Daman and Surat SEZ  Installed capacity for 3.45 lakh Trousers &

  20. Slide 20: Domestic Clientele

    Domestic Clientele E-Commerce Clients: 20

  21. Slide 21: International Clientele

    International Clientele Increasing presence in Garmenting Space 21

  22. Slide 22: Global Presence

    Global Presence USA & Geographical Export Canada France & Russia break up FY16 UK Gulf Greece UAE Others 10% Mexico India 24% Europe America 35% 30% Gulf Europe America Others Exports to more than 60 countries 22

  23. Slide 23: Manufacturing Capability

     Manufacturing Capability 23

  24. Slide 24: Manufacturing Facilities

    Manufacturing Facilities Surat SEZ Unit Thermal Power Plant Daman Facility Banswara Facility Invested over Rs. 14 crores towards expansion and modernization of Surat SEZ over 5 years 24

  25. Slide 25: Manufacturing Capabilities

    Manufacturing Capabilities Spinning Unit Weaving Unit Dyeing Unit Garmenting Unit Invested over Rs. 426 crores towards expansion and modernisation between FY10 -15 • Garmenting Rs.38 Crs • Spinning Rs.209 Crs • Power Unit Rs.47Crs • Fabric Rs.132 Crs 25

  26. Slide 26: Spinning and Yarn

    Spinning and Yarn Synthetic Blended Yarn Spinning Worsted Yarn (Spindles) 130,552 130,552 130,552 130,552 21,120 21,120 21,120 21,120 14,400 129,016 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY14 FY15 FY16 Fiber & Wool Dyeing (MT/month) Yarn Dyeing 1,050 1,050 150 150 150 150 150 840 840 840 FY12 FY13 FY14

  27. Slide 27: Fabric Weaving and Processing

    Fabric Weaving and Processing Capacity in Lac Mtrs/Year Revenue in Rs Crores Fabric Weaving Fabric Weaving +6% CAGR 360 360 336 312 532 513 288 488 470 403 FY11 FY12 FY13 FY14 FY15 FY12 FY13 FY14 FY15 FY16 Fabric Processing Capacity of 600 Lac Mtrs/Year 27

  28. Slide 28: Garmenting

    Garmenting Capacity in ‘000 pcs/month Trousers & Suitings Garmenting Sales (Rs Crores) 345 345 345 345 285 +15% CAGR 212 200 189 136 FY12 FY13 FY14 FY15 FY16 114 Jackets 37.5 37.5 30.0 30.0 22.5 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY14 FY15 FY16 28

  29. Slide 29: In-House Research & Development

    In-House Research & Development  World class fabric testing laboratory as per ISO, AATCC, ASTM, LS & Co., M & S etc. testing protocol  Achieved accreditation of Levis & Co., Marks & Spencer and undergoing ISO 17025 NABL accreditation  Computer software for developing new designs for manufacturing

  30. Slide 30: Awards and Achievements

    Awards and Achievements  First laboratory in the country to be approved by Marks & Spencer, UK and Levis Strauss & co., USA  Golden trophy for BEST EXPORTER of "Synthetic and Rayon Spun Fabric Silver Trophy for SECOND BEST Exporter  Accredited partner for Semi-Luxury bag brand “Coach” for three y

  31. Slide 31: Business Strategy

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  32. Slide 32: Business Initiatives…

    Business Initiatives… Major Capex Completed Production of worsted fabric below Established Own Design Studio optimum and Marketing Network in Europe levels Time taken Discontinued Consolidating Product Portfolio to increase logo business in Fabrics share of for Coach Suites and impacting Jackets Las

  33. Slide 33: …creating Future Drivers

    …creating Future Drivers Increasing market Hired designers from Penetrating retail presence for Europe and USA branded segment Worsted fabric increasing store count Increasing utilization of New In- House fabric and design studio in stabilizing Paris garmenting unit Going Incremental growth from For

  34. Slide 34: Detailed Financial Performance

     Detailed Financial Performance 34

  35. Slide 35: Standalone Operating Performance

    Standalone Operating Performance FY16 Revenue highlights Revenue Rs crs  Lower realisation on account of pass +8% CAGR on of correction in raw material prices 1,226 1,265  Entry into Japenes market –Strong 1,212 1,096 future potential 924  Leveraging manufacturing capacity in Jacquard Fabric for

  36. Slide 36: Standalone Revenue Performance

    Standalone Revenue Performance Segment Gross Revenue Rs crs Geographic Gross Revenue Rs crs 1,271 1,271 1,231 1,236 1,231 1,236 1,130 1,130 967 473 520 967 514 470 51% 54% 47% 57% 417 45% 532 470 513 488 403 53% 49% 46% 55% 43% 189 212 200 114 136 33 36 37 40 38 FY12 FY13 FY14 FY15 FY16 FY12 FY13 FY

  37. Slide 37: Standalone Balance Sheet

    Standalone Balance Sheet Rs. Cr. Sep16 Mar16 Rs. Cr. Sep16 Mar16 Shareholders Funds 261.4 249.2 Non-Current Assets 502.2 514.9 Share Capital 16.9 16.9 Fixed Assets 487.2 481.2 Reserve & Surplus 244.5 232.3 Non current investment 3.7 18.6 Total Non-current Liabilities 261.6 272.6 Long term loans & Ad

  38. Slide 38: For further information, please contact:

    For further information, please contact: Company : Investor Relations Advisors : Banswara Syntex Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L24302RJ1976PLC001684 CIN: U74140MH2010PTC204285 Mr. J.K.Jain - CFO Ms. Ruchi Rudra / Ms. Samantha Francis jkjain@banswarasyntex.com ruchi.rudra@sgapl.net /

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