Go Fashion (india) Limited · NSE:GOCOLORS
Go Fashion (india) — Q3 FY2024 Earnings Presentation
34 slides from Go Fashion (india)'s earnings presentation, Feb 6, 2024
Slide 1: Regulation 30 Investor Presentation Cover Letter
February 06, 2024 BSE Limited National Stock Exchange of India Ltd. Scrip Code: 543401 Trading Symbol: GOCOLORS Dear Sir/Madam, Sub: Investor Presentation for Q3 FY 2024 - Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. With reference to the above captioned
Slide 2: Investor Presentation February 2024
Go Fashion (India) Limited Investor Presentation February 2024
Slide 3: Safe Harbor
SAFE HARBOR This presentation has been prepared by and is the sole responsibility of Go Fashion (India) Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or
Slide 4: Q3 & 9M FY24 Highlights
GO COLORS: Q3 & 9M 24 Highlights
Slide 5: Robust Q3 FY24 Financials
ROBUST Q3 FY24 FINANCIALS Revenue from Operations Gross Profit EBITDA Profit Before Tax Profit After Tax Rs. 202.1 crores Rs. 124.3 crores Rs. 67.5 crores Rs. 32.3 crores Rs. 23.4 crores 15% 19% 13% -1% -4% Sales Mix Gross Profit Margins EBITDA Margins No. of EBO stores added + 210 bps during the qu
Slide 6: Robust 9M FY24 Financials
ROBUST 9M FY24 FINANCIALS Revenue from Operations Gross Profit EBITDA Profit Before Tax Profit After Tax Rs. 581.1 crores Rs. 355.4 crores Rs. 188.5 crores Rs. 92.9 crores Rs. 69.7 crores 15% 17% 16% 4% 3% Sales Mix Gross Profit Margins EBITDA Margins No. of EBO stores added + 100 bps during the nin
Slide 7: Robust Cash Flow & Balance Sheet
ROBUST CASH FLOW & BALANCE SHEET Cash Flow from Operations Significant Improvement in Working Capital Inventory Debtors Creditors Post IND-AS 116 Rs. Crs. In Days 152 149 125 182.0 122 126 60.4 97 9M FY23 9M FY24 41 40 37 10 17 9 Pre IND-AS 116 Dec-22 Mar-23# Dec-23 Rs. Crs. Positive OCF 104.4 gener
Slide 8: Profit & Loss Statement
PROFIT & LOSS STATEMENT Profit & Loss (in Rs. Crore) Q3 FY24 Q3 FY23* YoY 9M FY24 9M FY23* YoY Total Revenue 202.1 175.5 15% 581.1 503.7 15% Cost of Goods Sold 77.9 71.3 225.7 200.6 Gross Profit 124.3 104.2 19% 355.4 303.1 17% Gross Margin 61.5% 59.4% 61.2% 60.2% Employee Cost 32.4 25.6 95.2 74.2 Ot
Slide 9: Company Overview
GOCOLORS! Company Overview
Slide 10: We Are a Direct-to-Consumer Brand
WE ARE A DIRECT-TO-CONSUMER BRAND One-stop destination for all 50+ styles of women’s bottom wear bottom wear in 120+ colours. Among the largest Women Bottom Extensive sourcing and Wear (WBW) brands in India with manufacturing network of 125 ✓ ~8% market share in branded suppliers and 63 job-workers
Slide 11: Well Diversified Product Portfolio
Well Diversified Product Portfolio Ethnic Wear Western Wear Fusion Wear Athleisure Churidar Salwar Leggings Ponte Pants Jeggings Leggings Patiala Silk-Pants Cropped Jegging Track Pants Palazzos Track Pants Kurti-Pants Dhoti Jeans Culottes Pants Joggers Cargo Pants Treggings Harem-Pants From ₹ 599 to
Slide 12: Well Diversified Product Portfolio
Well Diversified Product Portfolio Denims Lounge Wear Go Plus Girls Wear Jeggings Pants Lounge Pants Churidars Leggings Pants Joggers Denim Culottes Lounge Knit Pants Leggings Jeggings Shorts Jeans Capris Lounge Capris Jeggings Palazzos Harem- Pants Denim Palazzos Lounge Shorts Pants Palazzos From ₹
Slide 13: Standardized Store Designs and Layouts
STANDARDIZED STORE DESIGNS AND LAYOUTS TO MAKE BRAND “GO COLORS” READILY IDENTIFIABLE EBO Stores + Airport Stores + LFS Stores 12 Go Fashion (India) Limited
Slide 14: Key Differentiators
GO COLORS: Key Differentiators | ©
Slide 15: Our Key Strengths
OUR KEY STRENGTHS Multi-Channel, Pan-India Distribution Network with a Focus on EBOs, Enhancing Brand Visibility Among the Largest Women’s Bottom- Wear Brand in India with Well- Diversified & Differentiated Product Portfolio and First Mover Advantage Extensive Procurement Base with Highly Efficient
Slide 16: Leadership Position in Women's Bottomwear
GO COLORS HAS A LEADERSHIP POSITION IN WOMEN’s BOTTOMWEAR % Branded Women’s Bottom Wear Covering the entire spectrum of women’s Market (FY20) requirements across age-groups and body-types 8% Brand SKUs Ethnic Western Athleisure Fusion Denim 9% 728 P P P P P 10% Player A 800 P P Player B 700 P
Slide 17: Extensive Distribution Network Across India
DIRECT TO CONSUMER BRAND WITH AN EXTENSIVE DISTRIBUTION NETWORK ACROSS INDIA Diversified presence across geographies EBO Stores #EBO #LFS 704 586 454 130 448 Malls & Airports (199) 382 High Streets (505) 267 311 129118 136 173 96 70 6 Top 2 Cities Next Six Remaining Cities Tier I Tier II Cities Tier
Slide 18: Continuous Increase of EBO Presence Pan India
CONTINUOUS INCREASE OF EBO PRESENCE PAN INDIA Total Cities 333 448 449 503 630 704 EBOs 75 97 101 121 143 157 Present# 74 704 157 87 14 127 -13 22 133 54 1 -6 20 115 66 42 -12* 4 -41* 133 22 333 75 -18 Focus on establishing additional EBOs across Tier 2 and Tier 3 cities Plan to expand by 120 – 130
Slide 19: Enhancing Brand Visibility and Recall Value
ENHANCING BRAND VISIBILITY AND RECALL VALUE OF ‘GO COLORS’ BRAND Prudent use of resources to undertake brand- building initiatives and gain visibility 3.04% 2.54% Rs. 51.53 of Revenue 1.82% 1.94% on every rupee of Advertisement Spent 1.26% 2020 2021 2022 2023 9M FY24 Store at high footfall location
Slide 20: Strong Unit Economics Leading to Efficient Operating Model
STRONG UNIT ECONOMICS LEADING TO AN EFFICIENT OPERATING MODEL Efficient Space Utilization offers one of the highest sales per square foot in Same Store Sales Growth (in %) the industry 36.0% Average Store Size (Sq. ft.) Average Selling Price* Present across 20.0% 300 - 500 Rs. 752 157 cities 11.4% 0
Slide 21: Extensive Procurement Base and Technology Driven Supply Chain
EXTENSIVE PROCUREMENT BASE WITH HIGHLY EFFICIENT AND TECHNOLOGY DRIVEN SUPPLY CHAIN MANAGEMENT Outsourced Manufacturing Sourcing Team ➢ Sourcing team closely monitors suppliers and provides strict quality ➢ Manage an extensive sourcing network to support product assurance analysis development teams
Slide 22: In-House Expertise in Developing and Designing Products
IN-HOUSE EXPERTISE IN DEVELOPING AND DESIGNING PRODUCTS Forecasting • Concept development and trend forecasting to develop new styles and products • Participate in fairs or exhibitions in India or abroad to better understand trends • Address evolving market trends and customers’ preferences In-House
Slide 23: Senior Management Team
SENIOR MANAGEMENT TEAM Mr. Prakash Kumar Saraogi Mr. Gautam Saraogi Mr. R Mohan Managing Director Executive Director and CEO Chief Financial Officer • Promoter of Go Fashion (India) Limited • Promoter of Go Fashion (India) Limited • Chartered Accountant by profession and has been associated with our
Slide 24: Company Strategies
COMPANY STRATEGIES 1 Continue to Expand Retail Network with a Focus on EBOs 2 Grow Sales Through Online Channel Leverage Technology to Bring Cost Efficiency and 3 Enhance Customer Experience 4 Leverage Leadership Position in Women’s Bottom-Wear 23 Go Fashion (India) Limited
Slide 25: Continue to Expand Retail Network with Focus on EBOs
1. CONTINUE TO EXPAND RETAIL NETWORK WITH A FOCUS ON EBOs Growth Strategies Grow network in existing Add additional stores in Follow the COCO Model Focus on establishing Selectively expand presence geographies i.e., deepen the north and east regions to ensure better additional EBOs across across LFS
Slide 26: Growth Through Online Channel
2. GROWTH THROUGH ONLINE CHANNEL E-retail in India has witnessed rapid growth and is expected to reach ₹ 7.8 trillion by FY25 growing at 23% CAGR (1) COVID-19 induced a Higher discounts Growth in Increased internet Increased smart Convenient through online faster pace of penetration phone usage paym
Slide 27: Leverage Leadership Position
3. LEVERAGE LEADERSHIP POSITION WBW market expected to grow at 12.4% CAGR reaching Branded women’s bottom-wear market expected to see continued high growth Rs. 243 Bn by FY25 in future (INR Cr) (INR Cr) 9.6% 24,315 +12.2% 8.3% 11,379 13,547 7.6% +12.4% 24,315 7,723 4,471 +11.9% 1,521 13,081 6,202 9,
Slide 28: Leverage Technology
4. LEVERAGE TECHNOLOGY Leverage Technology to Bring Cost Efficiency and Enhance Customer Experience Expand and upgrade warehouse to optimize inventory and supply management Strategically expand warehouse operations Invest in IT infrastructure to and implement new technologies to improve improve prod
Slide 29: Awards & Accolades
AWARDS & ACCOLADES 2016 2019 2019 2022 ‘Images Retail Award’ Transforming India Retail ‘Sustaining Enterprise of the Year’ Award at the TIECON, Chennai Most admired retailer of the year – Concept Stores 28 Go Fashion (India) Limited
Slide 30: Financials
GO COLORS: Financials y CO
Slide 31: Historical Profit & Loss Account Statement
HISTORICAL PROFIT & LOSS ACCOUNT STATEMENT Particulars (in Rs. Crore) 31-Mar-23 31-Mar-22* 31-Mar-21 31-Mar-20 Total Revenue 665.3 401.3 250.7 392.0 Cost of Materials Consumed 261.6 160.2 104.0 157.6 Gross Profit 403.6 241.1 146.7 234.5 Gross Margin 60.7% 60.1% 58.5% 59.8% Employee Cost 102.6 73.1 6
Slide 32: Historical Balance Sheet Statement
HISTORICAL BALANCE SHEET STATEMENT EQUITY AND LIABILITIES (in Rs. ASSETS (in Rs. Cr) 31-Mar-23 31-Mar-22* 31-Mar-21 31-Mar-20 31-Mar-23 31-Mar-22* 31-Mar-21 31-Mar-20 Cr) Non Current Assets Equity Property, plant and equipment 85.0 64.1 58.4 60.3 Share Capital 54.0 54.0 79.0 79.0 Capital work-in-pro
Slide 33: Demonstrated Track Record of Strong Performance
DEMONSTRATED TRACK RECORD OF STRONG PERFORMANCE Revenues Gross Profit & GP Margins Profit After Tax & PAT Margins (Rs. Crs.) (Rs. Crs.) (Rs. Crs.) 59.8% 58.5% 60.1% 60.7% 13.4% -1.4% 8.9% 12.5% 665 404 83 392 401 53 234 241 36 251 147 -4 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 FY20 FY21 FY22 FY23 Re
Slide 34: Thank You
THANK YOU Company: Go Fashion (India) Limited Investor Relations: Strategic Growth Advisors (SGA) CIN: L17291TN2010PLC077303 CIN: U74140MH2010PTC204285 Mr. R Mohan – CFO Mr. Deven Dhruva mohan@gocolors.com deven.dhruva@sgapl.net Tel: 044 4211 1777 Tel: +91 98333 73300