Brand Concepts Ltd. · NSE:BCONCEPTS
Brand Concepts — Q4 FY2022 Earnings Presentation
47 slides from Brand Concepts's earnings presentation, May 26, 2022
Slide 1: Cover letter to stock exchanges
BRAND CONCEPTS LIMITED CIN – L51909MH2007PLC174702 140/2/2 Ring Road Squire Musakhedi, INDORE 452 001 (M.P) INDIA Phone: 91-731-422300, Fax- 4221222/444 Email: info@brandconcepts.in Date: 26/05/2022 To, To, National Stock Exchange of India Limited BSE Limited Listing & Compliance Department Listing
Slide 2: Q4 & FY2021-22 Investor Presentation
Q 4 & F Y 2 0 21 - 2 2 I N V E S T O R P R E S E N TAT I O N Refer to disclaimer at end
Slide 3: Luggage, Handbags, Wallets, Backpacks, Small Leather Goods
L U G G AG E | H A N D B AG S | WA L L E T S | B AC K PAC K S | S M A L L L E AT H E R G O O D S 2
Slide 4: Om MY» HLFicee
Om MY» HLFicee Traver dill
Slide 5: Core Topics
CORE TOPICS 1. Quarter Performance 2. Way Forward 3. About Us 4. Our Business - Key Performance Highlights - Company background - Tommy Hilfiger - Concept to Design - Financial Summary - Vision & Mission - Sugarush, The Vertical - Business Model - Channel wise Contribution - History & Milestones - N
Slide 6: Message from the CEO
MESSAGE FROM THE CEO “ WE ARE LOOKING TO REPLICATE THE SUCCESS IN OUR TOMMY HILFIGER BRAND ” WITH OTHER BRANDS AS WELL We don’t just distribute products of our brand licensees. We are involved end to end from conceptualizing to designing to manufacturing to quality control to sales and distribution.
Slide 7: Q4 & FY22 Performance Highlights
Q4 & FY22 Performance Highlights 6
Slide 8: Key Performance Highlights
KEY PERFORMANCE HIGHLIGHTS FY2022 performance shows positive & strong growth on Revenue, EBITDA and PAT Wallets at 39%, Belts (20%) and Luggage (27%) were top category contributors during the year Efficient Cash Flow management has led to lower Finance Cost during the year Working Capital has reduce
Slide 9: Financial Summary
FINANCIAL SUMMARY Particulars (Rs mn) Q4FY22 Q3FY22 Q4FY21 YoY(%) FY2022 FY2021 YoY% Net Sales 265.4 267.2 191.5 38.59 861.7 427.9 101.4 Material consumed 135.79 139.9 95.91 41.6 463.24 238.94 93.9 Employee Exp. 34.9 28.4 24.0 45.5 108.4 76.4 41.9 Other Exp. 62.2 62.2 35.0 77.5 212.6 129.8 63.8 Tota
Slide 10: Revenue Breakup
REVENUE BREAKUP Channel Contribution Category Contribution FY22 1% FY22 2% 8.7% 0.3% 5% 5.1% 39% 5% 7.8% 5% 52.0% 6% 16.1% 17% 9.9% 20% Online DND LFRS Wallet Belt Hard Luggage EBO Brand EBO Govt. Business Handbag Soft Luggage Backpak Others Business Case Duffel Gift Set 9
Slide 11: Way Forward
Way Forward 10
Slide 12: Way Forward
WAY FORWARD Tommy Sugarush, New International Manufacturing Bagline Hilfiger The Vertical Brands Expand our presence in Grow our offerings and The company is eyeing 2-3 The company is evaluating Build and grow own Tommy Hilfiger by scaling presence through MBOs, new international brands for organic
Slide 13: Geographical Footprint
GEOGRAPHICAL FOOTPRINT There are a lot of International Brands that could add to the catalogue over time Current focus area Immediate Priority Areas Priority in Phase B 12
Slide 14: About Us
About Us 13
Slide 15: About Us
ABOUT US • Incorporated in the year 2007, Brand Concepts is an Indore based company which specialises in the EXCLUSIVE brand licensee for manufacturing of bags, backpacks & fashion accessories for the Indian & International markets. Tommy Hilfiger in luggage, • The Company had its IPO in Jan 2018 an
Slide 16: History & Milestones
HISTORY & MILESTONES 2010 THE NEW ERA OF BRAND CONCEPTS Year of inception In the year 2007, Brand Concepts Pvt Ltd was incorporated by the the “Dhoot” 2007 family The initial brands Started with rocky S, Spykar and school 2010 bags as a category with the Cartoon Network brand 15
Slide 17: History & Milestones: Tommy Hilfiger, Bagline, Sugarush
TOMMY HILFIGER Acquired License of Tommy Hilfiger in 2009-2010 Travel Gear Category -Opened First Tommy Hilfiger Travel Gear Store (Express Avenue Chennai BAGLINE STORE – 1st Opened First Bagline Store in Ludhiana – Became Category Leaders in SLG 2012-2013 Segment in Shoppers Stop & Lifestyle Stores
Slide 18: History & Milestones: And & GD, IPO, 30 EBOs
AND & GD; PE Investment Acquired License of And & GD in Woman 2016-2017 Handbag Category PE infusion of Rs 5 cr from an investor group at Rs 80 cr enterprise valuation 19 EBOs; Myntra Award 19 Exclusive Brand Outlets (EBO) across India, Received Award For Category best 2017-2018 in Tommy Hilfiger Tr
Slide 19: Manufacturing & Warehouse
MANUFACTURING & WAREHOUSE 18
Slide 20: Our Business
Our Business 19
Slide 21: Design Process
DESIGN PROCESS EMPATHISE DEFINE IDEATE PROTOTYPE TEST IMPLEMENT Conduct research to develop Combine all our research Brainstorm and generate a Build a real tactile Return to our users for Put the vision into effect an understanding of our and observe where our user range of crazy and creative repres
Slide 22: Business Model
BUSINESS MODEL LICENSED BRANDS Partner with top international and domestic 01 PRODUCT DESIGN The product team analyses the brand, 02 brands as an exclusive licensee in key competitive landscape & prepares a product product categories. brief for the design team The design team prepares the design whi
Slide 23: Our Approach
OUR APPROACH Brand Concepts is built on the thinking of our Founders. They believe that brand and lifestyle licensing is mutually beneficial to both the licensor and the licensee. While the brand owner/licensor benefits from generating a new revenue stream, increasing their brand awareness, and expa
Slide 24: Key Categories
KEY CATEGORIES BACKPACKS 01 02 LUGGAGE We design and manufacture trendy and sturdy Based on individual taste and preference, we backpacks. We make laptop bags, duffle & gym bags, meticulously design our travel gear. We create luggage rucksacks and school backpacks. both hard & soft, that is loaded w
Slide 25: Sales Channels
SALES CHANNELS EBOs Company owned Franchisee BAGLINE MBOs / Retail Online outlets Brand Concepts currently has The company currently has www.baglineindia.com is the The company sells its The company sells through 8 Company Operated 22 Franchisee Owned E-Commerce venture of BCL, products to several s
Slide 26: Bagline & Baglineindia.com
BAGLINE & Baglineindia.com Specialty stores are the latest in-thing in e-commerce. While the earlier websites followed the 'all-things-under-one-roof' strategy www.baglineindia.com is the E-Commerce venture of Brand Concepts Ltd.(BCL), which is a fashion Background accessory retail company. The ph
Slide 27: Our Brands
Our Brands 26
Slide 28: Tommy Hilfiger
Tommy Hilfiger is one of the most successful fashion brands in the world With presence in over 90 countries | One of the most popular foreign brands in India. One of Background the earliest international lifestyle brands to enter India in 2003 through Murjani Group. Licensed Products A range of
Slide 29: Sugarush
Trend maker, Experimental, Quirky, Sugarush believes in breaking the conventional parameters of fashion & giving something new & fresh, that will help one set apart Background In-house brand of BCL started in 2014 Women handbags. Products Small Non Leather Goods that includes belts and wallets
Slide 30: The Vertical
“The Vertical” is the brand for comrades who are on a quest for an adventure and love of outdoor living. In-house brand of BCL started in 2014 with Sugarush to cater to outdoor bag pack Background segment. Co-launched recently in partnership with Roadies. Belts & Wallets (Rs.700- 1400), Bag pa
Slide 31: Our Team
Our Team 30
Slide 32: Leadership Team
LEADERSHIP TEAM PRATEEK MAHESHWARI ABHINAV KUMAR MANAGING DIRECTOR WTD & CEO Aged 39, he has completed his MBA from S.P. Jain Institute, Mumbai. He possesses vast Aged 40 years, he is the Whole-time Director of the Company. Abhinav co-founded Brand Concepts. He is a experience in the field of Brand
Slide 33: Organisation Structure
ORGANISATION STRUCTURE Director & CEO Abhinav Kumar President – S&O Head - Design & Head – Sourcing & Information Nabendu Development Quality Technology (I.T.) Chakraborty Manish Priyadarshi Riki Mudoi Rajnish Doda Company Secretary Head Human & Compliance Head - Finance Resources Swati Gupta Kalyan
Slide 34: Our Team (1/3)
OUR TEAM (1/3) NABENDU SUMIT PANKAJ MANISH CHAKRABORTY JAIN RATHORE PRIYADARSHI President – Sales & Operations Ecommerce & BNM Retail Trade & Corporate Design and Development Business More than 20 years experience in retail. Articulate and sharp business acumen, A management professional with all Ke
Slide 35: Our Team (2/3)
OUR TEAM (2/3) VIKRAM RIKI CHETANYA ANKITAA PANCHAL MUDOI MALTARE SHARMA CSD & CPC Business Sourcing & Quality EBO, Projects & Human Resource Operations Excellent skills in Quality control Very Hands on with all our Excellent in execution of new Rich experience of 12 years in HRD, and management. Al
Slide 36: Our Team (3/3)
OUR TEAM (3/3) SWATI GUPTA KALYAN MAHESHWARI GIRISH MANDWAL RAJNISH DODA Company Secretary & Accounts & Finance Supply Chain Sr. Manager – I.T. Compliance Manages Legal and Company Having rich experience of 26 years with Having extensive exposure of 15 years Having experience of 11+ years into Compl
Slide 37: Annual Performance Highlights
Annual Performance Highlights 36
Slide 38: Point of Sales Growth
POINT OF SALES GROWTH 800 30 700 25 600 267 276 71 136 160 20 16 500 17 122 10 17 14 400 319 15 226 262 215 234 300 241 8 10 200 13 12 256 5 11 10 100 213 230 218 234 8 9 184 0 0 FY17 FY18 FY19 FY20 FY21 FY22 FY17 FY18 FY19 FY20 FY21 FY22 LFS DND CFS COCO FOFO 37
Slide 39: Channel Contribution
CHANNEL CONTRIBUTION FY22 8.7% 0.3% 5.1% 7.8% 52.0% 16.1% 9.9% Online DND LFRS EBO Brand EBO Govt. Business Others 38
Slide 40: Financial Snapshot (1/2)
FINANCIAL SNAPSHOT (1/2) Sales (Rs cr) EBITDA (Rs cr) 100.0 100.0 90.0 86.2 77.5 80.0 80.0 70.0 60.0 60.0 40.0 50.0 42.9 40.0 20.0 30.0 0.0 20.0 10.0 (20.0) -17.2 0.0 (40.0) FY21 FY22 FY21 FY22 EBIT (Rs cr) PAT (Rs cr) 60.0 2.0 35.5 0.8 40.0 0.0 20.0 0.0 (2.0) (20.0) (4.0) (40.0) (60.0) (6.0) (62.1)
Slide 41: Financial Snapshot (2/2)
FINANCIAL SNAPSHOT (2/2) Working Capital Cycle (In Days) Current Ratio 400 361 319 1.55 1.52 300 1.50 1.45 200 173 1.40 1.35 1.35 1.33 1.30 100 1.25 1.20 0 19-20 20-21 21-22 19-20 20-21 21-22 Debt Equity Ratio Return Ratios 60.0% 53.30% 2.00 40.0% 1.67 1.60 1.34 20.0% 9.63% 1.20 0.95 7.60% 0.0% -12.
Slide 42: Key Financials (1/2)
KEY FINANCIALS (1/2) Particulars (Rs cr) FY17 FY18 FY19 FY20 FY21 FY22 Sales 62.5 68.4 81.8 71.3 42.8 86.2 Total Expenditure 56.0 60.7 73.5 66.8 42.8 77.9 EBIDTA 6.5 7.7 8.3 4.4 0.0 8.3 Depreciation 1.0 1.3 1.2 1.5 2.8 2.5 EBIT 5.5 6.4 7.2 3.0 (2.8) 5.8 Finance cost 3.2 3.3 3.4 4.4 5.6 4.8 Profit Be
Slide 43: Key Financials: Balance Sheet
KEY FINANCIALS (1/2) BALANCE SHEET69.2 FY17 FY18 FY19 FY20 FY21 FY22 Equity Share Capital 7.0 10.6 10.6 10.6 10.6 10.6 Preference Share Capital 7.0 0.0 0.0 0.0 0.0 0.0 Share Capital 14.0 10.6 10.6 10.6 10.6 10.6 Reserve & Surplus (3.8) 12.9 15.6 14.4 7.0 7.8 Shareholder's Fund 10.2 23.5 26.1 25.0 17
Slide 44: Key Ratios
KEY RATIOS Ratio Analysis FY17 FY18 FY19 FY20 FY21 FY22 EBIDTA Margin 10.40% 11.22% 10.18% 6.23% 0.02% 9.62% EBIT Margin 8.80% 9.33% 8.74% 4.18% -6.52% 6.73% EBT Margin 3.68% 4.44% 4.62% -1.95% -19.57% 1.14% PAT Margin 2.40% 3.30% 3.26% -1.55% -14.27% 0.81% ROCE 31.8% 22.7% 23.7% 9.6% -12.0% 53.3% R
Slide 45: Bagline on Social Media
BAGLINE ON SOCIAL MEDIA https://www.instagram.com/baglineindia/ https://www.facebook.com/baglineindia www.baglineindia.com 44
Slide 46: Disclaimer
Disclaimer This document has been prepared for information purposes only and is not an offer or invitation or recommendation to buy or sell any securities of Brand Concepts Ltd (“BCL”, "Company“), nor shall part, or all, of this document form the basis of, or be relied on in connection with, any con
Slide 47: Thank You
Thank You FOR FURTHER INFORMATION PLEASE CONTACT Brand Concepts Ltd KAPTIFY® Abhinav Kumar KAPTIFY Consulting Whole Time Director Investor Relations Strategy & Consulting cfo@brandconcepts.in Tel: +91-845 288 6099 www.brandconcepts.in contact@kaptify.in www.kaptify.in 46