Indo Count Industries Limited · NSE:ICIL
Indo Count Industries — Q1 FY2020 Earnings Presentation
35 slides from Indo Count Industries's earnings presentation, Aug 8, 2019
Slide 1: Indo Count exchange filing letter - Investor Presentation Q1 FY20
INDO COUNT Complete Comfort 8th August, 2019 The National Stock Exchange of India Ltd. BSE Limited Listing Department Department of Corporate Services Exchange Plaza, Floor 25, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (East), Dalal Street, Mumbai - 400 051 Mumbai - 400 001 Company Sym
Slide 2: Investor Presentation – Q1 FY20
Investor Presentation – Q1 FY20 August 2019 1
Slide 3: Safe Harbor
Safe Harbor • This presentation and the accompanying slides (the “Presentation”), which have been prepared by Indo Count Industries Ltd (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any s
Slide 4: Chairman's Message
Chairman’s Message Commenting on the results, Mr. Anil Kumar Jain, Executive Chairman said, “We have laid a strong foundation and are optimistic on the future growth. Going forward, as we capitalize on the demand in our largest market, we expect this to replicate in our volume & value growth. Our ro
Slide 5: Our New Logo
Our New Logo Our new logo represents the globe with ‘Complete Comfort’. This is a reflection of our global operations and aspirations with an appealing look. ‘Complete Comfort’ is our pledge to partners and illustrates our commitment to everyone touched by our products and operations 4
Slide 6: 3 Pillars of Strength
3 Pillars of Strength INNOVATION QUALITY SERVICE ✓ We are respected by ✓ We are recognised for the ✓ We believe that the sale customers for the ability to creativity of products that begins once the product has extend the product frontier. are aesthetic and enduring. been marketed and We are known f
Slide 7: Volume Performance
Volume Performance 63-65 (in Mn Meters) +6% 57.5 54.3 15.8 14.4 14.4 13.9 12.9 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Q1FY20 FY18 FY19 FY20P Volume guidance for FY20: 63mn – 65mn metres 6
Slide 8: Q1FY20 Standalone Performance
Q1FY20 Standalone Performance Rs. 468 Crs Vs 5.6% YoY Rs. 443 Crs Net Income* Rs. 63 Crs Vs 26.4% YoY Rs. 50 Crs Normalized EBITDA* 13.5% Vs 223 bps YoY 11.3% Normalized EBITDA *Adjusting for Forex items Margin* 7 Figures are rounded off wherever required
Slide 9: Q1FY20 Consolidated Performance
Q1FY20 Consolidated Performance Rs. 509 Crs Vs 10% YoY Rs. 463 Crs Net Income* Rs. 65 Crs Vs 25.2% YoY Rs. 52 Crs Normalized EBITDA* 12.8% Vs 156 bps YoY 11.3% Normalized EBITDA *Adjusting for Forex items Margin* 8 Figures are rounded off wherever required
Slide 10: Normalized Profit & Loss Statement
Normalized Profit & Loss Statement Standalone Particulars (Rs. Crs) Q1FY20 Q1FY19 YoY% Q4FY19 QoQ% Total Income 477 457 402 Less: Forex Gain/(loss) 9 14 0 Net Income 468 443 5.6% 402 16.5% Total Expenses 408 393 381 Less: Forex Loss 3 0 10 Net Expenses 405 393 371 NORMALIZED EBITDA* 63 50 26.4% 31 1
Slide 11: Standalone Profit & Loss Statement
Standalone Profit & Loss Statement Particulars (Rs. Crs) Q1FY20 Q1FY19 %Change Q4FY19 %Change FY19 Total Income 477 457 4.4% 402 18.8% 1,823 Less: Forex Gain/(Loss) 9 14 0 0 Net Income 468 443 5.6% 402 16.5% 1,823 Cost of Material 237 229 221 972 Employee Expenses 28 32 27 121 Other Expenses 143 131
Slide 12: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Particulars (Rs. Crs) Q1FY20 Q1FY19 %Change Q4FY19 %Change FY19 Total Income 518 477 8.7% 442 17.3% 1,945 Less: Forex Gain/(Loss) 9 14 0 0 Net Income 509 463 10.0% 442 15.3% 1,945 Cost of Material 263 232 253 1,031 Employee Expenses 34 37 34 144 Other Expenses 15
Slide 13: Outlook for FY2020 and beyond
Outlook for FY2020 and beyond 01 02 03 Product development & Improving operational Global reach & Innovation efficiency Sustainability ▪ Focus on Bed Linen in the Home ▪ Moving towards overall ▪ Establish relationship with new Textiles sphere sustainability marquee global customers ▪ Focus on value-
Slide 14: Indo Count: At a Glance
Compiste Comfort Count Ora cern ETE
Slide 15: 27 years of Our Journey
27 years of Our Journey 1990-91 2007 2008 2011 2012 2014-15 2017 2018 ICIL established Forayed into Acquired Established Bed Linen Established Enhanced Established home textile by Pranavaditya showroom, capacity showroom and capacity to 90 office in Dubai Commencement to tap newer setting up 36 Spin
Slide 16: Our Approach to Business: Integrated bedding solutions
Our Approach to Business: Integrated bedding solutions Branding & Spinning Processing Marketing Concept Design & Weaving Cut & Sew Sampling Complete comfort for the best Sleep experience with… Innovation, Quality and Service 15
Slide 17: Our competencies and differentiators
Our competencies and differentiators 01 02 03 Strong domain Operationally Global player expertise efficient ▪ Recognized market player ▪ Customer-centricity thus ▪ Efficient and scalable with a focus in bed linen focusing on enhanced operations service ▪ Established business with ▪ Experienced manag
Slide 18: Innovation Collaboration – LEEDS University
Innovation Collaboration – LEEDS University UNIVERSITY OF LEEDS - FUTURE OF INNOVATION Leeds University has a long and distinguished history in textile technology and design stretching back to its predecessor, the Yorkshire College of Science in 1874 The collaboration of Indo Count & the University
Slide 19: Our Brands
Our Brands In-House Brands 14 In-House Brands Licensed Brands 4 Licensed Brands 18
Slide 20: "Boutique Living" Brand in India
“Boutique Living” Brand in India • In India, our in-house brand ‘Boutique Living’ provides premium bedding through more than 500 stores pan-India • Products available online at: www.boutiquelivingindia.com 19
Slide 21: Global Presence
Global Presence India USA UK Australia UAE Headquartered in Showroom and Showroom, design Showroom and Established office in Mumbai design studio in studio and design studio in Dubai to tap newer New York warehouse in Melbourne geographies Manufacturing Manchester facilities in Warehouse for Kolhapu
Slide 22: Industry Perspective
Industry Perspective 21
Slide 23: Asia Pacific fastest growing market in Global Home Textile
Asia Pacific fastest growing market in Global Home Textile Global Home Textile Market (in bn $) Global Home Textile Market Share ROW +3.6% 5.0% 130 105 US & Europe 55.0% 45.0% Asia Pacific FY15 FY21E USA EU China India ➢ One of the globe’s largest ➢ Bed linen accounts for 32% ➢ Largest manufacturer
Slide 24: Top 5 Importing & Exporting Nations
Top 5 Importing & Exporting Nations Top 5 Home Textiles Importing Nations Top 5 Home Textiles Exporting Nations 37% 39% 24% 11% 8% 7% 5% 5% 3% 2% EU-28 USA Japan Canada Australia China India Turkey Pakistan Belgium China has a share in home textile exports at 39% with EU-28 is the largest market for
Slide 25: Indian Markets and Growth Opportunities
Indian Markets and Growth Opportunities India's major markets for Home Textiles (2017) R.O.W Country US$ Mn. Share Canada 11% UAE USA 2,853 55% 2% Australia 3% 3% EU-28 1,347 26% Australia 156 3% 55% USA UAE 132 3% 26% Canada 121 2% EU-28 R.O.W 583 11% Total 5,193 ➢ There has been a structural shift
Slide 26: USA textiles imports
USA textiles imports USA – Import of Cotton Made-Up’s Share 23% 26% 28% 29% 31% 33% 33% 44% 43% 41% 39% 38% 36% 36% 19% 17% 17% 18% 18% 18% 17% 14% 14% 14% 14% 13% 13% 14% CY11 CY12 CY13 CY14 CY15 CY16 CY17 India China Pakistan ROW India’s contribution in the Made-ups market share is growing in USA
Slide 27: Home Textile imports by US
Home Textile imports by US (in % Market Share) India China ROW 80 Cotton Bedspreads 60 Cotton Sheets 50 60 40 40 30 20 20 10 0 0 09/18 11/18 01/19 03/19 05/19 09/18 11/18 01/19 03/19 05/19 80 Cotton Pillowcases India is gaining advantage in the Home 60 Textiles Market in the USA. 40 With integrated
Slide 28: USA Retail Sales
USA Retail Sales USA YoY change in Retail Sales (in %) 6.6 6.3 6.1 4.8 3.9 4.0 3.8 3.8 3.4 2.9 2.6 1.9 1.4 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Source: US Census Bureau 27
Slide 29: Major Economies showing strength
Major Economies showing strength USA Retail Sales (USD Trillion) 5.86 6.03 5.53 5.70 5.07 5.35 4.53 4.63 4.70 4.82 4.35 2012 2013 2014 2015 2016 2017 2018 2019P 2020P 2021P 2022P Source : Statista Europe Retail Sales (2015 as Base 100) 115 110 105 100 Source : Eurostat 28
Slide 30: India's edge in the home textiles market
India’s edge in the home textiles market Contribution to India’s Steady capability manufacturing and capacity production enhancement Share in country’s export Growing global respect for earnings thereby increasing its Indian products; dependable contribution to India’s GDP long-term partner India’s
Slide 31: Indian Home Textiles industry – Growing expectation
Indian Home Textiles industry – Growing expectation Indian Home textile industry mix (%) ➢ Indian Home Textile Industry is projected to grow at 12% CAGR to $ 15Bn by 2025 33% 49% ➢ India still accounts for only 7% of the global home textile trade, leaving a lot of headroom for growth, which will be
Slide 32: Awards & Accolades
Awards & Accolades KOHL’s, a large retailer in USA has awarded our Company for “Best Collaboration in Design & Product development” JC Penney, a large retailer in USA has awarded us with a “Platinum Certification Status” for Sheets & Fashion bedding category 31
Slide 33: CSR: At Indo Count 'Every smile counts'
CSR: At Indo Count ‘Every smile counts’ EDUCATION HEALTHCARE WOMEN WATER & SANITATION ➢ 4 Medical Vans reaching EMPOWERMENT ➢ Promoting sanitation by ➢ Promoting Education by implementation of E- 100 rural villages around building/ maintaining ➢ Distributed sewing learning systems in Kolhapur provid
Slide 34: About Us
About Us • Indo Count Industries Ltd (ICIL), is one of India’s largest home textiles manufacturer. • Mr. Anil Kumar Jain, Executive Chairman, has been ranked 10th amongst the India’s Best Top 100 CEO’s 2017 by Business Today. Under his leadership, the Company has focused on some of the world’s fines
Slide 35: Investor Contact
Investor Contact For further information please contact: Indo Count Industries Limited CIN: L72200PN1988PLC068972 Mr. K.R. Lalpuria, Executive Director & C.E.O kklalpuria@indocount.com Mr. K. Muralidharan, Chief Financial Officer (CFO) k.muralidharan@indocount.com Investor Relations Advisors: Strate
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