Arvind Limited · NSE:ARVIND
Arvind — Q4 FY2011 Earnings Presentation
22 slides from Arvind's earnings presentation, May 20, 2011
Slide 1: Review Note, 20th May 2011
Review Note 20th May, 2011
Slide 2: Financial Performance - Consolidated
Financial Performance- Consolidated
Slide 3: Highlights Q4 2010-11
Highlights Q4 - 2010-11 1,500 REVENUE Rs. cr EBIDTA Rs. cr 179 1,201 59% 1,000 150 83% 756 500 97 0 2009-10 2010-11 50 2009-10 2010-11 80 PAT Rs. cr 63 60 217% 40 20 20 0 2009-10 2010-11
Slide 4: Financial Performance Q4 2010-11
Financial Performance Q4 – 2010-11 Rs crores • Company’s textiles and For the Q4 2010-11 2009-10 Change brands & retail segments Revenues 1,201 756 59% witnessed very strong Raw Material Consumed 557 237 volume and price growth leading to impressive Employees' Emoluments 109 85 59% growth in revenue
Slide 5: Highlights FY 2010-11
Highlights FY- 2010-11 EBIDTA Rs. Cr 4,200 Revenue Rs. cr 4,090 556 550 3,800 25% 35% 3,400 3,262 450 411 3,000 350 2,600 2009-10 2010-11 2009-10 2010-11 180 PAT Rs. cr 165 160 140 120 233% 100 80 60 50 40 20 0 2009-10 2010-11
Slide 6: Financial Performance 2010-11
Financial Performance – 2010-11 Rs crores Mar-31 2011 2010 Change Revenues 4,090 3,262 25% Raw Material Cons um ed 2,040 1,474 Em ployees ' Em olum ents 395 342 Others 1,270 1,038 (Increas e) / Decreas e in Stock -171 -3 EBIDTA 556 412 35% Margin 13.6% 12.6% Other Incom e 37 21 Intres t & Finance Co
Slide 7: 2010-11 Revenue
2010-11- Revenue Others Others Brands - Jvs 6% Brands - Jvs 4% 3% 6% Brands & Brands & Retails Retails 16% 18% Textiles 72% Textiles 75% 2010-11 2009-10 Compared to FY 2009-10 Textile Business grew by 20% Brands & Retail Business grew by 47% Share of apparel & fabric retailing grew to 32% from 28% S
Slide 8: 2010-11 Earnings
2010-11 Earnings • EBIDTA grew by 35.3% to Rs.556 cr. EBIDTA margin improved 106 basis points to 13.6% as compared to 12.5% on account of: • Textile margin growth from 14.3% to 16.0% • Brands & Retail margin growth from 5.4% to 7.8% • Profit After Tax grew to Rs. 165 crores up 233% compared to 2009-
Slide 9: Consolidated Balance Sheet As At 31st March, 2011
Consolidated Balance Sheet As At 31st March, 2011 Rs cr. Rs. in Crores Rs. in Crores As at As at 31.03.2011 31.03.2010 SOURCES OF FUNDS Share Capital 254 240 Reserves and Surplus 1440 1044 Shareholders' Funds 1695 1283 Minority Interest 16 14 Secured Loans 2134 2020 Unsecured Loans 77 182 Loan Funds
Slide 10: Ratios
Ratios 2009-10 2010-11 EPS 1.99 6.5 Debt/Equity 1.72 1.31 Debt/EBIDTA 5.10 3.73 ROCE 7.4% 10.6% ROE 3.9% 8.4% Revenue growth 19% 25%
Slide 11: Financial Performance - Standalone
Financial Performance-Standalone
Slide 12: Financial Performance Q4
Financial Performance Q4 Rs crores • Strong performance 2010-11 2009-10 of denim and Particulars Q4 Change shirting fabrics and Revenue 811 576 41% Raw Materials 400 264 price increases due Employee Cost 74 63 to raw material cost Power & Fuel 62 51 increase led to 41% Stores Consumption 56 52 growt
Slide 13: Financial Performance 2010-11
Financial Performance 2010-11 Rs crores • Strong 2010-11 2009-10 Particulars Change performance of Revenue 2691 2317 16% denim and Raw Materials 1327 1016 shirting fabrics Employee Cost 274 241 led to 17% growth Power & Fuel 244 209 in revenue Stores Consumption 193 203 Others 336 320 • Other income
Slide 14: Balance Sheet
Balance Sheet Rs cr. Rs. in Crores Rs. in Crores As at As at 31.03.2011 31.03.2010 SOURCES OF FUNDS Shareholders' Funds Share Capital 254 240 Reserves and Surplus 1541 1180 1796 1420 Secured Loans 1763 1729 Unsecured Loans 49 142 Loan Funds 1812 1871 Deferred Tax Liability 13 13 Total 3620 3303 APPL
Slide 15: Business Analysis
Business Analysis All numbers in this section are consolidated unless specified otherwise
Slide 16: Textiles Business - Revenue Mix
Textiles Business- Revenue Mix 2935 Knits/ Others, 109 2449 Textile Knits/ Others, 56 revenue grew Shirting / Khaki, 987 20% by 20% led by Shirting / Khaki, 819 robust 29% growth in -13% Garments, 458 denim and Garments, 526 Voils , 211 20% growth in shirting/khaki Voils , 179 fabrics 29% Denim , 1,
Slide 17: Key Parameters 2010-11 - Textiles
Key Parameters-2010-11-Textiles Denim Shirting 2010-11 2009-10 2010-11 2009-10 Exports (Mn Mtrs) 45 43 15 9 Domestics (Mn Mtrs) 51 45 52 49 Avg Price (Rs / Mtr) 139 116 139 125 Cotton Gas Components 2010-11 2009-10 2010-11 2009-10 Cost in Rs./Kg 96 64 15 15
Slide 18: Brands & Retail Businesses - Revenue
Brands & Retail Businesses-Revenue Rs. crores • Arvind Lifestyle brands & 900 813.0 800 Arvind Retail Limited are 700 600 552.0 subsidiaries operating in 500 400 242.8 apparel Brands & Retail 300 216.2 149.1178.1 200 100 94.4 151.3 154.8 153.6 Businesses respectively 0 Q1 Q2 Q3 Q4 YTD March • Revenu
Slide 19: Revenue Growth in current year has been exceptional
Revenue Growth in current year has been exceptional Following a 33 % revenue growth in 2009-10, the revenue grew by 47 % in the current FY Revenue 2010-11 Revenue % Growth Rs Crs ALBL 416 65% ARL 397 33% Total 813 47% One of the key growth drivers was like to like growth……. Like to Like Growth % LTL
Slide 20: Outlook 2011-12
Outlook 2011-12 Positives: • Robust demand for fabrics & garments • Strong growth in Brands & Retail subsidiaries • Cotton prices correcting to reasonable levels – Will help reduce the price of fabrics – Arvind has cotton stock for next few months against which it also has firm fabrics orders and he
Slide 21: Merger of Arvind Products Limited with Arvind Limited
Merger of Arvind Products Limited (APL)with Arvind Limited (AL) • APL is a 54 % subsidiary company of Arvind and it had turn over of Rs. 621 crores. • It is listed in ASE and BSE • Three of the 4 units of APL have significant inter-linkages with AL • It has been decided to merge APL with AL w-e-f 1s
Slide 22: Thank You
Thank You AfVIND