VIP Industries Limited has informed the Exchange about Investor Presentation

27th July, 2022

BSE Limited

National Stock Exchange of India Ltd.

Phiroze Jeejeebhoy Towers,

Exchange Plaza, 5th Floor,

Dalal St, Kala Ghoda, Fort,

Plot No. C/1, G Block,

Mumbai – 400001

Bandra Kurla Complex,

Bandra (East), Mumbai – 400 051.

Code No. 507880 and 959982

Code – VIPIND

Subject: Presentations made/being made to analysts / institutional investors

Dear Sir/Madam,

Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements)

Regulations, 2015, please find enclosed herewith presentation being made by the Company to

the analysts/ institutional investors.

Kindly take the same on record.

Thanking you,

Yours faithfully,

For V.I.P. Industries Limited

Anand Daga Company Secretary & Head – Legal

Encl. As above

Registered Office: DGP House, 5th Floor, 88C, Old Prabhadevi Road, Mumbai 400 025. INDIA. TEL: +91 (22) 66539000 FAX: +91 (22) 66539089, EMAIL: corpcomm@vipbags.com WEB: www.vipbags.com CIN - L25200MH1968PLC013914

INVESTOR PRESENTATION Q1 FY 2022-23

Disclaimer

Some of the statements in this communication may be forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially from those expressed or implied. Important developments that could affect the Company’s operations include changes in the industry structure, significant changes in political and economic environment in India and overseas, tax laws, import duties, litigation and labour relations.

The information contained herein has been prepared to assist prospective investors in making their own evaluation of the Company and does not purport to be all-inclusive or to contain all of the information a prospective or existing investor may desire. In all cases, interested parties should conduct their own research/investigation and analysis of the Company and the data set forth in this information. The Company makes no representation or warranty as to the accuracy or completeness of this information and shall not have any liability for any representations (expressed or implied) regarding information contained in, or for any omissions from, this information or any other written or oral communications transmitted to the recipient in the course of its evaluation of the Company.

While we have made every attempt to ensure that the information contained in this presentation has been obtained from reliable source, the Company is not responsible for any errors or omissions, or for the results from the use of information in this presentation is provided on "as is" basis with no guarantee of this information. All completeness, accuracy, timeliness or of the results obtained from the use of this information and without warranty of any kind, express or implies including but not limited to warranties of performance for a particular purpose. In no event will the Company its Directors, legal representatives, agents or employees thereof be liable to anyone for any decision made or action taken by relying on data/information in this Presentation.

VIP Industries : Our Journey

Building beyond a rich heritage & strong legacy !

VIP Industries : Facts & Figures

Established in 1968

#1 In the organized luggage space

Present in multiple luggage categories across price points

9 Own Manufacturing Facilities in India & Bangladesh

Servicing customers through 10,500 Point of Sales across 800 towns

Over 8000 employees

Our Board & Management

Mr. Dilip G. Piramal Chairman

Ms. Radhika Piramal Executive Vice Chairperson

Mr. Anindya Dutta Managing Director

Ms. Nisaba Godrej Director

Mr. Amit Jatia Director

Mr. Tushar Jani Director

Mr. Ramesh Damani Director

Ms. Neetu Kashiramka Chief Financial Officer

Renowned Brands Present Across Categories & Price Points

Present Across All Major Luggage Categories

We Have A Strong Pan India Distribution

RETAIL TRADE

MODERN TRADE

GENERAL TRADE

ECOM

CSD CPC

INSTITUITIONAL

Branch locations

VIP Geographical Coverage

Metro (50L+)

Mini Metro (20L to 50L)

5

8

Urban (T2) (5L to 20L)

81

Urban (T3) (1L to 5L)

368

s e h c n a r b 0 2

s n o i g e r 4

Semi Urban (50K to 1L)

362

Total Towns

824

Upstream Transformation

Revenue Split by Source

Pre-pandemic

Q1 FY20

3P Sourcing, 25%

Own Manufacturing , 35%

China, 40%

Post-pandemic

Q1 FY23

3P Sourcing, 25%

China, 11%

Own Manufacturing , 64%

Q1 FY23 PERFORMANCE

Q1 FY23 Business Context

Travel industry trends encouraging, but not back to pre-covid levels

Q1 FY23 Business Context

Battling different headwinds as the pandemic disruption eases out

Inflation

• Higher input material prices • Overall Inflation a Demand Dampener – was visible in tertiary sales as the

quarter progressed.

• Airfares in May & June increased up to 50% due to rising jet fuel prices

Future Group Accounts non operational

• High dependence - Historically accounts for ~15% of our revenues • Out of 430 stores across banners, only 44 were operational in Q1

New Launches During The Quarter

Q1 FY23 Had 38 New Launches In Luggage And 127 In Backpacks New Launches Explored Themes Across Brands

Targeting Train Travelers (2 W SL, Duffle wheels, Built - in cable lock for train travel)

New Categories launched - Biking, Anti- Viral, Daypacks & Anti - Theft

Stain & Water resistant

High Decibel Campaigns During The Quarter

Consolidated Financial Results

Quarter ended

Particulars Revenue from Operations Other Income Total Revenue COGS Gross Contribution GC Margin (without Other Income) Employee Benefits expenses Other Expenses Total Expenses EBIDTA EBIDTA Margin Depreciation EBIT Finance Cost Profit before Exceptional items Exceptional items (Expense) / Income Profit before Tax Tax Profit After Tax

Jun-22 591 7 598 296 302 50% 60 132 192 110 18% 18 92 7 85 15 100 31 69

Mar-22 356 6 362 166 195 53% 56 101 157 38 11% 17 21 5 16 - 16 4 12

Jun-21 206 14 221 101 119 51% 39 53 92 27 12% 18 9 7 2 - 2 -1 3

Revenue Performance : Categories & Brands

Brand Salience

Q1 FY20 Q4 FY22 Q1 FY23

Category Salience

Q1 FY20

Q4 FY22

Q1 FY23

VIP

SKYBAGS

CARLTON

Premium & Mass Premium

ARISTROCRAT+ ALFA

CAPRESE

INTERNATIONAL

26%

40%

3%

69%

25%

4%

2%

21%

33%

4%

58%

36%

2%

3%

23%

30%

4%

57%

35%

4%

5%

UPRIGHTS

HARD LUGGAGE – UPRIGHT

SOFT LUGGAGE - UPRIGHT

DUFFEL BAGS

BAGPACKS

LADIES HAND BANGS

EXPORT & ACCESSORIES

Value Play Shift from unbranded segment expanding organised market – Higher growth in value segment a must for overall share gain

Premium & Mass Premium Premium portfolio mix under stress – corrective measures underway.

Backpack & LHB Revival Both categories were identified as stressed in previous quarter; QoQ salience has improved for both; LHB is back to pre-covid salience

64%

42%

58%

9%

19%

4%

4%

76%

62%

38%

9%

9%

2%

4%

71%

64%

36%

7%

12%

4%

6%

HL PP Strategy Success VIP continues to lead the HL trend in uprights with its PP strategy at work. HL preference in uprights on the rise – in line with global trends

Financial Highlights

• Q1 revenue growth at 66% over Q4 FY22 Mar quarter. Hard Luggage constitutes 46% of total revenue for this

quarter.

• Q1 GM after netting of other income is 50% as compared to 53% in Q4 FY23 mainly on account of higher RM rate.

GP Q4 Mar-22 Impact for higher RM rates Avg. Selling Price Increase Mix Variance GP Q1 Jun-22

53.3% -4.9% 2.1% -0.6% 49.9%

• Q1 Overall Expense is at Rs. 192 cr as compared to Q4 FY22 was at Rs. 157 cr, increase is mainly on account of

increase in advertisement spend, freight cost and exchange rate fluctuation. EBDITA Mar-22 Decrease in Gross Margin Decrease in Employee cost Decrease in Overheads Decrease in Other Income EBDITA Jun-22

10.6% -3.3% 5.4% 6.1% -0.5% 18.3%

Key Financial Metrics

598

Revenue

362

221

Gross Margin 54.0%

54.1%

50.5%

Jun-22

Mar-22

Jun-21

Jun-22

Mar-22

Jun-21

EBITDA

18%

100

11%

12%

PBT

16

Jun-22

Mar-22

Jun-21

Jun-22

Mar-22

2

Jun-21

Other Expenses

Particulars

Job Work Charges Consumption of stores and spare parts Electricity, Power & Fuel Expenses Rent Repairs Insurance Rates and taxes Travelling expenses Payment to auditors CSR Expenditure Professional fees Communication expenses Advertisement and publicity expenses Freight, handling and octroi Provisions Human resource procurement Net loss on foreign currency transactions and translation Miscellaneous Expenses Total

For the Quarter ended

Jun-22 Mar-22

Jun-21

7.5 2.1 4.8 2.2 3.3 2.1 0.9 3.5 0.2 0.0 2.0 0.7 31.9 37.0 0.3 13.8 8.7 10.8 131.5

7.4 2.4 4.7 1.3 3.8 1.9 0.4 3.1 0.1 0.8 1.4 0.7 11.7 32.8 9.0 12.0 1.1 6.8 101.4

3.1 1.0 3.2 0.5 2.5 1.1 0.5 0.7 0.2 0.7 1.2 0.4 5.6 15.3 4.5 9.1 -0.4 4.0 53.3

Business Environment For Q2 FY23

Pandemic Impact on demand drivers neutralized

Volatility Risk diminishing

Higher input prices

Overall inflation - Demand Dampener

Slow Pace of Store

Re-opening

Thank you