Metro Brands Limited
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Key numbers — 40 extracted
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Guidance — 6 items
Registered Office
opening
“You will be solely responsible for your own assessment of the market and the market position of the Company, and you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Company.”
APPENDIX
opening
“ While the industry is gearing up for quality control orders (QCO) compliance we expect significant clarity & progress to transpire over next 2 quarters.”
APPENDIX
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“ Liquidation of excess inventory is “On track” & will be completed by Mar24.”
APPENDIX
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“f'{23 : 15%~ CAGR 19,800 ♦ 2,127 1,217 1,285 1,343 I I I I I FY23 FY20 FY21 FY22 800 FY19 54.9% ♦ 55.6% ♦ 54.9% ♦ 57.9% ♦ 58.1% ♦ 27.7% 27.5% ♦ ♦ 21.5% ♦ 30.6% ♦ 1,235 714 668 I I I I I FY20 FY23 FY21 FY22 440 777 FY19 354 337 I I ■ I I FY21 FY20 FY22 FY23 410 172 FY19 32.0% ♦ 681 Rev from Ops (INR Cr) ■ Rev per Sq.ft.”
APPENDIX
opening
“(INR) ♦ Gross Profit (INR Cr) ■ ♦ Margin (%) EBITDA (INR Cr) ■ EBITDA Margin (%) ♦ PAT and PAT Margins Return Ratios (ROE and ROCE) Operating Cash Flow and Dividend Payout 12.6% ♦ 12.5% ♦ 8.1% ♦ 15.9% ♦ 17.2% ♦ 153 I FY19 CAGR f'{19.”
APPENDIX
opening
“me~ro BRANDS Under this project, ODF is collected & then sorted, cut, and again sorted material wise as below: • Plastic materials are sent to recyclers for recycling.”
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Speaking time
6
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Opening remarks
Registered Office
401, Zillion, 4th Floor, LBS Marg & CST Road Junction, Kurla (W), Mumbai - 400070. Tel: +91 22 6656 0444 Email: info@metrobrands.com Website: www.metrobrands.com CIN: L19200MH1977PLC019449 ISO 9001: 2015 Company met ro METRO BRANDS LIMITED EARNINGS PRESENTATION – Q1FY24 1st August, 2023 Safe Harbor statement me~ro BRANDS • • • • The information contained in this Presentation should be considered in the context of the circumstances prevailing at the time and has not been, and will not be, updated to reflect material developments which may occur after the date of the Presentation. The information set out herein may be subject to updating, completion, revision, verification and amendment and such information may change materially. This presentation is based on the economic, regulatory, market and other conditions as in effect on the date hereof. It should be understood that subsequent developments may affect the information contained in this presentation, which neither the Company nor its
APPENDIX
INDUSTRY OVERVIEW Our Journey me~ro Started first Store H~TRO Launch of MOCHI MOCHI MBO , ... \), "'\ t~,,- .. , Launch of Wl WALKWAY MBO Hits 200 stores crocs· ties up with METRO Acquisition of Cravatex Brands Ltd • Exclusive license for • Owns sportswear brand ■lilHl/1141 F ll.6 1977 2010 2021 2023 1955 2000 2009 2012 2015 2022 Incorporation of the Company Launch of E-commerce, Hits 100 stores Hits 750 stores • Exclusive tie up with • Hits 600 stores • Listed on BSE, NSE MBL stands tall with a presence across 5 FORMATS | 766 STORES | 31 STATES AND UTs | 182 CITIES* 4 Note: * Store count as of June 30,2023 65+ years of Market Presence me~ro BRANDS 1 2 Key Enablers 3 4 5 Wide range of brands and products – catering to all occasions across age groups and market segments One of the largest Indian footwear specialty retailers1 Efficient operating model through deep vendor engagements and Theory of Constraints based supply chain Strong promoter background with an experienced and entreprene
APPENDIX
INDUSTRY OVERVIEW Q1 FY24 Business Highlights Consolidated me~ro BRANDS In INR Crore Standalone Revenue EBITDA EBITDA% PAT PAT% Q1 FY24 Q1 FY23 YOY Growth% Q1 FY24 Q1 FY23 YOY Growth% 556 194 35.0% 106 19.1% 497 181 36.4% 103 20.7% 11.7% Revenue 7.5% EBITDA 583 187 EBITDA% 32.1% 2.9% PAT PAT% 93 16.1% 508 183 36.1% 106 20.8% 14.7% 2.1% -11.6% Business Highlights Q1 FY24 has witnessed stable YOY growth as compared to Q1 FY23 which had pent-up buying on easing of Covid restrictions. Store expansion on track with net addition of 27 stores (8 new cities covered in Q1FY24) across all formats during the quarter. Highest ever quarterly sales of Ecommerce sales (including omni-channel ) of Rs 61 cr. Growth momentum in Ecommerce sales (including omni channel) continues as sales grew 63%. Last 4 years online sales CAGR is 71%. Q1 FY24 PAT at consolidated level includes loss from CBL of Rs 14 cr. (v/s Rs 14 cr in Q4 FY23). 8 Note: Numbers and decimals rounded off Q1 Business Highlights (S
APPENDIX
INDUSTRY OVERVIEW Our Key Strengths BRANDS Pivoting from primarily "Offline" to an "Omni-channel" enabled footwear & accessories retailer - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - One of India's largest pan India footwear retailers1 with a brand appeal among aspirational consumer segments Wide range of brands and products catering to all occasions across age groups and market segments resulting in strong customer loyalty me~ro ]~ - - - - - - - - - - - - - - - - - - - - - - - - -]* - - - - - - - - - - - - - - - - - - - - - - - - -l - ~ -l. ... ~, .. -- - - - - - - - - - - - - - - - - - - - - - - - - -J~ - - - - - - - - - - - - - - - - - - - - - - - - -] ,g, - - - - - - - - - - - - - - - - - - - - - - - - -] ~:l ]& J ~ Strong promoter background and an experienced and entrepreneurial management team with a proven track record Efficient operating model through deep vendor engagements and TOC (Theory of Constraints) based supply cha
APPENDIX
INDUSTRY OVERVIEW Key Strategies me~ro 1 3 5 2 4 Store Expansion Plans Target to open 200 stores over next 2 years Leverage multi-channel platform Build on successful expansion of Crocs / Fitflop and leverage the platform to evaluate similar opportunities E-Commerce Expansion Leverage existing capabilities to increase E-commerce operations Expand Revenue Generating Channels and become a digitally relevant brand Expand Portfolio of Accessories and others Growth in allied businesses like accessories, shoe care & foot care Inorganic Opportunities Evaluation basis targeted returns, operational scale and diversification criteria 30 To Summarize…. me~ro BRANDS WIDE RANGE OF PRODUCTS SOURCING & VENDOR RELATIONS ~ BRAND VINTAGE ~ PAN INDIA PRESENCE PREFERRED PARTNER FOR THIRD PARTY BRANDS ALLIED PRODUCTS (Accessories, Foot care, Shoe care, etc.) MULTI-CHANNEL RETAIL PLATFORM ASSET LIGHT BUSINESS MODEL 31 met ro BRANDS BRIEF OVERVIEW Q1 FY24 BUSINESS HIGHLIGHTS METRO’S STRENGTHS LEVERS OF GROWT
APPENDIX
INDUSTRY OVERVIEW Sustainability Initiatives (1/7) Environment Processing of Old & Discarded Footwear (ODF) in an eco-friendly manner It is our long-term goal to “recycle a pair for every pair we sell”. me~ro BRANDS Under this project, ODF is collected & then sorted, cut, and again sorted material wise as below: • Plastic materials are sent to recyclers for recycling. • Rubber materials are sent to pyrolysis plants to generate oil, which is reused. • Other totally worn off parts are then sent either to cement kilns or power generating units where they are co-processed as a substitute for coal. We recycled old & discarded footwear aggregating to ~900 tons (~2 million pairs) in FY23 and ~210 tons (~ 0.5 million pairs) in Q1 FY24 in an eco-friendly manner. 33 Sustainability Initiatives (2/7) Environment Sustainable Footwear and Packaging me~ro BRANDS • Launched vegan friendly footwear range – Tie-Dye Collection, made with modern, comfortable animal-free materials. • Nature Pro Collect
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