Spencer's Retail Limited has informed the Exchange about Investor Presentation
SRL:SEC:SE:2023-24/47
September 11, 2023
National Stock Exchange of India Limited (Symbol: SPENCERS) Exchange Plaza, 5th Floor Plot No. C/1, G-Block Bandra-Kurla Complex Bandra (East), Mumbai – 400 051 (Symbol : SPENCERS)
Dear Sir/Madam,
Sub: Intimation of Investors’ Presentation
BSE Limited (Scrip Code: 542337) Phiroze Jeejeebhoy Tower Dalal Street Mumbai – 400 001 (Scrip Code:542337)
Further to our letter no. SRL:SEC:SE:2023-24/46 dated September 6, 2023, please find enclosed a copy of the presentation to be made by the Company at the Investors’ Conference to be held as per the schedule referred to in our said letter. The said presentation is also uploaded on the website of the Company at www.spencersretail.com.
The above information is being submitted in terms of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015.
We request you to take the afore-mentioned information on record and oblige.
Thanking you.
Yours faithfully, For Spencer’s Retail Limited
Vikash Kumar Agarwal Company Secretary & Compliance Officer
Encl: as above
Spencer's Retail Limited Regd. Office: Duncan House, 31, Netaji Subhas Road, Kolkata-700 001 Corp. Office: RPSG House, 2/4 Judges Court Road, Kolkata-700 027 Tel: +91 33 2487 1091 Web: www.spencersretail.com CIN: L74999WB2017PLC219355
RPSG Group &
www.rpsg.in
Growing legacies
1902
1844
1899
1863
2001
1960
1986
1988
1989
1990
2012
2017
2021
Legacy is about building the future by honouring the past. With a rich heritage, RPSG Group today is one of the most revered business conglomerates of India. The Group inspires trust and credibility through its value-driven business culture and thought leadership.
R P S G - G R O U P P R E S E N TA T I O N
Year of Acquisition
Year of Incorporation
2
RPSG group: Building a diversified conglomerate
Strong Portfolio of Consumer and Growth Oriented businesses
Focus on Operational Excellence
Focus on Value Addition
Group Core Strengths
Focus on People and Performance oriented culture
Execution Excellence
Financial Discipline
Group turnover of ~US$4.5 Bn*
EBITDA of ~US$700 Mn*
Asset base of >US$6 Billion* Over 1 Million Shareholders*
One of India’s New-age
and fastest growing
Strong workforce of 50,000
conglomerates#
employees, belonging to different nationalities#
Presence in 45+ countries#
100+ offices worldwide#
R P S G - G R O U P P R E S E N T A T I O N
* As on FY23
3
Anchored to core values
Vision
To be a responsive conglomerate driven by sustainable growth, efficiency and innovation.
HUMANENESS Be fair, respectful, transparent and sensitive
SUSTAINABILITY Be equally responsible for people, planet, profits
Shashwat Goenka Sector Head- Retail & FMCG
V C Agrawal President Group Human Resources
Rajarshi Banerjee Group Chief Financial Officer
Banerjee Director
Debasish Managing (Distribution) CESC Limited
Rabi Chowdhury Managing Director (Generation) CESC Limited
Kaushik Roy Managing Director PCBL Limited
Vikram Mehra Managing Director Saregama India Limited
Ritesh Idani Managing Director and CEO Firstsource Solutions
We strive towards performance excellence, value-addition and strong bottom line orientation. I’m happy to say this focus has paid-off – in revenue growth, in profit growth and in valuations – all of which have grown exponentially.
Dr. Sanjiv Goenka Chairman RP-Sanjiv Goenka Group
Rajeev Khandelwal Chief Executive Officer FMCG Business
Anuj Singh Chief Executive Officer Retail Business
CREDIBILITY Instill trust, confidence and accountability with our actions
CUSTOMER FIRST Keep customer at the core of every action
Core Values
AGILITY Move ahead of time quickly
RISK-TAKING Dare to go beyond
EXECUTION EXCELLENCE Strive to be the best in everything we do
R P S G - G R O U P P R E S E N TA T I O N
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Group’s growth trajectory
H in crore
FY23
36,901
6,106
39,997*
Innovation
Value addition
Capital Allocation
FY18 3
X 4 .
17,267
X 4 . 4
3,936
X 5 . 8
22,375
Driving Efficiencies
Cost focus
Single line businesses
FY13
13,449
1,863
4,427
Setting up leadership team
Scaling of existing businesses
Foray into new businesses
*Market cap as on 31st Aug 2023
R P S G - G R O U P P R E S E N TA T I O N
Others
5
Our geographical presence
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17
1
3
FSL (Data Centres) : US | UK | Philippines | Mexico | India
PCBL - Plant Locations : Mundra, Gujarat | Palej, Gujarat | Durgapur, West Bengal | Kochi (Kerala) Tiruvallur (Tamil Nadu)
CESC : Distribution- 6 Cities/Districts | Generation- 5 Thermal Power Plants | Solar- 1 Power Plant
Nature’s Basket : 6 cities
Spencer’s : 44 Cities
Harrisons Malayalam: 20 estates (Kerala, Karnataka & Tamil Nadu)
R P S G - G R O U P P R E S E N TA T I O N
6
Our journey through the decade
2012
Ventured into IT- enabled services by acquiring Firstsource Solutions Ltd.
2013
Quest, Eastern India’s first luxury mall was inaugurated
2014
• Commissioned Haldia Energy (600 MW TPP) and Dhariwal Infrastructure (600 MW TPP)
• Formed ATK
with Atletico de Madrid
• Acquired DF for Kota, Bharatpur and Bikaner in Rajasthan
• Acquired Apricot Foods Ltd.
2016
RPSG Ventures - a VC fund for consumer B2C start-ups
2018
• Acquired a
majority stake in Dr Vaidya’s, largest online Ayurvedic brand
• Acquired Nature’s Basket- a retail chain with diverse gourmet offerings
2019
2017
• FMCG foray with Too Yumm snack brand
• Launched Carvaan, a portable digital music player
• Acquired IPL’s Pune Franchise- Rising Pune Supergiant
2020
• Acquired DF for Malegaon
• Acquired a
majority stake in Mohun Bagan Athletic Club, Kolkata
• FSL acquired
PatientMatters, a healthcare revenue cycle management solutions provider
• Launched
personal care range – Naturali
• Acquired Durban
franchise of South African League
• Set up RP Goenka
International School
2022
2021
• Won the Lucknow Franchise of IPL — Lucknow Super Giants
• Raised growth capital in PCBL and Saregama
• Won distribution
license in Chandigarh
• FSL acquired The
StoneHill Group Inc. and American
Recovery Services Inc.
R P S G - G R O U P P R E S E N TA T I O N
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ESG focus
Sustainability
as one of the core values for the group – ‘Be equally responsible for people, planets and profits’
“Great Place to Work” CESC, Firstsource & Spencer’s
Green Building
17 Certified Buildings & 1.6 Mn Sq Ft of Operating Area
The RP-Sanjiv Goenka Group has received the United States Green Building Council Leadership Award for South-East Asia 2021 for its one-of-a-kind project
Sustainability Reports – CESC and PCBL have been publishing their Sustainability reports annually for a few years now
GHG emission reduction target PCBL- 15% plans to reduce net Co2 emission by 2030 CESC aims to reduce its GHG emissions and Carbon Footprint by 2030
Water Conservation
All plants at PCBL adhere to ZLD regulations.
By 2030 CESC covet all power plants to be ZLD compliant
FSL and HML have 44% & 50% women workforce, respectively
Firstsource comprehended in the 2022 Bloomberg Gender-Equality Index (GEI)
Board Composition
FSL, PCBL, Saregama, Spencer's, RPSG Ventures, CESC - 50% Independent Directors
R P S G - G R O U P P R E S E N TA T I O N
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Strategic priorities
Sustainably growing our businesses (Organic and Inorganic mix)
Enriching portfolio of businesses by increasing share of value-added product and services
Profitable Growth (Focus on ROCE as KPI)
Transforming into R&D and Innovation led culture
ESG Commitment
Shareholder Value Creation
R P S G - G R O U P P R E S E N TA T I O N
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Numerous Legacies Continuous Growth
THE WORLD’S NO.1 CELEBRITY MAGAZINE
Years
R P S G - G R O U P P R E S E N TA T I O N
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RPSG Retail Business
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Disclaimer
This presentation has been prepared by Spencer's Retail Limited (the "Company") for general information purposes only, about the company activities without regard to specific objectives, suitability, financial situations and needs of any particular person. This presentation does not constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment therefor. No person is authorized to give any information or to make any representation not contained in or inconsistent with this presentation and if given or made, such information or representation must not be relied upon as having been authorized by any person.
This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures, and financial results, are forward looking statements. Forward looking statements are based on certain assumptions and expectations of future events. This presentation should not be relied upon as a recommendation or forecast by the Company. Please note that the past performance of the Company and its subsidiary is not, and should not be considered as, indicative of future results. The Company cannot guarantee that these assumptions and expectations are accurate or will be realised. The actual results, performance or achievements, could thus differ materially from those projected in any such forward-looking statements. The Company does not undertake to revise any forward-looking statement that may be made from time to time by or on behalf of the Company. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward looking statements.
This presentation may not be copied or disseminated, in whole or in part, and in any manner or for any purpose. No person is authorized to give any information or to make any representation not contained in or inconsistent with this presentation and if given or made, such information or representation must not be relied upon as having been authorized by any person. Failure to comply with this restriction may constitute a violation of applicable laws.
The presentation is confidential and cannot be published with prior permission. None of the Company, its subsidiary, its Directors, Promoters or affiliates or associates, nor any of its or their respective employees, advisers or representatives or any other person accepts any responsibility or liability whatsoever, whether arising in tort, contract or otherwise, for any errors, omissions or inaccuracies in such information or opinions or for any loss, cost or damage suffered or incurred howsoever arising, directly or indirectly, from any use of this document or its contents or otherwise in connection with this document, and makes no representation or warranty, express or implied, for the contents of this document including its accuracy, fairness, completeness or verification or for any other statement made or purported to be made by any of them, or on behalf of them, and nothing in this presentation shall be relied upon as a promise or representation in this respect, whether as to the past or the future. The information and opinions contained in this presentation are current, and if not stated otherwise, as of the date of this presentation. The Company undertakes no obligation to update or revise any information or the opinions expressed in this presentation as a result of new information, future events or otherwise. Any opinions or information expressed in this presentation are subject to change without notice. This presentation may not contain material information to potential information, unless explicitly claimed.
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Our Journey so far…
2019 Listed in Stock Exchanges Acquisition of Natures Basket Spencers reported first ever positive PBT Natures Basket turnaround within 1 year of acquisition
2023 Recalibrating expansion strategy Driving Operational efficiencies Sustaining Omni Channel Business
2000
Launch of 1st Hypermarket in India
1989
Introduced Modern Retail to India
2019 to 2022
COVID-19 impact Adapted to the environment and Introduced Phone delivery, WhatsApp delivery by Scaling of our Omni Channel Business
100+ Foodworld Stores
FY20 Sales 2400cr+
FY22 Sales 2000Cr+
FY23 Sales 2200Cr+
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Our Presence…
Spencers: 152 stores Natures Basket: 34 stores
North 46 Stores
East 58 Stores
West 22 Stores
Serving 40+ cities through OOS
South 60 Stores
850+ Pin codes served through Online
As on 30th June’23
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Retail Market Size
(+6.3%)
107 7
795
• Indian Retail Industry to grow at CAGR of 6.3% to reach $ ~1 trillion by 2025
• Driven by Organized Retail growing at
CAGR 17.2%
• Organized retail share to move from
11.9% to 19.4% by FY25
• The future of retail is “OMNI Channel”
• E-Retail will be the fastest growing
channel for organised market because of the favourable Ecosystem • Growing consumerism of the middle
class
• Young population • Access to technology platform
($ Bn)
(+4.4%)
(+17.2%)
(+22.2% )
(+13.5% )
($ Bn)
Source: Technopak
15
95 209 700 868 FY20FY25Org. RetailUnorganised57 108 37 101 FY20FY25Brick & MortarE- Retail Strengths..
Spencers
Legacy & High Brand Recall
Cluster bases strengths WB & UP
Experienced Team
Differentiated Merchandising/Assortment - Fresh including Fish & Meat - Liquor - International Food
Natures Basket
Premium Positioning
Listed Gourmet Retailer in India
Marquee Locations / High Street properties
High Margin Business
Experiential Shopping Environment
Presence in growing consumption cities i.e. Mumbai, NCR, Bangalore & Kolkata
16
Region wise Business Mix
Region wise Business Mix %
Numbers for Spencer
FY22, AP & Tel, 23%FY22, East UP, 13%FY22, East , 50%FY23, AP & Tel, 18%FY23, East UP, 15%FY23, East , 54%AP & TelEast UPNCRTNKBLREast Key Levers..
Footprint
Omni Channel*
Experience & Efficiencies
To add 10% of Trading area per annum
Spencers primary focus on two clusters i.e. WB & UP and Natures Basket in Mumbai, Bangalore, NCR & Kolkata
City penetration with combination of Hypermarket, Kirana and Value-market
Marquee Properties at high street locations for Natures Basket
Sustaining the Omni Channel business mix of 25%+
Non Food business mix of 25%+ led by General Merchandise
Pin Code penetration 100% where we are present
Increasing choice for consumers with SOR brands
Curating multiple specialty and experience zones in our stores
Driving business efficiencies across all cost items
*Omni Channel refers to Website, App, WhatsApp, Phone ordering
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Out-of-Store Campaign
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Store Pictures
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Store Pictures
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Store Pictures
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Store Pictures
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The Leadership Team
Anuj Singh
Chief Executive Officer & Managing Director
Saurabh Bansal
Chief Merchandising Officer
Somasundaram
Ramanathan
Head Operations
Sandeep Sinha
Head Human Resources
Manish Agarwal
Fresh Category
Rahul Nayak
Whole Time Director
Neelesh Bothra
Chief Financial Officer
Tajender Pal Singh
FMCG Category
Deepak Gupta
Staples Category
Joyeeta Kumar
Apparel Category
Gagan Katyal
General Merchandise and Electronics & Electricals Category
Mrigank Saraf
Liquor Category & Ecommerce
Raghuram PL
Information Technology
Lily Vincent Category Head Natures Basket
Sachin Agarwal Chief Operating Officer Natures Basket
Experienced Leadership team with an average of 20+ years each
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THANK YOU