TRIDENTNSE29 January 2020

Trident Limited has informed the Exchange regarding Investor Presentation

Trident Limited

TRIDENT/CS/2020 January 29, 2020

The Manager

Listing Department

The Manager

Listing Department

National Stock Exchange of India Limited

BSE Limited

Exchange Plaza, Plot No. C/1, G Block

Phiroze Jeejeebhoy Towers

BandraKurla Complex, Bandra (E)

Dalal Street

Mumbai – 400 051

Mumbai – 400 001

Scrip Code:- TRIDENT

Scrip Code:- 521064

Dear Sir/ Madam,

Sub: Investors’ Presentation

In terms of Regulation 30 and other applicable provisions of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached herewith copy of Investors’ Presentation with respect to the performance of the Company for the Quarter and Nine months ended December 31, 2019, for analysts and institutional investors.

We request you to kindly place the same on the website of stock exchange(s), for the information of shareholders.

The same is also available on the website of the Company i.e. www.tridentindia.com.

Thanking you Yours faithfully For Trident Limited

(Ramandeep Kaur) Company Secretary ICSI Membership No.: F9160

Encl: As above

Trident Limited

Q3 FY20 Earnings Presentation

Safe Harbour

This presentation has been prepared by Trident Limited (the (cid:862)Company(cid:863)(cid:895) for general information purposes only, without regard to any specific objectives, suitability, financial situations and needs of any particular person and does not constitute any recommendation or form part of any offer or invitation, directly or indirectly, in any manner, 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. This presentation does not solicit any action based on the material contained herein. Nothing in this presentation is intended by the Company to be construed as legal, accounting or tax advice.

This presentation has been prepared by the Company based upon information available in the public domain. This presentation has not been approved and will not or may not be reviewed or approved by any statutory or regulatory authority in India or by any Stock Exchange in India. This presentation may include statements which may constitute forward-looking statements. The actual results could differ materially from those projected in any such forward-looking statements because of various factors. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements, on the basis of any subsequent developments, information or events, or otherwise.

This presentation contains certain forward-looking statements relating to the business, financial performance, strategy and results of the Company and/ or the industry in which it operates. Forward-looking statements are statements concerning future circumstances and results, and any other statements that are not historical facts, sometimes identified by the words including, without limitation "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements, including those cited from third party sources, contained in this presentation are based on numerous assumptions and are uncertain and subject to risks. A multitude of factors including, but not limited to, changes in demand, competition and technology, can cause actual events, performance or results to differ significantly from any anticipated development. Neither the Company nor its affiliates or advisors or representatives nor any of its or their parent or subsidiary undertakings or any such person's officers or employees guarantees that the assumptions underlying such forward-looking statements are free from errors nor does either accept any responsibility for the future accuracy of the forward-looking statements contained in this presentation or the actual occurrence of the forecasted developments. Forward-looking statements speak only as of the date of this presentation and are not guarantees of future performance. As a result, the Company expressly disclaims any obligation or undertaking to release any update or revisions to any forward-looking statements in this presentation as a result of any change in expectations or any change in events, conditions, assumptions or circumstances on which these forward looking statements are based. Given these uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements.

The information contained in these materials has not been independently verified. None of the Company, its directors, promoter or affiliates, 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 presentation or its contents or otherwise in connection with this presentation, and makes no representation or warranty, express or implied, for the contents of this presentation 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 or at this presentation shall be relied upon as a promise or representation in this respect, whether as to the past or the future. Past performance is not a guide for future performance. The information contained in this presentation is current, and if not stated otherwise, made as of the date of this presentation. The Company undertakes no obligation to update or revise any information in this presentation as a result of new information, future events or otherwise. Any person/ party intending to provide finance/ invest in the shares/ businesses of the Company shall do so after seeking their own professional advice and after carrying out their own due diligence procedure to ensure that they are making an informed decision.

This presentation is not a prospectus, a statement in lieu of a prospectus, an offering circular, an advertisement or an offer document under the Companies Act, 2013, as amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended, or any other applicable law in India.

This presentation is strictly confidential and 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 the applicable securities laws. Neither this document nor any part or copy of it may be distributed, directly or indirectly, in the United States. The distribution of this document in certain jurisdictions may be restricted by law and persons in to whose possession this presentation comes should inform themselves about and observe any such restrictions. By reviewing this presentation, you agree to be bound by the foregoing limitations. You further represent and agree that you are located outside the United States and you are permitted under the laws of your jurisdiction to receive this presentation.

This presentation is not an offer to sell or a solicitation of any offer to buy the securities of the Company in the United States or in any other jurisdiction where such offer or sale would be unlawful. Securities may not be offered, sold, resold, pledged, delivered, distributed or transferred, directly or indirectly, in to or within the United States absent registration under the Securities Act, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable securities laws of any state or other jurisdiction of the United States. The Co(cid:373)pa(cid:374)y’s securities have not been and will not be registered under the United States Securities Act of 1933, as amended.

Q3 FY20 Earnings Presentation - Trident Ltd.

2

Overview

Textiles

Paper

Largest Player in terms of Terry Towel Capacity & One of the largest players in Home Textile Space in India

Highest Operating Margin among Key Listed Players in India

Revenue Split between segments

9M FY20

FY19

FY18

FY17

56%

51%

48%

49%

25%

30%

33%

33%

19%

19%

19%

18%

One of the Leading Business Groups with interest in Textiles and Paper

Bath & Bed Linen

Yarn

Paper

Q3 FY20 Earnings Presentation - Trident Ltd.

3

Global Presence

Corporate Office :

Ludhiana, Punjab

Manufacturing Facilities at:

Marketing Offices (India):

Marketing Offices (Intl.):

Sanghera & Dhaula, Punjab Budni, Madhya Pradesh

Mumbai, Gurgaon Kolkata, Bengaluru

New York, United States Cheshire, United Kingdom

Snapshot

Key Market Statistics BSE Ticker NSE Ticker Bloomberg Code Reuters Market Price (Rs) Market Cap (INR Crore / USD Mn) Number of Outstanding Shares (Crore) Face Value 52-week High / Low (Rs.)

29-Jan-2020 521064 Trident TRID:IN TRIE.NS 6.98 3557/ 499 509.60* Rs. 1 per share 8.45/5.22

Shareholding Pattern – 31st Dec, 2019

Category

Dec, 2019

Sep, 2019

Promoters

71.06%

71.06%

Institutions

2.25%

2.42%

Public

26.69%

26.52%

*Each equity share having face value of Rs 10 each has been split into 10 equity shares with face value of Rs 1 each. Accordingly previous year figures have been recomputed

Q3 FY20 Earnings Presentation - Trident Ltd.

4

Evolution

S E L I T X E T

R E P A P

) r C R N

I ( e u n e v e R

▪ Inception ▪ Set-up 1st Spinning

Unit Facility

▪ Entered Home Textile

with 1st Towel Manufacturing Unit ▪ Set up Spinning Unit - II

▪ Augmented Towel with Unit –II set up ▪ Spinning with Unit-

III set up

▪ Set-up Towel Unit

▪ Set-up Towel Unit-IV & First

– III;

▪ Added Spinning Units– IV, V & VI

Bed Linen Unit

▪ Added Spinning Units - VII,

VIII, IX & X

▪ Launched Textile Brands

1990 - 95

1996 - 00

2001 - 05

2006 - 10

2011 - 16

2001 - 05

2006 - 10

2011 - 16

▪ Acquired Paper Manufacturing Facility along with Captive Power

▪ Set-up Paper Unit II ▪ Set-up Captive Power

Facility

▪ Launched Paper

Brands

3816

1803

4640

5265

FY10

FY15

FY18

FY19

47

FY95

294

FY00

706

FY05

Transformed from a Pure Play Yarn Player to an Integrated Textiles and Paper Manufacturer

Q3 FY20 Earnings Presentation - Trident Ltd.

5

Key Highlights - P&L

9M FY20

TOTAL INCOME (INR CR)

PBT (INR CR)

3775

-2%

9M FY19: 3849

379 -5%

9M FY19 : 400

EBIDTA (INR CR)

PAT (INR CR)

762 +1%

9M FY19 : 755

302 +9%

9M FY19 : 278

EBIT (INR CR)

EPS (INR)

510 +6%

0.59 +7%

9M FY19 : 480

9M FY19 : 0.55

▪ Revenue for the period ended 31 Dec 2019 stood at INR 3775.4 crores owing to impact of reduced capacity utilization in yarn segment and low realization rate per kg in paper segment.

▪ Bed Linen segment capacity utilization for Q3 FY20

stood at 68%

▪ Finance Cost in Q3 FY20 stood at Rs 23.4 Crores, reduction of 13% as compared to Q2 FY20 and 16% Y-o-Y basis

▪ EBITDA stood at INR 762.0 crores in 9M FY20 compared to INR 755.0 crores in 9M FY19. EBITDA Margin stood at 20.2% in 9M FY20

▪ Reduced PAT of INR 302.2 crores owing to one time reversal of MEIS (in view of Ministry of Textiles, Government of India’s Gazette Notification number CG-DL-E-15012020-215423 dated January 14, 2020)

Q3 FY20 Earnings Presentation - Trident Ltd.

6

Key Highlights - B/S

as on December 31, 2019

NET DEBT (INR CR)

LT DEBT (INR CR)

1663

-680Cr

1044

-250Cr

FY19: 2344

FY19 : 1294

NET DEBT/EQUITY

NET DEBT/EBIDTA

0.5

FY19 : 0.8

1.6

FY19 : 2.3

REPAYMENT (INR CR)

CASH PROFIT (INR CR)

258

554

▪ Repayment of Long Term Debt by INR 258 Crores in

9M FY20

▪ Net Debt reduced by INR 680 crores during the period as compared to FY19 level. However the same is slightly higher compared to Q2 FY20 on account of increased utilization of working capital limits owing to procurement of cotton during the ongoing season

Net Debt (Rs in Crs)

2714

2621

2344

1663

9M FY19: 244

9M FY19 : 554

Mar'17

Mar'18

Mar'19

Dec'19

Q3 FY20 Earnings Presentation - Trident Ltd.

7

P&L Statement (S)

Particulars

Total Income

EBITDA

EBITDA %

Depreciation

EBIT

Finance Cost

Profit Before Tax

Profit After Tax

EPS (INR)

Cash Profit

Q3 FY20

Q3 FY19

Shift

9M FY20

9M FY19

Shift

3775.4

3848.8

1140.1

1306.4

202.4

17.6%

82.2

120.1

23.4

48.0

41.9

0.08

124.1

282.2

21.6%

89.2

193.0

28.0

165.0

111.4

0.22

200.6

-12.7%

-28.3%

-385bps

-7.8%

-37.8%

-16.3%

-24.1%

-70.9%

-63.6%

-38.1%

Q3 FY20 Earnings Presentation - Trident Ltd.

762.0

20.2%

251.8

510.3

83.0

378.6

302.2

0.59

554.0

-1.5%

0.9%

755.0

19.6%

+57bps

275.3

479.8

79.9

399.8

278.4

0.55

553.6

-8.5%

6.4%

3.9%

-5.3%

8.6%

7.3%

0.1%

8

Dividend Payout Div. Amt. (INR Per Share)

Total Div%

Year

9M FY20

18%

0.18/-

FY19

30%

0.30/-

FY18

15%

0.15/-

2nd Interim

1st Interim

Final

FY17

15%

0.15/-

2nd Interim

1st Interim

Type

%age

Dividend Payout Ratio

2nd Interim

1st Interim

Final

9%

9%

6%

3rd Interim

12%

50%

37%

35%

27%

2nd Interim

1st Interim

Final

FY17

FY18

FY19

9M FY20

Historical Dividends (%age of Face Value)

30%

15%

15%

18%

6%

6%

3%

6%

6%

3%

6%

6%

*Dividend Distribution Policy is available at www.tridentindia.com

FY17

FY18

FY19

9M FY20

Q3 FY20 Earnings Presentation - Trident Ltd.

9

Management Comment

Commenting on the performance, Mr. Rajinder Gupta, Chairman at Trident Group said:

(cid:862)Trident believes in offering innovative solutions and delivering high- quality value-added products to our customers. In spite of the latest economic challenges, the company has demonstrated high resilience.

We remain focused on sweating manufacturing capacities and expect to increase the utilization level led by expanding across geographies and enhancing our market share.(cid:863)

Q3 FY20 Earnings Presentation - Trident Ltd.

10

Textile - Financials

Sales (INR Crores)

3091

3050

EBIT (INR Crores)

245

269

9M FY19

9M FY20

9M FY19

9M FY20

Towel (cid:894)I(cid:374) 000’ to(cid:374)s(cid:895)

50%

45%

49%

52%

0 9

0 9

0 9

0 9

100

90

80

70

60

50

40

30

20

10

0

Capacity Utilization

Bed Linen (In mn. meters)

55%

50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

50

40

30

20

10

0

29%

2

.

3 4

63%

59%

44%

2

.

3 4

2

.

3 4

2

.

3 4

75%

65%

55%

45%

35%

25%

15%

5%

120

100

80

60

40

20

0

Yarn (cid:894)I(cid:374) 000’ to(cid:374)s(cid:895)

93%

95%

98%

95%

5 1 1

5 1 1

5 1 1

5 1 1

105 %

95%

85%

75%

65%

55%

45%

35%

25%

15%

5%

FY17

FY18

FY19

9M FY20

FY17

FY18

FY19

9M FY20

FY17

FY18

FY19

9M FY20

Q3 FY20 Earnings Presentation - Trident Ltd.

Capacity Utilization

11

Paper - Financials

Sales (INR Crores)

723

709

EBIT (INR Crores)

269

252

9M FY19

9M FY20

9M FY19

9M FY20

Capacity Utilization (Tonnage Basis)

89%

89%

89%

88%

180

160

140

120

100

80

60

40

20

0

5 7 1

5 7 1

5 7 1

5 7 1

FY17

FY18

FY19

9M FY20

95%

85%

75%

65%

55%

45%

35%

25%

15%

5%

Capacity Utilization

Copier v/s Non-Copier

9M FY20

55%

45%

Copier

Non-Copier

Q3 FY20 Earnings Presentation - Trident Ltd.

12

Financial Performance

Revenue (INR Cr)

EBIDTA (INR Cr)

3849

3775

900

850

800

750

700

650

600

550

500

450

400

19.6%

5 5 7

EBIDTA

EBIDTA %

20.2%

2 6 7

21. 0%

20. 0%

19. 0%

18. 0%

17. 0%

16. 0%

15. 0%

9M FY19

9M FY20

9M FY19

9M FY20

PAT (INR Cr)

375

325

275

225

175

125

7.2%

8 7 2

PAT

PAT Margin

8.0%

2 0 3

9.0 %

8.0 %

7.0 %

6.0 %

5.0 %

4.0 %

Interest Coverage Ratio

9.45

9.18

9M FY19

9M FY20

9M FY19

9M FY20

Q3 FY20 Earnings Presentation - Trident Ltd.

13

Financial Performance

Net Debt (INR Cr.)

Net Debt

D/E Ratio

Net Worth (INR Cr)

Net Worth

ROE

1.0

1.0

4 1 7 2

1 2 6 2

0.8

4 4 3 2

1.2

1.0

0.8

0.6

0.4

0.2

0.0

0.5

3 6 6 1

FY17

FY18

FY19

9M FY20

Capital Employed

Capital Employed

ROCE

11.7%

10.6%

14.1%

15.6%

5 4 9 4

0 0 8 4

6 7 6 4

2 2 2 4

18. 0%

16. 0%

14. 0%

12. 0%

10. 0%

8.0 %

6.0 %

4.0 %

2.0 %

0.0 %

300 0

250 0

200 0

150 0

100 0

500

0

510 0

490 0

470 0

450 0

430 0

410 0

390 0

370 0

350 0

18.6%

6 1 8 1

13.3%

3 0 0 2

16.6%

16.9%

1 4 2 2

9 7 3 2

20. 0%

18. 0%

16. 0%

14. 0%

12. 0%

10. 0%

8.0 %

6.0 %

4.0 %

2.0 %

0.0 %

FY17

FY18

FY19

9M FY20

Fixed Assets

Fixed Assets

Assets Turnover

1.1

7 6 4 4

1.1

8 7 0 4

1.4

8 4 8 3

1.3

4 5 9 3

1.6

1.4

1.2

1.0

0.8

0.6

0.4

0.2

0.0

250 0

200 0

150 0

100 0

500

0

460 0

450 0

440 0

430 0

420 0

410 0

400 0

390 0

380 0

370 0

360 0

350 0

FY17

FY18

FY19

9M FY20

FY17

FY18

FY19

9M FY20

*Excludes fair valuation of land as per IND – AS and exceptional items

Q3 FY20 Earnings Presentation - Trident Ltd.

14

Key Ratios

Particulars (INR crore)

Return on Capital Employed*

Return on Equity*

Interest Coverage

Net Debt to Equity

Net Debt / EBITDA

9M FY20

15.6%

16.9%

9.2

0.5

1.6

FY19

14.1%

16.6%

8.7

0.8

2.3

FY18

10.6%

13.3%

7.7

1.0

2.9

*Excludes fair valuation of land as per IND – AS and exceptional items

Credit Rating:

▪ CRISIL AA-/ CARE AA- (LT Bank Facilities)

▪ CRISIL A1+/ CARE A1+ (ST Bank Facilities)

CP Rating:

▪ CRISIL A1+/ IND A1+

Q3 FY20 Earnings Presentation - Trident Ltd.

15

For more information about us, please visit www.tridentindia.com

Abhinav Gupta/ Ankit Mahajan Investor Relations, Trident Limited Tel: +91 161 5039 999 Fax: +91 161 5039 900 Email: abhinavgupta@tridentindia.com; ankitmahajan@tridentindia.com

Thank You

Q3 FY20 Earnings Presentation - Trident Ltd.

16

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