Avenue Supermarts Limited — Investor Presentation 2022

Oct 16, 2022

==> picture [452 x 46] intentionally omitted <==

16[th] October, 2022

To,

BSE Limited

Corporate Services Department Phiroze Jeejeebhoy Towers Dalal Street, Mumbai – 400 001 BSE Scrip Code: 540376

National Stock Exchange of India Ltd. Corporate Communications Department “Exchange Plaza”, 5[th] Floor, Bandra – Kurla Complex, Bandra (East), Mumbai – 400 051 NSE Scrip Symbol: DMART

Sub: H1 FY 2023 Earnings Update Presentation

Dear Sir/ Madam,

Pursuant to the Regulation 30 of the Securities and Exchange Board of India (Listing Obligation and Disclosure Requirements) Regulations, 2015, please find enclosed herewith Earnings update presentation of the Company for the half year ended 30[th] September, 2022.

The Presentation is also available on website of the Company https://www.dmartindia.com/ investor-relationship

Kindly take the same on record.

Thanking You,

For Avenue Supermarts Limited

Digitally signed by Ashu Gupta Ashu Gupta Date: 2022.10.16 13:43:26 +05'30'

Ashu Gupta

Company Secretary & Compliance Officer

Encl: as above

==> picture [451 x 30] intentionally omitted <==

==> picture [174 x 192] intentionally omitted <==

==> picture [167 x 57] intentionally omitted <==

H1/FY2023

Corporate Presentation

==> picture [174 x 192] intentionally omitted <==

==> picture [41 x 78] intentionally omitted <==

Table of Contents

==> picture [69 x 69] intentionally omitted <==

Business Overview 1.

2. Operating & Financial Summary

Corporate Presentation

==> picture [41 x 104] intentionally omitted <==

1 Business Overview

==> picture [111 x 38] intentionally omitted <==

==> picture [41 x 78] intentionally omitted <==

Key Product Categories

==> picture [751 x 411] intentionally omitted <==

----- Start of picture text -----

Foods Non-Foods (FMCG) General Merchandise & Apparel
Share of Revenue Share of Revenue Share of Revenue
FY22 H123 FY22 H123 FY22 H123
56.86% 54.75%
20.50%
Bed & Bath Toys & Games Crockery
Dairy Staples Groceries
Home Care
Plastic
Snacks Frozen Products Processed Foods Goods Garments
Other over the
Personal Care Toiletries
counter products
Footwear Home Appliances
Beverages and Fruits &
Cooking Oils
Confectionery Vegetables
----- End of picture text -----

4

Corporate Presentation

==> picture [41 x 78] intentionally omitted <==

Cluster Based Expansion Strategy Continues

==> picture [755 x 372] intentionally omitted <==

----- Start of picture text -----

Punjab
Maharashtra
(10)
(1)
NCR
1
(7)
Store
Rajasthan Madhya Pradesh
Punjab
(11) (18)
2002-03 (9)
NCR Gujarat
(7) (51)
Rajasthan Madhya Pradesh
(10) (17)
Madhya Pradesh Gujarat
(3) (48)
Chhattisgarh
(6)
Daman
Chhattisgarh
(1)
(6)
Daman Telangana
Chhattisgarh
Gujarat (1) Maharashtra (34)
(26) Andhra (1) Maharashtra Telangana (92) Andhra Pradesh
(31)
Maharashtra Pradesh & (88) Andhra Karnataka (25)
(58) Telangana Karnataka Pradesh (29)
(16)
(29) (23)
Karnataka 110 Tamil Nadu 284 Tamil Nadu 302
(6) Stores (15) Stores (18) Stores
2015-16 2021-22 H1 2022-23
----- End of picture text -----

Numbers in bracket represent stores in that particular state

Corporate Presentation

5

==> picture [41 x 78] intentionally omitted <==

DMart Ready – Gradual Expansion in Large Towns

==> picture [752 x 298] intentionally omitted <==

----- Start of picture text -----

Jaipur Indore
Bhopal
Ahmedabad
Indore
Anand
Bhopal Raipur
Vadodara
Bhilai
Ahmedabad Surat
Nagpur
Mumbai
Vadodara
Pune
Surat Kolhapur Visakhapatnam
Nagpur Hyderabad
Belagavi Vijayawada
Mumbai
Pune Visakhapatnam
Hyderabad
Mumbai Kolhapur
(MMR)
Bangalore
18 Cities
1 City 12 Cities
Bangalore
2016-17 As of June 30, 2022 As of September 30, 2022
----- End of picture text -----

==> picture [171 x 15] intentionally omitted <==

----- Start of picture text -----

As of September 30, 2022
----- End of picture text -----

Corporate Presentation

1

6

==> picture [41 x 78] intentionally omitted <==

Year Wise Store Additions

==> picture [724 x 340] intentionally omitted <==

----- Start of picture text -----

Store 284 302
176 214 234*
Count
18
50
22
38
21
FY19 FY20 FY21 FY22 H1/23
----- End of picture text -----**

* During FY21, we opened 22 new stores and converted 2 stores into Fulfilment Centers for Avenue E-Commerce Limited ** One Fulfilment Center of Avenue E-Commerce Limited was reconverted to DMart Store in H1/23

Corporate Presentation

7

==> picture [41 x 78] intentionally omitted <==

Operating & Financial Summary

==> picture [743 x 396] intentionally omitted <==

----- Start of picture text -----

Total Bills Cuts (in Crs) Like For Like Growth (24 Months)
41.6%
20.1
18.1
17.2
17.8%
15.2 16.7%
10.9%
10.8
FY19 FY20 FY21 FY22 H1/23
FY19 FY20 FY21 FY22 H1/23
-13.1%
Retail Business Area at Fiscal End Revenue from Sales per Retail Business Area sq ft [#]
Total 'MN 7.8 8.8 11.5 12.4 35,647 32,879
SQFT
27,306 27,454
0.9
2.7
1.0
1.9 15,964
1.0
FY19 FY20 FY21 FY22 H1/23 FY19 FY20 FY21 FY22 H1/23
(INR)
----- End of picture text -----**

• All data for H1/23 corresponds to performance indicators for six months ending 30/9/22

• ** LFL growth means the growth in revenue from sales of same stores which have been operational for at least 24 months at the end of the period

• # Annualized revenue from sales calculated on the basis of 365 days in a year (on standalone basis) divided by Retail Business Area at the end of Fiscal Year (computed for 183 days in H1/23)

8

Corporate Presentation

==> picture [41 x 78] intentionally omitted <==

Operating & Financial Summary (Cont’d.)

==> picture [741 x 402] intentionally omitted <==

----- Start of picture text -----

Revenue from Operations # EBITDA [^] & EBITDA Margin
2,700 12.0%
30,353 2,502
2,400 2,122 1,903
10.0%
24,675 2,100
23,787 1,642 1,742
19,916 20,192 1,800 8.2% 8.6% 8.2% 9.4% 8.0%
1,500 7.3%
6.0%
1,200
900 4.0%
600
2.0%
300
0 0.0%
FY19 FY20 FY21 FY22 H1/23
FY19 FY20 FY21 FY 22 H1/23 EBITDA EBITDA margin (as % of Revenue from Operations)
PAT & PAT margin ** Net Cash flow from Operations ~
2,200 2,050
1,800
1,650 1,616 1410 7.5% 2,0001,800 1,674 1,675
1,500 1,350 6.5% 1,540
1,350 1,600
1,165 7.0%
1,200 5.5% 1,400
1,153
1,050 936 5.5% 5.3% 4.5% 1,200
900 4.9% 1,000
4.7%
750 3.5% 800
600
600
450 2.5%
400
300
1.5%
150 200
0 0.5% 0
FY19 FY20 FY21 FY22 H1/23 FY19 FY20 FY21 FY 22 H1/23
(INR Crs)
INR Crs
(INR Crs (INR Crs)
----- End of picture text -----

^ EBITDA = Profit / (Loss) pre Tax + Depr and Amortisation + Finance Costs - Other Income # Revenue from operations is including other operating income and excluding other income ** PAT and PAT margin for H1/23 not comparable with prior periods due to one-off tax benefit in H1/23

• All data for H1/23 corresponds to performance indicators for six months ending 30/9/22 ~ Net Cash Flow from Operations = PAT+ Depreciation + Deferred Tax

9

Corporate Presentation

==> picture [41 x 78] intentionally omitted <==

Operating & Financial Summary (Cont’d.)

Days Inventory & Days Payables

Debt and Equity

==> picture [734 x 357] intentionally omitted <==

----- Start of picture text -----

40 36.5 Total Debt Equity Debt/ Equity 0.1
33.3 32.4 0.12
29.3 30.4 15,000 0.1
30
12,000 0.1
0.1
20 9,000
0.1
6,000 0.03
10 0.0
0.03 0.02 0.03
3,000
8.3 7.9 9.1 7.7 7.6 695 280 296 416 465 0.0
0
0 0.0
FY19 FY20 FY21 FY 22 H1/23 FY19 FY20 FY21 FY22 H1/23
Days Inventory Days Payables
Fixed Asset and Inventory Turnover^ Ratio Return on Net Worth and Return on Capital Employed
30%
25.9%
14.6 14.2
12.8 25%
11.7 20.4%
20%
15.6%
6.7 15% 18.3% 11.5% 11.0%
16.1%
4.3 4.1 10%
3.1 3.1 12.3%
1.9 9.9%
5% 9.6%
0%
FY19 FY20 FY21 FY22 H1/23 FY19 FY20 FY21 FY 22 H1/23
Fixed Asset Turnover Inventory Turnover Ratio
13,924
15,333
INR Crs ( 12,305
11,136
5,594
----- End of picture text -----**

==> picture [325 x 188] intentionally omitted <==

----- Start of picture text -----

30%
25.9%
25%
20.4%
20%
15.6%
15% 18.3% 11.5% 11.0%
16.1%
10%
12.3%
9.9%
5% 9.6%
0%
FY19 FY20 FY21 FY 22 H1/23
Return on Net Worth Return on Capital Employed
Debt = Short + Long Term borrowings + Current portion of LT Debt + Lease Liab (per Ind AS 116)
Return on Net Worth = Net profit after tax / Average Net Worth
----- End of picture text -----*

• All data for H1/23 corresponds to performance indicators for six months ending 30/9/22

• ** Fixed Asset Turnover = Revenue from Operations/Total Fixed Assets (incl RTU Assets per AS116)

• ^ Inventory Turnover Ratio = Revenue from Operations/Average Inventory

Return on Capital Employed = EBIT / (Avg Debt + Avg Equity – Avg Cash – Avg Current Investment)

• Days Inventory = (Avg Inv / COGS)365 ; Days Payables = (Avg Payables / COGS)365 (183 for H1/23)

10

Corporate Presentation

==> picture [41 x 78] intentionally omitted <==

Thank you!

Corporate Presentation