D P ABHUSHAN LIMITED — Call Transcript 2022

Aug 9, 2022

Date: August 9, 2022

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To, Listing Compliance Department

National Stock Exchange of India Limited

Exchange Plaza, Bandra Kurla Complex Bandra East, Mumbai – 400051.

Sir/Ma'am,

Sub: Outcome of investors/analysts meet - Transcript of the Investor Meet held on Monday, August 8, 2022

Ref: D. P. Abhushan Limited (Symbol: DPABHUSHAN)

In reference to our communication dated August 5, 2022, regarding investors/analyst video conference, please find enclosed the transcript of the Post Result Video Conference held on Monday, August 8, 2022 to discuss the financial results and operations for the quarter ended on June 30, 2022.

You are requested to kindly take the same on records.

Thanking you,

For, D. P. Abhushan Limited

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Santosh Kataria Chairman and Managing Director DIN: 02855068

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Place: Ratlam

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-247022 Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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“D. P. Abhushan Limited Q1 FY23 Video Conference

August 8, 2022

Management : Mr. Santosh Kataria – CMD, D.P. Abhushan Limited Host & Moderator : Mr. Anand Lavingia Presenter : Ms. Payal Sodani

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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Moderator	Hello.
Team DP Abhushan	Good evening everyone. So can we start the session.
Moderator	Yes, that.
Team DP Abhushan	Or should we wait for two minutes people are just joining.
Moderator	Okay
Team DP Abhushan	To let us wait for just two more minutes, we will start sesion by 05:35
Moderator	Yes, sir
Team DP Abhushan	So can we started this session
Moderator	Yes Sir
Moderator	Good Evening Everyone, This is Anand from D P Abhushan Limited
Moderator	It gives me great pleasure to welcome you all at the Investor meet of the company
Team DP Abhushan	Sir, if you can be a bit louder
Moderator	Okay, again. Good evening, everyone, this is Anand from D P Abhushan Limited. It gives me great pleasure to welcome you all at the investor Meet of the company D P Abhushan Limited. Hope, All of you are safe and in good health, and wish you all to stay that way. Before starting the first phase of our investor meet. I just want to share the object, behind this investor meet. The only idea behind conducting meet, is to provide transparency for the company's present performance to address the queries of the investors, and to ensure that the company's overall information is available to the stakeholders. I need to add one more thing here is that our country's currently celebrating "Har Ghar Tiranga" campaign, under the guidance of Azadi ka Amrit Mahotsav. So, to encourage people to bring the Tiranga at home, and to host it to mark the75thyear ofIndia's independence. Same way,D P group has also completed almost82 years,almost eight decades in the

D. P. ABHUSHAN LIMITED CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-

247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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jewellery business, which shows the strong route having a presence before our independence. I request all the attendee to give three claps, only three claps to Team DP behind their hard working, since 1940, I request moderator, to unmute all the attendees, and give a three clap. Team DP Abhushan: request everyone to unmute themselves and then we can give three claps to DP Abhushan. Anand Ji : So now moving to the next phase of the meet, I welcome Board Members, Promoters, KMP’s and Companies Investor. Today we have with us, our respected, Chairman and Managing Director Shri Santosh Ji Kataria, Our Whole Time Director Shri Anil Ji Kataria, Our Chief Financial officer, Shri Vijesh Ji Kasera. Apart from board members, we have with us, our promoter, Shri Vikas Ji Kataria & Shri Sanjay Ji Kataria. Without taking much of time. Now I transferring dias, to our Chairman and Managing Director Sir Shri Santosh Ji Kataria to share with us the overall performance of the company. During the first quarter of the financial year, 2022 23, as well as current market scenario, and business outlook for remaining period of the financial year 2022 23. Over to you sir Santosh Ji.

Management

Dear stakeholders A Very Good evening, it is matter of great pleasure to welcome all of you for the journey of the investor in this meet. The meet is for discussing the financial and operational performance of D P Abhushan for the Quarter ended June 2022. Before we started, I would express by Thanks to all of you for investing in our company, and being a part of five years’ journey for achievements, growth, expansions and performance. D P Jewellers was merely a partnership until 2017, On 2ndMay 2017, the partnership firm got converted into a company with the name ofM/s D P Abhushan Limited. I am proud to say that in 2020 Our company has completed five years in corporate world, and 4.5 years since our company got listed on National Stock Exchange. On completion of five years, I congratulate all members of D P family that includes our hard working, Employees, my support system, my father, my brothers and our investors who put trust in us these five years.

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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	Our vendors, our customers, I thank you all from the bottom of my heart for working shoulder to shoulder with us. I wish we may add two more heights in upcoming years to come. In the year 2017 when we came into public we had four showrooms Only at Ratlam, Indore, Udaipur & Bhopal. And today we have 8 Showroom by adding new Showrooms at Ujjain, Bhilwara, Kota & Banswara. Also Company planning to expand its pillar most successful locationRatlam. Our top line was grown from 175 Crores in quarter one financial year 2022 to 433 Crores in quarter one financial year 2023. And PAT was zoomed at 12 Crores in June 2022, against just rupees Four Crores in June 2021. So was EPS from 1.92 in Quarter one financial year 2022 to 5.81 in quarter one financial year 2023. Our net profit margin, improve more from 2.26% in 1stquarter of last year to 2.98% in 1st quarter of current year. According to me, Indian economy is heading towards accelerate growth, headed by a strong rebound in business post Covid & positive customer sentiment, the long-term outlook of Indian economy seems to be very promising. Short-term challenges may come & go. As Per Report of ICRA rating released on May 2022, it forecasts that Gold Jewellery demand in financial year 2023 will be grown by 11% year on year, but we estimate that DP Abhushan Limited will be at least grow by grown by 20% year on year. Apart from this, rise in inflation is all over the world economy with the inflation rising, there will be surge in gold demand, and gold is the most efficient hedge against inflation of economy. Overall the Jewellery Retail outlook to be very promising In India. Retail market and consumer performance is moving shifted from unorganized sector to organize sectors. I will now hand over the host for further proceeding and once again warm welcome and thanks to all of you is a part of the family. Thank You.
Team DP Abhushan	Thank you sir for this speech, and thank you for sharing the insights regarding the company. Now I would like to request host to take this session
Management	Thank you
Moderator	Now, we are moving to the next phase of our investor meet, that is investor presentation for which we are currently gathering. Now I request Payal Ji to present the gist over the financial performance of the company. I request moderator to present a PPT Payal Ji, Over to you

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-

247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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Presenter	Good evening all, I would like to mention that this presentation has been prepared for informational purposes only. The company does not form it as any part of any offer invitation, or recommendation to buy or invest in any of this shares or securities of the company. If you can please check out echo in sound before starting the presentation
Team DP Abhushan	Please continue
Presenter	The Journey of D P Jewellers began way back in 1940, that is, even before independence, within the small city of Madhya Pradesh. It got converted into partnership firm in 2003, and then came into existence in 2017, as in the form of a company. Today, the company has grown into a large central Indian jewellery retail chain with stores present at cities like Ratlam, Indore, Udaipur, Bhopal, Ujjain, Bhilwara, Kota & Banswara. The current management is being led by fourth generation of Kataria family. The basic pillars of values and equality reasonableness and transparency runs through generation and the company. The fourth generation, working tirelessly to stand up to the trust of millions of customers from across the world The D P Jewellers started in 1940 with a brand name and the brand has become grown to be immense with the brand D P Jewellers. It has now, 8 showrooms across the cities. In 2017 The company got listed on the NSE platform, and in 2020, it got listed on NSE main board. The main flagship store of the company is situated in Indore. I present to you the management chart of the company. You Can take note of that Some of the recent achievements and recognitions by the company. During the year, 2021 22 company has earned over a revenue of over, 1700 Crore. Company has employed 500 plus human assets. The company is located at more than eight locations in the prior cities. As mentioned earlier, company is associated with more than 25 Lacs families, and is proudly run by fourth generation of promoter’s. Company has a football to conversion ratio of 85 to 95%, which is highest in its field.

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-

247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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	D P Abhushan has been a pioneer in setting, Ratlam as an India's Gold City. It was established as the First Jewellery company of central India, which was listed at NSE on 23rd October 2017. company has also been awarded the best promising Gems & Jewellery company by IBJA. company is spread over eight stores, located in various locations in the central level of India. The Stores of The company is generally spread over between 2000 to 6000, square feet. The flagship store of the company is located in Ratlam, which is spread it over 15,000 square feet. Some of the glimpse of the stories of companies situated at cities like Ratlam, Indore, Udaipur, Bhopal, Ujjain, Bhilwara, Kota & Our recent development at Banswara. A glimpse of company actively participating the customers. I further present to you a video. I Request the moderator Kindly play the video
Team DP Abhushan	Just as second
Presenter	Yes, and Audio So that was a glimpse of our company. Also, we would like to mention what kind of products collections, we offer, be it Wedding Jewellery, Traditional, Valentine's jewellery or Flower collection, we at D P Abhushan Limited offer you all. Some glimpses of our latest designs. In 2017 company brought its IPO, with a market cap of rupees 62 Crores at an issue price of Rs. 28. It was a remarkable moment for the company as IPO got subscribed over 40 times. It got listed on NFE SME platform on 23rd of October, 2017, the current scenario of the company is the market cap is rupees, 950 Crore plus and the prizes, 440. I Further present to you, strong financial performance of the company. As we can see, during the quarter first quarter of financial year, 2223, the company has been marked over, 147% increase in its revenue, as compared to same quarter of the previous financial year that is 2122. As Warren Buffett rightly said, it takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you will do things differently. DP operations management works on the same principle of Warren Buffett,eachgeneration has to carrylegacyfor reputation,the

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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forefathers have built towards the customers. Therefore, we stand strong leader in footfall, to conversion ratio. Volume metrics and segment by division. This is every sales per square, square feet, represent our customer loyalty and trust that customers, put with the brand dp Jewellers. Our performance metrics has been reviewed, with the help of a graph chart. And as we can see, it has been growing since the financial year 1780 consistency is what matters for the company, as compared to financial year 2122 company has shown over onb147% growth in the quarter as compared to Quarter first of financial year 2223. There has been growth of 203% in the profit, as compared to previous financial year. When it comes to turning the inventory, effective, D P Abhushan Limited stands best among other retailers. This is because of the years of experience DP have earned in outstanding customer needs and requirements. D P Abhushan Limited inventory ratio is the best among its competitors. The management of the company is taking adequate steps on consistent ways to improve and maximize the overall margins, as the company has all his tools, established in the central level of India. Effectively uses all its resources so that the cost can be minimized. The company expects to a cheaper same status for sale growth of around 22% for upcoming years on the basis of past performance company's vision is to open to showrooms. Every year, and with a 50% utilization his first year, and 100% utilization in next year onwards. Company's vision is to be a market leader in gems and jewelry sector in Tier-2 /3 cities of central India.It aims to become central India's most low entrusted jewellery plan to create wealth for all the stakeholders by building a business based on honest and transparent approach towards the customers and contribution, contributing to the society at large. The company is planning to expand by establishing 13 more stores, by the end of the financial year 25. The company is planning to achieve revenue of 3000 Crores by the end of the financial year 25, some key points, which makes the D P Abhushan different our growth pillars throughout the year. Brief of strengths, weaknesses, opportunities and threats faced by the company. A pleasant glimpse of the working environment at the

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-

247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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	company. A brief, brief glimpse of the financial results for the quarter one. D P Abhushan limited has posted strong revenue and profit growth during the current quarter, as compared to same quarter of previous year. The management has attributed surge in store walk ins and also buyers grew overall in all showrooms. The management plans to continuously expand its footprint to other major cities as well. D P Abhushan Limited is well known jewellery brand registered at the Ratlam (M.P.) in central India and having its showroom in eight cities in Madhya Pradesh & Rajasthan. Thus summarizing the whole presentation. Thank you so much
Moderator	Thank U Payal Ji. Now, moving to the last phase of our investor Meet, that is question answer session. I would request moderator of the meeting to manage this session
Team DP Abhushan	That is open for question answer Yes. If anyone would like to answer any question to the management of the company. Please, you can raise your hand I will unmute, or you can unmute yourself. I think Mr. Vijit Ramawat to have some question. Yes, sir. Please proceed with your question
Vijit Ramawat	Congratulation Team DP Abhushan for a good set of numbers, especially in a profit margin and a net profit margin I have 2 questions. First question is, the operating profit margins of 5% the company have marked in current quarter will it be maintained consistently or It will be better in future?
Team DP Abhushan	Santosh Sir
Management	Good evening. We are continuously working on same. Also focus on to improve in Operating charges so that same can be maintained easily if there would be no major changes in economy
Vijit Ramawat	My 2ndQuestion is: Whether D P Abhushan have any planning to go on franchisee model
Management	Currently we are not seeing any successful franchisee model in Jewellery Field except 1 or 2. And there would be Win Win situation for both
Vijit Ramawat	I Think if D P think for Franchisee model then it will be successful. My Last Question when Working will start for Ratlam Showroom. Any timeline?

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412-

247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com

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Management	We are working on same. Currently issue found in Place suitability. Once we are on one page then it is very easy to finalise the same & it will not take much time.
Vijit Ramawat	Thank you
Team DP Abhushan	Anyone else would like to answer some question. Yes, Gaurav Gandhi Sir, have raised hand. Sir please unmute yourself
Gaurav Gandhi	Sir, I have one suggestion that the PPT have gone very fast. Therefore, what the presenter want to say is not clear. Secondly I want to know that can you please describe me sale proceed Item wise & quantity wise as compared to Q1 of FY21-22.
Team DP Abhushan	Yes, Sir, We will show quantity wise data. It is part of our PPT. Presentation will be uploaded on the NSE website. So you can just go through the presentation the same presentation will be uploaded. Actually volume metrics to describe is difficult task, therefore it is not part of presenting but part of PPT
Gaurav Gandhi	Yes
Team DP Abhushan	Anyone else would like to answer like to question anything, any questions then please unmute yourself please. I think I would request the host to take over the dias. And please give a vote of thanks to all the members who are joining.
Moderator	So, after this question answer session last phase of this investor Meet. That is one of things I would like to thank all the board members campus promoters’ shareholders for sparing their valuable time for this investment. Thank you. Thank you.

D. P. ABHUSHAN LIMITED

CIN - L74999MP2017PLC043234

Registered Office : 138, Chandani Chowk, Ratlam (M.P.) – 457001, 07412-408900 Corporate Office :19, Chandani Chowk, Ratlam (M.P.) – 457001,07412-490966, Fax:07412247022

Web : www.dpjewellers.com , E-Mail : accounts@dpjewellers.com