SRS Limited Consortium Meeting

Financial AchievementsJune 19, 2015

Present Business OperationsOperational Units

Jewellery DivisionSRS Jewells – Retail Store 10Wholesale Units 4Manufacturing Unit (NSEZ) 1Cinema Division (No. of Screens) Tier 1 4Tier 2 31Tier 3 19Total 54 Retail Division (No. of Stores) Fashion Wear 3Value Bazaar 28Exclusive Brand Outlets 17Total 48Food Court Division (No. of Units) Food Court 8Fine Dining 5Banquet 1Total 14

The company has a diversified business portfolio:

• Jewellery: The company is currently operating 10 retail outlets in Delhi (3), Faridabad (2), Ghaziabad (2), Noida (1) and Palwal (2); The company is having wholesale unit at Chandni Chowk & Karol Bagh Delhi, Ahmedabad and Mumbai.

• The company is also running one manufacturing unit at Noida SEZ.

• Cinema Exhibition: Operates a total of 54 Screens at 19 locations in 14 cities namely, Gurgaon, Faridabad, Bhiwadi, Gorakhpur, Bijnore, Ghaziabad, Patiala, Ludhiana, Shimla, Bareilly, Lucknow, Agra, Saharanpur and Hajipur.

• Retail: Operates 48 outlets in cities such as Gurgaon, Delhi, Faridabad, Noida, Palwal, Ghaziabad, Lucknow etc. including Exclusive Brand Outlets of Allen Solly, Louis Philippe, Adidas, Reebok, Samsung , Madame.

• Food & Beverages: Operates 13 F&B units and 1 Banquet. Our food & beverages units are present in cities such as Faridabad, Greater Noida, Gorakhpur etc.

Key Achievements

Following are the key achievements since the date of last consortium:-

•Fitch (India Ratings) has upgraded its credit rating for Long Term from BBB to A-/Stable and Short Term from A3+ to A2+.

•Opened 4 screens at Saharanpur (UP) and 2 screens at Hajipur (Bihar).

•Opened one SRS Value Bazaar at Chhattarpur (Delhi) in 4500 sq. ft., one at Sector-52, Gurgaon in 4400 sq. ft. and one at Main Huda Market, Sector – 21C, Faridabad in 1000 sq. ft.

•Awarded highly reputed ‘Debutant e-Retailer of the year 2015 Award’ organized by the Indian eRetail Awards committee for our new venture www.srsgrocery.com

Financial SnapshotRs. in Cr

Financial Snapshot FY13 (A) FY 14 (A) FY 15 (A)Consolidated

Sales 2888.35 3439.38 3891.17

EBIDTA 105.01 110.97 143.03

EBIDTA Margin 3.64% 3.23% 3.68%

PBT 42.32 50.58 51.51

PBT Margin 1.46% 1.47% 1.32%

Net Worth 550.29 593.05 630.93

TOL 729.62 976.01 990.20

TOL/TNW 1.32 1.65 1.57

Highlights for FY 15 V/s FY 14

•Sales increased by 13%.

•EBIDTA increased by 29%

Rs. in Cr

Performance Comparison of Annual Results

Particulars FY13 (A) FY14 (A) FY15 (A)Standalone

Jewellery Sale 2629.09 3158.71 3507.77

Retail Sale 165.84 182.68 211.17

Cinema Sale 79.11 83.34 93.72

HO (including F&B) 14.31 14.65 12.17

Total Sales 2888.35 3439.38 3824.83

Highlights for FY 15 V/s FY 14

•Jewellery Sales increased by 11.05%.

•Retail Sales increased by 13.49%

•Cinema Sales increased by 12.46%

•Overall Sale increased by 11.21%.

Break-up of Sales under Jewellery Vertical

Particulars FY 2013-14 FY 2014-15Standalone

Wholesale 2385.00 2505.19

Retail Sale 381.13 436.13

Export Sales 392.58 566.45

TOTAL 3158.71 3507.77

Amount (Rs. in Crore)

SRS WORLDWIDE FZCSTATEMENT OF PROFIT AND LOSS

FOR THE PERIOD FROM 12th NOVEMBER 2014 TO 31st MARCH 2015                 

Particulars Note No. For the Period 12th November 2014 to 31st

March 2015  

For the Period 12th November 2014 to 31st

March 2015             Amount

(in AED)   Amount (in Rs.)

                 Income              

Revenue from Operations   14 39,299,358   663,346,824

                 

Total Revenue       39,299,358   663,346,824

                 Expenses            

Purchase of Stock-in-Trade   15 38,373,307   647,849,483

Change in Inventories   16

(751,741) 

(12,759,450)

Employee Benefits Expenses   17 1,918   32,449

Finance Cost     18 2,729   46,280

Depreciation and Amortization Expense 6 906   15,300

Other Expenses     19 181,869   3,089,142

                 

Total Expenses       37,808,988   638,273,204

                 

Profit for the period       1,490,370   25,073,620

Working Capital Exposure as on May 31, 2015

Name of Lender Sanctioned Limit (Rs. in Cr) Outstanding Limits - May 31, 2015

Fund Based Non Fund Based Total Fund Based Non Fund

Based Total

State Bank of India 154.41 150.59 305.00 155.64 127.85 283.49

State Bank of Patiala 54.50 35.50 90.00 51.44 35.35 86.79

State Bank of Travancore 20.00 20.00 40.00 19.54 20.00 39.54

State Bank of Bikaner & Jaipur 41.25 8.75 50.00 40.05 8.75 48.80

Bank of India 106.70 73.30 180.00 106.68 70.67 177.35

Oriental Bank of Commerce 50.00 0.00 50.00 49.92 - 49.92

Union bank of India 100.00 0.00 100.00 89.96 - 89.96

Syndicate Bank 10.00 0.00 10.00 9.90 - 9.90

Total 536.86 288.14 825.00 523.13 262.62 785.75

Rs. in Cr

Term Loan Exposure as on May 31, 2015

Name of the Lender Sanctioned Amount Amount Outstanding

(A) Under Consortium ArrangementState Bank of India-TL 1 40.00 0.00State Bank of India-TL 2 50.00 0.00State Bank of India-TL 3 10.00 7.33State Bank of Bikaner and Jaipur 7.80 0.00State Bank of Patiala –TL 1 25.00 0.00State Bank of Travancore 10.00 0.00Union Bank of India 18.50 0.00Sub Total (A) 161.30 7.33(B) Under Multiple Banking Bank of India -TL 1 15.00 0.00Bank of India -TL 2 10.00 0.00Bank of India -TL 3 15.00 0.00State Bank of Patiala –TL 2 25.00 0.00IOB 30.00 0.00Central Bank of India 15.55 0.00Corporation Bank 25.00 0.00ICICI 1.50 0.00Sub Total (B) 137.05 0.00Grand Total (A+B) 298.35 7.33

Rs. in Cr

*Company has prepaid all the Term Loans from all the banks except Corporate Loan of Rs.10 crores from SBI.

• Request to Renew our Limit:-SBI has already renewed our limits, and request to all other bankers to kindly renew our limits as well, at the earliest.

• Allow to Raise Commercial Papers:-To bring down the cost of our funds, we request you to extend approval to raise Commercial Paper so that we may benefit from reduced interest cost. For this, we request you to allocate a part of the overall limits towards the issuance of commercial paper.

• Request to Revise the Calculation of Drawing Power (DP):-As per the current formula, DP is worked out by subtracting Total Creditors (LC, SBLC, FLC) from Stock and Debtors. However, this does not take into account the margin on LCs retained with the Bank in the shape of Fixed Deposits where company’s scarce funds get blocked. Hence, request to the consortium that the amount of fixed deposits held as margin be reduced from the outstanding creditors first, then net creditors be reckoned with for the purpose of arriving at the Permissible Drawing Power.

Request to the consortium

Thank You