PDS Ltd

- No explicit mention of any current or immediate future fundraising through debt or equity in the call. - The company has utilized QIP (Qualified Institutional Placement) proceeds during the quarter, deploying ₹278 crores for debt repayment and ₹24 crores for Knit Gallery acquisition. - Remaining QIP funds are earmarked for strategic growth opportunities and general corporate purposes. - The focus is on maintaining a strong balance sheet, optimizing capex and working capital to generate cash and contain finance costs. - No new debt or equity raising plans were disclosed; emphasis is on using available resources efficiently and reducing existing debt. - The company is cautious but optimistic, focusing on stable growth and cost-saving initiatives rather than fresh fundraising.

- Capex spend is being optimized and aimed to be half of what it was last year. - ₹278 crores from QIP proceeds were deployed towards debt repayment, and ₹24 crores used for the Knit Gallery acquisition. - Remaining funds from QIP proceeds are earmarked for strategic growth opportunities and general corporate purposes. - Acquired Knit Gallery to enhance scale from India and align with U.K. and EU customers. - Investments in new sourcing hubs in Mexico, Egypt, and Turkey to support near-shoring and duty optimization strategies. - Adoption of AI tech across the value chain (design, pricing, costing, sourcing, quality check, cutting & sewing, reporting) underway to drive cost efficiency and growth. - Continued focus on building a leaner, more agile, and future-ready organization through portfolio realignment and cost optimization with help from BCG.

- The company expects mid-teens growth (~14-20%) in sales/revenue for the current and upcoming financial years. - Existing businesses grew by 7% in Q1 FY '26; new verticals delivered 85% growth YoY. - The sourcing as a service business is projected to grow by about 18-20% YoY. - Order book growth is at 8% YoY, with customers taking longer to finalize orders. - Growth drivers include strong relationships with key customers (e.g., Primark, Next, Tesco), expansion in Latin America, Egypt, Turkey, and India through the Knit Gallery acquisition. - The U.S. market remains cautious due to tariff concerns, but flexible duty-optimized sourcing solutions and nearshoring are expected to support growth. - Despite short-term headwinds and macro uncertainties, the medium-to-long-term outlook remains strong and positive.

- PDS Limited expects 18% to 20% year-over-year growth in its sourcing as a service business, with ongoing conversations indicating this outlook may continue (Page 16). - The company anticipates mid-teens overall growth for FY '26, maintaining the momentum from Q1's 14% rise (Page 15). - Cost-saving initiatives led by BCG aim to reduce losses from new verticals by 25-30%, with benefits on gross margin and EBITDA expected mainly in H2 FY '26 (Pages 13-14). - EBITDA margin improvements are targeted through new customers, fixed cost rationalization, and COGS efficiencies, expected to materialize in the second half (Page 14). - The company remains focused on containing working capital and improving cash flows, aiming to reduce working capital days from 16-17 to single digits (Page 15). - Despite short-term margin pressures due to market disruptions, medium-to-long-term outlook on profits and EPS remains positive and backed by strategic initiatives (Pages 6, 7).

- Current order book stands at close to ₹5,200 crores, reflecting an 8% year-on-year growth (Page 4). - Customers are taking longer than usual to close orders due to the cautious demand environment (Page 4). - The company expects to maintain the growth momentum achieved in Q1 throughout the year (Page 4).