Sportking India Ltd

- Sportking India Limited plans a CAPEX of approximately INR 1,000 crores for greenfield capacity addition. - The funding will be through a mix of internal accruals and term loans, with an approximate debt-to-equity ratio targeted between 0.5 to 0.7. - Long-term debt is expected to stay below INR 700-800 crores over the next 2-3 years; current long-term debt is around INR 300 crores, with about INR 100 crores planned to be repaid by the time new debt is taken. - Management is not looking at instruments other than debt and internal accruals currently. - No indication of any equity fundraising was mentioned in the call.

- Sportking India Limited plans a significant Greenfield capacity expansion with a CAPEX of approximately INR 1,000 crores to add 150,000 spindles, about a 40% increase over current capacity of 380,000 spindles. - The new spinning unit will be located in Odisha, marking their first facility outside Punjab. - Expected commercial production timeline is 12 to 15 months from the announcement (by August 2025). - The project aims to generate INR 1,000 to INR 1,200 crores in revenue once stabilized. - CAPEX funding will be a mix of internal accruals and term loans, with roughly 30% debt and 70% internal accruals. - Margin expansion of 200 to 300 basis points is anticipated from this expansion due to incentives, geography, and technology. - Additionally, integration and merger of two unlisted promoter entities into the listed company is expected within the next 6 to 8 months to enhance value-added business and double their revenue in 2-3 years. - Minimal CAPEX is expected for scaling those entities, focused on efficiency improvements.

- The company plans a significant capacity expansion by adding 150,000 spindles (approximately 40% increase) in Odisha, expected to be operational within 12-15 months. - This expansion is projected to generate additional revenue of INR 1,000 to 1,200 crores. - Integration of two unlisted promoters’ entities with the listed company is expected within 6 to 8 months, aiming to double the revenue of those entities in 2-3 years. - Existing new entities currently generate INR 150-180 crores revenue, expected to double post-merger. - Capacity utilization stands at 95%, indicating headroom for production growth. - The new Odisha plant enhances geographic reach, improving export potential and operational efficiencies. - Despite current challenges, the company expects steady demand growth, including export markets like Bangladesh (60-65% of exports). - Management is confident of at least 200-300 basis points EBITDA margin expansion after expansion ramp-up.

- Sportking India Limited expects to double revenue from two unlisted promoter entities within the next 2-3 years post-merger, contributing to growth in earnings. - The new Odisha greenfield spindle expansion (150,000 spindles) aims to increase capacity by ~40%, generating INR 1,000-1,200 crores additional revenue, expected to come online within 12-15 months. - Margin expansion of 200-300 basis points is anticipated post-capacity addition, driven by better technology, location benefits, and government incentives. - EBITDA margins are expected to remain in double digits despite current headwinds, with improvement likely as market conditions normalize over the next 12-15 months. - Integration of apparel and dyeing units in the next 6-8 months is expected to boost topline by ~INR 200 crores and improve EBITDA due to higher margin profiles. - Overall, earnings growth is backed by capacity additions, improved margins, geographical diversification, and operational efficiencies.

The transcript provided does not explicitly mention the current or expected order book or pending orders for Sportking India Limited. However, relevant insights include: - The company is undertaking a significant CAPEX plan of INR 1,000 crores to add 150,000 spindles in Odisha, indicating expected demand growth. - Capacity utilization is already at 95%, suggesting strong ongoing demand. - There is optimism about doubling revenue of two unlisted promoter entities integrated within 2-3 years, reflecting an expected increase in business volume. - Export sales mix increased to 58% in Q1 FY '26 from 47% a year ago, showing healthy export demand. - No direct mention of specific order book or pending orders was made during the call. Thus, while exact order book figures are not disclosed, the company signals strong current demand and expansion plans to meet growing market requirements.