Trident Ltd

- Post COVID-19 lockdown, the Home Textile segment has seen a strong revival in demand driven by government stimulus, focus on health and hygiene, and work-from-home trends. - Q2 FY22 witnessed an impeccable performance in the Home Textile segment. - The order book visibility is strong for the coming quarters. - Current demand trends indicate sustainability going forward. - India’s market growth supports a positive outlook for continued demand in the Home Textile sector.

- The company plans to raise capital through a mix of debt and equity to maintain an efficient capital structure. - Cash and cash equivalents are used to meet short-term obligations, working capital needs, and support Capex plans. - The company has initiatives to reduce debt commitments, including prepayment of high-cost loans and reducing working capital utilization. - Net debt has reduced to INR 10,454 million as of September 30, 2021. - The company intends to optimize leveraging capacity in line with its growth objectives to create stakeholder value.

- The company implemented a single-phase yarn project with 61,440 spindles and 480 rotors costing INR 3380 million; commercial production started on 27th July 2021. - Planned capex projects include: - Another spinning project with around 100,000 spindles at Budhni (INR 5540 million). - Open End Spinning project with about 3600 rotors at Budhni (INR 1800 million). - Debottlenecking of sheeting plant by 70,000 meters/day capacity at Budhni (INR 4680 million). - Power Plant project of 16.3 MW at Budhni (INR 1750 million). - These investments aim to enhance yarn production capacity and overall operational efficiency in line with growth objectives and Vision 2025.

- Highest ever top line registered in the recent quarter indicating robust growth momentum. - Home textile and paper segments have shown strong Q-o-Q and Y-o-Y growth. - Robust demand globally and India emerging as a hub for textile products supports positive sales trends. - Expectation of continued flourishing sales in the next 12-24 months due to sustained demand. - Pent-up demand post-COVID lockdowns, festive season, and government stimulus underpin capacity utilization. - Increased demand driven by health, hygiene awareness, work-from-home trends, and growth in domestic tourism. - Expansion and capacity enhancement projects underway to support volume growth. - Strategic focus on premium products and innovation to capture higher market share and realize better profitability.

- Trident registered its highest ever top line in Q2 FY22 with robust quarter-on-quarter (Q-o-Q) and year-on-year (Y-o-Y) growth, signaling strong sales momentum. - Home textile and paper segments are showing continuous growth, supported by robust demand and India's emergence as a global textile hub. - Capacity utilization in Bath and Bed Linen segments is high, driven by increased hygiene awareness, work-from-home trends, and festive season demand. - Digital initiatives and product innovation targeting premium offerings are expected to improve margins and profitability. - Expansion in US and European markets, especially targeting mid to premium segments via omni-channel strategy, enhances volume growth potential. - Net debt reduction and efficient capital structure management bolster financial health, supporting future growth. - Industry tailwinds such as government stimulus, revival post-COVID, and favorable export environment contribute to sustainable demand outlook. - Overall, company expects sales and earnings to flourish over the next 12-24 months with margin and volume growth.