Welspun Living Ltd

- No explicit mention of any current or planned new fundraising through debt or equity in the Q2 FY'24 earnings call transcript. - Net debt as of Q2 FY’24 stands at ₹1,573 Crores, with an objective to reduce to below ₹1,000 Crores by FY’24 end. - Cost of debt is currently around 6.5%. - Management is focused on prudent capital allocation, especially regarding future capex decisions related to growth and capacity expansion. - Any future capex, possibly involving debottlenecking or new investments, will be assessed based on IRR and ROCE considerations. - No announcement regarding equity fundraising or fresh debt issuance was made during the call.

- Q2 FY'24 capex was ₹168 Crores, mainly for setting up a 30 MW solar power plant at Anjar facility. - Board approved investment of ₹56.4 Crores in a special purpose vehicle (SPV) to supply 47 MW renewable energy round-the-clock for Anjar operations, aiming for 80% renewable energy by 2026. - The SPV will set up a 150 MW solar plus wind plant; Welspun will hold 27% equity. - Exploring debottlenecking of existing capacity, especially in bath linen, to meet demand growth. - Considering incremental capex for flooring and home textile capacity expansion once utilization exceeds 95%, subject to prudence on IRR and ROCE. - Focus on optimizing ancillary network near factories for growth. - No specific timelines disclosed yet for new large capex; strategic decisions will depend on market conditions and ROCE metrics.

- The company targets topline growth of 10-12% for FY’24 despite global economic volatility and geopolitical concerns. - Domestic consumer segment expects good growth in coming months as consumer sentiment improves, especially during the festive season. - Flooring business is growing steadily with increased order flows in US, UK, Middle East, and Africa; capacity utilization is rising. - Emerging businesses like domestic consumer, global brands, advanced textiles, and flooring grew 28% YoY in Q2. - Capacity utilization remains high (80-90%) for key products; debottlenecking and ancillary network optimization are being explored to support growth. - New and increased orders from marquee retailers indicate confidence and sustained demand. - The company is cautiously optimistic but committed to maintaining growth and profitability guidance. - Global brands and private label businesses are expanding in new geographies and channels, supporting future growth.

- Welspun Living Limited targets topline growth of 10-12% for FY’24, maintaining cautious optimism amidst global economic uncertainties. - EBITDA growth guidance is around 15% for FY’24, reflecting operational efficiencies and cost rationalization. - Home textile segment is expected to maintain gross margins of about 17-18%, with exports margins around 17-18% despite elevated cotton prices. - Emerging businesses (flooring, domestic consumer) currently offer lower margins but are expected to improve as they scale. - Flooring business capacity utilization is growing steadily (63% in Q2) with potential for debottlenecking and possible incremental capex if utilization exceeds 95%. - Profit after tax for Q2 was ₹197 Crores (up 22x YoY), H1 PAT ₹358 Crores (up 12x YoY), showing strong earnings growth momentum. - EPS for H1 FY24 stood at ₹3.70 vs ₹0.31 last year, reflecting strong profitability gains.

- New and increased order flows from marquee retailers indicate strong trust and confidence in Welspun Living (Page 15). - The company has a robust order portfolio supporting their revenue growth commitment for FY’24 (Page 11). - Flooring business orders are not one-off; a consistent run rate of orders is expected due to China+1 strategy and diversified customer base (Page 6). - Multiple customers contribute to US flooring orders, with a granular mix rather than dependence on a few big players (Page 9). - For home textiles, 70-75% of business is replenishment-based, providing stability and visibility to the order book (Page 11). - UK FDA approval expected to boost order inflows within 6 months, expanding exports (Page 7).