#1SUNS Vedant Fashions Limited Manyavar Mohey O Manyavan Investor Presentation May 2022#2Disclaimer Manyavarohey This presentation and the accompanying slides (the "Presentation"), which have been prepared by Vedant Fashions Limited (the "Company"), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded Certain matters discussed in this Presentation may contain statements regarding the Company's market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the industry in India and world-wide, competition, the company's ability to successfully implement its strategy, the Company's future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company's market preferences and its exposure to market risks, as well as other risks. The Company's actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third-party statements and projections. All Maps used in the presentation are not to scale. All data, information, and maps are provided "as is" without warranty or any representation of accuracy, timeliness or completeness. 2#3Contents 1 About Vedant Fashions 2 3 4 Key Investment Highlights Our Growth Strategy Q4 Update and Financial Performance Manyavarohey 5 Financial Summary 3#41 About Vedant Fashions 2 3 Key Investment Highlights Our Growth Strategy 4 Manyavarohey Q4 Update and Financial Performance 5 Financial Summary 4#5Introduction to Vedant Fashions Indian Wedding and Celebration Wear Brand Headquartered in Kolkata, incorporated in 2002 by Mr. Ravi Modi, Vedant Fashions offers Indian wedding & celebration wear for men, women & kids Manyavarohey Our Brands Manyavar Largest company in India in men's Indian wedding & celebration wear by Revenue, OPBDIT¹ & PAT*. Commands dominant position in conventionally unorganized market Manyavar brand is category leader in branded Indian wedding & celebration wear market with pan-India presence* Growing presence in women's Indian wedding & celebration wear with Mohey - Largest brand by number of stores with pan- India presence* One-stop destination with wide product portfolio for every celebratory occasion; aspirational yet value-for-money offering Ft twamev MANTHAN Omni-channel network of EBOS, MBOs, LFS & Online (own website, mobile app & leading lateral e-commerce platforms) Delivers aristocratic & seamless customer experience via aesthetic franchisee-owned EBOS ~89% of FY22 Sales of Customers Retail footprint (FY22) of 1.3 mn sq. ft. across India (583 EBOS² in 223 cities & towns in India) and Overseas (12 EBOS in USA, Canada & UAE) Source: *Crisil Report; As of FY20 (latest available); Note: (1) OPBDIT is Operating profit before depreciation, interest & tax; (2) Includes 77 shop-in-shops (SIS) Mohey Mebaz 5#6What makes Manyavar Special #2 Manyavarohey #1 #6 ◉ Aspirational Yet Value for Money Aspirational Brand with Aristocratic & seamless customer experience ■ Uniform pricing across online & offline channels in India ■ No discounts/ end-of-season sales for Manyavar brand ■ Multi Decade growth Opportunity for the Category from here Multi-brand Product Portfolio ■ One-stop destination with wide product portfolio for men, women & kids catering to all celebratory occasions across price points ■ Low level of obsolete & dead stock ■ 52 Week Design collection Model Manyavar Mohey #3 Strong Control Over Entire Ecosystem Strong design capabilities with data-driven/ Al backed decision-making and demand forecasting ■ Tech-driven unique supply chain & inventory mgmt. with Automated Replenishment System at pin code level ■ Integrated secondary sales network with full visibility of products sold at our stores • Having First mover advantage, VFL scaled up and organized highly unorganized and fragmented category Curated Marketing Strategy with Multi #4 ■ Strong Corporate Governance Experienced management with rich functional expertise Big 4 statutory auditor coupled with eminent Board of Directors ■ Embraces ESG & promotes CSR #5 Industry Leading Economics ■ World Class Financial Matrix in apparel retail being largest company in India in men's Indian wedding & celebration wear by Revenue, OPBDIT & PAT* ■ Asset light & franchisee-led EBO distribution model with high cash conversion ratio ■ Leads the peer set in terms of financial & operational metrics Source: *Crisil Report; As of FY20 (latest available) Channel Presence ■ Emotional connect with theme-based campaigns ■ ■ Celebrity brand ambassadors Omni-channel network with pan-India presence 6#7Our Brand Portfolio One-stop Destination for Every Family's Celebration Wear Needs (Manyavar Manyavarohey Manyavar is category leader in branded Indian wedding & celebration wear market with pan- India presence*. Manyavar is our flagship Men's & Kid's brand in mid-premium Indian wedding & celebration wear price range Source: *Crisil Report; As of FY20 (latest available) Ft twamev MANTHAN Twamev is a premium offering in men's Indian wedding & celebration wear market & is priced between Manyavar & other luxury boutique brands Manthan is value brand offering in men's Indian wedding & celebration wear that aims to cater to sizable number of mid-market weddings & other celebrations through its product portfolio Mohey Mohey, an emerging brand in women's mid-premium segment, is the largest brand by number of stores with pan-India presence, focusing on women's Indian wedding & celebration wear* Mebaz Mebaz is a heritage brand with a strong regional presence in AP & Telangana. It is a one-stop shop for ethnic celebration needs of the entire family in mid-premium to premium price segment 7#8Evolution Over the Years Brand Manyavar started operations via predecessor entity 1st EBO in Bhubaneshwar Surpassed >INR 1,000 mn EBO revenue Manyavarohey Launched Mohey (Women's Celebration Wear label) Strategic Acquisition of Mebaz ■ Kedaara Capital invested ■ Launched Twamev (Men's premium wear brand) ■ Crossed INR 10,000 mn EBO revenue & 1 mn sq. ft. of EBO presence Celebration Wear Partner in Femina Miss India 2021 1999 2002 2008 2011 2012 2013 2015 2016 2017 2018 2019 2020 2021 2022 Incorporated Vedant Fashions Pvt. Ltd. 1st International store in Dubai (UAE) Official Indian Wear Partner of 3 IPL teams ■ Crossed INR 5,000 mn in EBO revenue ■ 1st Store in USA ■ Launch of Manthan (Value Celebration Wear label) ■ Official Sponsor of 2 IPL teams Launch of Manyavar mobile app Listing on Stock Exchanges 8#91 About Vedant Fashions 2 3 Key Investment Highlights Our Growth Strategy 4 Manyavarohey 5 Q4 Update and Financial Performance Financial Summary 6#10Our Strengths Manyavarohey Manyavar Mohey Large & growing Indian wedding & celebration wear market driven by an increased spending on such wear Market leader in Indian celebration wear market with diversified brand portfolio across value spectrum for entire family Unique business model combining asset-light brand play along with seamless purchase experience; no end of season sales/discounts for Manyavar brand Attractive marketing initiatives of creating connections through emotions Widespread pan-India multi-channel presence with ~89% sales of customers (FY22) through EBO network with scalable franchisee model Technology-based supply chain network with strong processes in place Experienced & professional leadership team Experienced Board of Directors aided by professional partners Strong growth trajectory with industry leading margins, return metrics & healthy cash generation 10#11Large and Growing Indian Wedding and Celebration Wear Market Aggregate Industry¹ Ethnic Wear ~1,800 ~2,350-2,400 FY20 (INR bn) Celebration Wear ~1,020 ~1,325-1,375; Branded ~153.0-204.0 5.5-6.0% Indian Ethnic Wear & Celebration Wear Market Men Manyavarohey Women Ethnic Wear -180 NA ΝΑ Ethnic Wear ~1,458 NA NA Celebration Wear Celebration Wear 5.5-6.0% -133 5.0-6.2% ~170-180 Branded -26.6-33.3 (~68.0-81.0 ~735 ~950-1,000 Branded ~110.3-147.0 ~256.5-300.0) 5.3%-6.4% 18.0-22.0% 17.0-20.0% 371.0-440.0 FY25 (INR bn) 18.0-20.0% CAGR FY20-25E Multi-day & Multi-event Wedding Celebrations with Ethnic Wear Mehndi Haldi National & Regional Festivals adding to Category Growth Sangeet Engagement Wedding Diwali Durga Pooja Rakhi Ganesh Chaturthi Independence Day Source: Crisil Report; Note: (1) Aggregate industry includes Kids wear 11#12...Driven by Increased Spending on Celebration Wear #1 Huge domestic market of weddings per year #2 Multi-day & multi-event wedding celebrations #3 3-5 days Wedding span Manyavarohey Trend to wear apt Indian Wedding & Celebration wear for events 34% Population estimated in marriage age (20-39 yrs) (2021) 25+ Festivals in India ~50 guests For all functions other than wedding ~283 mn Unmarried Population (2021) n >200 guests Attend main wedding. Many festivals spent over span of 5-10 days Majority festivals have significant celebrations & social gatherings Celebration in Corporates by employees Trends 9.5-10 mn Marriages per year Destination Weddings Pre-wedding photo shoot Theme-based pre- wedding parties #4 Increasing association with brands in celebration ethnic apparel #5 Shift from tailored to ready-to-wear celebration ethnic apparel #6 Brand = Quality + Fit + Latest Fashion Providing seamless experience by avoiding multiple trials in tailored made products % Marketing Initiatives by Brands like Manyavar Up-to-date designs available Brands use data analytics to identify consumer needs Recommendations by in-store experts Source: Crisil Report BRAND Increased penetration of branded players in Tier 2/3 markets Increase in sale of branded items through advertisement Consumers from Tier 2/3 towns visit Metro/ Tier 1 cities to shop branded celebration wear Branded players expanding in Tier 2/3 cities to improve their market & visibility 12#13Diversified Brand Portfolio Catering to Aspirations of Entire Family Year Manyavar 19991 twamev MANTHAN Manyavarohey Micoohey Mebaz 2019 20182 2015 Target Group Men, Boys Men Men Women Price Spectrum Distribution Mid-Premium EBOS, MBOS, LFS, E-commerce Product Portfolio ■Men: Kurta, Indo-western, Sherwani, jacket, accessories Kids: Kurta set, jacket set, Indo- western, accessories ☐ Kurta set Sherwani ■Indo-western ■ Suit Key Attributes Accessories Premium Value EBOS MBOS, LFS, E-commerce Lehenga Saree Kurta Mid-Premium EBOS & E-commerce Gown Accessories 20173 Men, Women, Kids Mid-Premium to Premium EBOS Men: Kurta, Indo-western, Sherwani, Jacket, Suit, Accessories Women: Lehenga, Saree, Suit, Kurti ■Kids: Lehenga, Gown, Frock, Kurta, Suit, Accessories Category leader in branded Indian wedding & celebration wear market with a pan-India presence* ■Other brands in the category only 1/7th the size of Manyavar No end of season sales or discounts for Manyavar brand Upscale consumer experience ■Cross-sell premium offering to Manyavar customers ■Priced between Manyavar & luxury boutique brands Large blend of product designs at value prices Aims to cater to sizable number of mid-market weddings & other celebrations ■Largest brand by number of stores, with pan-India presence focusing women's Indian wedding & celebration wear* ■Benefit from Manyavar's leadership position & pan-India EBO footprint ■ Celebrity brand ambassador & campaigns like "#Dulhan wali feeling" ■South India focused regional brand; strong presence in AP & Telangana ■One-stop shop for ethnic celebration need of entire family ■Rich heritage brand with strong legacy Source: Crisil Report; *As of FY20 (latest available); Note: (1) Brand 'Manyavar' started operations via predecessor entity in 1999; (2) Large scale operations commenced after refreshed launch in 2018; (3) Brand 'Mebaz' was started in 2002 but was acquired by Company in 2017; 13#14Aesthetic Appeal with Modern Touch stores to provide Enhanced and Elevated Customer Experience Manyavarshey r HokarAge Mohey Manyavar Mohey twamev 14#15Aesthetic Appeal with Modern Touch stores to provide Enhanced and Elevated Customer Experience Manyavar avantwor 33 Manyavar Mohey Money Manyavarohey an 15#16Unique Model with High Barriers to Entry Supply Chain & Vendor Management Tech-based fully-integrated supply chain with automated replenishment system Large network of 460+ registered vendors across 42 cities (FY22) Longstanding relationship with expert artisans Inventory Management Algorithm-based inventory management system for real- time monitoring store inventory at EBOS Ability to minimize obsolete & dead stock For online channel, inventory stocking is integrated with entire warehouse stock Manyavarohey && Understanding Consumer Preferences Collect secondary sales data to analyze consumer buying behavior Product development basis prevailing trends & consumer preferences gathered via data analysis, market surveys Robust Franchisee-led EBO distribution model Initial capital commitment from franchisees Provide all necessary support to Franchisees ~77% franchisees have operated stores for >3 yrs (FY22) Network of 300+ franchisee partners (FY22) 16#17Attractive Marketing Initiatives of Creating Connections through Emotions #1 Manyaver Mohey Theme-based Marketing Campaigns around Indian Traditions & Values to Develop Deeper Emotional Connect #Pehno Apni Pehchan # #Shaadi Grand Hogi Apno Wali Shaadi Embrace your roots #1 PEHNO APNI PEHCHAN Manyavar celebrationwear Celebrations incomplete without Ethnic Wear Diwali Wali Feeling #Diwali WallFeeling Manyavar #Diwali WaliFeeling Manyavar Celebrate religious festivals like Diwali in traditional attire Billboard Multiplex Cinema Traditional Television Social Media Email Digital #ShaadiGrandHogi #ShaadiGrand Hogi #ApnoWaliShaadi Weddings about vast emotions Umpteen happiness Best celebrated with Family #1 Taiyaar Hokar Aaiye S ☑ Marketing Initiatives 360 #ApnoWaliShaadi Wedding celebrations with loved ones #Shaadi ka Kharcha Adha Adha Manyavar Manyavar #Taiyaar Ho Kar Alaiye Wedding union of two families Families can share all wedding expenses equally Brand Ambassador Brand Building Event Sponsorship In-Store In-store Visual Store Facade Store Shutter Manyouar Join the Calibration. Join the Macheen 17#18Fully Integrated Technology-based Supply Chain Network Product Design Team Headed by Chief Product Officer, associated since inception Develop authentic, concept- based, impressionable designs Uses market research & customer data insights Longstanding relationship fabric & material suppliers 460 42 cities Registered vendors (FY22) Sourcing network (FY22) Vendors Manufacturing Access to large number of artisans across India Manufactures a) in-house & b) via 3rd party jobbers Also procures finished products from 3rd party manufacturers Stages of Production Manyavar Mohey Automated Replenishment System at EBO level Use of tech to monitor & manage real-time store inventory levels 0.26 mn sq. ft. Central Warehouse in Kolkata (FY22) Inventory Management EBO Retail Network ERP-Ginesys system at each franchisee-owned EBO Product resource synchronization between EBOS & warehouse Track inventory on real-time basis & sales made at EBOS Analyze trends & consumer behavior, backward integrate it into supply chain & minimize dead stock Cutting Embroidery Stitching Finishing Supply Chain Accurate forecasting & planning to guide end to end supply chain System driven procurement & controlled manufacturing Automated Replenishment & Inventory Management Data-driven decision making & forecasting of cultural & evolving fashion trends across India Strong relationships with vendors 18#19Consistent Focus on Building Strong and Automated Processes I Manyavarohey Adoption of Wooqer - Communication Module with Launch of MBO Digital Order App Installation of Onsite premises DR Site Launch of Compliance Tool; Launch of Upgraded Website; Fully integrated stores catalogue Mobile App ERP Integrated System since Inception Successful Adoption of Business Analytical Tool Stores ERP GINESYS 5: Fan Toode 2002 2008 2009 2012 2016 2017 2018 Retail ERP Module Integration with auto replenishment planning model since 1st EBO GINESYS NETELLING RETAIL Introduction of "Sansar Module" - POS Order Management Sansar Fully Integrated System Driven Source: Crisil Report; Note: (1) W.M.S is Warehouse Management System Launch of Manyavar Vendor Portal Manyavar Mohey PEHNO APNI PEHCHAAN 2019 2020 2021 Adoption of W.M.S1 process Launch of "Swayam App" Launch of Jobber Portal Warehouse Management -System SRACTE Swayams High quality finished products increase repeat purchases Algorithmically managed Able to achieve economies of scale in production Data-based decision- making & forecasting 19#20Experienced Board of Directors aided by Professional Partners Manyavarohey Ravi Modi Chairman & MD Commerce (St. Xavier's College, Kolkata) Work Experience Manyavar Mohey Shilpi Modi Whole-time Director Commerce (Allahabad University) Work Experience Manyavar Mohey Sunish Sharma Nominee Director PG Diploma in Computer Aided Mgt. (IIM Calcutta), B.Com (DU), Cost Accountant Work Experience Kedaara Capital General Atlantic McKinsey & Co Co-CEO & Managing Partner Ex-MD Ex-Engagement Manager Manish Mahendra Choksi Independent Director MBA (University of Houston), B.Tech (Houston University) Work Experience Tarun Puri Independent Director PGDM (IIM Calcutta), B. Tech (BITS Pilani) Work Experience Asian Paints Vice Chairman Chiratae Ventures Nike Global Advisory Board Ex-MD (Nike India) Professional Partners & Practices S.R. Batliboi & Co. LLP Big 4 Statutory Auditor OGIGINESYS Connecting futures ERP System An affiliate of EY Abanti Mitra Independent Director PG in Rural Management (IRMA) Work Experience Unilever Positron Consulting Spandana Sphoorty Criss Financial Ex-Regional VP Director Independent Director Independent Director E 19 Tech-driven company with automated processes & controls Professional Management 20#21Embracing ESG by Empowering Artisans and Community Contributions through Manas Foundation Informal education to tribal children Improve preventive healthcare & sanitation Ensure environmental sustainability & animal welfare INR mn Manyavarohey Inclusive growth of all stakeholders even during tough times Employment to local artisans & embroidery workers across India Associated with over 460 registered vendors (FY22) Continued to support & encourage vendors & jobbers for their growth during the COVID-19 pandemic CSR Spends 54.8 52.1 43.8 35.8 1.2% 0.8% 0.7% 0.7% FY 2019 FY 2020 CSR Expenditure FY 2021 -% of Total Expense Through its CSR initiatives, the Company aims to improve the livelihood for the underprivileged FY 2022 21#22Awards and Accolades 2022 2020 2018 Manyaver Mohey 2014 "Dream Employer of the Year" World HRD Congress "The Best of Bharat" Awards E4M Pride of India "Most Admired Fashion Brand of the year: Men's Indianwear" Images Fashion Award "Men's Indianwear" Images Excellence Award "Retail Marketing Campaign of the Year #TaiyaarHokarAaiye" ET Now "Excellence in Business Performance Turnover between INR 300 Crore and 1,000 Crore" ET Bengal Corporate Award "Most Admired Retailer of the Year Marketing & Promotions Campaign" Images Retail Award "Fastest Growing Company- maximum turnover INR 300 crore" ET Bengal Corporate Award 2017 "Most Admired Fashion Brand of the year: Men's Indian Wear" Images Fashion Award "Pioneer in Ethnic Retail Business" ABP News 2008-2010 2021 2019 2015 "Transformational Contribution to Indian Apparel and Retail Industry" Ministry of Textiles and the Clothing Manufacturers Association of India "National Retailer of the Year" 4th Annual Indian Retail & Indian e Retail Awards "Iconic Men's Ethnic Brand" Central Icons "Most Admired Retailer of the year Marketing and Advertising campaign" Mapic India "Best Employer Branding Award" World HRD Congress and Stars Group Times Business Award for "Best Men's Ethnic Wear Brand (East)" Times Group "Retail Marketing Campaign of the Year" ET Now "Excellence in Supply Chain Management & Fulfillment" Images Retail Tech Award "Highest Job Creator - above INR 300 crore to INR 1000 crore" ET Bengal Corporate Award 2004-2008 "Best Men's Ethnic Wear Brand" Central Icons 22#231 About Vedant Fashions 2 3 Key Investment Highlights Our Growth Strategy 4 Manyavarohey Q4 Update and Financial Performance 5 Financial Summary 23 23#24Our Growth Strategy Retail Expansion within and outside India Disciplined approach towards acquisitions Manyavar Mohey Manyavarohey Up-selling and cross-selling initiatives Significant potential and space for growth of our emerging brands Enhancement of brand appeal through targeted marketing initiatives 24#25Retail Expansion within and Outside India Strategic enablers Strong existing presence in the market Cluster-based expansion strategy Identification of potential locations in existing & new geographies Expansion in new geographies Manyavarshey Independent growth strategy for each of the brands Expansion in new cities / towns in existing geographies الاله Increasing penetration in existing markets across existing cities Manyavar Expand into new cities and increase retail area in existing cities Mohey Expand along with 'Manyavar' MANTHAN® Increase volumes via MBOS, LFS, wholesale & online channels In-depth market research & analysis Omni-channel presence Online sales through website & mobile Increase volumes via MBOS, LFS, & online channel Expand into international markets Exclusive Mohey standalone stores application platforms Robust expansion plans to improve reach across online & offline channels Plans to double EBO retail space footprint¹ (mn sq. ft.) 0.5 1.3 twamev Up-selling at 'Manyavar' stores Leverage on e-commerce boost by adopting omni-channel strategy Sales of Customers - Online Channel 2.2 Online channel allow customers to browse product catalogues online & decide on designs (INR mn) CAGR: 70.0% 408 FY 2016 FY 2022 Next Few Years Source: CRISIL report; Note: (1) Includes 77 shop-in-shops (SIS) Omni-channel strategy, customers have flexibility to access products through offline and online channels 187 127 83 FY 2019 FY 2020 FY 2021 FY 2022 25#26Retail Expansion within and Outside India (Cont'd.) Manyavarohey Key parameters to expand international presence International Presence Strong focus on increasing presence in international markets Large Indian diaspora Strong-rooted Indian traditions High spending power (FY22) 3 Canada* 1 Countries 12 EBOS 8 Cities 24,357 sq. ft. EBO Retail Store Space Note: (1) Includes 77 shop-in-shops (SIS) USA* 5 Middle East UK UAE* 6 India 1* 583 South East Asia Australia ○ Existing EBO Stores Existing presence Expansion plans * Plans to expand further 26#27Up-selling and Cross-selling Initiatives Up-selling & Cross-selling Initiatives Manyavar Up-sell twamev Customers looking for premium offerings Manyavar Cross-sell Manyavar Mohey Deepen customer connections & extend buying opportunities Wedding Mohey Bride & Groom Family & Friends Leveraging 'Manyavar' store presence Manyaver + Mohey = 'Man-Moh' Coordinated Jodi Collection for the bride & the groom Targeting Brides & Grooms with multiple wedding occasions Targeting close family & special friends Growth Strategy Non Wedding Attendees & Guests Targeting guests attending multi wedding occasions Festivals Celebrations Targeting National Festivals like Diwali, Holi as well as Regional Festivals like Durga Puja, Pongal Targeting Celebrations such as Birthday, Anniversary & Housewarming Party To expand product portfolio Kids' Wear Range Accessories Expand via omni-channel strategy with an optimal blend of products Training Through Manyaver Mebaz Mohey MANTHAN Short videos In-person meetings Programs for Staff & Franchisee 0 Incentive Programs Up-selling & Cross-selling initiatives High ABV, ABS, & Productivity 'WOW bills'- Reward initiative For achieving sales threshold 27#28Enhanced Focus on Kids Segment to Drive Growth Large & growing Kids' Indian Wedding & Celebration Wear market* Ethnic Wear 162 Brands in Kids Category Manyaver Celebration Distribution Channel EBOS, MBOS, LFS, E-commerce Wear 152 195-205 5.1-6.2% Kids' Product Portfolio Kurta set, jacket set, indo-westerns & accessories Branded 16.2-23.8 46.5-59.0 FY20 (INR bn) FY25 (INR bn) CAGR FY20-25E Presenting NANHE Mangavar Marketing Campaigns Manyavarohey Mebaz EBOS Lehengas, gowns, frocks, kurtas, suits & accessories Strategy to grow in the Kids category Expand/ Introduce Product Range HAPPY SWATANTRATA DIWAS PAHNO APNI PEHCHAAM Manyavar #veshbhusha Strategic Acquisitions Manyaver shey Mebaz Focus on opportunities in adjacent product categories within Indian wedding & celebration wear like kids apparels & accessories Source: CRISIL report; Note: *Market size for Kids category have been taken as balancing figures of aggregate market & men's & women's market together for Indian Branded Wedding & Celebration Wear Market 28#29Significant Potential for Growth of our Emerging Brands (1/2) Manyavarohey Mohey ~INR 735 bn Overall women's Indian wedding & celebration wear market (FY20) Independent brand strategy enabled with assessment of customer demand, international & local trends & evolving customer preferences Opportunity 5.3-6.4% CAGR (FY20-25E) Strategy 15-20% 17-20% Introduction of 'MAN - MOH' Cross-sell with 'Manyavar' brand as coordinated Jodi, leveraging Manyavar's leadership position Penetration of Branded women's Indian wedding & celebration wear market (FY20) CAGR (FY20-25E) Lack of a nation-wide brand in the mid-premium & premium market Footprint Expansion Standalone stores Expand footprint with Manyavar EBOS Target Establish a leadership position | in Women's Indian Wedding & Celebration Wear market like 'Manyavar' Source: CRISIL report Merchandize Mix Establish presence in high demand product market Marketing Strategy Establish standalone 'Mohey' brand stores To increase the depth of product mix to an additional array of products, including accessories Independent marketing initiatives; celebrity brand ambassadors Exquisite Lehengas by mohey #DulhanWaliFeeling Building brand through event sponsorships Celebrity advertisements to attract youth 29#30Significant Potential for Growth of our Emerging Brands (2/2) Opportunity twamev INR 133 bn Overall men's Indian wedding & celebration wear Market (FY20) 5.0-6.2% 20-25% Manyavarohey MANTHANⓇ CAGR (FY20-25E) Penetration of Branded men's Indian wedding & celebration wear Market (FY20) Target Focus on further up-selling at existing Manyavar stores Up-scale 'Manyavar' customer base to premium offering Establish footprint with 'Manyavar' stores Strategy Create a comprehensive merchandise mix Independent marketing initiatives Source: CRISIL report; *Note: Online channel includes Manyavar website, Manyavar mobile application and leading e-commerce partners 18-22% CAGR (FY20-25E) Increase footprint to cater to ~5 mn weddings in a year Increase footprint with a targeted presence through MBOS & LFS channels Target new customers via attractive pricing initiatives Focus on online sales via online channels* Blend of product designs at value prices 30#31Disciplined Approach towards Acquisitions Growth via acquisitions Established Competitor Manyavarshey Driven by... Regional gaps and consolidate leadership position Leverage existing strong cash position Optimize omni-channel network Expand Presence in New Regions ↑ 111 Product Category Expansion Resulting in... iji Increase in customer base Strategic acquisition of South India focused Heritage brand 'Mebaz' in FY18 LIMITED EDITION 11/1 Strengthen leadership position in South Indian market, specially in AP & Telangana bilo Economies of scale WEDDING COLLECTION Mobaz Rationale Complement Company's existing omni-channel network Increase in profitability margins M 'One-stop-shop' for the ethnic celebration needs of the entire family Higher market share 31#321 About Vedant Fashions 2 3 4 Key Investment Highlights Our Growth Strategy Manyavarohey Q4 Update and Financial Performance 5 Financial Summary 32#33Wide Pan-India Reach and Presence including International Markets Presence (as of Mar-22) 1.27 mn Sq. ft. EBO's Area 595 EBOS¹ 223 Cities & towns in India Presence (as of Dec-21) 1.21 mn Sq. ft. EBO's Area 578 EBOS1 222 Cities & towns in India 3 Countries 24,357 sq. ft. Total Retail Store Space 8 Cities International Presence (as of Mar-22) 6 UAE Note: 1. EBO's includes shop-in-shops (SIS) Manyavarohey Net Rollout (Q4 FY22) 57 k Sq. ft. EBO's Area 17 EBOS¹ Total EBOs: 12 5 USA 1 Canada 33#34Strong Retail Growth (Sale of our Customers ¹) across Channels Q4 FY'22 Vs Q4 FY'21 2,738 +45.4% 3,981 Q4 FY'21 Q4 FY'22 FY'22 Vs FY'21 8,362 +76.2% 14,736 FY'21 FY'22 I 1 Manyavarohey INR in mn VFL recorded SSSG2 of 33.4% in Q4 FY'22 over Q4 FY'21 and 65.2% SSSG in FY'22 over FY'21 Note: 1. Sales of our customers comprises of sales of products of our brands (a) made by our EBOS, LFSs and online channel customers, and (b) made by us to MBOS (including shop-in-shops) and certain lateral e-commerce platforms customers at RSP; 2. SSSG stores for comparing with FY21 includes stores open on or before 31st Mar 2020 and running as on FY22 34#35Q4 FY22 and FY22 Financial Highlights (Consolidated) Manyavarohey INR in mn Q4 FY22 YoY Analysis Revenue from Operations Gross Profit & Gross Margin EBITDA & EBITDA Margin PAT & PAT Margin Margins → 67.4% 66.4% Margins → 47.3% 49.6% Margins → 24.9% 29.9% 54.7% 52.4% 2,963 1,967 61.9% 1,469 86.3% 887 1,916 1,291 907 476 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 FY22 YoY Analysis Revenue from Operations 5,648 FY21 84.3% 10,408 FY22 Gross Profit & Gross Margin Margins → 66.8% 66.9% 84.5% 6,958 3,771 FY21 FY22 EBITDA & EBITDA Margin Margins → 49.9% 50.1% +85.0% 5,213 2,817 FY21 FY22 PAT & PAT Margin Margins → 23.5% 30.3% +136.9% 3,149 1,329 FY21 FY22 Note: (1) Gross Profit = Revenue from Operations - Cost of Goods Sold; Cost of Goods Sold = Cost of Material Consumed + Changes in Inventories of finished goods & Work-in-progress + Purchase of stock-in-trade + Job Charges; Gross Margin = Gross Profit ÷ Revenue from Operations (2) Note for EBITDA = PBT + Finance cost + Depreciation - Interest Income on fixed deposits, bonds & debentures - Dividend Income - Profit on sale of investments - Profit on fair valuation of investments carried at FVTPL 35#36Profit and Loss Statement Q4 FY22 and FY22 (Consolidated) Manyaver@Mohey INR in mn Particulars Sr.no Income: Revenue from operations || Other income III Total income (I + II ) March 31, 2022 (Audited) Quarter ended December31, 2021 Year ended March 31, 2021 March 31, 2022 March 31, 2021 (Unaudited) (Unaudited) (Audited) (Audited) 2,963 111 3,074 3,847 1,916 10,408 5,648 114 93 3,961 2,008 499 10,908 602 6,250 IV Expenses: Cost of materials used - Raw materials 380 352 276 1,152 555 - Accessories & packing materials 55 54 36 176 101 Purchases of stock-in-trade 532 592 337 1,706 708 Changes in inventories of finished goods, work-in-progress and stock-in-trade (224) 22 (214) (366) 100 Employee benefits expense 166 179 106 575 381 Finance costs 86 76 62 284 258 Depreciation and amortisation expense 269 244 228 944 955 Other expenses 613 734 521 2,206 1,373 Total expenses 1,878 2,252 1,352 6,678 4,431 V Profit before tax (III-IV) 1,196 1,710 656 4,230 1,819 VI Tax expense/(credit): - Current tax 308 429 153 1,057 433 - Deferred tax charge/(credit) 1 27 24 57 VII Profit for the period/year (V-VI) 887 1,278 476 3,149 1,329 36#37Marketing Initiatives Marketing Initiatives Official Indian Wear partner for ICC World Cup 2021 T2 ICC MEN'S T20 WORLD CUP 2021 Manyavar OFFICIAL INDIAN WEAR PARTNER Talupar HokarAnige Replay: India vs Scotland # #ManyavarAaGaya Manyavar celebration car anyavar Manyavar Janyover Manyavar Manyavar Shop online at manyavar.com Manyavar DBYJU'S DOYJUS Davus DayJUS DEJUS BYJU'S DBYJU'S DAYJU'S BYJU'S DBYJU'S News Channels & Multiplex Collaboration ZEEMEDIA NMDC 13285 आयरन और फाइन्स के दाम ₹200 घटकर ₹4560/टन 1.56% Manyavar COMING UP NEWS VIEW आनंद रा serdarea de रात 10:30 AM SGX Nifty 17155.00 91.50 NYMEX CRUDE TATA 67.39 1.21 Bangayar Manyavarohey Theme-based Marketing Ad Campaigns #Manyavar Aa Gaya Shop online armonyoyur.com #ManyavarAaGaya Manyavar Collaboration with Celebrity Influencers #] #Diwali Wali Feeling ranveersingh Follow celebrationwear #Diwali WaliFeeling Manyavas ranveersingh Iss Diwali naya kurta nahi pehna toh kya kiya? Gearing up for DiwaliWaliFeeling with a range of festive Manyavar kurtas and kurta jackets Watch the match and shop with @manyavar, the Official Indian Wear Partner for ICC T20 World Cup. 13 meenu.mudgal.31 0000 0 1 Reply bae of bengal. How can someone be soooooo fucking handsome?? Just how?? 00000 0 Reply as9585746 о ty Twamev Launch on Social Media Platform twamev twamev.official follow Back 135 posts 12.6k followers 2 following Twamev Bespoke Fashion for the Modem indian Man www.bwamev.com Eganvoke Location Haryana Impination Neutra PetParad POSTS I ACELE votes TAGGED Begal, majestic and glari The Indian Blue A colour true is y 37#381 2 3 About Vedant Fashions Key Investment Highlights Our Growth Strategy 4 Manyavarohey 5 Q4 Update and Financial Performance Financial Summary 38#39Long Track Record of Strong Growth Trajectory Revenue & Sales of Customers Gross Profit¹ Manyavarohey EBITDA² Sales of Customers 11,355 12,652 8,362 14,736 Margins → 65.0% 65.3% 66.8% 66.9% Margins → 42.2% 43.6% 49.9% 50.1% 10,408 6,958 5,213 9,155 8,007 5,648 5,980 5,203 3,771 3,988 3,380 2,817 FY 19 FY 20 FY 21 FY22 FY 19 FY 20 FY 21 FY22 FY 19 FY 20 FY 21 FY22 PBT PAT ROCE (Pre-Tax)³ Margins → 33.8% 34.1% 32.2% 40.6% Margins → 22.0% 25.8% 23.5% 30.3% 4,230 3,149 3,118 2,709 1,819 2,366 1,764 1,329 48.24% 47.80% 34.07% 75.38% INR in mn FY 19 FY 20 FY 21 FY22 FY 19 FY 20 FY 21 FY22 FY 19 FY 20 FY 21 FY 22 Note: (1) Gross Profit = Revenue from Operations - Cost of Goods Sold; Cost of Goods Sold = Cost of Material Consumed + Changes in Inventories of finished goods & Work-in-progress + Purchase of stock-in-trade + Job Charges; Gross Margin = Gross Profit + Revenue from Operations (2) EBITDA = PAT + Finance costs + Total tax expense + Depreciation - Other finance income (3) ROCE = Numerator = PBT + Finance cost - (Interest income on fixed deposits, debentures + Profit on sale of investments + Profit on fair valuation of investments carried at FVTPL + Dividend income from mutual funds) Denominator = Net worth - (Current investment + Non current investment + Other bank balance) 39#40Consolidated P&L Statement INR mn Year ended Year ended 31-Mar-19 31-Mar-20 Manyavarohey Year ended 31-Mar-21 Year ended 31-Mar-22 10,408 Revenue from operations Other income Total income Cost of goods sold 8,007 9,155 5,648 191 325 602 499 8,198 9,480 6,250 10,908 2,226 2,512 1,463 2,668 Job Charges 578 663 414 782 Employee benefits expense 472 533 381 575 Other expenses 1,374 1,510 959 1,424 EBITDA 3,380 3,988 2,817 5,213 EBITDA % 42.2% 43.6% 49.9% 50.1% Finance cost 196 256 258 284 Depreciation and amortisation expense 643 887 955 944 Profit before tax 2,709 3,118 1,819 4,230 Tax expenses 945 752 490 1,081 Profit after tax 1,764 2,366 1,329 3,149 Net Profit % 22.0% 25.8% 23.5% 30.3% Note: Figures rounded off to the nearest integer; Cost of goods sold = Cost of material consumed + Change in inventories + Purchase of stock-in-trade; EBITDA = PBT + Finance cost + Depreciation - Interest Income on fixed deposits, bonds & debentures - Dividend Income Profit on sale of investments - Profit on fair valuation of investments carried at FVTPL 40#41Consolidated Balance Sheet Manyavar Mohey INR mn Assets Non-current assets Fixed Assets Right-of-use assets Capital work-in-progress Investments As at 31-Mar-19 As at 31-Mar-20 As at 31-Mar-21 As at 31-Mar-22 2,421 2,608 2,556 2,480 1,963 2,460 2,035 2,667 14 2 252 460 800 1,003 Other non-current assets 1,107 1,072 1,112 1,207 Total non-current assets 5,756 6,601 6,505 7,357 Current assets Inventories 909 1,209 1,012 1,430 Trade receivables 3,327 3,721 3,612 3,967 Investments including Cash and bank Balance 2,886 3,748 4,627 4,160 Other current assets 307 637 500 770 Assets held for sale 13 Total current assets Total assets Equity and Liabilities Equity Equity share capital 7,429 9,315 9,751 10,340 13,185 15,916 16,257 17,697 Other equity Total equity Non-current liabilities Lease liabilities Deposits Deferred tax liabilities (net) Other Liabilities & Provisions Total non-current liabilities Current liabilities Borrowings Lease liabilities Trade payables Other current liabilities Total current liabilities Total equity and liabilities 250 250 248 243 8,577 10,410 10,666 10,585 8,828 10,660 10,914 10,828 1,297 1,697 1,397 1,934 634 737 818 912 90 81 147 168 412 423 383 423 2,433 2,937 2,745 3,437 541 731 707 853 581 504 499 730 803 1,083 1,391 1,849 1,925 13,185 2,318 2,597 3,432 15,916 16,257 17,697 Note: Figures rounded off to the nearest integer; Fixed Assets includes Property, Plant & Equipment, Goodwill, Intangible Assets & Intangible Assets under development; Cash and bank balances include balance with bank, cash on hand and fixed deposits with banks with maturity > 3 months and <12 months *Buyback In July 2021 of INR 3,313.31 Million 41#42Consolidated Cash Flow Statement INR mn Cash flow from operating activities Profit before tax Year ended 31-Mar-19 Year ended 31-Mar-20 Manyavarohey Year ended 31-Mar-21 Year ended 31-Mar-22 2,709 3,118 1,819 4,230 Operating profit before working capital changes 3,369 3,989 2,472 5,050 Movement in working capital Cash generated from operations Net income tax (paid) (67) (804) 399 (450) 3,303 3,185 2,871 4,600 (954) (750) (345) (1,090) Net cash from operating activities 2,348 2,434 2,526 3,510 Cash flow from investing activities Purchase of property, plant and equipments, capital work in progress & intangible assets (including capital advances) (101) (284) (125) (23) Proceeds from sale of property, plant and equipments & intangible assets (including advance received) 28 100 276 132 Net proceeds from sales/ (purchase) of investments (463) (1,445) (1,424) 37 Interest and dividend income and other items (1,093) 672 389 418 Net cash (used in) investing activities Cash flow from financing activities Proceeds (repayment of borrowings) Cash-credit paid back Payment of Lease Liability (1,629) (957) (884) 565 (1) (126) (581) (803) (578) Buy back of shares (1,084) (834) (3,313) Dividend paid (604) Interest paid other than lease & other items (2) (3) (2) (4) Proceeds from fresh equity shares issuance against vested ESOPs in Holding Company Net cash used in financing activities 47 (710) (1,410) (1,665) (4,105) Net increase (decrease) in Cash and cash equivalents Cash and cash equivalents at the beginning of the period 9 68 (23) (30) 12 21 89 66 Cash and cash equivalents at the end of the period 21 89 66 36 42#43Glossary Manyavar@ohey Term Company Crisil Report EBO ERP Indian wedding & celebration wear Indo-western LFS MBO Men's ethnic wear or apparel OPBDIT Ready-to-wear RSP Sales of Customers SIS (Shop-in-shops) Women's ethnic wear or apparel Description Vedant Fashions Limited The report titled "Assessment of the apparel industry with a special focus on Indian wedding and celebration wear market in India" dated Sep- 2021 as updated by the addendum dated December 2021 prepared by CRISIL Exclusive brand outlets of a brand or company Enterprise resource planning system Apparel worn on special occasions such as weddings; close-knit family functions like puja, house warming, etc.; festivals such as Diwali, Eid, Holi and Rakshabandhan; and other events such as Independence Day and Republic Day Combination of traditional Indian ethnic apparel & western wear Large format stores Multi-brand outlets Apparel including Kurtas, Indo-westerns, Sherwanis, jackets & other accessories Operating profit before depreciation, interest & tax Apparel made for general market & sold through shops rather than made to order for an individual customer Retail selling price Includes sales of products of Company's brands (a) made by Company's EBOS, LFSs & online channel customers, & (b) made by Company to MBOS (including shop-in-shops) & certain lateral e-commerce platforms customers at RSP An arrangement where a separate retail space is allocated in stores for retailing Company's products Apparel such as lehengas, sarees & stitched suits 43#44Thank You Manyavar Mohey Company: Manyavar Mohey Vedant Fashions Limited CIN: L51311WB2002PLC094677 Investor Relations Team [email protected] www.vedantfashions.com Investor Relations Advisors : σ orient capital Orient Capital (a division of Link Group) Mr. Rajesh Agrawal +91 99674 91495 [email protected] Ms. Rasika Sawant +91 95944 57518 [email protected] 44