#1Investor Presentation Welspun Living Limited Home Textile | Advance Textile | Flooring JANUARY 2024 NSE/BSE: WELSPUNLIV Bloomberg: WLSI:IN Reuters: WLSP.NS W Welspun LIVING#2Inside this Presentation Welspun Group Welspun Living Market Opportunity Welspun 2.0 Brands Advanced Textile Flooring Solution 03 04 12 17 20 27 28 Innovation 30 Digitalization 31 ESG 33 Robust Financial Performance 37 Prudent Capital Allocation Strategy Investment Rationale 42 45 2#3WelspunⓇWORLD W Global Conglomerate The USD 3 Bn Welspun Group is one of India's fastest growing global conglomerates with business interests in Line Pipes, Home Textiles, Infrastructure, Steel, Advanced Textiles, Warehousing and Flooring solutions. The group has a strong foothold in 50+ countries and its clientele includes Fortune 500 companies. USD 3 Bn Revenue USD 1.4 Bn Net Fixed Assets W Welspun LIVING Global leader in Home Textiles Welspun ENTERPRISES Welspun CORP Amongst world's largest Line-Pipe manufacturers W Welspun ONE 30,000+ Workforce 9 Manufacturing Facilities in India, USA, and Saudi Arabia. welspunliving.com Robust portfolio of Roads & Water Infra projects Integrated Grade-A Warehousing Solutions 3#4Welspun Living - Who are we? ↑#5WELSPUN LIVING - GLOBAL HOME TEXTILES LEADER W Welspun LIVING W CHRISTY THE HIPS WIMBLEDON MARTHA M STE WART SPACES CES Welspun BED BATH RUGS Creative CO/Lab WELSPUN W DISNEY HOME Diversified Brand & License Portfolio Strong Emerging Businesses: ◆ Flooring Solutions disrupting the world of flooring • Advanced Textiles dealing with innovative product applications HYGRO COTTON الله Multipronged E-Commerce Strategy to accelerate growth & capture larger share of the fast-growing market WEL-TRAK 2.0 BLOCKCHAIN BY WELSPUN Thought leader Tamper-proof Blockchain platform for state-of-the- art transparency for All Fibers & All Product Categories spun threads with a soul ESG Focused organization with well-defined principles, roadmap and targets A certified woman owned business with >25% women in a 24,000+ strong workforce Welspun Living Ltd (WLL), part of $3 bn Welspun Group, is a global leader in the Home Textiles landscape. With a strong global distribution network and world- class vertically-integrated manufacturing facilities located in India, Welspun is strategic partners with top global retailers. WLL is differentiated by its strategy based on Branding, Innovation and Sustainability. welspunliving.com 5#6STRONG GLOBAL PRESENCE W KEY CUSTOMER PARTNERSHIP North America Walmart ★macy's amazon UK & Europe TESCO COSTCO WHOLESALE --- WYNDHAM HOTEL GROUP TJ.maxx JCPenney IHG InterContinental Hotels Group M MARRIOTT Auchan //ACTION THE HOME DEPOT John Lewis India SHOPPERS STOP Home Town Ab ghar banana kitna aasaan! D Mart M Myntra KOHL'S Sam's CLUB Sainsbury's JYSK Dunelm ÁSDA ROW Shaw FLOORS QVC Carrefour the warehouse Himalaya SINCE 1930 @home® by Nilkamal LET'S MAKE LIFE BEAUTIFUL lifestyle YOUR STYLE, YOUR STORE, Oberoi HOTELS & RESORTS Unilever BIG BAZAAR NAYE INDIA KA BAZAAR TAJ Unicharm SHERIDAN EST. 1967 Over 50 Countries Presence ROSS DRESS FOR LESSⓇ welspunliving.com ALDI MSI IKEA LOWE'S homecentre DANUBE HOME Making Your Home. So Easy Now! ニトリ NITORI GFC 6#7360 degrees capabilities from Farm to Shelf welspunliving.com 6. Environment, Social, Governance (ESG) 5. Sales & Marketing Support 1. Consumer Research & Innovation 360° Value Chain Management 2. Integrated Manufacturing 4. Digital & Analytics 3. SCM & Warehousing 1. Well Researched Innovative Offerings backed by deep Consumer understanding 2. Vertically integrated facilities with seamless connectivity to Global Supply chains 3. Global Distribution footprint 4. Digital Transformation across the organization 5. Strengthening Brand portfolio & Omni-channel capabilities 6. Socially Responsible, Sustainability Focused W 7#8Vertically Integrated presence with Significant Capabilities Particulars Bath Linen UOM Annual Capacity MT 90,000 Bed Linen Mn mtrs 108 Home Textile Rugs & Carpets Mn sq mtrs 12 W Advanced Textile Spunlace Needle Punch Wet Wipes MT MT Mn Packs 27,729 3,026 100 GLOBAL LEADER IN HOME TEXTILES Annual Capacity Flooring Solutions Particulars UOM Installed Effective Flooring Mn sq mtrs 27 18 Watch Welspun Manufacturing Facility Tour 80#9AWARDS & RECOGNITION Feathrs in our cap W Best Managed Company by Deloitte won in 2 years in a row & AWARD FOR MONY 2021 se TE MPOWERM Safety Excellence Diamond Award at Golden Bird National Awards '23 H Awards CERTIFICATE This certificate is proudly presented to Welspun India Limited Anjar Textile Sector hers burn butun mineur of Apex India Corporate Ethics Award 2023 Platinum Award Platinum Award by Apex India Foundation Award'23 for Excellence in Corporate Ethics in textile sector DIPALI GOENKA 54, CEO & MANAGING DIRECTOR, WELSPUN LIVING Weaving Success Dipali Goenka is really busy rebranding Welspun. A new logo was unveiled in July, and she can't stop talking about the group's presence in various businesses. "We are in roads and also other parts of infrastructure, plus there is the buyout of Sintex-BAPL (that deal concluded in March)," she says. As CEO & MD of the 78,200-crore home textile manufacturer Welspun India, she is clear that India is the big story. "India is increasingly being preferred as the new supply chain partner," says Goenka. She is making Welspun future-ready. "With tools like Al and data analytics, it is neces- sary for us to be ahead of the curve," she says. Ask her what will make her happy about the company in five years, she says, "Har ghar se har dil tak (from every home to every heart)." BT - BY KRISHNA GOPALAN Ms. Dipali Goenka recognized as the "Most Powerful Woman in Business '23 by Business Today" RUSTA 2023 COMMITMENT Award is presented to WELSPUN For persistent on-time delivery, reduced CRS, Improved COC & SQE Detenta PR PB Women supported by WSSW WELSPUN W Rusta Award for persistent on time delivery, reduced CRS, improved COC & SQE 9th Dalmia Bharat CSRBOX CSR Impact Award '23 in Women Empowerment (Large) category for WSSW Brand Welspun wins Prestigious Brand of Asia award (textile) out of 50 brands selected from various domains breaking barriers HSP MOST PREFERRED WORKPLACE 2023 - 2024 CERTIFIED WLL as the 'Most Preferred Workplace of 2023-24' by Team Marksmen Network welspunliving.com Domestic - Business Excellence 2023 Award by Outlook Business TEXPROCIL Highest Exports 2010-2021 Platinum award for Highest global exports. Winning for 11 years in a row and many more... Tanisha Crasto: SUPER SPO WOMEN Gold, Badminton (Doubles) in Abu Dhabi Masters Super 100 '23 Nikhat Zareen: Bronze, Boxing (50 kg) in Asian Games '23 9#10W Leadership Board of Directors Mr. B. K. Goenka CHAIRMAN Amongst India's most dynamic businessmen ◆ Past President ASSOCHAM (2019) . Recipient of Asian Business Leadership (ABLF) Award, 2019 Mr. K.H.Viswanathan INDEPENDENT DIRECTOR, AUDIT COMMITTEE CHAIRMAN ◆ Qualified cost and works accountant with over 34 years of experience. Expert in Audit, Tax & Legal, Structuring, Business Strategy, M&A Board of Directors Mr. Murali Sivaraman INDEPENDENT DIRECTOR ◆ More than 3 decades of Global Leadership in Consumer Durables and currently as Chairman / Independent Director in multiple listed Boards and Private Equity advisory. Qualified Chartered Accountant with management degree from IIM Ahmedabad. Mr. Arvind Singhal INDEPENDENT DIRECTOR ◆ MBA from University of California, founded Technopak, India's leading management & operations consulting firm with focus on Textiles, Retail, Healthcare etc. Management Team Mr. Rajesh Mandawewala Executive Vice Chairman; MEMBER OF BOARD ◆ Qualified Chartered Accountant; Played an instrumental role in establishing Welspun's Textile & Pipe business ◆ Leading new strategic initiatives of the Group Ms. Dipali Goenka MD & CEO; MEMBER OF BOARD Driving force behind Welspun's global leadership in home textile with focus on Innovation, Brands & ESG ◆ Graduate in Psychology & completed Management Program from Harvard Ms.Vanshika Goenka MD; Welspun UK 7+ years in building digital consumer brands ◆ Founder: Kool Kanya ◆ Brown University Grad Ms. Anisha Motwani INDEPENDENT DIRECTOR • 28+ years experience in advertising, auto- manufacturing, financial and health services. Currently advisor to World Bank. Voted among '50 Most Powerful Women in Indian Business' by Business Today for 3 consecutive years Mr. Pradeep Poddar INDEPENDENT DIRECTOR ◆ Technocrat & Corporate Leader with 30+ years of experience in consumer products industry and vast experience in brand building Mr. Altaf Jiwani WHOLETIME DIRECTOR 30+ years of experience in electrical, auto and textile • Worked with organizations like RPG Group, Phillips Carbon Black Ltd and Crompton Greaves ♦ Has been Director on the Board of DCB Bank for 8 years Mr. Sunil Duggal INDEPENDENT DIRECTOR ◆ Leader of FMCG major, Dabur India Limited. Has numerous accolades to his names such as FMCG CEO of the year. Mr. Sanjay Gupta President (Finance) and CFO • 29+ years of experience in corporate finance, accounts, strategy and M&A • Worked with organizations like Tata Tesco JV, Bata, Glenmark Pharma, Roche, etc. Mr. Keyur Parekh Global Head (HOME TEXTILE) * 18+ years of experience in Sales, Marketing and New Business Development in International markets ◆ Instrumental in forging Strategic partnership with Top Retailers & Hotel chains across the globe Ms. Manjari Upadhye CEO (Domestic Business) 20+ of rich experience & expertise in Strategic Portfolio management, Consumer Insights, Advertising and Innovation domains. ◆ Experience in FMCG sector with leading international marquee brands like Colgate PepsiCo, Mondelez etc. 10#11welspunliving.com 1.09 Net Debt to Equity (x) 1.00 0.64 66,084 Total Income (* Million) 68,362 Trend of Financial Performance FY19 FY20 FY21 0.56 74,080 FY22 FY19 FY20 FY21 FY22 FY23 FY19 0.38 93,773 ☐☐ 30,283 FY23 82,151 Net Debt (* Million) 29,618 23,327 FY 19 FY20 FY21 FY22 11,467 22,289 FY 20 FY23 11 EBITDA (*Million) 13,098 15,343 14,198 14,246 FY21 FY22 FY23 8,739 W#12FARMHOUSE Market Opportunities ने#13Global Home Solutions Opportunity Global Home Textile Market (USD Bn) 120 180 39 61 Addressable US Home Textile Market (2022) (USD Bn) (Wholesale level) Market Composition 5.2% US 31% 44 Europe 34% CAGR ROW 35% $6.5 Bn Strong Presence of Welspun a Cotton Pillowcase $0.3 Bn b Cotton Sheet $1.4 Bn 2022 2030 E -0- Retail Level Wholesales Level C Cotton Towels $1.8 Bn Growth drivers: Expansion in end-user verticals, like hospitality & residential Shifting inclinations of home-based interior decoration Growing real estate sector and refining criteria of living style leading to increased expenditure on the home-based interior. welspunliving.com ◆ US is a large and homogenous market making it more attractive. ♦ While US is a level playing field, Europe market is heterogeneous and provides preferential tariff rates to some competing countries. ♦ India remains one of the fastest growing markets. Source: OTEXA & Industry Reports W 13#14Global Flooring Opportunity Global Flooring Market (2022) – USD 270 Bn - Indian Domestic Ceramic Tiles industry (Rs bn) 240 ~*40,000 Crs market ~5% CAGR YoY gr. (RHS) 500 Asia Pacific 122, 45% 400 300 21% 17% USA 108, 40% 15% 10% 12% 200 7% 100 Europe Others 27, 10% 14,05% FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 8 0.4 33% 270 20 300 0.35 0.3 0.25 ~50% 7% 0.2 0.15 0% 0.1 0.05 organised 0 -0.05 Source: Ceramic World Review, PL Addressable Global Market for Welspun - USD 20 Bn USA Europe $10 Bn Market ◆ 50% Broadloom ◆ 25% Carpet Tiles → 25% LVT Addressable Indian Market ~5,500 Crores Renovation Commercial Carpet Tiles, Wall to Wall, Grass 6-8% CAGR b/w 2023 - 28 Hospitality Carpet Tiles, Wall to Wall, Grass SPC-Wooden, marble & tiles; Grass $7.5 Bn Market ◆ 40% Broadloom ~Rs 4000 Crs ~Rs 1000 Crs ~ Rs 500 Crs ◆ 35% Carpet tiles → 25% LVT APAC welspunliving.com $3 Bn Market ◆ 15% Broadloom 35% Carpet tiles ♦ 50% LVT Ind. Growth: 7-10% (23-28) *Airports, Data Centers, Malls, Offices Ind. Growth*: ~21% ('23-28) Ind. Growth: 5-7% ('23-28) 15#15Global Advanced Textile Opportunity - Global Advanced Textile Opportunity (2022) ($ 180-190 Bn) Indian Market ~5% CAGR US 25% Europe 22% China 13% Japan 07% India 05% Other 28% $ 33 Bn Global Addressable Opportunity (2022) ◆ Market growing at 5% CAGR ◆ Post Covid Health & Hygiene has seen focus MEDITECH - Hygiene applications are the largest consumer of all nonwovens - 44% ⚫ HOMETECH - Upholstery and Bedding are the largest durable nonwovens market and the third in volume among all nonwovens end uses behind hygiene and the combined wipes market ◆ Overall Market Size is ~$10 bn. ◆ Underpenetrated consumption of technical textiles in India, still at 5-10% against 30-70% in advanced countries ♦ India, having overtaken Japan in 2015, is the second-largest national market in Asia in with a 12.9% share by tonnage at 7.7% CAGR over 2017-22 A CAGR of 8.1% is forecast to 2027 welspunliving.com Advanced Textile End User Industry Segmentation (In %) PACKTECH 41% INDUTECH 11% MOBILTECH 10% MEDITECH 05% CLOTHTECH 07% BUILDTECH 04% PROTECH 03% AGROTECH 02% SPORTECH HOMETECH 10% 07% OEKOTECH 01% Area of focus Source: Invest India, Company estimates W 15#16Domestic Market Opportunity: multiple growth drivers 12% CAGR HOME TEXTILE INDIA MARKET (Rs Crs) 48,000 Total NON-BRANDED 30,000 Total NON-BRANDED W Welspun poised to grow at 3X of the market growth rate Category expansion "Har Ghar Welspun" has a well-defined category expansion strategy Channel expansion Expanding presence through TT/MT channels and Ecommerce 20-24K BRANDED 18k - 20k Addressable market size 35-39K ៩៩៩៖ Rugs 5% 6% Kitchen 9% 14% Upholstery BRANDED Comforters and Quilts 64% Curtains 8-9K 5-6K FY22 FY26 welspunliving.com Towels Industry Growth Drivers Changing landscape Increase in Urban Population aided by higher disposable income Evolving sector Shift towards organized retail; higher market in mass- premium, premium category Consumers Target age group: 25-45 yrs More discerning consumers with aspirations for brands Category preference High awareness and increased involvement toward home décor Bed 16 Data Source: Research reports & Welspun internal analysis#17Welspun 2.0 ↑#18Evolution of Welspun Living Phase I : Till 2010 Phase II: 2010-2020 Phase III: Going forward Transforming from being textile manufacturer to ranking Global #1 integrated Home Textile manufacturer ◆ Transforming from a manufacturing company to brand- oriented, Direct to Consumer company ◆ Transforming into an end-to-end solution provider and strategic partner to global retailers with consumer-led innovation as its bed-rock Evolving to Welspun 2.0 with 6 key value drivers Growth Drivers Brands Emerging Business ◆ E-Commerce Value Enablers ♦ Innovation Digitalization ESG#19Welspun 2.0 Growth drivers Breathe easy. Sleep happy. SPACES THE FABRIC OF HAPPY HOMES (spaces.in a Brands Emerging Businesses Christy FREE CUSHION 01- thouse from TRACTOR CUEN IN THE BIKET E-Commerce Value enablers WEL-TRAK 2.0 BLOCKCHAIN BY WELSPUN Where it comes from matters. Innovation Shank Sa.. Swich Cana Digitalization ESG Brand Portfolio Owned & Licensed Flooring Advanced Textiles (part of home textile) Multi-pronged E-commerce Strategy Thought leader in Home Textiles Organization wide transformation Encompassing all stakeholders with defined roadmap 19#20Brands : Dominating Global Consumer Landscape Brand Strategy 3. 1. Strengthening owned and licensed portfolio 2. Securing additional shelf space welspunliving.com Owned Brands India R SPACES Welspun Penetration of consumer business across geographies BED BATH • RUGS Licensed Brands India THE CHA A. Alternate Revenue Streams WIMBLEDON ILLUMINATION DESPICABLE ME MINION MADE MARVEL Disney W Global CHRISTY Global CHAMPIONS THE WIMBLEDON HARTHA M DISNEY HOME Creative CO/Lab WELSPUN 20 W#21OWNED BRANDS - DOMESTIC SPACES BED BATH RUGS (R Diversified Product Portfolio BED LINEN WelspunⓇ Bedsheets Comforters Dohars Pillow covers BATH LINEN W Towels Bath mats Bath robes Brand Positioning ◆ Premium Thoughtfulness Presence ◆ 2,400+ outlets ♦ 380 towns ◆ 240 Shop in Shop locations Early Success ◆ Leading brand on Myntra in home category ◆ Improved brand awareness ◆ Foray in mattress category with Yours'n'mine range ◆ Mass ◆ 17,006+ outlets (1,495+ in Q3 24) ♦ 600+ towns ◆ 125 Distributors ♦ #1 distributed Brand of HT in Home Linen in the country* ◆ Significant improvement in brand awareness Note: * As per 3rd party research RUGS Door mats Yoga mats Bed side runner Grass mats CURTAINS & UPHOLSTERY Cushion cover Curtains Blinds Wall paper FLOORING SOLUTIONS Click & Lock tiles Carpet Tiles W2W carpets Greens MATTRESSES 21 welspunliving.com#22Retail Journey Launched Spaces brand ✓ Reached Rs 100 Cr Turnover CSO Campaign launched for consumer engagement (SPACES) ✓ Campaign with Akshay Kumar W ✓ Brand Welspun - most distributed brand, HT ✓ Revenue: HT: 430 Cr+; W Flooring: 120 Cr ✓ Spaces: ~190 Cr Welspun: ~190 Cr Re-launch of EBO 2004 2008 2016 2018 welspunliving.com 2019 2022 3% 5% Launched Welhome Stores Launched Welspun Brand ✓ Campaign with Amitabh Bachchan ✓ Scaled up visibility of SPACES ✓ Launch of Rangana & Hygro ✓ Welspun Brand crosses 100 Cr HT: 350 Cr+; Flooring: 50 Cr+ 2023 7% 22#23Domestic Business Opportunity Market size Addressable market size is currently about 12,000 cr. and is expected to move up to 25,000 cr. by 2026. Major part of market is unorganized and unbranded Aiming to be "Har Ghar Welspun" ◆ To be Leader in home textiles space in India ♦ Innovative, Quality products, available at arm's length ◆ Nationwide presence -in urban and rural & be preferred partners for every Modern Trade and Marketplace Retailer Brand Strategy Dual Brand Strategy: Welspun brand for Mass market segment and Spaces for Premium segment Approach Enhance our Brands repute via Trust, Quality and Availability. Innovation product offerings based on consumer needs & pain points Target ~1,200 Cr business by FY26 Brand Penetration Particulars Households # Outlets BY 2026 ~40 Lakhs ~50,000 welspunliving.com W 23#24DOMESTIC CONSUMER BUSINESS BUILDUP Brand Welspun Nielsen Highest Distributed Brand in HT Share of shelf: >15% MBO; >= 40% Large format 75% Districts Presence in ~500/640 STORE 2in1 REVERSIBLE BEDSHEET WELSPUNⓇ LIFE SE MAANGO MORE welspunliving.com Presence: 17k+ Outlets FY26 (e): 50,000 outlets Innovation: Awards W • 2-in-1 Sheet • Quik Dry Towel • Wonderful sheet KANTAR CREATIVE EFFECTIVENESS AWARDS 2022 Most Visible Brand M 2in1 Bedsh dan verge of Home Textile Branding in ~7k FLOORING Make in India: Highest Scale up in WELSPUN commercial & hospitality segment stores. Welspun's Quik Dry Towel ad wins Kantar's Global Creative Effectiveness Awards for its Messaging & relevance Last mile technology implementation: SFA & DMS High pitch campaigns with celebrities BEAGEN Chief Style Officer Spontaneous awareness Ⓡ SPACES 30% BED BATH. RUGS WelspunⓇ 100% PB Held Goba Wapunio DP RE Brand Welspun wins Prestigious Brand of Asia award (textile) out of 50 brands selected from various domains 30#25Owned Brands - Global Q CHRISTY Brand Positioning ◆ 170-year-old heritage ◆ Luxury W Presence Moving from Phygital to Global Digital ◆ Repositioning for Millennials LOT RFederer Y '03 '04 '05 '06 '07 '09 '12 '17 Early Success ◆ About 25% Christy business now comes from E- Commerce channel WIMBLE WIMBL 201 welspunliving.com Christy 25 25#26Licensed Brands Licensed brand brings us new opportunity pockets by opening-up new channels and shelf space without cannibalizing our existing business W MARTHA Martha M Strong performance across channels STEW ◆ Healthy contribution coming in from E-Commerce ◆ Strong performance across Retailers & specifically with largest WH clubs store format ◆ Top Rated' programs status credentials Expanding beyond North America - Brazil, Mexico, etc Creative Co/Lab ◆ Territory Expansion - Canada, Mexico in the First year itself Speed to Market - Ideation to execution - Six Month Concept launch - Influencer Marketing Curated collection Creative CO/Lab by WELSPUN COCOCOZY □ Disney Home ◆ Foray into Kid's Segment Bed & Bath ◆ Geographical Penetration - UK, EU, ME, South Africa • Categories - Dec Pillows, Throws and Blankets DISNEY HOME welspunliving.com 26#27Advanced Textiles Emerging segment of textile products Innovative product applications ◆ Facility located in Anjar (Gujarat) and Hyderabad (Telangana) in India ◆ High demand for PPE products & disposable solutions due to changing consumer behavior towards health & hygiene Certifications onal Organization for Standar ISO 9001:2015 PEFC welspunliving.com W Wet Wipes ◆ Tailor-made wet wipes for end applications like baby care, personal hygiene, cosmetics, industrial use, and home care. Manufacturing partners for brand launches and category extensions with innovative product claims and solutions for packaging, lotion formulas, and substrates GERTIFIED ISO CERTIFIED ISO/TS VXTXX 14001:2015 COMPANY FSC FSC™ C110879 onGood 16949:2009 COMPANY Manufactur GMP Quality Spunlace ◆ Born from innovation and refined by Hydro- Entanglement non-woven technology, SPUNLACE is expanding its global presence. ◆ Catering to medical disposables, hygiene, and cosmetic industries. ◆ Successfully tested for manufacturing Aerospace cleaning material Needlefelt ◆ Needlepunch is engineered for applications like Air filtration, EAF (Engine air filter), Liquid filtration Industrial oil, Fuel, Food & Beverage, Paint, Pharma, 27#28Flooring Solutions W WELSPUN FLOOSIN Technologically advanced Flooring Solutions ◆ Flooring for Home, Hospitality and Commercial segment. ◆ Aiming to revolutionize the renovation segment of Indian flooring market. ◆ Flooring still considered as part of construction activities, with no concept of modular flooring. ◆ Quick turn-around time and hassle-free installation. ◆ Only company to manufacture hard & soft flooring solutions under one roof. ◆ Positive traction from overseas especially in hard flooring Flooring awards CERTIFICATE OF COMPLIANCE SCS Global Services does hereby certify that an independent assessment has been conducted on behalf of Welspun Flooring Limited Sy. No. 190, Chandani Village, Shabad Mandal, Rangareddy District, Telangana, 501503, India Greenfield Fully Integrated facility spread over 600 acres of land in Telangana Annual Capacity of 27 Mn Sq.Mt. Warranty (5-15 YEAR) Only company to offer warranty in flooring industry INNOVATING TO TRANSFORM THE FUTURE OF THE FLOORING INDUSTRY +1+ Fusion flooring A highly customizable unique mix of hard and soft flooring Zero Waste Standard with 98% Diversion from Landfill WELSPUN FLOORING LIMITED a Certificata men Has demonstrated the operation of a management system that is compliant with the requirements of ZERO WASTE PROGRAM GREENGUARD SPC Certified Get Shante encamins and mang Standard(s): SCS Zero Waste Standard v1 November 2020 The scope of this certificate shall be limited to: The facility listed above has achieved 98% Waste Diversion for the following waste streams: Recycled: 71.35% CERTIFIED Reclaimed: 3.89% Co-Processed: 5.10% Composted: 8.79% GREENGUARD Gold Certification Criteria Building Products and Interior Finishes Stored: 8.38% Maximum Allowable CAS Number Predicted Concentration Units This certificate was issued by SCS Global Services for compliance with the Zero Waste Standard TVOC Formaldehyde 022 mg/ma Certificate Code: SCS-ZW-0001 973 ugi 0.043 Valid from 22 June 2021 to 21 June 2022 4-Phenylcyclohexene Particle Matter less than outs 58 30 gme -Methyl-3-pymolainana a Individual VOCs Ham C SCSglobal Stanley Mathuram, PE Vice President SCS Services 2000 Powel Street St. 600 Emeryville CA-408 USA Greenguard Gold certificate SCS Global Zero Waste certificate welspunliving.com A Making Inroads in Global Markets India's First company to create anti-viral flooring 95 Distributors & ~1,100 Dealers appointed pan-India India's largest LEED certified production facility 28#29Flooring Product Offerings Click N Lock® Tiles Carpet Tiles Wall to Wall carpets Greens Features Features Features Features Healthy Floors Highly Durable Multiple Design Possibilities Anti-viral Multiple Design Possibilities Anti-viral No Cropping No Watering Less than a day installation Noise & Dust Free Installation Easy to Install & Maintain Provides Sound Insulation Stain Resistant Provides Heat Insulation In-built Drainage System 29 29#30Innovation - Our strong suite 37 Patented Technologies Key Innovations Filed globally WINNER 2nd time in a row CLARIVATE SOUTH AND SOUTH EAST ASIA INNOVATION AWARD 2021 HYGRO COTTON HYGROCOTTON Patented spinning technology makes towel softer loftier and sheet temperature regulating WEL-TRAK 2.0 BLOCKCHAIN BY WELSPUN Thought leader Collaboration With Tamper-proof Blockchain platform for state-of-the-art transparency for All Fibers & All Product Categories W 199 Softer Fluffier after wash Temperature regulating Building Trust Digital Verification Enhancing Transparency Welspun Living has been recently recognized as the most 'Influential Innovators' at the Clarivate South and South East Asia Innovation Award 2021 Global Collaborations with Top Universities, Technology Partners and Industry Associations Other Innovations GOOD REST nano core ORGANIC ♦ Wrinkle resist properties NANOCORE ◆ Prevent Allergy & Asthma ◆ Chemical-free drylon DRYLON ◆ Ultra soft ◆ Dries super fast CHARCOAL ◆ Odor-control Hygienic & Detoxifying A BEDSHEET REVOLUTION DREAMTEC Better Moisture Management ♦ Wrinkle-resistant welspunliving.com 30#31Digitalization - Digital Transformation at Welspun Supplier Manufacturing Product Management Supply Chain BUY Sales & Marketing W E-Sourcing E-Procure to Pay Industry 4.0 Computer vision based QC Real time performance monitoring Energy Mgmt Systems IOT / Connected machines Robots, Sewbots, Cobots ⚫ Al enabled Projects Collaborative E-PLM Digitization of Product Development Master Data Management Collaborative 3D Design Platform for customers B2C Product Info Management Platform E-Documentation (Bolero Platform) Freight Tiger (Cloud based) Planning Platform enabled by ML Algos Digital Customer Engagement Virtual Showroom, shop floor walkthrough & Inspection → Global E-Commerce Program via Marketplaces & brand.com portals welspunliving.com Advanced Analytics, Power BI based Dashboarding tools, Robotic Process Automation 31#32Digitally Engaging with our customers Virtual Showroom & Design Microsite Virtual Shop floor walkthrough IT'S TIME TO DISCOVER CONNECTING VIRTUALLY WELSPUN SPRING SUMMER 21/22 BATH RUGS BEDDING welspunliving.com Shwetank Sa... Subrata Paul-s... Switch Camera Virtual Quality Inspections VIRTUAL INSPECTION Customer Feedback Walmart Save money. Live better. KE 360° REVOLVING CAMERA REMOTE CONTROLLED ZOOM FEATURES | SNAPSHOT FEATURE Olvish Carme 66 Audio-Video quality was so good that I could feel myself sitting in cart and visiting the plants. Very good synergy among team members and could see everyone striving for excellence. Stays Video F Chal Sław Seam Reactions W 32#33WELSPUN ESG WAY: ENCOMPASSING ALL STAKEHOLDERS Welocity Accelerating ESG W Welspun is going through a major transformation where we are embedding sustainability and circularity in every realm of our value chain. We are striving to be the absolute benchmark and global leader in the use of ESG framework and compliance to sustainable practices. Our social and philanthropic initiatives are run through Welspun Foundation and are centered around 3E's - Environment & Health, Education, Empowerment. We have built a roadmap on Sustainability for WLL that enlists our goals under Sustainability till 2030. ESG WORLD Transparent Reporting of Welspun Living's performance across 170+ ESG (Environmental, Social & Governance) parameters Click here for more details welspunliving.com Environmental ◆ Implemented ISO 14001 Environmental Management Systems at both manufacturing sites Flagship facility is fresh water positive: 30 MLD sewage treatment plant enables use of treated sewage Utilizing biomass (Agri-Pellets) for steam generation ♦ Renewable power from Clean Max has started at Vapi from June'23. Building up 27 MW solar power plant at Anjar ◆ 95% of critical Suppliers on- boarded on Sedex for a transparent supply chain Acquired membership of UN Global Compact (UNGC) Social Engaged with Cotton Farmers to grow sustainable Cotton (Better Cotton Initiative and Organic Cotton) in an initiative spread over 350 villages, impacting 26,000 farmers. ◆ Also initiated special program for ELS (Extra long staple) cotton with over 4000 framers enrolled. ◆ Focus on inclusion and gender diversity - large segment of women workers in Cut-&-Sew operations "SPUN" initiative: empowering women in rural communities earn livelihood by making handicraft goods from Factory textile scrap ◆ CSV programs aims to impact 1 Mn lives by 2030. In FY 24, already reached over 5 lacs community members. Governance ◆ Board Committee on ESG ◆ Executive remuneration linked to ESG goals Initiated a broad Enterprise Risk Management framework ◆ ACCESS module in SAP to enable access of relevant data to authorized users ◆ Launched ESG Compass - an integrated ESG digital platform with automated data dashboards extended to all sites, locations and subsidiaries in India ◆ Robust Ethics framework in place Compliance management tool in place ♦ Innovation & intellectual property oriented culture reflected in 36 patents filled globally 33#34W SUSTAINABILITY INITIATIVES - GROWING BUSINESS RESPONSIBLY ESG ■ Welspun Living's Sustainability case study is now a part of a curriculum across universities in US, Canada, France, Europe and Taiwan." Welspun Living is amongst the top 5% textile companies globally as per DJSI CSA for 2022, score improved from 48 to 59 Welspun Living's endeavour to keep ESG at the core of all operations has improved its sustainability rating to 11.3. The rating elevated WLL into TOP 10 of the 202 participating companies worldwide in the Sustainalytics rating. 9M' FY24 - Environmental Impact Sustainalytics SUSTAINALYTICS Score improved from 14.4 to 11.3 (June '23) DJSI ratings MEMBER OF Dow Jones Sustainability Indices In Collaboration with RobecoSAM < Score improved from 48 to 59 (Apr'23) Crisil ratings CRISIL An S&P Global Company - Score 64 Strong (Jan'24) 2,51,913 + acres 2950 million 159,721 GJ Energy Landbank of sustainable cotton farming Liters of recycled water used in process Saved through energy conservation Social Impact -9M' FY 24 Welshiksha Students reached ~111 K WelNetrotva Livelihood Impact - FY24 Target: ~ 50 K 81% Of cotton used from sustainable sources WelSwasthya Health Impact- ◆ Total benefited ~48 K Total beneficiaries ~ 203 K 3,991 tons Recycled cotton reused in process SUPER WELSPUN SPORT WOMEN ◆ 17 athletes supported ◆ Medals: 74 welspunliving.com 34#35SUSTAINABILITY - PROGRESS AGAINST TARGETS Aspects Carbon Neutral (measured as % RE) 100% Sustainable Cotton Fresh Water Positive in Production operations 9M FY 24 Goal 2025 Goal 2030 WIP 20% RE 100% RE 81% 50% 100% 11KL/MT 5KL/MT OKL/MT Zero hazardous waste to Landfill (ETP chemical sludge) 43 MT 0 MT 0 MT Impacting 1 million lives in CSV (YTD) 5,96,389 5,00,000 10,00,000 Farmers in Welspun sustainable farming project (YTD) 26,720 20,000 50,000 welspunliving.com 99.94 W 35#36Our ESG journey and envisaged outcomes What are we doing? Comparison of ESG-related systems and processes across peer set Identifying, refining, and assessing numerous potential environmental, social and governance issues that could affect the business and stakeholders Identification of current gaps and/or improvement areas based on maturity assessment and materiality analysis Formulation of a strategic roadmap outlining key actions to be undertaken in short, medium and long term Public reporting and disclosures of ESG performance Maturity Assessment Materiality Analysis Gap Analysis Roadmap Development Communications and Reporting Key considerations Global trends Peer analysis Global reporting frameworks ESG ratings Expected outcomes Progressive Vision and Strategy/Commitment welspunliving.com Building Trust with Competitive Advantage & Improved Processes Stakeholders Market Differentiation and Systems External recognition W 36#37Robust Financial Performance ↑#38Profit & Loss Summary W Particulars FY18 FY19 FY20 FY21 FY22 (* Million) FY 23 Total Income 61,318 66,084 68,362 74,080 93,773 82,151 Growth YoY* % (8.8%) 7.8% 3.4% 8.4% 26.6% (11.4%) EBITDA 12,046 11,467 13,098 14,198 14,246 8,739 EBITDA Margin 19.6% 17.4% 19.2% 19.2% 15.2% 10.6% Depreciation 5,042 4,358 4,811 4,536 4,205 4,421 Finance cost 1,408 1,593 1,777 1,975 1,313 1,299 PBT (Before exceptional) 5,597 5,516 6,510 7,686 8,728 3,019 Exceptional Items (2,647) 434 PAT (After Minority 3,850 2,098 5,074 5,397 6,012 1,988 Interest) Cash Profit^ 9,413 8,977 9,702 10,197 10,703 6,760 EPS () 3.83 2.09 5.05 5.37 6.06 2.02 Note: * FY 22 numbers adjusted for ROSCTL of Q4 FY 21 of Rs.1050 Mn ^ Cash Profit = PBDT (before exceptionals) less Current Tax welspunliving.com 38#39Balance Sheet Summary W Particulars Net Worth 31-Mar-18 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 (* Million) 31-Mar-23 26,057 27,793 29,721 36,447 39,717 40,878 Short Term Loans 12,580 14,080 17,717 17,452 19,742 12,342 Long Term Loans 20,228 19,024 16,704 10,962 12,142 11,162 of which Net Flooring Debt 2,797 6,526 6,959 8,300 7,878 Gross Debt 32,807 33,104 34,421 28,414 31,884 23,504 Cash & Cash Equiv. 2,538 2,821 4,803 5,087 9,595 8,161 Net Debt 30,269 30,283 29,618 23,327 22,289 15,343 Net Debt excluding Flooring debt 30,269 27,486 23,092 16,368 13,989 7,465 Capital Employed* 62,962 65,456 68,825 71,305 79,053 72,389 Net Fixed Assets (incl CWIP)^ 33,641 36,154 38,105 38,042 39,881 37,777 Net Current Assets Total Assets 23,734 22,210 21,828 24,536 24,839 23,135 72,249 77,423 83,103 86,778 94,368 86,501 Net Debt reduced by 49% in last 5 Years (FY18 to FY23) Note: *Capital Employed = Net worth + Gross Debt + Other long term liabilities | ^Net current assets does not include Cash & cash equivalents welspunliving.com 39#40Ratios Summary W FY18 FY19 FY20 FY21 FY22 FY23 Net Debt/Equity 1.16 1.09 1.00 0.64 0.56 0.38 Solvency Net Debt/EBITDA 2.51 2.64 2.26 1.64 1.56 1.76 ratios EBIT/Interest 4.98 4.46 4.66 4.89 7.65 3.32 Current ratio 1.42 1.25 1.19 1.33 1.37 1.66 Fixed asset turnover 1.80 1.81 1.77 1.93 2.33 2.14 Total asset turnover 0.84 0.84 0.81 0.85 0.99 0.94 Operational ratios Inventory days 79 75 83 88 78 89 Debtor days 56 60 59 59 39 43 Payable days 39 39 49 54 36 39 Cash conversion cycle 96 95 93 93 80 93 ROE 15.4% 15.2% 16.1% 16.3% 15.8% 4.9% Return ratios ROCE (Pre-tax) 11.3% 10.9% 12.3% 13.8% 13.4% 5.7% welspunliving.com Note: " Improving Key Ratios, Continuous Reduction in Net Debt ROCE = EBIT / Average Capital Employed & ROE = Net Profit / Average Net worth Total asset turnover = Sales/ (Fixed assets + Gross current assets) Return Ratios figures adjusted for Exceptional item 40 40#41FCF welspunliving.com Focus on Shareholder Value Creation - (* Million) FY18 FY19 2,240 FY20 1,574 Dividend / Buyback cash outflow 6,290 2,650 FY21* 3,651 FY22 148 7,841 2,500 FY 23 Note: • *Includes Buyback, Buyback tax and Dividend Continuous payout thru dividend / buyback 41 11#42Prudent Capital Allocation Strategy FOLLOW YOUR DREAMS CAPEX Areas of Investment Dividend / Buyback Net Debt Core Philosophy in Capital Allocation Decisions Investment toward profitability- margin assertive product categories Consistent track record of distribution through Dividend / Buyback ◆ Calibrated as per the cash flows available Strengthening Brands ◆ New Trade Channels ◆ New Geographies ◆ Distribution through Dividend / Buyback ◆ Focused on Net Debt reduction welspunliving.com 42#43SHARE HOLDING SUMMARY Shareholding Pattern (Dec 2023) welspunliving.com W 70.5% Promoter Group 7.3% FPIs Top Institutional Shareholders LIC of India HSBC Mutual Fund 2.0% Mutual Funds/AIF Aditya Birla Sunlife MF 3.3% Insurance Co's Nippon Mutual Fund 15.9% Public Other 1.0% 43#44וי ויי זיו Investment Rationale - What makes it an interesting play? We are looking for a new fresh way. This means we strategy we are also revolution is a process These basic yet profou We are daily trials as s activist uggle itself mo some way for our activi we've been able to ↑#45Investment Rationale Strengthening Balance sheet with low leverage and allocation of capital to high ROCE businesses A strong focus on innovation with 36 patents and collaborations with technology partners and industry associations Global leader in home textiles Strong distribution reach in over 50 countries Vertically integrated manufacturing facilities ◆ Global partnership with ESG initiatives are the cornerstone of every activity the Company undertakes retailers welspunliving.com W L Focus on 'Direct to Customers' through own global/domestic brands & license portfolio Ecommerce Multipronged strategy to drive growth Flooring Solutions & Advanced Textiles driving new areas of growth 45#46Let's connect For further details please contact Mr. Sanjay Gupta President (Finance) & CFO Welspun Living Limited [email protected] Mr. Salil Bawa Group Head - Investor Relations [email protected] Connect with us: /TheWelspunworld f/WelspunWorld O/welspungroup in /company/welspunworld