Imp points Vaibhav global Q4FY23 Con-call & Investor meet:
• FY 23 Rev – 2691 vs 2752
• FY23 EBITDA – 227 VS 303
• FY 23 PAT – 105 vs 237
• QOQ Revenue has declined to 693cr from 724cr & EBITDA 55CR from 61cr & PAT 23cr from 39cr
• Recommended final dividend of Rs. 1.50 per equity share making annual dividend to be Rs. 6.00 per equity share
• Expect expenses to grow at rate lesser than revenue growth & thus operating leverage playing out
• Will break even German by H2, right now at 60-70% level
• 5% of sales annually approx. should be auction sales at 1$
• Uk & US both struggling last 21 months in local currency numbers
• Want to increase lifestyle product mix to 50% from 28% by Fy 2028
• Opportunity is there to Cross sell & get more wallet share, with focus on digitisation
• Last 8 quarters was period if investment, now investment will only be in Germany till we reach breakeven level, leverage should start playing & we should see that in our numbers
• Can reach 15-20% EBITDA below 1 Billion $ revenue
• 20 Billion $ should be approx. addressable market for us globally
• Our moat is value proposition in markets we operate, for example for 60$ product sold by competitor we are in between 50-55$
• See a runway of next 8-10 years attest with current business model
• In US and UK, the macro challenges are weighing down consumer sentiments and resultant demand, however, we are taking all mitigating measures like focus on lower ASP products, increased air-time allocation for under 10 & 20 $ products. Further, we are continuing to augment our reach by adding more TV cable and OTA households. Our strategic partnership with Vodafone Cable Network in Germany has enabled us to extend our reach to additional 13 million households, thus expanding our presence to approx. 90% of the total households in Germany.
• The reach of our TV networks by the end of FY23 was 141 million TV homes, which was 124 million in FY22, i.e., ~14% higher YoY. New registrations during 12-month were 3.0 lakhs comp141ared to 3.18 lakhs in FY22. This is significantly higher by 69% over pre-COVID period. 57% of the new customers were acquired digitally in FY23 vs 56% in FY22.
• Guidance: to deliver 8-10% revenue growth in FY24 and to deliver mid-teens revenue growth in subsequent periods with decent operating leverage.
• Gross margins at 61% reflecting strength of vertically integrated business model
• EBITDA margin at 8.0% vs 6.9% in Q4 FY22. YoY improvement on account of cost rebase and better pricing
• Unique customer base at 4.6 lakhs with new registration number at 3 lakhs on TTM basis
• Current revenue mix: ~30% of B2C revenue 
Target revenue mix: ~50% by FY27 of B2C revenue
• Global household reach 141 mn
• 87% retention rate for 20+ pieces
• Update on Germany: TAM increased by 20%, Now clocking monthly revenue of Euro 1.4mn+ at 60%+ gross margins Omni-channel presence (digital is now 29%) Covering 40mn HH, dispatching 3.5k+ pieces/day
• Partnership with Vodafone in Germany-
• Weak numbers due to cost-of-living crisis in UK, Inflationary pressure & low consumer demand in all geographies
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