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PDS Ltd.

BSE: 538730 Sector: Industrials
NSE: PDSL ISIN Code: INE111Q01021
BSE 00:00 | 30 Nov 350.95 0
(0.00%)
OPEN

358.40

HIGH

358.40

LOW

349.10

NSE 00:00 | 30 Nov 351.00 -1.55
(-0.44%)
OPEN

358.85

HIGH

358.85

LOW

349.00

OPEN 358.40
PREVIOUS CLOSE 350.95
VOLUME 2129
52-Week high 419.99
52-Week low 279.20
P/E 65.72
Mkt Cap.(Rs cr) 4,580
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 358.40
CLOSE 350.95
VOLUME 2129
52-Week high 419.99
52-Week low 279.20
P/E 65.72
Mkt Cap.(Rs cr) 4,580
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

PDS Ltd. (PDSL) - Chairman Speech

Company chairman speech

"At PDS the year saw us achieve several milestones and we continue to fortifyour position as a leading integrated platform in the global fashion value chain. As wegrow and deliver the very core of our business remains our commitment to sustainablefashion."

Dear Shareholders

I write this letter at the close of a truly eventful year. The world is bouncing backfrom the after effects of the pandemic and global trade and activity are resuming after ahiatus of two consecutive years. At PDS the year saw us achieve several milestones andwe continue to fortify our position as a leading integrated platform in the global fashionvalue chain.

An evolving macro-economic environment

The world economy has grown by 6.1% in Calendar Year (CY) 2021 after a de-growth in CY2020. This is one of the fastest post-recession comebacks in history and is a result ofconcerted efforts by governments industry organisations the private sector andenterprising individuals. Investments are expected to rise driven by government-ledprogrammes and opportunities presented by the continued release of pent-up demand. Thatsaid even as the pandemic-led woes subside newer challenges have emerged in termsgeopolitical conflicts isolated economic disruptions and increasing inflation. Togetherthey moderate the outlook for CY 2022 and weigh on growth expectations.

In India the economy has demonstrated a sharp recovery in FY 2021-22 as commercialactivity picked up in full steam through the fiscal. Even as the second COVID-19 waveexerted pressure during the initial quarter better system-level preparedness and overallawareness cushioned the impact and led the way for a strong recovery. The variousinfrastructure and other programmes rolled out by the government are valuable in aidingthe recovery and act as economic multipliers that spurs demand. After rising to a 95-month(almost 8 years) high of 7.79 percent in April 2022 Consumer Price Index (CPI) basedinflation moderated to 7.04 percent in May 2022.

The Reserve Bank of India (RBI) maintained an accommodative policy stance for a majorpart of the pandemic years to encourage investments and infuse liquidity in aconservative environment. However inflation has now crossed the threshold rising to7.79% in April 2022 the highest in the past eight years. This has necessitated off-cycleand on-cycle policy rate hikes by the RBI even as it retained the growth forecast of 7.2%for FY 2022-23.

Performing in an industry of evolving trends

The pandemic has changed consumer preferences around the world both from category andchannel perspectives. Retailers and brands were responding to these preferences onpriority. As economies and trade movement resumed the industry started to witness arevival starting mid-2021 with discount and luxury segments performing well in largermarkets. The demand for return-to-work clothes and wardrobe refresh are expected to be onthe rise as normalcy recommences globally An interesting and highly relevant trend hasbeen the uptick in preference for sustainable fashion. According to McKinsey globalfashion sales are already reaching pre-pandemic levels and are expected to surpass thislevel by the end of CY 2022.

As a service provider to some of the world's leading brands and retailers we at PDSare placed to take charge of the opportunity that the post-pandemic world presents. Withglobal scale and capabilities and sustainable fashion at the core of our businessproposition we were able to serve our customers with the best in fashion aligned totheir expectations.

In the backdrop of a dynamic market environment we forged new partnerships innovatednew models and invested in the future. Our consistent efforts have resulted in uscrossing the $1 billion revenue mark while nearly doubling our profit after tax.

A relentless focus on sustainability

As we grow and deliver the very core of our business remains our commitment tosustainable fashion. During the year our 20 business units committed to 163sustainability goals (cumulative) in addition to existing commitments. Our four-prongedsustainability agenda built on four pillars- Respect Water Reduce Emissions ThinkCircular and Build Community held us in good stead as we delivered and demonstratedtangible results on each one of them. For example in our Sri Lanka based subsidiaryNorlanka we commissioned a solar energy unit which generates green energy that wouldpower our operations and result in a net surplus of electricity in a move to reduceemissions significantly. We continued on our social performance where our communityinterventions focused on education and others witnessed encouraging participation andimpact.

It also gives me great pleasure to notify that PDS has started its journey to becominga certified 'Great Place to Work' and have conducted the GPTW Trust Index survey. It isheartening to see that we score significantly high on the 'Trust' factor and score betterthan the industry on several other aspects. This is a recognition of our policy-led peoplepractices that protect and nurture our workforce.

A note of gratitude

Today PDS is consolidating its position as a globally trusted end-to-end player inthe fashion value chain. This is enabled by a strong and winning culture we have been ableto foster within the organisation. Our journey till date has been through the support ofour key stakeholders including customers employees vendors business partners bankerscreditors investors governments and my fellow Board members. As we take the next leapsin our growth journey I solicit your continued cooperation.

Best regards

Deepak Seth

.