Y4rWELSPUNHOME TEXTILES INDIA WIL/SEC/20 19 July 19, 2019 To Bombay Stock Exchange Limited National Stock Exchange of India Limited Department of Corporate Services, ListingCompliance Department SP. J. Towers, Dalal Street, Exchange Plaza, Bandra-Kurla Complex, Mumbai — 400 001 Bandra (F), Mumbai — 400 051 (Scrip Code-514162) (Symbol: WELSPUNIND) Dear Sir / Madam, Sub.: Compliance under Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. In compliance with Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached herewith the Annual Report of the Company for the financial year 2018-19 along with the Notice of the 34th Annual General Meeting, dispatched to the members on July 19, 2019. The Annual Geenral Meeting of the Company is scheduled to be held on Monday, August 12, 2019 at 10.30 a.m. at the Registered Office of the Company at Welspun City, Village Versamedi, Taluka Anjar, Dist. Kutch, Gujarat - 370110. Please take the same on record. Thanking you. For Welspun India Limited Cletancial Officer Ent-I~ kcaEow~ * Weispun India Limited Welspun House, 6th Floor. Kamala City, Senaij,’ti Bapat Marg, Lower Parel (West). Mumhai 400 013. India. T +912266136000 / 2490 8000 F +9122 . ‘90 8020 / 2490 8021 E-mail companysecretary_wiI4welspun.com Website . www.welspunindia.com Registered Address: Welspun City. Village Vers~ nedi, Taluka Anjar. District Kutch. Gujarat 370 110, India T +91 2836 661111 F: +91 2836 279 010 Works: Survey No. 76, Village Morai, Vapi, Dist ct Valsad Gujarat 396 191, India. T +91 260 2437437 F: +91 260 2243708P Corporate Identity Number: Li 711OGJ19iS,JLC033271 IMPACTING LIVES FROM FARMS TO FAMILIES WELSPUN INDIA LIMITED ANNUAL REPORT 2018-19 CONTENTS 01-41 42-100 CORPORATE StatUTORY OVERVIEW REPORTS IMPACTING LIVES MANAGEMENT DISCUSSION FROM FARMS TO FAMILIES 01 AND ANALYsis 42 THE ENTITY THAT DIRECTOR’S Report 63 DELIVERS… VALUE & Impact 02 CORPORATE GOVERNANCE Report 89 CHAIRMAN’S Message 06 MAKING AN IMPACT AT THE farm 10 101-265 PARTNERING VENDORS TO CREATE MORE VALUe 14 FINANCIAL DELIVERING EXPERIENTIAL VALUE TO CONSUmers 16 Statements STANDALONE 101 CENTERING IMPACT AROUND THE CUstomer 22 CONSOLIDATED 178 IMPACTING THE COMMUnities 28 EMPOWERING PEOPLE TO BOOST Impact 34 DELIVERING CONSISTENT VALUE TO investors 36 SUSTAINABLE OPERATIONS DRIVE ENVIRONMENTAL VALUe 38 IMPACTING LIVES FROM FARMS TO Our business model, with its all-encompassing reach, weaves long- term and sustainable impact into all our stakeholder segments with its FAMILIES sustained focus on: The business philosophy at Welspun is driven by the desire to make an impactful difference to the lives of each of our stakeholders, through meaningful touchstones across • Investing in sustainable every aspect of the farming projects value chain. • Enhancing the experience of consumers • Innovating customized products & solutions • Scaling the efficiencies of processes & systems • Making a positive impact on communities • Empowering employees to boost productivity • Driving value accretion for investors The strategy is aimed at enabling the realization of our goal to reach out effectively and efficaciously to all those whose lives we touch – from Farm to Home. And here’s how we are realizing our strategic goals to impact farmers, partners/vendors, consumers and customers, the environment and the communities, as well as the investors who continue to repose unwavering faith in the Company. THE ENTITY THAT DELIVERS... VALUE & IMPACT Part of USD 2.7 billion Welspun Group, Welspun India Ltd. is a #1 17 global leader in home Ranking in “Top 15 Of the top 30 global textiles, supplying to Home Textile Supplier retail giants, Welspun 17 of the top 30 global Giants to USA” by is a trusted and retailers. Our world- Home Textiles & Today preferred partner class manufacturing Magazine facilities, located in India, are equipped to deliver high quality products, benchmarked 2 50 to international World-class, state- Countries of dominant standards. of-the-art textile presence with manufacturing facilities distribution network in in India - Anjar and North America, the UK, Vapi Europe, the ME, India and SE Asia Our competitive and state-of-the- art manufacturing base, coupled with a global delivery model, uniquely positions us for cross- selling across our continuously expanding customer base. Our distribution network spanning more than 50 countries is the key driver of our exports edge, making us the largest exporter of home textile products from India. 02 | Annual Report 2018-19 Steered by OUR PRODUCT PORTFOLIO innovation leadership We manufacture a wide range of home textile products at our and strong consumer state-of-the-art facilities in Vapi and Anjar, located in Gujarat. Our focus, we are the environment-friendly vertically integrated plants are designed for largest home textiles farm-to-finish production across our diverse product range. Company globally, with presence in Bed, Bath and Flooring, providing TOWELS, OVERVIEW CORPORATE differentiated end- BATH ROBES to-end solutions in Home Textiles. CARPETS, SHEETS, 01 - 41 RUGS, TOB, FLOORING BASIC & REPORTS STAT SOLUTIONS FASHION U BEDDING TOR Y 42 - 100 VISION GROWTH STATEMENTS FINANCIAL Delight our customers Our 20,000 employees are our most important through innovation and assets through which we can achieve our mission. technology, achieve inclusive We are committed to providing our employees, and sustainable growth to ongoing training and lifestyle benefits. We are one remain eminent in all our team with a shared sense of purpose working towards businesses. a common goal. 101 - 265 We commit ourselves to continuous growth, so as to fulfill the aspirations of our Customers, Employees and Shareholders. 03 8 1 Consistent Diversified brand strong financial portfolio & performance wide product range 7 Consistent 2 Vertically thrust on integrated free cash OUR COMPETITIVE presence & flow STRENGTHS capabilities Driving our efforts to create higher value and more impactful solutions for our stakeholders are our core strengths, which we are constantly nurturing across the value chain of 6 our business. Experienced 3 Board & Global Management distribution Team with network with proven track marquee record clients 5 4 Strong focus on Exceptional sustainability track record of innovation 04 | Annual Report 2018-19 GLOBAL DISTRIBUTION NETWORK WITH MARQUEE CLIENTS OVERVIEW CORPORATE 01 - 41 Map not to scale. For illustrative purposes only. REPORTS STAT U TOR Y 42 - 100 STATEMENTS FINANCIAL 101 - 265 DELIVERING QUALITY SOLUTIONS With our products conforming to the highest quality standards set by the best of stores worldwide, we remain at the forefront of delivering quality offerings to our customers, going beyond their expectations to set new industry benchmarks. 05 CHAIRMAN’S MESSAGE My dear fellow stakeholders, It gives me immense pleasure to present to you Welspun India’s Annual Report for what turned out to be a year of recovery, with challenges of the previous fiscal giving way to renewed positivity in business. The Company is back on the growth path, thanks to its differentiated strategy, marked by focussed initiatives in branding, innovation, sustainability, as well as forays into new channels and markets. While we moved aggressively to capture the emerging opportunities led by consumer-driven growth in the domestic market, the export market also witnessed a fresh wave of optimism, particularly in view of the recovery in the US market, where retailers started restocking once again after a phase of destocking. The Company’s strategic and visionary focus on its five pillars of growth remain the pivot driving our business goals. We are well on track to realising our stated goals, both in the near and long- term. We see this strategic thrust steering our business approach to make impactful difference in the lives of all our stakeholders across the value chain – from farm to the homes of our consumers, as we move proactively towards strengthening our B2C connect. Innovation and Patents As a thought leader in the Home Textiles market, Welspun remains focussed on innovating products and trends aligned to the continuously evolving aspirations of an ever-widening consumer and customer base, worldwide. With our research-led approach facilitating our understanding of 06 | Annual Report 2018-19 consumer desires and aspirations, ‘Christy’ which is predominantly we continued to strengthen our The Company’s focused on the UK market, faced headwinds due to poor economic innovative product portfolio, strategic and which currently contributes sentiment, primarily driven by a significant 38% to the total visionary focus on Brexit uncertainty. The Company revenue of the Company. its five pillars of is working on improving efficiency growth remain the across the business, optimizing retail operations and increasing Our growing expanse of patented pivot driving our products (at last count, we had 31 focus on B2B business making unique innovations) endorses the business goals. We efforts. Company’s edge in innovation, are well on track to which we remain committed realizing our stated Further, as already mentioned, our to augmenting further in the focus on expanding our ingredient goals, both in the ® coming quarters. The remarkable brands, such as HygroCotton and growth witnessed by our unique near and long-term. Wel-Trak™, will also continue to ingredient brands, namely propel our brand strategy in the HygroCotton® and Wel-Trak™,