Chaman Lal Setia Exports Limited · NSE:CLSEL
Chaman Lal Setia Exports — Q3 FY23 Earnings Presentation
38 slides from Chaman Lal Setia Exports's earnings presentation, Feb 4, 2023
Slide 1: Cover letter to stock exchanges
Chaman Lal Setia Exports Ltd. (A Govt. Recognised Star Export House) Regd. Office : Meerankot Road, P. O. Central Jail, a ‘ Ajnala Road, Amritsar-143002 India oe ; 28 Tel : 91-183-2590318, 91-183- 2592708 Facsimile : 91-183-2590453, 91-184-2291067 £. Mail : setiarice @yahoo.com, clsetia @rediffmail.
Slide 2: Investor Presentation Q3 and 9M FY23
QUEEN OF ALL RICES Investor Presentation Q3 and 9M FY23
Slide 3: Table of Content
Table of Content 1. Q3 FY23 Highlights…………………………………………………………………………………………………………………………………………………… 06 2. 9M FY23 Highlights ………………………………………………………………………………………………………………………………………………..... 10 3. About the company ………………………………………………………………………………………………………………………………………….………. 15 4. Business Model ……………………………………………
Slide 4: Disclaimer
DISCLAIMER Any forward-looking statements about expected future events, financial and operating results of the Company are based on certain assumptions which the Company does not guarantee the fulfilment of. These statements are subject to risks and uncertainties. Actual results might differ substan
Slide 5: Zuban Se Dil Tak
ZUBAN SE DIL TAK es
Slide 6: Management Commentary
Management Commentary Rajeev Setia JMD and CFO “We have delivered resilient performance in the quarter with a YoY growth across revenue and profitability. Our revenue is up by 62% YoY to Rs. 354 Cr. for Q3FY23 due to market share expansion in key geographies and further strengthening of our distribu
Slide 7: Q3 FY23 Highlights
Q3 FY23 Highlights 6
Slide 8: Q3 FY23 – Financial Highlights
Q3 FY23 – Financial Highlights Sales Gross Profit EBITDA EBITDA Margin Rs 353.9 Cr. Rs 91.1 Cr. Rs 51.4 Cr. 14.5% YoY +62% YoY +35% YoY +130% YoY +430 bps QoQ +33% QoQ +27% QoQ +97% QoQ +472 bps PAT PAT Margin EPS Total Inventory Rs 37.5 Cr. 10.6% Rs 7.2 Rs 439.0 Cr. YoY +134% YoY +329 bps YoY +134%
Slide 9: Q3 FY23 – Business Highlights
Q3 FY23 – Business Highlights Exports Sales Value (Rs. Cr.) Export Sales Volume (‘000 MT) 312.4 40 35.6 66% 35 44% 24.8 30 188.6 25 20 15 10 5 0 Q3FY22 Q3FY23 Q3FY22 Q3FY23 Export Average Realizations (Rs. per kg) 90 87.7 85 15% 80 76.1 75 70 65 60 55 50 Q3FY22 Q3FY23 Note: Export includes basmati a
Slide 10: Quarterly Trends
Quarterly Trends Revenue (Rs. Cr.) EBITDA (Rs. Cr.) and EBITDA Margin (%) 60 14.5% 16% 409.8 14% 11.1% 50 353.9 10.2% 9.8% 12% 309.6 40 8.0% 10% 266.5 30 8% 218.9 6% 20 4% 10 22.4 34.4 32.9 26.1 51.4 2% 0 0% Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 EBITDA EBITDA Margin %
Slide 11: 9M FY23 Highlights
9M FY23 Highlights 10
Slide 12: 9M FY23 – Financial Performance
9M FY23 – Financial Performance Operating Revenue (Rs. Cr.) EBITDA (Rs. Cr.) and EBITDA Margin (%) 10.7% 65 % 81% 120 11% 1,030.2 100 11% 80 9.8% 10% 622.9 60 10% 40 9% 20 9% 60.9 110.4 0 8% 9MFY22 9MFY23 9MFY22 9MFY23 PAT (Rs. Cr.) and PAT Margin (%) EPS (Rs.) 7.8% 15.4 90 8.00% 18 80 88 % 7.80% 16
Slide 13: 9M FY23 – Business Highlights
9M FY23 – Business Highlights Exports Sales Value (Rs. Cr.) Export Sales Volume (‘000 MT) 904.1 140 131.5 67% 120 58% 83.4 100 539.8 80 60 40 20 0 9MFY22 9MFY23 9MFY22 9MFY23 Export Average Realizations (Rs. per kg) Top 10 countries* export revenue (USD Mn) 70 68.8 91 80.1 68 6% 81 56% 66 64.7 71 51
Slide 14: Q3 and 9M FY23 Highlights
Q3 and 9M FY23 Highlights Business Highlights ❖ For Q3FY23, the export volume grew by 44% YoY and export sales grew by 66% YoY to Rs. 312.4 Cr. Average export realization in the period increased by 15% YoY ❖ Top 10 countries reported 56% YoY growth in export revenues in 9MFY23 ❖ We intent to grow ou
Slide 15: Financial Summary – Profit and Loss Statement
Financial Summary – Profit and Loss Statement Quarter Ended Profit and Loss Statement 9M Ended Q3FY23 Q2FY23 Q3FY22 QoQ % YoY % (Rs. Cr.) 9MFY23 9MFY22 YoY % 353.9 266.5 218.9 33% 62% Revenue from operations 1030.2 622.9 65% 2.0 2.6 2.0 -23% 3% Other Income 4.7 3.7 28% 355.9 269.1 220.9 32% 61% Tota
Slide 16: About the company
About the company 15
Slide 17: CLSEL at a glance
CLSEL at a glance Reputed Largest 3 star 660 MT/day processing private label exporter export house brand Since 1974 16% Exports to 90+ Countries (Last 10 years CAGR (~48 Years ) sales growth) 35% 80,000 MT warehouse Shareholders return in last 440+ distributors across 300+ capacity 10 years globe Pr
Slide 18: Our Journey
Our Journey CLSEL Founded In-house Brand Second Factory Public Listing Diabetic Friendly Rice NSE Third Factory The company Launched Second factory Company became The company got With effect from Third factory was started rice Maharani Basmati Rice was established public and was certified from The 1
Slide 19: CLSEL: India's leading private label rice exporter
CLSEL: India’s leading private label rice exporter Over 4 decades of experience in rice export business Exports to 90+ Exporting since Flagship brand Entire exports is Recognized as a 440+ distributors Exports countries 1982; Established ‘Maharani’ has insured through 3 Star Export with average cont
Slide 20: Portfolio
Portfolio paul oS pod cay UG Rice Suitable for Diabetic:
Slide 21: Business Model
Business Model 20
Slide 22: Our sustainable business model
Our sustainable business model Procurement Established procurement network across all mandis in basmati growing areas. Strong relationship with commission agents. Stringent quality control measures. Processing State-of the-art processing facilities in Karnal, Haryana and Majority of the procurement
Slide 23: Processing facilities
Processing facilities 22
Slide 24: Processing facilities
Processing facilities Karnal facility is nested favorably near to the paddy growing areas, providing access to superior raw materials. Further, Gandhidham facility is near to Mundra port, which help in exports. State of the art processing facility in Karnal (Haryana) using latest aerodynamics and So
Slide 25: Unit-wise operations and certifications
Unit-wise operations and certifications Karnal (97%* of total sales) Steaming/ Procurement Polishing Grading Sortex Packaging Dispatch Parboiling BRC [British Retails US FDA Organic products Gandhidham (3%* of total sales) Certification ISO 22000:2018 standards Consortium] Certificate USDA Certifica
Slide 26: Industry Highlights
Industry Highlights 25
Slide 27: Indian Basmati rice industry
Indian Basmati rice industry Basmati rice is majorly produced in India, with balance quantity from Top importing countries of Indian basmati rice (Rs. Cr.)* Pakistan. Indian Basmati rice has got Geographic Indication (GI) recognition. 10,000 India has strong dominance in the export of basmati rice (
Slide 28: Financial Trends
Financial Trends 27
Slide 29: Consistent financial performance
Consistent financial performance Revenue (Rs. Cr.) EBITDA (Rs. Cr.) and EBITDA Margin (%) 1,030 140 15% 932 118 851 120 110 14% 765 798 95 79 100 13% 13.9% 63 80 12% 10.7% 60 10.2% 11% 9.9% 40 10% 8.2% 20 9% 0 8% FY19 FY20 FY21 FY22 9MFY23 FY19 FY20 FY21 FY22 9MFY23 EBITDA EBITDA % PAT (Rs. Cr.) and
Slide 30: Strong financial indicators
Strong financial indicators D/E Ratio (x) ROE, ROCE and D/EBITDA 0.47 1.7x 0.86x 0.81x 1.24x 0.27 0.29 29% 0.25 26% 21% 22% 19% 19% 16% 17% FY19 FY20 FY21 FY22 FY19 FY20 FY21 FY22 ROE ROCE Current Ratio (x) Net Worth (Rs. Cr.) 4.19 3.72 3.64 410 350 2.94 273 226 FY19 FY20 FY21 FY22 FY19 FY20 FY21 FY
Slide 31: Investment Highlights
Investment Highlights 30
Slide 32: Key investment highlights
Key investment highlights Sustained cash surplus; robust financial Largest private label Robust financial profile performance; shareholder exporter of India (CRISIL A (Stable)) value creation Basmati rice Strong processing Asset light model with industry and warehousing prudent inventory opportunity
Slide 33: Superior cash conversion; Asset light model
Superior cash conversion; Asset light model Almost 30% of the finished rice is through the rice milling process (i.e., paddy to Working Capital Indicators (Days) finished rice) with the balance ~70% through procurement of semi-finished rice and conversion to finished rice (majorly requiring Sortex).
Slide 34: Sustained improvement in credit rating
Sustained improvement in credit rating Credit Rating : CRISIL A (Stable) Dun & Bradstreet Rating This rating reflects adequate degree of safety regarding timely D&B rating of “5A3” with condition “Fair”. servicing of financial obligations. Such instruments carry low credit risk. D&B Indicative Risk
Slide 35: Shareholder value creation
Shareholder value creation Shareholding Pattern as of December 31, 2022* Shareholder Information as on December 31, 2022 #319 of 500 25.80% Fortune India FMCG companies 2022 0.34% 530307 CLSEL 2214 73.87% BSE Ticker NSE Symbol 35% Total shareholder return CAGR Promoters FII Others Food 679 over last
Slide 36: Experienced Management
Experienced Management 35
Slide 37: Key management team
Key management team Mr. Vijay Setia Mr. Rajeev Setia CMD/ Managing Director Joint Managing Director Former All India Rice Exporters & CFO Association President Mr. Ankit Setia Mr. Sankesh Setia Mrs. Sweta Setia Executive Director Executive Director Executive Director 36
Slide 38: Corporate Office and Investor Contact
Corporate Office : Investor Contact: 472, Phase-3, Udyog Vihar, Gurugram, Ms. Kanika Nevtia Haryana-122016 Company Secretary CIN No.: L51909PB1994PLC015083 Mobile: +91 9998680150 Email: ir.chamanlalsetia@clsel.in Click to see the journey of India’s largest private labelled exporter 37
Chaman Lal Setia Exports — Q3 FY23 Earnings Presentation on 6ix