Parag Milk Foods Ltd. · NSE:PARAGMILK

Parag Milk Foods — Q2 FY24 Earnings Presentation

37 slides from Parag Milk Foods's earnings presentation, Nov 15, 2023

Slide 1: Cover letter to stock exchanges
November 15, 2023 Compliance Department, Compliance Department, BSE Limited, National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Tower, Exchange Plaza, Dalal Street, Fort, Plot No. C/1, G-Block, Mumbai - 400 001 Bandra Kurla Complex Bandra - (E), Mumbai - 400 051 Scrip Code:- 539889 Scrip Symbo
Slide 3: Message
MESSAGE A journey that began with farmers is now aiming to provide complete nutrition to consumers across the globe. The strength of our developed infrastructure, food technology expertise supported by a strong farmer network, and powerful distribution channels have been our strong pillars and have
Slide 4: Table of Contents
Table of Contents 1 Executive Summary 5 Parag at glance 2 Financial highlights 6 Parag’s journey 3 Outlook 7 Additional information 4 Our Strategic Priorities © 2023 All Rights Reserved | Parag Milk Foods 3
Slide 5: Executive Summary - Q2FY24
EXECUTIVE SUMMARY- Q2FY24 Our impact led marketing campaigns coupled with aggressive distribution drive continue to strengthen our brand equity The Core Categories of Consolidated Brand Avvatar has Overall Protein Expanded Infrastructure Ghee and Cheese have revenue grew by posted strong growth busi
Slide 6: Executive Summary - 1HFY24
EXECUTIVE SUMMARY- 1HFY24 Our impact led marketing campaigns coupled with aggressive distribution drive continue to strengthen our brand equity The Core Categories of Consolidated Brand Avvatar has Protein business has Strong Cash Flow From Operations Ghee and Cheese have revenue grew by posted stro
Slide 7: Consolidated Financial Highlights - Q2FY24
CONSOLIDATED FINANCIAL HIGHLIGHTS- Q2HFY24 Revenue Gross Profit EBITDA PAT INR INR INR INR 798.2 183.4 58.4 crore; 25.2 crore; crore; crore; 20.1 % 23.0 % 7.3% 3.2 % growth YoY margin margin margin 6 © 2023 All Rights Reserved | Parag Milk Foods 6
Slide 8: Consolidated Financial Highlights - 1HFY24
CONSOLIDATED FINANCIAL HIGHLIGHTS- 1HFY24 Revenue Gross Profit EBITDA PAT INR INR INR INR 1,547.7 343.8 104.9 crore; 46.6crore; crore; crore; 14.2 % 22.2 % 6.8% 3.0 % growth YoY margin margin margin 7 © 2023 All Rights Reserved | Parag Milk Foods 7
Slide 11: Soft Milk Prices
SOFT MILK PRICES Milk Prices remained soft and were down yoy as well as sequentially Milk Rate (INR/litre) 39.4 38.4 37.7 36.3 35.6 36.1 33.5 29.0 26.9 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 For Q2FY24; our average daily milk procurement reached 15 lakh liters. Healthy flush season ,
Slide 12: Gross Margin Expansion Continues
GROSS MARGIN EXPANSION Gross Profit Margin (%) CONTINUES 21.1% 21.3% 21.4% 23.0% The benign raw material prices along with improved 20.7% product mix led to Gross Margins improvement 15.2% The overall Gross margins expanded by 770 basis points from Q1FY23 onwards Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q
Slide 13: Outlook Ahead
OUTLOOK AHEAD Festive led demand Pricing continues to remain stable; traction continues positively impacting the margins and profitability ahead © 2023 All Rights Reserved | Parag Milk Foods 12
Slide 14: Our Strategic Priorities
OUR STRATEGIC PRIORITIES Strengthening & Accelerating the Core Categories Brand Building & Innovation Evolve Route to Market Strengthening New Age Bussiness Driving Business Transformation © 2023 © 2023 All All Rights Rights Reserved Reserved | Parag | Parag Milk Milk Foods Foods 13
Slide 15: Strengthening & Accelerating the Core Categories - Q2FY24
STRENGTHENING & ACCELERATING THE CORE CATEGORIES Dominant player Our protein business is Leaders and pioneers of in cheese category cow ghee category with in India with Witnessing Healthy 20% 35% Growth Momentum & is outgrowing Market share in Market share the industry cow ghee segment ( source IMAR
Slide 16: Strengthening & Accelerating the Core Categories - 1HFY24
STRENGTHENING & ACCELERATING THE CORE CATEGORIES Dominant player Our protein business is Leaders and pioneers of in cheese category cow ghee category with in India with Witnessing Healthy 20% 35% Growth Momentum & is outgrowing Market share in Market share the industry cow ghee segment ( source IMAR
Slide 22: Built on the Backbone of a Robust Network
BUILT ON THE BACKBONE OF A ROBUST NETWORK 29 Srinagar Jammu Depot Depots Super Stockists To reach Parwanoo Jalandhar 640 13-15 Lakh Karnal Dehradun Delhi Super Stockists Lucknow retail touch points Jodhpur Jaipur Siliguri Guwahati Udaipur Patna 6,034 Ahmedabad Indore Ranchi Kolkata by 2027E Distribu
Slide 23: Channels Consistently Contributing to Growth
EVOLVE ROUTE TO MARKET CHANNELS CONSISTENTLY CONTRIBUTING TO GROWTH For 1HFY24; Our modern trade channel has witnessed strong 12.7% growth YOY The General trade channel has grown by 15.9% YOY Ghee distribution has grown by 43% YOY © 2023 All Rights Reserved | Parag Milk Foods 22
Slide 24: Strengthening New Age Business - Going Tech First
STRENGTHENING NEW AGE BUSINESS – GOING TECH FIRST Pride of Cows Whatsapp Bot Pride of Cows App Pride of Cows Website Additional Channel for Sales. New Renewed App Launch with new modules Renewed Website with both Desktop Customer Onboarding and functionalities and Mobile functionalities © 2023 All R
Slide 25: Our New Age Business
OUR NEW AGE BUSINESS Whey Protein - Strong runway for growth INR Market Growth Potential FY27 2000 cr FY23 765 cr 20.2% Total whey market Projections © 2023 All Rights Reserved | Parag Milk Foods 24
Slide 26: Our New Age Business
OUR NEW AGE BUSINESS India’s Only Whey Manufacturing Company 50% of the revenue is through ecommerce ~2x x © 2023 All Rights Reserved | Parag Milk Foods 1HFY24 25 1HFY23 25
Slide 27: Driving Business Transformation
DRIVING BUSINESS TRANSFORMATION Cost Optimization Digitization of Plant & Operations Data Analytics Market Expansion & Penetration Strengthening the management © 2023 All Rights Reserved | Parag Milk Foods 26
Slide 29: Our ESG Initiatives
OUR ESG INITIATIVES Continuous Monitoring Our ESG Framework A well articulated Also abided internal ESG policy by IFC’s policy in adherence to framework different certifications. on ESG. Performance Energy conservation Water Responsible Marked efforts both conservation Effluent & reduction thermal &
Slide 30: Green Initiatives
GREEN INITIATIVES WATER CLIMATE ENERGY REDUCE I REUSE I RECYCLE FOCUS ON REDUCING AIR l SOIL I NOISE POLLUTION EMISSION I ENERGY CONSERVATION I FOCUS ON RENEWABLES Water optimization. Installation of solid waste digester. Power generation through solar Our water consumption per liter Monitoring and
Slide 31: Parag Milk Foods
3 PARAG MILK FOODS State-of the-Art Manufacturing Facilities 3.4mn 100% Litres/day Milk Processing Capacity Cow Milk from 4.6 Lakh Key Milk Belts Pan India Retail Touch Points 10 lakh Relationship with over Litres/day Whey 4,500+ 5 lakh+ Processing Capacity Distributions Farmers across India 110 MT/
Slide 32: Parag's Journey
PARAG’S JOURNEY 2008 1998 1992 Go Cheese World Gowardhan Ghee Gowardhan Milk 2021 Further extension of Pride of Cows brand to paneer, low fat milk 2011 Pride of Cows 2021 Introduced Milk Shakes 2015 Topp Up 2017 Avvatar 2020 Extending Pride of Cows to value added products- Ghee, Curd © 2023 All Righ
Slide 34: Unique Business Model Caters To
UNIQUE BUSINESS MODEL CATERS TO of the consumers’ daily dietary needs Multi/Assorted MEALS CHANNEL BRANDS CATEGORY Break fast | Lunch General Trade Gowardhan Ghee | Instant Mixed Snacks | Dinner Modern Trade Go | Pride of Cows Paneer | Cheese Online | HORECA Avvatar Beverages Protein Milk Powder © 2
Slide 35: Board of Directors
Mr. Pritam Shah I Managing Director Mr. Devendra Shah I Chairman The overall execution strategy of the company BOARD OF PMFL has grown consistently under the and consolidation of company's market presence, leadership of Devendra Shah. He brings fall under the purview of Mr. Pritam Shah. His enthusia
Slide 36: Safe Harbor
SAFE HARBOR This presentation and the accompanying slides (the "Presentation"), which have been prepared by Parag Milk Foods Limited (the "Company''), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any sec

Parag Milk Foods — Q2 FY24 Earnings Presentation on 6ix

Parag Milk Foods — Q2 FY24 Earnings Presentation

Slide 1: Cover letter to stock exchanges

Slide 2: Investor Presentation Q2 FY 23-24 & 1HFY23-24

Slide 3: Message

Slide 4: Table of Contents

Slide 5: Executive Summary - Q2FY24

Slide 6: Executive Summary - 1HFY24

Slide 7: Consolidated Financial Highlights - Q2FY24

Slide 8: Consolidated Financial Highlights - 1HFY24

Slide 9: Q2FY24: Business Composition

Slide 10: 1HFY24: Business Composition

Slide 11: Soft Milk Prices

Slide 12: Gross Margin Expansion Continues

Slide 13: Outlook Ahead

Slide 14: Our Strategic Priorities

Slide 15: Strengthening & Accelerating the Core Categories - Q2FY24

Slide 16: Strengthening & Accelerating the Core Categories - 1HFY24

Slide 17: Brand Building & Innovation

Slide 18: Brand Building & Innovation

Slide 19: Brand Building & Innovation

Slide 20: Brand Building & Innovation

Slide 21: Brand Building & Innovation

Slide 22: Built on the Backbone of a Robust Network

Slide 23: Channels Consistently Contributing to Growth

Slide 24: Strengthening New Age Business - Going Tech First

Slide 25: Our New Age Business

Slide 26: Our New Age Business

Slide 27: Driving Business Transformation

Slide 28: Strengthening the Team

Slide 29: Our ESG Initiatives

Slide 30: Green Initiatives

Slide 31: Parag Milk Foods

Slide 32: Parag's Journey

Slide 33: Brand Positioning

Slide 34: Unique Business Model Caters To

Slide 35: Board of Directors

Slide 36: Safe Harbor

Slide 37: All All Rights Rights