Adf Foods Limited · NSE:ADFFOODS
Adf Foods — Q1 FY23 Earnings Presentation
39 slides from Adf Foods's earnings presentation, Jul 28, 2022
Slide 1: Investor Presentation cover letter to exchanges
FOODS LTD. 'J<'<'diluJ tlze world.. July 28, 2022 DCS-CRD DCS-CRD BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Bandra-Kurla Complex Mumbai - 400 001 Bandra (E) , Mumbai - 400 05 1 Scrip Code: 519183 Symbol: ADFFOODS Sub: Investor Presentatio
Slide 2: Investor Presentation – July 2022
TD. Jt,1 . ,A c odd . Investor Presentation – July May2022 2022
Slide 3: Safe Harbor
SAFE HARBOR FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. This presentation and the accompanying slides (the “Presentation”), which have been prepared by ADF FOODS LTD (the “Company’), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase
Slide 4: Business Overview
BUSINESS OVERVIEW
Slide 5: About ADF Foods
ABOUT ADF FOODS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. ABOUT US ADF Foods (ADF) is a leading manufacturer of prepared ethnic food, offering frozen foods, ready-to-eat (RTE) items, ready-to-cook (RTC) items, chutneys, sauces, pickles, spices, pastes, dips and milk drinks under its 8 Flagship brands
Slide 6: Business Snapshot
BUSINESS SNAPSHOT /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. I 8 3 BRANDS MANUFACTURING FACILITIES I 55+ 2 COUNTRIES WAREHOUSES 180+ ~28,000 MTPA DISTRIBUTORS CAPACITY 5
Slide 7: Business Divisions
BUSINESS DIVISIONS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Revenue (₹ Cr ) PROCESSED FOODS BUSINESS +15.1% Large range of products suited for 335 different palates 293 253 19% One of the top brands in ethnic food shelves in key markets 79 One of the largest Indian exporters of processed snacks /J.
Slide 8: Product Portfolio
PRODUCT PORTFOLIO /J. FOODS LTD. ']..,,1;,,9 ti, ,oo ,ld.. Select key products ▪ Snacks- Punjabi samosas, batata vada, kathi rolls Frozen Products 11111111111111 ▪ Vegetables- Green chilli, Mix vegetable cut, methi, palak I ▪ Breads- Naans, parathas I I Ready-to-eat & ▪ Ready to eat- Pav Bhaji, dal
Slide 9: New Product Launches
NEW PRODUCT LAUNCHES /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. THE ORIGINAL IN DOAN TAS,T!, ONION SPINACH ALPHONSO lt.f ... RMI TENDLR PAKORA PAKORA MANGO JACKFRUI (CU'T1 SLICES KATII AL fllnWT11Glll101 N1£1Wl110lll10t --- -- 8
Slide 10: Soul – Ready for India Launch
SOUL – READY FOR INDIA LAUNCH ADF S~ UL Ready to launch products like pickles & sauces on e-commerce platform in Q2 FY23 9
Slide 11: Customer Centric Approach
CUSTOMER CENTRIC APPROACH
Slide 12: Strengthening the Reach to the Consumers
STRENGTHENING THE REACH TO THE CONSUMERS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. In addition to expanding our production capacities, ADF is also expanding its reach in key markets through direct distribution 'I Cust 0 ) ~:@~~- QQ '>i ) MANUFACTURING 2 MARKETING & ADVERTISING 2 WAREHOUSING 2 DISTRIB
Slide 13: A Bouquet of Global Brands
A BOUQUET OF GLOBAL BRANDS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Tt-lE ORIGINAL INDIAN TASTE Positioning 11111111111111 1 Flagship Brand targeted at Indian diaspora worldwide 11111111111111 1 Primarily targeted at Non-Indian diaspora consumers Frozen- Snacks, breads, vegetables Products 111111111
Slide 14: A Bouquet of Global Brands (continued)
A BOUQUET OF GLOBAL BRANDS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. ADF Frozen Organic S~ UL Mexican Food Positioning 11111111111111 1 Primarily targeting urban Indian customers 11111111111111 1 Organic, made with USDA certified organic ingredients Products 11111111111111 1 Meal accompaniments, past
Slide 15: Manufacturing Facilities
MANUFACTURING FACILITIES FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. • Total Built up factory area - 15,000 Sqm • Nadiad, Frozen foods (Samosas, vegetables, Gujarat snacks, parathas, etc.) • Meal accompaniments (Pickles, chutneys, pastes, sauces) • Ready to eat curries & canned vegetables Manufacturing exp
Slide 16: Warehousing and Distribution Facilities
Warehousing and Distribution Facilities Atlanta, USA New Jersey, USA Atlanta, USA New Jersey: 66,000 sq.ft. Atlanta: 34,000 sq.ft. New Jersey, USA
Slide 17: Certifications & Accreditations
CERTIFICATIONS & ACCREDITATIONS /J. FOODS LTD. 'J..,,l;,,9 1I, ,oo dd .. ISO 9002 certification BRC accreditation Awarded prestigious ISO 9002 certification APEDA (Ministry of Commerce and Industries) by BVQI of U. K. for export promotion. I . ' Award for exceptional performance in Exports J Bureau
Slide 18: Awards & Recognitions
AWARDS & RECOGNITIONS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. BUILDING A LONG-LASTING LEGACY ~ EXPORTER OFTHE FOODS LTD. Jttdi119 1/r woild.. YEAR Great Taste Award Best FMCG Company SOFI Awards 2017 Best Overall Exceptional (SME Sector) exported of the year Performance in Exports In 2017-18, the C
Slide 19: Advertising & Marketing
ADVERTISING & MARKETING /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. ADVERTISEMENT & MARKETING EXP % REVENUE 11.5 8.8 8.4 8.8 8.1 8.4 7.3 5.7 4.5 5.8 5.0 5.8 Cabinet 4.0 approves PLISFPI FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 The Ministry of Food Processing Industries • The PLI
Slide 20: Advertising & Marketing
ADVERTISING & MARKETING /J. FOODS L TD. ']..,,1;,,9 1I, ,oo dd .. SOCIAL MEDIA MARKETING - 11 0 adfashokaofficial I~ I HOl(,i Hi, I am a Canadian immigrant since 3 years and purchase packaged Indian food of multiple brands every month. I purchased Ashoka naan last month. It was very fluffy, spongy,
Slide 21: Global Distribution Network
GLOBAL DISTRIBUTION NETWORK /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. _J 55+ COUNTRIES 0 CANADA EUROPE 0 _J 180+ 0 --------- NORTH AMERICA -------- MIDDLE EAST ASIA DISTRIBUTORS HO Mumbai _J 2 WAREHOUSES 0 0 AUSTRALIA SOUTH AFRICA _J 9 COUNTRY MANAGERS 20
Slide 22: Strengthening Distribution
STRENGTHENING DISTRIBUTION /J. FOODS LTD. ']..,,l;,, 9 1I, ,oo dd .. ~~I · a'I· ® Unilever Canada PAT~JAb Patanjali Ayurveda - U~m"' Patanjali Ayurveda is a rapidly growing Indian Unilever is a Fortune 500 FMCG company selling products Positioning 11111111111111 1 I like tea, coffee, beverages, etc.
Slide 23: Strategy & Outlook
STRATEGY & OUTLOOK
Slide 24: Value Proposition with Growth Drivers
VALUE PROPOSITION WITH GROWTH DRIVERS FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Processed Foods Distribution Growth Strategies Investments ◆ India Business ◆ Expansion FY22 Revenue ₹ 335.3 Cr FY22 Revenue ₹ 85.9 Cr ― Manufacturing capacities ◆ QSR / Cloud Kitchen ― Distribution network FY22 ROCE 33.8%* F
Slide 25: At an Inflection Point
AT AN INFLECTION POINT Strong Brand “ At ADF we believe in maintaining high quality Recall standards, introducing new and innovative products while remaining customer centric “ 01 Capacity Inorganic 02 Enhancement Acquisitions 06 & Modernization Expand existing Institutional 05 distribution business
Slide 26: Financial Performance
FINANCIAL Fl A CAL PERFORMANCE PERFORMA CE
Slide 27: Q1 FY23 Result Highlights
Q1 FY23 RESULT HIGHLIGHTS FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. REVENUE (₹ Cr ) EBITDA (₹ Cr ) & MARGIN PAT (₹ Cr ) & MARGIN Consolidated Quarter performance 97.2 12.7 11.1 86.5 9.1 7.6 14.7% 9.3% 12.9% 7.9% Q1FY22 Q1FY23 Q1FY22 Q1FY23 Q1FY22 Q1FY23 Standalone Quarterly performance 72.2 9.1 8.2 7.4 5
Slide 28: Q1 FY23 Consolidated Profit & Loss
Q1 FY23 CONSOLIDATED PROFIT & LOSS FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Particulate (₹ Cr) Q1 FY23 Q1 FY22 Y-o-Y FY22 FY21 Y-o-Y Revenue from Operations 97.2 86.5 12.4% 421.2 369.8 13.9% ... ....; ... Cost of Materials consumed 38.3 36.6 120.2 107.3 Purchase of stock-in-trade 13.6 43.9 88.8 124.9 Ch
Slide 29: Segment Wise Results Break Up
SEGMENT WISE RESULTS BREAK UP FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. REVENUE (₹ Cr ) Particulate (₹ Cr) Q1FY23 Q1FY22 Y-o-Y FY22 FY21 Y-o-Y +13.9% Revenue 421.2 Processed & Preserved Foods 78.6 69.7 12.8% 335.3 293.2 14.4% 369.8 Agency Distribution 18.6 16.8 10.7% 85.9 76.7 12.1% Total 97.2 86.5 421.2
Slide 30: Strong & Sustainable Financial Performance
STRONG & SUSTAINABLE FINANCIAL PERFORMANCE /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. REVENUE (₹ Cr ) EBITDA (₹ Cr ) & MARGIN (%) PAT (₹ Cr ) & MARGIN (%) 10.7% ~ II 16.7% II 18.6% II 18.5% I~I_ DI 15.8% 9.1% 10.9% II 15.0% II 13.5% 1~1- 11.5% 421.2 68.3 66.5 50.1 +32.5% +27.8% 48.5 +20.3% 369.8 42.8
Slide 31: Consolidated Profit & Loss
CONSOLIDATED PROFIT & LOSS Particulate (₹ Cr) FY22 FY21 FY20 FY19 FY18 Revenue from Operations 421.2 369.8 285.2 231.4 201.0 Cost of Materials consumed 120.2 107.3 81.8 89.3 78.2 Purchase of stock-in-trade 88.8 124.9 86.4 42.0 34.1 Changes in Inventories 0.7 -17.1 -19.2 -11.1 1.5 Gross Profit 211.5
Slide 32: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Equity & Liabilities (₹ Cr) Mar’22 Mar’21 Assets (₹ Cr) Mar’22 Mar’21 Equity . Non-Current Assets ......................................................................................................................................
Slide 33: Consolidated Cash Flow Statement
CONSOLIDATED CASH FLOW STATEMENT /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Cash Flow Statement (₹ Cr) Mar’22 Mar’21 . Cash Flow from Operating Activities . . . Profit before Tax 65.1 66.7 Adjustment for Non-Operating Items 6.5 4.4 Operating Profit before Working Capital Changes 71.6 71.2 Changes in W
Slide 34: Governance Focused
GOVERNANCE GOVER A CE FOCUSED FOCUSED
Slide 35: Consistent Shareholder Returns
CONSISTENT SHAREHOLDER RETURNS /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. FY17 FY18 FY19 FY20 FY21 Rs 90.1 crores VALUE CREATION FOR Rs 9.6 crore Rs 5.5 crore Rs 30 crore Rs 6 crore Rs 6 crore Returned to SHAREHOLDERS Buyback Dividend Payout Buyback Dividend Payout Dividend shareholders in the last Pa
Slide 36: Corporate Social Responsibility (CSR)
CORPORATE SOCIAL RESPONSIBILITY (CSR) /J. FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. Education support Covid Measures Clean India Mission Women Empowerment program ₋ Partnered with NGOs for supply of oxygen ₋ Swachch Bharat Abhiyaan: Constructed over 100 ₋ Partnered with several education not-for-profit ₋
Slide 37: Board of Directors
BOARD OF DIRECTORS FOODS LTD. • • • • • Bimal Thakkar Deepa Harris Chandir Gidwani Ravinder Jain Jay Mehta Viren Merchant Chairman, Managing Independent Director Independent Director Independent Director Non-Executive Director Non-Executive Director Director and CEO ▪ 35 years of experience ▪ 30+ ye
Slide 38: Management Team
MANAGEMENT TEAM FOODS LTD. ']..,,1;,,9 1I, ,oo dd .. • Under Bimal’s leadership, ADF Foods has evolved from a small dried fruit store to a global brand with food processing and Bimal Thakkar distribution capabilities and presence in over 55 countries. Chairman, Managing • Further, Bimal played a piv
Slide 39: Thank You
THANK YOU ADF Foods Limited CIN: L15400GJ1990PLC014265 Mr. Shardul Doshi, CFO shardul@adf-foods.com Mr. Bhavin Soni +91 9833537225 bhavin.soni@linkintime.co.in . - orient capita I Mr. Ashish Chovatia +91 9930044680 ashish.chovatia@linkintime.co.in