Kaveri Seed Co. Ltd. · NSE:KSCL
Kaveri Seed — Q3 FY2020 Earnings Presentation
22 slides from Kaveri Seed's earnings presentation, Feb 5, 2020
Slide 1: Kaveri Seed Company Limited filing letter
kaveni seed company lirnited koveri seeds" 05s Februarv 2020 Bombay Stock Exchange Ltd., National Stock Exchange of India Ltd. 1.t Floor New Trading Ring Exchange Plaza, 5th Floor, Rotimda Building Plot No.C/1, G Block, P.J.Towers, Dalal Sheet Fort, Bandra Kurla Complex, Bandra (E) MUMBAI - 4OO OO1
Slide 2: Results Presentation – Q3 & 9MFY20
Kaveri Seed Company Limited Results Presentation – Q3 & 9MFY20
Slide 3: Safe Harbour
2 Safe Harbour Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our act
Slide 4: Industry Backdrop & Outlook
INDUSTRY BACKDROP & OUTLOOK
Slide 5: Industry Backdrop
4 Industry Backdrop o Crop-wise area coverage during Rabi 2019-20: As o Till date Cotton area Increased due to on January 31, 2020 extended sowing season by about 6.89% over Area in lakh hectare last year YoY CROP 2019-20 2018-19 Abs Change o All crops sowing has been up while Sunflower Cotton 127.6
Slide 6: Industry Backdrop – All India Rainfall
5 Industry Backdrop – All India Rainfall Source: IMD
Slide 7: Industry Backdrop – All India Rainfall
6 Industry Backdrop – All India Rainfall Source: IMD
Slide 8: Industry Backdrop – All India Rainfall
7 Industry Backdrop – All India Rainfall Source: IMD
Slide 9: Industry Backdrop - Cotton
8 Industry Backdrop - Cotton Area coverage during Kharif 2019 as on 27 Sep, 2019 Area in lakh hectare YoY Abs State 2019-20 2018-19 Change Andhra Pradesh 6.33 5.69 0.64 Telangana 18.60 17.69 0.90 Gujarat 26.67 27.12 -0.45 Haryana 7.01 6.65 0.36 o Acreage has reduced in Gujarat & MP Karnataka 5.93 4.
Slide 10: Industry Backdrop - Maize
9 Industry Backdrop - Maize Area coverage during Rabi 2019-20 as on 31 January, 2020 Area in lakh hectare YoY Abs State 2019-20 2018-19 Change Karnataka 0.87 0.81 0.06 Maharashtra 2.28 1.16 1.12 Uttar Pradesh 0.17 0.16 0.00 Telangana 1.49 1.02 0.47 Gujarath 1.33 0.97 0.36 Chhattishgarh 0.77 0.66 0.1
Slide 11: Industry Backdrop – Commodity Prices Cotton
10 Industry Backdrop – Commodity Prices Cotton Prices Prices Prices % Change(Over % Change(Over State Febraury, Febraury, Previous Year) January, Previous Month) 2020 2019 2020 Gujarat 4980.85 5264.94 -5.40 5114.41 -2.61 Karnataka 4945.48 5132.92 -3.65 5160.79 -4.17 Madhya Pradesh 5058.30 5368.18 -5
Slide 12: Industry Backdrop – Commodity Prices Maize
11 Industry Backdrop – Commodity Prices Maize Prices Prices % Change(Over Prices January, % Change(Over State Febraury, Febraury, Previous Year) 2020 Previous Month) 2020 2019 Gujarat 1989.91 2015.34 -1.26 2073.89 -4.05 Karnataka 1776.72 1903.56 -6.66 1850.01 -3.96 Maharashtra 1639.32 1950.69 -15.96
Slide 13: 9MFY20 Business Highlights
9MFY20 Business Highlights 12 o Strong operational performance. Operating EBITDA margins (excluding other income) stood at 6.82% in Q3FY20 versus 0.18% in Q3FY19 o Cotton Sales have now come to a halt in Q3 as sowing has stopped – This is due to the extended monsoons coming to a halt o Maize acreage
Slide 14: 9MFY20 Crop wise detail
13 9MFY20 Crop wise detail Cotton seed revenue & volumes Cotton: 7.19 6.94 Volumes increased by about 18% in 9MFY20 6.08 o Contribution of new products went up from 14% to 22% of volume 463.75 391.18 446.22 o Money Maker Scale up across market this year. 2 new FY18 9M FY19 9M FY20 9M Cotton hybrids
Slide 15: 9MFY20 Crop wise detail
9MFY20 Crop wise detail 14 Hy Rice Seed revenue & volumes Hybrid Rice 3,780.20 Volumes increased by 57 % in 9MFY20 2,402.33 1,722.52 o Contribution of new products went up from 26.58% to 50.09% of volume o New hybrid Paddy KPH 468 helped translate to strong 33.42 50.68 83.36 growth FY18 9M FY19 9M F
Slide 16: Outlook
15 Outlook Field Crop o Commodity prices are to remain higher now with a more than expected monsoon, keeping the farmers sentiment happy o Maize and Rice area for Rabi season has already begun to go up with increase and expected to continue growth in Q4 , given good ground water table as well as sta
Slide 17: Q3 & 9MFY20 Performance
Q3 & 9MFY20 PERFORMANCE
Slide 18: Q3 & 9M FY20 Performance Review
17 Q3 & 9M FY20 Performance Review Standalone Consolidated Growth Growth Growth Growth Rs. lakhs Q3FY20 Q3FY19 9MFY20 9MFY19 Q3FY20 Q3FY19 9MFY20 9MFY19 (%) (%) (%) (%) Net Sales 9,844.44 6,718.30 46.53 83,133.92 72,426.72 14.78 12,198.84 8,476.99 43.91 86,722.61 75,606.11 14.70 Cost of Production 5
Slide 19: Cash investments as on 31st December 2019
18 Cash investments as on 31st December 2019 Rs.in Lakhs All figures based on cost Fund House Liquid Liquid Plus FMP Shortterm Medium Total ASK 2,293 2,293 BIRLA 2,100 246 1,220 3,566 FARANKLIN 500 500 HDFC 1,800 6,355 3,800 11,955 ICICI 2,991 3,703 6,694 IDFC 59 59 IIFL 2,705 2,705 KOTAK 4,000 500
Slide 20: The Kaveri Moat: Seeding Profitable Growth
19 The Kaveri Moat: Seeding Profitable Growth Strong P&L record, Cash Leadership in key crops: rich, consistent dividend Top 5 Rank paying Benchmark R&D: Diverse Product portfolio Comprehensive germplasm addressing crop rotation & repository shift Market adjacent, Pan- India Operations with comprehe
Slide 21: Investor Contacts
20 Investor Contacts For further information, please contact: Tel: +91 40 4919 2345 C. Mithun Chand Fax: +91 40 2781 1237 Executive Director, Kaveri Seeds # 513 B, 5th Floor, Minerva Complex, S.D.Road, Secunderabad -500 003 www.kaveriseeds.in Gavin Desa +91 22 6645 1237 CDR India gavin@cdr-india Ris
Slide 22: Thank You
THANK YOU
Kaveri Seed Company — Q3 FY2020 Earnings Presentation on 6ix