Globus Spirits Limited · NSE:GLOBUSSPR

Globus Spirits — Q4 FY16 Earnings Presentation

22 slides from Globus Spirits's earnings presentation, May 27, 2016

  1. Slide 1: Q4 FY16 Investor Presentation

    GLOB U S S P IRI T S L IMI T E D Q4 FY16 Investor Presentation 2 7 M a y , 2 016

  2. Slide 2: Safe Harbor

    SAFE HARBOR This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Globus Spirits’ future business developments and economic performance. W

  3. Slide 3: Agenda

    AGENDA Q4 & FY16 Performance Key Highlights 4 Financial Performance 5 Annexure Company Overview. 12 Shareholding Pattern 18 Financials 19 3

  4. Slide 4: Q4 FY16 – Key Performance Highlights

    Q4 FY16 – KEY PERFORMANCE HIGHLIGHTS • Better momentum in IMIL, Bulk Alcohol as well as DDGS led to healthy performance; Backed by higher production and capacity utilization of 98% (Vs. 84% in Q4 FY15) – Standalone revenue from operations up 25% YoY to Rs. 1,910 mn in Q4 FY16 – EBITDA higher by 45%

  5. Slide 5: Update on Expansion in West Bengal & Bihar

    UPDATE ON EXPANSION IN WEST BENGAL & BIHAR • Greenfield expansion in West Bengal and Bihar progressing well – Key growth driver for Globus Spirits in FY17 – Both the facilities expected to be commissioned in Q1 FY16; over 90% of the construction work already complete – To result in significantly hig

  6. Slide 6: Q4 FY16 YoY – Healthy Growth Momentum

    Q4 FY16 YoY – HEALTHY GROWTH MOMENTUM • Revenue from operations (Net) up 25% YoY to Q4 FY16 Q4 FY15 Rs. 1,910 mn in Q4 FY16 driven by balanced growth across IMIL and value-added DDGS; This was further supported by higher sales of Bulk Alcohol – IMIL volumes improved by 30% YoY led by robust growth i

  7. Slide 7: FY2016 YoY – Strong Financial Performance

    FY2016 YoY – STRONG FINANCIAL PERFORMANCE FY2016 FY2015 • Revenue from operations (Net) up 21% YoY to Rs. 7,067 mn in FY16 driven by healthy momentum in IMIL and By-products segment – IMIL volumes improved by 40%, while growth in value- Rs. 7,067 mn 21% Rs. 5,857 mn added DDGS stood at 74% Revenue •

  8. Slide 8: Higher IMIL Traction Supporting Consumer Business

    HIGHER IMIL TRACTION SUPPORTING CONSUMER BUSINESS Breakup of Revenue from Operations IMFL, 0% Bulk Alcohol, 24% • Share of consumer business increased to 49% in Q4 FY16 led by healthy contribution from the IMIL business Q4 Franchisee • IMIL revenues increased by 29% YoY to Rs. 922 mn due IMFL IMIL,

  9. Slide 9: IMIL Driven by Strong Traction in Haryana & Delhi

    IMIL DRIVEN BY STRONG TRACTION IN HARYANA & DELHI • Aggregate IMIL revenues up 29% YoY, on account of higher Rajasthan IMIL offtake in Haryana & Delhi 800 2.50 1.50 1.71 600 2.00 – This was duly supported by better volumes in 1.50 400 Rajasthan 1.00 200 471 558 0.50 • Haryana witnessed a strong grow

  10. Slide 10: Manufacturing: Backbone to Consumer; Driven by Value Added DDGS

    MANUFACTURING: BACKBONE TO CONSUMER; DRIVEN BY VALUE ADDED DDGS Production & Capacity Utilization 98% 30.0 84% 100% • Capacity utilization improved significantly to 98% in Q4 15.0 80% 19 22 FY16 compared to 84% in Q4 FY15 resulting in higher 0.0 60% production of 11 mn BL in Q4 FY16 Q4 FY15 Q4 FY16

  11. Slide 11: Agenda

    AGENDA Q4 & FY16 Performance Key Highlights 4 Financial Performance 5 Annexure Company Overview. 12 Shareholding Pattern 18 Financials 19 11

  12. Slide 12: Globus 360º Alcobev Player - Foray into East

    GLOBUS 360º ALCOBEV PLAYER - FORAY INTO EAST • No. 1 private player in Rajasthan IMIL with 28% market share – 6.8 mn cases in sold in FY16, up 23% YoY • No. 2 private player in Haryana with 11% market share – 2.6 mn cases in sold in FY16, up 13% YoY • To enter East India; Distillery to be set up in

  13. Slide 13: Leveraging a Strong 360º Business Model

    LEVERAGING A STRONG 360º BUSINESS MODEL Large, efficient manufacturing operations • Amongst the largest and most efficient grain- based distillery operations in India with ~90 million bulk litres of distillery capacity • Present in DDGS – a high-potential by-product used as Animal Feed 360o • Well p

  14. Slide 14: Globus Plans

    GLOBUS PLANS PRESENT FUTURE • Established 360⁰ model in North • Large market share in IMIL by India (Haryana & Rajasthan) offering quality products to the • Amongst the largest grain based consumer distilleries in India • Establish sustainable premium • Strong IMIL brands that have brands in IMFL ac

  15. Slide 15: Expansion into East

    EXPANSION INTO EAST • Locational advantages like lower raw material costs, higher realizations and other logistical benefits to drive overall profitability Existing facilities at • Alcohol manufactured from Haryana & Bihar distillery can be exported Rajasthan to neighboring states and countries • Ne

  16. Slide 16: IMIL Brands Showcase

    IMIL BRANDS SHOWCASE Nimboo Ghoomar 1st IMIL brand in India positioned Tribute to Rajasthani folk as awesome mix of natural lemon dance ; blend popular in the flavor with strong yet smooth harsh winter months of the blend profile desert region Heer Ranjha Narangi Tribute to the most popular Popular

  17. Slide 17: Unique Competitive Strengths

    UNIQUE COMPETITIVE STRENGTHS 360° Business Model Efficient Operations • Only company present across full alcobev value chain • State-of-the-art plants across three locations using latest distillation technology, zero • Helps capture IMFL growth via franchisee discharge and highest grain- recovery in

  18. Slide 18: Shareholding Pattern

    SHAREHOLDING PATTERN Individuals & Others 23% Corporatee Bodies Promoter 3% Group 57% FII 17% As on March 31, 2016 Outstanding shares – 28.8 mn Major Non-Promoter Shareholders % shareholding Name % Share Templeton Strategic Emerging Markets Fund IV, LDC 17.49% 18

  19. Slide 19: Q4 FY16: Profit & Loss Statement

    Q4 FY16: PROFIT & LOSS STATEMENT Standalone Particulars (In Rs MN) Q4 FY16 Q4 FY15 YoY (%) Q3FY16 QoQ (%) FY16 FY15 YoY (%) Gross Sales 2747.42 2289.4 20% 2668.13 3% 9914.42 8827.64 12% Less- Excise duty & Discounts 839.7 769.19 9% 713.87 18% 2863.64 2982.71 -4% Net Sales 1,907.72 1,520.21 25% 1,954

  20. Slide 20: Q4 FY16: Key Ratios

    Q4 FY16: KEY RATIOS Standalone Key Ratios as a % of Total Revenue Q4 FY16 Q4 FY15 Q3 FY16 FY16 FY15 EBITDA 12% 10% 10% 10% 8% PAT 2% 2% 2% 2% 1% Total Expenditure 88% 90% 91% 90% 92% Raw material 58% 55% 58% 58% 60% Employee Cost 2% 3% 2% 2% 2% Other Expenditure 28% 32% 31% 30% 29% Intt 2% 2% 2% 2%

  21. Slide 21: Q4 FY16: Balance Sheet

    Q4 FY16: BALANCE SHEET Particulars (In Rs MN) 31st March 2015 31st March 2016 Liabilities Shareholders’ Fund 3,550.7 3635.4 Non-Current Liabilities 979.9 2073.7 Long term borrowings 499.6 1592.5 Deferred tax liabilites (Net) 468.0 470.3 Other long term liabilities/ provisions 12.2 11.0 Current Liabi

  22. Slide 22: About Us

    ABOUT US Established in 1992, Globus Sprits Limited (BSE code: 533104, NSE Id: GLOBUSSPR, ISIN Id:INE615I01010) is engaged in manufacturing, marketing and sale of Indian Made Indian Liquor(IMIL), Indian Made Foreign Liquor (IMFL), Bulk Alcohol and contract bottling for established IMFL brands. The C

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