Heritage Foods Limited · NSE:HERITGFOOD
Heritage Foods — Q1 FY2023 Earnings Presentation
33 slides from Heritage Foods's earnings presentation, Jul 30, 2022
Slide 1: Exchange filing cover letter and About the Company
Ref: SECT: STOC: 68-22 30th July, 2022 To To The Secretary The Manager, BSE Limited Listing Department, Phiroze Jeejeebhoy Towers, National Stock Exchange of India Limited Dalal Street, Exchange Plaza, C-1, G Block, Bandra-Kurla Mumbai - 400 001 Complex, Bandra (East), Mumbai - 400 051 Scrip Code: 5
Slide 2: Investor Release Q1 Financial Year 2022-23
HERITAGE FOODS LIMITED Investor Release Q1 Financial Year 2022-23
Slide 3: Discussion Summary
HERITAGE FOODS LIMITED Discussion Summary CHAPTER 01 Financial Highlights CHAPTER 02 Company Snapshot CHAPTER 03 The Heritage Advantage CHAPTER 01 Annexures Financial Highlights
Slide 4: Financial Highlights
HERITAGE FOODS LIMITED HERITAGE FOODS LIMITED CHAPTER 02 Financial Highlights
Slide 5: Key Highlights
Key Highlights HERITAGE FOODS LIMITED Consolidated Q1 FY23 Results INR in Mn Q1 FY23 YoY ANALYSIS Revenues & Gross Margin (%) EBITDA & EBITDA Margin (%) PAT & PAT Margin (%) 22.9% 8.0% 17.5% 4.7% 2.7% 0.9% 8,209 6,481 521 303 220 73 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23
Slide 6: Q1 FY23 Consolidated Profit & Loss Statement
Q1 FY23 Consolidated Profit & Loss Statement HERITAGE FOODS LIMITED Particulars (INR. in Mn) Q1 FY23 Q1 FY22 YoY % Q4 FY22 QoQ % FY 22 Revenue from Operations 8,209 6,481 26.7% 6,959 18.0% 26,813 COGS 6,773 4,998 35.5% 5,555 21.9% 20,835 Gross Profit 1,436 1,483 -3.1% 1,404 2.3% 5,978 Gross Margin %
Slide 7: Consolidated Balance Sheet
Consolidated Balance Sheet HERITAGE FOODS LIMITED Particulars (in INR Mn) March 2022 March 2021 Particulars in INR Mn March 2022 March 2021 EQUITY AND LIABILITY ASSETS Equity Share Capital 232 232 Non-Current Assets Reserve and Surplus 6,344 5,726 Property, Plant and Equipment 5,705 5,714 Shareholde
Slide 8: Consolidated Financial Summary
Consolidated Financial Summary HERITAGE FOODS LIMITED INR in Mn Revenues & Gross Margin (%) EBITDA & EBITDA Margin (%) ^PAT & PAT Margin (%) 19.1% 21.5% 25.7% 22.3% 18.4% 5.5% 7.3% 4.7% 10.7% 6.9% 6.2% 2.3% 3.3% 1.8% 3.6% 25,148 27,259 26,813 23,734 24,731 2,647 1,846 1,848 1,539 1,299 1,276 965 828
Slide 9: Shareholding Structure
Shareholding Structure HERITAGE FOODS LIMITED Prominent Investors – 30th June 2022 (% Holding) Market Data as on 28 th July 2022 UTI – Value Opportunity Fund 4.59 Market capitalization (INR. Mn) 13,200.2 Kotak Small Cap Fund 3.74 Price (INR Mn) 281.8 L&T Mutual Fund 2.11 No of shares outstanding (Mn
Slide 10: Company Snapshot
HERITAGE FOODS LIMITED HERITAGE FOODS LIMITED CHAPTER 02 Company Snapshot
Slide 11: Heritage Foods Ltd.
Heritage Foods Ltd. Amongst the leading private players in the Dairy Industry HERITAGE FOODS LIMITED Overview Vision ▪ 30 years of legacy and domain expertise in dairy industry backed with strong product portfolio and brands serving +1.5 million households in 11 states. ▪ To delight every home with
Slide 12: Nurture. Nourish. Flourish
Nurture. Nourish. Flourish Decoding our growth mantra HERITAGE FOODS LIMITED Nurture Nourish Flourish Direct procurement of milk Assist and equip farmers to improve Increase farmers income, enhance Empowering Farmers from farmers milch animals' yield the farmers social-economic lives Tech-Enabled Bu
Slide 13: Technology enabled 'Grass to Glass' Approach
Technology enabled ‘Grass to Glass’ Approach ‘Tech’ it to the next level HERITAGE FOODS LIMITED Milk Procurement Consumer Delight Digitally automated procurement systems sends mail Satiate tastebuds & bring delight to +1.5 million alerts to the Procurement & Inputs team about quality & households by
Slide 14: Presence across the value chain
Presence across the value chain Concentrated focus at every stage HERITAGE FOODS LIMITED Cattle Feed, Sale of Dairy & Procurement Milk Chilling Dairy Nutrition & from milk farmers Centres Processing Value Added Animal Health Products ▪ 1.46 MLPD milk procurement ▪ 2.08 MLPD milk chilling ▪ 18 state-
Slide 15: The Heritage Advantage
HERITAGE FOODS LIMITED HERITAGE FOODS LIMITED CHAPTER 03 The Heritage Advantage
Slide 16: Increasing Value-Added Products Share
Increasing Value-Added Products Share Delighting Consumers with ‘more the merrier’ Approach HERITAGE FOODS LIMITED Diverse Product Portfolio Value-Added Products Sales (in INR Mn) Milk Fresh Milk, A2 Milk and UHT Milk 7,222 6,958 6,190 5,825 5,258 Value Added Products Curd, Paneer, Tikka Paneer, But
Slide 17: Robust Supply Chain Network
Robust Supply Chain Network Seasoned ‘Dairy Products FMCG’ player HERITAGE FOODS LIMITED Heritage Foods Distribution Network Strength Heritage Owned Retail Trade Network 0.13 Million 27 Organized 16 e-Commerce 121 Heritage 859 Exclusive 1,806 Heritage TUCH Kirana Stores Retail Chains / MRFs Websites
Slide 18: Technology Enabled Operations
Technology Enabled Operations Raising the operational efficiency quotient HERITAGE FOODS LIMITED Technology @ work Technology Integrated Network Heritage TUCH App 11,378 Milk Procurement Representatives Consumer-centric Approach 112 Bulk Coolers ▪ Convenient Deploy state-of-the-art technology 86 Chi
Slide 19: Steady operating cash flows fueled capex plans
Steady operating cash flows fueled capex plans On a sound footing HERITAGE FOODS LIMITED INR in Mn Cash Generated from Operating Activities Financial Excellence 2,279 1,838 ▪ Steady net cash flows from business operations and prudent working capital management has aided us to rely on internal accrua
Slide 20: Heritage Nutrivet: Build on a strong foundation
Heritage Nutrivet: Build on a strong foundation Ready to add meaningful contribution HERITAGE FOODS LIMITED Heritage Nutrivet Ltd. (Wholly Owned Subsidiary Company catering the cattle feed industry) Heritage Nutrivet Ltd. (HNL) is one of India’s leading livestock and feed supplement company. The Com
Slide 21: Heritage Nutrivet: Built on a strong foundation
Heritage Nutrivet: Built on a strong foundation Ready to add meaningful contribution HERITAGE FOODS LIMITED INR in Mn Revenue from Operations EBITDA & EBITDA Margin PAT & PAT Margin CAGR: 6.4% CAGR: 22.96% CAGR: 2.6% 4.6% 11.1% 5.0% 5.9% 1,215 2.8% 1.2% 0.0% 1.0% 1,039 946 135 72 738 48 48 21 9 11 0
Slide 22: Forging meaningful partnership
Forging meaningful partnership Partnering to fortify the value proposition HERITAGE FOODS LIMITED Heritage Novandie: Salient Features Yogurt & Flavoured Yogurt Drink SKUs Leveraging Heritage Foods product legacy and reputation 50:50 in Indian markets with French Partners – Andros group’s Partnership
Slide 23: Heritage Foods: The Road Ahead
Heritage Foods: The Road Ahead Nutrition to Nation HERITAGE FOODS LIMITED Penetrate New Geographies Increase Milk Procurement Leverage the strong distribution network for Invest prudently in village level milk collection entering in new geographies and strengthen the infrastructure, bulk coolers, ch
Slide 24: Enhancing the Product Portfolio
Enhancing the Product Portfolio HERITAGE FOODS LIMITED Launched in June 2022 Launched in August 2021 Launched in August 2021 Launched in March 2022 Launched in June 2022
Slide 25: Investor Rationale
Investor Rationale HERITAGE FOODS LIMITED Integrated Play Sustainable Qualitative growth Long term Industry growth Integrated play, backed with strong Strong financial performance and robust Increasing urbanization, health procurement model, smooth farmer relation numbers gives encouraging growth co
Slide 26: Marketing Campaigns – Strengthening our Market Presence
Marketing Campaigns – Strengthening out Market Presence HERITAGE FOODS LIMITED
Slide 27: Opportunities & Challenges
Opportunities & Challenges - Rising Income Level - Increased competition from local and - Increased Health awareness international players - Rising young working population - Small and dispersed farmers - Increased Urbanization - Rapidly changing customer - Demand for Premium dairy Opportunities Cha
Slide 28: Annexures
HERITAGE FOODS LIMITED HERITAGE FOODS LIMITED CHAPTER 04 Annexures
Slide 29: Product Portfolio
Product Portfolio Reason to celebrate for every season HERITAGE FOODS LIMITED Milk Value Added Products Toned Milk Double-Toned Milk Butter Milk Flavoured Milk Curd Sweet & Sabja Sweet & Sabja Lassi Lassi Full Cream Milk Standardised Milk Cold Coffee Immunity Milk Tikka Paneer Paneer Malai Paneer Fr
Slide 30: Product Portfolio
Product Portfolio Reason to celebrate for every season HERITAGE FOODS LIMITED Ice-Creams Fat Products Cups Bars Cones Cow Ghee Buffalo Ghee Hi Aroma Ghee Kulfi (Anjeer & Malai) Tubs Family Packs Cooking Butter Table Butter Fresh Cream Creating consumer-delight with diversified product portfolio
Slide 31: Marketing and Consumer Connect Initiatives
Marketing and Consumer Connect Initiatives Empowering the brand HERITAGE FOODS LIMITED Heritage bytes Other Omnichannel Consumer Connect Initiatives A digital consumer connect initiative featuring regular blogs and videos recipe campaign creating consumers rejoice with innovative and nutritious ▪ So
Slide 32: Awards & Accolades
Awards & Accolades Excellence seldom gets unnoticed HERITAGE FOODS LIMITED FY22: Highlights CII National Energy Conservation Awards for FY 2020-21. ▪ 1st Prize won by Gokul Plant, Charndragiri (M), Chittoor Dist-517101, Andhra Pradesh, India. ▪ 2nd Prize won by Bayyavaram Plant, Bayyavaram(V), Visak
Slide 33: Thank You!
Thank You! For Further Queries Mr. Umakanta Barik Company Secretary & Compliance Officer – Heritage Foods Email: umakanta@heritagefoods.in Contact No.: 040 23391221 Extn.: 9231 www.heritagefoods.in Ms. Sonam Raghuvanshi/Mr. Chintan Mehta IR Consultants – Dickenson World Email: heritagefoods@dickenso