Dodla Dairy Ltd. · NSE:DODLA
Dodla Dairy — Q1 FY24 Earnings Presentation
38 slides from Dodla Dairy's earnings presentation, Jul 21, 2023
Slide 1: Exchange filing cover letter for investor presentation
Date: 21 July 2023 The General Manager The Manager Department of Corporate Services Listing Department BSE Limited National Stock Exchanges of India Limited Phiroze Jeejeebhoy Towers "Exchange Plaza", 5th Floor, Dalai Street, Fort Plot No.C/1, G Block Mumbai-400 001 Bandra-Kurla Complex Bandra (East
Slide 2: Dodla Dairy Investor Presentation July 2023 Q1 FY24
DODLA DAIRY I N V E S T O R P R E S E N TAT I O N JULY 2023| Q1 FY24
Slide 3: Table of Content
Table of Content 3 Q1 FY24 Highlights 12 Full Year Financials 16 About Us 23 Company Canvas 27 Strategic Advantages
Slide 4: Q1 FY24 Highlights
Q1 FY24 Highlights
Slide 5: Management Commentary
Management Commentary “Dodla Dairy surpassed INR 8,000 Mn quarterly revenue milestone for the first time, registering 14.8% YoY growth at INR 8,234 Mn in Q1FY24. The Company’s Value Added Products (VAP) and Fat & Fat products sales surged by 12.9% YoY to INR 2,586 Mn aided by extended summer season
Slide 6: Quarterly Operational Highlights
Quarterly Operational Highlights A B ~15.9 LLPD 11.1 LLPD Average milk procurement during Q1FY24 as Average milk sales during Q1FY24 as compared to compared to 14.8 LLPD in Q1FY23 10.4 LLPD in Q1FY23 7.4% YoY 6.2% YoY C D 439.7 MTPD 32.0% Curd sales during Q1FY24 as compared to 426.3 Revenue from va
Slide 7: Yearly Operational Highlights
Yearly Operational Highlights A B ~13.8 LLPD 10.7 LLPD Average milk procurement during FY23 as Average milk sales during FY23 as compared to compared to 12.5 LLPD in FY22 9.3 LLPD in FY22 11.1% YoY 14.5% YoY C D 323.8 MTPD 26.8% Curd sales during FY23 as compared to 269.8 Revenue from value added pr
Slide 8: Quarter-wise Historical Operational Highlights
Quarter-wise Historical Operational Highlights AVERAGE MILK PROCUREMENT (in LLPD) AVERAGE MILK SALES (in LLPD) 7.4% YoY 6.2% YoY 18.0 12.0 16.0 • 11.0 14.0 10.0 Average milk procurement during 12.0 9.0 Q2FY23 increased by 11.2% YoY to 14.3 LLPD 10.0 8.0 8.0 7.0 6.0 4.0 6.0 • Average milk sales durin
Slide 9: Year-wise Historical Operational Highlights
Year-wise Historical Operational Highlights AVERAGE MILK PROCUREMENT (in LLPD) AVERAGE MILK SALES (in LLPD) 16.0 12.0 14.0 • Average milk procurement during 10.0 12.0 10.0 8.0 Q2FY23 increased by 11.2% YoY to 14.3 8.0 6.0 LLPD 6.0 4.0 4.0 2.0 • Average milk sales during the quarter 2.0 11.0 12.1 10.
Slide 10: Key Financial Metrics (Quarterly)
Key Financial Metrics (Quarterly) OPERATING REVENUE GROSS PROFIT & GROSS MARGINS (in ₹ Mn) (in ₹ Mn) (in %) 2,300 23.3 23.7 32.0 8,500 2,100 21.4 Strong Y-o-Y increase in quarterly revenue numbers 8,000 1,900 22.0 powered by increase in milk volumes and healthy Value- 7,500 1,700 12.0 Added Product
Slide 11: Key Financial Metrics (Yearly results)
Key Financial Metrics (Yearly results) OPERATING REVENUE GROSS PROFIT & GROSS MARGINS (in ₹ Mn) (in ₹ Mn) (in %) 28,120 8,000 27.5 23.9 35 22,434 25 Revenues grew by 25.3% YoY to INR 28,120 Mn in FY23 7,000 15 6,000 5,000 5 navigating multiple sectoral headwinds like lumpy skin 4,000 -5 disease and
Slide 12: Consolidated Profit & Loss Results
Consolidated Profit & Loss Results Particulars (INR in millions) Q1FY24 Q1FY23 YoY Q4FY23 QoQ FY23 Revenues 8,234 7,170 14.8% 7,243 13.7% 28,120 Cost of Goods Sold 6,283 5,502 14.2% 5,694 10.3% 21,409 Gross Profit 1,952 1,668 17.0% 1,549 26.0% 6,711 Gross Profit margin 23.7% 23.3% 44 bps 21.4% 232 b
Slide 13: Full Year Financials
Full Year Financials
Slide 14: Financial Highlights
Financial Highlights OPERATING REVENUE GROSS PROFIT & GROSS MARGINS (in ₹ Mn) (in ₹ Mn) (in %) 28,120 8,000 30.5 33 25.7 27.5 23.9 22,434 7,000 21,394 23.3 28 19,400 6,000 23 16,888 5,000 18 4,000 13 3,000 8 2,000 4,349 4,988 5,931 6,172 6,711 3 1,000 0 -2 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY2
Slide 15: Key Ratios – Full Year
Key Ratios – Full Year NETWORTH & ROCE CASH & CASH EQUIVALENT & ROE (in ₹ Mn) ROCE (in %) (in ₹ Mn) (ROE in %) 12,000 24.7 23.1 19.3 26.0 3,000 17.7 15.6 14.9 23.0 17.6 21.0 10,000 16.0 2,500 16.9 13.5 18.0 8,000 11.0 2,000 11.9 13.0 6.0 6,000 1,500 8.0 1.0 4,000 -4.0 1,000 3.0 -9.0 2,000 4,068 4,33
Slide 16: Balance Sheet Summary (Full Year)
Balance Sheet Summary (Full Year) Particulars FY19 FY20 FY21 FY22 FY23 Particulars FY19 FY20 FY21 FY22 FY23 Equity 4,068 4,335 6,580 8,432 9,722 ASSETS Non-current Liabilities 1,459 1,426 1,197 576 636 Non-current Assets 5,374 5,697 5,703 6,869 7,775 Current Liabilities 1,908 2,165 1,946 1,877 2,157
Slide 17: About Us
About Us
Slide 18: Dodla Dairy Snapshot: Q1FY24
Dodla Dairy Snapshot: Q1FY24 Founded in 1995, Dodla Dairy is an integrated dairy company based in South India. Processes and sells milk and produces dairy-based value-added products (“VAPs”) 40+ 22+ 123 Sales Office LLPD aggregate Chilling Centers / installed capacity Plants 1,770+ 7,750+ 596 Milk &
Slide 19: Our Journey So Far: 25+ years of dairy operations
Our Journey So Far: 25+ years of dairy operations in partnership with marquee investors 1995 1997 2007 2009 2012 Incorporation of Parent Badvel and Milk powder and Investment by Dodla Dairy processing plant Sattenapally SMP plant at Black River* at Nellore plants Nellore 2014 2017 2019 2021 2022-23
Slide 20: Presence Across Dairy Value Chain
Presence Across Dairy Value Chain DAIRY FARM PROCESSING PLANTS Procurement of raw milk from 1.2+ lakh Total 15 milk processing plants in India farmers across 8,150+ villages through & Uganda 7,750+ VLCCs Company regularly incurs capex to Raw milk directly procured from farmers upgrade technology, au
Slide 21: Few of Our Products
Few of Our Products SOLD IN INDIA PASTEURIZED POUCH MILK UHT MILK CURD GHEE ICE CREAM Full cream, Standardized Milk, Toned, Double Toned Sachet Curd, Bucket Cow ghee, White ghee (buffalo Vanilla, Elaichi, Pista, Badam, Toned Curd, Cup Curd ghee) and Premium ghee (full Chocolate, Strawberry, Pineappl
Slide 22: Few of Our Products - Shri Krishna Milks
Few of Our Products - Shri Krishna Milks TONED MILK CURD NATURAL GOLD MILK RICH MILK DODLA DAIRY LIMITED 21
Slide 23: Orgafeed Private Limited: Built On A Strong Foundation
Orgafeed Private Limited: Built On A Strong Foundation Orgafeed primarily engaged in farming, breeding, agriculture, horticulture and allied activities such as poultry, dairy and livestock ₹181 farming. Additionally, it is also in the business of seed crushers, manufacturing and dealing of groundnut
Slide 24: Company Canvas
Company Canvas
Slide 25: Our strength to deliver competitive advantage
Our strength to deliver competitive advantage 14.1 PROCESSING CAPACITY FY23 13.8 22.3 Best practices to maximize capacity utilization, FY18 operating metrics and profitability Flexible and agile with continuous 12.2 improvement mindset FY22 12.5 20.0 FY19 10.9 MILK PROCUREMENT FY21 10.8 All da
Slide 26: Value-added Products (VAP) Trajectory
Value-added Products (VAP) Trajectory VAP Sales (in ₹ Mn) The company already has a strong distribution network in southern states for milk as FY23 6,957 well as value added products through which it can roll out existing and upcoming products FY22 5,254 FY21 4,324 STRONG VAP PORTFOLIO Dodla Dairy i
Slide 27: Our Overseas Presence
Our Overseas Presence Dodla operates in Kenya and Uganda in Africa through its subsidiaries Lakeside Dairy Limited & Dodla Dairy Kenya Limited. Our African product portfolio is marketed under the “Dairy Top” and “Dodla +” brands and includes Milk, yogurt with different flavors, ghee, paneer, cheese
Slide 28: Strategic Advantages
Strategic Advantages
Slide 29: Key Strengths
Key Strengths End to end integrated dairy company in South India Global Presence: Uganda & Kenya Higher B2C Sales through Strong Branding 13 states engaged in our strong distribution network An Extensive Product Portfolio (Milk Based Value-Added Products) 15 Processing Plants 1 Feed Plant NOTES: *Da
Slide 30: Stringent Quality Control Procedures
Stringent Quality Control Procedures Well Defined Quality and Food Safety Procedures at Various Stages from Procurement to Distribution PROCUREMENT STAGE VLCCs equipped with GPRS enabled electronic milk analyzers which test for the fat and solid not fat (SNF) content of the raw milk Tests conduc
Slide 31: Focused Engagement and Long-Term Relationship with Dairy Farmers
Focused Engagement and Long-Term Relationship with Dairy Farmers REGULAR DIRECT PAYMENT Money paid directly to farmers in their bank accounts once every 10 to 15 days ~89% of total farmers payment covered as of Q1 FY24 TRANSPARENCY IN PROCUREMENT Company has VLCCs equipped with GPRS enabled El
Slide 32: Investment Rationale
Investment Rationale INTEGRATED AUTOMATED BACKWARD PROVEN ROBUST BALANCE SUPPLY CHAIN PLANTS INTEGRATED TRACK RECORD SHEET Strong Direct Fully automated plants Presence in cattle feed Proven track record of Strong cashflows led to procurement model, leading to improved business through its successfu
Slide 33: Dodla's ESG Commitment
Dodla’s ESG Commitment ENVIRONMENT We are dedicated to producing dairy products in a manner that is humane toward people, animals, and the environment, as well as beneficial to our societies We believe that preserving and rebuilding the environment is crucial in providing opportunities for futur
Slide 34: Capital Market Information
Capital Market Information Few of our Key Investors as on 30th June 2023 (% of Total Equity) SBI MF 9.24 34,000+ Total Shareholders DSP Small Cap Fund Bharat Biotech International Ltd. Ashoka India Opportunities Fund Steinberg India Emerging Opportunities Fund 4.06 3.41 2.70 2.52 International Finan
Slide 35: Contact Us
Contact Us • Company Secretary Surya Prakash Mungelkar investorqueries@dodladairy.com T: +91 40 4546 7777 • IR Contact: Vikash Verma T: +91 9664009029 • Hiral Keniya T: +91 9029662801 • CORPORATE OFFICE 8-2-293/82/A, 270/Q, Road No 10-C, Jubilee Hills, Hyderabad – 500 033. Telangana, India. T: +91 4
Slide 36: Appendix
Appendix
Slide 37: Glossary
Glossary LLPD: Lakhs Liter per day LPA: Liters Per Annum MTPD: Metric Tonnage Per day MT: Metric Ton UHT milk: Ultrahigh Temperature Processed Milk VAP: Value-added Product VLCC: Village Level Collection Center FII: Foreign Institutional Investor DRP: Dodla Retail Parlours DODLA DAIRY LIMITED 36
Slide 38: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Dodla Dairy Ltd (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities,