Krbl Limited · NSE:KRBL
Krbl — Q1 FY22 Earnings Presentation
49 slides from Krbl's earnings presentation, Aug 13, 2021
Slide 1: Exchange filing cover letter
E:KRBL/BIBHU/STK_EX_2122/31 13 August 2021 The General Manager National Stock Exchange of India Limited Department of Corporate Services "Exchange Plaza", C-1, Block-G BSE Limited Bandra-Kurla Complex Floor 25, Phiroze Jeejeebhoy Towers ,/ Sandra (E), Mumbai-400051 Dalal Street, Mumbai - 400 001 Scr
Slide 2: Investor Presentation Q1 FY22
INVESTOR PRESENTATION Q1 FY22
Slide 3: Thoughts from the management
Thoughts from the management 130-Year old legacy Commenting on the performance for Q1 FY22, Mr. Anil Kumar Mittal – Chairman and Managing Director, KRBL Limited said, “We are glad to have started the year on a positive note with strong volume gains across both domestic and export markets where, in Q
Slide 4: Vision for growth
Vision for growth 130-Year old legacy Shift to organized trade Growth from multiple platforms With a shift from unorganized Core premium Basmati to organized trade in the segment to deliver mid-teens domestic market, growth; regional varieties of KRBL will stand most premium, fragrant rice and benef
Slide 5: Contents
Contents 130-Year old legacy 01 Serving the finest Basmati from India - A heritage of achievement 02 India Business - Updates & road ahead 03 Driving strong segments & product innovation - Focus on consumer pack, new launches and category expansion 04 Marketing re-orientation - Media communication &
Slide 6: Serving the finest Basmati from India
130-Year oldlegacy 130-Year old legacy Serving the finest Basmati from India -A heritage of achievement 5
Slide 7: Creating benchmarks for success
Creating benchmarks for success 130-Year old legacy India Gate, renowned and #1 well KRBL possesses world’s KRBL has largest #1 largest rice milling plant Largest exporter of #1 branded basmati rice from India in Punjab, India spread established selling brand in India #1 contact farming network cove
Slide 8: Performance highlights
Performance highlights 130-Year old legacy Increased domestic market sales (value growth) 34% Q1 FY22 key Increased export market sales (value growth) 34% perspectives (YoY basis) Gross Profit growth 21% Consistent PBT growth 12% performance delivery PAT growth 12% Superior profitability dynamics 7
Slide 9: Quarterly performance – YoY basis
Quarterly performance – YoY basis 130-Year old legacy Revenue from Operations (Rs. cr.) Gross Profit (Rs. Cr.) EBITDA (Rs. cr.) 1,016 325 267 193 208 764 32.97% 21.40% 8.13% Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 EBIT (Rs. cr) PBT (Rs. cr.) PAT (Rs. cr.) 190 186 175 8.63% 167 11.93% 12.03%
Slide 10: Quarterly performance – YoY basis
Quarterly performance – YoY basis 130-Year old legacy EPS (in Rs.) Book Value Per Share (Rs.) Cash Profit (Rs. cr.) 5.99 163 5.35 11.96% 138 17.67% 10.94% 159 144 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Details on standalone financials 9
Slide 11: Quarterly performance – YoY basis
Quarterly performance – YoY basis 130-Year old legacy Interest Coverage Ratio Current Ratio 52.64 7.30 269 bps 3177 bps 4.61 20.87 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Net Debt to EBIDTA Net Debt to Equity 0.09 1.48 -200 bps -12 bps -0.03 -0.52 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Details on standalone financ
Slide 12: Strong volume growth trend in rice
Strong volume growth trend in rice 130-Year old legacy Indian Market Sales (in MT) International Market Sales (in MT) Total Sales (in MT) 39% 153% 81% Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Details on standalone financials 11
Slide 13: Consistent performance over a period of time
Consistent performance over a period of time 130-Year old legacy Current Ratio Net Bank Borrowing (Rs. cr) Cash & Bank Balance (Rs. cr) 407 7.30 1,128 4.68 161 2.05 69 53 FY18 FY21 Q1 FY22 -391 FY18 FY21 Q1 FY22 FY18 FY21 Q1 FY22 Inventory Position (Rs. cr) Book Value per Share (Rs.) Net worth (Rs.
Slide 14: Best-in-class financial management
Best-in-class financial management 130-Year old legacy Net Debt/Equity Ratio Current Ratio Net worth (Rs. cr.) 0.79 7.30 3,685 3,825 0.58 0.52 0.52 4.68 3,119 2,279 2,717 3.01 1,460 1,872 0.14 1.71 1.78 2.05 2.07 0.04 -0.03 FY16 FY17 FY18 FY19 FY20 FY21 Q1 FY16 FY17 FY18 FY19 FY20 FY21 Q1 FY22 FY16
Slide 15: Experienced independent Board directorship profile
Experienced independent Board directorship profile 130-Year old legacy Vinod Shyam Ashwani Ahuja Arora Dua Mr. Ahuja is a B.Sc. Engg. (Mech.) Hons from Punjab Mr. Arora pursued his education in UK and did his M. Mr. Dua graduated from Delhi University and has Engineering College, Chandigarh. An inte
Slide 16: 130-year old legacy, led by a committed management
130-year old legacy, led by a committed management 130-Year old legacy Anil Kumar Mittal Arun Kumar Gupta Anoop Kumar Gupta Priyanka Mittal Rakesh Mehrotra Chairman and Managing Director Joint Managing Director Joint Managing Director Whole Time Director Chief Financial Officer Visionary of the comp
Slide 17: India Business
130-Year oldlegacy 130-Year old legacy India Business -Updates & road ahead 16
Slide 18: A decade of market dominance
A decade of market dominance 130-Year old legacy 2010 2021 1,797 ~3X Revenue Growth- India Business 600 Sustained 38% increase in KRBL Market market share Share 25% Continued 80% emphasis on Highest Share of brand building Voice in 22% Media 17
Slide 19: Growth initiatives – FY22
Growth initiatives – FY22 130-Year old legacy Driving Strong Product Marketing Revamping Society Focus Segments Innovation Reorientation GTM Strategy amid Pandemic KRBL CARES New Product Media & Focus on Consumer Building Organic 55 million meals as Launches and Communication Pack Growth Machine CSR
Slide 20: Key trends in consumer behavior during pandemic
Key trends in consumer behavior during pandemic 130-Year old legacy E-commerce is Value conscious witnessing a wave consumers are of new shoppers emerging Safety and Branded local has hygiene are of become the new paramount normal importance 19
Slide 21: Driving strong segments & product innovation
130-Year oldlegacy 130-Year old legacy Driving strong segments & product innovation Focus on consumer pack, new launches and Category Expansion 20
Slide 22: Segment wise performance
Segment wise performance 130-Year old legacy Bulk Pack Performance (YoY) Consumer Pack Performance (YoY) FY 2020-21 FY 2021-22 FY 2020-21 FY 2021-22 Bulk pack sales have shown growth vs last year in the first Consumer pack segment is riding strong with a trajectory which quarter in comparison to las
Slide 23: The winning formula
The winning formula 130-Year old legacy Visible Growth Across Segments General Trade – (in MT) Modern Trade – (in MT) 13% Driven By Driven By Strong Bulk phenomenal pack 30% Ecommerce 31% performance performance Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Increased Home Increase in Online Packaged & Hygienic Tr
Slide 24: Positioning Segments - Driving Growth
Positioning Segments - Driving Growth 130-Year old legacy Premium Range9% Daily Range Health Range Reinforcing Occasion Special India’s No. 1 daily Basmati rice in Surge due to health and immunity positioning of India Gate Classic high home consumption during covid. benefits ; 11% Y-o-Y increased in
Slide 25: Leadership position in Modern trade segment
Leadership position in Modern trade segment 130-Year old legacy Highest market share in India Leadership market share Basmati Category Popular Category Health Category (Modern Trade) (Modern Trade) (Modern Trade) 45% 31% 39% 700bps -400bps 35% 38% 700bps 24% Q-1 FY 21 Q-1 FY 22 Q-1 FY 21 Q-1 FY 22 Q
Slide 26: Consistent gains across distribution channels
Consistent gains across distribution channels 130-Year old legacy Market Share In volume (offline) – Modern Trade Market Share In volume (online) – Modern Trade Market Share in India (%) Market Share in Metro (%) Market Share in India (%) 45% 41% 40% 41% 700 bps 100bps 38% 700bps 34% Q-1 FY 21 Q-1 F
Slide 27: Expanding Category – Unity consumer packs
Expanding Category – Unity consumer packs 130-Year old legacy Indian Basmati Rice Market- 25L Mt Opportunity Branded Un- Un-Tapped Basmati Rice Basmati Branded Market rice Basmati 10L Mt rice 15L Mt Share 4L Mt POSITIONING UNITY as the BRAND OF CHOICE to these customers Healthy Volume Growth (Y-o-Y)
Slide 28: Marketing re-orientation
130-Year oldlegacy 130-Year old legacy Marketing re-orientation Media communication & strategy 27
Slide 29: #IndiaforMothers – A CSR Initiative on Mother's Day
#IndiaforMothers – A CSR Initiative on Mother’s Day 130-Year old legacy An initiative to help the vulnerable community - widow mothers and transgender of India. In association with Actress Tisca Chopra and Vikas Khanna Group’s #FeedIndia 1.2 Million Views More Than 36 Lakh people reached Distributio
Slide 30: #MadewithIndiaGate
Engaging Customers with Their Own Recipes 130-Year old legacy #MadewithIndiaGate User Generated Content Engaging with Featuring them on Building customer Influencers and India Gate Social loyalty and affinity Chefs creating new Media Pages Brand Evangelists 29
Slide 31: EID- 2021
EID- 2021 Positioning Classis as the Festival Special Pack - 130-Year old legacy TV DIGITAL Views Reach Spots Channels 3.2 Mn 12 Mn 6126 26 Utilizing opportunity TV & Digital Media Trade Schemes to to push premium Campaign promote Classic pack sales during festive 30
Slide 32: EID- 2021 Social Media Campaign
EID- 2021 Social Media Campaign - #UmeidKiDua 130-Year old legacy Building emotional connect with a promise of “Brand with a Heart” Reach Impressions 10 million + 13 million + 31
Slide 33: Social Media Engagement
Social Media Engagement Product promotion through storytelling -Sales led marketing campaigns on Digital 130-Year old legacy 3.5 Mn+ 25 Mn+ Views Impressions 8 Lakh+ Link Clicks (to E comm sites) 32
Slide 34: Big Ticket Associations
Big Ticket Associations 130-Year old legacy Big Boss Kannada Big Boss Malayalam World Television Premier TVR – 8.0 TVR – 7.8 LAXMII 33
Slide 35: Establishing corporate communication on digital & PR
Establishing corporate communication on digital & PR 130-Year old legacy KRBL Environment & KRBL Special Feature KRBL Covid Response Sustainability Discovery Channel KRBL PR coverage on Covid KRBL Covid Operations CSR Activities 34
Slide 36: Society focus amid pandemic
130-Year oldlegacy 130-Year old legacy Society focus amid pandemic KRBL CARES 35
Slide 37: Giving back to society- KRBL cares - #FeedIndia
Giving back to society- KRBL cares - #FeedIndia 130-Year old legacy Total rice distributed in the Total views campaign garnered from all pages 12,13,545 Total Reach from the campaign from all pages 36,40,635 special Mother’s Day 25000 Kgs. campaign #IndiaForMothers Sweet Boxes Distributed to 5 Lakh+
Slide 38: Championing Basmati abroad
130-Year oldlegacy 130-Year old legacy Championing Basmati abroad -Growing ahead by staying ahead of global trends 37
Slide 39: Positioned for growth – King in the king of markets
Positioned for growth – King in the king of markets 130-Year old legacy • Largest consuming market for • Favors local value-capture, ~95% Basmati exports for India, and for sales to EU are of Brown Rice KRBL ME • KRBL occupies dominant position • Compliance with regulation on Europe pesticide residu
Slide 40: Positioned for growth - Staying ahead of industry trends
Positioned for growth - Staying ahead of industry trends 130-Year old legacy KRBL has outperformed industry rates of growth during FY21. Relative comparison of growth shown below: GCC Americas Africa Europe 39
Slide 41: Positioned for growth - Realities that define KRBL's export business
Positioned for growth - Realities that define KRBL’s export business 130-Year old legacy #1 Indian basmati rice #2 Indian basmati rice #1 Indian rice brand #1 Indian basmati rice brand brand brand India Gate’s position in Canada India Gate and Bab Al Hind’s India Gate’s position in Qatar, position i
Slide 42: Strategy to maintain leadership in exports
Strategy to maintain leadership in exports 130-Year old legacy Emphasis on market share leadership with premium Continually positioning in strengthen, best-in- class, distribution Diversify channel existing markets play across MT, GT infrastructure Attract new and e-comm. customers within and outsid
Slide 43: Key brand line up in international business
Key brand line up in international business 130-Year old legacy International Health Brands 42
Slide 44: Key trends in consumer behavior during pandemic
Key trends in consumer behavior during pandemic 130-Year old legacy KRBL’s brand connect with consumers remains key to benefitting from these trends 57% of people are spending 70% of people in the Middle East more money on ‘Food & are using Internet for more than 5 Groceries’ hours a day 57% of peop
Slide 45: Creating visibility for Basmati overseas - Brand outreach
Creating visibility for Basmati overseas - Brand outreach 130-Year old legacy 3RD PARTY VALIDATION COLLABORATIONS WITH THROUGH EDUCATION EVENTS BLOGGERS AND UGC On trust and taste, KRBL’s brands are widely preferred across key export markets. Primary emphasis on building availability, visibility and
Slide 46: KRBL in news - Media initiatives
KRBL in news - Media initiatives 130-Year old legacy Featured in Tier 1 business titles such as Gulf News, CEO ME, Al Bayan Newspaper, etc. within Opinion /Thought Leadership section Featured in Tier 1 lifestyle publications such as Better Health (Gulf News), Baby & Child, CEO ME Gulf News Emarat Al
Slide 47: Benefiting key stakeholders
130-Year oldlegacy 130-Year old legacy Benefiting key stakeholders -Doing good for investors and customers 46
Slide 48: Establishing strong ties, while boosting shareholders value
Establishing strong ties, while boosting shareholders value 130-Year old legacy Shareholding Pattern (June 2021) ~23% 26.6% Key Institutional Shareholders Public/Others 0.1% Vanguard Bank, FI, Insurance & MF/AIF CAGR Emerging Markets Core Equity Portfolio of DFA INV NRI/OCB/Foreign National/QFI 11.1
Slide 49: Thank You
Thank You 130-Year old legacy Safe Harbor For further information, please contact: This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the Investor Relations Desk implementation of strategic initiatives, and other