Varun Beverages Ltd. · NSE:VBL
Varun Beverages — Q1 CY2023 Earnings Presentation
20 slides from Varun Beverages's earnings presentation, May 2, 2023
Slide 1: Stock exchange filing cover letter
vrruh BeveRRGes umiCGD Corporate Off : Plot No.31, Institutional Area, Sec. -44, Gurgaon, Haryana-122002 (India) Ph.: +91-124-4643100-500 • Fax: +91-124-4643303/04 E-mail : info@rjcorp.in • Visit us at: www.varunpepsi.com CIN No. : L74899DL1995PLC069839 May 2, 2023 To, National Stock Exchange of Ind
Slide 2: Q1 CY2023 Results Presentation
May 2, 2023 (a PepsiCo franchisee) Varun Beverages Limited Q1 CY2023 Results Presentation
Slide 3: Disclaimer
Disclaimer (a PepsiCo franchisee) This communication contains certain forward-looking statements relating to the business, financial performance, strategy and results of Varun Beverages Limited (“VBL” or the “Company”) and/ or the industry in which it operates. Such forward-looking statements involv
Slide 4: Table of Content
Table of Content (a PepsiCo franchisee) 1 Company Overview 2 Chairman’s Message 3 Q1 CY2023 Results Overview 4 Performance Highlights 5 Sustainability Initiatives 3
Slide 5: Company Snapshot
Company Snapshot (a PepsiCo franchisee) Key player in the beverage industry Operations spanning across 6 countries – 3 in the Indian Subcontinent (India, Sri Lanka, Nepal) contribute ~85% to revenues; 3 in Africa (Morocco, Zambia, Zimbabwe) contribute ~15% for fiscal year 2022 Over 31 years st
Slide 6: Brands Licensed to VBL
Brands Licensed to VBL (a PepsiCo franchisee) Brands licensed by PepsiCo: Dairy Based Beverages* Carbonated Soft Drinks Mango Shake Energy Drink Club Soda Carbonated Juice Based Drinks Cold Coffee Belgian Fruit Pulp / Juice Based Drinks Ice Tea Choco Kesar Badam Sports Drink Packaged Water Elaichi *
Slide 7: Symbiotic Relationship with PepsiCo
Symbiotic Relationship with PepsiCo (a PepsiCo franchisee) VBL – Demand Delivery PepsiCo – Demand Creation 31 yrs + Production Facilities Association Trademarks Sales & Distribution – GTM & Logistics Formulation through Concentrate In-outlet Management – Visi-Coolers Product & Packaging
Slide 8: Key Player in the Beverage Industry – Business Model
Key Player in the Beverage Industry – Business Model (a PepsiCo franchisee) VBL- END-TO-END EXECUTION ACROSS VALUE CHAIN MANUFACTURING Concentrate Other Raw Bottling 38 state-of-the-art production facilities (32 in India & SOLID INRASTRUCTURE (PepsiCo) Materials 6 in International territories) 1
Slide 9: Chairman's Message
Chairman’s Message (a PepsiCo franchisee) Commenting on the performance for Q1 CY2023, Mr. Ravi Jaipuria, Chairman – Varun Beverages Limited said: “We are pleased to share that the Company achieved remarkable operational and financial performance during the quarter despite weather disruptions in som
Slide 10: Key Developments
Key Developments (a PepsiCo franchisee) Commencement of Commercial Production in Kota and Brownfield Expansion at 6 facilities • We have commissioned a new production facility at Kota, Rajasthan, as well as expanded our capacity at six existing locations. Sub-division/split of existing equity shares
Slide 11: Results Overview
Results Overview (a PepsiCo franchisee) Net Sales 1,31,731 EBITDA PAT 27,881 15,501 49.3% 68.5% 107.8% 88,232 16,546 Rs. mn Rs. mn Rs. mn 37.7% 50.3% 7,461 38,930 21.2% 61.8% 7,980 28,275 4,386 5,310 18.8% 2,711 18.8% 20.5% Q1 2022 Q1 2023 2021 2022 Q1 2022 Q1 2023 2021 2022 Q1 2022 Q1 2023 2021 202
Slide 12: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement (a PepsiCo franchisee) Particulars (Rs. million) Q1 2023 Q1 2022 YoY(%) CY 2022 CY 2021 YoY (%) 1.Income (a) Revenue from operations 39,525.91 28,674.77 37.8% 133,905.58 89,582.91 49.5% (b) Excise Duty 596.16 400.05 49.0% 2,174.16 1,350.61 61.0% Net Revenues 38,9
Slide 13: Discussion on Financial & Operational Performance
Discussion on Financial & Operational Performance (a PepsiCo franchisee) Sales Volumes/ Net Revenues • Sales volume grew by 24.7% to 224.1 million cases in Q1 CY2023 from 179.7 million cases in Q1 CY2022 driven by strong demand across regions in India. Domestic volumes grew by 28.0%. • Net Revenue f
Slide 14: Performance Highlights (CY2018 – CY2022)
Performance Highlights (CY2018 – CY2022) (a PepsiCo franchisee) REVENUE PAT CAGR (2018-22) – 26.7% Revenue CAGR (2018-22) – 50.8% PAT PAT Margins 1,31,731 15,501 15% Rs. mn Rs. mn 14,500 88,232 12,000 71,296 10% 64,501 9,500 7,461 11.8% 51,053 7,000 4,722 3,573 4,500 2,999 8.5% 5% 2,000 6.6% 5.9% 5.
Slide 15: Sustainability Initiatives - Water Stewardship
Sustainability Initiatives - Water Stewardship (a PepsiCo franchisee) Parameter (mn KL) CY2020 CY2021 CY2022 Water Recharge Ratio# Water Usage* Ratio(WUR)* Fresh Water Usage Details: Certified Certified Certified 2.72 Target Total water consumption (A) 3.74 4.86 6.32 2.28 min. 2.02 2.00 1.92 1.89 Be
Slide 16: Sustainability Initiatives – Plastic Waste Management
Sustainability Initiatives – Plastic Waste Management (a PepsiCo franchisee) Weight Reduction of Pre-forms (grams) Plastic Waste Recycling % Plastic usage reduction through light weighting of Preforms and Closures for PET bottles. Phase- 52.5 50.7 Target 47.0 wise implementation of certain 100% SKUs
Slide 17: Sustainability Initiatives - Climate Action
Sustainability Initiatives - Climate Action (a PepsiCo franchisee) mn Kg CO2e Grams / litre* Reduction of Carbon emissions / litre (base year – 2020) GHG CY 2020 CY 2022 CY 2020 CY 2022 Emissions Scope 1 26.84 51.94 14.01 13.93 Scope 2 129.11 224.45 67.39 60.20 Scope 3 534.76 580.42 279.14 155.67 To
Slide 18: Conference Call Details
Conference Call Details (a PepsiCo franchisee) Varun Beverages Limited Q1 CY2023 Earnings Conference Call Time • Tuesday, May 2, 2023 at 4:00 PM IST Conference dial-in Primary number • +91 22 6280 1141 / +91 22 7115 8042 International Toll Free Number • Hong Kong: 800 964 448 • Singapore: 800 101 20
Slide 19: About Us
About Us (a PepsiCo franchisee) Varun Beverages Limited (“VBL” or the “Company”) is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world (outside USA). The Company produces and distributes a wide range of carbonated soft drinks (CSDs), as well as a large select
Slide 20: Thank You!
Thank You!