Globus Spirits Limited · NSE:GLOBUSSPR
Globus Spirits — Q1 FY16 Earnings Presentation
20 slides from Globus Spirits's earnings presentation, August 2015
Slide 1: Q1 FY16 Investor Presentation
GLOB U S S P IRI T S L IMI T E D Q1 FY16 Investor Presentation
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
Slide 3: Agenda
AGENDA • Q1 FY16 Performance • Key highlights............................................................4 • Financial performance...............................................5 ............................................... • Annexure • Company Overview............................................
Slide 4: Q1 FY16 – Robust IMIL Growth Drives Performance
Q1 FY16 – ROBUST IMIL GROWTH DRIVES PERFORMANCE Strong operating performance driven by IMIL growth and DDGS (value added by-product) • Standalone revenue from operations up 12% YoY to reach Rs 1,578mn in Q1 FY16 driven by robust growth in IMIL and DDGS • EBITDA up 28% YoY to reach Rs 158mn in Q1 FY1
Slide 5: Q1 FY16 YoY – Significant PAT Expansion (61% YoY)
Q1 FY16 YOY – SIGNIFICANT PAT EXPANSION(61% YOY) Figures in Rs Million, Standalone Financials Revenue from Operations EBITDA PAT Q1 FY16 1,578 158 35 12% 28% 61% Q1 FY15 1,410 123 21 • Revenue from operations (Net) up 12% YoY to reach Rs 1,578mn in Q1 FY16 driven by robust growth in IMIL and Others
Slide 6: Robust IMIL Performance Driving Consumer
ROBUST IMIL PERFORMANCE DRIVING CONSUMER Figures in Rs Million, Standalone Financials Breakup of Revenue from Operations Q1 FY16 Q1 FY15 Own IMFL Own IMFL 1% 1% Bulk Alcohol 21% IMIL Bulk Alcohol 39% 36% Franchisee IMFL IMIL 15% 53% Others Consumer Manufacturing Franchisee IMFL 10% 17% Others 7% • S
Slide 7: IMIL Driven by Strong Traction in Rajasthan & Delhi, Haryana Revival and Entry in Bihar
IMIL DRIVEN BY STRONG TRACTION IN RAJASTHAN & DELHI, HARYANA REVIVAL AND ENTRY IN BIHAR Figures in Rs Million, Standalone Financials Rajasthan IMIL Haryana IMIL Delhi IMIL 600 538 2.00 170.0 162 0.60 50.0 47 0.20 500 160.0 379 1.64 1.50 150.0 0.57 0.50 40.0 0.18 0.15 400 141 29 140.0 30.0 300 1.00 0
Slide 8: Manufacturing: Backbone to Consumer; Driven by Value Added DDGS
MANUFACTURING: BACKBONE TO CONSUMER; DRIVEN BY VALUE ADDED DDGS Figures in Rs Million, Standalone Financials Production & Capacity Utilization Bulk Alcohol* Franchise Bottling 20 600 75% 12 15.5 16.2 514 500 70% 10 15 11.6 70% 8 0.75 0.79 400 65% 338 67% 6 10 0.27 300 60% 0.44 8.2 4 5 200 55% 2 0.48
Slide 9: Q1 FY16 QoQ – Steady Revenues, EBITDA Up 5% QoQ
Q1 FY16 QOQ – STEADY REVENUES, EBITDA UP 5% QOQ Figures in Rs Million, Standalone Financials Revenue from Operations EBITDA PAT Q1 FY16 1,578 158 35 3% 5% -3% Q4 FY15 1,527 151 36 • Revenue from operations (Net) up 3% QoQ to reach Rs 1,578mn in Q1 FY16 driven by growth in IMIL and DDGS • IMIL volume
Slide 10: Agenda
AGENDA • Q1 FY16 Performance • Key highlights............................................................4 • Financial performance...............................................5 ............................................... • Annexure • Company Overview............................................
Slide 11: Globus: Leadership in IMIL with Bihar Launch
GLOBUS: LEADERSHIP IN IMIL WITH BIHAR LAUNCH No. 1 private player in Rajasthan IMIL with 25% market share 1 5.6 mn cases in sold in FY15, up 20% YoY Rajasthan witnessed record 1.6 mn cases in Q1 FY16 No. 2 private player in Haryana with 10% market share 2 2.3 mn cases in sold in FY15 Haryana
Slide 12: Leveraging a Strong 360º Business Model
LEVERAGING A STRONG 360º BUSINESS MODEL Bulk Focused on building a ~90 mn BL (expected to go upto profitable and niche ~150 mn BL with East India portfolio of IMFL brands commissioning in FY17) of ENA capacity Focus on value added products such as DDGS IMFL 360º Bottling model Pan India lead
Slide 13: Globus Plans
GLOBUS PLANS PRESENT NEAR TERM STRATEGY FUTURE • Established 360⁰ model in North India (Haryana & • Enter fast growing liquor • Large market share in IMIL Rajasthan) markets of West Bengal & by offering quality Bihar with complete 360⁰ products to the consumer • Amongst the largest grain offering ba
Slide 14: Expansion into East
EXPANSION INTO EAST Greenfield facilities in West Bengal/ Bihar Existing facilities at (Under Construction) Haryana & Rajasthan • Strong fit with 360⁰ Model • Large alcohol deficit, growing IMIL industry Severe Alcohol Deficit in East India (mn ltrs) 14
Slide 15: IMIL Brands Showcase
IMIL BRANDS SHOWCASE Nimboo Ghoomar 1st IMIL brand in Tribute to India positioned Rajasthani folk as awesome mix dance ; blend of natural lemon popular in the flavor with strong harsh winter yet smooth blend months of the profile desert region Heer Ranjha Narangi Tribute to the most Popular dark spi
Slide 16: Unique Competitive Strengths
UNIQUE COMPETITIVE STRENGTHS 360° Business Model Strong Consumer Portfolio Efficient Operations Healthy Balance Sheet • Only company • Leadership in key • State-of-the-art • Funding for present across full states of Rajasthan, plants across three greenfield expansion alcobev value chain Delhi and Ha
Slide 17: Shareholding Pattern
SHAREHOLDING PATTERN As on June 30, 2015 Outstanding shares – 28.8 mn Public & others 17.1% Major Non-Promoter Shareholders % shareholding Templeton Strategic Emerging Markets Corporate 17.49% 2.6% Fund IV, LDC Templeton SBI Emerging Business Fund 6.40% Strategic Promoters Emerging 56.4% Markets 17.
Slide 18: Q1 FY16: Profit & Loss Statement
Q1 FY16: PROFIT & LOSS STATEMENT Standalone Particulars (In Rs Mn) Q1 FY16 Q1 FY15 YoY (%) Q4 FY15 QoQ (%) FY15 Gross Sales 2,339 2,174 8% 2,289 2% 8,828 Less- Excise duty & Discounts 762 766 -1% 769 -1% 2,983 Net Sales 1,577 1,408 12% 1,520 4% 5,845 Other Operating Income 0.4 1.6 -76% 6.4 -94% 12 R
Slide 19: Q1 FY16: Key Ratios
Q1 FY16: KEY RATIOS Standalone Key Ratios as a % of Total Q1 FY16 Q1 FY15 Q4 FY15 FY15 Revenue EBIDTA 10.0% 8.8% 9.9% 8.3% PAT 2.2% 1.5% 2.3% 1.2% Total Expenditure 90.0% 91.2% 90.1% 91.7% Raw material 58.6% 66.8% 54.8% 60.1% Employee Cost 2.5% 2.2% 3.0% 2.4% Other Expenditure 28.9% 22.3% 32.3% 29.1
Slide 20: 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