United Breweries Limited · NSE:UBL
United Breweries — Q2 FY2025 Earnings Presentation
17 slides from United Breweries's earnings presentation, Oct 24, 2024
Slide 1: Intimation of Investor Presentation to stock exchanges
October 24, 2024 To, BSE Limited National Stock Exchange of India Limited Scrip Code: 532478 Symbol: UBL Dear Sir, Sub: Intimation of Investor Presentation on the Financial Results Earning Call This is further to our letter dated October 17, 2024, intimating the invitation to host a Q2FY2025 Earning
Slide 2: Investor Presentation Quarter and HY ended September 2024
Investor Presentation Quarter and HY ended September 2024 1
Slide 3: Disclaimer
Disclaimer This presentation contains forward-looking statements with regard to the financial position and results of UBL’s activities. These forward- looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-lo
Slide 4: Q2 Highlights
Q2 Highlights Volume Premium Volume +5% +27% Net Sales Gross Margin +12% 43.8% (-69 bps vs PY) EBIT Profit after Tax +23% +23%
Slide 5: YTD Q2 Highlights
YTD Q2 Highlights Volume Premium Volume +5% +35% Net Sales Gross Margin +10% 43.4% (+104 bps vs PY) EBIT Profit after Tax +26% +25%
Slide 6: Q2 volumes up 5% with premium volumes growing 27%
Q2 volumes up 5% with premium volumes growing 27% Volume Growth1 Q2 & YTD (+5%, +5%) North (+12%, +9%) East (-6%, -2%) Volume growth in Uttar Pradesh & Volume growth in Orissa more than off- Rajasthan partially offset by Delhi set by a decline in West-Bengal West (+12%, 9%) South (+1%, +3%) Volume g
Slide 7: Volume momentum continues with strong growth in premium
Volume momentum continues with strong growth in premium 44% 27% 21% 14% 11% 10% 8% 7% 5% 5% Q2-FY24 Q3-FY24 Q4-FY24 Q1-FY25 Q2-FY25 Total Volume Premium Volume 6 Volume comparison based on Q vs PY Q
Slide 8: Q2 - FY25 Results
Q2 - FY25 Results Q2 Results (standalone) Data in Rs. Cr. Sep-24 Sep-23 Change (%) Net Sales 2,115 1,888 12% COGS (1,187) (1,047) 13% Gross Profit 927 841 10% Employee expenses (174) (164) 6% Other expenses (527) (492) 7% Other income 11 12 -14% EBITDA 237 197 21% Depreciation (57) (51) 12% EBIT 180
Slide 9: HY-FY25 Results
HY-FY25 Results YTD Results (standalone) Data in Rs. Cr. Sep-24 Sep-23 Change (%) Net Sales 4,588 4,161 10% COGS (2,596) (2,398) 8% Gross Profit 1,991 1,763 13% Employee expenses (356) (311) 14% Other expenses (1,124) (1,044) 8% Other income 18 23 -21% EBITDA 529 430 23% Depreciation (115) (102) 12%
Slide 10: Q2 FY25 Net Sales increase fueled by volume growth and price-mix
Q2 FY25 Net Sales increase fueled by volume growth and price-mix Net sales Q2 (Rs. In Cr) 2,115 1 Volume growth mainly driven by Uttar Pradesh, Maharashtra, Karnataka & Telangana partially offset by Tamil Nadu, West Bengal and Delhi. 1,888 5% 7% 1 2 2 Positive Price Mix is driven by price increases
Slide 11: HY FY25 10% topline growth driven by continued volume momentum and Price Mix
HY FY25 10% topline growth driven by continued volume momentum and Price Mix Net sales YTD (Rs. In Cr) 4,588 1 Volumes grew by 5% driven by strong performance from Uttar Pradesh, Karnataka, Andhra Pradesh & Maharashtra, partially off- 4,161 set by Tamil Nadu. 5% 5% 1 2 2 Positive Price Mix is driven
Slide 12: c.26% EBIT growth from volume and price-mix with brand investments
c.26% EBIT growth from volume and price-mix in combination with investments behind our brands & organization resulting in EBIT margin expansion EBIT YTD (Rs. In Cr) 1 Gross Profit improvement driven by volume and price mix. GP margin 104 bps up vs LY 415 driven by revenue management & cost 328 initi
Slide 13: Volume growth with margin development resulting in double digit Gross Profit and EBIT growth
Volume growth in combination with margin development resulting in double digit Gross Profit and EBIT growth Margin improvement…. …resulting in strong profit growth -69 bps +10.2% 44.5 % 927 43.8 % +79 bps 8.5 % 841 7.7 % +23.3% 180 146 GP Margin EBIT Margin GP EBIT Q2 FY24 Q2 FY25 12
Slide 14: Putting consumers & customers at the heart of our business
Putting consumers & customers at the heart of our business… 1 2 3 4 5 Manufacturing Policy Portfolio Innovation footprint Execution Advocacy Non exhaustive list of initiatives
Slide 15: Amstel Grande
Amstel Grande Amstel Grande Launches in India: A New Era of Premium Beer Begins 14
Slide 16: Outlook
Outlook ▪ Building further category growth while driving the share of premium in our portfolio remains a key focus ▪ We continue to focus on revenue management & cost initiatives, to drive margin accretion with continued investments behind our brands and capabilities ▪ We remain optimistic about the
Slide 17: Q&A
Q&A Let’s make the good times epic