Jubilant Foodworks Limited · NSE:JUBLFOOD
Jubilant Foodworks — Investor Presentation (March 2024)
33 slides from Jubilant Foodworks's investor presentation, Mar 12, 2024
Slide 1: Exchange filing cover letter: Investor Presentation
JFL/NSE-BSE/2023-24/129 March 12, 2024 BSE Ltd. National Stock Exchange of India Limited P.J. Towers, Dalal Street Exchange Plaza, Bandra Kurla Complex Mumbai – 400001 Bandra(E), Mumbai – 400051 Scrip Code: 533155 Symbol: JUBLFOOD Sub: Investor Presentation Dear Sir/Madam, In furtherance to our lett
Slide 2: Post-Acquisition Update On Turkey and Bangladesh
Post-Acquisition Update On Turkey and Bangladesh
Slide 3: Agenda
Agenda 1. Acquisition Summary and Strategic Rationale 2. Turkey a. Domino’s Turkey b. COFFY 3. Bangladesh a. Domino’s Bangladesh 4. Key Financial Metrics (Pro Forma) 5. The JFL Store Network 2
Slide 4: 1. Acquisition Summary & Strategic Rationale
1. & Strategic Rationale Acquisition Summary
Slide 5: Acquisition Summary
Acquisition Summary Strengthening the pivot to a multi-country, multi-food brand Company Turkey Georgia and Azerbaijan Bangladesh • Cost of acquisition: Rs. ~1,199 crore • Incremental cost of acquisition: Rs. ~34 crore • Shareholding in DP Eurasia: 94.28% • Shareholding in the entity increased from
Slide 6: Strategic Rationale
Strategic Rationale Turkey and Bangladesh • Build a very attractive portfolio of brands in promising, high-growth and under-penetrated markets • Leverage the India playbook – Profitable network expansion, build business with key moats around Delivery, commissary based sourcing and digital strength,
Slide 7: 2. Turkey
2. Turkey
Slide 8: Turkey
Turkey 19th largest economy globally, one of the fastest growing economy in Europe Real GDP Growth (%) 11.4% 7.4% 5.3% 6.0% 5.5% 4.5% 3.3% 3.0% 1.9% 0.9% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023E GDP Per Capita (USD) • One of the fastest growing economies in G20: 11,964 12,241 10,987 10,818
Slide 9: Turkey: Foodservice and QSR Market
Turkey Foodservice and QSR Market Foodservice Market (USD bn) QSR Market (USD bn) 28.1 25.9 22.7 18.4 13.0 11.9 14.0 9.7 13.0 9.7 7.6 6.5 5.4 4.3 4.3 2.2 2019 2020 2021 2022 2023E 2024E 2025E 2026E 2019 2020 2021 2022 2023E 2024E 2025E 2026E Domino’s is #2 player in the QSR Market Domino’s lead the
Slide 10: Key Drivers for Turkey Foodservice Market Growth
Key Drivers for Turkey Foodservice Market Growth Turkey Foodservice Market Growth Disposable Income in TRY and Growth (%) 1. Strong Economy: 40,00 0 17.9% 17.2% 20.0% 35,00 0 15.9% 18.0% o Turkey ranks as the 19th largest economy globally 16.0% 30,00 0 13.5% 12.7% 12.2% 14.0% o The country has made
Slide 11: 02.a Domino's Turkey
02.a Domino’s Turkey
Slide 12: Domino's Turkey: Why we acquired
Domino’s Turkey One of the largest and successful Domino’s franchisee Why we acquired Domino’s Turkey? • Simple and scalable, asset-light business model • Highly attractive, under-penetrated market with substantial growth potential • Track record of resilient and profitable growth as well as strong
Slide 13: Key Differentiator: Proprietary Online Ordering Platforms
Key Differentiator: Continuous improvement in Proprietary Online Ordering Platforms Jan 2016 Jun 2016 Feb 2018 Sep 2018 Nov 2020 Jun 2022 Domino’s on Real-time Launched Loyalty Program Launched enhanced Launched Wallet Payback Apple Watch delivery tracking on App and Website OLO website Domino’s Wal
Slide 14: Key Differentiator: Powerhouse of Menu Innovation
Key Differentiator: Domino’s Turkey is a Powerhouse of Menu Innovation DomDom Burger Domino’s Buraya Pizetta Combo Pizza Durumos XL Oven baked Dopdolu: Meat based Popcorn Chicken First co-branded Mosaic Cake X-LARGE Pizza sandwiches value pizza Chocolate Pizza with Nestle
Slide 15: Domino's Turkey: Key Operating Metrics
Domino’s Turkey Key Operating Metrics Stores Medium-term Store potential: 1,250 % of Franchisee owned Stores (%) 88% 86% 690 84% 655 81% 607 78% 568 550 74% 535 514 72% 488 70% 462 67% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2015 2016 2017 2018 2019 2020 2021 2022 2023 % OLO contribution to Del
Slide 16: Domino's Turkey: System Sales, Growth and LFL
Domino’s Turkey System Sales, Growth and LFL Without adjusting for inflation(Pre-IAS-29) After adjusting for inflation(Post-IAS-29) System Sales(in TRY mn) and Growth (%) System Sales(in TRY mn) and Growth (%) 120.0% 90.0% 8,500 102.0% 8,500 80.0% 7,500 100.0% 7,500 70.0% 6,500 73.5% 6,500 80.0% 60.
Slide 17: DP Eurasia Debt Profile
DP Eurasia Debt Profile Deleveraging on track and leverage ratios will improve further given the enhanced profitability Update on Deleveraging • The debt is largely on account of DP Russia, the Russian ,500 2.8 3 2.5 subsidiary of DPEU ,300 2.3 2.5 o In line with the announcement on 21 August 2023,
Slide 18: 02.b COFFY
02.b COFFY
Slide 19: COFFY
COFFY One of the fastest growing, profitable coffee chain in Turkey Turkey Coffee Market(2023E) o Turkey Coffee market(Café) is ~$1.2 bn o 22 Coffee brands have around ~2,400 outlets Idea behind COFFY: To provide quality coffee without the excessive price tag o Huge opportunity to build a value-led
Slide 20: COFFY: Store Network and Unit Economics
COFFY As of end 2023, COFFY is now the 10th largest CAFÉ brand in Turkey with 89 stores, 74% of which are franchised COFFY network is now nearing 100 stores in Turkey; On track to become 5th largest CAFÉ brand by end of 2024 with 150 stores and best-in-class Unit Economics Coverage Unit Economics •
Slide 21: Leadership Team of DP Eurasia
Leadership Team of DP Eurasia Aslan Saranga Neval Korucu Alpagut Kerem Ciritci Muhsin Çevlik Ege Hanoglu Pinar Togay Chief Executive Officer and Chief Financial Officer Chief Executive Officer of Group Director of COFFY Chief Technology Officer Chief Marketing Officer and Executive Director Turkish
Slide 22: 3. Bangladesh
3. Bangladesh
Slide 23: Bangladesh
Bangladesh One of the fastest growing Asian Economy Real GDP Growth (%) 6.9% 6.8% 6.8% 6.6% 6.9% 7.1% 6.4% 5.4% 5.3% -0.8% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023E GDP Per Capita (USD) 2,687 2,657 2,462 2,150 2,234 1,840 1,990 1,680 1,340 1,500 • Bangladesh is undergoing a significant tran
Slide 24: Bangladesh: Foodservice and QSR Market
Bangladesh Foodservice and QSR Market Foodservice Market (USD) Domino’s is #2 player in the QSR Market and #1 player in the pizza market Latest disclosed/estimated store count 37 26 24 Foodservice $0.9 bn 9 QSR KFC Domino's Pizza Hut Burger King $91 mn Pizza $22 mn Market Entry 2006 2019 2003 2016 S
Slide 25: 03.a Domino's Bangladesh
03.a Domino’s Bangladesh
Slide 26: Jubilant FoodWorks Bangladesh Limited
Jubilant FoodWorks Bangladesh Limited Accelerated the pace of network expansion; mid-single digit EBITDA margin business, Payback for stores now ~3.3 years Stores Medium-term store potential: 200 ADS of Mature Stores (In INR, cc) 26 23 78,244 78,466 77,649 76,880 78,990 20 70,346 65,362 17 13 10 11
Slide 27: Leadership Team for Jubilant FoodWorks Bangladesh
Leadership Team for Jubilant FoodWorks Bangladesh Avinash Kant Kumar Sanjay Mohta Saumil Mehta President Vice President Managing Director Value Chain Engineering, Hong’s Kitchen, International Business Jubilant FoodWorks Bangladesh Limited International Business and CSR Jubilant FoodWorks Limited Ju
Slide 28: 4. Key Financial Metrics (Pro Forma)
4. Key Financial Metrics (Pro Forma)
Slide 29: DP Eurasia Pro Forma Financials
DP Eurasia Pro Forma Financials* Adjusted for inflation (Post IAS-29) in INR mn CY 2023 LFL 27.1% System Sales 27,619 Revenue 17,509 PAT from continuing operations 1,663 Margin(% of Revenue) 9.5% Note: TRY/INR conversion of 3.642 is computed basis the monthly average for CY 2023 *Please refer to the
Slide 30: Pro Forma Financials for CY 2023
Pro Forma Financials* for CY 2023 B: JFL International % Growth/ Particulars In INR mn A: JFL Standalone Business C: JFL Consolidated change in bps (DPEU, Bangladesh and (C over A) Sri Lanka) Revenue 52,619 18,469 71,021 35.0% PAT 2,558 1,406 3,543 38.5% (Continuing Operations) Margin 4.9% 7.6% 5.0%
Slide 31: 5. The JFL Store Network
5. The JFL Store Network
Slide 32: The JFL Store network
The JFL Store network Overall network inching towards 3,000 store milestone Net Overall Addition in India Turkey Sri Lanka Bangladesh Azerbaijan Georgia Network last 12 months Stores Total Corporate Franchised Total Total Total Franchised Franchised Total Total 1,928 80 610 690 50 26 10 7 2,711 220
Slide 33: Thank you! For Further Information
Thankyou! For Further Information: Please get in touch with JFL IR Team Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments,
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