Slide 1: Result Presentation | August 2020
Result Presentation | August 2020 ENA | IMIL| Bottling | Premium IMFL
Slide 2: Content
CONTENT Q1 FY21 Performance Performance Highlights 3 Financial Highlights 8 Segmental Performance 10 Annexure Company Overview 14 Shareholding Pattern 24 2
Slide 3: Q1 FY21 | Performance Highlights
Q1 FY21 | Performance Highlights Q1FY21 Q1FY20 • Total Income (net of excise duty) stood at Rs. 2,302 mn in Q1FY21 as against Rs. 2,970 mn in Q1FY20 ― Gross revenues fell merely ~7% YoY, despite Covid-19 led disruptions Rs. 2,302 mn 22.5% Rs. 2,970 mn ― However,, higher excise duty on account of Raj
Slide 4: Improvement in Sales Volumes During Q1FY21
Improvement in Sales Volumes During Q1FY21… ….Reached near normal run-rate in June-2020; Likely to sustain for rest of the year ENA Sales trend during lockdown IMIL Sales trend during lockdown (Mn Bulk litres) (Mn cases) 1.02 9.36 30.16 2.93 0 20.62 2.02 8.12 1.00 1 3.14 0 0 APR-20 MAY-20 JUN-20 Q1F
Slide 5: IMIL Witnessing Positive Changes
IMIL Witnessing Positive Changes… … Better Agri year ➔ higher farmer disposable income ➔ growth in consumption Rajasthan: ~ 29% market share in Rajasthan Medium Liquor Haryana : Increase in market size of IMIL (RML) • During Pandemic, Government focused to improve • Rajasthan Government increased th
Slide 6: Other Business Updates
Other Business Updates ✓ Recently forayed into the Hand Sanitizer business amid pandemic outbreak Hand Sanitizer ✓ Presently, small business segment, potentially generating revenue of around Rs. 100 mn Business per annum with healthy operating margins ✓ Will evaluate sustainability of this business
Slide 7: Disciplined Utilization of Cashflow
Disciplined Utilization of Cashflow …. Reducing debt & achieving growth from business cashflow Free Cashflow Generation. . . . . . used to deleverage balance-sheet 204 217 528 2,719 1150 2,515 2,298 1,770 339 315 FY18 FY19 FY20 FY17 FY18 FY19 FY20 Free Cashflow Gross Debt Repayment Standalone financ
Slide 8: Q1FY21 | Profit & Loss Statement
Q1FY21 | Profit & Loss Statement Standalone Financials Particulars (Rs MN) Q1 FY21 Q1 FY20 YoY (%) Q4 FY20 QoQ FY20 Gross Revenues 2,896.3 3,124.2 -7.3% 2,928.8 -1.1% 12,545.1 Less- Excise duty 604.6 168.0 260.0% 233.3 159.1% 914.7 Net Revenues from Operations 2,291.7 2,956.2 -22.5% 2,695.4 -15.0% 1
Slide 9: Q1FY21 | Key Ratios
Q1FY21 | Key Ratios Standalone Financials Key Ratios (% of Total Income) Q1 FY21 Q1 FY20 Q4 FY20 FY20 EBITDA 18.0% 10.2% 14.4% 11.8% PAT 8.7% 3.2% 7.9% 5.1% Total Expenditure 82.0% 89.8% 85.6% 88.2% Raw material 60.3% 62.6% 57.4% 61.0% Employee Cost 3.7% 2.5% 2.9% 2.7% Other Expenditure 18.0% 24.7%
Slide 10: Segmental Performance
Segmental Performance Break-up of Standalone Revenue from Operations (Net) Q1FY21 Q1FY20 Consumer Manufacturing Bulk Alcohol 48.3% Hand sanitisers 3.4% Bulk Alcohol 49.2% Franchisee IMFL 2.3% IMIL 36.2% IMIL 35.2% Franchisee IMFL Others Others 1.7% 10.8% 13.0% • Revenue from Manufacturing business -
Slide 11: Consumer Business - IMIL
Consumer Business - IMIL State-wise Performance – Making Progress in West Bengal Q1FY21 IMIL - Total 2.02 mn cases Rajasthan IMIL Haryana IMIL West Bengal IMIL 1,000.0 0.90 900.0 865.5 0.80 800.0 2.60 0.70 0.48 700.0 628.5 0.44 0.60 80.00 0.40 2.30 2.10 155.6 600.0 0.50 70.00 0.35 133.0 60.00 0.30 0
Slide 12: Manufacturing – Strong Backbone
Manufacturing – Strong Backbone Facilities ramping up to reach its near normal, high utilisation levels, post lockdown Production & Capacity Utilization Captive Consumption (% of Production) 58% 50.00 150% 39% 29% 40.00 38.1 95.3% 100% 30.00 Behror Samalkha West Bengal 23.7 59.2% 20.00 50% • Total c
Slide 13: Manufacturing – Strong Backbone
Manufacturing – Strong Backbone Improvement towards the end of Q1FY21 in both Bulk alcohol and Franchise Bottling Bulk Alcohol Franchise Bottling (Mn Cases) 1,500.00 1,450.7 36 Franchise Bottling Volumes 1.2 1.12 1,300.00 30.16 • Total volumes stood at 0.69 mn cases in 1,105.8 Q1 FY21 against 1.12 m
Slide 14: Company Overview
Company Overview
Slide 15: The 360 Business Model
o The 360 Business Model ENAbling high capacity utilisation and sustainable & balanced growth Unique 360⁰ model straddling across the entire alcohol value chain ▪ Large, efficient manufacturing operations • Amongst the largest and most efficient grain -based distilleries in India with ~160 million b
Slide 16: Presence Across the Value Chain
Presence Across the Value Chain Well integrated operations aid in ensuring quality and cost control & IMIL IMFL (Country Liquor) (Franchisee Botting) Globus Spirits Limited Bottling IMFL (Future Segment) Value addition to ENA Value addition Premium IMFL Key Raw Material ENA & Ethanol UNIBEV (Broken
Slide 17: Business Segments
Business Segments Largely divided into Manufacturing and Consumer segments Manufacturing Business (64% of Revenue) Consumer Business (36% of Revenue) Strong Backbone… High Value… Bulk Spirits Franchisee Bottling By Products IMIL Premium IMFL 77% 3% 20% 99% 0.1% • Recently, commenced Production of Sa
Slide 18: GSL - One of the Largest IMIL Players
GSL - One of the Largest IMIL Players Product innovation and focus on brand building has enabled growth Existing Product Portfolio State wise Market Share in IMIL (FY20) Nimboo Ghoomar Heer Ranjha Narangi Rajasthan Largest Private Player 29% Haryana 4th largest player 8% West Bengal Recent entrant 2
Slide 19: UNIBEV – A step towards new leg of growth
“UNIBEV”– A step towards new leg of growth Asset light business model - building blocks for a high margin brand play Mr. Vijay Rekhi Globus Spirits Limited • Beverage alcohol industry veteran • Unique business model – • Steered United Spirits to global integrated spirits play volume leadership • Str
Slide 20: Product Portfolio – Unique Value Proposition
Product Portfolio – Unique Value Proposition Focus on niche segments and differentiated brand creation Unibev has come out with disruptive & exclusive USP with value proposition Crafted a range of premium and super premium whiskies blended with Upto12, 18 years old scotch & a 3 years old French blen
Slide 21: Hand Sanitizers
Hand Sanitizers Emerging as a new segment, amidst the Covid-19 pandemic ▪ Contract bottling for major FMCG and OTC brands in some of our facilities. ▪ Initiated manufacturing of sanitizers under our own brand that is sold directly to retail 21
Slide 22: Investing for Future Growth
Investing for Future Growth Strategically utilising free cashflows from GSL towards high ROCE business (UNIBEV) High Cashflow Generation Re-investment towards high value growth Particulars FY19 FY20 Actions Profit After Tax 31 crores 59 crores De-leverage Balance Sheet Re-payment of ~53 crores in FY
Slide 23: Strengthening Balance-sheet
Strengthening Balance-sheet Consistent focus on reducing debt and improving return ratios Return Ratios Debt / Equity Debt/ EBITDA 0.73 4.48 RoCE RoE 0.66 0.56 3.35 22% 17% 0.37 2.25 14% 12% 11% 1.26 7% 2% 2% FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 Current Ratio Solvency Ratios 0
Slide 24: Shareholding Pattern
Shareholding Pattern Total outstanding equity shares as on June 30, 2020, stands at 28.8 mn shares Corporate Bodies, Individuals & Others 27% Promoter Group 56% FIIs 17% Major Non-Promoter Shareholders % shareholding Name % Share Templeton Strategic Emerging Markets Fund IV, LDC 17.49% 24
Slide 25: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Globus Spirits Limited (the “Company”), solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not
Slide 26: Let's Connect
Let’s Connect Mr. Ajay Goyal Ms. Pooja Sharma / Ms. Sheetal Keswani Globus Spirits Limited Stellar IR Advisors Phone: +91 11 6642 4600 Phone: +91 22 62398019 Email: agoyal@globusgroup.in Email: pooja.sharma@stellar-ir.com / sheetal@stellar-ir.com