Slide 1: Intimation of Financial Results Earnings Call
July 28, 2023 1. Department of Corporate Services, 2. Department of Corporate Services, BSE Limited, National Stock Exchange of India Ltd., Floor 25, P J Towers, Exchange Plaza, Bandra Kurla Complex, Dalal Street, Bandra (East), Mumbai - 400 001 Mumbai – 400 051 Scrip Code: 532478 Scrip Code: UBL Su
Slide 2: Investec India invites you to United Breweries Q1 FY24 Earnings call
Investec India invites you to United Breweries Ltd. Q1 FY24 Earnings call Post Earnings Business Update Diamond Pass Registration Monday, July 31, 2023 3:00pm https://tinyurl.com/n47v69ky Management Team Mr. Radovan Sikorsky, Mr. Robin Achten, Director and CFO Business Control & Investor Relations D
Slide 3: Investor Presentation Quarter ended June 2023
Investor Presentation Quarter ended June 2023
Slide 4: 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 5: Q1 Highlights
Q1 Highlights Volume Premium Volume -12.4% -21.1% -4% excl RTM flat excl RTM Net Sales Gross Margin -6.7% 40.6% (-369 bps vs PY ; +196 bps vs Q4 FY23) EBIT Profit after Tax -17% -16%
Slide 6: Q1 volumes impacted by RTM changes, supply challenges & lower inter-state sales
Q1 volumes impacted by RTM changes, supply challenges & lower inter-state sales Volume Growth1 Q1 (-12%, -4% excl RTM) North (-15%) East (-8%) ▪ Strong volume decline in Delhi and ▪ Volume decline mainly driven by Haryana partially offset by growth in Arunachal Pradesh, West Bengal & Uttar Pradesh A
Slide 7: With strong volume recovery at quarter end
With strong volume recovery at quarter end 7% -2% -4% -6% -12% -13% -12% -22% April May June Q1 FY24 Volume vs LY Volume vs LY excl RTM 5
Slide 8: Q1'23/24 Results
Q1’ 23/24 Results Q1 Results (standalone) Data in Rs. Cr. Jun-23 Jun-22 Change (%) Net Sales 2,273 2,437 -7% COGS (1,351) (1,358) -1% Gross Profit 922 1,078 -14% Employee expenses (147) (149) -1% Other expenses (552) (665) -17% Other income 10 10 0% EBITDA 233 275 -15% Depreciation (51) (58) -11% EB
Slide 9: Net Sales decline driven by volume partially offset by pricing and state-mix
Net Sales decline driven by volume partially offset by pricing and state-mix Net sales Q1 (Rs. In Cr) 2,437 1 Strong volume decline (-12%) driven by Tamil (302) 2,273 Nadu, Andhra Pradesh, Delhi and Haryana. 35 104 1% Excl. RTM headwinds c.4% volume decline. -12% 4% 1 2 3 2 Price increases in key ma
Slide 10: Limited EBIT Margin contraction vs Q1 PY although significantly improving vs previous quarter
Limited EBIT Margin contraction vs Q1 PY although significantly improving vs previous quarter EBIT Q1 (Rs. In Cr) 218 2 182 1 Gross Profit predominantly impacted by volume decline & COGS inflation with GP (134) 119 margin 369bps down vs LY though improving vs Q4 FY23 (+196bps) driven by revenue (22)
Slide 11: Observing a reversal of the previous downward margin trends
Observing a reversal of the previous downward margin trends GP Margin + 196 bps vs Q4 FY23 47% EBIT Margin 44% + 718 bps vs Q4 FY23 42% 41% 39% 11% 9% 8% 2% 1% Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 GP Margin EBIT Margin 9
Slide 12: Outlook
Outlook ▪ Building further category growth while driving the share of premium in our portfolio remains a key focus ▪ Inflationary pressure on our cost base is expected to soften in the near term but volatility will remain ▪ We continue to focus on revenue management & cost initiatives, to drive marg
Slide 13: Q&A
Q&A 11