Globus Spirits Limited · NSE:GLOBUSSPR
Globus Spirits — Q4 FY21 Earnings Presentation
29 slides from Globus Spirits's earnings presentation, June 2021
Slide 1: Result Presentation | June 2021
Result Presentation | June 2021 ENA | Value Segment | Franchise Bottling | Premium Segment
Slide 2: Table of Content
TABLE OF CONTENT Q4/ FY21 Performance Performance Highlights 3 Segmental Performance 5 Financial Highlights 8 Annexure Company Overview 11 Financials 21 Shareholding Pattern 27 2
Slide 3: Q4 & FY21 Performance Highlights
Q4&FY21 Q4 FY21| Performance | PerformanceHighlights Highlights Consolidated Q4FY21 (YoY %) FY21 (YoY %) Gross revenue growth backed by increase in both volume Gross and value, mainly in the Consumer Business segment Revenue 66% 32% Rs 4,909 Mn Rs 16,721 Mn EBITDA Margin grew by over 1000 bps YoY in
Slide 4: Q4 FY21 Key Business Updates
Q4 FY21 Key | Performance Business Updates Highlights The Board has recommended a dividend of 20%, that is, Rs 2.00 per share (FV of Rs 10 per share) for FY21 Consumer Business: West Bengal project update: ▪ The share of consumer business grew to ~43% in FY21 from ~35% in FY20, on the back of both v
Slide 5: Segment-wise Net Revenue Mix (Standalone)
Segment-wise Net Revenue Mix (Standalone) Moving towards a more favourable mix with higher share of Consumer Business Quarterly Revenue Mix Yearly Revenue Mix 1,565 44.0% 41.9% 5137 4147 35.7% 932 34.6% 1,983 56.0% 64.3% 5,752.0 58.1% 1,280 65.4% 1,763.0 Q4FY20 Q4FY21 FY20 FY21 Manufacturing Busines
Slide 6: Consumer Business
Consumer Business Total Value Segment* Sales volumes in Q4FY21 grew by 50% YoY to 3.74 Mn cases Value Segment Quarterly Value Segment Yearly 3.7 4.00 12.3 13.50 11.0 3.50 11.50 9.50 3.00 2.5 7.50 1,565 2.50 5,137 4,147 5.50 932.3 2.00 3.50 1.50 1.50 FY20 FY21 Q4FY20 Q4FY21 Revenue (Rs. Mn) Volumes (
Slide 7: Manufacturing – Strong Backbone
Manufacturing – Strong Backbone Strong pick-up post lockdown; facilities ramped up to reach high utilisation levels Bulk Alcohol Segment: Total Capacity of 160 Mn bulk liters per annum 110.0 28.4 103.2 120 110 100 90 80 70 1,537 60 26.2 50 5,752 5,495 40 30 1,347 20 10 0 Q4FY20 Q4FY21 FY20 FY21 Reve
Slide 8: Profit & Loss Highlights | Q4 & FY21
Profit & Loss Highlights | Q4 & FY21 Consolidated financials Particulars (Rs Mn) Q4 FY21 Q4 FY20 YoY (%) Q3 FY21 QoQ (%) FY21 FY20 YoY (%) Gross Revenues 4,909.1 2,966.1 65.5% 4,325.1 13.5% 16,721.3 12,674.3 31.9% Less- Excise duty 1,342.3 251.0 434.7% 1,161.3 15.6% 4,413.6 986.1 347.6% Net Revenues
Slide 9: Key Ratios | Q4 & FY21
Key Ratios | Q4 & FY21 Consolidated financials Key Ratios (% of Total Income) Q4 FY21 Q4 FY20 Q3 FY21 FY21 FY20 EBITDA Margin 24.9% 13.5% 21.6% 21.1% 11.0% PAT 14.1% 7.1% 12.1% 11.4% 4.2% Total Expenditure 75.1% 86.5% 78.4% 78.9% 89.0% Raw material 48.7% 57.6% 51.0% 52.8% 61.2% Employee Cost 2.5% 3.
Slide 10: Balance Sheet | March 2021
Balance Sheet | March 2021 Consolidated Financials Liabilities (INR Mn) Mar-20 Mar-21 Assets (INR Mn) Mar-20 Mar-21 Net-worth 4,473.0 5,853.2 Fixed assets (incl. CWIP) 5,978.5 6,268.5 Minority Interest -9.0 -9.2 Intangible assets under development 6.1 - LT borrowings 1,328.0 1,067.1 Other financial
Slide 11: Company Overview
Company Overview
Slide 12: Presence Across the Value Chain
Presence Across the Value Chain Well integrated operations aid in ensuring quality and cost control Consumer Business - Owned Brands Premium Value Segment Segment (Country Liquor) (UNIBEV) Globus Spirits Limited Key Raw Material (Broken Rice) Distillation Premium Segment (Franchisee Botting) ENA & E
Slide 13: Business Segments
Business Segments Largely divided into Manufacturing and Consumer segments Manufacturing Business (~57% of Revenue) Consumer Business (~43% of Revenue) Strong Backbone… High Value… Bulk Spirits Franchisee Bottling By Products Value Segment Premium Segment 44% 1% 12% 42.5% 0.5% • Recently, commenced
Slide 14: Manufacturing Business
Manufacturing Business
Slide 15: 1. Bulk Alcohol
1. Bulk Alcohol Backbone of the 360obusiness model; Generating robust cashflows • Globus is the largest grain based Extra Neutral Alcohol (ENA) manufacturer in India with a capacity of 160 Mn Litres • Reputed IMFL players are major customers for Bulk Alcohol • Presence in Rajasthan, Haryana, Bihar a
Slide 16: 2. Franchisee Bottling
2. Franchisee Bottling Strong relationships with pedigreed players ensures steady offtake Bottling volume (Mn cases) 20 year old relationships with ABD and USL / Diageo 5.0 4.5 63.6 80.00 4.0 46.0 50.0 60.00 3.5 3.0 40.7 43.5 40.00 Proxy play on growth in IMFL industry 2.5 2.0 20.00 1.5 3.3 3.4 4.5
Slide 17: 3. By-Products
3. By-Products Process efficiencies lead to zero discharge and incremental revenues ❑ Animal Feed Supplements (AFS) By-products (% of Total Operating Income) o Major by-product from distillation process is Animal Feed Supplements with Solubles & AFS o Used as food for the animal feed industry o High
Slide 18: Consumer Business
Consumer Business
Slide 19: Value Segment – GSL is One of the Largest IMIL Players
Value Segment – GSL is One of the Largest IMIL Players Product innovation and focus on brand building has enabled growth Existing Product Portfolio Focus on Innovation through Investment in R&D Nimboo Ghoomar Heer Ranjha Narangi Value Segment Sale Volumes (Mn Cases) 500.00 429 427 382 377 14.00 450.
Slide 20: Premium Segment – UNIBEV - Unique Value Proposition
Premium Segment – UNIBEV - Unique Value Proposition Asset-light | Focus on niche segments | Building blocks for a high margin brand play 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
Slide 21: Financials
Financials
Slide 22: Annual | Profit & Loss Statement
Annual | Profit & Loss Statement Consolidated Financials Particulars (INR Mn) FY18 FY19 FY20 FY21 Gross Revenues 9,323.8 10,807.0 12,674.3 16,721.3 Less- Excise duty 771.4 947.9 986.1 4,413.6 Net Revenues from Operations 8,552.4 9,859.1 11,688.2 12,307.7 Other Income 53.2 70.9 37.4 65.6 Total Income
Slide 23: Annual | Key Ratios
Annual | Key Ratios Consolidated Financials Key Ratios (% of Total Income) FY18 FY19 FY20 FY21 EBITDA 8.5% 9.6% 11.0% 21.1% PAT 0.7% 2.4% 4.2% 11.4% Total Expenditure 91.5% 90.4% 89.0% 78.9% Raw material 60.1% 60.3% 61.2% 52.8% Employee Cost 2.7% 2.8% 2.9% 3.1% Other Expenditure 28.7% 27.3% 24.9% 23
Slide 24: Annual | Balance Sheet
Annual | Balance Sheet Consolidated Financials Liabilities (INR Mn) FY19 FY20 FY21 Assets (INR Mn) FY19 FY20 FY21 Networth 3978.8 4,473.0 5,853.2 Fixed assets (incl. CWIP) 5854.2 5,978.5 6,268.5 Minority Interest -7.2 -9.0 -9.2 Intangible assets under 6.1 6.1 - development LT borrowings 1695.4 1,328
Slide 25: Enhanced Net Cash Flow from Operations
Enhanced Net Cash Flow from Operations The business mix and focus on costs have led to strong operating cash flow generation Consolidated Net Cash Flow from Operations (Rs Mn)… …Driven by the Following Key Factors 1,484 1,354 ▪ Growth in business and improved profitability ▪ Lower Finance costs due
Slide 26: Key Financial Ratios
Key Financial Ratios Consistent focus on reducing debt from business cashflow; improving return ratios Gross Debt (Rs Mn) Net Debt/Equity (x) 2,515 2,299 0.67 1,777 1,760 0.57 0.35 0.20 FY18 FY19 FY20 FY21 FY18 FY19 FY20 FY21 Finance Cost (Rs Mn) and Avg. Cost of Debt (%) Return Ratios (%) 10.5% 10.
Slide 27: Shareholding Pattern
Shareholding Pattern Total outstanding equity shares as on March 31, 2021, stands at 28.8 Mn shares Corporate Bodies, Individuals & Others 27% Promoter Group 56% Foreign Nationals 17% Major Non-Promoter Shareholders % shareholding Name % Share Templeton Strategic Emerging Markets Fund IV, LDC 17.26%
Slide 28: 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 f
Slide 29: Let's Connect
Let’s Connect Mr. Bhaskar Roy Ms. Pooja Sharma / Ms. Sheetal Keswani Globus Spirits Limited Stellar IR Advisors Phone: +91 11 6642 4600 Phone: +91 22 62398024 Email: broy@globusgroup.in Email: pooja.sharma@stellar-ir.com / sheetal@stellar-ir.com