Tilaknagar Industries Limited · NSE:TI
Tilaknagar Industries — Q2 FY23 Earnings Presentation
22 slides from Tilaknagar Industries's earnings presentation, Nov 10, 2022
Slide 1: Cover letter to stock exchanges
November 10, 2022 To, To, BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block-G, Dalai Street, Bandra-Kurla Complex, Bandra (East), Mumbai 400001 Mumbai-400 051. Scrip Code : 507205 Symbol : TI Sub: Earnings Presentation for unaudited Financial
Slide 2: Earnings Presentation Q2 (Jul to Sep 2022) & H1 FY23
Tilaknagar Industries Ltd. (BSE: 507205 | NSE: TI) 11/10/2022 Earnings Presentation Q2 (Jul to Sep 2022) & H1 FY23 Tilaknagar Industries | Q2 (Jul to Sep 2022) & H1 FY23 1
Slide 3: Q2 & H1 FY23 Performance
Q2 & H1 FY23 PERFORMANCE Tilaknagar Industries | Q2 (Jul to Sep 2022) & H1 FY23 2
Slide 4: Q2 FY23 – at a glance
Q2 FY23 – at a glance Y-o-Y Q-o-Q Y-o-Y Q2 FY23 Q2 FY22 growth Q1 FY23 growth H1 FY23 H1 FY22 growth Business performance (in lacs): Brandy volumes 22.7 17.0 33.4% 16.5 37.8% 39.2 27.5 42.8% Others 1.6 1.0 56.9% 1.2 36.0% 2.8 1.7 64.1% Total volumes 24.3 18.1 34.7% 17.7 37.7% 42.0 29.2 44.0% NSR (Rs
Slide 5: Debt reduction journey
Debt reduction journey… …working towards near net debt-free position by FY24 Debt reduction (Rs. Crs)(a)(b)(c) Debt as of 30-Sep-22(a)(b)(c) 37 1,199 EARC Term Loan 48 High-cost trade deposits Trade Deposits (interest rate of 18-20% p.a.) of Rs. 64 crs repaid in H1 FY23 264 Vendor Financing 543 492
Slide 6: Highest quarterly volumes since FY14
Highest quarterly volumes since FY14 Volume (lacs cases) 25 24.3 18.9 19.5 20 18.1 18.5 17.6 17.2 18.1 18.7 17.7 ▪ 35% volume 16.3 16.5 14.7 14.9 growth on 15 13.8 13.5 YoY basis 11.1 ▪ 31% volume 10 growth vs. Q2 6.0 FY20 (pre- 5 Covid) 0 FY19 FY20 FY21 FY22 FY23 Q1 Q2 Q3 Q4 Tilaknagar Industries |
Slide 7: Operational highlights
Operational highlights Net Revenue (Rs. Crs) 275 504 241 230 192 201 206 168 336 132 135 189 56 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 H1 FY21 H1 FY22 H1 FY23 EBITDA (Rs. Crs) 32 54 53 31 31 26 22 23 22 19 22 10 2 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY
Slide 8: Management commentary
Management commentary From the desk of Mr. Amit Dahanukar, Chairman & Managing Director ❑ We are very proud to have delivered a very strong quarter driven by our highest quarterly volumes in the past 8+ years ❑ While inflationary headwinds persist, we have been able to expand our EBITDA margin compa
Slide 9: Extract of Income Statement
Extract of Income Statement Y-o-Y Q-o-Q Y-o-Y (Rs. Crs) Q2 FY23 Q2 FY22 growth % Q1 FY23 growth % H1 FY23 H1 FY22 growth % Revenue from operations (Gross) 596.05 445.35 33.8% 480.52 24.0% 1,076.57 769.48 39.9% Less: Excise Duty 321.55 244.23 31.7% 250.97 28.1% 572.53 433.07 32.2% Revenue from Operat
Slide 10: Extract of Balance Sheet
Extract of Balance Sheet (Rs. Crs) As at Sep-22 As at Mar-22 (Rs. Crs) As at Sep-22 As at Mar-22 ASSETS EQUITY AND LIABILITIES Non-Current Assets Equity Property, Plant and Equipment 424.3 438.8 Equity Share Capital 165.9 158.6 Capital Work-in-Progress 100.3 100.2 Other Equity 61.1 -25.1 Right of Us
Slide 11: Recent Product Developments
Recent Product Developments Launch of Mansion House Flavoured Brandy Launch of Mansion House Reserve Brandy ▪ India’s First Premium Flavoured Brandy ▪ Super-premium variant of our flagship ▪ An inclusive drink for all; across age- brand, Mansion House Brandy groups, genders, for all occasions ▪ Blen
Slide 12: Company & Industry Overview
COMPANY & INDUSTRY OVERVIEW Tilaknagar Industries | Q2 (Jul to Sep 2022) & H1 FY23 11
Slide 13: About the Company
About the Company Largest premium brandy manufacturer in India with presence across all segments of IMFL Manufacturing units across 12 states Share of Brandy as % 20 Owned: 4 units 15+ Brands across products 94% of total volumes Contract manufacturing: 16 units 6.73 Volumes (in cases) Share of sales
Slide 14: Presence across IMFL categories
Presence across IMFL categories Focus on semi-premium and above segments Super-Premium Rs. 1,000 & Above Mansion House Reserve Brandy Courrier Napoleon Brandy Green Mansion House Flavoured Brandy Premium Rs. 700-1,000 Mansion House Brandy Mansion House Gold Whisky Courrier Napoleon Brandy Red Deluxe
Slide 15: We sell millions of cases across India
We sell millions of cases across India MANSION HOUSE ❑ Mansion House is a millionaire brand (more than 5.5 mn cases sold in FY22) ❑ Mansion House is the highest selling premium brandy in India ❑ Manufactured across all units ❑ A brand with a high brand loyalty driving repeat purchases COURRIER NAPOL
Slide 16: Our strategic focus…
Our strategic focus… …the way forward Volume growth Market share growth(b) Efficient levels of capacity utilisation ▪ FY22 growth in volumes for MHB and ▪ Continued focus on brandy ▪ Pernod Ricard agreements enables CNB stands at 24% each ▪ Market share (as % of brandy) growth efficient capacity uti
Slide 17: MHB and MHB Brandy segment growing faster…
MHB and MHB Brandy segment growing faster… …than overall Brandy, Whiskey and IMFL MHB vs. Industry Growth (a) MHB market share as % of brandy (a) MHB market share as % of IMFL (a) Category CAGR Market share growth of 36% over 6 years Market share growth of 41% over 6 years MHB 9.1% Brandy Segment 2.
Slide 18: FY22 Financials
FY22 FINANCIALS Tilaknagar Industries | Q2 (Jul to Sep 2022) & H1 FY23 17
Slide 19: Improving business fundamentals
Improving business fundamentals Premiumisation strategy to enhance margins and cash flows Total Volumes Sold (mn cases) Brandy Sales (mn cases) 84% 89% 91% 92% 94% 5.92 6.64 6.44 5.45 6.73 4.98 5.92 5.86 5.03 6.33 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Share of Brandy to total volumes sol
Slide 20: Focus on margins and cashflows
Focus on margins and cashflows Most of write-offs impacting EBITDA have been undertaken Net Revenues (Rs. Crs) Gross Profit (Rs. Crs) and Gross Margin (%) 51% 52% 49% 51% 46% 578 661 653 549 783 293 342 301 271 401 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 EBITDA (Rs. Crs) and EBITDA Margin
Slide 21: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Tilaknagar Industries’ future business developments and economic
Slide 22: Thank You
For further information, please contact: Ameya Deshpande President – Strategy & Corporate Development Email: adeshpande@tilind.com THANK YOU
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