Kaveri Seed Co. Ltd. · NSE:KSCL
Kaveri Seed — Q3 FY2021 Earnings Presentation
25 slides from Kaveri Seed's earnings presentation, Feb 9, 2021
Slide 1: Kaveri Seed Company Limited filing letter to stock exchanges
keveni seed company limited koveri seeds' 09th February 2021 Bombay Stock Exchange Ltd., National Stock Exchange of India Ltd. f iFloor New Trading Ring lixchange Plaza, 5rr' Floor, Rotimda Building Plot No.C/.1, G Block, P.J.Towers, Dalal Strect, Fort, Bandra Kurla Complex, Bardra (E) MUMBAI - 4OO
Slide 2: Results Presentation – Q3 & 9MFY21
Kaveri Seed Company Limited Results Presentation – Q3 & 9MFY21
Slide 3: Safe Harbour
Safe Harbour 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, technological risks, and many other factors that could cause our actua
Slide 4: 9MFY21 Business Highlights
Strong operational performance. Operating EBITDA margins (excluding other income) stood at 32.29% in 9MFY21 versus 30.66% in 9MFY20 Cotton acreages have increased 1.8% on YOY basis. Prices have increased due to low 9MFY21 Business production globally and increased demand in anticipation of post Covi
Slide 5: Industry Backdrop & Outlook
Industry Backdrop & Outlook kaveri seeds
Slide 6: Industry Backdrop
Industry Backdrop YTD cotton acreages have Crop-wise area coverage during Rabi 2020- increased marginally by about 2% 21: As on January 29, 2021 compared to the previous year Area in lakh hectare Overall Maize acreages have 2% 15% 5% 3% 363 been stable in with some decline 336 346 in Andhra Prad
Slide 7: Industry Backdrop – All India Rainfall
Industry Backdrop – All India Rainfall 6 Source: IMD
Slide 8: Industry Backdrop – All India Rainfall
Industry Backdrop – All India Rainfall 7 Source: IMD
Slide 9: Industry Backdrop – All India Rainfall
Industry Backdrop – All India Rainfall 8 Source: IMD
Slide 10: Industry Backdrop - Cotton
Industry Backdrop - Cotton Area coverage during Kharif 2020 as on Sep 18, 2020 Area in lakh hectare YoY Abs State 2020-21 2019-20 Change Andhra Pradesh 5.64 6.20 -10% Telangana 24.13 18.60 23% Gujarat 22.79 26.67 -17% Haryana 7.37 7.01 5% Karnataka 6.88 5.75 16% Madhaya Pradesh 6.44 6.09 5% Maharast
Slide 11: Industry Backdrop – Commodity Prices Cotton
Industry Backdrop – Commodity Prices Cotton Prices February, Prices February, % Change % Change State Prices January, 2021 2021 2020 (Over Previous Year) (Over Previous Month) Gujarat 5521.58 4914.39 12.36 5457.08 1.18 Haryana 5747.07 5099.66 11.28 __ Karnataka 5624.35 4950.21 13.62 5529.52 1.71 Mad
Slide 12: Industry Backdrop - Maize
Industry Backdrop - Maize Area coverage during Kharif 2020 as on Jan 29, 2021 Area in lakh hectare YoY Abs State 2020-21 2019-20 Change Andhra Pradesh 2.02 2.34 -16% Arunachal Pradesh 0.1 0.1 0% Assam 0.53 0.43 19% Bihar 9.11 8.69 5% Chattishgarh 0.69 0.77 -12% Chhattishgarh 2.26 1.96 13% Gujarath 3
Slide 13: Industry Backdrop – Commodity Prices Maize
Industry Backdrop – Commodity Prices Maize Prices February, Prices February, % Change Prices January, % Change State 2021 2020 (Over Previous Year) 2021 (Over Previous Month) Andhra Pradesh 1,275 1,680.48 -24.13 1,248.82 2.1 Chattisgarh 1,248.70 1,644.27 -24.06 1,234.91 1.12 Gujarat 1,535.21 1,854.7
Slide 14: 9MFY21 Crop wise performance
9MFY21 Crop wise performance Cotton: Cotton seed revenue & Maize seed revenue & Volumes are almost stable in 9MFY21; lower by less than 2% volumes volumes Gained cotton seed market share in Gujarat & Haryana markets Lost sales in AP and Telangana Net Revenues (Rs cr) Net Revenues (Rs cr) Con
Slide 15: 9MFY21 Crop wise performance
9MFY21 Crop wise performance Hybrid Rice: Hy Rice Seed revenue Sel Rice seed revenue & Volumes increased by 47.72% in 9MFY21 & volumes volumes Introduction of new hybrid KPH 468 & KPH 471 & KPH 7299 helped towards strong growth Net Revenues (Rs cr) Net Revenues (Rs cr) Sales Volume (mn packets)
Slide 16: 9MFY21 Crop wise performance
9MFY21 Crop wise performance Vegetables: Vegetable seed revenue & volumes Vegetable sales volumes increased by 150.57% Net Revenues (Rs cr) Sales Volume (mn packets) Major growth driven by Hot pepper, Tomato, Gourds & Okra In Hot pepper KHPH 1213, KHPH 1217 & KHPH 1225 179 In Tomato KTH 354
Slide 17: Segmental Revenue Contribution
Segmental Revenue Contribution 9M FY20 Revenue 831 mn 9M FY21 Revenue 931 mn Vegetables Bajra Vegetables Bajra Selection Rice 2% 2% 2% Selection Rice 3% 7% 10% Hybrid Rice 10% Hybrid Rice Cotton 14% 47% Cotton 54% Maize 20% Maize Others 20% Others 5% 23% 16
Slide 18: R&D
R&D Efforts in R&D during the 9M have led to the following crop wise performance where new products are concerned The contribution from new products has gone up to 27.20% of volume in 9MFY21 (from 24.55% in 9MFY20) New products include KCH 111, money maker, VIPLAV Benefits – Higher Yield Advantage
Slide 19: Outlook
Outlook Field Vegetables The Company plans to increase non-cotton Vegetable seeds market in India is currently revenue share to 60% from current 53% over valued at INR30b+ and is growing at 20% run the long term rate. Current market share of KSCL is very low. Kaveri targets to gradually improve
Slide 20: Q3 & 9MFY21 Performance
Q3 & IMFY21 Performance Ge kaveri seeds
Slide 21: Q3 & 9MFY21 Performance Review
Q3 & 9MFY21 Performance Review Standalone Consolidated Growth Growth Growth Growth Rs. lakhs Q3FY21 Q3FY20 9MFY21 9MFY20 Q3FY21 Q3FY20 9MFY21 9MFY20 (%) (%) (%) (%) Net Sales 10,007.43 9,844.44 1.66 93,190.27 83,133.92 12.10 11,854.80 12,198.84 (2.82) 97,205.29 86,722.61 12.09 Cost of Production 4,9
Slide 22: Cash investments as on December 2020
Cash investments as on 31 December 2020 All figures based on cost Fund House Liquid Liquid Plus FMP Shortterm Medium Grand Total ASK 2,293 2,293 Rs.in Lakhs AXIS 2,100 2,100 BIRLA 2,100 700 1,220 4,020 BOB 750 750 FRANKLIN 500 500 HDFC 1,500 3,800 5,300 ICICI 4,044 2,210 6,255 IDFC 2,000 2,000 INVES
Slide 23: The Kaveri Moat: Seeding Profitable Growth
The Kaveri Moat: Seeding Profitable Growth Strong P&L record, Cash rich, consistent Leadership in key crops: Top 5 Rank dividend paying Diverse Product portfolio addressing crop Benchmark R&D: Comprehensive germplasm rotation & shift repository Market adjacent, Pan- India Operations with Brand Salie
Slide 24: Investor Contacts
Investor Contacts For further information, please contact: Tel: +91 40 4919 2345 C. Mithun Chand Fax: +91 40 2781 1237 Executive Director, Kaveri Seeds # 513 B, 5th Floor, Minerva Complex, S.D.Road, Secunderabad -500 003 www.kaveriseeds.in Gavin Desa +91 22 6645 1237 CDR India gavin@cdr-india Rishab
Slide 25: Thank You
Thank You kaveri seeds
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