Sundrop Brands Limited Shs Dematerialised · NSE:SUNDROP
Sundrop Brands Limited Shs Dematerialised — Agro Tech Foods — Investor Presentation (November 2021)
28 slides from Sundrop Brands Limited Shs Dematerialised's investor presentation, Nov 30, 2021
Slide 1: Regulation 30 disclosure letter to stock exchanges
30th November, 2021 The Manager, The Manager BSE Limited, Listing Department Floor 25, Pheroze Jeejeebhoy Towers, National Stock Exchange of India Limited Dalal Street, Exchange Plaza, Bandra-Kurla Complex, Mumbai - 400 001. Bandra (E), Mumbai – 400 051. Ph. No. 022- 22721233 / 22721234 Ph.No. 022-
Slide 2: Agro Tech Foods Limited Analyst Meet
Agro Tech Foods Limited Analyst Meet November 30th, 2021
Slide 3: Company Strategic Vision
Company Strategic Vision The Best Performing Most Respected Foods Company in India 2
Slide 4: ATFL – The Last 12 Months
ATFL – The Last 12 Months • Significant transformation of the Company with increasing share of Foods and consequently improved Gross Margin visibility. • Two major decisions in FY’21 producing strong results – • Decision to increase Media support helping to continue delivering growth in FY’22 despit
Slide 5: Ready to Cook Snacks – Current Status
Ready to Cook Snacks – Current Status RTC Q1 Q2 YTD FY’22 Volume +36% +11% +21% Value +39% +12% +23% • RTC Popcorn continues to stay in growth mode despite elevated bases–sustained media support since May ’20 & 2nd Wave. Judicious pricing taken. • Presence in Sweet Corn now established. Headroom was
Slide 6: Ready to Cook Snacks – Way Forward
Ready to Cook Snacks – Way Forward • Leverage architecture to establish leadership in the unmet consumer need of Meal & Snack Kits. Position Sundrop Ambient Mini Meal Kits between restaurants/food delivery and in home cooking/masala snacks. • Scale up current offerings of Pasta & Pad Thai Noodles. F
Slide 7: Ready to Eat Snacks – Current Status
Ready to Eat Snacks – Current Status YTD RTE Q1 Q2 FY’22 Volume +1% +18% +11% Value +9% +15% +13% • Clear recovery with lower Covid19 threat perception. • YTD Value Growth reflects stronger performance of Popcorn with higher Net Sales realization and changes in Go To Market in July 2020. • Price inc
Slide 8: Ready to Eat Snacks – Way Forward
Ready to Eat Snacks – Way Forward • Restore Gross Margin of existing portfolio through Grammage/Pricing and appropriate changes in input RM/PM. • Reduce Freight by driving Volumes towards 32 Feet Containers. • Upgrade Margin Profile through Value Added introductions – Leverage protein expertise of P
Slide 9: Spreads & Dips – Current Status
Spreads & Dips – Current Status Spreads Q1 Q2 YTD FY’22 Volume +12% +6% +9% Value +15% +7% +10% • Repositioned premium of primary competitor at Rs. 175 through resizing/pricing. • Threat from players at c Rs. 100 price point addressed through introduction of Nut Fest peanut butter. • Execution of pr
Slide 10: Dips, Spreads & Dressings – Way Forward
Dips, Spreads & Dressings – Way Forward • Establish a proposition for High Protein Peanut Butter and other High Protein Spreads. • Expand distribution of Chocolate Spreads. Continue to avoid undifferentiated categories such as Honey and Jams. • Expand distribution of Hummus while using the beach hea
Slide 11: Breakfast Cereals – Current Status
Breakfast Cereals – Current Status Cereals Q1 Q2 YTD FY’22 Volume +82% +55% +65% Value +60% +36% +45% • Initial acceptance of Popz as a Cereal Snack achieved – expansion into Primary Category commenced – reflected in Larger Pack offerings. • Some disruption due to Covid19 on market working. With a t
Slide 12: Breakfast Cereals – Way Forward
Breakfast Cereals– Way Forward • Extruded Cereals: • Expand distribution with re-opening of the economy. Leverage retail capabilities and product price point offerings. • Execute changes in Product Price Architecture with increased offerings in Large Packs (Cereal Snacks - Breakfast Cereals). • Oats
Slide 13: Chocolate Confectionery – Current Status
Chocolate Confectionery – Current Status Chocolates Q1 Q2 YTD FY’22 Volume +105% +534% +296% Value +149% +768% +422% • Combination of a large category, differentiated product and SKU’s at attractive price points make this the easiest ramp up of any product launched by ATFL. • Quadrupling of Capacity
Slide 14: Chocolate Confectionery – Way Forward
Chocolate Confectionery– Way Forward • Scale up the Coconut Center based offering and capitalize on first mover advantage. Quadrupling of capacity initiated and assess additional requirements basis in market performance. • With increased GM certainty (higher share of Foods, less attrition in Edible
Slide 15: Diversified Portfolio for Profitable Growth
Diversified Portfolio for Profitable Growth Portfolio spanning Multiple Categories/Price Segments 14
Slide 16: Edible Oils – Current Status
Edible Oils – Current Status Premium Oils Q1 Q2 YTD FY’22 Volume -12% +4% -4% Value +20% +36% +28% Mass Oils Q1 Q2 YTD FY’22 Volume -71% -51% -62% Value -50% -26% -38% • Premium Oils up 4% Volume in Q2 –close to mid single digit growth. • Reduction of Mass Oils volume in line with overall planning.
Slide 17: Edible Oils – Way Forward
Edible Oils – Way Forward • Build on price correction in Premium Oils to deliver mid single digit growth on a sustained basis. • Reduce Volatility impact of Commodity Prices on Revenues through gradual phasing out of Mass Oils: • Crystal moved to Franchising Model w.e.f. November 1st, 2021. FY’22 Sa
Slide 18: Competitive Update
Competitive Update (as of 30th September 2021)
Slide 19: Snacks: Competition Spends
Snacks: Competition Spends Rs. Million F-17 F-18 F-19 FY20 Q1-21 Q2-21 Q3-21 Q4-21 FY21 Q1-22 Jul-21 Aug-21 Sep-21 Q2-22 ACT II 110 74 38 45 13 32 20 30 95 18 10 10 10 31 Lays 148 374 252 491 28 83 79 145 335 238 78 54 70 202 Kurkure 196 260 396 321 0 61 111 64 237 98 15 1 49 65 Doritos 0 128 150 25
Slide 20: Spreads: Competition Spends
Spreads: Competition Spends Rs Million F-13 F-14 F-15 F-16 F-17 F18 F-19 FY-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Jul'21 Aug'21 Sep'21 Q2-22 Kissan Jam- 254 207 304 381 357 512 704 752 218 218 110 134 679 156 55 50 50 154 Kissan PB 101 95 196 109 35 29 64 129 Sundrop PB 0 0 42 64 56 30 16 20 8 18 1
Slide 21: Breakfast Cereals: Competition Spends
Breakfast Cereals: Competition Spends Jul’ Aug’ Sep’ Q2- Rs Million FY-17 FY-18 FY-19 FY-20 Q1-21 Q2-20 Q3-21 Q4-21 FY-21 Q1-22 21 21 21 22 Kelloggs Cornflakes - 202 265 390 230 7 118 88 142 355 124 42 33 50 124 Total Kelloggs Chocos Fills 0 125 203 17 0 0 9 0 9 0 0 0 0 0 Kelloggs Chocos - 310 362 5
Slide 22: Chocolates: Competition Spends
Chocolates: Competition Spends Final Brand ( In Million) FY- 18 FY- 19 FY-20 Q1 Q2 Q3 Q4 FY-21 Q1-22 Jul-21 Aug-21 Sep-21 Q2-22 Cadbury 5 Star 744 482 727 102 192 385 281 960 150 53 80 142 276 Cadburys Celebration 138 212 277 0 79 320 0 399 0 56 0 56 Dairy Milk 2229 2166 2362 209 915 1082 771 2978 8
Slide 23: Edible Oils: Competition Spends
Edible Oils: Competition Spends Jul’ Aug’ Sep’ Rs Million F-12 F-13 F-14 F-15 F-16 F-17 F-18 F-19 FY-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Q2-22 21 21 21 Sundrop Heart 88 94 50 65 46 34 21 0 0 0 0 0 0 0 0 0 0 0 0 Saffola 121 212 356 291 338 320 588 544 527 114 145 61 81 400 116 69 2 15 86 Fortune 0
Slide 24: Noodles: Competition Spends
Noodles: Competition Spends Tracked Brands (in Million) Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1- 22 Jul’21 Aug’21 Sep’21 Q2-22 Chings Noodles 17 2 19 20 0 40 0 Wai Wai 0 0 0 1 17 19 6 Knorr Soupy Noodles 0 0 140 0 0 140 0 Sunfeast Yippee noodles 81 168 85 336 57 647 185 21 24 110 155 Sunfeast Yippee
Slide 25: Pasta: Competition Spends
Pasta: Competition Spends Tracked Brands (in Million) Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1- 22 Jul’21 Aug’21 Sep’21 Q2-22 Bambino Pasta 0 0 0 0 0 1 0 0 Sunfeast Yippee pasta 0 0 90 1 1 93 0 0 1 1 Keya Italiano Pasta 2 0 0 0 0 0 0 0 Maggi Pazzta 0 0 0 24 26 50 1 0 Maggi Pazzta Cheese Macaroni 0 0 0
Slide 26: Soups: Competition Spends
Soups: Competition Spends FY- Tracked Brands (in Million) Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Jul-21 Aug-21 Sep-21 Q2-22 21 Ching’s Instant Soups 3 0 37 29 1 66 0 3 3 0 5 Eastern Instant Rasam 1 1 8 0 0 9 0 0 0 0 0 Knorr Chicken Delite Soup 8 19 23 42 23 107 8 8 7 8 22 Knorr Chinese Manchurian 6 0 5
Slide 27: ATFL – The Highway Ahead
ATFL – The Highway Ahead • Continue to drive growth through steady investment in current food businesses – Ready to Cook Popcorn, Peanut Butter. • Scale up new businesses – Chocolates, Breakfast Cereals, Chocolate Spreads and Meal/Snacking Kits. • Steadily build existing Adjacencies while seeding ne
Slide 28: Company Strategic Vision
Company Strategic Vision The Best Performing Most Respected Foods Company in India 27
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