Tilaknagar Industries Limited · NSE:TI
Tilaknagar Industries — Q1 FY25 Earnings Presentation
28 slides from Tilaknagar Industries's earnings presentation, Aug 12, 2024
Slide 1: Earnings Presentation – Q1 FY25
Tilaknagar Industries Limited Earnings Presentation – Q1 FY25 Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 2: 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 3: Q1 FY25 Performance
Q1 FY25 PERFORMANCE Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 4: Q1 FY25 – Key highlights
Q1 FY25 – Key highlights Financial performance: ▪ Achieved highest ever Q1 EBITDA at Rs. 50.2 crs, YoY growth of 30.8% ▪ EBITDA margin at 16%, 341 bps expansion YoY ▪ Profit after tax at Rs. 40.1 crs; YoY growth of 55.7% ▪ Gross debt reduction of Rs. 22.3 crs in the quarter, net debt at Rs. 42.6 crs
Slide 5: Management commentary on performance
Management commentary on performance “ Happy to share that we have reported our highest ever Q1 EBITDA at Rs. 50 crs with margins expanding 341 basis points to 16%, despite facing a challenging “ Mr. Amit Dahanukar, Chairman & Managing Director operating environment, which was on expected lines on a
Slide 6: Q1 FY25 – Financial performance
Q1 FY25 – Financial performance NSR (₹ per case) Revenue (₹ crs) Quarter Full Year Quarter Full Year +0.2% +7.1% +19.7% +3.0% 1,249 1,252 313 1,394 304 1,300 1,500 1,200 1,400 1,197 1,282 340 1,400 1,100 1,300 1,200 290 1,300 1,200 1,164 1,000 1,100 240 1,100 1,000 900 1,000 190 900 900 800 800 140
Slide 7: Q1 FY25 an aberration due to industry-wide disruptions
Q1 FY25 an aberration due to industry-wide disruptions… …strong growth trajectory to return to past levels going forward TI was the fastest growing IMFL company of scale in FY23 and FY24 Quarterly volumes (lacs cases) 29.5 28.4 28.5 28.5 26.0 25.4 24.3 25.1 19.5 18.5 17.6 18.118.7 17.7 16.517.2 14.7
Slide 8: Debt reduction journey
Debt reduction journey Debt Journey (₹ Crs)(a) Debt as of 30-June-24 (₹ Crs)(a) Prepaid ₹ 20 crs of Kotak term loan in Q1 FY25 1,200 1,119 1,000 15.8 0.5 37 800 66 600 543 492 449 16 400 361 43.2 250 239 37.6 188 164 182 200 119 136 141 119 97 74 43 0 Kotak Term Loan Vendor Financing Trade Deposits
Slide 9: Income Statement
Income Statement Particulars (₹ Crs) Q1 FY25 Q1 FY24 Y-o-Y Q4 FY24 Q-o-Q Revenue from Operations (Gross) 664.9 640.0 3.9% 770.6 -13.7% Excise Duty 351.7 335.9 4.7% 411.8 -14.6% Revenue from Operations (Net) 313.2 304.1 3.0% 358.8 -12.7% Cost of Material Consumed 167.6 150.2 11.6% 182.4 -8.1% Change
Slide 10: Key strategic priorities
Key strategic priorities… Enhanced Category operating ownership management ▪ Brandy price ▪ Better growth laddering ▪ Better margins ▪ Investment in marketing Stronger Calibrated Balance Sheet flanking ▪ Disciplined debt ▪ Incrementally looking management at opportunities ▪ Focus on efficient levels
Slide 11: Meeting need gaps across premium price points in brandy
Meeting need gaps across premium price points in brandy… …Puducherry is the first state for launch of Mansion House Chambers Offerings across multiple P&A segments in Brandy Mansion House Courrier Napoleon Mansion House Mansion House Courrier Napoleon Chambers Brandy Green Flandy Brandy Brandy Red +
Slide 12: Courrier Napoleon Brandy becomes 3rd fastest growing spirits brand globally in 2023
Courrier Napoleon Brandy becomes 3rd fastest growing spirits brand globally in 2023… ...Mansion House Brandy 4th fastest growing brandy brand globally and largest selling brandy in India Growth rankings Volume rankings 4th 21th 1st 2nd 8th 25th Fastest Fastest Largest Largest Largest selling Largest
Slide 13: Marketing Initiatives
MARKETING INITIATIVES Giving Brandy a ‘share of voice’ commensurate to its ‘share of market’ Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 14: The Warm Embrace of Fatherhood
“The Warm Embrace of Fatherhood” An ode to celebrating the #DadInEveryMan Performance Marketing Father’s Day DVC activation on Campaign Results all MH Social channels Total Reach 15.92 Mn+ Total Impressions “From bedtime stories to life lessons, a 31.25 Mn+ Father's love is a Father's love - irrepla
Slide 15: Campaign Awards and Accolades
A Warm Welcome ‘A Warm Welcome’ – Mansion Campaign House Brandy’s brand proposition, Awards and a first step towards giving brandy the “share of voice” commensurate Accolades to its “share of market” The Video Media Awards and Summit 2024 Masters of Modern Marketing Awards 2024 Marketers Excellence
Slide 16: Campaign Awards and Accolades
Welcome the Now TI’s first large scale brand anthem, launched across digital platforms. Campaign ‘Welcome The Now’ – Mansion Awards and House Flandy’s brand proposition, giving brandy a more aspirational, Accolades fun, inclusive and versatile positioning Masters of Modern Marketing Awards 2024 Vide
Slide 17: Awards & Recognition
AWARDS & RECOGNITION Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 18: Multiple awards at the Spiritz Conclave & Achievers' Awards 2023
Multiple awards at the Spiritz Conclave & Achievers’ Awards 2023 Leader of the year Company of the year Brand promotion – Digital space Tilaknagar Industries Ltd. 18
Slide 19: Company & Industry Overview
COMPANY & INDUSTRY OVERVIEW Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 20: About the Company
About the Company Largest brandy manufacturer in India with presence across all segments of IMFL 1933 17 15+ 94% 11.2mn 86% 90 years since Manufacturing units incorporation & 50+ across 10 states Brands across Share of sales to years of experience in Owned: 4 units products Share of Brandy as % Volu
Slide 21: Our journey
Our journey The turnaround well and truly coming to fruition 1933-2007 2008-2014 2014-2017 2018 onwards o Founded in 1933 as Maharashtra o Acquired subsidiaries Vahni o Expansion project at Prag stalled o Restructuring of debt completed with Sugar Mills Ltd. (MSML) to Distilleries (Karnataka), Prag
Slide 22: Brand portfolio
Brand portfolio New Launch India’s first premium Super-Premium Mansion House Mansion House Courrier Napoleon flavoured brandy ₹ 1,000 & Above Reserve Brandy Chambers Brandy Green Mansion House Flandy Premium / Semi- Premium #1 Premium Brandy in India Mansion House Gold Blue Lagoon ₹ 700-1,000 Mansio
Slide 23: Two millionaire brands in the portfolio
Two millionaire brands in the portfolio MANSION HOUSE COURRIER NAPOLEON India’s largest Our second selling brandy Millionaire brand COURRIER NAPOLEON – OUR 2nd MILLIONAIRE BRAND Achieved millionaire status in FY23 (1.2 mn cases sold in FY23; 50% growth over FY22) Drink responsibly: The consumption o
Slide 24: Senior management
Senior management Amit Abhinav Ameya Tarun Dahanukar Gupta Deshpande Behl Chairman & CFO President – Strategy & Corp Dev Vice President – Works Managing Director Previously CFO with Trident Limited Previously Investment Banker with 23+ yrs of alcobev experience Deutsche Bank and BNP Paribas & In Uni
Slide 25: Full Year Financials
FULL YEAR FINANCIALS Drink responsibly: The consumption of alcoholic beverages should always be approached responsibly and with awareness.
Slide 26: Improving business fundamentals
Improving business fundamentals Premiumisation strategy to enhance margins and cash flows Total Volumes Sold (mn cases) Brandy Sales (mn cases) Share of Brandy to total volumes sold 89% 91% 92% 94% 93% 94% 12 10.44 10 8.98 12 11.16 9.64 6.33 8 10 5.92 5.86 8 6.64 6.44 6.73 6 5.03 6 5.45 4 4 2 2 0 0
Slide 27: Focus on margins and cashflows
Focus on margins and cashflows Net Revenues (₹ Crs) EBITDA (₹ Crs) and Finance Cost (₹ Crs) and EBITDA Margin (%) As % of Net Revenues 1600 26.5 1,394 1400 14.3 13.3 1,164 11.8 1200 9.9 19.8 8.1 1000 783 12.9 800 661 653 600 549 56 54 112 137 185 7.9 -52 400 3.5 200 1.9 -8.0 184 129 71 62 40 27 0 FY
Slide 28: Thank You
For further information, please contact: Company : Tilaknagar Industries Ltd. (BSE: 507205 | NSE: TI) Ameya Deshpande President – Strategy & Corporate Development Email: adeshpande@tilind.com Investor Relations Advisors : CDR India Mr. Siddharth Rangnekar Mr. Mitesh Jain +91 97699 19966 Siddharth@cd
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