Slide 1: Cover letter to stock exchanges: submission of earnings presentation
Regd. & Admn. Office : Bengaluru Road Varur HUBBALLI - 581 207 Karnataka State Phone : 63661 19394 Fax : 0836 2237614 e-mail : varu rho@vrllog istics.com To, BSE Limited Natlonal Stock Exchange of lndia Limited Phiroze Jeejeebhoy Towers Exchange Plaza, Plot No.C/l, G-Bloclg Dalal Street Bandra - ltu
Slide 2: Earnings Presentation: VRL Financial Results FY 2021-22
EARNINGS PRESENTATION VRL Financial Results - FY 2021-22 May 27, 2022 1
Slide 3: • Certain statements contained in this document may be statements of future expectations/forward looking
• Certain statements contained in this document may be statements of future expectations/forward looking statements that are based on management„s current view and assumptions and involve known and unknown risks and uncertainties that could cause actual results/performance or events to differ materi
Slide 4: Only Owned Asset organised player in Less than Truck load
Only “Owned Asset” organised player in Less than Truck load logistics business in India Pan-India surface logistics services provider with an established brand having one of the largest distribution networks in India Integrated hub-and-spoke operating model ensuring efficient consignment distributio
Slide 5: Key Differentiators
Key Differentiators India – 73% Goods transported by road Long Term Sustainability VRL Only “Owned Asset” organised player in LTL business in India Operating model Integrated hub-and-spoke operating model ensuring efficient consignment distribution VRL owns 4816 GT vehicles Operational
Slide 6: Key Differentiators
Key Differentiators More than 50% vehicles Fully Depreciated Lower Costs More than 90% vehicles Debt Free No Associated finance costs Financial performance & position Track record of growth and robust financial position EBITDA Margins @19.71% (Q4FY22) – amongst the best in the industry
Slide 7: Much lower debt level and efficient collections
Most efficient collection mechanism • Insignificant bad debt on a turnover of ~ 2400+ crores • Hardly any collectible more than 90 days. Procurement of diesel directly from Refineries by establishing own fuel pumps in key locations to optimize the fuel cost which is major portion of our operatin
Slide 8: Financial Performance Update - Q4 & FY 2021-22
Financial Performance Update - Q4 & FY 2021-22 7
Slide 9: Notes to audited financial results
1) The above Statement of Audited Financial Results ("Financial Results") for the quarter and year ended 31 March 2022, are prepared and published in accordance with Regulation 33 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015, as amended. These financial results have
Slide 10: Consolidated results Q4 and FY22 summary
Revenue at 67174.92 lakhs Revenue at 241046.54 lakhs EBITDA Margins at 19.71% EBITDA Margins at 17.46% EBIT Margins at 12.82% EBIT Margins at 10.5% PBT Margins at 11.03% PBT Margins at 8.71% PAT Margins at 8.36% PAT Margins at 6.64% Consolidated (INR in Q4 FY22 Q3 FY22 Q4 FY21 FY22 FY21 Lakhs) (Audi
Slide 11: Total Revenue and EBITDA with growth rates
Total Revenue (INR Lakhs) & Growth rate (%) 6.85% 9.34% 0.5% (17)% 36% 241047 193655 211747 212886 Total Revenue 177579 Growth (%) FY18 FY19 FY20 FY21 FY22 EBITDA (INR Lakhs) & EBITDA margin (%) 12.8% 11.9% 14.50% 14.66% 17.46% 42099 30859 24846 25192 26035 FY18 FY19 FY20 FY21 FY22 10
Slide 12: Business Segments Overview
Business Segments Overview 11
Slide 13: Business Segment Breakup
FY22 Revenue Segment (in Lakhs) Business Segment Breakup Bus Goods transport Operations 213738.24 9% Bus Operations 20483.75 Wind Wind Power 2525.69 power Transport of Passengers by Air 1113.38 Goods 1% Others 3185.48 Transport 89% .Transport TOTAL 241046.54 of Passenger Goods Transport Bus Operatio
Slide 14: Goods transport contributed ~89% of business in FY22
Contributed ~89% of business in FY22 Less than Truckload (LTL), Full Truckload (FTL) & Courier services Strong B2B focus across a broad range of industries and a diversified customer base. Hub & Spoke Model w ith Pan - India geographical presence Differentiated services offering Wide range of custom
Slide 15: Goods Transport Revenue breakup: focus on high margin LTL
Goods Transport Revenue breakup Focus on high margin LTL business • LTL involves transportation of consignments belonging to multiple customers in single vehicle. Less than • Our wider reach and adequate infrastructure helps in aggregating less than truckload truckload consignments from various clie
Slide 16: Market Leader in LTL segment
Hub-and-Spoke model to aggregate small parcels and maximize capacity utilization of its vehicles Percentagewise New Branches added in FY-2021-22 North Focus on increasing presence 18% in the North and Eastern South 38% Zones leads to 44% new branches addition in the East North & Eastern Zones in 26%
Slide 17: Goods Transport
Goods Transport INR in lakhs Q4 FY2021-22 Q3 FY2021-22 Q4 FY2020-21 FY2021-22 FY2020-21 Increase in volume and better (Audited) (Unaudited) (Audited) (Audited) (Audited) realisations leads to higher EBITDA margins Revenue 58762.39 59611.71 53577.39 213738.24 159275.00 Geographical Expansion EBITD
Slide 18: Goods transport revenue and EBITDA trend
Goods transport Revenue (INR Lakhs) & Growth (%) 6.39% 11.13% 2.25% (7.61%) 34.19% 213738 168602 172393 159275 151722 FY 18 FY 19 FY 20 FY 21 FY 22 Goods transport EBITDA (INR Lakhs) & EBITDA margin (%) 13.3% 16.73% 18.84% 12.3% 12.2% 40263 26641 20521 22930 18645 FY 18 FY 19 FY 20 FY 21 FY 22 17 17
Slide 19: Bus Operations contributes ~9% of total revenue
Contributes ~9%* of total revenue * Lower contribution owing to the pandemic Total Fleet Size 295 buses 295 buses Debt free Services in the state of Karnataka Andhra Pradesh, Telengana, Goa, Gujarat, Maharashtra Booking of tickets is facilitated by a wide network of agents, leading web based travel
Slide 20: Bus Operations
(INR in lakhs) Bus Operations Quarter ended Year ended 31.03.2022 31.12.2021 31.03.2021 31.03.2022 31.03.2021 Particulars (Audited) (Unaudited) (Audited) (Audited) (Audited) Revenue 6216.87 7483.40 5614.43 20483.75 13033.56 EBITDA 391.99 1107.73 (391.36) 1135.19 (591.58) 6.31% 14.80% (6.97%) 5.54% (
Slide 21: Sale of Power and Transport of Passengers by Air
(INR in lakhs) Sale of Power Quarter ended Year ended 31.03.2022 31.12.2021 31.03.2021 31.03.2022 31.03.2021 Particulars (Audited) (Unaudited) (Audited) (Audited) (Audited) Revenue 903.43 210.07 209.14 2525.69 1757.44 EBITDA - After Ind As 116 706.61 41.33 50.96 1826.77 1159.03 EBITDA Margin(%) 78.2
Slide 22: Own Vehicle Numbers
Own Vehicle Numbers Available Total Upto 2.5 tons 2.5 tons to 7.5 tons and Car Carrier TOTAL As of Capacity Tanker (2) Cranes (3) Vehicles BUSES (a) 7.5 tons above (1) FLEET (tons) Owned 31-Mar-18 150 960 2765 102 52954 17 13 4007 396 4403 31-Mar-19 257 1009 3004 102 64776 13 13 4398 381 4779 31-Mar
Slide 23: Goods transportation fleet and significance of own vehicles
Goods transportation fleet Significance of own vehicles 4816 owned vehicles as on Enables us to significantly control operational March 31, 2022 costs 4394 (91.24%) debt free vehicles Higher payload per vehicle for LTL consignments 2426 (50.37%) of Wide range of vehicles with Enables us to cov
Slide 24: Net Debt to Equity Gearing Ratio and return metrics
Net Debt to Equity Gearing Ratio 6278 12880 17706 10144 12990 22.30% 16.62% 14.52% 16.63% 9.57% 0.1 0.2 0.3 0.2 0.2 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 Net debt/Equity(x) Net debt position (Lakhs) Note : Debt for the above purpose includes non-current borrowings, current Return metrics
Slide 25: Trade receivable days
Trade Receiavable days • Trade receivables at 10 days of total revenue in FY22 16 15 15 14 14 • High-quality and diversified 13 customer base 10 • Efficient collection process • Conservative credit policy • Rotation of working capital FY16 FY17 FY18 FY19 FY20 FY21 FY22 24
Slide 26: Cash flow and Cash EPS
Net Cash generated from operations (Lakhs) 37076 25728 27162 FY20 FY21 FY22 Cash Flow increases 36 % YoY from 27162 lakhs to 37076 lakhs CASH EPS: Net Cash generated from operations / Number of shares 41.97 28.48 30.75 FY20 FY21 FY22 Healthy cash earnings per share indicates the company's ability to
Slide 27: Proposed capacity addition of 1,600 trucks
Proposed capacity addition 1,600 customized trucks comprising of 1,000 trucks of TATA LPT 2818 make, 200 trucks of TATA LPT 1415 make, 100 trucks of TATA 610 SFC make, 200 trucks of Ashok Leyland 1920 make and 100 trucks of Ashok Leyland 4620 make. Period within which capacity Fleet addition is expe
Slide 28: Key developments: new branches, vehicles, bio-fuel, EVs
Addition of 31 new branches in Q4FY22 and overall 91 new branches in FY22. Planning to expand network by opening new branches in untapped market. Number of GT Vehicles increased from 4575 in FY2020-21 to 4816 vehicles in FY2021-22. New vehicles added in Q1FY22- 54 vehicles, in Q2FY22- 138 vehicle
Slide 29: Continue to focus on higher margin LTL goods transportation
Continue to focus on higher margin & growth oriented LTL Goods Transportation segment Focus on increasing geographical presence in hitherto untapped markets. To garner higher freight volumes and maintain business operations with optimal capacity utilization and focus on higher margin parcel de
Slide 30: Fuel procurement, body design, maintenance and drivers
01 Fuel procurement strategies to reduce overall expense 02 Dedicated in-house maintenance body design facilities & vehicle • Procurement of fuel directly from refineries and • Preventive in-house maintenance private petroleum companies, program designed to increase the life of • Usage of Bio fuel (
Slide 31: Technology capabilities
ERP system: In-house developed ERP system ensuring real time operations and movement of consignments Operations Monitoring System : IT systems in place to monitor vehicle movement, fuel consumption per km for each vehicle , distance travelled , driver advances Advance Consignment Management system :
Slide 32: Chairman and Managing Director profiles
Dr. Vijay Sankeshwar Dr. Anand Sankeshwar Chairman and Managing Director Managing Director Honored with the Padma Shri Award (the fourth highest civilian award) on the eve of Republic Day, 2020 for Honorary Doctorate by Karnataka state open university. contribution to Trade and Industry Actively
Slide 33: Senior Management
Mr. K N Umesh Mr. Ramanand Bhat Executive Director Executive Director Mr. Sunil Nalavadi Mr. Aniruddha Phadnavis Chief Financial Officer Company Secretary & Compliance Officer Senior Management team has been associated with the Company for an average of over 20 years Mr. Sanganagouda Patil Mr. Ragha
Slide 34: Shareholding Pattern
1.56% Shareholding Pattern Promoter 3.62% 10.09% Mutual Funds 15.14% Foreign Portfolio Investors 69.59% General Public Others 33
Slide 35: Thanking You
THANKING YOU For further discussions/queries Please contact : Sunil Nalavadi Chief Financial Officer +91 93425 59298 cfo@vrllogistics.com