Prataap Snacks Ltd. · NSE:DIAMONDYD

Prataap Snacks — Q2 FY22 Earnings Presentation

34 slides from Prataap Snacks's earnings presentation, Nov 11, 2021

  1. Slide 1: Exchange filing cover letter

    I rafoaP Ref. No.: PSL/202 1 -22/CS/SE/54 Date: 1 11h November, 2021 To, To, Listing Department Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, 5 1 Floor, P.J. Towers, Plot No. C/i, G Block, Dalal Street, Bandra Kurla Complex, Mumbai- 400 001 Ba

  2. Slide 2: Q2 & H1 FY22 - Results Presentation

    Q2 & H1 FY22 - Results Presentation November 2021

  3. Slide 3: Disclaimer

    Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties, like regulatory changes, local political or economic developments, and many other factors that could cause our actual results to differ ma

  4. Slide 4: Contents

    Contents Q2 & H1 FY22 Results 4 Company Overview 15 Industry Overview 29 3

  5. Slide 5: Q2 & H1 FY22 Results

    Q2 & H1 FY22 Results 4

  6. Slide 6: Financial Overview

    Financial Overview In Q2 FY22, PSL reported:  Revenue of Rs. 3,705.8 million, registering growth of 13.4% yoy  Operating EBITDA of Rs. 241.8 million, translating to a margin of 6.5%  PAT stood at Rs. 146.9 million with margins at 4.0%  EPS (Diluted) stood at Rs. 6.26 per share In H1 FY22, PSL re

  7. Slide 7: Operational Overview

    Operational Overview  Delivered healthy revenue growth during the quarter driven by steady recovery in the overall macro environment o Sales volumes across several product categories other than Rings have surpassed pre-Covid levels led by rebound in consumption following lifting of major restrictio

  8. Slide 8: Operational Overview

    Operational Overview  Continue to face elevated palm oil prices and other key raw materials, partially countered by initiatives undertaken o Average cost of palm oil during Q2 FY22 is higher by 34% yoy leading to adverse impact of ~600 Bps on EBITDA o Witnessing escalation in other materials such a

  9. Slide 9: Drivers for Top Line growth

    Drivers for Top Line growth Unlocking of Improved Restrictions Distribution Reach  Most of our key point of sales have re-opened and  Progressive implementation of tele-calling has helped have contributed to the recovery in sales and in improving distribution efficacy volumes  Have increased the

  10. Slide 10: Measures To Enhance Profitability and Returns

    Measures To Enhance Profitability and Returns Bottom slicing  Identified reasons for lower volumes and worked on levers to Compressing of Distribution enhance the same Structure  Discontinued less popular products which will save on  PSL is implementing direct distribution indirect costs from its

  11. Slide 11: MD & CEO's Message

    MD & CEO’s Message Commenting on Q2 & H1 FY22 performance, Mr. Amit Kumat - Managing Director & CEO, Prataap Snacks Limited said: “I am pleased to share that we have delivered growth of 13% in revenues during the quarter. As economic activities have regained momentum, we witnessed healthy recovery a

  12. Slide 12: Abridged P&L Statement

    Abridged P&L Statement Y-o-Y Y-o-Y Particulars Q2 FY’22 Q2 FY’21 H1 FY’22 H1 FY’21 Change (%) Change (%) Income from Operations 3,705.8 3,267.0 13% 6,502.0 5,224.3 24% Raw Material Cost 2,663.4 2,289.9 16% 4,788.8 3,695.1 30% Gross Profit 1,042.4 977.1 7% 1,713.2 1,529.2 12% Gross Margins 28.1% 29.9

  13. Slide 13: Financials – Q2 & H1 FY'22 Performance

    Financials – Q2 & H1 FY’22 Performance Income From Operations Gross Margin (%) Gross Margin Margin (%) 3,705.8 6,502.0 1,042.4 1,713.2 13.4% 977.1 24.5% 3,267.0 29.9% 1,529.2 5,224.3 28.1% 29.3% 26.4% Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 ▪ Income from operations in Q2 FY’2

  14. Slide 14: Financials – Q2 & H1 FY'22 Performance

    Financials – Q2 & H1 FY’22 Performance EBITDA Margin (%) PAT Margin (%) 241.8 352.6 146.9 131.0 6.1% 233.5 4.0% 315.9 5.4% 2.0% 7.2% 84.4 2.6% 6.5% 24.8 0.5% Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 ▪ EBITDA for Q2 FY’22 grew by 4% Y-o-Y to Rs. 241.8 mn ▪ EBITDA margins impact

  15. Slide 15: Financials – Q2 & H1 FY'22 Performance

    Financials – Q2 & H1 FY’22 Performance Cash Profit Cash EPS 380.6 16.2 303.1 12.9 271.7 11.6 220.4 9.4 Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 Q2 FY21 Q2 FY22 H1 FY21 H1 FY22 ▪ The Company follows a conservative accounting policy and is amortizing intangible assets of Avadh Snacks ▪ A lateral benefit has be

  16. Slide 16: Company Overview

    Company Overview 15

  17. Slide 17: Prataap Snacks at a Glance

    Prataap Snacks at a Glance Over Approx SKUs Manufacturing packets sold 7 year revenue Facilities* per day CAGR Over Reach of over Retail In Rings Super Stockists Distributors Touchpoints 16 *[7 Inhouse plants and 8 contract manufacturing units (3P)]

  18. Slide 18: Diverse Product Portfolio

    Diverse Product Portfolio CUP CAKE, RINGS, KURVES & TIFFIN CAKE, NAMKEEN & POTATO CHIPS CHULBULE NAMKEEN PELLET SNACKS PUFF SANDWICH CAKE FRYUMS & SWISS ROLL  Potato based  Rice grit &  Corn grit  Gram and  Wheat based  Cake  Namkeen snack Corn grit based snack other lentils  SKUs: 25 variat

  19. Slide 19: Avadh Snacks

    Avadh Snacks Product Portfolio Fastest growing and fourth Namkeen Fryums largest snacks player in Gujarat ~6% market share in Gujarat, one of the largest market 25% revenue CAGR over the past 5 years Key Products: Bhavnagri Gathiya, Sada Key Products: Tomato Cup, Salted reffil, Mamra, Papdi Gathiya,

  20. Slide 20: Avadh Snacks - Unique Business model & Expansion plans

    Avadh Snacks - Unique Business model & Expansion plans Business Model Expansion plans Avadh has a Unique Business model •Super Value Player offering higher Increased capacity of value for Money to consumers. Rajkot facility by 50% in Q1 FY21 Pan India Direct Distribution model expansion To expand Av

  21. Slide 21: Sweet Snacks Portfolio

    Sweet Snacks Portfolio Center Filled Choco Vanilla Sandwich Cookie-Cake Yum Cake Tiffin Cake Swiss Roll Cup Cake Cake Cake SKU's - 3 SKU's - 2 SKU's - 1 SKU's - 1 SKU's - 1 SKU's - 3 SKU's - 2 Target Target Target Target Target Target Target group - group - group - group - group - grou

  22. Slide 22: Track Record of Innovation (1/2)

    Track Record of Innovation (1/2) Introduction of Yoodles and Creamy Introduction Sticks Introduction of Rings, of Scoops 2016 Namkeen 2015 and Wheels 2014 Ring 2013 Namkeen • Mango Chutney 2012 Namkeen • Chana Choor • MRP 15/- pack with bigger toys 2010/11 Namkeen • Garlic Sev Mamra 2009/10 Potato C

  23. Slide 23: Track Record of Innovation (2/2)

    Track Record of Innovation (2/2) Launched Swiss Rolls Launched Plain Cut under Rich Feast Launched Chips, Nachos, and Rusk, Kurves Launched Yum Launched Cup Cake, Cake, Cookie Cake Puchka Launched Yum- Tiffin Cake and Pie, a variety of and Choco Vanilla Sandwich Cake Introduction of 2022 sweet snack

  24. Slide 24: Key Milestones

    Key Milestones Launched Plain Guwahati new plant Entered into 3P Cut Chips Sequoia’s initial Contract Doubled the commissioned investment of Rs. Manufacturing Rusk capacity of Potato Prakash Snacks 620 mn in Karjat & Installed Chips plant at Conversion of incorporated. Prataap Snacks Introduction of

  25. Slide 25: Pan India Presence

    Pan India Presence Strategically located Manufacturing facilities to cater the regional demand No. of Facilities Products Kashipur No. of Facilities Products 1 - Contract Facility Chips, Namkeen, Pellet Hissar & 1 1 – Contract Facility Extruded Snacks, Pellets, Chulbule Karnal No. of Facilities Prod

  26. Slide 26: Guided by an Accomplished Board

    Guided by an Accomplished Board Arvind Mehta Chairman & Executive Director Over 32 years of experience in real estate business along with over 17 years in the snacks food industry and in the financing business Vineet Kumar Kapila Mr. V.T. Bharadwaj Amit Kumat Independent Director Independent Directo

  27. Slide 27: Helmed by a Professional Management Team

    Helmed by a Professional Management Team Mr. Arvind Mehta Over 32 years of experience in real estate business along with over 17 years in the Chairman & Executive snacks food industry and in the financing business Director Corporate functions Mr. Amit Kumat Managing Director and Chief Over 25 years

  28. Slide 28: Helmed by a Professional Management Team

    Helmed by a Professional Management Team Mr. Subhash Bhatt He holds bachelor degree in Technology. He has over 25 years of experience in the Vice President - Operations snacks food industry and worked with Prakash Snacks and Hello Agro Corporate functions Qualified from University of Agricultural Sc

  29. Slide 29: Helmed by a Professional Management Team

    Helmed by a Professional Management Team Mr. Mahesh Purohit He holds bachelor degree in Commerce. He has over 24 years of experience in the General Manager Sales - FMCG industry and worked with Parke-Davis, BPL Synergy and Candico Corporate functions West He holds bachelor degree in Commerce. He has

  30. Slide 30: Industry Overview

    Industry Overview 29

  31. Slide 31: Favourable Demographics Supporting Industry Growth

    Favourable Demographics Supporting Industry Growth POPULATION TREND (BILLIONS) INDIA’S ANNUAL CONSUMER 1.411 EXPENDITURE (RS. TRILLION) 1.397 1.366 1.380 22 1.338 1.352 21 1.324 21 1.310 20 1.278 1.293 20 20 1.263 19 19 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 MAR-18 JUL-18 OCT-18 JAN-

  32. Slide 32: Sweet Snacks Industry – Characteristics

    Sweet Snacks Industry – Characteristics Organized Sweet Snacks (Cakes & West is pies): Rs.2,200- 2,500 crore growing fast 20% now N Limited Highly under vegetarian options penetrated in Cake category 15% W Market E 50% Very few national Growing at fast S players pace 15% 31

  33. Slide 33: About Prataap Snacks Ltd.

    About Prataap Snacks Ltd. Prataap Snacks Limited (PSL) is a leading Indian Snacks Food Company. It offers multiple variants of products across categories of Potato Chips, Extruded Snacks, Namkeen Sumit Sharma (traditional Indian snacks) under the popular and vibrant Yellow Diamond and Avadh Prataap

  34. Slide 34: Thank You

    Thank You 33

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