Lt Foods Limited · NSE:LTFOODS
Lt Foods — Q3 FY24 Earnings Presentation
36 slides from Lt Foods's earnings presentation, Jan 25, 2024
Slide 1: Exchange filing cover letter
Ref-LTF/ SE/ 2023-24/ Date: January 25, 2024 To, BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers Exchange Plaza, C-1, Block G, Dalal Street Bandra Kurla Complex, Mumbai- 400001 Bandra (E) Mumbai – 400 051 Sub: Investor Presentation Ref. Code: 532783. Scrip ID: LTFOODS Dea
Slide 2: Investor Presentation Q3 FY24
LT Foods Limited Nurturing Goodness Investor Presentation Q3 FY24 January 2024
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the ‘Presentation’), which have been prepared by LT Foods Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities
Slide 4: Table of Content
Table of Content 01 LT Foods at a Glance 02 Company Overview 03 9M & Q3 FY24 Results Highlights 04 Segment Wise Update & Outlook 05 Geography Wise Update & Outlook 06 Strategy & Outlook 07 Financial Highlights 08 Shareholding Pattern
Slide 5: LT Foods at a glance
LT Foods at a glance LT Foods is an Indian origin Global Consumer Food Company which deals in Basmati & Other Specialty Rice, Organic Food & Ingredients and Ready to heat/Ready to eat segments Sustainable Growth Power Brands Global Footprint Integrated Business Has a legacy of 70 years. Powerful bra
Slide 6: Our Brands
Our Brands We are LT Foods #1 basmati rice brand in One of the most loved and #1 basmati rice brand in North America consumed brands across Canada globe Organic ingredients brand Popular mid-range basmati Renowned economy basmati rice brand in middle east rice brand in middle east Staples brand in I
Slide 7: Global Footprint and Diversified Portfolio
Global Footprint and Diversified Portfolio Our diversified market presence as well as our balanced portfolio, serving a wider consumer audience, positions us to capitalize on emerging opportunities in the consumer food business Market share LT Foods UK expansion: 90,000 sq ft EU : 20% facility to b
Slide 8: Results Highlights
LT Foods Limited Nurturing Goodness Results Highlights 9M & Q3 FY24
Slide 9: FY24 Segment Highlights (YoY)
FY24 Segment Highlights (YoY) Basmati & Other Organic Food and Ready to Heat & Ready Specialty Segment Ingredient Segment to Cook Segment Q3FY24 9MFY24 Q3FY24 9MFY24 Q3FY24 9MFY24 Revenue 1,623 4,815 190 516 51 143 Volume Growth 7.3% 8.1% -0.9%* -12.8%* 39% 23.1% EBITDA Margin 14.8% 13.9% 8.9% 10.2%
Slide 10: Q3 FY24 Financial Highlights
Q3 FY24 Financial Highlights Revenue Gross Profit EBITDA Performance Commentary 11% 38% Revenue up 9% 9% Revenue up 9% y-o-y aided by accelerated brand investments and scaling of distribution in Basmati & 1,950 247 Other Specialty Rice segment 571 636 179 1,792 Q3FY23 Q3FY24 32.6% Gross profit margi
Slide 11: 9M FY24 Financial Highlights
9M FY24 Financial Highlights Revenue Gross Profit EBITDA Performance Commentary 4% 36% Revenue up 11% 11% Revenue up 11% y-o-y aided by accelerated brand investments and scaling of distribution in Basmati & 5,730 726 Other Specialty Rice segment 1,793 1,855 534 5,144 9MFY23 9MFY24 32.4% Gross profit
Slide 12: Improving Working Capital Cycle
Improving Working Capital Cycle Debtors Days Debtors Amount (Rs. Cr) 543 46 453 436 40 40 32 21 18 19 17 16 138 120 132 73 40 31 India Foreign Organic Dec 23' Sep 23' Dec 22' Dec-23 Sep-23 Dec-22 India International Organic Inventory Days Inventory (Rs. Cr) 2478 192 190 179 2159 158 146 1361 107 73
Slide 13: Segment Highlights
LT Foods Limited Nurturing Goodness Segment Highlights 9M & Q3 FY24
Slide 14: Basmati & Other Specialty Rice
Basmati & Other Specialty Rice Creating a fully integrated, global, strong, progressive, sustainable, profitable, and growing consumer business KEY METRICS 84% 18% 8% % of revenue Revenue growth YTD Y-o-Y* Volume growth YTD Y-o-Y FUTURE OUTLOOK Expected CAGR from FY25 to FY29 at 10% c Long term Outl
Slide 15: Basmati & Other Specialty Rice - Product Portfolio
Basmati & Other Specialty Rice-Product Portfolio INDIA PORTFOLIO INTERNATIONAL PORTFOLIO Health Premium range Economy range LT Foods Investor Presentation Q3 FY24
Slide 16: Organic Food and Ingredients
Organic Food and Ingredients To be a leader in organic produce with a strong focus on sustainability and finest processing output KEY METRICS 9% -17% -13% % of revenue Revenue growth YTD Y-o-Y* Volume growth YTD Y-o-Y* FUTURE OUTLOOK Expected CAGR from FY25 to FY29 at 10% Long term Outlook Mid term
Slide 17: Ready to eat & Ready to cook
Ready to eat & Ready to cook Continuous innovation to meet diverse needs of consumers across different categories to stay relevant KEY METRICS c3% 23% 23% % of revenue Revenue growth YTD Y-o-Y* Volume growth YTD Y-o-Y** FUTURE OUTLOOK Expected CAGR from FY25 to FY29 at 33% Long term Outlook Mid term
Slide 18: Ready to eat & Ready to cook - Product Portfolio
Ready to eat & Ready to cook-Product Portfolio Biryani Kit Cuppa Rice Rice Snacks Ready to heat LT Foods Investor Presentation Q3 FY24
Slide 19: Geography Highlights
LT Foods Limited Nurturing Goodness Geography Highlights 9M & Q3 FY24
Slide 20: India Business
India Business India Business Revenue 553 Growing and gaining market share • Revenue growing at a strong CAGR of 31.5% for value and a 20.5% for volume (3 years CAGR ) • Growing at 2x of the category, adding 350 bps to volume market share in the last 2 years c 535 • Growing 1.5X of category (CAGR 14
Slide 21: Distribution Network
Distribution Network Robust Distribution network to drive consumer reach & penetration and to strengthen our franchise Deeper penetration at the town level Deeper penetration at the Distributor level Started from the 1100 Towns in FY2022.Covered 1255 Towns in Started 60916 Outlets In FY2022. Rolled
Slide 22: Marketing Strategy
Marketing Strategy Marketing initiatives to further strengthen brand recall in consumer mind-space and gain more market share Strengthening Brand Equity Consumer Engagement for trials Improve market share in India Increase revenue share of NPD to 6% from 2% currently Extend into adjacencies Further
Slide 23: Biryani Kit Brand Initiatives across different platforms
Biryani Kit Brand Initiatives across different platforms Moment Marketing through Visibility Across Modern World Cup Social Media Campaign Influencers Retail Owning 30 min break before & mid-match to 6 Million+ Views Owning shelf space during establish product USP festive LT Foods Investor Presentat
Slide 24: Daawat Chunoge…toh farq dikhega
Launch of brand thematic campaign Daawat Chunoge…toh farq dikhega TV Digital Outdoor Influencers Integration POS Radio Campaign Campaign LT Foods Investor Presentation Q3 FY24
Slide 25: International Business
International Business International Business Revenue Solidifying leadership position and driving penetration 1068 in newer territories • Revenue growing at a strong CAGR of 18.4% for value for last 3 years • 9M YTD y-o-y growth has been a significant 21.1% c • Our basmati brand, Royale experienced
Slide 26: International Business
International Business North America Europe Middle East 12% 50% 12% 20% 40% 7% Revenue growth Market Share Revenue growth Market Share Revenue growth Market Share • Our basmati brand, Royale experienced a growth of • Build on ‘Daawat’ Brand awareness & penetration and • Focus is on increasing penetr
Slide 27: Strategy and Outlook
LT Foods Limited Nurturing Goodness Strategy and Outlook 9M & Q3 FY24
Slide 28: Strategic Priorities
Strategic Priorities Growth Margin Expansion Investing in Capabilities Being Responsible • Solidify our core business • Building economies of scale • Digital transformation • Embedding ESG in the and unlock synergies culture of the organisation • Innovating and expanding our product portfolio, by •
Slide 29: Convenience need
We are building Portfolio to meet diverse needs for all meal occasions Global appeal Simple Convenience Healthier High Breakfast Lunch & Dinner Anytime Snack Weekend/Celebrations On the Go -------------------- Ready to eat and ready to cook meal Basmati rice -------------------- Singles Cuppa rice:
Slide 30: Inorganic Growth Strategy
Inorganic Growth Strategy Past Acquisitions Acquisition Attributes Strengthen presence in existing and newer geographies 2007 2016 Acquired Royal brand in Americas to Acquired 817 Elephant brand to penetrate in the US markets strengthen its presence in Canada. Acquired Indus valley and Rozana brand
Slide 31: Investing in capabilities: Digital transformation
Investing in capabilities: Digital transformation Build Smart & Intelligent Enterprise which can Drive 1.5X ~ 2X Business VALUE LT Foods - Key Objective of Digitalization Enhance Stakeholder Experience People • Enable Revenue Growth Transforma • Create more value to Customer tion • Optimize & Ration
Slide 32: Capital Allocation Plan
Capital Allocation Plan We aim to balance the objectives of ploughing back earnings to support sustained growth and appropriate reward to shareholders through dividends Growth Dividend Utilizing the free cash flow generated for the growth in its Basmati and The Company strives to maintain a steady s
Slide 33: Financial Track Record
LT Foods Limited Nurturing Goodness Financial Track Record
Slide 34: Financial track record
Financial track record Revenue Gross margin EBITDA margin 19% CAGR 6,979 27% CAGR 2,402 14% CAGR 744 5,451 1,836 598 620 4,773 1,608 4,173 504 1,176 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 PAT margin EPS 29% CAGR 423 26% CAGR 12 309 10 289 9 199 6 FY2020 F
Slide 35: Shareholding Information
Shareholding Information Fll, 5.73% Shareholder Information Mutual Funds, 3.08% Shareholder Information as on December 31, 2023 as on September 30, 2023 BSE Ticker 532783 NSE Symbol DAAWAT Promoter, 51.00% Market Cap (₹ Cr)* 7,051 Others, 40.19% % Free- float 41.0% Free Float Market Cap (₹Cr) 2,891
Slide 36: Investor Contact
Ms. Monika Chawla Jaggia Investor Contact Monika.Jaggia@ltgroup.in 0124-3055159 ltgroup.in CIN: L74899DL1990PLC041790 Registered Office Address: Unit-134, 1st Floor, Rectangle-1, Saket District Centre, Saket, New Delhi-110017 Corporate Office Address: 4th Floor, MVL I Park, Sector – 15 Gurugram - 12