Prataap Snacks Ltd. · NSE:DIAMONDYD
Prataap Snacks — Q4 FY22 Earnings Presentation
33 slides from Prataap Snacks's earnings presentation, May 21, 2022
Slide 1: Corporate presentation cover letter to stock exchanges
* I I (1'ratOP) 7 Ref. No.: PSL/2022-23/C S/SE/I 3 Date: 21St May, 2022 To, To, Listing Department Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, 5th Floor, P.J. Towers, Plot No. C/i, G Block, Dalai Street, Bandra Kuria Complex, Mumbai - 400 00
Slide 2: Q4 & FY22 - Results Presentation
Q4 & FY22 - Results Presentation May 2022
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
Slide 4: Contents
Contents Q4 & FY22 Results 4 Company Overview 15 Industry Overview 29 3
Slide 5: Q4 & FY22 Results
Q4 & FY22 Results 4
Slide 6: Financial Overview
Financial Overview In Q4 FY22, PSL reported: Revenue of Rs. 3,614.6 million, registering growth of 17% yoy Operating EBITDA of Rs. 49.4 million, translating to a margin of 1.4% PAT stood at Rs. (29.5) million EPS (Diluted) stood at Rs. (1.26) per share In FY22, PSL reported: Revenue of Rs.
Slide 7: Operational Overview
Operational Overview Reported revenue growth of 17% yoy in Q4 FY 22, in the backdrop of a challenging macro environment. In FY 22, revenues were higher by 19% on yoy basis. o Delivered encouraging volumes across product categories assisted by an uptick in consumption across key geographies o Addit
Slide 8: Approval under Performance Linked Incentive (PLI) Scheme
Approval under Performance Linked Incentive (‘PLI’) Scheme The company has received approval under the PLI scheme of the Government of India under ready to eat segment All the products are covered under the PLI scheme except for Potato Chips The base year for calculating the PLI benefit on-inc
Slide 9: Drivers for Top Line growth
Drivers for Top Line growth Normalisation of Activities Continued Deeper Penetration With the uplifting of restrictions on travel and the Continuing to enhance geographical reach in key gradual reopening of the economy, footfall has nearly markets by adding new retail touchpoints, present in ret
Slide 10: Measures To Enhance Profitability and Returns
Measures To Enhance Profitability and Returns Bottom slicing Compression of distribution Reasons for lesser volumes were structure identified, and levers were worked on to improve them PSL has implemented direct distribution across all regions, ahead Indirect expenses are being of schedule sav
Slide 11: MD & CEO's Message
MD & CEO’s Message Commenting on Q4 & FY22 performance, Mr. Amit Kumat - Managing Director & CEO, Prataap Snacks Limited said: “We have delivered a robust performance in a challenging macro environment. Revenues during the quarter grew by 17%, significantly outgrowing the industry. This was led by a
Slide 12: Abridged P&L Statement
Abridged P&L Statement Y-o-Y Y-o-Y Particulars Q4 FY’22 Q4 FY’21 FY’22 FY’21 Change Change Income from Operations 3,614.6 3,095.4 17% 13,966.2 11,710.9 19% Raw Material Cost 2,735.8 2,287.4 20% 10,369.3 8,430.9 23% Gross Profit 878.8 808.0 9% 3,596.9 3,280.0 10% Gross Margin 24.3% 26.1% -180 Bps 25.
Slide 13: Financials – Q4 & FY'22 Performance
Financials – Q4 & FY’22 Performance Income From Operations Gross Margin (%) Gross Margin Margin (%) 13,966.2 3,596.9 3,614.6 878.8 17% 19% 808.0 3,280.0 3,095.4 11,710.9 28.0% 26.1% 25.8% 24.3% Q4 FY21 Q4 FY22 FY21 FY22 Q4 FY21 Q4 FY22 FY21 FY22 ▪ Income from operations in Q4 FY’22 stood at Rs.3,614
Slide 14: Financials – Q4 & FY'22 Performance
Financials – Q4 & FY’22 Performance EBITDA Margin (%) PAT * Margin (%) 139.2 71.3 630.7 169.1 583.1 2.3% 141.6 4.5% 5.4% 4.2% 49.4 1.2% 1.2% Q4 FY21 Q4 FY22 1.4% -0.8% (29.5) Q4 FY21 Q4 FY22 FY21 FY22 FY21 FY22 ▪ EBITDA for Q4 FY’22 and FY’22 stood at Rs. 49.4 Mn and 583.1 Mn respectively, in spite
Slide 15: Financials – Q4 & FY'22 Performance
Financials – Q4 & FY’22 Performance Cash Profit * Cash EPS * 615.5 632.7 26.2 27.0 144.5 6.2 53.5 2.3 Q4 FY21 Q4 FY22 FY21 FY22 Q4 FY21 Q4 FY22 FY21 FY22 ▪ In spite of severe pressure of higher input cost, cash profit has been maintained at FY 21 level ▪ The Company follows a conservative accounting
Slide 16: Company Overview
Company Overview 15
Slide 17: Prataap Snacks at a Glance
Prataap Snacks at a Glance Over Approx SKUs Manufacturing packets sold 8 year revenue Facilities* per day CAGR Reach of over Super Retail In Rings Sub-Distributors Distributor Touchpoints 16 *[7 Inhouse plants (Kolkata plant gutted in fire and is under restoration process) and 7 contract manufacturi
Slide 18: Diverse Product Portfolio
Diverse Product Portfolio RINGS, KURVES, NAMKEEN & POTATO CHIPS CHULBULE NAMKEEN PELLET SNACKS Sweet Snacks PUFF & Stix FRYUMS Potato based Rice grit & Corn grit Gram and Wheat based Cake Namkeen snack Corn grit based snack other lentils SKUs: 22 variations and Fryums SKUs: 7 based
Slide 19: Avadh Snacks
Avadh Snacks Product Portfolio Leading and fourth largest Namkeen Fryums snacks brand in Gujarat Strong presence in Gujarat, one of the largest market 30% revenue CAGR over the past 6 years Key Products: Bhavnagri Gathiya, Sada Key Products: Tomato Cup, Salted reffil, Mamra, Papdi Gathiya, Chavanu,
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 •Value Player offering higher value Increased capacity of for Money to consumers. Rajkot facility by 50% post acquisition Pan India Direct Distribution model expansion To expand Av
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 - 1 SKU's - 2 SKU's - 1 SKU's - 1 SKU's - 1 SKU's - 1 SKU's - 2 Target Target Target Target Target Target Target group - group - group - group - group - grou
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
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
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
Slide 25: Pan India Presence
Pan India Presence Strategically located Manufacturing facilities to cater the regional demand No. of Facilities Products No. of Facilities Products 1 - Contract Facility Pellet Kanpur Hissar & 1 – Contract Facility Extruded Snacks, Pellets, Chulbule 5 Karnal 1 – Contract Facility Potato Chips, Pell
Slide 26: Guided by an Accomplished Board
Guided by an Accomplished Board Arvind Mehta Chairman & Executive Director Over 33 years of experience in real estate business along with over 18 years in the snacks food industry and in the financing business Vineet Kumar Kapila Mr. V.T. Bharadwaj Amit Kumat Independent Director Independent Directo
Slide 27: Helmed by a Professional Management Team
Helmed by a Professional Management Team Mr. Arvind Mehta Over 33 years of experience in real estate business along with over 18 years in the Chairman & Executive snacks food industry and in the financing business Director Corporate functions Mr. Amit Kumat Managing Director and Chief Over 26 years
Slide 28: Helmed by a Professional Management Team
Helmed by a Professional Management Team Mr. Sumit Sharma Member of Institute of Chartered Accountants of India. He has over 20 years of experience in accounting, finance, banking and taxation and worked with Crompton Chief Financial Officer Greaves, L&T and New Holland Group Corporate functions Mr.
Slide 29: Helmed by a Professional Management Team
Helmed by a Professional Management Team He holds bachelor degree in Commerce. He has over 34 years of experience in the Corporate functions Mr. D.V. Praveen Kumar field of beverages & food, FMCG, dairy, confectionaries, cosmetics and edible and General Manager Sales – South worked with PepsiCo for
Slide 30: Industry Overview
Industry Overview 29
Slide 31: Favourable Demographics Supporting Industry Growth
Favourable Demographics Supporting Industry Growth INDIA POPULATION TREND (MILLIONS) TOTAL ORGANIZED SNACKS FOOD MARKET SIZE 33,000 CRORES (CY 21) 1,468 PRODUCT WISE SPLIT 1,456 1,444 1,431 Namkeen 1,418 23% 1,405 1,392 Potato Chips 1,379 44% 1,368 1,339 1,326 2017 2018 2019 2020 2021 2022 2023 2024
Slide 32: 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
Slide 33: Thank You
Thank You 32