Adf Foods Limited · NSE:ADFFOODS
Adf Foods — Q3 FY2021 Earnings Presentation
31 slides from Adf Foods's earnings presentation, Jan 29, 2021
Slide 1: Exchange intimation letter for investor presentation
FOODS LT D. 7at!di11 l I<' w,:nld .. January 29, 2021 DCS -CRD DCS-CRD BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Bandra-Kurla Complex Mumbai - 400 001 Sandra (E) , Mumbai - 400 051 Scrip Code: 519183 Symbol: ADFFOODS Sub: Investor Present
Slide 2: Investor Presentation Q3 & 9MFY21
FOODS LTD. CJ~tA&~- - Investor Presentation Q3 & 9MFY21 ·, 1
Slide 3: Disclaimer
Disclaimer FOODS LTD. ':lee,,h.u; t/u!;1i1mll. This presentation and the accompanying slides (the “Presentation”), which have been prepared by ADF Foods Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purcha
Slide 4: Agenda
Agenda 01 Q3 & 9MFY21 Highlights 02 About the Company 03 Industry Drivers & Growth Strategy 04 Historical Financial Overview
Slide 5: Q3 & 9MFY21 Highlights
Q3 & 9MFY21 Highlights '\tr. ,. lnttlan IND I A S PR f MIU M CHO IC f
Slide 6: Q3 & 9MFY21 consolidated result highlights
Q3 & 9MFY21 consolidated result highlights Financials in Rs. Cr Total Income EBITDA PAT Quarter performance 34% 54% 26% 13.9 99.5 20.0 11.0 74.2 13.0 Q3FY20 Q3FY21 Q3FY20 Q3FY21 Q3FY20 Q3FY21 Total Income EBITDA PAT Nine-Months performance 30% 20% 19% 270.8 51.6 35.1 43.0 29.5 208.8 9MFY20 9MFY21 9M
Slide 7: Consolidated profit & loss statement
Consolidated profit & loss statement FOODS LTD. ':lee,,h.u; t/u!;1i1mll. (Rs Cr) Q3FY21 Q3FY20 YoY 9MFY21 9MFY20 YoY Revenue from operations 98.6 73.9 33% 266.7 203.0 31% Other income 0.9 0.3 4.0 5.8 Total Income 99.5 74.2 34% 270.8 208.8 30% Cost of material consumed 27.6 19.0 77.1 57.7 Purchase of
Slide 8: Update on new manufacturing unit
Update on new manufacturing unit FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Capacity expansion by taking new unit on lease • The Company has taken a manufacturing unit in Surat (Gujarat) on lease • The facility, with a production capacity of 1,950 MTPA, will enable to increase the capacity for frozen food
Slide 9: About the Company
About the Company “ At ADF we believe in maintaining high quality standards, introducing “ new and innovative products while remaining customer centric '\tr. ,. lnttlan IND I A S PR f MIU M CHO IC f
Slide 10: Company highlights
Company highlights FOODS LTD. ':lee,,h.u; t/u!;1i1mll. 7 55+ 180+ Brands Countries Distributors Operational strengths 2 400+ 26,000 State-of-the-art Facilities SKU MTPA Capacity Zero 21% 14% Long Term Debt EBITDA Margin PAT Margin Financial strengths r=-=-=-=-=-=-=-=======--==---=---=---_--__J ,--==
Slide 11: Our businesses – presence across all categories
Our businesses – presence across all categories FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Export of wide range of Indian ethnic products - ready-to-cook, ready-to- Contribution to Revenue eat, frozen, pickles, condiments, etc. - to over 55 countries with significant 9MFY21 Core business presence across US
Slide 12: Core business
Core business Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. Positioning • Flagship brand primarily targeted at Indian diaspora worldwide • Frozen snacks, frozen breads, frozen vegetables, RTE, meal Products accompaniments, pastes, sauces, spices, milk drinks • 300+ products across categories Geographies •
Slide 13: Core business brands
Core business Ar)~ FOODS LTD. ln1cllan INDIA ' S PREMIUM CHOICE • Primarily targeted at Non-Indian consumers Positioning • Premium brand targeted at Arabic diaspora I • Economy brand I Products Geographies • RTE, meal accompaniments, pastes, sauces ~===-===--=======-----==------- _-_-_ • Germany and
Slide 14: US subsidiary
US subsidiary Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. Positioning • Organic, made with USDA certified organic ingredients • Non-GMO, all natural, vegan, vegetarian Products • Hand rolled burritos • Meatless meatballs Geographies • USA • USA Retail channel • 100% from mainstream/ modern trade stores •
Slide 15: Agency distribution business
Agency distribution business Ar)~ FOODS LTD. • Distribution of some products of a global Fortune 500 FMCG in USA and UK markets • Products are complimentary to existing range of ADF products and offers wide range of products to the distributors • Focusing on adding more complimentary products of sim
Slide 16: India business
India business Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. BINDASS KHAO Positioning • Primarily targeting urban Indian customers Products • Wide range of products - pickles, sauces, cooking paste, ready to cook instant masala mix, etc. Geographies • Sold and marketed primarily in Mumbai, India Retail cha
Slide 17: State of the art manufacturing units
State of the art manufacturing units F OO DS L T D. ':lee,,h.u; t/u!;1i,mll. • Total Built up factory area - 15,000 Facility at Nadiad, Sqm The facility at Nasik is USDA Organic accredited, ensuring stringent production norms and sound • Frozen Foods (Samosas, Vegetables, Gujarat farming practises S
Slide 18: Strong distribution network
Strong distribution network Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. Bharat Sareen Masud Sethi Country manager (UK) Country manager (Canada) Upinder Thakur 0 Country manager (UK) CANADA Savita Patel EUROPE0 Savio Almeida Head Operations & Commercial (USA) 0 ASIA Country manager (GCC, Levant Countries,
Slide 19: Branding and advertising engagements in overseas markets
Branding and advertising engagements in overseas markets Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. Ashoka was the Associate Sponsor of IPL 2020 for the Sponsorship of Tarak Mehta Ka Ulta Chashma US and Canada markets on Willow TV BIG BOSS Sponsorship on Colors TV on Sony SAB Sponsorship on Aajtak News
Slide 20: Experienced management
Experienced management FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Bimal Thakkar Chairman, Managing Director and CEO • 30+ years of experience in domestic and export management • Instrumental role in development of Brands and new products, tapping new markets, international acquisitions, setting up of subsi
Slide 21: Board of Directors
Board of Directors FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Deepa Harris Viren Merchant Independent Director Independent Director • 30+ years of expertise in high-end luxury hospitality category • 30+ years of experience and expertise in business management and pharmaceutical • Currently Independent Dire
Slide 22: Industry Drivers & Our Growth Strategy
Industry Drivers & Our Growth Strategy '\tr. ,. lnttlan IND I A S PR f MIU M CHO IC f
Slide 23: Paradigm shift in preference over ethnic food
Paradigm shift in preference over ethnic food FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Global Ethnic Food Market 11.8% CAGR • The global ethnic food market was valued at $36.48 billion in 2018, and is projected 70.10 to grow at 11.8% (CAGR) , to reach $70.10 billion in 2024 • A paradigm shift in taste pr
Slide 24: Evolving consumer tastes and preferences driving demand
Evolving consumer tastes and preferences driving demand FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Evolving Industry Trends • Evolving consumer tastes and preferences offering opportunities for innovations: - Consumers demand healthy and authentic food alternatives with fewer artificial ingredients • Stron
Slide 25: ADF - Strongly positioned for next phase of growth
ADF - Strongly positioned for next phase of growth FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Journey So Far Journey Ahead 3 1 Established strong brands in various segments 2 Strengthening ‘Agency Distribution’ Business 2 Strong global distribution network 1 Broadening Distribution Network • Increasing pro
Slide 26: While generating value for shareholders
While generating value for shareholders FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Our continued focus lies on improving cash generation and maintaining a robust balance sheet, thereby enabling us to generate strong returns and reward shareholders FY17 FY18 FY19 FY20 Rs 51 crores Rs 9.6 crore Rs 5.5 crore
Slide 27: Historical Financial Overview
Historical Financial Overview '\tr. ,. lnttlan IND I A S PR f MIU M CHO IC f
Slide 28: Consolidated financial performance
Consolidated financial performance Ar)~ FOODS LTD. 9ee,,h.u; t/u!;111mll. Financials in Rs. Cr Total Income EBITDA PAT 12% 3 year CAGR 30% 3 year CAGR 43% 3 year CAGR 43 295 62 245 53 208 220 40 25 28 18 15 FY17 FY18 FY19 FY20 I FY17 FY18 FY19 FY20 I I FY17 FY18 FY19 FY20 Cash flow from operations E
Slide 29: Historical profit and loss statement
Historical profit and loss statement FOODS LTD. ':lee,,h.u; t/u!;1i1mll. Standalone Consolidated (Rs Cr) FY18 FY19 FY20 FY18 FY19 FY20 Revenue from operations 163.8 187.5 182.1 201.0 231.4 272.8 Other income 18.6 14.1 21.8 18.6 14.1 21.8 Total Income 182.4 201.6 203.8 219.6 245.5 294.6 Cost of mater
Slide 30: Consolidated balance sheet
Consolidated balance sheet FOODS LTD. ':lee,,h.u; t/u!;1i1mll. (Rs Cr) Sept’20 Mar’20 (Rs Cr) Sept’20 Mar’20 Share Capital 20.4 20.4 Fixed Assets incl. CWIP 57.2 58.2 Reserves 206.8 184.0 Intangible Assets 21.3 21.4 Shareholders' Funds 227.2 204.4 Income Tax Asset (Net) 4.7 4.6 Other liabilities 0.7
Slide 31: Thank You
Thank You ~F OO lJ S I. TD. Jr.eJ;"'J'IA ~,uuJd: . Shardul Doshi (CFO)/ Shalaka Ovalekar (CS) ADF Foods Limited shardul@adf-foods.com co_secretary@adf-foods.com Marathon Innova B2 – G01, G. K. Road Lower Parel, Mumbai 400 013 P~RET• CJIPITJIL Pooja Dokania/ Rishav Das Pareto Capital (Investor Relati