Varun Beverages Ltd. · NSE:VBL
Varun Beverages — Q3 2018 Earnings Presentation
18 slides from Varun Beverages's earnings presentation, Oct 25, 2018
Slide 1: Cover letter to stock exchanges
l/corp V R R U n B E V E R A G E S LlflllCED ^ Corporate Off : Plot No.31, Institutional Area, Sec.-44, Gurgaon, Haryana-122002 (India) Ph.: +91-124-4643100-500 • Fax: +91-124-4643303/04 E -m a il: info@ rjcorp.in • Visit us a t : w w w .rjcorp.in CIN No. : L74899DL1995PLC069839 October 25, 2018 To,
Slide 2: Q3 & 9M 2018 Results Presentation
October 25, 2018 (a PepsiCo franchisee) Varun Beverages Limited Q3 & 9M 2018 Results Presentation
Slide 3: Disclaimer
Disclaimer (a PepsiCo franchisee) Certain statements in this communication may be ‘forward looking statements' within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ
Slide 4: Table of Content
Table of Content (a PepsiCo franchisee) Company Overview Chairman’s Message Q3 & 9M 2018 Results Overview Performance Highlights Annexure i 3
Slide 5: Company Snapshot
Company Snapshot (a PepsiCo franchisee) Key player in the beverage industry Operations spanning across 6 countries - 3 in Chandigarh' Greater Noida I & II H aryan a- ------ Uttarakhand the Indian Subcontinent (India, Sri Lanka, ^ Nepal Nepal) contribute ~90% to revenues; 3 in R ajasth an B hiwadi ai
Slide 6: Brands licensed by PepsiCo
Brands licensed by PepsiCo (a PepsiCo franchisee) Manufacturing & Distribution: Carbonated Soft Drinks Q ) pepsi. ^ 1 1hlnrk c fe t p e p si Fruit Pulp / Juice Based Drinks IropTcana _ IropTcana f r u j^ Carbonated Juice Based Drinks Distribution: "N Fruit Pulp / Juice Based Drinks Sports Drink Dair
Slide 7: Key Player in the Beverage Industry - Business Model
Key Player in the Beverage Industry - Business Model (a PepsiCo franchisee) VBL- END-TO-END EXECUTION ACROSS VALUE CHAIN MANUFACTURING ---- 1 Concentrate Other Raw (PepsiCo) Materials Bottling ■ 26 state-of-the-art production facilities SOLID INRASTRUCTURE 72 owned depots DISTRUBUTION & WAREHOUSING
Slide 8: Symbiotic Relationship with PepsiCo
Symbiotic Relationship with PepsiCo (a PepsiCo franchisee) VBL - Demand Delivery PepsiCo - Demand Creation Investment in Production Facilities - ■ Owner of Trademarks Manufacturing plants ■ Investment in R&D - Product & ■ Sales & Distribution - Vehicles Packaging innovation ■ In-outlet Management -
Slide 9: Chairman's Message
Chairman's Message (a PepsiCo franchisee) Commenting on the performance for Q3 & 9M 2018, Mr. Ravi Jaipuria, Chairman - Varun Beverages Limited said, "W e are happy to report another strong quarter with revenue growth of 21% YoY and net profit growth of 31% YoY led by robust volume growth of 17.2% a
Slide 10: Performance Highlights
Performance Highlights (a PepsiCo franchisee) Net Sales (adj.) EBITDA* PAT 29.5% 19.4% ^ 24.3% 3,707 43,196 9,588 c Rs. million o 8,032 ^ 21.0% t 13.9% 23.1% 22.2% * 31.0% 9,634 11,657 Q£ 1,854 2,112 337 442 Q3 2017 Q3 2018 9M 2017 9M 2018 Q3 2017 Q3 2018 9M 2017 9M 2018 Q3 2017 Q3 2018 9M 2017 9M 2
Slide 11: Discussion on Financial & Operational Performance - Q3 & 9M CY2018
Discussion on Financial & Operational Performance - Q3 & 9M CY2018 (a PepsiCo franchisee) Revenues Sales Volumes • Revenue from operations (net of excise / GST) grew 21.0% • Total sales volume were up 17.2% YoY at 77.5 million unit cases in YoY in Q3 2018 to Rs. 11,657 million led by volume growth o
Slide 12: Profit & Loss Statement
Profit & Loss Statement (a PepsiCo franchisee) Particulars (Rs. million) Q3 2018 Q3 2017 YoY(%) 9M 2018 9M 2017 YoY (%) 1. Income (a) Revenue from operations (refer slide-12) 12,044.71 9,880.20 21.9% 44,239.90 39,729.14 11.4% (b) Other income 5.73 28.92 -80.2% 90.84 210.95 -56.9% Total income 12,050
Slide 13: GST Impact on Sales from Operations
GST Impact on Sales from Operations (a PepsiCo franchisee) Consequent to the introduction of Goods and Service Tax (GST) with effect from July 01, 2017, Central Excise, Value Added Tax (VAT), etc. have been subsumed into GST. In accordance with Indian Accounting Standard - 18 on Revenue and Schedule
Slide 14: Financial Highlights (2013 - 9M 2018)
Financial Highlights (2013 - 9M 2018) (a PepsiCo franchisee) Revenue PAT PAT Margins 86% CAGR (2013-17) - 17.3% CAGR (2012-17) - 53.5% 5'3% 3,707 43,196 c 3.9% Rs. million 38,520 40,034 o 2,141 33,491 2.6% 25,097 1.5% 21,175 870 IIm l V) 251 -201 -395 2013 2014 2015 2016 2017 9M 2018 2012 2013 2014
Slide 15: Outlook
Outlook (a PepsiCo franchisee) ► To periodically launch innovative ► Well-positioned to leverage PepsiCo products in select markets in line with brand to increase market changing consumer preferences penetration in licensed territories Focus on non-cola carbonated ► Consolidating existing distributo
Slide 16: Conference Call Details
Conference Call Details (a PepsiCo franchisee) ✓* N 1 Varun Beverages Limited (VBL) Q3 & 9M CY2018 Earnings Conference Call \ Time • 4:00 pm IST on Thursday, October 25, 2018 Conference dial-in Primary number • +91 22 6280 1141 / +91 22 7115 8042 Local access number • +91 70456 71221 International T
Slide 17: About Us
About Us (a PepsiCo franchisee) Varun Beverages Limited (VBL) is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world (outside USA). The Company produces and distributes a wide range of carbonated soft drinks (CSDs), as well as a large selection of non-carbonat
Slide 18: Thank You!
Thank You!