VRL Logistics Limited has informed the Exchange about Investor Presentation
VRL LOGISTICS LTD
Slnce 1976
Regd. & Admn. Offi(e : Eengaluru Road Varur HUBBALLI - 5A1 2O7 Karnataka State Phone i 63661 '19394 Fax : 0A36 2237614 e-mail : varurho@vrllogistics.com
TO,
BSE Limited Phiroze Jeeieebhoy Towers Dalal Street Mumbai- 400 001 Scrip Code:539118
Dear Sir / Madam,
Sub: Submission of Earnings Presentation
NationalStock Exchange of tndia Limited Exchange Plaza, Plot No.C/1, c-Block, Bandra - Kurla Complex, Bandra (E), Mumbai-400051 Scrip Code: VRLLOG
With respect to above captioned subject and in accordance with the extant provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regutations 2015 and other applicable laws for time being in force, we enclose herewith the Earnin8s presentation of the Company which would also be hosted on the website ofour Company.
We request you to kindlytake note ofthe same
Thankingyou,
ForVRl-
TIMITED
AN'RUDDHA PHADNAVIS COMPANY SECRETARY AND COMPI.IANCE OFFICER
Date: 10.08.2022 Place: Hubballi
Corporate Offi(e i Giriraj Annexe Circuit House Road HUBBALLI - 5gO O29 Karnataka Phone: 0836 2237511 Fax . 0836 2256612 e-mail : headoffice@vrllogistics.com
Customcr Care : HUBBALLI rA 0836 - 2307800 €-mail
i <ustomercare@vrllogistics..om
Website : www.vrllogistics.(om CIN : 160210KA1983pLC005247 GSTTN (KAR)r 29AA BCV36O9C.I ZJ
( Since - 1976 )
Q1 FY2022-23
Earnings presentation
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Disclaimer
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Certain statements contained in this document may be statements of future expectations/forward looking statements that are based on management‘s current view and assumptions and involve known and unknown risks and uncertainties that could cause actual results/performance or events to differ materially from those expressed or implied herein.
The information contained in this presentation has not been independently verified and no representation or warranty expressed or implied is made, and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or opinions contained herein.
This presentation may contain certain forward looking statements within the meaning of applicable securities law and regulations. These statements include descriptions regarding the intent, belief or current expectations of the Company or its directors and officers with respect to the results of operations and financial condition of the Company. Such forward-looking statements are not a guarantee of future performance and actual results may differ from those in such forward-looking statements as a result of various factors and assumptions which the Company presently believes to be reasonable. Many factors could cause the actual results, to be materially different and significant factors that could make a difference to the Company’s operations include domestic and international economic conditions, changes in government regulations, tax regime, etc
• None of VRL Logistics Ltd. or any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document.
•
This document does not constitute an offer or invitation to purchase or subscribe for any shares and neither it nor any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.
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VRL – MARKET LEADER IN B2B PARCEL SEGMENT
Only “Owned Asset” organised player in Less than Truck load logistics business in India
5036 OWNED GOODS TRANSPORT VEHICLES
Pan-India surface logistics services provider with an established brand having one of the largest distribution networks in India
Integrated hub-and-spoke operating model ensuring efficient consignment distribution
Dedicated in-house maintenance facilities, inventory of spare parts and In-house software & technology capabilities
HIRED VEHICLES ENGAGED ON NEED BASIS
1023 GOODS TRANSPORT BRANCHES
47 MASSIVE TRANSHIPMENT HUBS
7 LAKH + CUSTOMER BASE
20000+ WORKFORCE
Apt asset owned model leads to higher operating margins, higher cash flows & return metrics than asset light model
297 OWNED PASSENGER TRANSPORT VEHICLES
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FINANCIAL PERFORMANCE
Revenue @ Rs.72008 lakhs
EBITDA @ Rs.11738 lakhs
Margins @ 16%
PAT @
Rs.4937 lakhs
Margins @ 7%
KEY HIGHLIGHTS
Q1FY23 records the highest ever Quarterly turnover
Revenue grows 73% YoY and 7% QoQ
EBITDA increased by 197% YoY & (11%) QoQ
PAT increased by 917% YoY and (12%) QoQ
flow generated
Cash activities is Rs.11057 lakhs.
from operating
Cash flow from operations to EBITDA is a healthy @ 94%
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CONSOLIDATED FINANCIALS
Consolidated (INR in Lakhs)
Q1
YoY
Q4
QoQ
YoY
Income from operations
Other Income
Total Income
EBITDA
MARGINS (%)
EBIT
MARGINS (%)
PBT
MARGINS (%)
PAT (exclusive of other comprehensive income)
FY23
FY22
Growth (%)
FY22
Growth (%)
FY22
FY21 Growth (%)
71711
41377
73%
66513
8%
239365
176292
36%
296
72008
11738
16%
7837
11%
6606
9%
351
41728
73%
3957
197%
9%
188
0.5%
(762)
(2%)
4063%
967%
662
67175
13241
20%
8609
13%
7409
11%
7% (11%)
(9%)
(11%)
1681
1286
241047
177579
42098
17%
25298
11%
20989
9%
36% 62%
26035
15%
10056
152%
6%
6374
229%
4%
4937
(604)
917%
5619
(12%)
16011
4507
255%
MARGINS (%)
7%
(1%)
8%
7%
3%
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GOODS TRANSPORT
Q1
YoY
Q4 QoQ
FY23
FY22 Growth (%)
FY22 Growth (%)
FY22 FY21
Revenue
60887
38483
58%
58762
4%
213738 159275
EBITDA
9975
4306
132%
12182
(18%)
40263
26641
51%
Margin (%)
16%
11%
21%
19%
17%
YoY Growth (%) 34%
Q1FY23 records the highest ever revenue @ Rs.60887 lakhs,
Q1FY23 Revenue up by 58% YOY, and 4% QoQ
EBIT
6953
1446
381%
8406
(17%)
27053
14726
84%
Margin (%) Note: All amount in lakhs
11%
4%
14%
13%
9%
Q1FY23 EBITDA @ 9975 lakhs , and Margins @16%
Revenue EBITDA
38483
4306
56882
59612
58762
60887
10979
12798
12182
9975
Strategic planning, Addition of new branches, Capex plans helps in increasing revenue to an all time high
Q1FY22
Q2FY22
Q3FY22
Q4 FY22
Q1 FY23
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GT PERFORMANCE
Revenue Analysis
GT revenue increased by 58% YoY and 4% QoQ
• Volumes up by 45% YoY and 1% QoQ
• 68 new branches added in Q1FY23 and 91 branches added in FY22
• Branches added in Q1FY23 & FY 2021-22 contributed ~8% of total tonnage in Q1FY23
• Addition of new clients due to Geographical expansion
• Also witnessed the shift of Clientele base from unorganized sectors as a result of increase in
compliance requirements under GST
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GT PERFORMANCE
Y-o-Y • Economic revival during Q1FY23 as against pandemic affected Q1FY22 resulting into revenue growth and
Profitability Analysis
profitable operations
• Useful life of the Goods transport vehicles revised from 8.84 years to 15 years resulting into lower
deprecation charges of Rs.931.07 lakhs in Q1FY23
Q-o-Q • Company was forced to procure fuel from Retail outlets as there was an increase in rates for bulk
purchase of Diesel from refineries resulting in higher diesel costs
• Retail procurement increases from 53.83% in Q3FY22 to 74.12% in Q4FY22 to 99.25% in Q1FY23 • Decrease in Excise duty for procurement of fuel from retail outlets helped the company to curtail margin
decline
• Diesel costs as a percentage of revenue increased by 2.09% from 29.02% to 31.11% • Lorry Hire expenses as a percent of Revenue increased 1.95% from 7.42% to 9.37% on account of
increased vehicle hiring costs driven by increase in fuel rates and kms run by hired vehicles.
• Decrease in Vehicle Running, Repairs & Maintenance by 0.90% from 7.01% to 6.11% on account of new
vehicles being added
• No major changes in other fixed and variable costs
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BUS OPERATIONS
Q1
YoY
Q4
QoQ
FY23
FY22
Growth (%)
FY22 Growth (%)
FY22 FY21
YoY
Growth (%)
Revenue
9787
1757
457%
6217
57%
20484
13034
57%
Improved performance on account of overall increase in Number of passengers travelled , Average seat occupation & Number of trips due to holiday season
409%
1135
6%
(592)
(5%)
292%
Q1FY23 Revenue @ 9787 lakhs, up by 457% YoY and 57% QoQ
EBITDA
1997
(388)
615%
Margin (%)
20%
(22%)
EBIT
1703
(715)
338%
Margin (%) Note: All amount in lakhs
17%
(41%)
Revenue
EBITDA
1757
-383
5027
33
392
6%
93
1%
7483
1108
1732%
(136)
(2335)
94%
(1%)
(18%)
9787
1997
6217
392
Q1FY22
Q2FY22
Q3FY22
Q4FY22
Q1FY23
Q1FY23 EBITDA @ 1997 lakhs and Margins @ 20%
Number of buses increases from 295 to 297- QoQ
Number of buses increases from 291 to 297 - YoY
Increase in realisation per passenger by 27% QoQ & 18% YoY
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SALE OF POWER
Q1
YoY
Q4
QoQ
YoY
FY23
FY22 Growth (%)
FY22 Growth (%)
FY22 FY21 Growth (%)
Q1FY23 Revenue @ 491 lakhs, down by 11% YoY and 46% QoQ
Revenue
491
554
(11%)
903
(46%)
2526
1757
44%
EBITDA
Margin (%)
319
65%
EBIT
Note: All amount in lakhs 50
Margin (%)
10%
389
70%
119
21%
(18%)
707
(55%)
1827
1159
58%
78%
72%
66%
Q1FY23 EBITDA @ 319 lakhs, down by 18% YoY and 55% QoQ, Margins @ 65%
(58%)
441
(89%)
49%
749
30%
81
5%
826%
The Company has accounted one time CER income of Rs 691.49 lakhs in Q4FY22
As informed, The company has sold this project with cut off date as 31.07.2022 and received full consideration of Rs.48 crores on 03.08.2022. Final Documentation is in process
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INFRASTRUCTURE
28177
No of GT Vehicles Capacity (tons)
15096
14991
6343
7410
611
1184
917
685
1586
655
534
12
432
<5 tons
5 - 10 tons
10 - 15 tons
15 - 20 tons
20 - 25 tons
25 - 30 tons
>30 tons
1.61%
8.61%
10.06%
38.27%
20.50%
20.36%
0.59%
Percent of total capacity
Note: List of vehicles excludes Cranes and Tankers
VRL has 1178 vehicles > 15 years, as of June 30, 2022 with a total capacity of 12026 tons, whereas VRL added 16934 tons capacity from 2019 onwards. Further 1200+ higher capacity vehicles (~13000 tons) being added.
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Goods Transportation Operational Network
• Market Leader In LTL Segment
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Operations: 23 States and 4 Union Territories
1023 Branches
47 Strategically Placed Hubs
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Wide range of sectors served
Educational
Goods
Machinery
Expertise In Handling Variety Of Commodities
Sports Items
FMCG
Agriculture products
Pharma
Leather Products
Garments
Textile
Electrical
Food Products
Hardware
Metal
Automotive parts
Diversified B2B Customer Base Across Wide Range Of Industries
No single customer contributing over ~1% of Total Revenue
Contribution from Top 10 customers account for ~3% of total Goods transportation business
Transit Storage facility available in all our Delivery branches
Lowest bad debts and Hassle Free Claim Settlement
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KEY DEVELOPMENTS
Addition of 68 new branches in Q1FY23 as against 91 branches in FY2021-22. Total number of branches as on 30.06.2022 is 1023. Planning to expand network by opening new branches in untapped market
Expansion of existing branch area and increasing branch density in key markets like Pune, Ahmedabad, Raipur, Salem, Chennai, Kanpur, Delhi etc.
Number of GT Vehicles increased from 4816 vehicles in Q4FY22 to 5036 vehicles in Q1FY23. New GT vehicles added in Q1FY23- 312 vehicles, Sold/scrapped – 92 vehicles, Net vehicle addition is 220 vehicles
Significant progress on Sale of Wind Power division – Receipt of full sale consideration
Capex of Rs.8547.26 lakhs incurred during Q1FY23 out of which Rs.7871.23 lakhs was towards Goods Transport Segment
Net debt increased from Rs.12989.88 lakhs as on March 31, 2022 to Rs.15463.62 as on June 30 2022
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Continued focus on higher margin LTL segment
Focus on increasing Geographic presence in hitherto untapped markets
Priority to Volume Growth- Wait and Watch approach on Freight Hike
Well positioned to conclude planned fleet addition
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For Further discussions or Queries, Please contact
Sunil Nalavadi Chief Financial Officer +91 93425 59298 cfo@vrllogistics.com
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