Agro Tech Foods Limited has informed the Exchange about Investor Presentation
2 5 t h J a n u a r y , 2 0 2 3 T h e M a n a g e r , T h e M a n a g e r B S E L i m i t e d , L i s t i n g D e p a r t m e n t F l o o r 2 5 , P h e r o z e J e e j e e b h o y T o w e r s , N a t i o n a l S t o c k E x c h a n g e o f I n d i a L i m i t e d D a l a l S t r e e t , E x c h a n g e P l a z a , B a n d r a - K u r l a C o m p l e x , M u m b a i - 4 0 0 0 0 1 . B a n d r a ( E ) , M u m b a i (cid:150) 4 0 0 0 5 1 . P h . N o . 0 2 2 - 2 2 7 2 1 2 3 3 / 2 2 7 2 1 2 3 4 P h . N o . 0 2 2 - 2 6 5 9 8 1 0 0 / 2 6 5 9 8 1 0 1 F a x N o . 0 2 2 - 2 2 7 2 3 1 2 1 / 2 2 7 2 1 0 7 2 F a x N o . 0 2 2 - 2 6 5 9 8 2 3 7 / 2 6 5 9 8 2 3 8 D e a r S i r , C o d e s : B S E S c r i p c o d e 5 0 0 2 1 5 , C o . c o d e 1 3 1 1 N S E S y m b o l A T F L , S e r i e s E Q - R o l l i n g S e t t l e m e n t S u b : D i s c l o s u r e u n d e r R e g u l a t i o n 3 0 o f t h e S E B I ( L i s t i n g O b l i g a t i o n s & D i s c l o s u r e R e q u i r e m e n t s ) R e g u l a t i o n s , 2 0 1 5 F u r t h e r t o o u r e a r l i e r l e t t e r d a t e d 1 1 t h J a n u a r y , 2 0 2 3 r e g a r d i n g h o s t i n g o f a n a n a l y s t c a l l o n t h e u n a u d i t e d f i n a n c i a l r e s u l t s f o r Q 3 a n d n i n e m o n t h s e n d e d o n D e c e m b e r 3 1 , 2 0 2 2 o n W e d n e s d a y , 2 5 t h J a n u a r y , 2 0 2 3 , w e a r e e n c l o s i n g a c o p y o f t h e p r e s e n t a t i o n p r o p o s e d t o b e s h a r e d t o a n a l y s t s a n d i n v e s t o r s a t t h e s a i d C a l l . T h e p r e s e n t a t i o n w o u l d a l s o b e p l a c e d o n t h e w e b s i t e o f t h e C o m p a n y . Y o u a r e r e q u e s t e d t o t a k e t h i s o n r e c o r d . T h a n k i n g y o u , Y o u r s f a i t h f u l l y F o r A g r o T e c h F o o d s L i m i t e d J y o t i C h a w l a C o m p a n y S e c r e t a r y a n d C o m p l i a n c e O f f i c e r E n c l . a / a . A T F L a n a f f i l i a t e o f C o r p . O f f i c e : 1 5 t h F l o o r , T o w e r (cid:145) C (cid:146) , B l d g . # 1 0 , P h a s e I I , D L F C y b e r C i t y , G u r g a o n - 1 2 2 0 0 2 . T e l : 9 1 - 1 2 4 - 4 5 9 3 7 0 0 , F a x : 9 1 - 1 2 4 - 4 5 9 3 7 9 9 R e g d . O f f i c e : 3 1 , S a r o j i n i D e v i R o a d , S e c u n d e r a b a d (cid:150) 5 0 0 0 0 3 , I n d i a . T e l : 9 1 - 4 0 - 6 6 6 5 0 2 4 0 , F a x : 9 1 - 4 0 - 2 7 8 0 0 9 4 7 W e b : w w w . a t f o o d s . c o m C I N : L 1 5 1 4 2 T G 1 9 8 6 P L C 0 0 6 9 5 7 Agro Tech Foods Limited Quarter 3, FY’23 Results Update
January 25th, 2023
Company Strategic Vision
The Best Performing Most Respected Foods Company in India
2
Quarter 3 – Key Performance Highlights Steady Foods Growth – Improving Margins
• Foods Revenues of Rs. 116 crore - growth of 7% vs PY. Diversified
portfolio helps to achieve moderate growth despite RTC base impact.
• Staples Margins hold up well. YTD GM of Rs. 53 crore (PY Rs. 55 cr.). • Q3 Gross Contribution on Foods back to historical 45%+ level:
Rs. Crore/%
Net Sales
GC (NS-RM-PM)
GC%
Foods
116
52
45%
Staples
109
26
24%
Total
225
78
35%
• With good margin visibility A&P investment in the Quarter increased
– up by Rs. 2.6 crores vs. PY. Will help to address RTC growth. • Employee Benefits up by Rs. 1 crore vs PY due to hiring. Other
Expenses include c Rs. 1 crore increase vs PY due to higher travel.
• PBT & PAT for the Quarter are Rs. 9.3 crore & Rs. 6.8 crore
respectively.
3
Performance Highlights by Category
1. Ready to Cook (Rs. 18,000 crore)
2. Ready to Eat -Western (Rs. 28,500 crore)
3. Spreads (Rs. 3400 crore)
4. Breakfast Cereals (Rs. 3500 crore)
5. Chocolate Confectionery (Rs.13,600 crore)
6. Staples (N.A.)
* Category Sizes in Brackets – At Retail Price
4
Ready to Cook Snacks
RTC
Volume Value
Q1, FY’23
Q2 FY’23 Q3, FY23 YTD, FY’23
-5% -4%
-4% +1%
-6% -3%
-4% -1%
• Covid19 base Impact continues to hold back RTC Growth. • Elevated level of Media investments initiated for
Popcorn starting December 2022 – will help to deliver desired levels of Growth in FY’24.
• Establishment of the Rs.15 price point for Instant Popcorn underway supported by Retail Demos.
• Roll out of Pizza & Pasta Sauces underway in Q3, FY’23. • Development work underway for broader Snacking Kits
portfolio underway to support RTC growth in FY’24 (including Plant Meats).
5
Ready to Eat Snacks
RTE
Volume Value
Q1 FY’23 Q2 FY’23 Q3, FY’23 YTD FY’23
+65% +79%
+32% +50%
+36% +37%
+41% +51%
• Strong Volume growth continues with steady strengthening of
the RTE Popcorn Business.
• Gap between Value & Volume decreases as we start lapping
periods which contain price increases in PY.
• Sweet Snacks start to gain momentum – Caramel Bliss/Duo
Cruncheez.
• Impact of greater scale in RTE Popcorn, Increased share of Sweet and Greater absorption of Overheads by Breakfast Cereals significantly enhances Profitability of RTE Snacks. • Continue to drive both Scale of Savory & Share of Sweet.
6
Spreads & Dips
Spreads
Volume Value
Q1 FY’23 Q2 FY’23 Q3 FY’23 YTD FY’23
+28% +10%
+30% +14%
+20% +5%
+26% +10%
• Successfully able to regain/increase share – visible in
steady Volume Growth.
• New competitors struggle to find relevance – large
FMCG and DTC–evidence of Moats in the Foods business
• Roll out of new High Protein variant “PeAq” underway.
• Going forward, gap between Volume and Value to
narrow as we lap PY price reduction in Peanut Butter. • With strong Volume Performance, increased focus on
Margin Improvement. Some pricing underway supported by greater focus on higher margin SKU’s. • Continue to build Chocolate Spreads & Dips.
7
Breakfast Cereals
Cereals
Volume
Value
Q1 FY’23 Q2 FY’23 Q3 FY’23 YTD FY’23
+54%
+58%
+40%
+46%
+67%
+60%
+54%
+54%
• Expansion of Center Filled Cereals and roll out of Value
Added Oats ensure strong Category Growth.
• Center Filled Cereals driven by distribution expansion
& introduction of Cookie & Crème Variant.
• Re-worked Shells products being rolled out to improve BOP offering and support broad based growth by the time we start advertising Center Filled Cereals. • Overall, strong momentum driven by high quality
offerings.
• Continue to focus on Volume Growth - including Distribution & On Shelf Presence - to improve Category Profitability through Operating Leverage.
8
Chocolates
Chocolates
Q1 FY’23 Q2 FY’23 Q3 FY’23 YTD FY’23
Volume
Value
+218%
+94%
+28%
+79%
+252%
+105%
+38%
+92%
• Less than desired growth in Q3 - optimization of the simultaneous production, packing and shipping of multiple SKU’s not completed during the Quarter. • Working towards establishing the required Supply
Chain rhythm for the Category in Q4.
• Excellent response to Retail Display Initiatives
confirming validity of this growth lever in the large and profitable Chocolate Confectionery Category.
• Steady shipment patterns established in the important
Gifting Category.
• Capacity, Productivity & Automation work underway.
9
Staples
Premium Staples
Q1 FY’23 Q2 FY’23 Q3 FY’23 YTD FY’23
Volume Value
-12% -8%
-9% -0%
-15% -10%
-12% -6%
Mass Staples
Q1 FY’23 Q2 FY’23 Q3 FY’23 YTD FY’23
Volume Value
-74% -71%
-70% -65%
-60% -53%
-68% -63%
• Margin successfully held in Premium Staples. However, resultant softness in
offtake with significantly higher consumer prices relative to PY.
• Execution of strategy to make Premium Staples more broad based underway. This will help to provide procurement scale and possibly also reduce Total Cost of Manufacture for the Foods business.
• Roll out of Oats started. • Additional Staples items under development.
• Mass Staples reflects largely exit from Crystal in FY’22.
10
Competitive Update
Snacks: Competition Spends
Tracked Brands (in Million) ACT II Lays Kurkure Doritos Cheetos Bingo Parle Crax Yellow D Too Yumm Balaji
F-17
F-18
F-19
FY20
FY21 Q1-22 Q2-22 Q3-22 Q4-22 FY22 Q1-23 Q2-23 Oct-22 Nov-22 Dec-22 Q3-23
110 148 196 0 0 683 0 58 248 0 0
74 374 260 128 0 965 0 55 145 146 0
38 252 396 150 46 815 0 106 256 470 21
45 491 321 252 34 954 0 139 139 312 201
95 335 237 0 0 1252 20 138 61 161 93
18 238 98 0 0 242 2 20 14 14 2
31 202 65 116 0 261 0 63 31 99 30
11 127 70 55 0 261 0 58 30 93 21
20 175 101 94 0 188 0 71 31 33 0
80 742 333 265 0 952 2 212 106 238 53
15 333 78 0 0 262 0 61 28 119 0
21 305 81 157 0 193 0 175 25 53 0
0 42 1 0 0 69 82 9 9 46 0
10 118 0 0 0 53 46 0 0 11 0
15 191 0 209 0 181 0 11 0 0 0
25 351 1 209 0 303 128 20 9 57 0
Total
1517
2147
2549
2888
2394
648
897
725
713
2983
895
1010
258
238
607
1103
Visible shake out with spending dominated by just 6 players. Act II spending consistent.
12
Spreads: Competition Spends
F-17 F18 F-19 FY-20 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Oct-22 Nov-22 Dec-22 Q3-23
357 512 704
752
Tracked Brands (in Million) Kissan Jam-
Kissan PB
Sundrop PB
Veeba PB
Amul Peanut Spread
Pintola PB
Saffola Honey
0
56
0
30
0
0
0
0
0
0
0
0
0
16
0
0
0
0
679
196
58
54
0
0
196
62
0
20
0
0
0
0
7
Patanjali Honey
317 182
95
Dabur Honey
134 180 206
131
364
Lion Honey
Apis Honey
Hershey’s Spreads
Nutralite
9
16
54
0
7
65
8
25
159 166
0
0
20
8
59
0
29
7
60
0
156
109
12
154
129
18
1
2
0
19
47
24
6
0
3
0
0
3
4
66
33
64
10
0
26
7
138
125
6
0
2
1
82
25
39
18
0
17
11
124
146
13
0
2
0
21
31
13
3
0
33
11
572
508
49
1
9
4
188
136
140
38
0
79
29
133
106
10
171
112
18
0
1
1
0
100
9
0
0
0
0
0
2
0
0
0
9
3
0
36
0
49
35
56
60
0
0
1
0
0
0
7
1
0
9
0
7
0
2
0
0
3
3
0
0
6
0
1
2
7
0
6
0
0
25
39
1
3
3
0
106
98
13
0
8
0
0
28
50
2
3
18
0
Total
943 1135 1220 996
1703
379
514
463
397
1753
359
351
103
137
86
326
Spending dominated by long term players. Fringe players exit. ATFL spending consistent.
13
Breakfast Cereals: Competition Spends
Rs Million
FY-17 FY-18 FY-19 FY-20 FY-21 Q1-22 Q2- 22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Oct-22 Nov-22 Dec-22 Q3-23
Kellogg Chocos
310
Kellogg Cornflakes Kellogg Chocos Fills
Kellogg Muesli
Kellogg Granola
Nestle Koko Krunch Saffola Oats - Total Quaker Oats- Total
Tata Soulfull- Chocofills
Tata soulfull - Muesli Tracked Brands Total
202
265
390
230
355
124
124
108
171
526
136
152
0
125
203
17
9
0
362
118
0
0
509
239
1
193
329
147
14
60
344
177
89
121
111
52
22
0
0
0
0
322
283
268
448
424
145
102
164
110
269
184
130
0
0
0
0
0
0
17
0
0
0
0
0
0
81
40
17
0
83
14
44
20
88
34
16
0
29
74
62
19
0
49
354
187
74
0
20
60
86
35
0
23
79
75
31
0
103
142
474
125
119
16
135
296
12
26
62
131
91
82
11
0
0
0
0
0
5
43
8
21
25
11
0
47
14
2
3
50
9
30
46
7
0
77
0
0
0
48
8
30
42
0
0
18
91
43
27
141
25
81
114
18
0
142
105
46
29
975 1,317 1,979 1,530 1,724
589
361
410
693
2,096
564
573
175
218
307
700
Kellogg continues broad based support. Nestle discontinues support.
14
Chocolates: Competition Spends
Tracked Brands (in Million) Cadbury 5 Star
Cadburys Celebration
FY- 18 FY- 19 FY-20 FY-21 Q1-22 Q2-22 Q3- 22 Q4-22 FY-22 Q1-23 Q2-23 Oct-22
744
138
482
212
727
277
960
399
150
276
0
56
377
370
256
1058
153
11
437
7
461
106
60
310
Nov- 22 67
0
Dec-22 Q3-23
81
0
209
310
Dairy Milk
2229 2166 2362 2978
864
1168
1268
1083
4384
1300 1654
244
536
368
1149
Cadburys Fuse
Cadburys Gems
Cadburys Perk
Kinder
Ferrero Rocher
Amul
Hersheys Kisses
Hersheys Exotic dark
Snickers
Galaxy
Nestle Milky Bar
Nestle Munch
Nestle Kit Kat
598
416
321
484
0
7
0
0
407
285
231
837
0
61
42
0
217
259
0
187
414
597
0
146
604
712
0
477
389
598
1193
0
139
235
0
201
23
368
626
841
0
509
438
470
608
179
109
314
54
65
21
206
547
943
0
41
115
129
117
44
26
14
41
5
7
22
53
150
17
146
143
133
0
0
8
87
0
27
3
62
103
175
36
109
131
145
306
77
27
166
143
95
231
72
93
137
90
147
158
154
323
22
50
156
81
0
8
49
149
115
44
443
547
562
747
143
111
423
265
127
250
205
398
577
187
83
137
102
100
0
1
21
0
11
12
20
78
181
44
547
166
171
978
0
129
228
314
101
10
76
259
402
0
34
26
23
124
1
8
116
69
0
13
9
12
0
7
26
55
41
0
0
5
84
5
11
0
9
0
5
57
64
55
11
0
7
18
9
21
2
44
0
116
146
119
135
1
19
219
83
32
15
61
12
127
131
57
27
91
CandyMan Fantastik
0
Total
6520 6898 9261 9615 1835 2523
3857
2806 11021 2263 5635 1065
901
890
2856
Major players continue spending consistently.
15
Edible Oils: Competition Spends
Tracked Brands (in Million)
F-12 F-13 F-14
F-15
F-16
F-17
F-18
F-19 FY-20 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23
Oct- 22
Nov- 22
Dec- 22
Q3-23
Sundrop 88
94
50
65
46
34
21
0
0
0
0
Saffola
121
Fortune
0
212
203
356
356
291
148
338
319
320
828
588
666
544
543
527
495
400
510
116
166
0
86
0
68
145
102
0
0
106
126
375
540
0
62
0
71
121
213
156
137
1214
647
626
799
150
27
41
30
103
354
966
170
26
20
40
49
228
31
31
52
70
29
27
41
175
183
578
121
82
22
24
27
9
27
13
91
109
133
0
26
84
7
0
45
17
0
57
74
46
0
0
0
21
30
0
0
0
78
36
139
156
117
318
0
0
7
0
0
9
0
0
33
209
509
762
504
961
1700 3576 1936 1694 2024
546
398
417
464
1825
415
417
193
213
162
568
Others
722
915
815
1280 1876 2153 1672 1652 2096 2597
537
637
990
733
2897
601
744
397
173
230
800
Total
931 1424 1577 1784 2837 3853 5248 3588 3790 4621 1083 1035 1407 1197 4722 1016 1151
590
387
391
1368
Mass Oils share of spending further increases.
16
Emami
Oleev
Patanjali
Gemini
Tracked Brands
Noodles: Competition Spends
Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23
Tracked Brands (in Million) Chings Noodles Wai Wai Knorr Soupy Noodles Sunfeast Yippee
Sunfeast Masala Saffola Oodles A&M Twisty Noodles
Maggi Chatpata Maggi Fusian Maggi Veg Atta Maggi Noodles Maggi Special Masala Maggi veggie masala Maggi Chicken Pran Mr Noodles
2 0 0 168
0 0 0
0 0 38 46 0 0 0 7
19 0 140 85
0 0 5
0 0 5 141 115 0 0 12
20 1 0 336
0 0 4
0 0 85 282 6 0 0 9
Trdp Mario Noodles
8
3
0
0 17 0 57 144 0 5 11 0 62 178 9 0 0 14
0
40 19 140 647 144 0 13 11 0 190 648 131 0 0 43
11
0 6 0 185 3 135 0 0 0 62 243 0 0 0 6
0
0 0 0 155 36 99 0 0 0 47 143 3 0 0 8
0
0 0 0 120 0 35 5 0 0 37 112 0 34 3 5
42
0 0.2 0 105 1.4 6 0 0 0 0 104 0 52 0 0
0
0 6 0 565 40 275 5 0 0 146 601 4 86 3 19
42
8 20 0 195 9 4 0 0 0 64 219 0 36 0 0
0
0 1 0 46 0 4 0 0 0 109 298 0 18 0 0
68
Total
284
528
749
504
2065
648
496
394
269
1807
561
548
Oct- 22 3 0 0 12 0 0 0 0 0 9 24 0 0 0 0
22
56
Nov- 22 1 0 0 124 0 0 0 0 0 0 94 0 0 0 0
Dec- 22 0 0 0 95 1 0 0 0 0 0 67 0 10 0 0
0
0
Q3-23
4 0 0 231 1 0 0 0 0 9 185 0 10 0 0
22
218
173
447
Nestle dominates spending. Other players seek to leverage price gap.
17
Pasta: Competition Spends
Tracked Brands (in Million)
Bambino Pasta
Sunfeast Yippee pasta
Keya Italiano Pasta
Maggi Pazzta
Maggi Pazzta Cheese Macaroni
Savorit Pasta
Weikfield Pasta
Total
0
0
0
0
0
11
0
11
Q1-21 Q2-21 Q3-21 Q4-21 FY- 21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23
Oct- 22
Nov- 22
Dec- 22
Q3-23
0
90
0
0
0
0
0
0
1
0
0
1
0
24
26
47
30
2
0
0
24
83
1
93
0
50
77
14
24
259
0
0
0
1
2
0
0
3
0
1
0
0
0
0
4
5
1
4
13
0
0
1
0
18
1
0
0
0
0
0
0
1
2
5
13
1
2
1
4
27
0
1
0
0
0
1
0
2
0
1
0
0
0
5
0
6
2
3
0
0
0
2
0
6
0
2
0
0
0
0
0
2
0
0
0
0
0
0
0
0
2
5
0
0
0
2
0
8
90
75
Very low spend levels continue.
18
Soups: Competition Spends
Tracked Brands (in Million)
Q1-21 Q2-21 Q3-21 Q4-21 FY-21 Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23
Oct- 22
Nov- 22
Dec- 22
Q3-23
Chings Instant Soups
0
Knorr Chicken Delite Soup
Knorr Chinese Manchurian Knorr Hot and Sour Chicken Knorr Hot & Sour Veg Soup
Knorr Thick Tomato Soup
Knorr Soup
37
23
51
0
29
42
0
0
1
66
23
107
0
0
51
0
0
8
0
0
5
22
0
0
31
83
0
0
0
84
0
0
36
198
0
0
19
0
0
65
231
244
191
731
100
143
258
84
586
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
29
0
29
0
77
71
0
0
0
0
0
82
52
0
0
0
40
33
6
0
5
0
0
0
0
7
0
73
11
7
98
31
46
34
111
0
0
0
0
0
0
Total
85
350
338
216
989
108
171
373
197
849
148
232
77
85
Knorr remains dominant spender.
55
0
96
55
0
258
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Q3 & YTD Summary
• Largely navigated Commodity Inflation without derailing Volume
Trajectory on Foods - moderate YTD Growth of c10%. Work underway to overcome the base impact of Covid19 on RTC Volume.
• Oils Margins stable despite impact of the Ukraine War. Higher margins have come however at a cost in terms of Volume and planning underway to address the consequent impact on FY’24.
• Foods Margins recovering to pre Covid19 levels with expectations
of further improvement in FY’24.
• Diverse Foods portfolio clearly helping to ensure a steady, sustained
and profitable growth.
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On Our Way……
The Best Performing Most Respected Foods Company in India
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