Som Distilleries & Breweries Limited has informed the Exchange about Investor Presentation

SOM DISTILLERIES AND BREWERIES LIMITED Registered Office: I-A, Zee Plaza, Arjun Nagar, Safdarjung Enclave, Kamal Cinema Road, New Delhi - 110029 Phone: +91-11-26169909, 26169712 Fax: +91-11-26195897 Corporate Office: SOM House, 23, Zone II, M.P. Nagar, Bhopal, Madhya Pradesh – 462011 Phone: +91-755-4278827, 4271271 Fax: +91-755-2557470 Email : compliance@somindia.com Website: www.somindia.com CIN : L74899DL1993PLC052787 (BSE : 507514, NSE : SDBL)

SDBL/BSE/NSE/2023 To

02.08.2023

The Manager, Listing Department, NATIONAL STOCK EXCHANGE OF INDIA LIMITED ‘Exchange Plaza’ C-1, Block G, Bandra-Kurla Complex, Bandra (E), Mumbai-400 051. cmlist@nse.co.in Security ID: SDBL

Dy. General Manager, Department of Corporate Services, BSE LIMITED,

First Floor, P.J. Towers, Dalal Street, Fort, Mumbai – 400001. corp.compliance@bseindia.com Security ID: 507514

SUB.: (STANDALONE AND CONSOLIDATED) FOR THE QUARTER ENDED JUNE 30, 2023

INVESTORS PRESENTATION – UNAUDITED FINANCIAL RESULTS

Dear Sir/Madam,

In terms of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed Investors Presentation on Unaudited Financial Results (Standalone and Consolidated) for the Quarter ended June 30, 2023.

The same has also been uploaded on the Company’s website www.somindia.com.

This is for your information and records please.

For Som Distilleries and Breweries Limited

Nakul Kam Sethi Executive Director DIN: 06512548

SOM Distilleries & Breweries Limited (BSE: 507514, NSE: SDBL)

Earnings Presentation Q1 FY2024

Q1 FY2024 Earnings Conference Call

Conference Call Details: Tuesday, 02nd August 2023 at 4:00 PM IST

Diamond Pass

Primary Number

Link

+91 22 6280 1527 / +91 22 7115 8322

The number listed above is universally accessible from all networks and all countries.

Toll Free Number

USA: 1 866 746 2133 UK: 08 081 011573 Singapore: 800 101 2045 Hong Kong: 800 96 4448

This presentation contains statements that contain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to SOM Distilleries & Breweries’ future business developments and economic performance. While these forward looking statements indicate our assessment and future expectations concerning the development of our business, a number of risks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macro-economic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. SOM Distilleries & Breweries undertakes no obligation to publicly revise any forward looking statements to reflect future / likely events or circumstances.

2

Company Profile

SOM Distilleries: The only listed Beer and IMFL company in India

Business Overview

Beer Brands

•

•

SOM Distilleries & Breweries Limited (SDBL) is based in Bhopal and is one of the leading alcoholic beverages manufacturers in India

SDBL is primarily engaged in production of beer and blending and bottling of IMFL

• Offers a broad line of products at every price point to cater to varied preferences of the consumers. The product portfolio consists of various options across beer, rum, brandy, vodka and whisky

• The Company has three key millionaire brands (sales more than 1 mn

cases per annum) – Hunter, Black Fort and Power Cool

•

Launched Woodpecker Wheat Beer, India’s first filtered wheat beer in FY2020

• New products introduced with seasonal themes to increase consumer traction and engagement – Hunter Pint Beer and different flavors of RTD drinks

IMFL Brands

4

Investment Case

• Only listed company in India having both Beer and IMFL, which complement each other and reduces the risk of seasonality while providing marketing efficiencies

•

•

Strong portfolio of brands including millionaire brands, Hunter, Black Fort and Power Cool

Continuous product innovations to capitalize on seasonal themes and enhance consumer traction and engagement

• Woodpecker Wheat Beer, India’s first filtered wheat beer has created a niche for

itself and is expected to gain further momentum

Millionaire Brands

•

Focus on enhancing brand presence through CSD and market expansion in states such as Uttar Pradesh and Delhi in addition to existing stronghold markets • Expanded capacity provides headroom for volume growth in medium term •

Lower penetration of beer and favorable demographic profile to provide huge scope for industry growth

• The capex plans for Bhopal, Hassan, and Odisha have been completed, and the

commercial production has commenced

5

Q1 FY2024 Performance

Q1 FY2024 Financial Highlights

Key Highlights: Q1 FY2024 vs Q1 FY2023

Beer Sales Volume

65.8 Lakh Cases +39.2 %

IMFL Volume

2.2 Lakhs Cases +17.4 %

Total Income

Rs. 3,866 mn +51.0 %

EBITDA

Rs. 501 mn +39.7 %

Net Debt / EBITDA 3.0x +36.1 %

PAT

Rs. 337 mn +31.2 %

7

Performance Discussion

Operational efficiencies leading to better cost management

Volume and Sales

• Recorded beer volume of 65.8 lakh cases (39.2% y-o-y)

• Recorded IMFL volume of 2.2 lakh cases (17.4% y-o-y)

• Beer revenue of Rs. 3,680 million; over 53.7% of Q1 FY23

• Our mainline brands; Hunter, Black Fort and Power Cool, registered volume growth of 7.0%, 95.2% and

50.8%, respectively as compared to Q1 FY23

Realization

• Beer realization for Q1 FY24 was Rs. 559 per case compared to Rs. 506 in Q1 FY23; primarily driven by

price hikes and better brand mix

•

IMFL realization for Q1 FY24 was Rs. 760 per case as compared to Rs. 791 in Q1 FY23

Cost

• The inflationary trend in the prices of the raw materials is yet to normalize especially in glass bottles

8

Management Commentary

We are pleased to announce that we have started fiscal 2024 on a strong note, delivering a strong performance in the first quarter. Despite facing inflationary pressures, our strategic focus on revenue growth and operational efficiency has yielded robust results, driving sustainable growth across all segments of our business.

During this quarter, we saw significant growth in total income, with a growth of 51.0% on y-o-y strategies. basis, highlighting the effectiveness of our Additionally, our net profit recorded an increase of 31.2% on y-o-y basis, reflecting the successful implementation of cost-saving measures and operational improvements.

revenue growth management

Moreover, we are thrilled to share our market share expansion in key regions such as Madhya Pradesh, Odisha and Karnataka. This underscores our commitment to excellence and our ability to capitalize on market opportunities, establishing our position as a leader in the industry. Our flagship beer, Hunter, has achieved a milestone by emerging as the number one selling brand of strong beer in the highly competitive state of Delhi for the month of May 2023. This accomplishment speaks volumes about the quality and popularity of Hunter among beer enthusiasts, further reinforcing our brand's appeal.

As we move forward, our relentless pursuit of excellence and customer-centric approach will continue to be the driving forces behind our achievements as we navigate the dynamic business landscape

Mr. JK Arora, Chairman (SOM Group of Companies)

9

Q1 FY2024 Financial Highlights

Performance Highlights

(Rs. Million)

FY2024

FY2023

Growth (%)

FY2023

FY2022

Growth (%)

Q1

Y-o-Y

12M

Y-o-Y

Total Income

Gross Profit

Margin (%)

EBITDA

Margin (%)

Interest

Depreciation

Net Profit

Margin (%)

3,866

1,397

36.1%

501

13.0%

32

43

337

8.7%

2,561

1,116

43.6%

359

14.0%

35

42

257

10.0%

51.0%

25.1%

39.7%

(10.1)%

0.6%

31.2%

8,080

3,227

39.9%

1,034

12.8%

160

170

603

7.5%

3,655

1,581

43.3%

196

5.4%

154

168

(98)

(2.7)%

121.1%

104.2%

nm

4.0%

1.4%

nm

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Leverage Profile

(Rs. Million)

Secured Borrowings

Unsecured Borrowings

June 30 2023

Mar 31 2023

1,050

1,330

900

1,092

Gross Debt-Consolidated

1,950

2,422

Less: Cash & Cash Equivalents

(440)

(126)

Net Debt

1,510

2,296

Gross Debt / Equity (x)

Net Debt / EBITDA (x)

0.5x

3.0x

0.6x

2.2x

• Gross Debt significantly decreased by Rs. 472 million, showcasing the company's efforts to reduce its debt burden

a

• Net Debt witnessed

substantial reduction of Rs. 786 million, reflecting and strong commitment to deleveraging its balance sheet, which remains a key strategic priority

flow generation

cash

12

Key developments for Q1 FY24

Gaining Market Share

Capacity Expansion

•

Strengthening position as the dominant leader in Madhya Pradesh with the biggest market share of nearly 46% in June 2023 compared to May 2023, which was 42%

• Market share in Karnataka reached 20% in May 2023, compared to 3% in FY19-20, highlight our effective

expansion strategy

•

•

•

•

•

•

Became the second largest player in Odisha’s beer market with 18% market share as of June 2023 as compared to 12% in June 2022

Commercial production at the Hassan plant, Karnataka, has commenced after the successful trial production for increased beer capacity, enhancing production capabilities to meet growing demand

The expanded canning line at Bhopal is now in full commercial production, enabling greater efficiency in packaging operations

Strategic tie-up with Carlsberg now started production at our plant in Odisha. meeting the highest industry standards while minimizing its environmental footprint

Flagship brand, 'Hunter' has achieved remarkable success and proudly holds the top spot as the best- selling strong beer in Delhi

Power Cool has established itself as the brand of choice in Karnataka

Brand success

• Woodpecker beer sold more than 1 lakh cases in Q1 FY2024

•

Launched Woodpecker in 5 litre kegs in Bangalore

13

Operational Highlights

Volume Summary

Q1

Lakh cases

FY2024 FY2023

Y-o-Y Growth (%)

12M

FY2023 FY2022

Y-o-Y Growth (%)

Hunter

21.4

20.0

7.0%

49.4

24.8

99.5%

Black Fort

14.0

7.2

95.2%

19.9

12.0

65.9%

Power Cool

29.3

19.4

50.8%

78.5

27.9

181.8%

Woodpecker

1.1

0.6

83.4%

1.7

1.3

27.5%

Total Beer

65.8

47.3

39.2% 149.6

68.3

118.9%

Total IMFL

2.2

1.9

17.4%

8.9

5.7

55.5%

Total Volume

68.0

49.2

38.3% 158.5

74.0

114.1%

• Hunter beer showed a sustained y-o-y growth,

affirming its popularity in the market

• Black Fort beer saw a surge in demand, with volume increasing by around ~2x compared to y-o-y basis

• Power

Cool

strong expansion, reflecting its growing presence in the market

demonstrated

beer

• Beer accounted for 96.8% of total volumes and 95.2% of the revenue during Q1 FY24

• Price realization for Beer during Q1 FY24 was Rs. 559 and IMFL was Rs. 760; blended realization at Rs. 568

15

Millionaire Beer Brands – Volume Consolidation

) s e s a c h k a l n i ( d l o S y t i t n a u Q

20.0

21.4

14.8

9.0

5.6

Q1 FY2023

Q2 FY2023

Q3 FY2023

Q4 FY2023

Q1 FY2024

14.0

7.2

3.4

3.6

5.7

Q1 FY2023

Q2 FY2023

Q3 FY2023

Q4 FY2023

Q1 FY2024

19.4

16.0

17.0

26.1

29.3

Q1 FY2023

Q2 FY2023

Q3 FY2023

Q4 FY2023

Q1 FY2024

16

Sustainability

Environment: Committed to minimizing environmental impact across the full range of our operations

Environmental Reporting: We recognize that we are operating in a world where many natural resources that our business relies on, such as fossil fuels and water, are limited. We are committed to: • Working to extend environmental standards further through our supply chain • We are also increasingly engaging employees across our offices through our PARTNERGREEN program

Clean Technology Initiatives: •

Seeks to improve its environmental performance by adopting cleaner production methods, promotion of energy efficient and environmental friendly technologies Suitable processes and systems are developed with contingency plans and processes that help in preventing, mitigating and controlling environmental damages caused due to the Company’s operations

•

Waste Reduction Initiatives: • Disposed some of the factory waste as scrap to get it recycled and re-use the same in production works • • Deployed sewage treatment plants at its projects and factory sites which treat and re-cycle wastewater for reusing in

Initiated waste management by re-cycling waste into compost used for agriculture

watering plants and toilets

SOM Distilleries & Breweries ESG Profile Link: https://bit.ly/364ur49

18

Social: Actively contributing to the social, economic and environmental development of the community in which we operates

Product Quality • Providing the best quality products and services to its consumers. SOM provides high-quality product assurance by -

o Maintaining international standards and specifications for its products

o Continuous research to enhance product quality, building facilities for quality monitoring and assurance

o Developing new products to meet the ongoing and changing requirements of the market

Customer Centric Approach • Periodical consumer surveys and mapping of customer satisfaction trends are considered and utilised by the Company

on a regular basis as effective tools of business strategy to understand the customers and their needs better

•

In addition, through the Company’s website tab, customer’s views are invited to understand the satisfaction level and trend

Community Support •

Contributions to the Asha Mohan Foundation for construction of a full-fledged diagnostic centre for the lesser privileged patients at substantial lower charges for tests as compared to conventional centres

•

Contributions to the school being run for underprivileged children and hospitals

SOM Distilleries & Breweries ESG Profile Link: https://bit.ly/364ur49

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Governance: With strong sense of values and commitment, we believe that profitability must go hand in hand with a responsibility

Experienced and Skilled Board of Directors • Optimal blend of Executive and Non-Executive Directors with an appropriate balance of skills, experience, diversity

and independence. The Board of Company comprised of six (6) Directors:

o 2 Executive Directors ( including Managing Director)

o 4 Non- Executive Non-Independent Directors

Regular Self-Assessment of Board Performance • The Board have process in place for the annual performance evaluation of its own performance, the Directors

individually as well as the evaluation of the working of its various committees

• A structured questionnaire was prepared after taking into consideration inputs received from the Directors, covering various aspects of the Board’s functioning such as adequacy of the composition of the Board and its Committee, Board Culture, execution and performance of specific duties, obligations and governance

SOM Distilleries & Breweries ESG Profile Link: https://bit.ly/364ur49

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SOM Distilleries & Breweries Limited (BSE: 507514, NSE: SDBL)

(CIN: L74899DL1993PLC052787)

Registered Office: Zee Plaza, 1 - A Kamal Cinema Road Arjun Nagar Safdarjung Enclave New Delhi 110029

Corporate Office: SOM HOUSE 23, Zone II Maharana Pratap Nagar, Bhopal 462011 Ph.: +91 755 427 8827

Nakul Sethi SOM Distilleries and Breweries

nksethi@somindia.in +91 755 4271271

Anvita Raghuram / Kavin Sadvilkar Churchgate Partners

som@churchgatepartners.com +91 22 6169 5988