Snowman Logistics Limited has informed the Exchange about Investor Presentation
November 06, 2023
National Stock Exchange of India Limited Exchange Plaza BandraKurla Complex Mumbai – 400 050 Ph No: 2659 8452 Fax No: 2659 8237/38 Email: cmlist@nse.co.in Scrip Code: SNOWMAN
Dear Sir/Madam,
Sub: Investor Presentation
BSE Limited Department of Corporate Services PhirozeJeejeebhoy Towers Mumbai – 400 001 Ph No: 22727 1233/34 Fax: 2272 1072/ 2037/2061/ 41 Email: corp.relations@bseindia.com Scrip Code: 538635
We herewith enclose investor presentation for the quarter and half year ended 30th September 2023.
Kindly take the information on record
For Snowman Logistics Limited
Kiran George Company Secretary & Compliance Officer
Corporate office Snowman Logistics Ltd. No. 54, Old Madras Road, Virgo Nagar, Bangalore, India - 560 049 CIN: L15122MH1993PLC285633 T (080) 67693700
, Karnataka
R
Regd. Office: Plot No. M-8, Taloja Industrial Area, MIDC, Raigad, Navi Mumbai, Maharashtra -410206
CIN: L15122MH1993PLC285633 T +91 22 39272004 E info@snowman.in W www.snowman.in
Snowman Logistics Ltd.
(BSE: 538635 | NSE: SNOWMAN)
Q2 and H1 FY2024 Earnings Presentation (06th November 2023)
INTEGRATED TEMPERATURE-CONTROLLED LOGISTICS SERVICE PROVIDER
Snowman: Business Overview
• Network Advantage - Ability to offer customers the largest Pan-India cold chain network for storage and distribution
• Expansion Plans – Planned expansion basis our customers’ requirements to reach new markets & to address the demand of the organised sector
• Technology Driven - Snowman has developed customised software & apps for increasing efficiency of operations
• 25+ Years of Experience - Snowman has
innovated best practices and is a knowledge leader in the industry
• Customer Trust & Satisfaction - Full visibility &
transparency provided to customer using in-house tech platforms & many uninterrupted years of satisfactory customer service
2
Performance Highlights: Q2 FY24
Total Income and Growth (YoY)
EBITDA and Margin
Rs. in mn
54.2%
46.9%
22.0%
19.6%
14.5%
20.3%
1,096
1,300
1,256
241
254
255
Q2 FY23
Q1 FY24
Q2 FY24
Q2 FY23
Q1 FY24
Q2 FY24
Total income
Growth (%)
EBITDA
EBITDA Margin (%)
Net Income and Margin
2.6%
2.4%
2.3%
27
34
29
Q2 FY23
Q1 FY24
Q2 FY24
Net Income
Net Income Margin (%)
3
Performance Highlights: H1 FY24
Income and Growth (YoY)
EBITDA and Margin
Rs. in mn
20.6%
2,902
FY22
46.5%
43.9%
29.0%
25.4%
22.6%
22.9%
19.9%
4,252
1,981
2,555
FY23
6M FY23
6M FY24
738
FY22
961
FY23
454
510
6M FY23
6M FY24
Total income
Growth (%)
EBITDA
EBITDA Margin (%)
Net Income and Margin
3.2%
134
2.3%
46
2.5%
63
0.6% 17
FY22
FY23
6M FY23
6M FY24
4
Management Commentary
Sunil Nair, CEO & Whole-time director
During the quarter, we reported a Total Income of Rs. 1,256 million a growth of 14.5% on Y-o-Y basis. Our EBITDA in Q2 FY24 was Rs. 255 million, with its margins at 20.3%. Our PAT recorded a growth of 9.5% at Rs. 29 million on Y-o-Y basis. This growth is primarily attributed to the expansion in the 5PL segment. This segment’s success positions us well for sustained expansion and opens new avenues for future opportunities and profitability.
In the first half of this fiscal year, Snowman Logistics has achieved significant milestones and made strategic moves to enhance our position in the industry. Our new facility at Guwahati has a storage capacity of 5,152 pallets over 53,964 square feet. This newly leased facility is earmarked for cold storage operations and is scheduled to become operational in Q3 FY24. Our strategic alliance with Tim Horton is steadily growing and expanding. As their national partner, Snowman remains dedicated to serving them in pivotal regions, including Delhi, Punjab, Mumbai, and Bangalore. These developments emphasize our steadfast commitment to delivering high-efficiency, dependable services to our clientele.
Snowman Logistics has been proactive in expanding our infrastructure, improving distribution capabilities and forming strategic partnerships in the first half of this fiscal year. These developments reflect our commitment to providing top- notch services while strengthening our presence in the industry. We look forward to the second half of the fiscal year with optimism as we continue to pursue our goals of growth and excellence.
5
Key recent developments
Snowman has recently entered into a lease for a cold storage warehouse in Guwahati
•
The facility has a substantial storage capacity, with 5,152 pallets, covering an expansive area of 53,964 sq ft. Operations will commence in Q3 FY24
Deployed 20 brand new 40-foot trailers and 50 brand new reefers
• We are pleased to announce the deployment of 20 brand new 40-foot trailers and 50 new reefer trucks, marking Snowman's entry into the trailer business for city distribution. This strategic move represents our commitment to expanding and enhancing our distribution capabilities in the region, enabling us to provide even more efficient and reliable services to our valued clients
6
End Customer Industry Revenue
Category
QSR & RTC
Dairy & Ice Cream
E-Commerce
FMCG & Others
Agriculture
Meat, Seafood & Poultry
Healthcare & Pharma
Q2 FY24 Q2 FY23
Y-o-Y
Q1 FY24
Q-o-Q
H1 FY24 H1 FY23
Y-o-Y
Rs. in mn
268
454
46
119
113
191
49
228
366
40
103
104
192
54
18%
24%
16%
16%
9%
-
(10)%
277
488
43
116
130
180
52
(3)%
(7)%
8%
3%
(14)%
6%
(7)%
545
942
89
235
243
372
101
429
572
79
200
230
343
106
Revenue from operations
1,240
1,086
1,288
2,528
1,959
27%
65%
12%
18%
6%
8%
(5)%
7
Financial statement
Category
Q2 FY24 Q2 FY23
Y-o-Y
Q1 FY24
Q-o-Q
H1 FY24 H1 FY23
Y-o-Y
Rs. in mn
Revenue from contracts
1,240
1,086
Other Income
Total Income
COGS
Operating Expenses
Employee benefit expenses
Other Expenses
EBITDA
Margin (%)
EBIT
Margin (%)
PAT
15
10
1,256
1,096
323
460
95
123
255
253
403
83
116
241
20.3%
22.0%
107
8.5%
29
109
9.9%
27
14.2%
49.5%
14.5%
27.6%
14.1%
14.1%
5.6%
5.9%
(1.3)%
1,288
(3.7)%
2,528
1,959
12
27.8%
27
22
1,300
(3.4)%
2,555
1,981
(10.8)%
0.4%
3.6%
(8.4)%
0.5%
(9.4)%
363
458
91
134
254
19.6%
118
9.1%
686
918
186
257
510
253
874
166
234
454
19.9%
22.9%
225
8.8%
193
9.8%
46
29.0%
23.8%
29.0%
nm*
5.0%
11.9%
9.6%
12.3%
16.5%
38.4%
9.5%
34
(13.4)%
63
Margin (%)
2.3%
2.4%
2.6%
2.5%
2.3%
nm* - Trading segment numbers reflects only for Q2 FY23. Since this business was started from 1st July 2022
8
Segment Revenue
Rs. in mn
Segment
Q2 FY24 Q2 FY23
Y-o-Y
Q1 FY24
Q-o-Q
H1 FY24 H1 FY23
Y-o-Y
Warehousing Services
Transportation Services
Trading and Distributions
Consignment Agency Services and Others
564
320
357
-
517
290
279
-
9.0%
10.2%
27.8%
557
324
407
-
1.2%
1,121
1,018
10.0%
(1.3)%
(12.2)%
643
764
-
632
279
30
1.9%
nm
nm
Total Revenue
1,240
1,086
14.2%
1,288
(3.7)%
2,528
1,959
29.0%
9
Leading integrated temperature-controlled logistics
• Snowman Logistics Ltd was incorporated in 1993 and Gateway Distriparks acquired a majority stake in 2006
• Pan India network of 44 warehouses across 18 cities
•
Integrated service offering of warehousing services, transportation, and distribution bundled with value added services
• Modern facilities with high quality infrastructure across the country
• Expansion plans to increase warehousing presence for catering to the fast-growing demand of the organised sector
• Snowman is first Indian cold chain company to introduce 5PL services, which offer innovative and integrated solutions
13 Customer industries
91% Capacity utilization
750+ Customers
2,400+ Workforce
8,28,788 Pallets handled
10
Key Asset Details
Warehouse Division
19
Cities
45
Warehouses
1,36,753
Pallet Capacity
103
Dedicated vehicles
200+
Vehicles on need basis
Transport Division 301
Owned Vehicles
600+
Total Vehicles
11
Product portfolio catering to major industry sectors
% of Sales for H1 FY24
37%
22%
15%
10%
9%
4%
4%
• Dairy • Ice cream • Butter
• QSR • RTC
Dairy & Ice cream
QSR & RTC
• Meat • Poultry • Seafood
Meat, Seafood & Poultry
• Agri
• Confectionery • Industrial • Others
• Healthcare • Pharma
• Amazon
Agriculture
FMCG & Others
Healthcare & Pharma
E-comm
12
Integrated offerings across value chain
Imports / Plant
Snowman Warehouse
Customer
Trade Market
Secondary Transportation
or
or
Primary Transportation
Dedicated Warehouse
provides end-to-end consultancy services
Warehousing Segment
Distribution Segment
Value Added Services Segment
13
Customer Value-add Services (1/2)
SNOWEXPERTS
SNOWAGENT
Secondary, inter-state & intra-city
Secondary, inter-state & intra-city
Consultancy Business • Customized solutions
• Network solution
• Processes and audits
• Consultation in supply chain
Project Management
• Warehouse transition
• System transition
• Fleet transition
• Market entry
CFA / Super stockists
• Forecasting
• Material planning
• Procurement
• Stock management
• End to end including billing and
collection
14
Customer Value-add Services (2/2)
• First Indian company to introduce 5PL in the cold chain logistics /
SCM sector
• 5PL leverages technologies to drive highly efficient networks,
guaranteeing the best optimization in the entire value chain
• Sourcing services and getting the best contracts in place for client
companies
• Strong & efficient ecosystem for supply chain for fast & accurate
deliveries
• Started rendering service to IKEA, Baskin Robbins and Tim Hortons
Key Features
• Forecasting
• Material Planning
• Sourcing and Procurement
• Stock Management
•
Inventory Ownership
• Vendor Management
• Compliance Management
• End-to-End Service including
Billing and Collections
• Vendor Audits
Goods
Logistics
Packaging
Warehouse
Delivery
Store
15
Warehouse Division
SNOWPRESERVE Temperature-controlled warehouses (-25o C to +25o C)
Warehousing • Dedicated and variable model
Key Features • Strategically located warehouses
• Shared and dedicated facilities
• Multi-purpose separate chambers
• Fulfilment centres
• Separate ante room
• Bonded warehouses
• Packing rooms
• Receipt, pick, pack & dispatches
• Reefer plug for transport vendors
• Returns management
• 100% power backup
• Rooftop Solar Customer Value Add • Packing, repacking, labelling
• EXIM operations
• Blast freezing
•
Integrated with solar power
• G+4/G+5 racking
16
Warehouse Division
SNOWSERVE
Fulfilment centres for eCommerce clients
Dedicated Warehousing • Customer dedicated facilities
Key Features • Dedicated warehouses built to
• Customized services
• Repacking, bundling and
specification
• eCommerce back-end
related
• Techn-driven controls and processes
• Warehouse, manpower,
• Operations by Snowman team
compliance
management
• High throughput inward/ outward
handling
• Strategic support
• Cargo consolidation
• Includes all SnowPreserve
• Sorting, repacking & labelling
services
•
Inventory management
• 24x7 operations
17
Nation-wide storage capacity
Total Pallet Capacity 1,36,753
Derabassi
Jaipur
Ahmedabad
Surat
Mumbai
Delhi
Siliguri
Tauru
Kolkata
Bhubaneshwar
Visakhapatnam
Pune
Bengaluru,
Shoolagiri
Coimbatore
Kochi
Hyderabad
Krishnapatnam
Chennai
18
Transport Division
SNOWLINE Long haul primary transportation
Dedicated Warehousing • From: Suppliers /manufacturing
To: CWH, HUB,CFA
Key Features • Load capacity 12 to 18 Ton
• From manufacturers to mother warehouse to distribution centre
• Transportation of cold and
• Flexible billing solutions- per KM,
ambient
trip based or dedicated
• Long haul first mile transport
• 24x7 live monitoring through on-
management
premise command centre
• 24x7 tracing of vehicle
• Trip wise building
19
Transport Division
SNOWREACH Secondary, inter-state & intra-city distribution
Dedicated Warehousing • Secondary transportation
Key Features • Load capacity less than 12 Ton
• Tertiary (B2B) Distribution
• For inter-state and intra-city
• 24x7 tracking of vehicles
• Multi-temp vehicles used for
• POD Management
• Multi-temp vehicles
• Routing
• Milk run
transporting
• 24x7 live monitoring through on-
premise command centre
20
Expansion Plans
INFRASTRUCTURE
STRATEGY
DEDICATED INFRA
Kolkata Phase -1 (Pallets 5,829) construction is underway
To continue focusing SnowLink, for deeper integration with customers by offering most distribution solutions
O
To augment infrastructure related to Pharma and E-comm
21
Quality Standards
All facilities certified with ISO 14001 (TUV-SUD), ISO 22000 (TUV- SUD) and FSSAI
Cargo profiles based specialised certifications for specific locations
• BRC (British Retail Consortium) • EIA (Export Inspection Agency) • MPEDA (Marine Products Export Development Authority) • Drugs and Cosmetics Act, 1940
Compliant with all International Guidelines, including: • FSMS (Food Safety Management Systems) • GWP (Good Warehousing Practice) • GDP (Good Distribution Practice) • Customs Rules and Regulations for bonded warehouses • Other relevant industry standards
22
Disclaimer
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 Snowman Logistics Limited (“Snowman Logistics” or the Company) 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.
Snowman Logistics undertakes no obligation to publicly revise any forward looking statements to reflect future / likely events or circumstances.
For further information, please contact:
Kiran George Snowman Logistics Limited
Anvita Raghuram / Bhushan Khandelwal Churchgate Partners
+91 80 6769 3700 investorrelations@snowman.in
+91 22 6169 5988 snowman@churchgatepartners.com
23
SNOWMAN LOGISTICS LIMITED Reg office: Plot No. M-8, Taloja Industrial Area, MIDC, Raigad, Navi Mumbai, Raigarh Maharashtra, 410206
Corporate office: No. 54, Old Madras Road, Virgo Nagar, Bangalore, India - 560 049
Phone: +91 80 6769 3700
investorrelations@snowman.in | www.snowman.in