Allied Blenders and Distillers Limited
5,624words
14turns
0analyst exchanges
0executives
Key numbers — 40 extracted
rs,
RS 2
15.5%
12.9%
14%
94.7%
17 bps
541 bps
₹ 48
₹ 2,346
₹ 120
12.3 %
Guidance — 2 items
Industry Outlook
opening
“• • • Expect growth momentum to maintain as consumer sentiments remain positive Experience-driven consumption is driving significant growth in the P&A category Input Cost - Grain & ENA prices expected to stay neutral to soft while glass & pet prices to remain stable”
Market Opportunity
opening
“16 16 *Announced in October, 2024 PREMIUM TO LUXURY PORTFOLIO BUILD UP New Business Venture (ABD Maestro Pvt Ltd) To Offer Super Premium-to-Luxury Portfolio • • Bollywood Superstar and Pop Culture Icon – RANVEER SINGH – Business & Creative Partner Blending world-class products, sourcing and craftmanship with rich, vibrant flavours of India • Quick decision-making, proactive work to market trends, specialized marketing expertise • Commercial operations expected within Q4 FY25”
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Risks & concerns — 1 flagged
management tool Enterprise-wide compliance • Strengthening Enterprise Management (ERM) Framework: Risk Appointed as ERM Partner Future Ready Transformation Initiatives Where we were?
— ComRisk
Speaking time
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Opening remarks
Industry Outlook
• • • Expect growth momentum to maintain as consumer sentiments remain positive Experience-driven consumption is driving significant growth in the P&A category Input Cost - Grain & ENA prices expected to stay neutral to soft while glass & pet prices to remain stable
Topline Growth
• Grow aggregate market share of 4 millionaire brands • Consolidate P&A whisky segment through 3 millionaire brands • • Three-pronged model – Build, Buy, Partner to drive Premium-to-Luxury category portfolio Expansion in selective exports markets. Launch Zoya and Arthaus in International markets in CY26
Continued focus on improving profitability
• Gross Margin improvement driven by premiumization, profitable state brand mix and operational efficiencies • While investments in new brands to drive new category growth
Strengthening Balance Sheet
• Optimizing working capital cycle by improving supply chain efficiencies • Overdues from the key Southern state continue to impact the industry and expected to normalize progressively • Prudent Capital Allocation to further enhance overall ROCE • • 9 Long Term Future Ready Framework Established to Drive Value Creation Journey KEY STRATEGIC INITIATIVES UNDERTAKEN Continued Expansion of Premium to Luxury Portfolio Supply Chain Security - Improve Profitability through Enhancing Backward Integration Capabilities Broadening Horizons - Expanding Exports Markets Enhancing Governance framework 10 10 Initiatives undertaken during FY25 …Gearing up for ABD Future Ready Framework 5000 4500 4000 3500 3000 2500 2000 1500 1000 500 ) ( U K S l m 0 5 7 P R M CONTINUED EXPANSION OF PREMIUM AND LUXURY PORTFOLIO MASS PREMIUM PRESTIGE & ABOVE PREMIUM TO LUXURY 5000 4800 Russian Standard Platinum Vodka 3000 Arthaus Collective Blended Malt Whisky 2600 Woodburns Whisky Russian Standard Gold Vodka 680 780 100
Market Potential
- - Premium rum market with estimated mid-teen annual growth rate Pan India footprint and overseas market 12 * Board of Directors of ABD approved acquisition of up-to 51% stake in Good Barrel Distillery Pvt Ltd in Jan-25 WOODBURNS EXPANSION INTO SUPER PREMIUM WHISKY SEGMENT Expands into Super Premium Whisky category through acquisition* of Woodburns Contemporary Indian Whisky Woodburns: A rich Indian malt whisky aged in handcrafted barrels and made using 100% Indian ingredients Transaction: Acquisition of the IP rights* for the brand Woodburns and others from Fullarton Distilleries Private Limited for ₹ 39.5 Cr. Current Market: Present in 3 states & Union territories and expansion plan in place for 6 states
Market Potential
- Super Premium whisky market with estimated early teens annual growth rate - Pan India footprint and overseas market 13 * Board of Directors of ABD approved acquisition of all the brands and other Intellectual Property Rights for aggregate purchase consideration of ₹ 39.5 Cr. (excluding applicable taxes and levies) in Jan-25 AWARDS ZOYA FORAY INTO THE SUPER PREMIUM SEGMENT • 1st non whisky super premium brand launched in high growth, high margin category • Available in 6 key states of Haryana, Maharashtra, Rajasthan, Goa, West Bengal and Chandigarh • Two new flavors launched in Maharashtra - Watermelon Gin and Espresso Coffee Gin • Being launched in additional markets including UAE in Q4FY25 The ZOYA Range 14 ARTHAUS FORAY INTO LUXURY SEGMENT • 1st Blended Malt Scotch Whisky • Crafted from a blend of Single Malts from Speyside and the Highlands • Features a perfect balance of depth and sophistication, with rich, distinctive flavor notes • Inspired from the Bauhaus Movement that reflec
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