FMCG company DFM Foods announced Q2FY23 results: Q2FY23: Revenue for the quarter stood at Rs 165.0 crore, growing 13.1% on a QoQ basis Managing Director & CEO Lagan Shastri said, "DFM grew revenues 13.1% QoQ, while the extruded market grew by 3.7% over the same period. The company gained 20 bps share QoQ in the extruded market in focus geographies, driven by continued investments in marketing and go-to-market initiatives. Material Margins (excluding new categories) improved QoQ by 410 bps to 40.2% of revenues." Result PDF
Conference Call with DFM Foods Management and Analysts on Q1FY23 Performance and Outlook. Listen to the full earnings transcript.
DFM Foods announced Q1FY23 results: Revenue for the quarter stood at Rs. 145.9 crore, growing 32.1% on YoY basis. Commenting on the Quarter results, Company’s Managing Director & CEO Lagan Shastri said, "DFM grew revenues 32.1% YoY, while the extruded market grew by 20% over the same period. The Company gained 90 bps share YoY in the extruded market in its focus geographies, supported by continued investments in marketing and go to market initiatives. We were also able to control costs well in a challenging inflationary environment to defend material margins (excluding new categories) at 36.1% of revenues." Result PDF
DFM Foods declares Q4FY22 result: 6.8% YoY revenue growth, while recovering from Covid wave 3; over 200 bps YoY share gain in the extruded category in our focus geographies Material margin (excluding portfolio expansion) at 39.1%, up 100 bps sequentially, despite sustained commodity inflation Invested 18.4% of revenue in brand building, Go-to-Market initiatives, talent augmentation and technology investments; vs. 8.7% in Q4 FY21 Weighted distribution of Fritts and Natkhat increased between 340 and 600 bps YoY in our core geography With our sales and marketing efforts, Net Sales grew 6.8% YoY. Net sales impacted by 3rd wave of Covid Unprecedented commodity inflation and investments in portfolio expansion impacted material margins but was partially mitigated by a company-wide cost management programme and higher price realisation Brand investments continued with Advertising and Marketing spends increasing to 14.1% of net sales in Q4FY22 vs. 7.1% in Q4FY21 Investment in Go-to-Market expansion increased to 3.5% of net sales in Q4FY22 vs 1.6% in Q4FY21 Other Expenses increased primarily due to investment in the cost management programme, higher freight costs and one time expenses. Adjusted EBITDA declined largely due to increased investments in brand building and Go-to-Market expansion, technology and talent Despite 2nd and 3rd wave of Covid and ensuing lockdowns substantially impacting the category and the company, revenue grew 5.8% YoY Unprecedented commodity inflation and investments in portfolio expansion impacted material margins but was partially mitigated by a company-wide cost management programme and higher price realisation Brand investments continued with advertising spends increasing to 9.0% of net sales FY22 vs. 3.7% FY21 Investment in Go-to-Market expansion increased to 2.8% of net sales in FY22 vs 1.0% FY21 Other Expenses increased primarily due to investment in the cost management programme and higher freight as well as one-time expenses Adjusted EBITDA declined largely due to increased investments in brand building and Go-to-Market expansion, technology and talent. Result PDF
Conference Call with DFM Foods Management and Analysts on Q3FY22 Performance and Outlook. Listen to the full earnings transcript.
DFM Foods declares Q3FY22 result: Q3 Revenue grew by 14.7% YoY. Company continues to invest in brand building Go-to-Market initiatives, talent augmentation and technology (significant spend 10.9% of net sales). Revenue for the Quarter stood at Rs. 155.3 Cr, growing 14.7% on YoY basis. On QoQ basis, core product gross margin at 38% despite high commodity inflation. Commenting on the Quarter results, Company’s Managing Director & CEO Lagan Shastri said On the back of significant investments in marketing and go to market initiatives, DFM grew 14.7% YoY while the savoury snacks market grew by 10.6% over the same period. DFM gained over 360 bps of YoY share in extruded market of focus geographies. Despite sustained commodity inflation, material margins (excluding new categories) are @ 38%. Result PDF
Highlights: Revenue for the Quarter stood at Rs. 147.1 Cr, growing 33.2% on QoQ basis. Core product gross margin remains stable at 39%. Company continues to invest in brand building and Go to Market (significant spend 11.5% of net sales) Adjusted EBITDA for the quarter at -0.2% Commenting on the Quarter results, Company’s Managing Director & CEO Lagan Shastri said, "On the back of significant investments in marketing and go to market initiatives, DFM grew 33% QoQ while the extruded market declined by 1% over the same period. DFM gained over 130 bps of QoQ share in focus geographies. Despite high sustained commodity inflation, material margins (excluding new categories) are stable QoQ @ 39%." Result PDF