FMCG firm ADF Foods announced Q3FY23 results: Q3FY23: Revenue from operations Rs 99.8 crore up +14.5%. EBITDA Rs 25.7 crore up +79.1%. Profit after tax Rs 19.2 crore up +79.1%. Commenting on the Results, Mr. Bimal Thakkar – Chairman & Managing Director said, “I am pleased to announce another quarter of robust performance by the ADF team. This quarter saw the highest ever quarterly Revenue and PAT for our standalone & consolidated business. The demand for our products continues to remain strong and to support this momentum, the Company has launched new products under its existing brands that meet the ever evolving consumer tastes and preferences. Further, the initial response to ADF Soul is very encouraging and the Company has added more products to further penetrate the Indian market. We are seeing some easing in freight costs and are monitoring this very closely. Our debottlenecking efforts in the existing plants, a healthy product mix and cost optimisations will help us improve our growth and margins” Result PDF
ADF Foods announced Q2FY23 results: Revenue from operations Rs 155.3 crore up 17.3%. Gross Profit Rs 87.3 crore up 17.0% EBITDA at Rs 22.8 crore Profit After Tax at Rs 20.5 crore Bimal Thakkar, Chairman & Managing Director, said, “Demand for our products continues to be strong. I am happy with the performance of our ADF team as we have achieved strong and profitable growth and are on our path to achieve strategic goals. We are pleased to announce launch of new products under ADF Soul brand in India through ecommerce platforms. Products like pickles and chutneys have been launched initially, with a strong pipeline of products to be added under the international gourmet category. With the on-going festive season, the demand for our products looks robust and we expect this to prevail going forward as well. We are seeing consistent growth and resilience in overall business despite supply chain disruption in our US based subsidiary that has affected its contribution to revenue & profitability. We have witnessed softening in prices of freight cost as compared to last year. We are making every effort to maintain our margins despite strong headwinds in the raw material prices.” Result PDF
ADF Foods Announced Q1FY23 Result : Revenue in Q1 FY23 increased by 12.4% YoY to Rs. 97.2 Cr Gross Margins for Q1 FY23 increased by 26.9% to Rs. 47.9 Cr EBITDA in Q1 FY23 stood at Rs 9.1 Cr; EBITDA Margin in Q1 FY23 stood at 9.3%. This decrease is primarily driven by inflationary pressure in prices of raw materials, higher freight cost and supply chain disruptions in US based subsidiary PAT in FY22 stood at Rs. 7.6 Cr Launched new products under brand ‘Ashoka’ in the categories of ready to eat, ready to cook and pickles Company is ready to launch various products under brand ‘ADF Soul’ through e-commerce in India in Q2 FY23 Commenting on the Results, Mr Bimal Thakkar – Chairman & Managing Director said, “We have entered FY23 on a positive note and are confident to scale up our business on a sustainable basis. We have further strengthened our product portfolio through launch of products in ready to eat, ready to cook and food accompaniments categories under Ashoka brand. Further, to expand our presence in India, we are ready to launch sauces, pickles and chutneys under Soul brand through e-commerce in Q2 FY23. The company is really excited and is looking forward to this growth journey. The Company has recently taken a price hike to mitigate inflationary pressures, the impact of which will be reflected in coming quarters. Apart from this price hike, we are also witnessing softening of raw material prices and freight cost which will also have a positive effect on margins going forward. ” Result PDF
Conference Call with ADF Foods Management and Analysts on Q4FY22 Performance and Outlook. Listen to the full earnings transcript.
ADF Foods announced Q4FY22 results: Revenue in FY22 increased by 13.9% YoY to Rs. 421.2 crore; Q4FY22 Revenue increased by 5.0% YoY to Rs. 108.2 crore EBITDA in FY22 decreased by 2.5% YoY to Rs 66.5 crore; EBITDA Margin in FY22 stood at 15.8% This decrease is primarily driven by increase in prices of raw materials and higher freight cost on account of global logistical challenges. However, we have been able to mitigate some of these pressures through better product mix, price hike and cost optimization. PAT in FY22 decreased by 3.1% YoY to Rs. 48.5 crore; PAT Margin in FY22 stood at 11.5% The board has recommended a dividend of Rs. 4 /equity share Debt to Equity stood at 0.04x; Healthy return Ratios: For FY22, ROE is 23.1% and ROCE is 19.2% Commenting on the Results, Mr Bimal Thakkar – Chairman & Managing Director said, “We are proud to announce yet another year in which we achieved growth by expansion in new geographies and launch of new exciting products. We aim to execute our strategic initiatives with continued emphasis on increasing our reach coupled with prudent financial practices. The growth was majorly driven by robust volume offtake, better sales mix and manufacturing optimizations. Further, we acquired a land parcel adjoining our Nadiad factory which will enlarge out existing cold storage facility and set up a new loading dock to enable faster delivery. We also saw growth in our distribution business which has impetus to grow more as our alliance with Patanjali for exclusive distribution of their products in UK and western European markets comes into effect in FY23. This will help us further engage with the growing Indian diaspora in Europe.” Result PDF
Packaged Foods company ADF Foods declares Q3FY22 result: Total Income for Q3FY22 at Rs. 118.7 Crores, up 19% YoY Total income for quarter ended December 31, 2021, stood at Rs 118.7 Cr, compared to Rs 99.5 Cr in Q3FY21, a growth of 19.3% YoY; the growth was driven by robust demand and improved realizations Better sales mix and price increases led to margin improvement at GP level, GP margins improved sequentially and annually to 54.5% in Q3FY22 compared to 42.5% in Q3FY21 EBITDA for the quarter was at Rs 20 Cr with EBITDA margin of 17% Rising freight costs directly impacted margins; freight cost had increased from Rs 4.0 Cr (4% of revenue) in Q3FY21 to Rs 15.24 Cr (13% of revenue) in Q3FY22 Reported Net Profit after Tax of Rs 13.6 Cr for Q3FY22, with a PAT margin of 11.5% Total income for nine months ended December 31, 2021, stood at Rs. 318.7 Cr, compared to Rs 270.8 Cr in 9MFY21, up 17.7% YoY, driven by growth across segments Gross profits stood at Rs 159.7 Cr up by 41.7% YoY with a margin of 50.1% EBITDA for the period was Rs.55.5 Cr, compared to Rs 51.6 Cr in 9MFY21, up 7.4% YoY EBIDTA margin continued to remain robust at 17.4% Freight costs during the year had increased from Rs 8.6 Cr (3% of revenue) in 9MFY21 to Rs 33.1 Cr (10% of revenue) in 9MFY22 Commenting on the performance, Mr. Bimal Thakkar, Chairman, Managing Director & CEO, ADF Foods Limited said, “We are pleased to report continuing strong performance this quarter with a total income growth of 19% YoY. Despite a challenging trade environment in terms of rising freight and other input cost, we have been able to keep up our robust margins on the back of improved realizations and optimized sales mix. The alliance with Patanjali will offer significant opportunities to our Company to expand our product basket with our retailers. Leveraging our robust distribution network, we can funnel complementary product categories directly in stores thereby offering our consumers a wider range of products at their convenience. This will also enable us to further tap into the growing Indian diaspora market in Europe. We will continue to invest in our manufacturing and also our distribution infrastructure, to capture the growing opportunities.” Result PDF
Highlights: Total Income for Q2FY22 at Rs. 110.3 Crores, up 14% YoY EBITDA Margin for Q2FY22 at 17.7% Total income for quarter ended September 30, 2021 stood at Rs 110.3 Cr compared to Rs 96.8 Cr in Q2FY21, a growth of 14% YoY; the growth was driven by good demand and volume offtake EBITDA for the quarter was at Rs 19.5 Cr with EBITDA margin of 17.7% PBT for the quarter stood at Rs 17.7 Cr, up 5% YoY Reported Net Profit after Tax of Rs 12.5 Cr for Q2FY22, with a PAT margin of 11.3% Margin compression during the quarter was impacted by the global container shortage, however, despite significant rise in freight costs, profitability was sustained with cost optimizations. Total income for half year ended September 30, 2021, stood at Rs. 200 Cr, compared to Rs 171.3 Cr in H1FY21, up 17% YoY, driven by growth across segments EBITDA for the period was Rs.35.4 Cr, compared to Rs 31.7 Cr in H1FY21, up 12% YoY EBIDTA margin continued to remain robust at 17.7% PBT for H1FY22 stood at 32 Cr up 13% YoY Reported Net Profit after Tax for H1FY22 stood at Rs. 23.6 Cr, up by 11% Commenting on the performance, Mr. Bimal Thakkar, Chairman, Managing Director & CEO, ADF Foods Limited said, “This quarter we continued to see good volume offtake despite several challenges on logistics and freight side. Our Processed Foods Business delivered a higher growth during the quarter, leading to a strong total income growth of 14% in Q2Fy22. Our operating margins and PAT margins remain robust at 18% and 12%, respectively. All our facilities are running at nearly full capacity utilization and we are undertaking further debottlenecking efforts to increase capacities in our existing plants. In addition to increasing capacities, we are strongly focused on capturing the larger part of value chain by investing in distribution network. We have leased a second warehouse center in Georgia, in addition to the one in New Jersey, together this will help us ensure uninterrupted product supply. Also, we have set up a distribution subsidiary to increase our direct reach with retailers. All these efforts will help us push our products more, have better control on supply chain, rationalize costs and optimize margins. We are committed to deliver growth by leveraging our strong products and brands portfolio, operating expertise and robust balance sheet.” Result PDF