Packaged foods company ADF Foods announced Q4FY23 & FY23 results: Highest-ever standalone annual revenue, EBITDA, and PAT coupled with robust expansion in EBITDA and PAT margin. It is the highest standalone PAT margin in the history of the company on a quarterly as well as yearly basis In Q4FY23, consolidated revenue grew by 13.8% to Rs 123.1 crore YoY EBITDA and PAT grew by 73.2% to Rs 26.5 crore and 42.6% YoY Rs 16.1 crore respectively Our flagship brand ‘Ashoka’ has now crossed Rs 200 crore in Revenue, growing at a CAGR of 33.2% over the past 2 years The board has recommended a dividend of Rs 5 per share The board has approved a sub-division of the equity shares of the company having a face value of Rs 10 each into shares having a face value of Rs 2 each Commenting on the Results, Bimal Thakkar, Chairman & Managing Director, said, “ADF Foods has delivered a strong Q4 performance, with robust revenue and PAT on a standalone and consolidated basis. Our flagship brand ‘Ashoka’ remains a top Indian food brand in stores across the US, UK, and Asia Pacific, thanks to our dedication towards traditional recipes and high-quality ingredients. We have completed debottlenecking efforts in our existing plants to meet growing demand, and our planned expansion in Surat and infrastructure in existing plants will unlock further frozen food production capacity. Our commitment to sustainable manufacturing processes and adherence to global standards of quality have helped us become one of India’s leading exporters in the processed foods business. Investments are being made towards sales and distribution for our Soul brand in India due to the encouraging response we've received. On overseas operations, we have made significant investments in our US subsidiaries in creating infrastructure and improving the supply chain the results of which are expected to yield in the future. Also, ADF USA did not contribute due to supply chain issues which led to an adverse effect of Rs 7 crore in profitability. We are closely working on the situation to mitigate these costs. We remain focused on leveraging our expertise to drive growth and profitability in the future.” Result PDF
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